The federal government last week hinted that if Saskatchewan came up with more farm aid money than is required under federal-provincial cost sharing rules, Ottawa would increase its spending as well.
“We’ve put that challenge to them in discussions and they have not commented on it yet,” federal agriculture minister Lyle Vanclief said Feb. 16.
Earlier in the House of Commons, prime minister Jean ChrŽtien appeared to make the same offer, although he was cut off by the speaker of the House before he could finish his sentence.
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He said Ottawa already has promised $1 billion over two years, with the provinces expected to contribute more than $600 million as their 40 percent share.
“The program is in place,” ChrŽtien told New Democratic Party leader Alexa McDonough. “If the provincial governments think they need something else or they want a different program, I already said that if they want to put money …”
His microphone was cut off because the answer was longer than House of Commons rules allow.
Vanclief confirmed later the prime minister was going to offer more funds if the province comes up with more money.
The federal government had refused to discuss increasing spending this year beyond $500 million in emergency disaster assistance. It has been engaged in a tug of war with Saskatchewan over whether the province will put up a 40 percent share.
But what if Saskatchewan gave in to pressure from demonstrating farmers and offered to chip in more than its 40 percent? Would Ottawa also up the ante?
“We’ll talk if they want to talk, yes,” said the minister. “But first, they have to put up their 40 percent and they haven’t been too willing to indicate that yet. They have to find that first.”
Bob Thomas, vice-president of the Saskatchewan Rally Group, said in an interview that after meetings last week with finance department officials and various MPs, he is convinced Ottawa would dig deeper if Saskatchewan did.
The group has asked Saskatchewan for $434 million this year. “I believe if the province did that, we could see up to $2.5 billion coming from Ottawa.”
Federal officials later dismissed that number as far-fetched but hinted some money might be made available.
