New Brunswick

Roger Melanson says tolls are possible as Liberals fight deficit

Finance Minister Roger Melanson is not ruling out the imposition of tolls in his upcoming budget, a similar stance to the one held by the former Progressive Conservative finance minister.

Former Tory finance minister Blaine Higgs also floated the idea of tolls in 2011 and 2013

Finance Minister Roger Melanson is not ruling out the imposition of tolls in his upcoming budget, a similar stance to the one held by the former Progressive Conservative finance minister.

Melanson said Thursday on Information Morning Fredericton that he would not rule out highway tolls or any other measure that could help the provincial government raise revenue to deal with its fiscal woes.

The finance minister said he will “consider all options” when drafting his March budget. But he said New Brunswickers need to be a part of the decision-making process.

“I think it is important that when we have our open consultation process for getting the operational budged ready for next fiscal, we want ideas, all ideas from New Brunswickers,” Melanson said on Thursday.

“Please bring us your ideas, considering doesn’t mean it will go forward but considering will certainly inform us of all different ideas and options that we have to try and address this fiscal situation that we have in front of us.”

Former finance minister Blaine Higgs held a very similar policy position when he occupied Melanson’s office.

 In February 2011, Higgs told a public meeting that putting highway tolls back on some roads was a possibility as he tried to wrestle down the province’s deficit.

When Higgs brought in his 2011 budget, however, there was no sign of highway tolls in the document.

In January 2013, Higgs again raised the prospect of a referendum on increasing the HST or putting on highway tolls.

He even estimated that highway tolls could raise $30 million in revenue for the provincial government.

But the 2013 provincial budget was silent on highway tolls.

If Higgs had wanted to impose tolls on provincial highways, he would have needed a referendum thanks to a law created by the former Bernard Lord government prior to the 2006 election.

However, Higgs introduced a new Fiscal Transparency and Accountability Act in May, prior to this year's election, that eliminated the need for a referendum on raising taxes or creating tolls in certain circumstances.

A provincial government can now bypass a referendum on these contentious decisions if the provincial deficit is more than $400 million.

In November, Melanson announced the projected deficit is $377 million.

The Liberals are also undertaking a strategic program review that is intended to look at the services the government offers and decide if they should continue.

“We also said, the premier has said, that everything is on the table in terms of revenue. So I am not saying this is what we are going to do, I’m saying we will look at everything,” he said.