Herb
Kitchen died last week.
He was the
minister of finance in the early 1990s who brought down the difficult budgets,
starting in 1991 that were part of a plan that turned the provincial government
around.
The deficit
at the time was about $300 million and the total budget called for spending of
around $3.2 billion.
Finance minister Tom Osborne announced on Friday that he will need to borrow $3.2 billion to close the gap between what the government will spend (about $8.9 billion, plus more money for Muskrat Falls) and its income.
Officially, Tom Osborne’s deficit of $2.1
billion for 2020 will be 25% of spending compared to less than 10 percent back
in Herb’s day. But if you wanted to compare
apples to apples, then we should use that $3.2 billion cash figure, which works
out to a deficit three and a half times the size of the one Herb Kitchen brought
to the House of Assembly 29 years ago.
Thank God Herb didn't live to see what a mess the provincial deficit will actually be.