Highlights from the 2019 federal budget tabled Tuesday
OTTAWA – Highlights from the federal Liberal budget tabled Tuesday by Finance Minister Bill Morneau:
– $1.7 billion over five years, and $586 million a year after that, for a Canada Training Benefit to help workers upgrade skills and acquire new ones while keeping their jobs. The benefit includes a $250-a-year tax credit to pay for training programs and access to employment insurance to cover living expenses for up to four weeks away from work.
– $1.18 billion over five years to toughen border security, including hiring more judges to handle judicial reviews of asylum applications.
– Measures to make housing more affordable, especially for first-time buyers, by letting them borrow $35,000 from RRSPs (up from $25,000) and having the Canada Mortgage and Housing Corp. contribute a small share of equity for down payments.
– A federal deficit of $19.8 billion, including a $3-billion “risk adjustment,” an increase of $200 million from last year’s forecast. The Liberals’ forecast again includes a gradual reduction in the deficit, but not quite as quickly as anticipated last year. By 2023-2024, the projected federal deficit is $11.4 billion.
– $3.9 billion for farmers in supply-managed industries affected by new trade agreements with Europe and a bloc of Pacific Rim countries.
– $2.2 billion for municipalities’ and First Nations’ infrastructure projects, through a one-time boost to the amount distributed through the federal gas-tax transfer.
– $1.2 billion over three years to enhance social services for Indigenous families and children, the main element in a package of spending aimed at Indigenous Peoples.
– Lowering the interest rate on Canada Student Loans to the prime rate, from the current prime-plus-2.5-percentage-points.
– Creating a new Canadian Drug Agency to centralize the evaluations of the effectiveness and efficiency of new drugs and buy in bulk nationwide, instead of province-by-province.
– $500 million a year, starting in 2022, to subsidize the costs of drugs for rare diseases, whose high costs are distributed among very few patients.
– $300 million over three years for rebates of up to $5,000 on electric or hydrogen-fuel-cell vehicles (with a maximum purchase price of $45,000).
– $950 million for municipal governments to refit their own buildings for energy efficiency and to provide their own subsidy programs for private homeowners to do the same.
– $50 million over five years to devise a new national dementia strategy.