Ontario Has a Spending Problem: Drummond Report Reveals
(Queen’s Park)—Today, TD Economist Don Drummond released a scathing report on the state of Ontario’s financial future, and one theme was prominent: Ontario has a spending problem.
Drummond’s report, released today, contains 362 recommendations outlining how the McGuinty Government can cut costs and find program efficiencies in order to get its budget and spending under control.
“The release of the Drummond Report today proves what we have been saying all along—Ontario is in an economic crisis and it was Dalton McGuinty who got us into this mess,” said Lisa Thompson, MPP (Huron-Bruce). “This crisis is more severe than anyone could have anticipated.”
Drummond has said that every one of his recommendations must be followed in order to balance the budget by 2017. Some of these recommendations include: restraining spending, immediate public sector wage freeze, end corporate welfare, encourage apprenticeship reform, consolidate Ontario’s 80 local energy distribution companies to reduce the amount spent on operations, lower the feed-in tariff (FIT) prices, develop a 20-year health plan, cap health spending at 2.5%, improve school bus services in rural Ontario, and re-coup outstanding provincial fines amounting to $1 billion.
“Drummond has presented us with some hard-hitting recommendations today, and we have to take a good long look at them,” said Thompson. “We need to return Ontario to the time where we spent what we had; set priorities on essential services like health and education, and made government work for the people.”
“Dalton McGuinty first must declare that there will be no new, uncosted, unresearched, spending initiatives,” said Thompson. “The task at hand now is to hold the government to account and work towards making the changes needed to get our province into recovery, avoid bankruptcy and restore the faith of the taxpayers.”
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