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18 'THE OSHAWA TIMES, Wednesdoy, September 14, 1966 * Ottawa Wants To End Social Programs Role enh nat ts a eg soa roam = Siler Uses the costs pedis ae aan 'vita ine provinces. on an objective program el riek said the amount received by the provinces after April 1, I ,, "would increase quite iadepeideatty orane ar manet sartainiw mass annidle do-|than -- program costs on the formula we will propose." wili| NEEDN'T ACCEPT will get further un- species amounts of federal ui ge 2 insurance, costin; ag vn treasury $ea0 0F0,000 this fiscal year, the = nati Ottawa $52,800,000 and the new Canada Assistance Plan cover- ing old age assistance, blind d disabled allowances and unemployment assistance at a cost of $175,000,000. 'As a principle, Mr, Sharp the federal govern- ment wants gradually to end its influence on provincial policies in fields such as health and wel- fare which are primarily a pro- vincial responsibility under the constitution. PROPOSES PAYMENTS Starting Jan. 1, 1967, Mr. Sharp proposed that for the three shared - cost programs-- hospital insurance, health an a Canada Assistance federal government turn over to the provinces: Seventeen per cent of perso- nal income taxes collected, an additional amount to bring this share of income taxes for each Province up to a national aver- age of personal income taxes plus adjustment grants to raise the total to the level which the federal government now pays for its share of these programs. The provinces would make a @orresponding increase in their Personal: income tax and the amount received would be used in calculating the general equalization formula applying over the whole range of federal- provincial tax- arrange- ments, Mr. Sharp proposed that after April 1, 1970, any federally-im- posed conditions atiached to the shared-cost social pro- grams would be dropped. Fed- @ral compensation for these ar ealating the Siestmont Tax Change Will Aid Provinces OTTAWA (CP)--The poorer Provinces would get an extra $140,000,000 this year from Ot- tawa under a revamped tax- @qualization formula proposed by the federal government. Finance Minister Sharp, in a policy statement prepared for today's federal - provincial tax conference and made public Tuesday night, said that a "fundamental reform" of equalization payments is needed to redistribute wealth between have- and have - not provinces. He proposed a complex, flex- ible formula based on per cap- ita provincial revenues, which would take effect next April' 1 for five years as part of a new tax-sharing agreement. If the new formula were ap- plied in the fiscal year ending March 31, equalization pay- ments would jump to $491,500,- 000 from $352,800,000 Quebec's share would climb by $85,800,000 to $235,300,000. He said the provinces aren't obliged to accept his proposal since the hospital insurance ments can be ended only mutual consent. or on. five. ;\years' notice and the Se ek te the pore therefor erento "ay thease Canada ce Plan agreements do not expire until 1970. But he hoped the provinces would be attracted by the long- term financial benefits, obtain full freedom to manage the pro- Ss and strengthen 'the toads of Confederation" by Bigg OTTAWA (CP) -- Federal- provincial tax talks starting today must result in the prov- bringing about greater uniform- ity in the application of federal inces getting a bigger share of personal income taxes, Premier Robarts of Ontario argues. er Tax Share Sought By Robarts "only reasonable' that prov- inces get a bigger piece of the action, Tne statement says a greater share for the provinces of in- come taxes could not be ex- eq their. obliga' ual footin with regard to Ontario feels strongly enough about the question te be unwill- ing to consent to any final ive role' these measures have provided, but a major review is agreement on inte rprovincial | needed. equalization payments "until our position in tax sharing has been satisfactorily deter- mined," Mr, Robarts' state- ment says. On federal - provincial cost- There were "deficiencies" in present agreements and that form. of intergovernmental _ fi- nancing had mushroomed "into an unwieldy proliferation of specific programs." In a statement prepared for the federal-provincial tax struc- ture committee meeting and re- laws and taxes, Standards would be main- tained through continuing the leased to the press before deliv- present inter-governmental M&-\ery, Mr. Robarts says personal mnerl, shiners to ccernene in sank weawlane cad he ane | income taxes are the most sig- of federal-provincial finance. eg to any province that wants These factors would be part of general agreements with the provinces along with undertak- ings by the provinces to main- tain uniform residence require- ments to qualify for all health and social security measures. This uniform residence re- quirement would place a bur- den on provinces where more people moved in than moved out. So, Ottawa would pay an- nual "'portability grants" to provinces with a net gain in DAY -- WEEK -- MONTH $8.00 PER DAY suttace chance 725-6553 RUTHERFORD'S CAR AND TRUCK RENTALS 725-6553 14 ALBERT ST, Oshawa population from migration. "However, an immediate ad- justment of the personal income tax would have the merit of put: ting ihe iederai ana provincial 1 tinued federal technical "assist- MACENt Brown Wax, 30 it cA adh a Pe Fe aide As ce! vn 8 muie nee pected to solve all the problems ATTENTION -- Parents -- Young People commencing SATURDAY, SEPTEMBER {7 ~ tt d Al ins SATURDAY MORNING GLASSES FOR YOUNG PEOPLE FROM GRADES SIX - SEVEN "SIGHT AND HIGH SCHOOL. Choose ONE of two-sessions: 9:00 to 10:30 A.M. or individual instruction 10;30 to 12:00 p.m. Students do neater, better work, Take more interest in school work -- jet better grades uition 1,00 per Set. REGISTER BY PHONE DIAL 725-3375. MRS, STELLA BENNETT REGISTRAR sharing programs, the state- On equalization, the state-|paying for much of 'the federal" ment says Ontario recognizes|ment says Ontario as a yp transfers to the poorer ones, the "significant and construct-| province accepts the burden So OSHAWA HOME SHOW THURS., FRI., SAT., SEPT. 15thy 16th, 17th. -- mart A Division of the S. $. Kresge C: Advertised Items on Sale THUR. FRI. SAT. 10 AMI to 10PM DRUG DE RTMENT Top Quality Merchandise at Lowest 'DISCOUNT PRICES' "THE key To BETTER VALUE" HALLMARK FRAGRANT TI ~~ Spatial Bemus 4s Yq More FREE? Payments to the four Atlantic provinces would increase by $56,300,000 to $200,000,000, Manitoba's share would go up by $1,600,000 to $29,100,000. ONTARIO GETS NONE } Ontario, Alberta and British Columbia enjoy per capital rev- enues above the national aver- age and they would receive no equalization payments, as at present. Saskatchewan, receiving $33,- 20,000 this fiscal year, would get $6,000,000 less in 1967-68 and gradually drop to zero after five years if its revenues remained above the national average. This "transitional payment" to Saskatchewan was added after Liberal Premier Ross Thatcher denounced the new formula last month because it would have wiped out equaliza- tlon payments to his province starting April 1. The new formula will yield steadily - rising payiments to poorer provinces when Cana- dian production and income levels are going up. BUSINESS MEN'S LUNCHEONS 95¢ -- 1.35 Good Food DOWNTOWN LOCATION FULLY LICENSED PARKING REAR OF HOTEL HOTEL LANCASTER 27 KING ST. Ww. CRASHER 'SPECIALS RESDAN DANDRUFF REMOVER HAIR DRESSING end CONDITIONER Contains ne elechol or oil. 6 ounces » LISTERINE ANTISEPTIC Mouthwash and Gargle Relieves sore throats due to colds. -- bed breath. 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