January 27, 2009 – Today the Conservative government tabled Budget 2009 - Canada’s Economic Action Plan - a bold multi-year approach to stimulate the economy and protect the country during the current global recession.
“While Canada is coping with a global economic downturn, the Conservative government has developed a multi-year approach to our focus on the economy,” said Pat Davidson, Member of Parliament for Sarnia-Lambton. “The people I heard from in Sarnia-Lambton wanted the government to create stimulus spending that made sense, while protecting those who have lost their jobs, combined with some sort of effective tax relief that would offer assistance to the middle class.”
The 2009 budget contained specific announcements for funding projects in our community, such as funding for the Blue Water Bridge and the Southern Ontario Development Agency. “I was also pleased with the prioritization of advancing our colleges’ role in advanced skills training and the creation of the Recreational Infrastructure Canada fund will provide $500 million over two years for recreational facilities” stated MP Davidson.
Agriculture is another important priority for this government, with $500 million for an agricultural flexibility program, a $50 million investment to increase slaughterhouse capacity and amending regulations to make credit available to new farmers and to promote inter-generational farm transfers. “Based on what I have seen in Canada’s Economic Action Plan, I would say the government hit its mark on providing fast-acting and effective stimulus measures to ride out this global economic downturn.”
The plan will provide almost $30 billion in support, equivalent to 1.9% of GDP, to the Canadian economy this year. This is in line with the 2 percent recommended stimulus spending that G20 nations agreed to in November of 2008 to combat the Global economic pressures our economy faces. Ontario will especially benefit from the plan, via the following measures:
Action to Build Infrastructure by providing Ontario with its share of $4.5 billion over two years for infrastructure projects such as road, water and sewer system upgrades across the province. It also accelerates payments up to $75 million over two years for additional infrastructure projects. This includes partial spending of 14.5 million dollars for upgrades at the Blue Water Bridge in Point Edward.
Action to Reduce Taxes and Freeze EI Rates by providing the people and businesses of Ontario with tax relief of $9.1 billion over the next five years and providing billions to keep EI rates low for 2009-10. There will be a five week extension to all regular Employment Insurance benefits for two years.
Action to Stimulate Housing Construction by providing billions to build quality social housing, stimulate construction and enhance energy efficiency. The new
Renovation Tax Credit will provide up to $1,350 per homeowner, which will benefit Ontario homeowners by up to $1.3 billion over two years.
Action to Improve Access to Financing for businesses to obtain the resources they need to invest, grow and create new jobs and give consumers the adequate financing they need.
Action to Help Canadians Hit Hardest by the Economic Downturn including enhancements to Employment Insurance and more funding for skills and training.
Support for Businesses and Communities by protecting jobs and supporting sectoral adjustments during this extraordinary crisis with $7.5 billion in extra support for sectors, regions and communities such as the forestry and manufacturing sectors.
We will also benefit from specific initiatives including more than $1 billion over five years for a Southern Ontario Development Agency (SODA) program to help workers, communities and business in our region; a share of $2 billion to support deferred maintenance and repair projects at post-secondary institutions and $80 million to modernize and expand our border service facilities.
In addition to these measures, the province of Ontario will continue to receive historically high and growing federal transfers in 2009-10 that will total $15.8 billion, an increase of $1.5 billion from last year. What’s more, Ontario will see growing health ($9.6 billion) and social ($4.2 billion) transfers to help the province pay for vital health care, educational and social services families depended on.
“With this plan, Sarnia-Lambton will emerge from this global recession with better roads, bridges, buildings, better access to broadband internet in our rural areas, a more skilled labour force, lower taxes and a more competitive economy,” said Pat Davidson. “This is the plan Canadians wanted, and this is the plan that will ensure that Canada creates and maintains jobs for today and tomorrow.”
