Province Législature Session Type de discours Date du discours Locuteur Fonction du locuteur Parti politique Nouveau-Brunswick 51e 4e Discours sur le Budget 2 avril 1991 M. Allan E. Maher Ministre des Finances PL Mr. Speaker, at the outset, I would like to thank you for your patience and fairness in presiding over the affairs of this Assembly. I know, by watching you, how successfully you have faced many unique challenges, especially with an Assembly drawn entirely from one political party. The 1991-92 budget is without question the most difficult one this government has had to formulate. In addition to severe federal cutbacks which have substantially reduced our revenues, a continent wide recession has also lowered tax revenues and added to the spending side of the ledger. Our initial projections for 1991-92 indicated a deficit on the Ordinary Account exceeding $22S million unless corrective measures were adopted. Last winter, the government met with school board and hospital board officials and the Medical Society to review this outlook and seek their input in addressing the situation. As well, numerous presentations were made to business groups and other organizations throughout New Brunswick. Extensive and, I may point out, very valuable public consultations have been held involving hundreds of people across the province to obtain their suggestions on choices the government should make in preparing the budget. New Brunswickers have made it absolutely clear that they understand our financial reality and they understand that difficult choices have to be made. They also recognize that by acting decisively and responsibly today, New Brunswick will be in a much better situation when the national economy recovers from the current recession. Mr. Speaker, after these various consultations and after many hours of deliberation by Cabinet ministers and senior government officials, our government has concluded that the proper course of action is to immediately tackle our financial problems in the 1991-92 budget. In keeping with the overwhelming recommendation from New Brunswickers to act responsibly and decisively, I am pleased to announce that this budget provides for a $1.1 million surplus on the Ordinary Account in 1991-92. This represents an improvement of $225 million over a do-nothing budget. To those who followed public input to our prebudget consultations, it will come as no surprise that this was achieved primarily by curbing the growth in government spending. In previous budgets, the government provided funds for new measures because they were important to the economic and social well-being of New Brunswickers. In this temporarily slow growth year, it is equally essential that we keep the longer term objectives in mind and that we continue progress toward a better, stronger New Brunswick. This budget strikes a balance between investments and services that New Brunswickers want now and investments that must be made to ensure future prosperity. It provides funds for new initiatives that cannot wait. It provides funds to continue and, in some cases, expand on services that we provide to our citizens, and it reflects our commitment to economic growth and job creation. In planning this budget, the issue of fairness was always uppermost in the government's mind. We believe that fairness demanded that the province's political leadership lead by example. We believe that the security and benefits enjoyed by the public service demanded that they participate in this f1Scal exercise. We believe that taxpayers must be spared any additional tax burden and that the selected revenue measures employed be targeted only at the wealthiest individuals and corporations. Since assuming office, the government has largely implemented its Agenda for Change, including a commitment to responsible financial management. By paring overhead costs and cutting back on lower priority areas of spending, the government has provided additional funds to develop our economy and create jobs, and it budgeted for surpluses on the Ordinary Account in its first three budgets. Through our balanced fiscal approach over the past three years, millions of dollars, which otherwise would have been required to cover increased debt charges, have been available to provide New Brunswickers with more and better public services. This additional funding has been used to ensure that our people have the education and job skills that will be needed for New Brunswick to compete in the 19908 and beyond; the provincial social safety net has been strengthened; efforts to protect and enhance the environment have been expanded; major new investments and improvements have been made in our transportation network; over 21 000 new jobs have been created since 1987, and funds have also been provided to ensure that New Brunswickers have access to a modem health care system in all regions of the province. By realizing these accomplishments within a responsible fiscal regime, we have ensured the continuation of these gains in services to the people of New Brunswick. A good fiscal record not only provides security for our future, it represents a strong selling point to people looking for a good place to live and to invest. Before going into our assessment of the future and the strategy to deal with it, there are some difficult lessons from the past that I believe are worth reviewing. Throughout much of the 1980s, New Brunswick was spending more than it could afford on capital projects, and it was spending much more than it was taking in each year on what most of us would consider as day-to-day items. As a result, from 1982 to 1987, the province's debt grew unchecked; it had reached the point where an increasing share of revenues had to be diverted from programs and services to pay interest on the provincial debt. After health care and education, interest payments became the third highest expenditure of the government, and were beginning to take a stranglehold on our fiscal situation. When this government took office three and a half years ago, it inherited a major financial problem. As part of our commitments in Agenda for Change, our government was determined to put an end to such mismanagement and to provide New Brunswickers with the kind of economic leadership they deserve. In order to achieve these objectives, the government adopted a strategy that had two dimensions. The first was a plan to allocate more prudently available capital dollars and to keep such spending in the $300-million range. The second dimension was a plan to keep growth in Ordinary Account, or day-to-day spending, in line with growth in our economy, which is a broad measure of our ability to pay. In the three budgets that we have brought down, we have stayed within our plan to control Ordinary Account spending. By following this plan, together with tight control over capital spending, we have been able to achieve a marked improvement in our financial situation. The province ended the 1988-89 year with a $64-million Ordinary Account surplus, and a $113million surplus in 1989-90. For 1990-91, the government’s budget called for another modest surplus on the Ordinary Account of $3.7 million. Unfortunately, as a result of an overall economic slowdown and unexpected and unfair reductions in transfers from the federal government, our third-quarter report forecasts that we could have an Ordinary Account deficit of $37 million for the 1~91 fiscal year. However, it should be noted that this modest shortfall represents one of the best performances in Canada during the past year. Naturally, Mr. Speaker, I am disappointed that the 1~91 year might end with a small Ordinary Account deficit, but when compared with the 1982 to 1987 period, when deficits on day-to-4ay spending regularly exceeded $100 million, there can be no doubt that responsible financial management has dramatically improved New Brunswick's fiscal situation in the past three years. The achievements on the Ordinary Account, coupled with reduced borrowing for capital projects, have dramatically reduced the growth in New Brunswick's debt. For the past three years, the government has limited the average annual growth in the province's net debt to $91 million. By contrast, over the 1982-83 to 1987-88 period, the average annual growth in the province's net debt was $300 million. In relation to the provincial tax base, net debt has also declined substantially. As a result of slower growth in our debt, as well as opportunities to refinance earlier debt on more favourable, the province's interest costs as a percent of revenue have also declined. For example, in 1985-86, 15070 of the province's ordinary revenues were needed to pay interest costs on the provincial debt. In the last three years, the proportion of the province's revenues needed to pay interest