REPORT TO: Members of Council March 3rd, 19 FROM: Mayor J.M. Campbell 0) | 4 MAR 3 1975

I'm most annoyed with this budget - especially as it was the responsibility

of our M.L.A., Mr. Barrett. We have done everything we could to bring to his attention the plight of the municipalities. He chose not to listen and absolutely ignored us in this budget. From this attitude I must accept the fact that he has no respect for our level of government or else he is totally ignorant of our - functions. To make sure that this is not labelled anti N.D.P. I was shocked by

the meek acceptance of this part of the budget by the opposition. If they can't spot a glaring injustice, then they should seek another form of employment..

Last year on T.V., the Minister of Municipal Affairs, former Alderman Jim Lorimer, admitted that the municipalities were in trouble and must get an

' dncreaseed per capita grant. This budget proves one of two things - either he has no clout in the cabinet or else he no longer cares about our problems. The arguments, now given, that they are taking over municipal functions to save us money, just is not true. While Vancouver's ambulance is complately paid for by the Provincial Government, we get’ paid by the trip - at very little saving to

_ us. The court system saves us some money although they receive all the fines. Our aid in sewerage disposal is just in excess of one mill. In total the Provincial Government has saved us $140,000. or 2 mills. Their decision to pay grants on present population is long overdue and: will net us about $200,000. or 3 mills. This should have come to us years ago.

It is interesting to note the increases to the departments in this budget. Agriculture up 297%, Consumer services up 119%, Transportation up 100%, Mines up 99%, Recreation up 85%, Human Resources up 81%. Even the Premier's Office is up 41%.. Yet Municipal Affairs is up only 22%. But the Government has promised us a share of the Natural Gas Tax - not resource tax as often stated - Natural Gas Tax. And this was only promised to put pressure on the Federal Government for a better deal. Why are we not getting a share of Fisheries, Forests and Mines if there is a belief in sharing resources taxes. Lorimer should learn that a bird in the hand is worth two in the bush. If they believe that the Natural Gas Policy will bring in $45,000,000. as they claim, our share would be $15,000,000. or $735 per capita. Why not guarnatee us this amount even if the tax falls through ~- $15 million is not excessive out of a 3 Billion dollar budget - thats 3,000 million dollars. Also, the Canadian Energy Policy is to export less and less energy each year so we are tying ourselves to an ever-decreasing source of revenue.

This does not make sense. .-.-.cont'd. Page ~ 2 -

Please See Reverse Side.