Asserting that the "children's budget" expected from the Canadian federal government in February 2000 may fail to address the needs of children and youth with disabilities, this report argues that the federal government has a variety of avenues open for meeting these needs. The report contends that it is essential to ensure that families caring for children with disabilities receive financial assistance in recognition of their extra costs related to technical aids and equipment, specialized services, and respite care. The report further discusses ways for the federal government to invest in services, focusing on improving services to ensure that all services for children are accessible; and expanding services through the use of a national child development fund to invest federal money in provincial services. Maintaining that existing tax provisions tend to have an institutional bias toward care and are restrictive and exclusionary in their provision, the report notes several changes that can make the income tax system more responsive to the needs of families of children with disabilities, including enhancing the disability tax credit and the medical expense tax credit and introducing a new disability credit. The report notes that the children's budget should take steps to simplify and clarify existing tax provisions. (Contains 17 references.) (KB)