costs has fallen below 13%. As a result, New Brunswick has been able to dedicate around two percent more of its total revenues to programs and services than it could in the mid- and late- 1980s. In fact, Mr. Speaker, over the last three years, the government has been able to allocate a larger share of its revenues to services to our citizens than at any time since the early 19808. It is important to note that our government's financial achievements over the past three years have been recognized in the financial community. In their recent assessment of the province's credit quality, Standard & Poor's not only reaffirmed our credit rating but gave an additional positive grade for our future rating outlook. This endorsement by a well respected credit rating agency means that the financial community recognizes that New Brunswick has been moving in the right direction, and that it is a safe and secure part of the world for investment. With today's budget, our government is confident that New Brunswick will maintain the highest credit rating of any province in the Atlantic Region. I now want to turn to the outlook for the coming year. If our resolve to manage responsibly had failed us in striking this budget, the government could have lost in one year much of the ground it has gained in the past three. Mr. Speaker, in my budget speech last year, I said that in light of federal cutbacks that had been announced in the 1990 federal budget, it would"... be extremely difficult for New Brunswick to have a balanced Ordinary Account budget in 1991-92." As events unfolded over last spring and summer, it became clear that the budget for 1991-92 would severely challenge our government's management ability. By late August last year, when forecasts about the economy and the effect of federal restraint became more certain, our government concluded that in the absence of strong financial leadership, it could face an Ordinary Account deficit of $225 million in 199192. To make matters worse, if left unchecked, the deficit would have continued to worsen in the years following 1991-92. Without the measures we are taking in this budget, New Brunswickers would be faced with an increasing Ordinary Account deficit, a rapid increase in debt and the diversion of money from much-needed services to cover increased interest charges. In the absence of the strong action we have taken, the $225-million deficit forecast in 1991-92 would have risen to $326 million in 1992-93. Clearly, deferring action on this deficit problem would allow it to become worse, and this was unacceptable. Today's strong action will allow us to turn the comer and continue in our efforts to keep control of our financial situation. Over the past six months, I have spoken extensively about the reasons for the projected deficit, and the government has been open and frank with New Brunswickers in this respect. These reasons are important and, I believe, worth repeating because they form the context in which the government has had to develop this budget. The fundamental problem was that while revenues were expected to increase by three percent, increased demands for services and other factors were pushing expenditures to grow by 8.5070, resulting in a projected deficit of $225 million. The relatively low rate of growth in revenues can be partly attributed to a slower growing economy, which I will touch on a little bit later. The main problem is federal government cutbacks and tax policy, which has three major consequences for provincial revenues. It is these three factors that I would like to take a few minutes to explain. New Brunswick and eight other provinces have had a reciprocal taxation agreement with Canada for the past number of years. Under that agreement, the provinces paid federal sales taxes on their purchases, while the federal government paid the provinces a grant in lieu of provincial consumption taxes on its purchases. The grants that the province received from Canada under this agreement were accounted for in our sales tax revenues. When the GST came into effect on January I, 1991, the reciprocal taxation agreement expired. The impact of this federal government policy is that beginning in 1991, New Brunswick will have to make up about $32 million that it will lose in annual reciprocal taxation revenues, revenues it had been receiving in recent years. The second area of concern relates to federal transfer payments in support of our health care and postsecondary education expenditures. These federal payments come to the province through a program called Established Programs Financing or EPF. EPF was put in place in 1977 to replace federal cost-shared programs that helped provinces finance health care and postsecondary education. Since 1982, the federal government has made a number of unilateral changes to the EPF funding formula. The most recent change came in the 1990 federal budget, which froze EPF grants to provinces at their 1989-90 levels. In the 1991 federal budget, this freeze was extended three additional years, to 1994-95. Freezing grants that are designed to help fund health care and postsecondary education will have very serious implications for all provinces. For New Brunswick, it means that we received about $30 million less from the federal government than the EPF formula would have provided for us in 1990-91. For 1991-92, it means that New Brunswick will be deprived of an additional $51 million in revenues. Mr. Speaker, this cutback in 1991-92 is equivalent to the cost of running two of our smaller regional hospitals in 1991-92, or about the same as budgeted for the Mental Health Commission in 1990-91. It is always difficult for provinces like New Brunswick to cope with reductions in revenues of this magnitude. The EPF freeze will be particularly difficult, because it adds to the cumulative effect of numerous federal measures to restrain EPF payments in the past. In terms of annual revenue loss, the changes to EPF over the years will deprive New Brunswick of about $174 million in 1991-92. Over the period from 1982-83 to 1991-92, the total cumulative cost of revenues lost to New Brunswick as a result of changes to the original EPF program will be about $670 million. The third aspect of federal policy that is seriously affecting the province's finances concerns equalization payments. Equalization payments are the most important federal transfer program to this province and currently fund roughly one quarter of our Ordinary Account expenditures, or almost a billion dollars. Equalization grants have been in effect since 1957 and are entrenched in Section 36(2) of the Canadian Constitution. The purpose of equalization payments is to ensure that all provinces in Canada have the financial resources to provide their citizens with public services which are comparable throughout the country as a whole, without having to resort to above-average levels of taxation. Provincial equalization payments are determined by a formula, which assesses each province's ability to raise revenue from its own citizens and industry, in comparison to a norm for the country as a whole. Provinces which do not meet the norm get equalization from the federal government to make up the difference. For some time, there has been a feature in the equalization formula known as the GNP cap, which puts a limit on the amounts the federal government pays to New Brunswick and six other provinces which receive equalization payments, no matter what the formula itself indicates we shouldbe receiving. This aspect of the equalization program was put in place in the early 1980s but did not come into effect until early 1990, when provinces were advised that the GNP cap would apply not only to 1990-91, but also retroactively to 1988-89 and 1989-90. The latest federal estimates indicate that the GNP cap will have deprived New Brunswick of $83 million in forgone equalization payments for 1990-91 alone, and a total of $187 million over the past three years. Federal estimates also indicate that the GNP cap will cost New Brunswick an additional $44 million in forgone equalization payments in 1991-92. The GNP cap on equalization payments is an arbitrary restriction which is undermining the basic principle of equalization and contributing to widening fiscal disparities across this country. The GNP cap only affects less affluent provinces, and the only possible winner is the federal government, which will achieve some measure of fiscal restraint. The burden of the ceiling falls heavily on New Brunswick at a time when we are already suffering from the other federal cutbacks to which I referred earlier. When the cost of the freeze on EPF is combined with the impact of the GNP ceiling on equalization payments, the province is now losing about $100 million a year in federal transfer payments as