charts that referred to a percent of the Gross Domes-
tic Product, but nothing in real numbers.

He then quoted a few sentences that made little
sense, and finally carne up with this: the deficit, that
was supposed to be reduced, rose to $26.8 billion in
the first nine months of the fiscal year and now
stands at sumething around $28 billion. But, there is
the matter an extra $3.9 billion the Conservatives
borrowed, which in effect is a deferment, that would
realistically set the deficit closer to $32 billion. His
final conclusion: "They haven’t actually released the
figures."

But weren't GST revenues supposed to reduce
the deficit? In reality, says Fulton, it worked more
like this: a total of $16.7 billion was collected in GST
but $6.6 billion of it was eaten up in administration
costs. In addition, he says, Canadian corporations list
their GST expenses at around $6 billion, so in effect,
the government lost $12.6 billion to collect the $16
billion.

And how much would the federal revenue have
been if we had kept the old Federal Sales Tax and
scrapped the GST idea? According to Fulton, around
$12 to $13 billion... without all those additional costs.

"The Tories, who are constantly patting them-
selves on the back for supposedly controlling the
debt," says Fulton, “have to now face up to the fact
that in this budget it’s quite clear that the national
debt in this country has more than doubled while
Brian Mulroney has been Prime Minister.’

Listed under the emotional category are changes
that will bite into the budgets of common-law
couples. Collectively it will cost them $180 million
more in taxes in the first year, says Fulton, and
about a billion dollars in taxes in the next five.
Fulton predicts this revelation will probably create
equal amounts of happiness and unhappiness in the
country.

Other items on Fulton’s federal budget hit list
include the abandonment of a national child care
program in favour of questionable child care tax
breaks. Low income families will continue to carry
the bulk of the federal financial load while the rich
take advantage of loopholes an deferments. The
"billion dollar free lunch program" for corporate
executives has again survived unscathed. This "free
lunch program", he explains, consists of legal write-
offs for lunch, dinner and even champagne and
"escorts".

How would Fulton done things differently if the
1992/98 federal budget had been his to write? "Num-
ber one,” he says, "I would have fired the governor of
the Bank of Canada. John Crow would have flown
the coop, and I would have brought in someone who
was sensitive to areas outside Central Canada.
Dollar and interest policies have been run entirely
for the benefit of a very small group of very wealthy
people who live in Central Canada."

REGIONAL DISTRICT
LOOKS FOR ADVICE

Unsure of the potential impact of aboriginal land
claims in the Northwest, the Kitimat-Stikine regional
board has requested a meeting with non-Nisga’a land
claims negotiators. According to Hazelton director
Pete Weeber, "We need to seek out ways to become
more familiar with the negotiating process." Board
chairman Bob Cooper agrees. "We'd be in better
shape if we did," he said during a recent regional
board meeting.

Ken Vance, policy analyst for the Union of
British Columbia Municipalities, directed attention
towards the Nisga’a land claims issue in a letter to
the regional board. "The only comprehensive land
claim currently under negotiation is the Nisga’a land
claim,” wrote Vance, "and it is expected that at some
point in the near future there will be announcements
regarding the status of the negotiations on this land
claim."

Vance suggests that the Regional District of
Kitimat-Stikine may want to "develop a working
relationship with the Nisga’a Tribal council" ifit was
felt a settlement would affect the entire region.
Notable points raised by Vance are interim measures
prior to a settlement, resource management, services

FREEDOM
TO READ

FREEDOM TO READ WEEK
FEBRUARY 24 - MARCH 2 1992

tds

Terrace Teachers Union ie}

Terrace Review — February 28, 1992