Catalyst asks
Catalyst Paper Corporation is asking the federal and provincial governments to take action on a number of “fundamentals” it believes are essential for viable operations.
In a letter dated March 6, 2012, Kevin Clarke, Catalyst president and CEO, asked both levels of government for support. Catalyst entered into the Companies’ Creditors Arrangement Act (CCAA) process on January 31.
“With investors, customers and suppliers now scrutinizing every aspect of the company, and several critical municipal, provincial and federal ‘fundamentals’ essential to viable operations cited as obstacles to the company gaining the confidence of investors, we all need to take action to get these fundamentals right,” Clarke wrote.
The first request was asking the provincial government, with support as required from the federal government, to immediately provide $7 million to enable the City of Powell River to proceed with co-treatment, a proposal to treat the city’s sewage at Catalyst’s mill.
Clarke also asked that the provincial government create a regulation under the Community Charter that would place limits on tax rates and prescribe ratios between the various classes.
As well, the company asked for: $30 million over five years to support new hiring and high-tech training programs at Catalyst mills; certainty in BC Hydro rates and eliminating the risk to Catalyst operations posed by a switch from HST to PST on electricity purchases; and the release of HST credits to support ongoing operations.
School funds
BC’s government released preliminary operating grant allocations for school districts on March 12. The total for the 2012-2013 kindergarten-to-grade-12 operating grant funding is $4.725 billion, an increase of $4 million over the previous year.
The estimated grant for School District 47 in Powell River is approximately $21 million, a decrease from the 2011-2012 estimated grant of about $21.5 million. The ministry of education is estimating Powell River’s enrolment will be 2,097 full-time equivalents in 2012-2013, a decrease from the previous year, which was 2,197.
Preliminary per-pupil funding is $8,491.
“Despite the need for continuing fiscal prudence, we are protecting and maintaining overall education funding levels for K-to-12 schools next year as enrolment continues to decline,” said George Abbott, minister of education, in a statement.
The province is providing $10.7 million to help school districts introduce elements of the new BC Education Plan as well, with details to come in the near future.
