BALLOONING COSTS AT F.H. COLLINS HIGHLIGHT SPENDING IN NEW BUDGET

Whitehorse:  A $20 million increase in the cost of the new F.H. Collins school project tells the Yukon public all they need to know about the 2014-2015 budget released yesterday, says Liberal Leader Sandy Silver.  Until today the government had maintained the cost of the project was only $31.1 million. Updated budget documents released yesterday put the real cost of replacing the school at $51.1 million.

“There is an increase in capital spending in the budget presented yesterday but with the Yukon Party that just means more poorly planned spending, not economic development,” said Silver.  “F.H. Collins is a good example of that.”

Silver said he is not surprised by the capital heavy budget presented.

“This is the third budget from this government and we are seeing a new approach.  The Yukon Party has stumbled around for two and a half years – not listening to Yukoners and with no vision for the future. They have now made a decision and plan to try to spend their way to re-election,” he said.  “There is a large increase in capital spending this year and next where they are spending like drunken sailors.  The forecast, however, drops off substantially after the next election.”

This kind of pre-election spending binge leads to rushed, and poorly planned, over-budget projects.

"Trying to cram a great deal of spending into a short window will result in more jobs going to Outside contractors,” said Silver.  “The short term political goals of the government are the top priority, not properly managed and well-timed spending.”   

Silver said Yukoners should also look beyond the capital numbers to see where else the government is spending the money Ottawa sends to us each year.

“There is a lot of rhetoric in the budget about the private sector. However, the reality when you look at the spending numbers is quite different,” he said.  “The Pasloski government has increased the operation and maintenance cost of government by $100 hundred million dollars in just 2 short years. The Yukon Party has been very successful in growing the size of government.”

According to budget documents the Yukon continues to generate only 13% of its own revenue.

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For additional information contact:

Jason Cunning 667-8942