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Economy dominates premiers' meeting with PM

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Canada AM: Dalton McGuinty, premier of Ontario
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CTV.ca News Staff

Date: Fri. Jan. 11 2008 10:56 PM ET

The economy dominated a working dinner between the premiers and the Prime Minister at his Ottawa residence Friday night.

The premiers emerged from the meeting saying it offered them a good opportunity to discuss their concerns with Stephen Harper. But they noted that there were no concrete developments or announcements coming out of the three-and-a-half-hour meeting.

Alberta Premier Ed Stelmach said topics included:

  • lower business taxes;
  • research and development investment;
  • and labour shortages.

The premiers were hoping to push Harper to give them more funding following his announcement Thursday of a $1-billion aid package for communities and workers hurt in export-reliant industries. Some sectors of the economy are struggling because of high gas prices, a strong loonie, and a slowing U.S. economy.

They didn't get any additional funds, and that disappointed Ontario's Dalton McGuinty.

"I hoped we had a strong, committed and willing partner in the federal government. I did not find that partner here today," he said after the meeting.

"I'm happy to get the $350 million and we'll use that as best we can, but ... there are going to be certain sectors of the economy, the manufacturing economy particularly, and forestry, which will remain challenged for an extended period of time. So, I'm looking for a long-term partner for those folks, and I didn't get that."

New Brunswick Premier Shawn Graham, who chairs a council representing the provinces, said it was a "productive dialogue." He said the tone of the meeting was cordial.

Friday's dinner was the second such meeting between the premiers and the Prime Minister. Harper has not held a formal first minister's summit since becoming Prime Minister.

The premiers say they would prefer more common meetings.

"I'm not worried about the type of form. I'm worried about the type of meetings where we can discuss constructively how we can be more effective for the Canadian public," said Manitoba's Gary Doer.

B.C.'s Gordon Campbell said the meeting provided a good starting point for future discussions.

Harper said he was pleased with the outcome of Friday's dinner.

"We want to see our vast country move forward productively, with all its regions as full participants," Harper said in a press release.

"It is essential that Canada's governments work together, in a spirit of open federalism, to ensure the right conditions for Canada's economic success."

While gathering before the meeting, the premiers collectively said the informal meeting wouldn't be enough.

Friday afternoon, the premiers held a 90-minute strategy session to discuss how to keep the focus on economic issues. Many believed that the prime minister was hoping to turn the conversation toward senate reform.

But after the meeting, premiers said the discussion over that issue lasted no more than five minutes.

Earlier, critics of Harper's aid package said it was nothing more than an election platform. If opposition parties vote down the budget, the government would fall and an election would be called.

Finance Minister Jim Flaherty said that the timing behind the package would not change.

"We are a democracy ... this is not a dictatorship. We must have parliamentary approval to spend money," Flaherty said. "It's a money item and we do money items in budget bills."

Bloc Quebecois Leader Gilles Duceppe said Friday that the House of Commons should be immediately recalled to deal with the new budget proposal.

Comments are now closed for this story

Stephen B
said

The time has come for the tax and spend Liberals of Ontario to start cutting some of the fat from government instead of begging other levels of government to pay their bills. Ontario is now 162 billion dollars in debt and we will be paying it off for ever.

McGuinty stop spending my money!!!!!!!!!!!



puddin and pie
said

Agreed, that debt is a drain on provincial revenue resources.


Lina
said

The government should not be spending taxpayers' money on industry - that is the responsibility of the private sector. If their businesses are no longer profitable to them, well then that's unfortunate, but that is a reality of operating a business.


Ralph
said

"First ministers to make demands at dinner with PM"

What, the usual 2nd & 3rd helpings?


Bruce
said

I could not agree more.
Please stop racking up a debt that will eventually cripple the province of Ontario!


Frank @ Toronto
said

Dalton McGunity has a great financial management record. During his first term, Dalton and his teams has been working so hard to reduce the deficit from the previous government, Mike Harris and Erin Eves. His goal was achieved!

