The Harper government's
decision last year to write off every penny of the auto aid and thus build it all into last year's deficit calculation (which I questioned at the time as curious and even misleading) has already been proven wrong. Since the money was already «written off» by Ottawa as a loss (on grounds that they had little confidence it would be repaid — contradicting their own assurances at the same time that it was an «investment,» not a bail - out), any repayment will come as a gain that can be recorded in the
budget on the revenue side. Jim Flaherty has learned from past Finance Ministers (especially Paul Martin) that it's always politically better to make the
budget situation look worse than it is (even when the bottom has fallen out of the balance), thus positioning yourself to triumphantly announce «surprising good news» (due, no doubt, to «careful fiscal management») down the road. The auto package could thus generate as much as $ 10 billion in «surprising good news» for Ottawa in the years to come (depending on the
ultimate worth of the public equity share).
An institute committee will make the
ultimate funding
decision, based on
budgets, the scores your application got from the study - section reviewers, and the institute's scientific priorities.
The implementation of a National Funding Formula (NFF) is at last becoming a reality, but the government can only make information available for the first two years, 2018/19 and 2019/20, and the
ultimate impact on school
budgets will still depend on local
decisions.