Liberals, PCs ignore N.B. debt crisis: expert

The Liberals and Progressive Conservatives have failed to tackle New Brunswick's staggering debt and deficit issue, focusing instead on unrealistic promises during the election campaign, according to a public administration expert.

Donald Savoie, the Canada research chair in public administration and governance at the University of Moncton, writes in an analysis for CBC News that the election campaign has been "wasted days" in terms of informing the public about the implications of the provincial government's $749-million deficit.

Savoie, who wrote a similar analysis at the start of the campaign that warned the province will face widespread budget cuts and tax hikes to address the debt crisis, said the two major parties have ignored the most pressing issue.

"The campaign commitments of both major parties are not realistic and they fail to address the most important challenge confronting the province. Be happy, don't worry, vote for me, may have some merit on the campaign trail, but it is not reality and it is disconnected from the art of governing," Savoie said.

"In a few days, the government, no matter which party wins power, will sing a different tune. Campaigning and governing will suddenly reconnect. Politicians may ask once again why citizens do not respect their profession. They only need to look at the election campaign to find the answer."

'The goal is the pursuit of political power as an end in itself.' — Donald Savoie

In a recent CBC/L'Acadie Nouvelle poll, 81 per cent of respondents indicated the debt and deficit were important issues.

But only 25 per cent of those polled by Corporate Research Associates said they were willing to pay higher taxes to curtail the deficit, while one-third said they would accept spending cuts.

The provincial government is also staring at an $8.3-billion debt that is projected to hit $11 billion by 2015 as annual deficits keep accumulating.

The NDP, Green Party and People's Alliance have attempted to highlight the worsening fiscal climate during the campaign, Savoie said, but they do not have a realistic shot at forming a government.

Promises, promises

The Liberals and Tories, who are at the top of public opinion polls, have been concentrating on a plethora of promises that the public administration expert said are not reasonable.

Savoie offered a blunt assessment of why the debt crisis is not being addressed on the hustings by Liberal Leader Shawn Graham or Progressive Conservative Leader David Alward.

"The objective of political campaigns at least for the two major political parties, it seems, is not to inform New Brunswickers about the challenges ahead and how best to meet them," Savoie said. "Rather, the goal is the pursuit of political power as an end in itself, and only worry about difficult decisions after the election."

The Liberals have promised to eliminate the deficit in four years by holding growth in public spending to one per cent a year and creating 20,000 new jobs.

The PCs say they would balance the budget in part by creating a government office to recommend areas to cut spending and by halting planned tax cuts for corporations and citizens earning more than $118,000.

Future problems

Although the Liberals and the Tories have sidestepped the delicate issue of dealing with the mounting debt, Savoie contends the next premier will be forced to confront it after Sept. 27.

He said New Brunswickers will find themselves in a "brave new world" of rationalizing public services.

After public outcries over lack of consultation on issues such as the potential sale of NB Power or reforms to French immersion schooling, Savoie said he hopes politicians have learned to involve citizens in important decisions.

"The discipline of governing will require political leaders to speak truth to New Brunswickers to address the province's fiscal challenge," he said. "One only hopes that it will not be too late."