a result of these two restraint measures alone. This places a severe restriction on New Brunswick's ability to meet the increasing costs of providing public services. The other factor affecting the province's revenue outlook in 1991-92 is the economy. The economy in 1990 has not performed as economic forecasters had expected. Canada slid into a recession last spring, while the United States economy has also weakened. As for New Brunswick, our economy grew in 1990, but there was less than had been forecast earlier, as recession in Canada began to affect our province as well. In addition, there have been lengthy labour disputes in some of our key industries. In 1991, the New Brunswick economy is being affected by a recession which is expected to continue in Canada and the United States until the latter half of this year. It is generally believed that the contraction in 1990-91 will not be as severe as the 1981-82 recession. Nevertheless, the government has had to plan this budget m the full knowledge that slower economic growth means provincial revenue growth will also slow down. When reflecting on our economy, it is important to keep New Brunswick's economic performance in perspective. For example, Mr. Speaker, last year New Brunswick's growth rate was higher than the rates for Canada and the United States. For 1991, New Brunswick's economy is expected to continue to grow while the Canadian economy is expected to contract. Despite an economy that will be weaker than originally forecast m 1990, employment growth was greater than anticipated. As a result, the unemployment rate continued to fall last year m New Brunswick. The unemployment picture was better than expected, which underlines the positive aspects of the New Brunswick economy even m the midst of a national recession. Mr. Speaker, we are encouraged that the New Brunswick economy has performed relatively well during the national recession. We believe that our economy will continue to grow and diversify during the year. Confronted with the reality that federal government restraint policies, along with a general slowdown of the economy, would have serious effects on our ability to continue to provide the level of services New Brunswickers expect, the government decided to embark on an unprecedented degree of pre-budget consultations with New Brunswickers. The objective of these consultations was to inform New Brunswickers of the impending severity of our fiscal situation, and to offer our citizens an opportunity to provide the formulation of this budget. The consultation process began last fall, when we met with hospital boards, school boards, the New Brunswick Medical Society and numerous chambers of commerce, boards of trade and other important groups throughout the province. As well, 10 town hall type meetings were held across the province, m which New Brunswickers participated m impressive numbers. Mr. Speaker, I want to take this opportunity to acknowledge and thank each and every New Brunswicker who participated in these various consultations. I also want to thank those New Brunswickers who were not able to attend meetings, but who have written to me to express their ideas and suggestions. My Cabinet colleagues and I were extremely impressed by the fact that hundreds of New Brunswickers from all walks of life and all comers of this province not only took an interest in the process, but also provided numerous valuable suggestions on how we should deal with our fiscal situation. In fact, the process was so successful that I am pleased to announce that, should our government be re-elected, we would repeat the process in advance of next year's budget. Mr. Speaker, New Brunswickers were very clear in their suggestions during the public process. They said that we must get control of the provincial deficit, that service reductions be kept to a minimum, that tax measures be avoided for ordinary New Brunswickers and that expenditure reductions be achieved by downsizing government and by addressing the salary envelope of the public service. Many of the numerous suggestions that we received from New Brunswickers are reflected in this budget. I will refer specifically to many of these throughout the remainder of this address. After a lengthy review of the various options before us, and after carefully listening to what New Brunswickers had to say, the government has concluded that the only viable option to address the projected deficit problem for 1991-92 was to forgo any major tax increases and to concentrate on curbing the growth in government expenditures. In striking the 1991-92 budget, the government could have opted for a major infusion of federal funding. It could have raised taxes. It could have attempted to increase borrowing, or it could have taken steps to reduce growth in spending. Mr. Speaker, I would like to take a few moments to review these various options briefly. Clearly, relying on the federal government to deal with New Brunswick's emerging deficit was considered unrealistic. The federal government itself faces a deficit that is serious in its own right. The recent federal budget made it very clear that Ottawa could not be expected to solve New Brunswick's budget problem in the coming year. Provincial governments have not even succeeded in getting the federal government to live up to its constitutional commitment to equalization, let alone getting the national government to help us through difficult times. As long as we are entitled to federal assistance under the Constitution of this country, we will fight for our rights. I want to assure the honourable members that a burning preoccupation of our government is to achieve the day when such help will not be needed. The government's objective is to continue to build our economy, to invest in our people and to create jobs and achieve self-sufficiency, so that New Brunswick citizens can become more independent and no longer have to rely on the federal government. Significant tax increases was an option that was also considered. While there is some limited room to manoeuvre on the tax side of the ledger, major tax increases are not the solution either. New Brunswick, like the other Atlantic Provinces, already has relatively high taxes, which aggravate the problem of cross-border shopping in many communities. In our consultations with New Brunswickers, the message came through loud and clear that large tax increases were to be avoided. Increased provincial borrowing was also a possibility which was considered. Government could have ignored the projected Ordinary Account deficit and increased the amount it borrows. That, however, would repeat the short-sighted approach followed from 1981 to 1987 when the province borrowed over $840 million just to finance day-today spending. The interest on just that portion of our debt now costs the province about $85 million per year, which is roughly comparable to the grant the province provides to the Saint John Regional Hospital, or for the operation of all our Community Colleges in 1991-92. Mr. Speaker, relying on the federal government, on tax increases, or ignoring the problem by increasing the province's borrowing, are not realistic options to deal effectively with New Brunswick's financial situation. New Brunswickers have told us to deal with our financial situation in a responsible manner. This budget's strongest selling point is the endorsements the people have given its objectives. In fact, New Brunswickers can now use this budget to help attract new business to the province. The budget's strongest selling point is the endorsements the people have given its objectives. In fact, New Brunswickers can now use this budget to help attract new business to the province. This comes, Mr. Speaker, at a time when many industries, particularly in Central Canada, are looking to relocate into areas with more stable cost environments. This government believes that 199192 is a year in which to exert even greater effort to manage our affairs well and to sell our numerous advantages: a good, well-trained work force, an excellent physical environment and quality of life, and a stable tax regime made possible by a fiscally responsible provincial government. Mr. Speaker, the major expenditure adjustments in the 1991-92 budget reflect the government's main objectives: - Firstly, to continue to achieve the proper balance between providing the services people want now, while still making important investments in our future economic growth. - Secondly, to continue to invest in our economy, our people, our infrastructure and our environment, and to pursue vigorously our goals of job creation and self-sufficiency. - Thirdly, to ensure that the entire public service, including the health and education sectors, is streamlined and highly efficient, and capable of operating