Budget Backgrounder: Child Benefit Programs

More low-income families receive higher benefits under the second phase of the National Child Benefit program. Details were outlined today as part of the 1999-2000 provincial budget.

The National Child Benefit is a federal-provincial program that helps low-income families provide a better start in life for their children. The federal government will increase income benefits under the National Child Benefit in July 1999. Provinces have increased funds to reinvest in programs and support for children.

Nova Scotia's programs include the Nova Scotia Child Benefit, which is paid to all low-income families. In addition, Healthy Child Development Initiatives provide programs to support parents, including those heading low-income families and those caring for children with special needs.

NOVA SCOTIA CHILD BENEFIT
Beginning in July 1999, more Nova Scotia families will receive the Nova Scotia Child Benefit. The income threshold will be $20,921, compared with the current $16,000. The change will result in an additional 9,000 families -- 39,000 in total -- receiving benefits under this program.

Families with income below $16,000 will continue to receive maximum benefits. Annual payments of $324, $242 and $210 for the first, second and third-plus child respectively will be provided. This represents an increase of $74 annually for every child. Families above the $16,000 level will receive reduced benefits according to their income.

HEALTHY CHILD DEVELOPMENT INITIATIVES
Healthy Child Development Initiatives include prevention, early intervention and child care. The province has committed $750,000 for additional subsidized day-care spaces, including 30 spaces for children with special needs, and operating grants for non-profit child-care facilities.

Two new early-intervention programs in Annapolis and Guysborough counties have been funded, and additional funding is committed for the 12 existing programs, for a total of $250,000. There is $1 million in new funding for community-based prevention programs, plus another $250,000 in new funding to address the needs of low-income families in rural areas.

"Nova Scotians have a rich tradition of reaching out to help their neighbours," said Finance Minister Don Downe. "This funding builds on that tradition to support the programs many Nova Scotians rely on."