Clinton News-Record, 1981-12-02, Page 22PAGE 22—CLINTON NEWS -RECORD, WEDNESDAY, DECEMBER 2 ,1981.
Repot from Queens Park
BY JACK RIDDELiI
M..P.P.
A report oil BILD was
tabled in the Legislature this
week, by the Treasurer,
Frank Miller.
BILD was established as a
Cabinet Committee headed
by Mr.. Miller last Novem-
ber, and was charged with
the responsibility to design
and;implement an economic
development strategy for
Ontario. The economic
action plan formulated
outlined a series of 76
projects involving an in-
vestment over five years .of
$1.5 billion.
As Treasurer; Mr. Miller
said he pledged50 per cent of
that amount in the form of
new money, with the balance
to come from redirection of
internal priorities within the
government, from the
private sector and 4v from
other levels of government.
In the nine months since
January 27, BILD has ap-
proved program funding
commitments whichnow
total $614 million over five
years. For this fiscal year,
the Treasurer said, BILD
has approved 45 projects
which . will cost about $145
million.
However, Mr. Miller could
not say what the projects
were, but BILD released a
general list of hoW the $614
million will be spent.
Listings costing "$20 mIlion
or more are: $20 million to
subsidize rural electrical
rates; $125' million for road
improvements; $20 million
• for capital assistance for
food processing; $20 million
for expanded. storage
facilities for fruits and
vegetables; $35 million for
forest improvement. .$30
million for mining ex-
ploration incentives; $30.
million for .a new
biotechnology company; $25
million to export support
financing; $27 million -for the
Toronto convention centre.
Mr. Miller said that in the
past year BILD has defined
Ontario's economic goals for
the 1980s . and devised an
actionplan" which co-
o "ik s and ,caflsolidittes.
the government's economic
levelopinentplan.
Opposition Members,
however, saw BIID asa
reworking of programs that
bad already been warmed
over several times, given a
new acronym and launched
as a platform for the March
election: Opposition Mem-
bers said no real newmoney.
was being spent because the
province's share - $750
million, with the other half to
crone from other govern-
ments and private industry -
amounted to only $150
million a year, the same
amount that would have
been spent anyway under
BILD's predecessor, the
Economic Development
Fund.
South Cayuga
A� year ago, the then
provincial Minister of the
Environment, Keith Norton,
declared that a $60 million
waste treatment site would
be built on government-
owned land at South Cayuga,
notwithstanding strong
protests from the Opposition,
local residents and en-
vironmental groups.
Now the Ontario Waste
MUlanagemenk,,, Corporation
has abandoned the South
Cayuga Site, based on a new
study _ which found it to be
only marginally suitable.
The cost of the delay to the
taxpayers and South Cayuga
residents adds up to almost
$100,000, according to
estimates obtained from
various groups.
McMichael Gallery
Sixteen years ago, the
government made an
agreement with Robert and
Signe McMichael. In 1965,
the McMichaels gave more
than 200 paintings, their
home and 16 acres of land in
Kleinburg to the province,
and the government agreed
to maintain the collection in
perpetuity. The McMichael
Canadian Collection, which
many of you have probably
vsited, included Group of
Seven art.
Now the government has
drafted legislation which
would eliminate the 16 -year-
old agreement, and allow the
government to sell paintings
from the collection.
"This is a violation of
everything the gallery was
intended to be", said Robert
McMichael. "I wouldn't
have made the gift if I
thought this is what they
were going todo".
Liberal Leader Stuart
Smith raised the matter in
the Legislature on two
consecutive days, and one
hone of contention was the
Minister of Culture and
Recreation, Reuben Baetz'
denial that he had asked
Robert McMichael to resign
as director of the collection.
McMichael maintains the
Minister's exact words
were: "Will you step aside
from your directorship?"
Three Year Term
A new law to hold
municipal elections every
three years instead of the
every two has been in-
troduced in the Ontario
Legislature. The first
reading of the legislation
took place this week and the
new regulations would affect
members of municipal
(ADVERTISEMENT)
councils and elected local
boards from 1982 onward.