within budgets allocated to provide needed services. - Finally, to ensure that equity in applying restraint remains an important and overriding consideration. Equity, Mr. Speaker, requires that any restraint measures that apply to the civil service be extended to cover the public sector as a whole, including Crown corporations and bodies that receive most of their funding from government. The 1991-92 budget measures will require more efficient management by government departments, Crown corporations, universities, municipalities, hospital boards and school boards. The government must ensure that the maximum amount of funds provided to hospitals and school boards is spent directly on health care and education. For example, while some overhead is obviously necessary, this government believes that patient care and the education of students must be the overriding priorities. This budget presents an important challenge to managers in government departments and to publicly financed institutions. The government recognizes that while the objectives we have assigned ourselves will be challenging, they can and must be realized. Mr. Speaker, at the public meetings held in Dalhousie, Saint Andrews, Moncton, Caraquet, Newcastle, Fredericton, Bathurst, Grand Falls, Woodstock and Saint John, hundreds of interested and concerned citizens of this province came forward to give the government their views on the fiscal situation, and ideas to reduce the deficit. The most common suggestions were for a reduction in the size of government, a streamlining of departments and a wide variety of cost-saving measures in the day-to-day operations of government. The people of the province also asked us to exercise prudence in making expenditure reductions in the health and education systems and to protect our important social safety net. Mr. Speaker, I don't have to tell you that this was a tall order to fill, but the measures we have undertaken to bring budget expenditures in line with revenues are, by and large, consistent with the ideas and suggestions expressed by the people of this province. Now, Mr. Speaker, I would like to outline in some detail the 1991-92 expenditure management plan. It is clear that New Brunswickers demand that the political and public sector show leadership in restraint. In particular, politicians must lead by example. We can only ask of our employees what we are prepared to accept ourselves. Accordingly, there will be a rollback on the salary increases of the Premier, Cabinet ministers and MLAs, retroactive to January 1, 1991. In addition, grants under the Political Process Financing Act will be frozen at the previous year's level. Per diems for MLAs will be frozen, stipends for members serving on boards and commissions will be reduced by 4.60/0, and individual expense account limits for the Premier and Cabinet ministers will be reduced by 250/0. With respect to the cost of the public service, we were faced with two unpalatable choices: reduce the wage bill or layoff employees. Achieving the kind of reductions that were required would have resulted in the laying off of over 2000 civil servants. We rejected this option. Such massive layoffs would have affected service delivery and would have represented unconscionable treatment of loyal public servants. Such an approach, while the country is in a recession and other available jobs are scarce, was considered unfair. Consequently, we decided a fairer course of action would be to freeze wages for one year and use normal staff turnover to affect a modest downsizing of the public service. As the government understands the devastating effect that such a large-scale layoff would have on New Brunswickers, it has instead opted to introduce legislation immediately to implement a one- year wage freeze for all bargaining and nonbargaining employees in the civil service, as well as employees in schools, hospitals and nursing homes. To ensure equity and wage policy for all who receive a significant proportion of their remuneration from taxpayers' money or who work for a Crown corporation, sin1ilar measures will be extended to the New Brunswick Electric Power Commission, other provincial Crown corporations, the Workers' Compensation Board, other provincial boards and commissions, municipalities, universities, payments to doctors under Medicare, payments to pharmacists under the prescription drug program and payments to agencies from whom government purchases certain services. The saving from wage freezes for elected representatives and in the civil service, school and health care systems totals $48 million. This amount is roughly the same as New Brunswick will lose as a result of the federal government's freeze on EPF payments. Municipalities in New Brunswick represent an autonomous level of government, accountable to their electorate for their actions. They will appreciate the fiscal burden that impacts New Brunswickers and participate in the measures that we are taking to address these serious problems. In order to achieve an element of fiscal relief on the part of the province and ensure fairness and balance among employees of all public sectors, the unconditional grant to municipalities will be restricted as of May 1, 1991. This restriction will be effected through a decrease in payments to municipalities. It is expected that municipalities will absorb these reductions by implementing wage containment measures similar to those that are being affected in the public service. To facilitate this, legislation will be introduced to require municipalities to freeze employees' wages and salaries at their present level for the next 12 months, notwithstanding existing collective agreements. Mr. Speaker, the four universities in the province of New Brunswick are independent, autonomous institutions, and this government respects that autonomy. However, the government believes that the employees of these institutions and the Maritime Forest Ranger School should also participate in this 12-month salary freeze, as will their colleagues in the public service. At the same time, we do not believe that the student body should make up for the reduction in government funding. We will meet the recommendations of the Maritime Provinces Higher Education Commission, except for the reduction to affect our policy on wages. We are introducing legislation which will require the universities to impose a salary freeze. We shall ask the Maritime Provinces Higher Education Commission to monitor the actual results of this policy over the coming year to ensure that the government's objectives are being achieved before funding levels are established for future years. By carefully reviewing the budgets of all government departments and agencies and adjusting expenditures for such items as travel, administrative overhead, consulting fees and the elimination of some less essential services, the government will save approximately $86 million in 1991-92. The impact of these reductions will, for the most part, not affect essential services that New Brunswickers have come to expect. As well, the government will accelerate its zero-base budgeting program by carrying out a review of three more departments in the next several months to achieve additional savings of $10 million in 1991-92. As a further restraint measure to the operation of government departments, the purchase of new vehicles will be substantially reduced from 1990-91 levels. We estimate that this measure alone will achieve a saving of $9.6 million in 1991-92. Ministers, deputy ministers and other government employees who are eligible for new vehicles in 1991-92 will retain their present vehicles for at least another year. In addition, with the exception of 55 necessary new school buses and the replacement of essential vehicles, such as three new tankers, the government will forgo other purchases of new automobiles or light trucks in 1991-92. Ministers involved in consultations on the budget repeatedly heard the public's views on the size of government. In reducing the size of the public service, we have carefully attempted to minimize the effect of this measure on existing employees. For the government, generally, we have eliminated about 225 positions that would normally become vacant due to retirements, resignations, etc. It will be up to individual managers to decide how to handle this downsizing with minimum impact on services to the public and existing employees. This measure alone is expected to realize a saving of almost $7 million. Consistent with the public input that we have received, we will be targeting middle and upper management for special attention. Our program of attrition will be designed to impact more heavily on the upper echelon of the public service. In view of the many suggestions that were made during public