+
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eo.

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r

Tourism

As the third largest industry: in the ‘province,

_ Would seem logical that all agencies connected with
‘tourism would be interested in thé most efficient : the local
promotion for the good of the entire industry. Instead,
it-appears discord between the Yellowhead. Traye]
-Assoclation and the Kitimat-Stikine Regional District
has threatened the development of a new tourism

cote

Work progresses on the new

. a4 este tan ame rr
LEGISLATIVE LIBRARY,
. PARLIAMENT BUILDINGS,
VECTOREA, B.C,

bécomes scrap

it .

COMP. 77/78

aed

#61 J

bone in dogfight

association that could improve tourist promotion in promotes tourism from the
area,

Atkins said in a telephone interview that the

Queen Charlottes to the’ ministry of travel industry cannot play a part in in-

He

Skeena

Health Unit. See page 5 for more details

' Yellowhead Association, the existing group which

cs

formed, a new

OTTAWA (CP)

— RCMP wrongdoing for an
interim report, 0
The government no longer
thinks it would be beneficial
to ask for such a report from
the. commission, which has
in, business: for two
__years and may not enmoplete

Alcan celebrates
this Saturday

_-Alean’s 26th anniversary celebrations beging
Saturday with an expanded tour of the Kitimat
smelter for the public and press, ;
| ‘The first tour starts at 10a.m, at Bgate. Guests will
Your the control room in building 205 and the rectifier
building on foot before boarding buses for a drive
} the switch yard.and wharf areas.
. ‘Tours. are continuous from 10 a.m. to 4 p.m. with
‘buses leaving loading areas as soon as they are filled.
“Visitors will travel by foot as well as by bus so
sensible walking shoes should be worn.
_ Hang Larsen of Alcan’s public relations department
warns that people with cardiac pacemakers should not
enter the pot lines or the rectifier building,
“Cameras and watches which can also be affected
by magnetism should be left at home or locked in
automobiles,’' Larsen said,
The company expects that about 3,000 people will
turn up for the tours.

Millions lost

OTTAWA (CP) — Income for Multipte Unlt Residential
tax shelters designed to

Ss. It suggests that
stimulate construction of the plan be altered to ensure
have cost the, they operate in tandem with

the over-all aims of gov-
ernment housing policy,
it also suggesta that profits
on bale of a principal
residence. should be taxed
unless the money is rein-
veated in another home or
used for retirement income.
It estimates annual loss of
tax revenue from this source
alone at: $1.4 billion,
MURBs, introduced in
1074, allow persons with a
minimum of $5,000 to invest
in a share of a large apart:
ment and write off paper
Josses on ihe project for a 10-
. year period,
They are particularly
attractive to high-income
investors becausa they allow
a writeoff of losses against

quastlodable benefits

le , SAYS a

report by the Canadian

Couneil on Soclal
ent,

‘The report says the tax
shelters — which allow
avoidance or reductions In
waive big beatin ace
=—give ts to =
ine ens bt
ensure mn of housing
for senior ed and low-
income families who need it

| Glark backs down on.

its work until late next year,

Lawrence sald in an in-

terview. But he added he has :

not made a final decision.
On related subjects, Law-
rence said: -

—The cabinet has taken no -

steps to fulfill Clark's
campaign promise to in-
troduce a bill allowing the.
RCMP to open private mail,

—The Progressive Con-
sarvatives. have reversed a
position they. held in Op-
Position and no . think
a judge should be allowed to
review a solicitorgeneral's

lion to issue a mail-
opening warrant in national
security cases,

Although cabinet
ministers think Mounties
should have more civil
liberties within the force, the
government is in no hurry to
relntroduee a Liberal
government bill that would
have modernized internal
RCMP discipline.

When Clark said during
the campaign for the May 22
election he would ask the
royal commission, headed
by Mr. Justice David C,
McDonald, for an interim
report, the Conservatives
had no idea how much work
the commission had already
done, Lawrence said.

in income

income from all sources, not
just against rental income
from the project,

‘The council report
estimates the deductions
Cost the government §60
million in lost ‘revenue -in
1978.
’ Often the eo never
sees the project — usually
built by a large developer
and operated by a
management firm.

“ built

are

with a view towards
maximizing the short-term
tax aspects of the in-
veatment,” the report says,
It says investors ara en-
couraged to withdraw thelr
money when the tax writeoft
ia 8ed up after 10 years.

