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Thursday, March 27, 2008

Prime Minister Harper and Premier McGuinty announce three new federal-provincial initiatives

OTTAWA, March 27 /CNW/ - Prime Minister Stephen Harper and Ontario Premier Dalton McGuinty today announced three important initiatives that will support provincial programs that provide assistance for workers and communities who have been negatively affected by the rapid appreciation in the Canadian dollar, softening in the US economy, high oil prices, and intense competition from emerging economies, as well as support for public transit and policing.

"Our Government is committed to the federalism of openness, an approach to federal-provincial relations that relies on respect for jurisdiction and productive collaboration to get things done for Canadians," Prime Minister Harper said. "These three initiatives contribute to Ontario's competitive strengths and support the Ontario Government's efforts by investing in workers and communities. Our Governments have collaborated on a number of projects that have delivered real, direct benefits to Ontarians during the last two years."

"Ontario has a five-point economic plan that will grow the economy by investing in our people, communities and infrastructure and further strengthen Ontario's international competitiveness. Our plan will continue to reduce taxes while investing in innovation and forming key economic partnerships, stimulating investment and job growth," said Premier McGuinty. "These federal initiatives will provide support for our efforts as the Ontario economy adjusts to new challenges in the global economy."

The Community Development Trust will provide Ontario with $358 million to support programs that improve productivity and competitiveness, technology development and training for workers and communities facing challenges in industries such as agriculture, forestry, and manufacturing, including automotive manufacturers.

The Police Officers Recruitment Fund allocated to Ontario is its share of the national Fund. Over the next five years, the province will receive $156 million to improve public safety and security by putting more officers on the streets of Ontario's cities and towns.

The Public Transit Capital Trust expands on existing federal support for public transit in Ontario by providing $195 million in new funding. The province will direct the funds into its ambitious plans for expanding public transit, including its MoveOntario 2020 transit plan.

"I want to congratulate Premier McGuinty and his Government for developing programs that will use these federal funds to strengthen the Ontario economy, improve public safety, and expand the public transit system," said Prime Minister Harper. "Working together, our governments are getting things done for all Ontarians."

Backgrounder

COMMUNITY DEVELOPMENT TRUST

This Community Development Trust Fund will support a three-year plan for transition, skills training and new job opportunities for workers who are being negatively impacted by the collapse of the U.S. housing market, the lower U.S. dollar, increasing foreign competition and other circumstances that are now challenging certain sectors of the Ontario economy.

Ontario's $358-million share of the Trust will be used for programs to support improved productivity and competitiveness, technology development, and training for affected workers and communities in agriculture, forestry, and manufacturing (including the automotive sector). Initiatives will include new skills training centres to provide up-to-date training for Ontario students and unemployed workers who require skills upgrading. Specific measures will be undertaken to help communities in northwestern Ontario which have been hard hit by layoffs in the forestry sector.

The Province will consult on the best ways to apply and leverage the new funding for maximum benefit to Ontario workers. The new federal funding is intended to support these specific priorities over several years.

PUBLIC TRANSIT CAPITAL TRUST 2008

Public transit plays an important role in easing traffic congestion in urban areas and contributing to cleaner air and lower greenhouse gas emissions. In Budget 2006, the Government of Canada set aside $1.3 billion in support of public transit infrastructure and introduced a new tax credit for public transit passes.

Budget 2008 set aside up to $500 million in 2007-08 to be paid into a third-party trust, allocated on a per capita basis, for public transit infrastructure such as rapid transit, rail, transit buses, and high occupancy vehicle and bicycle lanes. Provinces and territories are encouraged to report publicly on the expenditures financed and outcomes achieved.

Between 2005 and 2010, the Ontario government and its partners will invest more than $30 billion in public infrastructure. Ontario is expected to announce further progress on this goal by making additional significant investments in public transit infrastructure supported, in part, by $195 million from the federal Public Transit Capital Trust. Among these will be a commitment to initiate a feasibility study for a Peterborough commuter rail line, accelerate the extension of the GO Transit line from Lakeshore East to Bowmanville, and to launch a regular GO bus service to Peterborough.

POLICE OFFICERS RECRUITMENT FUND

A paramount responsibility of government is to protect its citizens' rights to safety and security. The Government of Canada takes this responsibility seriously, and in Budget 2008 provided funding to provinces and territories to support them in recruiting 2,500 new front-line police officers.

Under the federal government's national effort to recruit 2,500 police officers across the country over the next five years, Ontario will receive $156 million from the new Police Officers Recruitment Fund. This funding will help the Province increase the number of police officers in Ontario and is a first step to help build on the Province's strategies to address top public safety priorities.

Provincial and territorial governments are encouraged to report directly to their residents on the expenditures financed and outcomes achieved with the funding provided through the Police Officers Recruitment Fund.
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