GN budget promises good news and bad

PATRICIA D’SOUZA

Nunavut Finance Minister Kelvin Ng delivered a seemingly “good news” budget on Tuesday, cutting taxes, increasing spending on key programs, and even promising a surplus of $1.6 million.

“Mr Speaker, sometimes a minister of finance is faced with the difficult task of informing taxpayers that income taxes must be increased,” Ng said in his April 30 budget speech in the legislature.

“Happily, I am not in that situation today. In fact, I am delighted to announce that — for the first time in our short history — we will be implementing a number of tax measures that will see all Nunavummiut pay less personal income tax starting this year.”

But Doug Workman, president of the Nunavut Employees’ Union said that what seems like good news is really masking some core deficiencies.

“When there’s tax relief, it’s hard to say it’s not good news for the average wage-earner in Nunavut,” Workman said in an interview. “When I went through the numbers, what I was looking for was some attention to some really important programs. I’m not sure this government really gets it.”

The most significant funding increases went to the departments of health and social services, and culture, language, elders and youth.

The health department’s budget was increased by more than 26 per cent from last year, to $157 million. Most of that funding goes to operations and maintenance costs, with additional provisions for community wellness programs, alcohol and drug counselling programs and the department’s long-awaited mental health strategy.

But the new funding only accounts for the department’s underfunding in previous years. It entered the current fiscal year carrying a deficit.

“I don’t think this is a department that has ever been funded to a level where they can deliver the services they are meant to deliver,” Workman said.

“The complement of nurses and social workers has not gone up and communities have mushroomed. Social workers do everything from probation reports to child protection and counselling. There’s no relief in sight for front-line workers. I find that distressing,” he added.

“They say they have to be fiscally responsible — but a person dying doesn’t really want to hear that.”

According to department of finance documents, CLEY received an increase of more than 25 per cent, to $9 million. Most of the increase will go toward a toponymy program, research into traditional Nunavut placenames. The GN will also establish an elders council, an advisory board on issues dealing with IQ.

“We hope to provide more program dollars for elders and youth,” said Jack Anawak, the minister for CLEY. “It has given us an opportunity to start some programs and keep those programs going for the next few years. It ensures the people who know the culture — elders — do a lot to teach the people.”

Education funding down

The department of education’s capital budget was reduced for 2002-2003. Finance documents say the department will invest $2.8 million in new teaching positions.

“I’m quite happy with the overall budget that we got,” said Peter Kilabuk, the minister of education. “There appears to be a decrease compared to last year because of the number of projects, but there is definitely going to be new money for hiring of teachers.”

“That $2.8 million for teaching positions is not really true,” Workman said. “It’s for school operations.”

Workman said there was some good news for Nunavut municipalities in the department of community government and transportation’s budget. Communities will receive $5 million in block funding for water and sewage. “Formula funding has been a real disaster,” Workman said. “Maybe there’s some relief there.”

As far as jobs are concerned, Workman said, the GN is still understaffed. The government is currently operating at about 75 per cent capacity. “It’s pretty frustrating. I didn’t see a lot of money in training and development,” he said.

“Everybody had such high hopes for the budget because there’s been so much frugalness and we’re waiting for the payoff. We’re expecting a meal and we’re getting a snack. I didn’t expect a full-course meal, I just wanted a meal.”