consultations concerning downsizing, the government will continue to work on this matter throughout the coming year. A review of all school board operations will be carried out to determine if administrative savings can be achieved. A specific proposal was advanced at the public meeting in Charlotte County that our tourism advertising be privatized. I am pleased to report that the Minister of Tourism, Recreation and Heritage will be opening talks with the Tourism Industry Association of New Brunswick to determine how and when the private sector can take responsibility in whole or in part for this initiative. Higher ratios of cost recovery on selected government fees and permits will result in additional revenues of approximately $7 million. This will ensure that fees for selected government services will be commensurate with the services being provided. One of the consistent themes ministers heard during public consultations was that government should not be giving public funds to wealthy corporations. I cannot disagree with that sentiment, but we are in a world where governments compete with one another to attract these corporations, and one of the bargaining tools commonly used is Financial incentives. If we are to compete effectively in this regard, we cannot unilaterally rule out such incentives. However, the government will raise this issue with the Council of Maritime Premiers to see if we cannot agree, at least among ourselves, to limit this kind of self-defeating competition. Hopefully, we can make meaningful progress in this area in the course of negotiations on Maritime economic cooperation. Another way to save money, while minimizing the impacts on services and those who receive them, is to rationalize facilities and administrative overhead costs. Basically, this means moving to larger service delivery units, closing smaller, less efficient ones or making them more specialized. In either case, costs are saved by making more efficient use of staff and facilities. The intention of rationalizing the hospital system has already been announced, and the government intends to move ahead with this initiative in order to achieve better use of available resources. The government believes that savings can also be achieved through a more effective use of staff and facilities in the education system. A number of representations in support of this view were made during the public consultation process. For instance, there may be potential for savings and greater efficiencies through a review of the number and size of school districts. There are a number of other possible opportunities for rationalizing which the government will also be reviewing over the next year or two. I want to assure the public and honourable members that our first concern will be to ensure that services are delivered efficiently and effectively and that our employees are treated fairly. The imagination and hard work of our public sector will be brought to bear on how to streamline while maintaining or improving service. We have heard very clearly the public message with respect to downsizing government operations and reducing middle management positions. This must be done carefully so as not to hurt service to the public, but it must be done. The Premier will personally chair a small committee of Cabinet charged with this responsibility. It will be recommending a reduction in the number of ministers, executive assistants and in the number of government departments. It will also examine central and external agencies of government, as well as boards and tribunals, to determine where rationalization can take place. This committee will provide a [mal report on the reductions achieved at the fall session of the Legislative Assembly. As recently announced, the Representation and Electoral District Boundaries Commission will provide an assessment of whether the Legislative Assembly can and should be reduced. Mr. Speaker, over the past three and a half years, New Brunswickers made progress toward a more prosperous province. Collectively, we have laid the foundation for future growth. Our government believes we must continue the course of building a New Brunswick economy, providing more and better education for our citizens, investing in our people and our environment, building our physical infrastructure, and creating more jobs and more wealth for our citizens. The issue of economic growth remains a cornerstone of this government's agenda. Kindergarten, educational reform, university and Community College spending, environmental protection, highway construction, and other improvements to our physical infrastructure are all interrelated pillars of economic growth. In 1991-92, our government will continue to aggressively pursue these and other economic development opportunities. Mr. Speaker, I would now like to cover in more detail how our government will work hard toward meeting these objectives and how this budget will contribute to the realization of a better and more prosperous future for New Brunswickers. This budget provides funding to implement in September 1991 the province's first publicly funded, universally available kindergarten program for New Brunswick five-year-olds. Our government believes this program has been promised for too long, and it is so important to the future well-being of our province that it absolutely must proceed this fall. In addition to providing all our five-year-olds with an equal opportunity to begin their schooling at the same level as in eight of the other provinces, the program will provide a saving of $340 000 in operating grants to licensed day care centres. All these savings will be redirected toward the provision of additional day care spaces for infants and the provision of after school care for lower income families. Our growing and valuable network of Community Colleges is an important asset for our province. Funds totalling approximately $1 million will be added to the budget of the Department of Advanced Education and Training to create 172 new training positions. These seats will be available primarily to recent high school graduates and will be directed at educational programs consistent with current labour market demands quality of business administration programs at the University of New Brunswick and l'Universite de Moncton will also be improved. In response to the recommendations of the Wallace report, which reviewed, among other things, business administration programs at the University of New Brunswick and l'Universite de Moncton, the government has agreed to enter into a five-year agreement with the two universities to provide programs of excellence for business administration students. To this end, the Regional Development Corporation will be given a budget of $1 million over five years, with a maximum provincial contribution of $500 000 per institution. The federal development agency, ACOA, and the universities will also contribute to this initiative. To protect employment levels during the current recession, I am pleased to announce today an expanded employment development program for the coming fiscal year. The 1991-92 employment development programs will provide a stimulus to the public, private and nonprofit sectors of the economy. The number of actual employment development initiatives will be streamlined to four programs from the current nine. Those four are: - Partners: a wage subsidy program designed to stimulate long-term permanent employment. - Access: a wage subsidy/wage reimbursement program designed to offer short-term work experience and maintenance skills. - Entrepreneur: a loan guarantee program designed to create self-employment opportunities for those wishing to start their own businesses. - Job Creation for Tomorrow (JE1): a wage subsidy program created to provide valuable work experience for students. A total of $28 million in employment development programs will create well over 9000 jobs in 1991-92. The regular $19-million employment development program is expected to generate 7400 jobs, while an extra $9 million will create an additional 2000 short-term employment opportunities in 1991-92. The primary target groups for this expanded program will be social assistance recipients, unemployment insurance exhaustive and displaced workers. Our strategy is simple; in times of economic uncertainty we must make every effort to provide our citizens with meaningful job opportunities. In 1991-92, many of these additional employment opportunities will be generated through projects financed by the environmental trust fund and the funds allocated for natural resource development projects. We will fund a series of activities that will bring major improvements to the environment and to the future forest resources of the province. These will not only serve to protect and enhance