Editorial Monday, October 13, 1997 John Todd's balancing act Minister of Finance John Todd said he was going to do it and he did. The territories are looking at a balanced budget for the first time in four years. He can take the credit for that, because it was his energy and persistence and sometimes sheer bull-headedness that kept the budget under control. Todd can also take the credit for the anticipated surplus that could be as much as $9 million by the end of the 1997/98 fiscal year. It isn't that often that we get the opportunity to congratulate a politician for delivering the goods as promised. And John Todd has done that. Now, like his federal counterpart, Paul Martin, Todd faces the question of what to do with the money. There is a price to pay for a balanced budget. Cuts in government spending have had an impact all across the territories; in schools, hospitals, health care and myriad other government services. With the announcement of a possible budget surplus, there will be demands for the restoration of services from every quarter. On the other side of the fence, fiscal conservatives will be looking to Todd to start to pay down the accumulated deficit, which was $41 million in the 1996/97. Certainly $9 million would make significant dent in the deficit. It is hard to argue against the apparent common sense of paying back the money that you owe. But there is an argument. Like a family household, a government often operates with a deficit in the background. Like a household, a government sometimes carries a debtload in order to pay for the things that it needs to accommodate its members appropriately. Few families would live in a house without carrying a mortgage. The current cabinet is going to have to weigh the options carefully. John Todd has shown he has the will and the political skill to balance the budget. Now his skills will really be put to the test. Employees of the GNWT are allowed to keep the bonus points that they accumulate while flying on government business. This is travel they are doing at public expense. While we wouldn't want to deny our civil service the occasional perk, these bonus points might be put to better use if they went towards alleviating the staggering costs of travel for necessary services or emergencies. That way we could all benefit from the perk we paid for. |