|
Business departments not doing their business, charges Opposition
|
|
Judy Foote, MHA for the District of Grand Bank and Opposition critic for the Departments of Business and Innovation, Trade and Rural Development, says that despite government=s attempts to lead people to believe it is investing in business development in this province, the reality is that little of the money allocated to this sector is being spent. Foote questioned the Minister of Innovation, Trade and Rural Development in the House of Assembly on the recent budgetary figures which show that less than 57 percent of the department=s budget earmarked for specific programs was actually spent. The department had been allocated $45 million to carry out its mandate, but in fact only spent $25.5 million of that amount. "When you examine the department=s website statistics, as well as the estimates document relating to the budget, you notice the discrepancy between the government=s promotion of what it is doing and what in fact is really being invested," says Foote. "One area which leaps out is the Strategic Enterprise Development Fund which was allocated $8 million to provide loans to small and medium‑sized businesses in rural areas in this province. It was shocking to see that only $50,000 was actually spent. "The minister defended this by saying that it was a new program and businesses were not aware of its availability. It seems logical if you want businesses to take advantage of any support government has to offer, then it is incumbent upon the department to ensure these businesses are in the know about these programs. If the premier can take out newspaper ads to take on Ottawa and explain his position, surely an awareness campaign on what is available in terms of business support would have been appropriate.@ The Liberal MHA says given the inability of the department of Innovation, Trade and Rural Development to use its funding, she is dubious that the recent allocation of $32 million to the department of Business to attract businesses to the province will be utilized anymore effectively to support rural businesses and regions. "In fact, this department has failed to show that in its years of existence that it has created any jobs. Undoubtedly, the chilly business climate created in this province by the premier will make it even more difficult to attract businesses. "Rural areas in this province are being led to believe that government is busy with a job creation action plan, which is far from true. Not only is there no comprehensive plan, it has failed to use allocated funds to boost businesses in regions that desperately require some support. Evidently, paying lip service to rural Newfoundland and Labrador is becoming more and more of a favourite past‑time for this government."
|
|
Media Contact: |