Catholic Schools
A provincially appointed
review of the secondary
school system has recom-
mended that Roman
Catholic separate schools in
Ontario should receive full
financing for Grades 9 and
10. But the question of
providing taxpayers' money
to private or independent
schools needs further study.
The Chairman of the
Secondary Education
Review Project said that the
committee was divided into
those who supported a
common school system for
all children and those who
supported a double school
system. The study group
made the recommendation
anyway, estimating the cost
at $15 million in the first
year.
(ADVERTISEMENT)
Under the British North
America,._Act, the govern-
ment is required to provide
equal ,financing for both a
Catholic and Protestant
school system But in 1 7,
neither school system ex-
tended to Grades. 9 or 10. The
provincial government
decided in the 1960s to
finance separate school
students up to the end of
Grade 10 at the same level as
the financing for students in
elementary public schools.
Since 1978, the provincial
government has been
gradually increasing that
support, so that this year
provincial support for
separat ' achool Grades 9 and
10 is 15 per cent higher than
support for Kindergarten to
Grade 8. But the government
still gives less to the Catholic
Schools for Grades 9 and 10
than is provided for those
grades in public schools.
(ADVERTISEMENT)
"Dear Mr. Allan MacEachen
I'm a small businessman in a 40% tax
bracket. ,
My accountant says your new 'budget'
increases my taxes by 40%."
GIFT OF FITNESS
For Christmas!
DIET CERTIFICATES NOW AVAILABLE
FOR MEMBERSHIP
*POOL *SAUNA
*FITNESS ROOM
Contoctl
VANASTRA
RECREATION CENTRE
(3 miles South of Clinton)
OR CALL •
482-3544
(ADVERTISEMENT)
"1. thought this budget was supposed to get
the rich, Al. Who told you l was rich?"
The 162 resolutions'of Mr. MocEachen's 'budget' really
don't add up to a budget, at all. Some of the largest ac-
counting firms in the country .,call them a whole new
system of taxation.
"There's no more reward for a company do-
ing well, AI?:..
If your company was doing well, you . used ,to pay
- yoursle)f v dividend ° Your^^company used -to pay 25'per-
cent in taxes in order to pay that dividend. The effec-
tive rate is now 33.3% ("That's a jump of 1 %3, All") If
your company was doing well, the company could
make a car available to you for business and personal
use. As a minimum you paid tax to the government on
12% of the purchase price every year. Now, • as a
minimum you have to pay tax on .30% of the purchase
price every year. ("What's that going to do for car
sales, Al?")
If your company was doing well, you used to be able to
provide employees with a dental plan without any tax
cost to them or yourself. Now, that's a taxable benefit.
If your company was doing well, you used to be able to
give employees low-interest loans to assist them to buy
houses as well as other things. This assistance to the
employee is now gone. All loans must be made at the
same interest rate charged by commercial leaders.
("Incidentally, what's that going to do to the housing in-
dustry, Al?)
How the budget affects a hardware store
owner.
Take a man who owns a hardware store. His store is
profitable. It employs five. The owner had the store buy
a delivery van. He sometimes used the von personally.
-,e zrseu"ici pay ibice" erri i 2tO of year for doing .
Now, he'll pay taxes on $3000. An increase of 150%.
The owner had a denial plan for employees. He gave it
to them free. Now they'll be charged taxes on the plan.
The store made a loan to an employee of $20,000 for
down -payment on a house. The interest rate charged
was 9%. Now the interest rate will be substantially
higher or the employee will pay more taxes.
The company paid the owner a$10,000 dividend a year.
That dividend used to cost the store nothing to pay.
Now it costs the store in taxes, $1,111. to pay. This only
leaves, for the owner, a taxable $8,889., instead of a
taxable $10,000.
The owner invested some of his savings in a five year
Guarantee Investment Certificate. He used to have to
pay taxes n the interest when he got the money — at
the end of t fiv year term. Now, he'll have to pay
taxes on the interest accrued every three years —
whether he's actually seen the money or not.
Will the budget affect the person wanting to
start a new business?
