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12 | OPINION<br />

Published Saturdays since 1996<br />

by Cathedral Communications Inc.<br />

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»CARTOON<br />

»EDITORIAL<br />

»VERBATIM »THE MONITOR<br />

The Observer | Saturday, <strong>November</strong> 01, 20<strong>08</strong><br />

Now’s the time for cutting back<br />

Regional Coun. Tom Galloway is in the<br />

right track when he talks about cutting<br />

expenditures in the 2009 budget, now under<br />

discussion.<br />

Galloway chairs council’s finance committee;<br />

he’s well placed to take the lead<br />

on austerity measures. Currently talking<br />

about a 3.84-per-cent jump in the base<br />

budget, he and his fellow councillors<br />

should be looking to get that closer to<br />

zero. That would show the region is serious<br />

about the economic downturn that is<br />

hitting ratepayers, who are in no position<br />

to watch governments of any level add<br />

to their expenses simply because we’re<br />

forced to pay taxes.<br />

Yes, the region is facing increased costs,<br />

especially on the energy front, but that’s<br />

true of everybody. Belts will be worn<br />

tighter this year, and governments should<br />

lead by example. That will mean cutting<br />

some programs, delaying some purchases<br />

and pushing back capital projects wherever<br />

possible.<br />

The same measures must be undertaken<br />

in Woolwich and Wellesley as the townships<br />

begin the process of planning their<br />

own 2009 budgets.<br />

“I think it’s going to be a busy, busy winter. The shelter numbers are very<br />

high for this time of year.”<br />

Anne Tinker of The Bridges homeless shelter on the economic downturn<br />

The municipal situation is even worse<br />

this year thanks to the skewed system of<br />

property assessment we’re saddled with.<br />

With both the federal and provincial governments<br />

facing deficits, neither is likely<br />

to have any new cash to help municipalities.<br />

Increases of any kind are generally unwanted.<br />

Increases above inflation demand<br />

some explanation, especially given that<br />

many ratepayers aren’t seeing commensurate<br />

pay increases – at the end of the<br />

day, factoring in all the government taxes,<br />

fees and charges, most of us are going to<br />

have less in our wallets.<br />

In some ways, however, we’re our own<br />

worst enemies. We’re placing an ever-increasing<br />

demand for services on our governments,<br />

particularly frontline governments<br />

at the township and regional levels.<br />

We can’t have it both ways: more services,<br />

lower taxes. It’s one or the other.<br />

Some will argue that they don’t want<br />

more services and that they are, in fact,<br />

getting precious little bang for their buck<br />

as it now stands. For these people, tax increases<br />

of any kind are particularly galling.<br />

If population growth is driving new<br />

expenditures – for roads and sewers, for<br />

instance – then let the new arrivals foot<br />

the bill, some will argue.<br />

That reasoning leads us to the slippery<br />

slope of user fees, the favourite route of<br />

governments too cowardly to raise taxes<br />

or cut services. This is precisely the option<br />

being explored at the provincial<br />

level as the McGuinty government looks<br />

to tackle the deficit without breaking its<br />

promise to freeze taxes.<br />

However, those revenues come from one<br />

source: us. Whether income tax goes up<br />

by $10 or you pay an extra $10 when you<br />

renew your driver’s licence, you’re still<br />

out $10. Of course, if you don’t drive –<br />

that is, you’re not a “user” – then you’re<br />

ahead of the game … until you’re faced<br />

with a fee for something else. And you<br />

will be.<br />

In the face of growing expectations – we<br />

always want more – at some point our<br />

elected officials have to draw a line, to<br />

decide what’s essential and what’s not.<br />

There will never be enough money to meet<br />

every demand; it’s better to start applying<br />

the brakes slowly rather than jam them<br />

on when the inevitable wall appears.<br />

A national poll this week revealed 90% of Canadians say they would be<br />

proud if their province took the lead in reducing poverty; 88% want Canada<br />

to be a leader in poverty reduction; and 77% say a recession is all the more<br />

reason to act now.<br />

Canadian Centre for Policy Alternatives

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