Maritime premiers will be working toward a common national position on federal-provincial fiscal matters at the National Premiers' Conference scheduled for February 3.
Meeting today in Charlottetown, Premiers Binns, Lord, and Hamm agreed on common positions regarding Canada Health and Social Transfer (CHST) funding and the Equalization Program.
Reiterating previous messages of Maritime/Atlantic premiers and finance ministers, premiers again call on the federal government in its upcoming budget to meet the priorities of Canadians by fully restoring the Canada Health and Social Transfer (CHST) funding to the 1994-95 level by 2000-01. This would result in approximately $4 billion more per year for social programs such as health and education. Premiers also called for the introduction of an appropriate escalator for the CHST cash transfer in order to secure adequate, growing funding that will sustain provincial social programs to meet the needs of Canadians.
All three premiers agreed that a stronger Equalization Program is essential. "Stronger equalization will ensure that the Maritime provinces will be able to provide our citizens with social programs comparable to those in other provinces at tax rates that do not destroy our competitiveness and ability to grow economically."
Premiers call upon the federal government to eliminate the cap on the Equalization Program and to move to a 10 province standard and more comprehensive revenue coverage. Placing a cap on the Program represents a direct threat on the ability of the Program to function as required by the Canadian Constitution to compensate poorer provinces for inadequate revenue resources.
Premiers also discussed the farm income crisis, a topic which is on the agenda of the February national premiers' meeting. Atlantic premiers expressed concern for farmers facing crisis and are hopeful that program and funding arrangements will soon be concluded.
For more information, contact Kim Thomson, Information Officer, Council of Maritime Premiers at (902) 424-7590 (phone), (902) 424-8976 (fax), or by e-mail: kthomson@cmp.ca