McGuinty warns of election after opposition parties ‘gut’ his budget

Premier Dalton McGuinty on Friday reiterated his warning of a possible summer snap election if the opposition parties — particularly the NDP — can’t work with him on solidifying the final Liberal budget.

McGuinty accused the NDP and the Progressive Conservatives of putting their own “narrow partisan interests ahead of the province.” The PCs surprisingly sided with the NDP to shoot down parts of the Liberal budget at a finance committee meeting Thursday.

McGuinty claims the parties gutted his plan.

The NDP and PCs voted down portions of the budget that deal with the loosening of some environmental protections and the privatization of government services, including Service Ontario.  

“When the ombudsman raises flags around public oversight that is being eroded in this budget, we think it’s important to respond to that,” Horwath said Friday, adding the “vast majority”, or 75 per cent, of the Liberal budget remains intact.

“When [David] Suzuki raises red flags about the erosion of environmental protections in parts of that budget, we think it’s important to make changes.”

McGuinty said he agreed to change the wording of the portion of the budget dealing with privatization, but the NDP still voted to quash it.

“Work with us. Let’s get this budget passed,” he said.

“If we cannot pass this budget, we will take it to the people in a general election.”

If a deal isn’t reached, McGuinty could visit Lt-Gov. David Onley next week to request an election be called.

“Nobody wants an election,” Horwath said, “and I don’t either.”

The Liberals won a third-term just eight months ago with voters handing them a minority. If another election is called, it would be held in mid-July.

“Making a minority work isn’t easy, but it’s worth the effort,” Horwath said Friday. “It’s what Ontarians expect us to do. We cannot threaten to hit the campaign trail every time we hit a bump in the road.”

McGuinty incorporated Horwath’s demands in the budget in a deal between the two parties in April, including a two-per-cent surtax on the rich (those earning more than $500,000 a year), a corporate tax rate freeze and a one-per-cent increase to welfare rates. However, in Thursday’s committee meeting to finalize the financial plan, opposition parties raised other concerns.

“Yesterday the NDP turned their backs, yet again, on an agreement to pass the budget … We’ve been fair, we’ve been reasonable,” the premier said.

“The budget includes ideas proposed by both opposition parties but the NDP and PCs are putting their own narrow partisan interests ahead of their province … this is about Ontario’s economic livelihood. It’s about our ability to continue steering the province in the right direction in these challenging economic times.”

McGuinty also warned the second election in less than a year could affect the province’s credit rating and “fragile” economic recovery.

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