WINNIPEG – Manitoba’s NDP government insists it didn’t break its promise to spend all revenue from its sales tax hike on infrastructure.
Last year the Provincial Sales Tax was increased from 7 to 8 per cent, in what the Selinger government said was a necessary move to raise more money to spend on roads, bridges and other infrastructure projects. But a report released Tuesday shows the province is still sitting on $75 million dollars collected from the tax hike.
Manitoba’s finance minister says she didn’t expect to spend all the money right away.
“We heard form the construction industry this is great but we need time to make sure we have the people hired, that we have the equipment and there is time to design projects,” said Jennifer Howard, the finance minister.
She says all the cash will be used over the next five years but critics aren’t confident that will happen.
“The same government that promised not to raise the sales tax is now saying trust us we are going to put all this extra money into roads, it just doesn’t add up,” said Colin Craig, with the Canadian Taxpayers Federation.
The province says it did spend $115 million dollars more last year on infrastructure …read more
Global News Winnipeg: Manitoba government defends infrastructure spendingManitoba government defends infrastructure spending