Terence Young, M.P.
Oakville

Young Says Budget is Good for Oakville

by David Lea, Oakville Beaver, January 30, 2009

Loans available to Ford, tax cuts for low-medium income people and federal cash for local infrastructure projects are just a few of things Oakville is getting out of the recently released Conservative budget.

This assurance that the federal government has not forgot the municipality was offered up by Oakville Conservative MP Terence Young, who noted that while he still has to fight to get some things for Oakville there is still plenty there the town can make use of during this rough economic time.

In particular, Young pointed to $2.7 billion in loans the government has made available to the auto industry, which could benefit Oakville’s beleaguered Ford Assembly Plant.

Young noted Ford is not asking for that money now, but may need to access lines of credit in the future.

"This is not a bailout," said Young.

"It’s money offered on the table as loans to the Detroit three, which need to be paid back and there are very strict conditions on those loans. For example, anything taken has to be paid back within 90 days, there are conditions on how they pay their executives so there are no golden parachutes or big bonuses when they use these and they have to bring forward a business plan by Feb. 17, that shows they can compete with the other car companies."

Young also noted auto dealers and business owners in Oakville will be getting some much needed relief thanks to additional credit the government is making available.

"People who want to buy cars will be able to buy them because 90 per cent of the cars on the road are financed either by lease or by purchase. The easing up of credit is very, very important, in fact it was the most important issue I heard when I did my consultations with businesses in Oakville," said Young.

"About $200 billion in new credit is being made available through ‘Extraordinary Financing Framework.’ That means small businesses and large businesses will be able to access credit that’s critical to providing jobs."

In the area of home ownership in Oakville, Young said the government was also making things easier by freeing up around $125 billion so banks can give people mortgages while those who already own homes can add that new bedroom or bathroom thanks to a $1,350 home renovation tax credit.

On top of this, those interested in making their homes more environmentally efficient can draw on around $300 million from the ecoEnergy Retrofit program.

Those who purchase a home for the first time will also be helped by up to $750 in tax relief.

Tax relief was a recurring theme throughout the Conservative budget, with a family with a combined income of $70,000 saving around $500 per year thanks to the budget’s tax cuts.

In another change, a family with two children will now get around $436 per year due to an increase to the child tax benefit.

"The critics are saying some people will save the money and that’s true, that was true today and that was true last year. Some people will save the money, but others will spend it and it goes back into the economy and creates more economic activity," said Young.

In the area of social housing, Young noted he is trying to get Oakville’s share of $1 billion the government will use for social housing unit renovations and energy retrofits, as well as $400 million being used to create new social housing for low income seniors.

Getting money for Oakville’s upcoming infrastructure projects is also on Young’s to do list.

"There’s going to be $2 billion, brand new money, made available for infrastructure projects and I have already submitted a list of infrastructure projects in Oakville. I met in December with Oakville Mayor Rob Burton, Regional Chair Gary Carr and MPP Kevin Flynn and they were very helpful to me to identify needed projects where we could get the shovel in the ground quickly," said Young.

"This stimulus won’t work if it’s money next year or the year after. It’s got to start soon and I am optimistic some of those projects will be approved so there will be new construction in Oakville, which means new jobs."

As helpful as some of these budget perks could be to area residents, they come with a steep price, an $85 billion deficit over five years.

Young noted that going into deficit in troubled economic times is simply the way things usually work.

"The government is the only solution to this," said Young.

With so much spending, many have pointed out that this is not a Conservative budget and Young agrees, noting it is what the times demand and therefore must transcend politics.

"This is a practical action plan that will work for Canada," he said.

"It’s not Conservative, it’s not Liberal, it’s dynamic, it’s effective."