Finance Minister Mike de Jong shows how income and property transfer taxes (at left) were higher than expected in the first part of the year.

Retail, real estate help keep B.C. in black

Forest fire season tops $300 million in costs, but higher income tax, property transfer tax make up for it

VICTORIA – The B.C. government is on track for a surplus of $277 million for the fiscal year ending next spring, despite a costly forest fire season and a continued decline in revenues from  natural gas and other resource revenues.

Finance Minister Mike de Jong released results from the first quarter of the year Tuesday, showing the surplus down $7 million from the budget forecasts made in February. It showed revenues higher than expected from income taxes and property transfer tax, as well as continued rapid growth in retail sales and sales tax revenues.

Government spending is now forecast to be $381 million more than the budget, with costs of this year’s forest fire season above $300 million. That’s more than last year, but still below the total for 2009 and B.C.’s worst fire year, 2003.

With similar surpluses expected for the next two years, de Jong said the government has room for some “modest” spending increases on programs. But the main emphasis remains paying down operating debt left from the deficit years that followed the financial crisis of 2008.

De Jong said the current trend would see operating debt paid off by 2019-20, for the first time since the 1970s. Capital debt for major construction continues to grow, but not as quickly as the size of the economy.

The B.C. economy continues to add employment, but less than one half of one per cent per year. NDP finance critic Carole James said manufacturing and forestry are struggling while the B.C. Liberal government maintains its focus on natural gas exports.

“We’re almost at the four-year mark for the premier’s jobs plan, and here we are, continuing to see less than half of the number they predicted in terms of job growth,” James said.

The opposition has focused on the government’s reduced spending on post-secondary education, and charging adults $550 per credit for high school courses they take after graduation, in order to qualify for further studies.

“Now’s the time that we should be providing support for people who want to retrain, who want to go back to school, who want to look for for those job opportunities,” James said.

 

Just Posted

MP Cullen undecided about running again

He was first elected to represent Skeena - Bulkley Valley in 2004

Nuxalk Hereditary Chiefs issue letter in opposition to gold prospecting

The letter, dated January 18, is addressed to Goliath Resources Ltd.

Williams Lake and District Credit Union sees 60 cyber fraud attempts

Recent attacks appear to be looking for members who use weak passwords such as 12345

Ferry connecting Port Hardy and Bella Coola expected to set sail this summer

Its first in-service route will sail in central coast waters on May 18, 2019.

BC Parks Student Ranger Program accepting applications for 2019 season

12 crews of four student rangers will work in regions throughout the province including Bella Coola.

Canada’s archive buys rare book that hints at Nazi plans for North America

The 1944 book may have served as a blueprint for a Nazi purge

Teravainen’s 3 points lift Hurricanes to 5-2 win over Canucks

Vancouver heads into all-star break on losing note

47 men arrested by Vancouver police for allegedly seeking sex with teenage girls

Seven of those arrested have been charged as part of a two-month operation

B.C. hospital apologizes for veteran’s five-day hallway stay

Clinical director of Victoria General Hospital says case of retired veteran ‘definitely excessive’

Speaker Darryl Plecas says ‘justice’ needed for legislature employees

Plecas spoke to media at the opening of a pedestrian and cycling bridge in Abbotsford Wednesday

Advocate hopes B.C. legislature scandal leads to more transparency

‘Depressing’ that it takes a scandal to inspire freedom of information reform, says Sara Neuert

‘Dr. Lipjob’ avoids jail, gets 30-day suspended sentence

She will have to serve the 30 days in prison if she commits a breach during her two-year’s probation

Ex-Mountie involved in Taser death at Vancouver airport sues government

Kwesi Millington claims he acted in accordance with RCMP training

LETTER: Seniors home care, day programs expanding, Adrian Dix says

B.C. health minister responds to latest Seniors Advocate report

Most Read