our environment, they will also create significant levels of short-term employment and on the job training experience. It is a major objective of the government that unemployment be mitigated as much as possible, particularly during Canada's recession. As you know, the provincial unemployment rate has declined rather impressively in the past several months, particularly when compared to the rates in most other provinces. We are hopeful that these expanded employment development programs will create numerous meaningful jobs for New Brunswickers and will contribute to further declines in our unemployment rate. Mr. Speaker, a key element in our strategy to develop the economy and ensure that New Brunswick remains competitive is our emphasis on expanding and improving our transportation system. In previous years, the government had expanded its efforts in this respect with the establishment of the arterial highway trust fund. This important undertaking-which, I am pleased to say, other provinces are now adopting-has accelerated our efforts in modernizing and expanding our highway system, and has created more jobs for New Brunswickers. Mr. Speaker, in order to continue to expand our efforts to improve our environment, the environmental trust fund is targeted to spend at least $16 million in 1991-92 for a broad range of environmental activities. These environmental trust fund activities will be directed at protection, restoration, sustainable development conservation, education and beautification of our natural environment. Environmental protection activities will include site investigation and emergency remediation through the Department of the Environment. Under environment restoration, approximately $1.1 million will be directed toward the contaminated sites bilateral remediation agreement and $90 000 will also be provided for a Saint John Harbour water quality study. Mr. Speaker, some examples of sustainable development activities include $140 000 for the environmental monitoring of the Bay of Fundy salmon aquaculture operation and approximately $150000 for Restigouche River recreation management. The conservation of our environment will be greatly enhanced through such activities as the expansion of the Sussex Recycling Centre, the Upper Nashwaak recycling project and the provision of $175000 to protect science collections at the New Brunswick Museum in Saint John. Funds will also be available for numerous educational activities such as a ship-to-shore trash campaign, a TNB Young Company production for Grades 1 to 6 and a Green Army pilot project. Mr. Speaker, much has been said about improving the image of our province, especially the physical image as seen by tourists and visitors. Beginning in 1991, New Brunswickers and our visitors will see an enhancement of New Brunswick's natural beauty. To improve the beautification of the province, funds will be provided for a roadside cleanup and beautification program, a derelict vehicle removal program, and enhancement of the roadside environment. Mr. Speaker, significant efforts have been made to address community sponsored initiatives, and it is anticipated that a greater number of community driven projects will be brought forward under the environmental trust fund during 1991-92. The construction in Fredericton of a new analytical laboratory for environmental testing will commence in April 1991 and will be operational early in the 1992-93 fiscal year. The importance of this facility can be measured by the fact that the analysis of samples of water, air, foliage, soil and animal tissue will increase from the current level of 28000 tests annually to 48000 tests annually, reflecting the current demand for these services. Mr. Speaker, the main directions enunciated in the government's comprehensive energy policy will also receive funding support. Approximately $200 000 and five new positions will be added to the budget of the Energy Branch of the Department of Natural Resources and Energy. The new energy policy will provide for increased emphasis on sustainable development, energy efficiency, energy supply and demand analysis, and the completion of an overall energy efficiency study. Mr. Speaker, the government will also respond to the recommendations of the Saint John Environmental Consultation Committee by providing funds to the Department of the Environment for an additional environmental inspection officer in Saint John. Mr. Speaker, I am very pleased as well to announce that in 1991-92, the Departments of Justice and Income Assistance will begin implementation of a maintenance enforcement program for separated or divorced women who are not receiving court-awarded maintenance payments. This program will be fully operational within one year and will provide valuable assistance for many single women who struggle to live and raise dependents without sufficient financial resources. The Ministers of Justice and Income Assistance will explain the details of this program during the presentation of their estimates. Mr. Speaker, the government will seek federal support to finance a public awareness campaign on family violence, and also a female abuse statistics program. The Department of Justice and the Department of the Solicitor General will approach the federal government and pursue funds from the recently announced federal initiative on family violence. The Department of Income Assistance will receive approximately $1 million and 2S new positions in 1991-92 to implement a three-year plan to improve the organizational effectiveness of program delivery to individuals and families. This initiative will be directed primarily at the regional office network of the Department of Income Assistance to provide improved service delivery to social assistance clients and to strengthen efforts to ensure that benefits are available to those in greatest need. Mr. Speaker, the budget of the Department of Income Assistance provides for an increase in 1991- 92 of basic rates for social assistance. My colleague, the Minister of Income Assistance, will provide details during consideration of the estimates. An amount of $200 000 will be added to the budget of the Department of Income Assistance for attendant care services for disabled persons. I welcome this increase in attendant care costs because it is a result of the successful integration of disabled people into the mainstream of the community and the labour force. It is strong evidence that our programs for disabled persons are achieving their objectives. The budget in the Department of Income Assistance for the provision of homemaker services to disabled persons will be increased by $400 000 in 1991-92 to reflect our growing commitment to the provision of community-based services. The New Brunswick Housing Corporation will receive funding in 1991-92 for an additional 75 units of rent supplement development. This will bring the number of new rent supplement housing units put in place since 1989 to 537. An additional $700 000 is provided to deliver emergency housing repair services to social assistance recipients, bringing the total funding for these important services to almost $2 million. Mr. Speaker, a modem health care system is a priority of this government. This budget will build on our previous efforts to ensure that New Brunswickers have the best health care system we can afford. Mr. Speaker, additional funds of approximately $9 million have been provided in the budget for the Department of Health and Community Services to finally open the new regional hospitals in Campbellton and Edmundston, the new district hospital in Tracadie, and the expansion to the Dr. Georges L. Dumont Hospital in Moncton. It is our expectation that the new hospitals will be open and operational by September 1, 1991. These new hospitals will provide improved health care services in the north of the province. Mr. Speaker, the new cardiac care unit at the Saint John Regional Hospital has just been opened as well. Funds are also being provided to the Department of Health and Community Services for public health resources, which will directly enhance the government's major goal of preventive health care and the provision of increased community-based health care. Mr. Speaker, I am pleased to say that with previous budgets and with the opening of new hospitals in Campbellton, Edmundston and Tracadie, the government has exceeded its commitment for northern service development. Mr. Speaker, I am also pleased to report that the financial affairs of the province have been put in order in another critical area. In last year's budget speech, I outlined a serious unfunded pension liability problem of $1.6 billion that this government inherited. The problem arose from pension commitments to employees under the public service pension plan and the