Nova Scotia’s capital spending plan shrinks by eight per cent

HALIFAX – The Nova Scotia government released a slimmed-down capital spending plan today, saying it intends to spend 490 million dollars on highways, schools, hospitals and equipment in 2015-16.

That’s the smallest capital budget in seven years.

Almost 70 per cent of that money will be spent on highways, buildings and land.

The remainder will be split between grants for regional health authorities, information technology, vehicles and a contingency fund.

The total amount represents an eight per cent reduction from last year’s plan.

Finance Minister Diana Whalen says the province is coming back into line after capital spending grew to about 800 million in 2009-10 when the federal and provincial governments spent to stimulate the economy.

Tory finance critic Tim Houston says the government must do a better job of reining in operating expenses, which would make more money available for capital projects.