Russell Disappointed in Williams Government Stimulus Package

LABRADOR, February 18, 2009 — Labrador MP Todd Russell today expressed his disappointment in the Williams Government’s re-announcement of a number of provincial government capital projects in Labrador.

“While it is always good to see the province re-invest public revenues in Labrador, a region of the province which contributes well above its fair share to the provincial treasury, the announcements today are mostly a re-hash of past spending promises, going back years, with only vague commitments to actually begin much of the work.”

Russell says that the whole point of government stimulus is to actually spend new money, and quickly, in order to generate economic activity.

“It is well and fine that, as the press release says, ‘money has been allocated’ for three schools, or that Nalcor ‘will allocate’ funding for a Newfoundland and Labrador Hydro office and warehouse. But allocating funding is not the same thing as actually spending the money or employing people on public works.”

The Labrador MP also expressed his disappointment that much or even most of the money is recycled from past funding announcements.

“The provincial press release today repeatedly uses the phrase ‘new and ongoing’ to describe projects and funding. This alone is enough to raise red flags about recycling past funding announcements and supposed commitments. But when you actually go back and compare, it’s very clear that little, if any, of the funding is actually new provincial money for new projects. Even much of the old money is federal.”

“The pre-trial detention facility was announced in the budget last year. The three schools for Port Hope Simpson, L’anse au Loup, and Happy Valley-Goose Bay were announced in 2007. The Labrador West health centre and College of the North Atlantic Campus pledges go back as far as 2006. Municipal residents and leaders should hope that Municipal capital works projects would have been funded anyway. And a large portion of the Trans-Labrador Highway funding seems to have been money carried over from last year.”

“Announcing, re-announcing, and re-re-announcing money, and flying Ministers around the province for photo-ops, are not doing much to stimulate the economy. Media events will do nothing to provide the people of Labrador with vital public services and infrastructure. We need shovels in the ground and hammers swinging, not more announcements.”

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Todd Russell, MP

Labrador

(613) 996-4630