Another Promise Kept!

Upon release of the budget this Spring, Jim Flaherty stated that he would find $1 billion in savings for 2006-07 and 2007-08. Today that promise was fulfilled.

As John Baird stated, the government "trimmed the fat" today. So what was the fat? The Leader Post listed the following cuts:
- End to visitor-rebate program that gave tax refunds to tourists: savings, $78.8 million.
- Smaller cabinet announced last February: $46.8 million.
- Administrative reductions to Status of Women: $5 million.
- End to medical marijuana science funding: $4 million.
- Cuts to museums assistance: $4.6 million.
- `Efficiencies’ in Canada Mortgage and Housing Corp.: $45 million.
- Removal of unused funds for mountain pine beetle initiative: $11.7 million
- Elimination of of Court Challenges Program: $5.6 million.
- Cancellation of National Defence radar project: $13.9 million.
- Consolidation of foreign missions: $4.5 million.
- Cuts to Law Commission of Canada: $4.2 million.

Yes, these cuts are small, roughly 1% of government spending, but they are symbolic. They symbolize that this government is catering to the average Canadian, their base of support, most of whom would either agree that many of the programs affected are not something for which they are getting their money's worth or support the tightening of the fiscal belt where savings were made. In particular, although it represents a relatively small saving of $46.8 million, the creation of a smaller cabinet means less money going to politicians and that money going to paying off our debt instead. I think one would be hard-pressed to find anyone who disagrees with that redirection of funds!

The $13.2 billion dollar surplus that has been redirected towards the federal debt marks the largest single debt reduction in history, also symbolic of the Conservatives' fiscal prudence. This also shows that the Conservatives are looking forward to a time when this payment will pay off by lessening the amount that is paid in interest to service the debt in the future. And, while hefty tax cuts would be great this is a trend that should continue.