MEDIA RELEASE
FOR IMMEDIATE RELEASE
March 28, 2012
Cambridge Chamber – “Why Was Drummond Commissioned?”
CAMBRIDGE – With the release of the Ontario Government’s Budget of 2012, promising
sweeping changes, across the board cuts in spending, measures to ensure the Provinces future
sustainability and avoidance of a steady economic decline. The Cambridge Chamber of
Commerce sees little that will prove to resurrect the powerful economic engine of Canada.
Greg Durocher President/CEO of the Chamber said “It seems hypothetical at best to suggest
this budget is going to eliminate the deficit at any date, let along 2017/2018. If everyone is to
feel the pain, including business with the freeze of the corporate tax reduction, then the
government itself needs to have skin in the game too, this budget shows no cuts to the real
problem that the government spends too much money”.
The Cambridge Chamber would support a temporary freeze on corporate tax reductions, if the
government had adopted the recommendations of the Drummond Commission Report.
Durocher says “It appears that the government has opted for increased user fees and
continuing the current level of taxation, so in reality, adding revenue as opposed to reducing
spending, we believe this fixes nothing.”
The Chamber’s impression was that the Drummond Commission was established to give the
best advice from a cost benefit analysis method. The Chamber has concluded that the majority
of significant reductions from Don Drummond’s report, were passed on, “this leaves us to
seriously question the prospects of Ontario meeting its objective of a balanced budget by
2017/2018, it seems highly unlikely with this budget, given that the public sector wage freeze is
a proposal yet to be negotiated” said Durocher.
One of the key recommendations the Chamber identified from Mr. Drummond was the
recommendation for the government to shed some of its program service delivery to nonprofits and charities who could do and manage the services more effectively and efficiently.
Nothing in this budget mentions this initiative other than studying the concept, Greg Durocher
said “It’s hard for us to believe this will lead to any tangible results, as the comment showed no
commitment to change.”
The Chamber looks at Mr. Drummond’s comments in his introduction to the report and believes
it is the foundation of the required change necessary, when he said “we expect that many of
our recommendations will be rejected. We accept that, but each rejected recommendation
must be replaced not by a vacuum, but by a better idea –– one that delivers a similar fiscal
benefit”. We do not see that happening in this budget, and as Mr. Drummond also stated,
“Spending simply cannot return to recent trends”. In our opinion, said Durocher “this budget
simply holds the current pattern for a few years, then the spending will resume, and this is not
sustainable or palatable for a society determined to inspire economic growth, prosperity and a
renewed confidence in government.”
-30For more information contact
Greg Durocher, President/CEO
Cambridge Chamber of Commerce
519-622-2221 ext 2223 / greg@cambridgechamber.com