But, federal government, specifically Harper has refused to help to fix the problem that has been facing in Ontario, which our economy sector is mainly focused on the manfacturing sectors and especially to Toronto's economy! I will not vote for Harper and his new government!!!


J-F (Ottawa)
said

I was going to comment, but Ralph summed it up exactly. No further words are needed.


31 Delta
said

I don't think the Ontario Liberals necessarily need to cut the government fat, rather spend the tax ayers dollars more where it is needed rather than spending without much priority.


PBW
said

I agree that there should be limited government help for inefficient industries. If an industry is not competitive, or is producing goods that the public does not want (for example the gas-guzzlers produced by the Big Three), then it should change.

Frank @ Toronto should also remember his history: the West was discouraged from developing manufacturing industies by the Crow Rate of rail transportation fees that was vociferopusly supported by Easterners. That rate gave low rates for shipping raw materials out of the prairies and low rates for manufactured goods going to the prairies. That rate was a counter incentive for the rest of the country diversifying, all to the benefit of Ontario.

If that province is now the victim of an undiversified economy, it should blame its leaders of the past!


Stephen B
said

Dalton McGuinty and his government have only added to the deficit.

We have not had a balance budget in Ontario since Mike Harris.

Frank @ Toronto’s statement that McGuinty has been working hard at reducing the deficit is incorrect.



Fool
said

People are never happy. They want more, more, more. It doesn't look like Alberta or Manitoba are complaining. But I have to agree with the Saskatchewan Premiere on one thing; they need better infrastructure - their roads are horrendous. What I am scared of here in Alberta is the fact that half of the East Coast and Ontario are here bringing their Liberal votes here. Lets hope in the Alberta election this spring that the Fiberals stay at home, or Alberta is ruined. TAX AND SPEND TAX AND SPEND!!!


Cudjoe Peters
said

The government should care about the people and listen to their cry. Family day is not all, what about the impoverished society?


Scott Hobbs
said

Frank, you obviously aren't on planet Earth, but if you were I would tell you that you are grossly mistaken about McGuinty's alleged fiscal management skills. You first of all mention the "deficit from the previous government". This is a misconstrued statement. There was in fact only a one year deficit due to the blackout and SARS. There was no other fiscal shortfall inherited from the Harris government.


Doug
said

Well,here we go again with all the Premiers showing up cap in hand.I expect this is why our country sees so little progress on anything.
As a westerner,I can only thank the voters of Ontario for electing Dalton McGuinty.Had you not done that,I'm afraid we would have seen him in the federal parliament.He's yours,and you're welcome to him.
Sadly,with such a diverse country,the reality is also greatly emphasized regional differences.And,with all the premiers out to represent their own jurisdictions,there will be no concensus.It will end,as always,as a "dog eat dog" fight about how to divide up the resources of Canada.
Even Trudeau once asked "who speaks for Canada"? Without some serious reform about HOW we govern our country,I expect the answer will always be "nobody".And that will not change simply by sending another party to sit in Parliament and do the same things,in the same way we always have.Doing that guarantees we will always have a regionally divided Canada,with citizens in the east constantly whining about citizens in the west.And vice-versa.


Ralph
said

welcome to the Canadian buffet...All you can eat and stuff down your trowsers at one low price of bankruptcy. Come one come all, no one is refused and 2 seats for the price of one for all you disabled which is getting to be a very broad term in this nation:)


larry
said

What I don't see as useful or at all necessary in this story are the comments from the liberal senator and especially the former NDP leader. Neither of these people belong to political parties that have ever done anything proactive concerning the economy.
At least Harper is meeting with the Premiers to discuss the issues, so lets see what they come up with before being negative. Frankly though, I can't imagine what Harper can do to change the reality of this global economy, at this point in time.



Patricia
said

Until taxes are allotted more fairly and the provincial governments receive their fair share of the monies collected we will forever have deteriorating infrastructures in every province. Canada has become a third world country with deteriorating cities, dangerous rotted out roads and bridges,a dying economy, homelessness, poverty, etc. etc. Mr. Harper is a narrow minded zealot who can only view life through the eyes of the rich snd wealthy. In the States, there appears to be fresh winds blowing which will oust the neo con Bush whom Harper absolutely worships. The winds of change will blow to Canada too and re-establsh the fairness and compassion that Canadians feel for all our citizens. I just cannot decipher what has produced such mean and cruel people of the neo con faith, and Harper is currently leading the pack.


