Federal budget 2015 promises funds for Ring of Fire, forestry

The federal budget holds plenty of funds for northwestern Ontario, according to Natural Resources MinisterGreg Rickford.

Rickford, the Conservative MP forthe riding of Kenora, said the government will spend $23 million over five years for chromite processing. Chromite is the key mineral in the Ring of Fire mining development area. There were other mining benefits, as well.

"We've extended the mining exploration tax credit and expanded the definition of mining exploration expenses to include the costs of community consultations and environmental assessment processto be 100 per centdeductible, effective immediately," he said on Tuesday.

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The Conservative government tabled the federal budget on Tuesday with a $1.4 billion surplus,down from $6.4 billion projected a year ago and $1.9 billion in November.

The budget also includes $86 million over two years forsmall forest companies to spend on innovation and expanding markets.

Rickford is also the Minister forthe Federal Economic Development Initiative for Northern Ontario. He said people can look forward to more funding announcements from FedNor in the coming months.FedNoris the federalgovernment's economic development organization for Northern Ontario.

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FedNordidn't get any new money in Tuesday's budget, butRickfordsaid more will come once details of the $210 million plan to celebrate Canada's 150th birthday are revealed. The celebrations will include fixing up public buildings, andinvesting in existing arenas, municipal halls and facilities that will be administered through FedNor, he said.

Promises for business owners

NDPMP JohnRaffertysaid the northwest has been left out with the federal budget and doesn't address the concerns of Northern Ontarians.

"There's nothing in the budget forFedNorto at least replace the money, the millions of dollars that's been taken out ofFedNor," said the representative for Thunder Bay-Atikokan.

Rafferty also saidthe budget doesn't address safe drinking water for First Nations, and that the infrastructure spending is not for projects in the region.

Thunder Bay-Superior North MP andGreen Party deputy leaderBruce Hyersaid, despite some positives, he's generally "disappointed" in the budget.

"This has no profit-and-loss statement, it has no balance sheet. I have three small businesses and my businesses wouldn't survive if I ran my businesses the way the government runs its business," he said.

Meanwhile, the president of Thunder Bay's chamber of commerce saidthebudget holds a lot of promises for business owners, including cutting the small business tax rate cut to nine per cent from 11 per cent. Butmost of those benefits are expectedfor 2016 orlater, said Charla Robinson.

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However, Robinsonsaidthe specific mention of the Ring of Fire and chromite production means the government does recognizetheir economy opportunity.