teachers' pension plan that were in excess of funds set aside to meet these commitments. Trust funds have been established to pay pensions, but they are not large enough to meet commitments to the large number of plan participants retiring over the next 20 to 30 years. As promised in last year's budget speech, the government has engaged in extensive consultation with employees under the public service and teachers' pension plans. I am very pleased to announce that this budget responds to the unfunded liability problem I outlined last year. The government will begin implementation of a plan to eliminate the unfunded liability over a 2S-year period. This plan greatly improves the security of pension benefits under these two plans and addresses a serious financial problem that could have arisen not too many years into the future. Mr. Speaker, because I think it is very important, I would like to take a few moments to describe our plan, which has three main elements: 1. The New Brunswick Electric Power Commission, the Workers' Compensation Board and the New Brunswick Liquor Corporation will assume responsibility for the full cost of pensions, including unfunded liabilities for their employees. The University of New Brunswick will be asked to assume full responsibility for the future costs of pension benefits earned by its employees. The liability of past service for UNB employees will be accommodated by the government in the funding plan I am announcing today. 2. Required annual contributions by teachers will increase by 1.50/0 of wages. The contributions will increase in a three-step process over three years, beginning September 1, 1992, at a rate of one half of one percent per year. The public service plan, to which employees have contributed relatively more in comparison to benefits, will not require an increase in contribution rates by employees in the absence of benefit changes. Consultation with members of the public service plan regarding their benefits and future contribution rates is continuing. 3. The province will continue to match employee contributions to current costs of future pensions. In the case of teachers, the province will immediately increase its contribution by 1.50/0 of wages, even though individual teachers' contributions will not reach this level for another three years. In addition, the province will make a total contribution of $65.4 million this year toward amortization of the unfunded liability. This amortization payment will be escalated by the rate of inflation plus two percent each year until the public service and teachers' pensions are fully funded. With the contribution toward current costs of future pensions and the payments to address the unfunded liability, the province will contribute a total of $114.4 million to the pension funds under the public service and teachers' pension plans. This amount is more than two and one half times the $43.4 million in contributions that will be made by employees in 1991-92. Of the $65.4-million provincial contribution to the unfunded pension liability, a portion will be obtained by reducing assets which have been set aside in the province's debt retirement sinking fund. A careful review of this fund has revealed that because of the high level of investment earnings and sinking fund management policies, the asset value exceeds the amount required to provide for the orderly retirement of outstanding debt. Eliminating the excess amount will produce annual debt service savings of $25 million. These savings will be paid into the pension funds. We believe these measures will bring immediate control to a situation that has defied solutions for decades. We will not permit this situation to repeat itself. We have scheduled a five-year review that will confirm whether we are on the right course and prescribe measures to correct any deviations. Mr. Speaker, it is important that New Brunswickers maintain and enhance their cultural history and that our young people, in particular, have access to programs and services in this respect. I am pleased to point out that prior to the end of the 1990-91 fiscal year, a on part time grant of $200 000 was provided to the Bi-Capitol Project in Saint John. In order to address another major concern, and to protect the wealth of history in this province, the government has approved a $125 000 increase in the annual operating budget of the New Brunswick Museum in Saint John. This will increase the provincial base grant to $1 374 000 in 1991-92. In addition, Mr. Speaker, $175000 will be provided to protect science collections at the same museum. The Department of Tourism, Recreation and Heritage will provide three-year financial assistance to the Congres mondial acadien to be held in New Brunswick in August 1994. Although three years away, this festival, which represents an international homecoming for all persons of Acadian descent and has the potential to be one of the most significant cultural events ever carried out in the province. Mr. Speaker, in our public consultations, New Brunswickers said that the deficit should not be dealt with by raising taxes alone. The government has heeded that advice. However, this budget provides for some changes in the tax system, along with some modest tax increases. In considering the alternatives available for raising tax revenues, the government has paid particular attention to three very important factors: 1. The existing tax burden now borne by New Brunswickers. 2. The current state of the economy and the need to protect those New Brunswickers who are least able to shoulder the effects of tax increases. 3. The need to ensure that tax increases to cover the growing costs of health, education and other services are aimed at those most able to pay. Mr. Speaker, 1991-92 holds many challenges for New Brunswickers. This government will provide leadership by significantly streamlining its operations, by making its delivery of services more efficient, by cutting costs where it would have the least impact on New Brunswickers, and by adjusting personal and corporate income taxes of those most able to afford it. In this respect, Mr. Speaker, fairness in sharing the tax burden requires that personal income tax for only the highest income earners will be increased. This will affect people in the $100 000 income range. I am introducing an eight-percent surtax on provincial tax payable over $13500. This surtax will improve the progressively of the tax structure and will move New Brunswick's top marginal rate in line with other provinces. The eight percent surtax on provincial tax payable in excess of $13 500 means that only single taxpayers earning in excess of $96 500 and families with the principal taxpayer earning in excess of $100 000 will pay the surtax. This measure will be effective January 1, 1991 and will generate roughly $2 million in fiscal 1991-92. Mr. Speaker, it is also appropriate for large, profitable corporations to play their part in helping relieve the burden in these difficult financial times. Consistent with this approach, I am proposing an increase in corporate income taxes for our largest corporations. Effective January 1, 1991, the standard corporate tax rate will be increased from 16070 to 17070. This measure ensures that large profitable corporations will share in the effort to manage the province's finances. This measure will yield an additional $4 million in 1991. The Department of Transportation will increase motor vehicle fees by 10070, effective May 1, 1991. This measure will yield $3 million in flScall991-92. The recent public meetings on the budget revealed that a large number of citizens are concerned about the level of taxation on alcohol, gasoline and tobacco. In response to these concerns, I am pleased to announce today that the 1991-92 budget does not increase the tax rate on alcohol, gasoline, diesel fuel, cigarettes and cigars. I am pleased to announce measures that will stop wide fluctuations in the price of gasoline, Mr. Speaker. This problem was particularly evident during the past year. Consequently, New Brunswick will drop its use of ad valorem taxation of gasoline. The tax per litre of gasoline will be set in legislation at the current rate of 12.7e, and the tax per litre of diesel fuel will be set at 13.7e. These rates were established by the regular quarterly survey and became effective April 1, 1991. All other tax rates imposed under the Gasoline and Motive Fuel Tax Act will be set in legislation at the rates established as of April 1. 