NDP MP says $8.5M in FedNor funding went unspent

The NDP MP for Thunder Bay-Rainy River is accusing the Conservative government of shortchanging northern Ontario on FedNor funding.

At a press conference today, John Rafferty said a research note from the Library of Parliament shows that $8.5 million in program funding from 2013-14 has been left unspent and that the budget of the economic development agency has gone down every year since 2008.

"Last year, the Conservative budget for FedNor was only $45.5 million, which is down from $76.8 million in 2005-06 - the year this government came to power," Rafferty said in a release.

"These cuts are even worse when you consider that of the $45.5 million budgeted for program spending at FedNor last year; $8.5 million was left unspent. That is $8.5 million which could have funded job growth for Northern Ontarians."

Rafferty took aim at Kenora MP and FedNor Minister Greg Rickford and the entire Conservative government.

"We now have the money lapsed. And, so the question really is, why has so much money lapsed. The bottom line is that Stephen Harper told Greg Rickford that you have to give me money back, because we want to balance the books. Which means that Stephen Harper wants to balance the books on the backs of northerners."

Government reacts

Kenora MP Greg Rickford, who is also the Minister of FedNor, said Rafferty's take on the government's spending is incorrect.

"Over the past couple of years, certain programs within FedNor have sunsetted or come to a completion in the middle of a fiscal year. There has been carryovers. I believe if Mr. Rafferty's numbers reflect anything, it's that."

"We have had carryovers in the past. Mr. Rafferty would not understand that because he's never been part of a government, and he doesn't understand how those programs work."

Rickford said the city of Thunder Bay has received over $23M in FedNor funding since 2006.

"The fact of the matter is that the FedNor investments on an annual basis particularly in the city of Thunder Bay has amounted to more than any other community in the region."