WINNIPEG - Canada's premiers and territorial leaders will discuss a delicate balancing act when they meet this week for their annual conference -- how to keep the tentative economic recovery on track while dealing with big deficits most of them racked up during the slump.
While some believe more spending may be needed for infrastructure, job-creation or education, others say it is time to rein in ballooning budgets.
"Much of the problems of the world right now, economically, are related to budgets that just got out of control," Saskatchewan Premier Brad Wall said in an interview.
"We've actually reduced spending in our budget this year in the province. That's the road to balanced budgets, it's a road to debt reduction and lower taxes and a more competitive economy. And in the long term, that serves economic growth much better than a temporary stimulus."
Wall may be outnumbered by leaders who raise the possibility of new spending as the federal government's stimulus package winds down next spring.
"I think we'll jointly be looking at (the stimulus package) as a question of where the economy is currently, and whether or not there is more to be done," said Nova Scotia Premier Darrell Dexter.
Manitoba's Greg Selinger, who will host the meeting, is a firm believer in spending during tough times. He suspended the province's balanced budget law this year to run up a deficit and boost spending on education and health care.
He also wants to discuss training with his colleagues.
"There will be a focus on the economic recovery and how Canadians can participate in that in terms of getting adequate access to education and training so they can participate in the economy as it recovers," Selinger said.
"We see the future in Canada as being an innovation economy. We see that the key to an innovation economy is a well-educated citizenry."
The $47-billion stimulus package was introduced in January 2009, and the provinces and municipalities have been told repeatedly that the federal tap will be turned off March 31. The government has left the door open to an exception for flood-ravaged areas of Saskatchewan, where severe weather this summer closed several highways, prompted evacuations and disrupted the peak construction season.
The premiers will also discuss water-protection measures. In June, the western premiers jointly called for new product labelling to help Canadians choose low-water-use appliances such as dishwashers and washing machines. The idea will be pushed at this week's meeting, Selinger said.
Water is also on the agenda for Quebec.
"There is an awareness that we're starting to feel about the need to protect water, similar to the awareness about the environment in general around 10, 15 years ago," said Claude Bechand, Quebec's minister for intergovernmental affairs.
"With climate change, we feel that Canadians from all provinces are increasingly affected by water management. That's a call that the premiers are listening to and they want to discuss how we can be more effective."
The premiers are also expected to discuss the ongoing controversy over the federal government's decision to replace the long-form census questionnaire with a voluntary one. The item is not on the official agenda, but many premiers want Ottawa to continue gathering data on household income, house sizes and other items.
"I'm sure the issue of the long-form census will come up," said B.C. Premier Gordon Campbell. "I can tell it's something that I have heard a lot more from the media about than I have from the public about."
When it comes to pushing Ottawa to bring back the long form, Campbell wasn't making demands: "It's a federal responsibility. I'm leaving it up to them."
"That's important information to us," Ontario's Dalton McGuinty said last week. "That kind of information, that gives us a bit more comprehensive and clear view ... about what's coming down the pipe in the future, that's good for us to know inside of government in terms of planning for budget purposes and social evolution."
"I hope that they're giving this a rethink."
The premiers will meet with national aboriginal leaders in Churchill, in northeastern Manitoba, on Wednesday before starting their regular two-day conference Thursday in Winnipeg.