Gary
said

It's binge & purge time at the first ministers meeting. Saddle on up to the trough first ministers & fill yer gullets


Jack M.
said

It simply smacks of buying either a prolonged government or the next election. The approval of the funds in such a situation can be approved, with parliamentary support, well before the next budget. Such a ploy will backfire on the Conservatives.


Paul
said

It was the P-Cons who left Ontario in a mess. Common sense?? Yes according to Harris/Eves/Flaherty.

Canada is next!




bruno
said

To those that believe that the McGuinty government is racking up the debt, please visit the Ministry of Finance's website at http://www.fin.gov.on.ca/english/budget/ontariobudgets/2007/papers_all.html. You will notice that the budget has been in a surplus position for some time. It was Harris and some of his Con ministers (some of whom are in Ottawa now)that had mostly deficit budgets.

In terms of Ontario's economy, according to Statsca, only about`15%
of its jobs are in manufacturing. Ontario's economy is highly diversified. All one need do is look at Toronto and see how many people are employed there. How many work in factories? Not to many, most work in the service sector and the knowledge economy. Those people who are working in manufacturing and losing their jobs do need help. In terms of helping the auto sector, many jurisdictions around the world do offer support in order to keep or lure plants. This creates an unlevel playing field, so to level it, we should offer support as well.


DCR
said

hey Frank...
you have been living in that socialistic land way too long over there in Ontario. It IS NOT the government's resposibility to bail out companies. I am on my 4th career out here in the west!!! We never got a dime like poor poor Ontario. Absolutley absurd to think that it is the governments responsibility to bail out companys that are destined to go down anyways. You socialists think that the government is there to save you but you are so so wrong. Stand up and do what you have to do to make things work. We have done it out here..your turn! It makes me so angry at the thought of my tax dollars going to Ontario to train people. Train yourself..I did!


Tim T
said

I think Steven B needs to wake up. Harris promised to balance the budget, but in the end, failed.

Common, public knowledge.

McGuinty, has balanced the budget.

Holy smokes these people are allowed to vote???


Tim T
said

RE DCR.

Lots of industries get a helping hand from the government. Take, er, the oil industry for instance...

should we cut that off as of now?




hollinm
said

When will the premiers learn it is their jobs to run their provinces? If they want to subsidize their industries to save jobs have at it. However, use your own money. Tax the citizens of that province accordingly if that is what is necessary. Then let the citizens of the province decide if that is the best way to spend their tax dollars. Too often the premiers want someone other than themselves to blame for their own incompetence.


Justin - BOYCOTT ONTARIO CARS
said

The problem is people boycotting Liberal Cars, nobosdy wants to buy them.

In the last several elections the Liberals name call everyone and so does the Liberal Union leader in Ontario.

They should not be surprised we are not interested in doing business with them.


Tyrone - By Foreign
said

The Ontario Premier is just trying to blame is poor job on someone else.

The Ontario Premier is also trying to get his brother int the Dederal Governement re-elected.

The meeting at 24 Sussesx Drive is good so their is less grand standing by the failing leader of Ontario.

Canada economy is super but nobody will buy Onatrio car, and thats the Premiers fault not the Prime Ministers fault.

Think I will go test drive a car built by a non Liberal province. I have been insulted enough by the Liberals for wanting my kids to go to a safe school and have my son to date the opposite sex,


Greg
said

Charles Dickens summed it up neatly. "Please, Sir," replied Oliver, "I want some more."


