Province estimates an operating
deficit of $395 million for 91/92

THE SOCIAL Credit government has introduced a record
$16.55 billion budget for B.C. for the 1991/92 fiscal sear,

Office. Editorial 985-2131

with an apparent operating deficit of $395 million,

Finance Minister John Jansen,
who bas heki the post for only
two weeks, unveiled the Social
Credit. gosernment’s election-year
budget in the Legislature on
Tuesday.

It shows no cuts in government
services, am EL"e increase in
spending for health, education
and social services, a 1% rise in
the corporate income tax rate, und
higher tax peralries for smokers
and high-wage earners.

In addition, Medical Services
Plan rates will rise 54 per month
for singles, $7 for couples and $8
for families.

Jansen told the
budget would allow B.CL “ta
avoid the layoffs, wage freedes
and deep program cuts which have
been introduced in other pro-
vinees. 7"

The budget describes the $9,7-
billion deficit of Ontario's NDP
government as oa *'fiscal horror
story) that will hurt BoC by dris-
ing up interest rates,

ft also blasts Ottawa “her mith -
ing things worse bs oft-luading
the responsibility ter tuning
sucka programs," and for cutumg
provincial transfer payments.

“Excessive tederal spending and
borrowing have damaged our
cooneruy. Thes hase fuelled hich
interest fates thar wilh keep the
Canadian dollar high,  haruaiy,
our expercters and Ping to up us
wat othe current recession said

House the

Jansen.
Anticipated ineome for fast seas
was S242 million below the
1990-94 forecast by the govern.
ment, with resuuree and tasation
reserdes lower than expected
Mones-raising initiatives in the
new budget will Hit bigh-wiee
cdiners. corperations, health-care
uers and smokers with:
2A Tio hike, to PSte. ot the:
crab Corporate ineOMme-tUN rate,
trogetpee te demu. bl) Tedbl opie
jected tor raise an extra $33 nit
lion.
eA PGT) tormpe
game sudtas Tor
payers. Et kicks
ae WSO tad at

Personal on

FIT OITG Sa
rday ide
Sa ioe

eo famifeoot fea:

csented. Proie

end ones da Bataneest busdps:
H

rom pho seta!

wotcdew in SISP
rhopor sineles ffrer
igs (tram

tor qaupie
and Ss hero t
ne STO)
see: S28 mulled,
eiftective todas. a
fetfes imereases

Provoctes

By John Pifer

Contnbutiny Writer

cents, and loase tobacco pisces by
one cent per vram. Projected: tes.
enue increase: S7S millious.

The government also
an additional $26 million in om.
creased fees for ity sersices fees
that fiave risen steadily Chrowgh
the last four vears.

Government revenues
break down into:

e taxation: S8% oof ab ioe
derives from tases, iuctuding per-
senal income tax, social services,
corparation income tay and
others:

© 16% comes
fees;

eis) will come trom
government contributions;
8% is expected trom
PeSOUTERS |
eand the
come trom
prises.

Casts tor the three prune
ministries Of guserament  —
health, education and savial ser-
vices -— will represent 7H" e af the
total budget, or SLY tilion tor
the 816.55 hillion esate,

Jensen's budget estiniites for
the 199} 92 fiscal vear project a
SS 4-billion expenditure for health
dup Pi ox, S405 bition for eefuca-
don tap 7. and STYS billion
for soci services Gap [30a

Osendh  voesermuent spending
will tise So + the gmanimum
allowed under former premier Bill
Vander Zabivs Taspaser Protes-
tion Act which was missed this
spring.

Jansen says the $398 sation
dudget shorrfall ts the dowest dete
eon Canada: and he sass the
roserninen! ~  camumitted

balinee books over a

Pravicets

overall

from. Hcettecs and
tederal

maeturt cel

remaining Ae ots re
PUNETETCIHE CHER:

ovedes ae toquired uniter Me
Phe Sovreds’ | abostt
weoktaied an bude: des

aise HmMits sper

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WEDNESDAY

Songwriter/producer
- Robert Des Cotes

House production

Now spotlight: 26

68 pages 25

ae

NEWS photo Mike Wakelieid

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plete.

g over iG0 hundred hours to com-