Press Release

February 28, 2000 NEWS RELEASE Local M.P. Cullen Welcomes the Tax Cuts and Health Care & Education Funding in Budget 2000 Ottawa - A five-year plan to cut taxes for all Canadians, significant investments in post-secondary education and health care, and measures to make the economy more competitive through innovation are the highlights of the federal budget which was presented by Finance Minister Paul Martin today. "This is a budget with many elements, but a single theme: creating better lives for Canadians in a rapidly changing world," Minister Martin said. His Parliamentary Secretary, local M.P. Roy Cullen, added "Canadian families sacrificed a lot during the deficit-cutting era. Budget 2000 is our government's first opportunity to reward them with broad-based tax relief and strategic investments in areas that are important to Canadians". The plan is based on maintaining sound fiscal management, providing tax relief, building a more innovative economy and investing in skills and knowledge to ensure that Canadians have the tools they need for better jobs now and in the future. It also recognizes that Canadians want their governments to strengthen post-secondary education and health care, and help children get the best possible start in life. Budget 2000 provides: A $2.5-billion increase in the Canada Health and Social Transfer to help the provinces and territories fund post-secondary education and health care, the highest priorities of Canadians; A five-year tax reduction plan that will immediately restore full indexation to the personal income tax system, cut federal tax rates for the first time in 12 years and reduce person income taxes on an annual basis by an average of 15 per cent by 2004-05. The plan provides a cumulative tax reduction of at least $58 billion over the next five years; and A series of initiatives totalling more than $4 billion between 1999-2000 and 2002-03 to promote innovation and leading-edge research, develop new environmental technologies and improved practices, and strengthen provincial and municipal infrastructure. The 2000 budget also builds on the Government's commitment to sound fiscal management through low inflation, balanced budgets or better, and a declining debt burden. The budget forecasts a balanced budget or better for 1999-2000, and the Government is committed to further balanced budgets or better in 2000-01 and 2000-02. "This is the first time in 50 years that the budget has been in balance or surplus for five consecutive years. It has been very gratifying to work closely with Minister Martin on this historic budget. Canadian families deserve this budget" said Mr Cullen. For more information contact: Roy Cullen, M.P. 416-747-6003