I want to take this opportunity to express my best wishes to you during this holiday season. I am writing to you at this time in order to address two very important issues for the people of Ontario in general, and especially in Toronto. In recent weeks, the municipal and provincial governments have made a number of statements about healthcare funding and federal government support for the development of urban transportation infrastructure. I feel it is my duty to respond to these statements and to inform the residents of Etobicoke North of the federal government's commitments in these two vital areas. Moreover, the federal budget has recently been announced and I thought it was important that its message of building the personal and collective security of Canadians was an important one to share with all of you.

Toronto's Transit Infrastructure

The federal government has been clear in its Throne Speech and Red Book commitments that it will work with provinces and municipalities on challenges facing urban transit. However, this does not mean that the federal government intends to fill any funding voids that are a result of provincial government spending cuts.

I can assure you that the federal government is working continuously to explore ways in which we can assist the provinces and municipalities with the challenges facing urban transit. In Toronto, for example, the federal government has committed over 80 million dollars over the last few years to various projects devoted to strengthening municipal transportation infrastructure. These include renovations to Union Station, contributions to both the Sheppard Subway and the Union Station Subway platform, and the development of a rail link to Pearson Airport.

In recent weeks, outgoing Ontario Premier Mike Harris has once again tried to use the federal government as a scapegoat for his own choices and mistakes. 

Rather than accepting responsibility for his choices – in particular, accelerated tax cuts that will total $13 billion next year and $18 billion by 2006 – Mr. Harris is blaming its shortfall on the federal government and asking for an increase in the Canada Health and Social Transfer. 

It is my belief that the people of Ontario have not bought this kind of argument in the past and they will not now. 

It appears as though Premier Mike Harris may have forgotten or ignored some important facts. Perhaps a look at the record would be beneficial: 

Just one year ago, Premier Harris agreed to a health accord that provides $21 billion more in federal funding for health over five years. According to this plan, Ontario will receive an additional $ 8 billion over five years. 

Ontario's last budget shows the province plans to increase spending on health by $1.2 billion this year, with $1.1 billion of that money coming from the federal government. 

In 1999, our government lifted the cap imposed by Brian Mulroney on federal transfers to Ontario, thereby giving the province about $500 million more a year than it would have had under the Federal Tories. 

Conveniently omitted from Premier Harris' calculations of our government's participation in health care funding are federal tax points worth about $7 billion a year to Ontario. 

Since 1998, over half of additional health funding in Ontario has come from the federal government. 

The simple fact is that governing is about making choices. Clearly, Premier Mike Harris has always preferred – and still prefers – to cut taxes rather than invest in health care.

Meanwhile, our government chose to pay the bills before cutting taxes. This enabled us to give Canadians the biggest tax cut in Canadian history – $100 billion over five years – without compromising our ability to fulfill our responsibilities and cope with changing economic circumstances.

Our government is committed to free and universal health care for all Canadians. That is why we have asked former Saskatchewan Premier Roy Romanow to consult with Canadians and suggest avenues to sustain our public health care system over the long term.

Re-investing in health care has been the number one priority of our government since balancing the budget. And with the September 2000 funding confirmed, the federal contribution to health care will remain at an all-time high.

With the money resulting from the September 2000 agreement factored in, the Canada Health and Social Transfer (CHST) now reaches the all-time high of $34.1 billion a year. Of this amount, $18.3 billion is a cash transfer, and $15.8 billion comes from tax points.

Provinces are receiving $2.8 billion more in CHST cash this year. Next year, the increase rises to $3.6 billion. And these amounts keep growing.

By 2005-06, CHST cash will have been increased by $5.5 billion to $21 billion. This is a 35% increase over the 2000-01 levels. By then, total CHST transfers to the provinces will reach $40 billion. This money will assist all of Canada's healthcare facilities, including William Osler Health Centre (Etobcoke Campus).

Federal involvement in health care includes not only health services, but also health information systems, health-related research and innovation, and a one billion dollar health equipment fund.

Budget 2001 invests substantial additional funds in these areas, and more specifically for the Canadian Institute for Health Information, the Canadian Institutes of Health Research and Genomic Science.

· $6.5 billion over five years to enhance personal and economic security;
· $1.2 billion to make our border more fluid and secure;
· $2.0 billion for strategic infrastructure projects; and
· $1.1 billion over three years to support skills, learning and research.

In the wake of the September 11 tragedy, the Government of Canada has been steadfast in its solidarity with the United States. These terrible events were not only an attack against America, but against all civilized nations. Canada must also be prepared to meet this new threat of terrorism at home. 

Therefore, the federal government quickly launched a $280 million Anti-Terrorism Plan. The plan includes passing new laws, freezing the assets of terrorist organizations in the country, and adopting tough security measures to safeguard the safety and security of all Canadians. Canada is also contributing one of the largest military contingents to the international campaign against terrorism. 

Budget 2001 reinforces Canada's response to terrorism by providing the necessary resources to keep Canadians safe, close the door to terrorists and keep our borders both open and secure. Indeed, Budget 2001 provides a total of $7.7 billion over the next five years to enhance security for Canadians. This amount includes $6.5 billion for new measures to increase air security and expand our intelligence capabilities. An additional $1.2 billion is earmarked for border-related measures that will secure and normalize trade with the United States. 

Air Travel Security 

Over the next five years, the Budget will direct $2.2 billion to implement tough new security measures for planes and airports. The federal government will create a new air security authority to establish national safety standards. Among the new safeguards will be sky marshals on flights originating in Canada. To help defray the cost of increased security, passengers will be asked to pay a new Air Travellers Security Charge in April 2002. 

A Safe and Open Border 

Almost $2 billion worth of trade crosses the Canada-U.S border every day. Keeping our shared border fluid and safe has become a priority for Canada since September 11. With Budget 2001, the Government is investing more than $1.2 billion in border-related measures. Of this amount, $646 million will go to enhancing security along the Canada-U.S. border to normalize trade and travel between our two countries. Another $600 million will help build new infrastructure such as highways across the border.

Knowledge is the key to success in the new economy. Research creates new knowledge and develops that knowledge into new products and services that generate jobs and growth. Scientific breakthroughs, however, don't happen by chance. They're the result of sustained and dedicated effort. And that effort takes money.

Over the past few years, our Liberal government has made substantial investments in research and innovation. For example, in 1997, we created the Canada Foundation for Innovation (CFI) to increase the ability of our universities, colleges and hospitals to carry out world class research. This year's budget will permit the CFI to provide $300 million to support research in areas such as health, the environment, natural sciences and engineering. Next year, more than $450 million will flow from the CFI. Added to contributions from our partners, this funding will support over $1 billion in new research facilities and equipment.

Budget 2001 reflects our continuing commitment to making Canada a world leader in science and technology.

We are announcing close to $1 billion of targeted investments over three years to fund leading edge research and innovative use of the Internet. As a consequence, in 2001-2002, the Government's total expenditures on science and technology will be $7.4 billion, an increase of 25 per cent from the previous peak.

Allocations to research in Budget 2001 include:

• a one-time investment of $200 million in Canada's universities;

• an additional $110 million over three years to the National Research Council to help fund research into such areas as nanotechnology (microscopic machines), advanced aluminum, more nutritious crops and energy from fuel cells;

• an additional $36.5 million a year to the Natural Sciences and Engineering Research Council

• an additional $9.5 million a year to the Social Sciences and Humanities Research Council; and

• $25 million over five years to the Canadian Institute for Advanced Research (CIAR), a non-profit corporation that supports networks of expert researchers.