That could mean
refinancing of the project
would be required after the
1}-year period al higher cost,

:\with the -three com-
missioners earlier this
month, Lawrence said they
could aot add much to public
teatimony,: which ° has

security fervice ‘llegally
opened mail, stole dynamite,
burned a barn, broke into
homes and office bulldings
and stole Parti Quebecois
membership lists.
Lawrence sald he ia inter-

ink .ested in the commission’s

recommendations, and it has
not considered that area yet,
Public hearings have been
adjourned ‘until the fall.
arate we aon also is
pre ig & report on the
Official Secrets Act, which
must be amended if the
government goes ahead with
Plans to give citizens greater
access’ to government in-
formation. ‘ .
Clark has given his highes
priority to freedom of in-
formation legislation when
Parliament convenes Oct. 9.
wrence said cabinet has
mot yet discussed legistation
to allow the RCMP to open
mail, as the force has beer
doing illegally for 40 years,
“T don't think there’s any
question that a means has to
be found to enable law en-

The tenants would have to

pay these costs with higher -

rents, th

It asaya ey also encourage
absentee landlord operations _
and ne government seems
to have had surprising lack
of control over the "
location and quality of
MURB projects,”

The report also recom-
mends that profits made on
‘the sale of an owner-
occupied home should also
be taxed unless the money ia
reinvested in another house
or Lavested to provide a farm
of pension Income,

This latter provision would
allow the elderly to avoid
paying tax on sale of a home
if the money were used ‘to
provide retirement. income.
However, to quality for this,
it should be established that
the elderly person does not

revealed that the RCMP

RCMP report

After a lengthy meeting

forcement. agencies to open
mai] in certain restricted
cases," the solicitor-general
‘said, “We are grappling with
the fairest way.” .

and the New Democrats
‘opposed a Liberal. govern:
ment bill introduced in the
_ last Parliament to legalize
mail opening in drug in-
vestigations and cases of na-
tional security, ”

Conservatives said the bill:
denied civil liberties because
a judge could: not review a
solicitor-general’s decision

to issue warrants for mail.

ing in cases of natlonal
security. (Applications for
warrants in drug cases
would go through regular
courts).

But now that he is the man
who would Issue national-
security warrants,

assoctation must be organized.

Both the Conservatives -

OTTAWA (CP) —The new
government will appeal to

the measures in the Nov. 16
Liberal budget as quickly as
possible eo it can get-on with
its own economic .
Finance Minister John
Crosbie said Thursday,

Although the budget was
. Dever approved by the Com-
mona, Most business affairs
‘were conducted in the belief
that the tax reductions and
other ¢ eS announced by
former finance minister
Jean Chretien would become
law. oe

Nevertheless an at-

mopshere of uncertainty
” de d when it became
clear: that the. fall budget
would not become law before

“Si goverment hi ea
¢Hiotce but to enatt many of |

the key measures of ‘the
Liberal. bidget since they
have already been im-
Plemented, Crosbie said.

The -only
Liberal program the new
government does not intend
to adopt is the doubling of
airport taxes which Chretien
Proposed to implement
March $1.

never increased thé air
transportation tax -to a
maximum of $15 (from the
current $8) as they planned,

The measure proved
unpopular and the goin
postponed it twice, sa
they ‘would not increase the .
tax without Parliament's
‘endorsement,

The main measures the
Conservative government
intends to enact as soon as -
possible are:

Reduction of the the
federal sales tax to nine per
cent from the 12 per cent
Which prevailed prior: to
November.

Lawrence-said he no longer ©

believes
general’s actlons should be
scrutinized by a judge.

Lawrence said the govern-
Ment won't nec walt

for the McDonald ecom-" '

mission to make its final
report before changing
discipline procedures in the
RCMP.

-tax shelters

have other substantial
assets, the Tt says.

The council says lack af
taxes on houses means that
homeowners are getting a
tax break over renters and
the largeat percentage of
renters are those in the
lowest income brackets.

But even among
homeowners, those in the
highest income-tax brackets
tend to benefit most from the
lack of tax on the profits of a
sale, the report saya. Higher-
Income homeowners own
More expensive houses
mnich increase in value

Ttionately more.
Pit says the introductlon of
& plan promised by the Con-
servatlves to allow deduc-

tons for mortgage interest

will ‘add another tax ad-
vantage for homeowners at
the expense of renters.

the aolicitor- -

—Iherease in taxpayers’
employment expense
deduction to a maximum of
$500 from the previous $250,

-A cut in veomployment
insurance premiums paid by
workers to $1.36 from $150
per week for every $100 of
insurable earnings. The
employers rate was reduced
ta $1.89 from $2.10,

muroiewnone ets huttonholed

to make large profits by
buying me debentures
and preferred shares from
‘Heir clients.

—Tax incentives to en-
courage firms to Increase
in dhadeentaany eeate

vantaged regions.

One Liberal economic pro-
gram introduced after the

udget which the Con-
servativea also plan to im-
plement is a series of tarlif
changes allowing out-of-
Season fruita and vegetables
into Canada at reduced rates
of duty.

