Information on the Promised 3% Increase
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I received an email recently inquiring about the 3% increase promised in
the 2004 Liberal Budget. A bit of checking revealed that when the Liberals
announced the 3% increase to the ODSP/OW rates they deferred the timing
of implementation to the former Ministry of Community and Social Services
Minister Sandra Pupatello. (see the government's bio of
MPP Pupathello at:
Hon. Sandra Pupatello Bio) The actual announcement as presented to the legislature by The Minister of Finance, the Hon Mr Sorbara is as follows: Social assistance recipients will receive an additional $106 million annually. This will reflect a 3% increase in the basic allowance and maximum shelter allowance for recipients of the Ontario disability support program and Ontario Works. My colleague Sandra Pupatello, the Minister of Community and Social Services, is going to be providing details of this increase in the very near future, but I want to say that this is the first increase for these vulnerable people in the last 11 years. ATTENTION
I have just located a News Release from the Ministry of Community and Social Services
dated June 30, 2004 titled:McGuinty Government Restoring Hope, Dignity for People in Need Special Payments Deliver Help Sooner Following are some excerpts that I felt were important to list here: “The province will provide two equal lump-sum payments to eligible people who rely on Ontario Works (OW) and the Ontario Disability Support Program (ODSP) until the government’s three per cent rate increase can be fully implemented.The full release can be viewed at: ODSP Increase News Release There is also a Fact Sheet available that gives some dates and dollar values available at: ODSP Increase Fact Sheet Hilites include: Rate increase will be implemented on February 28, 2005 for Ontario Disability Support Program (ODSP) recipients, and on March 1, 2005 for Ontario Works (OW) recipients.It seems a little strange to me how they can start the payments in February but the system will not be ready untill March (maybe)! The Toronto Star also has an article about the increase and the problems surrounding the computer system. Read the article at: Disabled wait for pay hike - Toronto Star - July 6, 2004 Just IN - email from the office of Shelly Martel, MPP July 6, 2004 Dear Mr. Dilts: Thank you for forwarding us a copy of your e-mail to Sandra Pupatello, Minister of Community and Social Services. Today, on the front page of theToronto Star there is a lead story entiteld "Disabled Wait for Pay". It appears due to the computer system used by Accenture Canada, formerly Anderson Consulting, is not programmed to be able to process the 3% increase for OSDP recipients and social assistance recipients. Shelley Martel and Peter Kormos both sat on the Public Accounts Committee review of Anderson Consulting when the initial problems with the computers were highlighted by the Provincial Auditor in 1998. It appears that the company has received their millions while the people who require the financial assistance continue to wait. Peter Kormos, NDP MPP for Niagara Centre has called on Dalton McGuinty to call a pulbic inquiry into the ongoing computer debacle. Elizabeth Diehl Legislative Assistant to Shelley Martel, MPP Our promised 3% increase is still in the works - what is new! On June 30, 2004 I sent a rather tongue-in-cheek email to the Hon. Sandra Pupatello (MCSS Minister at the time) inquiring of the timeline for implementing the increase announced in the budget. Her reply arrived today, July 5 2004, and it is as follows. (Note the date on her letter - remember I did not write until June 30.)
To attempt to hold them on the timeline question I sent the following email: Sandra; Thank you for your letter of June 25, 2004 in response to my email. It is however time to stop patting yourself on the back for doing what is Socially Mature and should be taken for granted, namely keeping a promise. The question that was put forth was "WHEN WILL THE 3% INCREASE TAKE EFFECT?" You spent the letter congratulating your party and avoided answering the question. Your response of "Ministry officials are developing an implementation plan and I look forward to announcing the full details of our plan soon." is not an answer. It is time to advise the people of Ontario of a timeline for the announcement and implementation of your plan for keeping your promise. Blessings Malcolm Dilts PO Box 485 Waterford, ON N0E 1Y0 I will again post the response when it arrives. Maybe this time she will send me to the News Release and Fact Sheet? Received Response On August 3rd I received the following response letter from the Ministry of Community and Social Services:
Well, this letter did address my questions! Although it was not written by Ms. Pupatello I am not sure if it was written by Debbie Moretta or by who signed it (I believe) “D. Forsyth for”. There is is - A nice letter to tell me that the increase will be activated in February 2005 with interim payments in September and November. NOTE: What will be the increase? If you pay attention to the wording of the announcement made to the legislature we may be in for a surprise when the actual increase plan is released. “This will reflect a 3% increase in the basic allowance and maximum shelter allowance...”If I interpret this statement correctly we will receive a 3% increase in the 'basic allowance' meaning that a single person under the new rate should receive from ODSP $531.48 per month as their basic allowance. Now on to the Shelter Allowance, if you currently are not receiving the maximum allowable for shelter (ie. your shelter costs are less than the maximum) then you will not receive any increase amount. You will only see a benefit if your are paying more for shelter than the current maximum and then only up to 3% more. So much for the GREAT increase, eh!!!!! On September 16, 2004 I received the following email: "hi malcolm just visited your site and read that if you dont pay the maximum shelter amount you will not get an icrease. Im just curious as to where you got this information as it is not in the news release. could you email me and let me know please?" I would like to share my reply: All governments are very careful about the wording they use so that the maximum 'good guy' effect will be portrayed while being able to deliver the absolute minimum amount of goods. That being said, please re-read the the following statement made by The Minister of Finance, the Hon Mr Sorbara in his address to the legislature on the increase: “This will reflect a 3% increase in the basic allowance and maximum shelter allowance...” The statement is actually quite clear in what they intend to deliver. Everyone will receive an increase in their basic allowance amount of 3%. The sticker is with the second half of the statement, the increase only applies to the MAXIMUM SHELTER ALLOWANCE. As an example: If the current maximum shelter allowance available from ODSP for your family unit is $652.00 then this value should increase to $671.56. HOWEVER if ODSP is currently paying you LESS than the maximum amount allowed then your shelter allowance payment will not change. Your shelter allowance payment from ODSP will only change if your current allowable shelter costs are more than the $652.00 maximum shelter allowance. Remember that the shelter allowance portion of OW and ODSP is tied to actual costs and will only pay the 'lesser of'. Meaning that if it is cheaper to pay you the maximum then that is when you will get, but if it is cheaper to pay you the actual shelter costs then that is what you get. 
Send Your Email to Minister Madeleine Meilleur 
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