WINNIPEG: The Canadian Taxpayers Federation (CTF) responded to the Manitoba government's speech from the throne, marking the opening of the 39th legislature. With record high transfer and equalization payments still coming into the province from other jurisdictions, Manitoba's government is spending the money as fast as it can.

"The NDP government is absolutely committed to expanding the province's social welfare programs, with no long-term plan on how to pay for all of its initiatives," said CTF Manitoba Director Adrienne Batra. "After today's speech, it is obvious the government will continue to rely on the economic success in Saskatchewan, BC, and Alberta to pay the bills in Manitoba."

A majority of today's speech reiterates the NDP's platform from the provincial election and previous budget. A repeated commitment to reduce the middle tax rate from 13 to 12.75 percent, a $200 increase in the basic personal exemption, an increase to the farm tax credit to 70 percent and reductions in the small business and capital taxes are all welcome initiatives.

The government also plans more funding for social programs in health care, 2,500 additional daycare spaces in two years, more money for retention strategies in education and anti-bullying legislation. "Many of these spending commitments are laudable goals, as long as there are some measurable benchmarks that demonstrate to taxpayers their hard earned money is being used to fund front-line, results-oriented services and not administrative costs," added Batra.

With Winnipeg's water and sewer rates set to increase, the provincial government has committed $206 million for waste water facility upgrades, a move the CTF applauds. "It's unfortunate the province waited this long to dedicate funds for these upgrades, mandated by the province's Clean Environment Commission; but this will help take the sting off a proposed rate hike by the City of Winnipeg," said Batra. The province also committed to reduce red tape for businesses with on-line filing of PST and other taxes and creating a one-stop shop for licenses and permits for business.

As promised during the election, the NDP plans on introducing legislation to set out Manitoba's Kyoto targets. "Considering the international community has all but unanimously declared the Kyoto Protocol 'dead,' the CTF is anxiously waiting to see the NDP's plan to meet targets by 2010, without sending the province into an economic tail-spin," concluded Batra.