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Date: Sat, 14 Jul 2007 10:31:01 -0700 (PDT)
Subject: [KCUTS] B.C. boom leaving too many in poverty
From: meadow@netidea.com



Saturday » July 14 » 2007

Leyne column: B.C. boom leaving too many in poverty
Reports show economy strong, but 'social conditions' worsening

Les Leyne
Times Colonist

Thursday, July 12, 2007

Finance Minister Carole Taylor presented a striking portrait yesterday of
a province that is running smoothly on all cylinders. Seven credit
upgrades in the last three years. A surplus seven times bigger than
expected. Robust growth. Debt is being paid down, hospitals are going up.

But there is a nagging problem that hasn't gone away during the last few
years of economic boom. And that's the fact that a disturbing number of
people are missing out on the ride.

There is a big discrepancy between Taylor's release of the public accounts
-- the definitive report on B.C.'s financial and economic performance over
the last fiscal year -- and the B.C. Progress Board report that came out a
day earlier.

That independent group, set up by Premier Gordon Campbell to monitor and
report on how the province is doing, said that B.C. now ranks ninth out of
10 provinces in "social conditions."

About 17 per cent of the population lives below the low-income cutoff
point, a proportion that is higher than the national average.

The social-conditions index measures low incomes and joblessness, as well
as the level of help for families grappling with those issues.

And by any conceivable standard, ninth out of 10 is an absolute failure.

But the big question is how a province that is awash in good times could
come up so short in terms of the percentage of families who are existing
on income well below the level needed to live a comfortable life.

There is no clear answer. Despite a number of initiatives over the past
few years to ease the strain on low-income families, B.C. has been lagging
on that front for the six-year history of the Progress Board, to the point
where it commissioned a special report last winter to figure out why.

Some of the disparity is explained in that report by a dense statistical
comparison of federal and provincial job numbers.

But the general conclusion is troubled puzzlement at the relatively high
number of people still struggling on the margins of a prolonged boom.

People doing well are doing very well. But there's a core group of people
for whom sustained economic good times haven't made much difference.

If the board was puzzled last winter, it must be outright perplexed today,
as B.C. has actually slipped a spot on the scale, from eighth to ninth.

The B.C. Liberals' stated goal back in 2001 was to make B.C. first or
second in social conditions by 2010. It has been eighth, ninth or tenth
for the last five years.

Now they have two years to advance at least seven spots, which is a very
unlikely proposition. Particularly when the thrust of next year's budget
is going to be environmental measures related to climate change, not
social change.

It's clear B.C. has a chronic problem with a higher-than-average number of
people being left behind during a time of general prosperity.

But you would never know it from Taylor's presentation on the economic
picture yesterday.

By definition, the public accounts concentrate strictly on numbers. And
the numbers still look remarkably good. Huge volumes of cash are coming in
to the treasury and most of it seems to be going to all the right places:
Roads, hospitals and paying down debt.

The Liberals can also point to an array of social programs that have been
topped up recently as evidence they are at least trying to improve the lot
of low-income families.

"We constantly say in terms of improving the economy and the social
situation ... we have to do it in steps, we can't do it all at once,"
Taylor said yesterday.

There have been some significant steps to address the problem by way of
shelter and housing supports and more aid aimed at children on welfare,
children at risk and disabled people. And there was a big push earlier to
focus on low-income seniors.

"It's top of mind," Taylor said. "Every budget I will be involved in will
in some way or another try to improve the social situation and social
conditions. But we can't make the jump ... just in one budget, so I think
we're making progress."

That's a commendable approach and I don't doubt her sincerity.

The trouble is, when you go looking to the Progress Board for evidence of
that progress, there isn't any.

Just So You Know: As long as we're on the subject of money, a further note
regarding former deputy minister of finance Tamara Vrooman's move to the
CEO post at VanCity Savings. A reliable source pegs the compensation
package, including salary, bonus and benefits, at $800,000 a year.

And a further historical note: She's the second deputy finance minister
VanCity has poached. The first was Larry Bell, who made his move to the
CEO spot there in 1984.

lleyne@tc.canwest.com
© Times Colonist (Victoria) 2007




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