Provincial cuts will ‘devastate’ most vulnerable, Heit says
Community service department staff will be looking for ways to help some of the most vulnerable people when they are hit by “devastating” provincial funding cuts in November.
Following a presentation by Niagara Region community services commissioner Adrienne Jugley about the impending cuts, public health and social services committee members voted Tuesday to ensure the Niagara’s four provincial government representatives are aware of the potential impacts of cuts to such programs as Ontario’s transitional child benefit program as well as changes to earnings exemptions for people on social assistance.
St. Catharines Coun. Brian Heit called the cuts “devastating,” saying they will affect the most vulnerable people in the community.
Jugley said the transitional child benefit program is designed to assist families with providing necessities such as food and clothing for children until they receive child benefits.
She said last year 2,046 children received benefits through the program for a total cost of $1.38 million, and in the first half of this year about 300 families accessed the program.
Jugley said about half the people receiving the benefits are newcomers in the process of applying for citizenship or immigrant status, and they are unable to file income tax and can’t receive child benefits. Other recipients may be single mothers who are still in school, or couples who have recently had children.
Through the program, she said a couple with two children who had been receiving more than $1,650 a month will see their cheques reduced by more than $400 when changes come into effect.
“This is a big concern, certainly for families,” she said.
Heit said a single parent with one child “that has been getting $1,200 and change (a month) to feed their family, to pay their rent, it’s going to be reduced automatically to $958.”
Jugley said the proposed changes will also reduce most earning exemptions for Ontario Works program recipients, before payments are reduced. And any unreported income will be recovered by reducing payments at a rate of 10 per cent, compared to the current five per cent overpayment recovery rate.
Heit called the earning exemptions changes, also to come into effect in November, a “true disincentive for anyone to better themselves.”
“This is what the provincial government is suggesting they’re going to do,” he said. “It’s going to be nice, plain English, put to all these people saying not only are we going to hit you here, but we’re going to hammer you here — and too bad, so sad.”
Meanwhile, he said, Niagara’s community service department workers will be fielding calls from angry people who are being affected.
Regional Chair Jim Bradley said the anticipated cuts have “huge ramifications for the Region and all regions and all municipalities.”
Even regional chairs from other areas who would typically be “very strong supporters” of the present government “were alarmed at the provincial costs that would be imposed upon property taxpayers.”
When facing provincial funding cuts, he said municipalities must choose whether to cut programs or assume the costs that had previously been born by the province. And the property taxes municipalities rely on don’t take into consideration a person’s ability to pay.
“These are very vulnerable people who are hit by this, and I think we have an obligation to share with our provincial and federal partners the implications of these cuts,” Bradley said.
Jugley said another issue is potential changes to Ontario Disability Support Program eligibility, although precisely how those changes are rolled out have yet to be determined.
Adding to the pressures, Jugley said the province is allowing a 2.2 per cent rent increase “across the board” — the largest increase since 2013.