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Where's The Beef...And Trees...In The Budget?

By Michelle Cyr-Whiting

Tuesday, February 20, 2007 05:00 PM

Cariboo North NDP MLA Bob Simpson says, "The absolute missing component of this budget is any sense of the threats that we are facing in our major resources sectors in our resource-dependent communities."

"The agriculture sector is struggling and the forest sector can’t be described as anything other than ’on its knees’ between the softwood lumber, the deterioration of the fiber supply, the failure to attract capital on the coast and, now we’re hearing because of the mountain pine beetle, it’s going to be harder and harder to attract capital in the interior," says Simpson.

The NDP’s Forest and Range critic points out forestry is still one of the largest contributors to the government’s revenue and says he was struck by the omission of any programs or supports in the 2007 budget to offset what might happen in the forestry sector.

In addition, Simpson says the budget document contains a line item showing revenue generated from the softwood lumber border tax:  in 2006-07 the amount was $250-thousand dollars, but it’s expected to rise to $400-million dollars in 2007-08. 

However, the area MLA says the money is not ear-marked to help the industry.  "It just disappears into general revenue," says Simpson, "And what I’ve been saying all along is that should be targetted funds back into forest health, fire and community transition because it’s just found money, it’s directly associated to that industry and should go back into that industry."

Simpson says this budget also proves the provincial liberals have dropped the ball on the federal promise of $1-billion dollars for the mountain pine beetle - "It’s not there, there’s no plan for it, there’s nothing, they haven’t been able to secure it, so there’s another $100-million dollars a year that they’ve failed to secure from the federal government that was promised in the last federal election and put in the last federal budget."


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Comments

'...it’s going to be harder and harder to attract capital in the interior.'

Maybe he could sell billboard space on his forehead.
This Bob Simpson man is 100% correct in his questions about the lack of any liberal plan for the forest dependent communities in this province. He is also 100% correct that all new found taxes on the forest industry should not go to general revenue (ie Olympics), but should go back into the industry related communites.

No plan for the pine beetle? Why again does this region elect the liberals? Surely it can't be the pathetic reason of them not being the NDP? Maybe BC does need a third party?
You might want to read the link .... budget information in the newspapers is useless .... read strategies the government proposes to apply.... this one gives a couple more words about forestry ....

http://www.bcbudget.gov.bc.ca/2007/sp/for/default.html#7
BTW .. I realize it is a bit difficult to understand .... the government also will be addressing that issue as best as they can .... I wish them luck .... they might wish to talk to their writers rather than dealing with readers.
from the page ...

Objective 5: Long term economic stability is encouraged for communities affected by the mountain pine beetle epidemic.

Socio-economic plans are expected to be completed by 2009/10 to cover all impacted communities. The number of impacted local governments (estimated at 34) and First Nations communities (estimated at 70) anticipated to be covered under these plans will change as the epidemic unfolds and therefore the projections will continue to evolve.

Per cent of mountain pine beetle impacted communities covered by a mountain pine beetle socioeconomic adjustment plan.

2006/07 Forecast 0%

2007/08 Projection 15%

2008/09 Projection 56%

2009/10 Projection 100%
Reads like a tax auditors chinglish.

The Five Great Goals....
Thank's for the link Owl but it reads like more government spin and retoric.And it isn't just the Pine that is affected either.(I guess they just missed that part)They claim it will kill 80% of the Pine forest by 2013,but it also is killing spruce.The end result will be total devastaion of B.C.'s forest industry and the impact will be felt long before 2013.Funny how they never talk about THAT part.
It is a plan of action. We now have to look at where monies come from to put that plan into action. All plans change over time as the conditions change. I would hope that governments are not only allowed to plan, but also that they are expected to plan, just like any other organization.

They should also get assessed by how well their plans are achieved.

A budget simply responds to the plan. Thus, if you want to follow a socio-economic adjustment plan through the budget, you will find it in many other places rather than only the MInsitry of Forests. In fact, my expectation is that the budget for forestry may eventually dip rahter than expand and that money will be sitting in decentralization of research, industrial expansion, infrastructure imporvement in communities to lure industries, industrial and rfesearch incentives, housing assistance geared to affected communities, etc. etc.

You aint' gonna find response to the downsizing of the forest industry in the MOF budget, that is one thing that is for sure.

I like Simpson. He is a smart and astute individual and he ought to know better. He is simply towing the party line.

BTW, the "green" part of the budget is yet to be unvailed. I do not know what will be contained in it, although some info of the direction was handed out last week. My expectation is that some of the early repsonse to the falldown of the forest fibre feedstock for traditional forest products will be included in that - biofuels being one. Hopefully it will nto all be directed at the pellet industry, but will include the process of using enzymes to break down wood fibres to create ethanol.

Does anyone recall the Mayor's carrot of some 4 or so years ago when he was talking about that secret plant (ethanol as it turned out) that was going to come to town? Well, it is time to resurrect that in a more modern technological version.
BTW ... the notion of failing to attract forest industry capital to the coast is a bit early I think. Simpson is really falling down in his ability to understand the situation.

Who in their right mind would create new infrastructure on the Coast at a time when the industry in the Interior has geared up to use as much of the MPB wood as possible. It has resulted in an oversupply, especially in the face of a demand reduction due to a housing slump in the USA. The coastal operations were generally inefficient compared to those in the Interior.

I think as soon as the Interior feedstock for traditional forest products has hit a peak, which should be very soon, the companies will have a new look at the Coastal operations and begin to put in some modern infrastructure to replace the mothballed plants. I am unsure of the situation with the First Nations there. Without agreements of one sort or another being in place, it may take a bit longer for companies to improve infrastructure.