1991. New Brunswick joins all but three other provinces in imposing a specific tax per litre of gasoline and diesel fuel, rather than as a percentage of the selling price. Currently, New Brunswick is the only province to use ad valorem taxation on cigarettes. Effective April 1, 1991, New Brunswick will replace its ad valorem taxation of cigarettes with a fixed rate set at the April 1, 1991 level of 9.38e per cigarette. Effective midnight tonight, the tax on fine cut tobacco will be set at 7.04e per gram, and the tax on pre-portioned fine-cut tobacco will be set at 7.97e per tobacco stick. These changes bring the taxation of fine-cut tobacco and tobacco sticks in line with the relative tax level established in the 1989 budget. This will yield $5.8 million in fiscal 1991-92. Also effective April 1, 1991, Mr. Speaker, I am announcing a cap on commissions paid to registered wholesalers of tobacco products to $1000 per month. This measure will save the province roughly $750000 a year, and brings the province's commission in line with those paid in most other provinces. Over the past several years, the government has revamped its system of exemptions under the sales tax for purchases by farmers, wood producers, silviculturists, fishermen and aquaculturists. A similar revamping of the system of exemptions for purchases by manufacturers has now been completed. and the enabling legislation and regulations have been approved by the Legislature and by order-in-council. A guide specifying the exemptions m detail will be distributed before the end of April. Mr. Speaker, during the year there were a number of requests to remove the sales tax on medical equipment donated to hospitals. I am announcing today that I plan to introduce amendments to the Social Services and Education Tax Act to provide for a refund of sales tax on medical equipment donated to provincial hospitals. Hospitals listed under the Hospital Services Act will be permitted to apply for a refund of sales tax paid on patient care equipment. This will apply on patient care equipment purchased with donated funds where the purchase cost was greater than $10 000, and was approved by the Department of Health and Community Services. This measure will reduce provincial revenues by $300 000 annually. Mr. Speaker, m an effort to make New Brunswick's airports more competitive and to further contribute to economic development, I am pleased to announce that effective midnight tonight, New Brunswick aviation fuel tax will be rebated for international commercial air cargo flights and international commercial air passenger flights refuelling m the province. This measure will help make New Brunswick airports more competitive with those m other jurisdictions as an international jet fuel stop. Details of this rebate program will be announced when the regulations are put m place. Mr. Speaker, m the past several years, Canadians have seen dramatic changes to the country's tax structure. The federal government made major changes to the income tax system m 1988. In recent years, the federal government has also adopted the use of income tax surtaxes which have increased the federal government's share of total income tax revenues. As well, over the last seven years, the federal government has moved heavily into consumption taxes. It has significantly increased consumption taxes on gasoline, diesel fuel, alcohol and tobacco products. The latest move m this area occurred this year with the introduction of the federal GST. During the past couple of years, the issue of cross-border shopping has also become a major issue. Our government understands the serious impact that cross-border shopping is having on border communities, and this is one of the primary reasons the province has chosen to abandon the ad valorem taxation of gasoline, diesel fuel and tobacco. However, the government believes it is essential to continually assess the entire federal/provincial tax structure as it affects the residents of New Brunswick. The government's primary objective is to ensure that New Brunswick's tax system remains competitive and that it continues to be based on fairness and equity. A primary focus in this assessment is to ensure that the tax burden is fairly distributed among all New Brunswickers. This, Mr. Speaker, was a recurrent theme in public meetings. Although the provisions in this year's budget target the wealthiest New Brunswickers, there is no guarantee that all high-income earners will pay at least the minimum amount of taxes. This is a complicated question, as the province of Ontario is finding out during its review of fair taxation. However, we are determined and confident that we can produce a fair tax system for all New Brunswickers. Mr. Speaker, during the preparation of this budget, we have benefited from the valuable input of concerned New Brunswickers throughout the province. We have been able to incorporate some of these suggestions into the 1991-92 budget. For a variety of reasons, several other worthwhile suggestions could not be incorporated into this budget; however, many of these will be extremely useful to the government in the preparation of future budgets. It is clear that the policy of responsible financial management that was promised in the Agenda for Change, and that has been followed in our four budgets, will continue to be needed in the future. In this respect, the government intends to develop a new multiyear fiscal plan to cover the period from 1992 to 1994. This multiyear financial plan, which will cover both the Capital and Ordinary Accounts, will be tabled in the fall session later this year. Mr. Speaker, the budget I am tabling today will stabilize the province's finances which, in the absence of strong leadership, could have deteriorated substantially because of a large and growing deficit. In this budget, the government has met the challenge for the year ahead and, by careful planning, along with some difficult decisions; it has been able to keep the province on a sound financial footing in spite of the recession and restrained federal transfer payments. The 1991-92 budget reaffirms and builds on our commitment to create jobs for our citizens. The 199192 budget broadens our commitment to education and training, and ensures that resources will be available so that New Brunswickers will have the skills needed in the decade ahead. In 1991-92, we will build on our efforts to protect and enhance the environment. We will also continue to develop our infrastructure in order that our province can be well positioned to take maximum advantage of the economic opportunities that lie ahead for New Brunswick in the coming months and years. With Ordinary Account revenues of $3903.3 million and Ordinary Account expenditures of $3902.2 million, the Ordinary Account is budgeted to have a surplus of $1.1 million in 1991-92. Combining the surplus on the Ordinary Account with net capital spending, and the special purpose account, the budgetary deficit is budgeted at $310.6 million for 1991-92. With net Loans and Advances of $47.9 million and adjustments for provision for losses and depreciation, fmancia1 requirements will be $408.9 million. With sinking fund earnings of $140 million, net debt is budgeted to increase by $170.6 million. The 1991-92 budget continues the policy of responsible fmancia1 management that this government has practiced since assuming office. Mr. Speaker, our government understands that New Brunswickers want their provincial government to act responsibly in difficult financial times. Like ordinary citizens, we must pay as we go and avoid the practices of the 1970s and 19808 when heavy mortgages were placed on the backs of our children. Our government has avoided doing this in the past three years and plans to avoid doing this in the 199192 budget. We understand that New Brunswickers want us to continue to provide services that they want and need. We also understand that New Brunswickers want their government to become more streamlined and efficient, and to continue to create a climate that is conducive to future economic growth and job creation. In overwhelming numbers, our citizens have suggested that we demonstrate leadership when facing these difficult challenges, and that we maximize the use of public funds to create greater prosperity for our province and our citizens. Mr. Speaker, the government believes the future for New Brunswick can be as bright as we are determined to make it. We intend to work hard to promote New Brunswick and work with businesses here and around the world to create more job opportunities for our citizens. New Brunswick has numerous advantages and we can do more to promote them, but we have to make this province an even better place for our citizens, young and old. The government envisions New Brunswick as a province with the best educational system and the best natural environment in Canada; we have already made important progress in these directions. While we still have a great deal of work to do, we believe New Brunswickers are up to the challenge of helping us bring this vision another step closer to reality.