The provincial government announced late last week that they intend to take Ottawa to court over the Federal Equalization Program.
NL Immigration, Population Growth and Skills Minister Gerry Byrne says this goes back to a 2008 change to the equalization formula, where a percentage of resource revenue was to be included. The NL government at the time negotiated a cap on payments that was introduced on resource revenue inclusion to the rate of 100 per cent but over a five year period, the province will lose over $3 billion dollars, according to the MHA.
Byrne says the formula doesn’t take in the reality of what it takes to service a province and other remote areas of Canada. Saskatchewan has joined the province in this constitutional challenge, which will be filed in a Newfoundland and Labrador court in the coming weeks.
Other stories in this CKVB Newscast include: National Pride Month kicks off in Corner Brook, Women and Gender Equality Minister talks about Pride month, and a roadshow gala is brining information to rural areas.
