$23 million surplus, truck toll coming
Kevin Wilson
Northern News Services
Yellowknife (Feb 16/01) - "Well spoken, Joe," was the common response to Thursday's budget address by Finance Minister Joe Handley.
Handley pulled a surprise out of his budget goodie bag, announcing that a projected $13 million deficit for the last fiscal year had been transformed into a $23 million surplus.
 Joe Handley Read Handley's budget address online. |
With estimated 2001-2002 revenues of $792,802 million, Handley sported a brand new pair of "Made in Canada" Kodiak work boots and wearing a yellow rose in his lapel, Handley pledged that the NWT would soon be the "Texas of the North."
One item in the budget may end up hitting Northerners in the pocketbooks, though.
To finance $100 million in improvements to the NWT's existing highway system, Handley is proposing that tolls be imposed on commercial trucking activity in the NWT.
In an interview, Handley acknowledged that higher costs for transportation will raise the price of consumer goods in the territory.
"It will be passed on to consumers," he said.
The government plans to increase the territorial Cost of Living Tax Credit to offset higher prices. However, the credit will apply equally to all residents of the NWT, although the tolls will have a different cost of living impact on different regions. Handley said finance officials had calculated that a household in Inuvik would pay an extra $35.40 every year for consumer goods because of the tolls, while a household in Yellowknife would pay an extra $275.
"It would be a nightmare," to administer the credit program equitably across all regions.
Northerners who have been hit hard by the high cost of fuel will get some relief from Handley. Eligible homeowners who buy their own home heating fuel will receive a one time fuel rebate of $320. Eligible renters living in eligible apartments will receive $150. Eligibility will be determined by an income test.
