B.C. Finance Minister Mike de Jong.

Budget surplus hits $2.24 billion, but B.C. braces for schools settlement

Finance minister Mike de Jong won't say how much of a hit is expected from teachers' court win

B.C.’s projected budget surplus has climbed further to an estimated $2.24 billion.

Finance Minister Mike de Jong released that number as part of a generally upbeat second quarter financial update Tuesday.

He cautioned B.C. is bracing for significantly higher education budget costs in the wake of a Supreme Court of Canada ruling in favour of the B.C. Teachers Federation on classroom size and composition requirements.

De Jong declined to provide an estimate.

“It would be presumptive on my part and the government’s part to lay out our figure or unilaterally state what we believe that figure will be,” he said.

“The fiscal plan is healthy and we are in a position to accommodate the results of the negotiation that is now underway.”

Asked if the improved budget could allow B.C. to further raise social assistance rates, de Jong said that will be a priority, but cautioned there’s no certainty a large government surplus will repeat each year.

“The landscape is littered with the carcasses of governments past and the deficits they incurred because assumptions were made that a present set of circumstances would repeat in perpetuity.”

He also noted that public sector workers will be receiving nearly one per cent more pay over and above their contractual wage increases under B.C.’s economic stability mandate dividend, because the province’s growth has exceeded benchmarks. The latest 0.35 per cent dividend, resulting from 3.3 per cent economic growth for B.C. in 2015, takes effect in February and is on top of a 0.45 per cent bump a year earlier.

B.C. has seen an increase of 71,400 jobs so far this year, up 3.1 per cent as of October.

De Jong was also asked to respond to the potential that U.S. president-elect Donald Trump’s administration may start a trade war.

More protectionist policy from American leaders would also hurt the U.S. at a time when that country needs more B.C. lumber to accommodate growth projections, de Jong said.

No advertising campaign is contemplated at this time, he said, but he did not rule out strenuous lobbying by B.C.

“We are going to have to ramp up in a strategic way to ensure that Americans themselves understand there’s a price to be paid for protectionism and that it is not just a price you inflict upon others.”

He noted the U.S. forest industry has already fired the first shot against B.C. softwood lumber imports, with a petition that could lead to an initial ruling as early as spring.

Just Posted

First Nations included in latest Columbia River Treaty talks

Seventh round of negotiations between Canada and U.S. wrap up in Washington D.C.

Golden’s weekly news recap

Find out what’s going on in the community

Host/creator of ‘Sport Fishing on the Fly’ shares destination portal

‘Sport Fishing on the Fly’ host Don Freschi hooks people up with the ultimate fly-fishing experience

Services report: Golden Fire Rescue saves cat from tree

Golden Fire Rescue Golden Fire Rescue was very busy over the past… Continue reading

Rockets gain an edge with dedicated athletic therapist

The Golden Rockets are upping their game this year in many different… Continue reading

VIDEO: Killer whale steals fisherman’s catch off North Coast

Fishing duel results in eager orca snagging salmon in Prince Rupert

Fate of accused in Canadian couple’s 1987 killings in jury’s hands

William Talbott’s lawyer says DNA doesn’t prove murder

Child killed after being hit in driveway on Vancouver Island

The driver of the vehicle remained at the crash scene and is fully cooperating

Eating sandwiches, putting on makeup behind the wheel could land you a fine

RCMP say if you cause an accident while eating you could be penalized

Cat badly hurt in animal trap was likely stuck for days, B.C. owner says

Blu, a three-year-old house cat, suffered severe damage to his hind leg after being stuck in trap for days

40 cats surrendered in apparent hoarding at B.C. home

Officers found the cats living among piles of garbage and feces, suffering from fleas

Vancouver Aquarium drops cetacean ban lawsuit in new lease agreement

Ocean Wise CEO Lasse Gustavsson called the updated lease an exciting new chapter for the aquarium

Thieves steal two $40K chairs featuring gold serpents from B.C. furniture store

Chairs believed to be the only two of its kind in Canada, police said

Rising gas prices force B.C. residents to rethink summer road trips: poll

63 per cent of respondents reported gas prices are impacting their day-to-day finances

Most Read