Guy Lauzon: Canada’s Economic Action Plan and What it Means for Cornwall

January 28, 2009

On January 27, the Conservative government delivered their Economic Action Plan. The plan is crafted to provide a major shot in the arm to the Canadian economy, involves doubling infrastructure spending. It is a huge investment, the likes of which has not been seen in decades and decades.

For many Canadians, the word “infrastructure” typically conjures up visions of cement mixers, traffic delays, road diversions and orange construction signs in the summer. Hardly the stuff that dreams are made of.

But these are not ordinary times and right now, the idea of infrastructure spending is whipping up a great deal of enthusiasm across the country.

Why? Because right now, the Conservative government is getting ready to pump billions of dollars into the Canadian economy in a way that will create jobs, stimulate spending and make a difference in the hometowns of Canadians from Victoria to St. John’s to right here in Cornwall. For example, the new sports complex, endorsed by Cornwall city council, is almost certain to be eligible for significant funding through the newly announced $500 million Recreational Infrastructure Canada (RInC) Fund.

Canadians are going to see the difference this plan will have when they drive to work, take their kids to hockey practice, transport their goods and services, and travel around the country.

Infrastructure projects, such as building roads and bridges, improving water systems and others, will create thousands of jobs for Canadians, and will provide work for many different sectors of our economy.

Infrastructure spending is more than simply putting a shovel in someone’s hand and saying “dig there.” It’s the first link in a long chain of job creation, stimulus, spending and reinvigorating the economy.

Consider a local infrastructure project, like the new sports complex envisioned in Cornwall. The project requires workers: that means local jobs. The project also requires materials, like wood, steel and cement. These will typically be supplied from local dealers. It requires specialized labour, such as plumbers, electricians, carpenters; typically those who work in the community. The end result is jobs, more cash for the community and, subsequently, more money entering the local economy.

Transport and Infrastructure Minister John Baird has been examining many of these projects through the budget process and has been spearheading extensive negotiations with many different stakeholders. One of the primary goals was to make sure that the Economic Action Plan focused spending to benefit to Canadians across the country.

I want to be clear: key stimulus will cost money. An economic slowdown means that the government has less money to spend. In order to provide the key support during this challenging time the Conservative government has chosen to run a deficit in the short term, allowing money to flow to all sectors of the economy, and to reach Canadians from coast to coast to coast.

Wisely, the Conservative government has been preparing during the good times we have enjoyed up until this point. Since taking office in 2006, we’ve paid down over $37 billion from our national debt. That’s what responsible leaders do: pay off debts and improve our global credit so that if we find ourselves in a situation where a larger amount of money is needed in a very short time, we can make the necessary investments without over-burdening our children’s generation.

Now that Parliament has resumed and the Economic Action Plan has been delivered, Canadians can see the full scale of the intended infrastructure spending. In addition, we are seeing the details of the other targeted stimulus that the Conservative government is delivering to keep Canada working during this global economic crisis. Together, we are building a better tomorrow. Infrastructure spending is a key part of that. And in this context, it’s an exciting step forward to the future.

Guy Lauzon
Stormont-Dundas-South Glengarry