Why is privatization such a large and looming threat here in Ontario?

The Harris Conservative government in the mid-1990s had a very strong privatization agenda and a lot of hardships we are still feeling today are a direct result of the push for deregulation, business-model government policies and the abandonment of social programs and public services.

Remember Walkerton, hospital closings, private super jails, schools starved of adequate funding and resources.

When the Harris government dumped $800 million in new expenses on to Ontario municipalities he created a crisis so long-lasting that rebuilding is still a daunting task. Municipalities were left on their own to cope with transit, police services, fire services, sewer and water, social housing, libraries and ambulance.  Our municipalities still share the costs of other responsibilities with the province – child care, Ontario Disability Support Program.

The McGuinty government is no different than the Harris government.

It is with dismay that we see the current McGuinty government carrying on with the steady and stealthy push to privatize key areas of public services and public infrastructure renewal.  The deals are called public-private partnerships (P3s).  You should be aware of them and municipalities must beware of them.

Your city and town will end up paying the price of this ongoing downloading over and over again.

What are Public-Private Partnerships (P3s)?

Public-private partnerships are a way to borrow money for public capital projects without appearing to be spending money and thereby showing a deficit.  The problem is that while this looks good on Budget Day, borrowing from the private sector costs more.  So the taxpayer – that’s you and I – end up paying much more in the long run.

These ‘partnerships’ can crop up anywhere there is a profit to be made by private corporations – construction of a new hospital, upgrading roads and bridges, building a new arena or school, the operation of the local water and sewage system – any part of our public services and public infrastructure.  Municipal governments across Ontario are being pressured to allow the private sector into the bidding process.