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SOCIAL SERVICES WILL BE CUT AS HST HITS NON-PROFITS, SAYS NDP

VICTORIA - Already hurting from B.C. Liberal cuts, the province's most vulnerable will suffer further when non-profits are hit by the HST, say the New Democrats.

"Social service agencies are worried they will have to cut services if the HST comes into effect. Non-profits are already strapped and cannot afford to pay a new tax," said new Democrat finance critic Bruce Ralston.

Ralston noted that the non-profit sector is currently struggling with increased demand and a drop-off in donations due to the economic downturn. In a Jan. 28 letter addressed to opposition leader Carole James and copied to the finance minister, the Children and Family Counselling Association raised "significant concerns over the potential harm the HST could have on B.C.'s non-profit community social services agencies."

"Many non-profit organizations are already struggling to make ends meet, and can't deal with increased costs from the HST," said Ralston. "Any rebates the sector is eligible for won't cover the increase, and ultimately the vulnerable people that depend on the agencies will pay the price."

Social service agencies already struggling to do more with less have warned the government that they will have to curtail programs in order to deal with increased the HST's impact on operational costs, administrative costs, and the move to new accounting processes. The HST will also impact residential care services, many of which are delivered by social service agencies.

Ralston noted that the HST can be stopped if seven B.C. Liberal MLAs join with the NDP and vote against HST legislation when it comes before the legislature this spring.

"People from all walks of life in communities across the province - from Maple Ridge to Kamloops to East Kootenay - are opposed to the HST, and MLAs have a responsibility to represent their constituents," said Ralston.

"B.C. Liberal MLAs should stand up and help stop the HST. B.C. families are already struggling, and don't need a $1.9 billion tax shift onto their backs."

A recent poll found 82 per cent of British Columbians are opposed to the HST. After saying during the election campaign they would not bring in the HST, last summer the B.C. Liberals announced the tax, which is slated to kick in next July.

Carole James and the New Democrats have been holding the B.C. Liberals accountable for breaking their word on the HST, and for backtracking on their election promises to protect health care, education, and other vital services.

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