The Conservative government last week added more than $93 million to the Agriculture Canada budget for this fiscal year, bringing total expected 2008-09 spending to $3.668 billion.
The additional spending authority requested Nov. 24 includes more money for salaries, capital expenditures and programs such as the breeding swine cull program.
Then days later, finance minister Jim Flaherty used a sombre economic update report to signal that because of a worsening economy and a looming federal deficit, all departments will have to trim their spending.
“The government has been reviewing all departmental program spending. The government already examined department spending of $13.6 billion in 2007 and is examining $25 billion in program spending this year.”
Read Also
Man charged after assault at grain elevator
RCMP have charged a 51-year-old Weyburn man after an altercation at the Pioneer elevator at Corinne, Sask. July 22.
Sell real estate
Flaherty also said the government will consider selling more publicly owned real estate as a way to raise money and to offset declining tax revenues in a contracting economy.
“The review will take a careful approach to the sale of any asset, considering market conditions and ensuring fair value can be realized for the benefit of taxpayers.”
He said crown corporation assets will be included although this will not affect Agriculture Canada since the government already has sold the department’s new head office in Ottawa that had been acquired several years ago. The government is leasing it back to house Agriculture Canada and the Canadian Food Inspection Agency.
Opposition critics attacked Flaherty’s statement for offering no new spending to help the floundering economy, for claiming it is running a surplus when most economists believe there is a deficit and for planning to sell valuable real estate when market values are crashing.
“Most disturbing, in order to hide the new Conservative deficit, the Conservatives are preparing to sell off an imaginary list of government assets,” Liberal finance critic Scott Brison said. “They are preparing to sell in a buyers market.”
