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Hope this comes with a budget increase ....
Defence department warned it won't get help with costs of war
GLOBE AND MAIL
03 Dec 07
Murray Brewster
The Department of National Defence has been warned it will have to cover the costs of the Afghan war entirely out of its own budget next year, without any top-up from the federal Treasury Board, a political source has told The Canadian Press.
The directive went out recently from the Privy Council Office as planning for the 2008 budget reaches its peak, said an official who asked not to be named.
It's part of an increasingly determined effort by the Harper government to assert more civilian control over the military, which has been perceived as having too much leeway in both the conduct of the war and with the public purse, said the official.
At one recent meeting, the source said, political staff groused openly that the Conservative government has "spent $20-billion plus" on the military in new equipment and seen little political "sizzle" for the effort.
The head of the Senate security and defence committee said he has also been told the military was warned it will not receive any additional appropriations beyond its budget envelope.
"They've been told they'll have a flat amount allocated to them and that will include in the cost of Afghanistan, and not to come back for more," said Liberal Senator Colin Kenny.
The Harper government does plan a modest increase to the defence budget in the coming year, according to the Treasury Board's supplementary estimates.
Total spending at DND is expected to go to $19.4-billion in 2008-09, from $18.3-billion in the current budget year. But Mr. Kenny's committee has argued that spending should be in the range of $25-billion.
In the past, the cost of the war in Afghanistan has routinely exceeded the defence department's estimates, forcing officials to go back to Treasury Board to ask for additional operating funds.
In the 2006 budget the additional appropriation added up to $202-million, according to the department's 2006-07 performance report.
It's unclear what the figure will be in the current budget year because officials were unable to provide details Friday. Mr. MacKay said last week that the total operating cost of the war to the military from 2001 to the present was $3.1-billion - a figure that likely doesn't include capital purchases such as armoured patrol vehicles and other major equipment.
A wide range of military spending has come under the microscope at the political level, said Mr. Kenny. "Offloading the costs of the war on the department will have a major impact on just about everything," he said.
Jay Paxton, a spokesman for Mr. MacKay, said in an e-mail that the potential impact of restraining cost overruns is "hypothetical and we won't speculate." During previous wars, the federal government funded military operations separately from the defence department's annual budget, using special appropriations. It was only during the 1960s and the era of peacekeeping that overseas military operations began coming directly out of the department's budget, say defence analysts.
Mr. Kenny and many military observers believe the government should return to the traditional wartime funding approach, especially if Canada is to remain in Afghanistan past 2009 as the Harper government suggested in its recent Throne Speech.
"It's only logical to do that because how else are voters able to evaluate whether the money is well spent?" Mr. Kenny asked.
"We all know what the cost in lives and wounded are, but we also need to know what the costs are in dollars. And that should be part of equation as we go through the debate about whether Afghanistan is worth it."
