Buying alcohol is not a crisis, so why is it Premier Ford's highest priority?
Summer is finally in full swing across Algoma-Manitoulin, and with it comes a renewed appreciation for all the things that our part of the world has to offer. Most obviously, we are blessed with abundant natural resources in our corner of the province. We have ready access to pristine lakes, forests, hiking trails, and campgrounds, which provide we Northerners with many ways to unwind and spend their leisure time.
In the same vein, we are also gifted with so many wonderful 'human resources' in our riding as well. During the legislature's summer recess, I spend much of my time attending events and festivals hosted by various municipalities, charitable groups, and community organizations that take the time to organize and bring people together to celebrate our communities and all they have to offer. In a rural area like ours, these are important reminders of the bonds that we have with each other and the ways we can all come together for one another in times of joy but also in times of need.
In many ways, community spirit mirrors what I am trying to bring to my work as a politician at Queen's Park. Fostering healthy communities that have the resources, infrastructure and services to thrive is, in my opinion, the fundamental goal that we should strive for when crafting public policy. To me, this means managing public resources responsibly and wisely and allocating them to advance the common good.
Unfortunately, this basic principle is being sidelined by the Ford government, which has decided to squander public resources in favour of large corporations. Many examples of this trend exist, including making Ontario the province with the largest corporate subsidies or spending more of the healthcare budget on for-profit healthcare companies. However, the issue grabbing headlines over the past month centers on the ill-conceived deal to spend millions of dollars to put alcohol in private retailers.
As a summary for readers, this saga began back in May when the Premier announced that his government had come to a deal with The Beer Store to break the Master Framework Agreement (MFA) that governed the sale of alcohol outside of the LCBO. The deal allocated $225 million from the government to The Beer Store so that the MFA could end just over a year ahead of schedule. I have already written on how this use of public money is a slap in the face to Ontarians who are struggling to find a family doctor, waiting hours in an ER, or can't find affordable childcare in their community.
On July 5th, the LCBO workers, organized through the Ontario Public Services Employees Union (OPSEU), went on strike demanding improved compensation, working conditions, and a reversal of the government's intention to introduce pre-made cocktails into other retail settings. On July 23rd, the strike concluded with the signing of a new 3-year contract that included wage increases, the conversion of 1,000 casual employees to full-time and a guarantee that no LCBO locations would close over the course of the agreement.
However, the sale of pre-mixed cocktails, beer, wine and cider in convenience stores, grocery stores and gas stations is moving ahead on an expedited timeline. It baffles me as someone who hears daily from constituents about what they want the government to address. Throughout my travels, crisscrossing the entire riding all summer long, I hear people in Algoma-Manitoulin telling me they are concerned about their access to healthcare, as we see ERs threatening to close, wait times getting longer, and hospitals going strapped for cash. People tell me they struggle to afford a home and pay for electricity and groceries.
Rarely, if ever, have people approached me to say how difficult it is to buy their alcohol at an LCBO or Beer Store.
Not only is this new government policy not a priority for most people in Ontario, but it is also a concern for me as an MPP who wants to see the party in power use our public resources wisely.
Whatever your ideological opinions on alcohol liberalization may be, there is no denying the fact that the LCBO is a money maker for the province of Ontario. It contributes approximately $2.5 billion annually to the provincial coffers through retail and wholesale operations. It is also one of the government's best tools to promote and distribute Ontario-made alcoholic products, given our ability to set procurement policies for crown corporations. Moving these sales into the private sector will mean a declining revenue stream for the publicly owned LCBO.
The Premier has been quick to try to play this concern off by claiming that LCBO's tax revenue and wholesale operations will increase and offset the decline in retail. However, this is not easy to believe, given that retail makes up 79.4% of all profits from the LCBO annually. His government has yet to present the numbers underpinning Premier Ford's assertion. When the finance minister was questioned about how much LCBO revenues could fall during a CityTV interview, he responded, "Who knows." This is hardly a response that inspires confidence that the government's plan is a thoughtful approach to public policy which will return benefits to the people of Ontario.
Finally, there is also the fact that as alcohol sales go up, so will the associated costs to our healthcare, justice, and social services. Already, Ontario spent over $7 billion on alcohol-related interventions in the last year, according to the Canadian Alcohol Policy Evaluation 3.0. Experts all agree that as alcohol sales expand to more locations, consumption will increase, and so will the costs to the province. With these systems already being starved for resources by the Ford government, additional burdens set them up to fall further behind in providing for the people of Ontario.
Changing the way in which we sell alcohol in Ontario is not an inherently bad thing. However, the approach that the government is taking under Premier Ford's direction is chaotic, wasteful, and irresponsible. It is setting us up to fall further behind and negatively impact our communities.
I know that across Algoma-Manitoulin, we care about the communities in which we live. I see it at every fair, every pow-wow, every commemoration and parade. The people entrust politicians and governments to protect and improve the resources that make up our community fabric.
If Buying alcohol is not a crisis, why is it Premier Ford's highest priority?
I will always speak out against a bad policy that will undermine that goal. This alcohol retail scheme by Premier Ford is one such bad policy.
As always, I invite you to contact my office about these issues or any other provincial matters. You can reach my constituency office by email at mmantha-co@ola.org or call Toll-free 1-800-831-1899.
Michael Mantha, MPP
Algoma-Manitoulin
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