RICHMOND HILL, Ont. - The Liberals won't raise taxes if they are re-elected for a second term in October, Premier Dalton McGuinty vowed following a weekend meeting of party faithful.
Although the same promise backfired on the Liberals in 2003 when they introduced a $2.6 billion health tax shortly following their election to counter a $5.6 billion deficit, McGuinty said circumstances are different this time around.
"I'm in charge,'' McGuinty told reporters after his afternoon rally of 1,100 party supporters in Richmond Hill, Ont. "I'm not hiding a deficit.''
While the Conservatives are promising to phase out the health premium over a few years if elected in October, McGuinty said that "reckless promise'' would leave a "multi-billion-hole in the budget.'' That will lead to further tax hikes down the road, along with cutbacks and conflict, he said.
"We've seen that movie before,'' McGuinty said. "We know what happens when people claim they can find efficiencies without making cuts. We had a government that did that before.''
Despite projecting balanced budgets for the next five years, McGuinty said he won't make any "reckless commitment'' to eliminate the unpopular health tax - which earned the Liberals the nickname "Fiberals'' - beyond reassessing the need for it in 2009.
But Conservative Elizabeth Witmer said the Liberals are going to have a hard time convincing anyone to believe their election promises this time, especially when it comes to taxes. McGuinty bought television air time during the 2003 campaign to solemnly promise he wouldn't cut taxes but he wouldn't raise them either, she said.
"The very first thing he did was introduce the biggest tax increase in the province's history,'' she said. "He broke that very solemn promise. People cannot trust Dalton McGuinty.''
Telling people that cutting the health tax will lead to tax hikes down the road is just fear-mongering, Witmer said. That health tax hits middle-income earners the hardest and it is possible to put up to $900 back into the pockets of those taxpayers every year without cutting health services, she added.
"We have very carefully costed this out,'' she said.
The Liberals used the weekend meeting in the Toronto suburb to kickstart the unofficial election campaign leading up to the province-wide vote on Oct. 10th. The party is expected to adjourn the legislature this coming week - three weeks earlier than scheduled - to gear up for a summer of campaigning.
McGuinty trotted out what will likely become familiar election themes in his keynote speech to party members, differentiating the Liberals as a party of co-operation and progress from the previous Conservative regime which he said incited conflict. The Liberals have invested in health care and reduced wait times and class sizes, he said.
The government is working on a plan to fight climate change which depends on the re-election of the Liberals, McGuinty said.
"There is so much at stake here,'' he told Liberals in his Sunday speech. "We are confident that Ontarians aren't going to want to take two steps back.''
Still, some would like the parties to concentrate less on taxes and more on the issue that is top of mind for many voters - the environment.
Keith Stewart, manager of the climate change program at the World Wildlife Fund, said this coming election should focus on what McGuinty called the "defining challenge of our generation.'' The Liberal's plan to phase out the use of plastic bags and old-fashioned light bulbs isn't enough to position the party as the choice for environmentally-conscious voters, he said.
The province needs to invest more in public transit, fuel-efficient cars and measures to fight urban sprawl so people aren't driven to use their cars constantly, Stewart said.
"We're past the time for baby steps and pilot programs,'' Stewart said. "All we've seen so far is baby steps . . . we're hoping this will be a key issue in the election debate.''