Todd Hagar
said

The Billion Dollar Man,

All sounds good for sound bites and headlines but think about what the money is really all about? The loss of jobs, plants, homes, cars, money, families and lives.
What's a billion dollars going to do? Not one damn thing till the problem is faced. Free Trade no matter how great it is for the investor is a curse for anyone in manufacturing today. The tariff word or auto pact or legislated control of content volumes just seems to make the rich cry foul but it's the only way. If an imported TV set from China is $499 and the US or Canadian made one is $1500 - which one is anyone going to buy?
Now if you create your smoke screens - like that in the food indusry - process the food in foreign countries and then falsely represent your products as so called Canadian Made because you ship it in a Canadian box - must be outlawed.
So will the billion dollar man get his budget past? Not a hope in hell? But hey - we just sat on our fingers for 2 years of hell so who knows? These are times like no other.


FreakAlert
said

Here's what, and you may ridicule all you want. The banks are gonna go bust and the Bank of Canada(money of last resort) is gonna loan the government, not the banks, 10s of billions of dollars. More billions are gonna be forked over, without condition, because the figures and stats are here for an economic collapse.

So, back to politics, throw this back in Harper's face. Either way, money will in the coming months be going to communities and sectors all over Canada.

Finally, money is issued through debt and we all pay for it


Marty
said

You can pump money hand over fist into the auto sector but it will mean nothing unless people buy the product. That hasn't been happening and will not until the big three smarten up. As for McGinty, once again putting on a grandstand show. I guess it's easier to do that, than attempt to solve problems.


Dale Scarrow
said

Ontario and Quebec should get nothing.For years the western provinces have suffered with little or no help from Ottowa. Sometimes what goes around comes around..


Robert C
said

Once again, the Harper team will do anything to stay in control. This billion dollar promise being tied to having the opposition pass the budget and therefore support the Conservatives is political blackmail.


Caesar
said

The time has come for Canada. We have had a fantastic run economically, and a slow down is evident. We have been very fotunate and have reaped the rewards. Lets be "thankful" and be cautious with financial decisions going forward. I choose not to vote for the Conservative party because,they don't care about the average Canadian and will go above and beyone for Corporate Canada. I remember the economical nightware Ontarion was in when we had Conservative government. Vote Conservative means voting for a recession. I love Canada but, no a conservative Canada!


Jeanne
said

To those who don't know:

McGuinty had to tax all of us, to the tune of, I believe it was $900.00, each, in order to get his books in order, after the "Harris debacle". Harris left Ontario in a ton of debt, but McGuinty cleaned it up.

I totally agree with Catherine who said:

Mr. Harper is a narrow minded zealot who can only view life through the eyes of the rich and wealthy. In the States, there appears to be fresh winds blowing which will oust the neo con Bush whom Harper absolutely worships. The winds of change will blow to Canada too and re-establish the fairness and compassion that Canadians feel for all our citizens. I just cannot decipher what has produced such mean and cruel people of the neo con faith, and Harper is currently leading the pack.





Downey
said

People in Canada REALLY need to stop relying on the government (taxpayers). Do for yourself!!! I know, it's not your fault. You have been brought up in a nanny state and it's hard to turn things around the right way. If there are no jobs where you are, create your own, move, do whatever...just don't rely on the rest of the country to bail you out.


Ray Olson
said

I remember a Premier named Bob Rae who racked up a 10 billion dollar debt a few years ago. He is now running for the Libs, good luck Ontario.


Stop whining and spending McGuinty!!!!!!
said

McGuinty is a promise breaker and the voters of Ontario voted him a whopping majority! They must like burdening their future family members with the bill. Amazing Ontarians or should I say Torontonians, they sure know how to do it right!


Jim McB
said

Provincial infrastructure is deteriorating because for over a decade the federal government under the Liberals had to diminish the defecit. They did that by increasing taxes, downloading to the provinces and by other questionable manoevers like taking $40 Billion from the Military and RCMP peansion funds. That said, they did accomplish the task and put us in surplus. That is why all your left wing social handout and solicitor perpetual endowment fund programs went down the tubes. Now the government wants to help industry through a rough patch so that jobs (not handouts) can be maintained and to my mind that is exactly what is required. Patricia there is nothing neocon or pro American in this scenario that should attract the venom of your words.

I have to chuckle at the media headline - imagine federal government spending being linked to a budget; how strange can it get.


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