Tn the fall, however, when
Canadian prod

the market, a bitive
tarlif is imposed on toe
same agricultural goods,

“Tt ls important that this
legislation be passed as
quickly as possible by
Parliament before a new

budget ig introduced,”
Cros ie sald. ©

Parliament to pass most of .

Parliament .was' dissolyed’
forthe May 22 election, and
peshis hopes to clear thia up: "|: :

significant

However, the Liberals

; Alberta border, because the regional district felt thig ternal disputes within tourist regions, but said from

In an interview Wednesday, regional district ad- area was too large to be served by one association. the ministry's point of view if tourist regions are

ministrator John Pousette said the district: made an _ Bernie A , director of the B.C. Special Services realigned, proposals for new. regions must have the
initial decision to withdraw financial Support from the — branch,said in order for a new tourist region to be

Conservatives
want Liberal
budget passed

Cont'd page 3

CLARK

OTTAWA

(CP)

four years,

prea
ea:

be carried out over a

period of time when the

economy permits. and

when Croumstancea

t,he told reporters

oe his first formal news

‘, “Crosbie aid the only

” pa Fry can pealistically
introduced once it gets

vestigates the cir-

cumstances.

He gave no indication
how much of Clark's
Platform he intends to
incorporate into his first
budget, due in three
months, except to say
that the party's mortgage
interest plan will be in-
cluded, .

Liberal finance critic
‘Hérb Gray (Windsor

- news conference, said
Crosbie “has abandoned
the program that was the
basis of thelr election
cam 7
“All he has are pages of
figures. This is ao
desperate attempt to
evade the reality that the
Conservatives are not
Prepared to keep. their
lection promises,’*
Crosbie + was subjected
to repeated grilling from
reporters on his refusal to
guarantee that the tax
cuts, industrial incentives
and other goodies held out
by Clark in his bid to be
come prime minister
would be in his first.
budget.
He said he was not
convinced people voted
for Clark’s tax cuts, his
Stimulative deficit or his

PROMISES BUT...

but it might take three or

responsible course anew: takes in,
‘ ~ "Under these restraints, —
” he sald, a gung-Ho budget ~

into power and: ih-

- West) who attended the |

TO KEEP

economic program, They
voted against Trudeau
and the Liberals.
“Political partles keep
their promises as far a5
they can, but no political
party ever did everything
it promised in the first
year.” = .
He. said the govern-

ment’s room to
Manoeuvre is severely
restricted by the fact that
-it is feading toward a $7- .
‘billion deficit in {ts in-
ternational account and
the expectation that the
‘government will spend
$11.3 billion more. than it
takes. in, .

with large tax cuts and.
other spending ams
‘to’ ‘stimulative the
economy would be risky,
Tt probably would worsen
inflation and the coun-
try's deficit with the reat
mane warld by encour.

Peopue to buy im-
ported goods. The dollar
also could begin: slipping
if international investors
lost falth in the govern-
ment's ability ta manage
the economy wisely,

Crosbie was reminded
that Clark said, prior to
his election, that the

y Was prepared to

reage the government
deficit temporarily
-because this = was
essential to ‘get the
ecomomy moving,

“Conditions have
changed since we were
talking about a
stimulatlve deficit,” he
replied,

He Indicated that his
October budget would
contain some measures
designed to stimulate
depressed regions of
Canada and certain
sectors of the economy
such as the stagnant
housebuilding industry,
but these would be
balanced by increased
restrain In other areas,

Conservative MP

OTTAWA (CP) — Some
Progressive Conservative
MPs have found that winning
the May 22 election means
being buttonholed more
frequently by constituents
seeking everything from
sinall favors to miractes,

“I'm getting more calls
and requests for favora,"’
Harvie Andre (Calgary
Centre) said in an interview
this week. “They want me to
we my influence on the
prime minister,’ '

Stan Darling, from the
rural Ontarlo riding of Parry
SoundMuakoka, says: “A lot
of constituents now think
miracles can be performed,
That's not the case,''

Darling referred to con-
atituent pleas to change
regulations governing
umemployment — Insurance
benefits and to implement
the main Conservative
election promise — allowing

homeowners to deduct

mortgage interest and

property tax from taxable
ome.

“You take unem-
ployment,” Darling sald.
“Those regulations are in
effect until they are changed
by Parllament,” Changes
can take months of debate
before being Implemented.

Walter Dinsdale, from the
Manitoba riding of Brandon-
Souris, sald Western

power,

“I tind a great sense of
relief which has resulted In
oplimism now that Pierre
Trudeau is no longer prime
minister,” Dinsdale said ina
telephone interview from his
Brandon office,

Se ee :