CONSERVATIVE MEMBERS OF PARLIAMENT REFUSE TO STAND UP FOR THEIR PROVINCE

Released on May 16, 2007

Premier Lorne Calvert expressed disappointment today that Saskatchewan’s 12 Conservative Members of Parliament have voted in favour of an unfair Equalization formula that will deprive Saskatchewan of hundreds of millions of dollars annually.

Yesterday in a recorded vote in the House of Commons, all 12 Saskatchewan Conservative MPs voted in favour of legislation that implements the federal budget – a budget that brings into effect a new Equalization formula with a cap that effectively claws back Saskatchewan’s oil and gas revenues.

The Conservatives had repeatedly promised full exclusion of non-renewable resource revenues from the Equalization formula, a deal which would have benefited the people of Saskatchewan by approximately $800 million per year, every year.  However, the cap reduces the benefits to Saskatchewan to a one-time payment of $226 million this year, falling to zero next year and beyond.

Essentially, starting next year, this arrangement will cost Saskatchewan people at least $800 per person per year in their pocketbooks or in reduced public services.

“We saw Conservative MPs in Nova Scotia speak up for their province, and it resulted in ongoing negotiations for a new Equalization deal,” Calvert said.  “I’m at a loss as to why the Saskatchewan Conservative MPs would choose to stand up for Stephen Harper over standing up for Saskatchewan.”

Conservative MPs have repeatedly touted the misleading figure of $878 million when talking about new spending that Saskatchewan will receive in the federal budget.

Calvert said that is an attempt to divert attention from the Conservatives’ broken Equalization promise.  He added that the $878 million figure shouldn’t fool anyone into thinking Saskatchewan received a good deal, because:

• 85 per cent of that amount is one-time funding, a far cry from permanent changes to Equalization that would have $800 million to Saskatchewan every year;
• it includes funding for a project that may not even be approved ($180 million for Iogen’s biofuel project); and 
• the figure includes Saskatchewan’s share of national programs - in other words, this is not a special deal.

“It’s appalling that Saskatchewan’s Conservative MPs would rather try sell this ‘betrayal budget’ as a good deal for the province, and put their partisan priorities before any semblance of principles,” Calvert said.  “They continue to ignore the claw back of billions due to Ottawa’s newest cap and try to persuade Saskatchewan people they should ignore it, too.  They need to be held accountable for this.”

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For more information, contact:

Jay Branch
Executive Council
Regina
Phone: 306-787-6349
Email: jay.branch@gov.sk.ca
Cell: 306-539-3994