Small businesses hove been the best job creators
around.
Will that be true after the new budget?
Read on:
You're starting a Widget Company.
After the budget, the capitol cost allowance on Widget
machinery in the year it is purchased will be only half
of what it is now.
After the budget, the interest on the money you bor-
rowed from the bank to start the business is no longer
deductible — unless that business is an immediate suc-
cess and starts paying dividends in the first year.
(Guess how often that's going to happen!)
After the budget, there don't seem to be any particular
advantages to going out on your own.
"Al — usually when you make massive
changes like this, there's a white paper
first. Why are you sneaking this in?"
as -givenVchance.7o hoveV soy:..V--...---
A White
--A'White Paper would have been nice.
"There are thousands upon thousands of small
businessmen hit by your 'budget'. When you add it to
high interest rates, the recession and inflation —
what's going to happen to small businessmen Al, and
those they employ?"
If you're a small businessman reading this, we'd advise
you to spend the weekend going over your books. Find
out exactly what everything we've told you is going to
cost.
What it'll cost you. And your employees. And your
customers.
There's no magic wand to Wave to make it go away.
You're stuck with it.
Unless...
"We beat these resolutions once before,
Als"
"In 1970, over 400,000 of us worked together. People
signed coupons and messages like the one below. Rais-
ed Cain. Pointed out just what the consequences of all
this kind of thing would be. And we beat the White
Paper on Taxation! Maybe that's why you didn't hove a
White Paper this time. Why you disguised the 162
resolutions os a 'budget'."
"And by the way, Al, while you are tighten-
ing our belts (OUCH), the MP's are taking
big increases in salaries, big increases in ful-
ly indexed pensions and have increased
government spending by 22%.
What to do.
Step one: sign and send the coupon below. We'll make
sure it gets to the right people in Ottawa.
Step two: go to the business next door. Have them do
the same.
Step three: Take an hour. One hour: dial every Liberal
Member of Parliament you've ever heard of. Tell them
just exactly what this new 'budget' does to you. How
you feel about it.
Tell them that if they vote for this Budget, you will ac-
iiveeiy wolkic again -if their next election.
Do any of these things.
Do all of these things.
Or start learning to live with a 'budget' that is about to
put you out of business.
Listed below are the Federal Liberal MIs and their constituency phone
numbers. hilar® and leave yoUt brief message.
97 % of Businesses in Canada are classified as small business.
Charles Turner—London East
Garnet Bloomfield—London-Middlesex
453-8660
452-3550
Jack Burkhardt—London West
482-1113 Bud Cullen—Sarnia
336-0420
This Advertisement In Support Of Small Business Inserted By Signal -Star Publishing Ltd.
—RS R•in IMO Me®®EM®NIB s,NEI onMI IMO MIM IMO SIM MENB® EMI all --MMO SIM OM Mil NM'
NATIONAL CITIZENS' COALITION,
1
100 ADELAIDE STREET WEST, SUITE 907,
TORONTO, ONTARIO MSH 1S3
To Prime Minister Trudea.
1 You apparently are attempting to systematically
$ 1 destroy the middle class. If so, count me
National Citizens' Coalition1 schereelemection. and rely on 1
100 Adelaide Street West, Sul
Toronto Ontario M
1-416
69-3838
H 1S3.
e907
1
1
1
1
NAME
1 NATIONAL CITIZENS' COALITION,
100 ADELAIDE STREET WEST, SUIT
TORONTO, ONTARIO
To Prime Minist
Y
ut of your
rk against your party's 1
1
ADDRESS
CITY POSTAL CODE
Send money so that we can all bring down this
Budget.
C]'10 C1'15 [ 1'25 C]'SO 1'100 Other
1
1
r Trude°.
apparently are attempting to systematically
destroy the middle class. If so, count me out of your
scheme and rely on me to work against your party's
re-election.
511153
907,
NAME
ADDRESS
CITY POSTAL CODE
Send money so that we can all bring down this
Budget.
_ r1'10 ❑'15 F1'25 C_]'50 ❑'100 _Other
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