What your First Ministers will be eating for dinner

Prime Minister Stephen Harper, the provincial and territorial leaders and aboriginal leaders will gather at Old City Hall in Ottawa this evening to discuss the state of the economy.

The prime minister's office notes that this will not be a swanky affair. In fact, all these VIPs will be getting up to load up their own plates, buffet-style. Taxpayers will be covering the $25.95 cost per plate. Those who wish to share a bottle of wine will be asked to pay a modest $22 for their vintage of choice.

As to the menu, the PMO helpfully provides the following:

  • Alberta sirloin or beef, carved coq au vin, and vegetarian lasagna
  • Roasted parisienne potatoes
  • Seasonal vegetables
  • Vegetable tray
  • Domestic cheese tray
  • Garden salad
  • Marinated vegetables
  • Macaroni salad
  • Buns and butter
  • Antipasto tray
  • Assorted cakes and mousses
  • Fruit tray
  • Tea and coffee

Bon appetit!

In his last days, Bush looks north

… waaay north. My colleagues Mike Blanchfield and Randy Boswell will have more on what will be one of President Bush's final National Security Directive and Homeland Security Directive. It affects Canada.

“This directive establishes the policy of the United States with respect to the Arctic region and directs related implementation actions. “

Worries over trade barriers

International Trade and Politics professor Daniel Drezner worries that one of the “non-obvious geopolitical implications” of the world's financial crisis is that the developing world will either stop buying stuff from developed nations – that would be Canada, folks — or it will raise trade barriers in order to protect domestic industry:

The tight coupling of the global economy caused export-dependent economies to face significant downturns because of the collapse in demand from the OECD nations. These governments will respond to the current crisis by creating the trade equivalent of currency reserves – that is to say, creating a protected space of demand for national champions. The most direct way to do this will be to boost domestic demand while restricting competition from foreign producers. As states plan to expand their fiscal policy, it should be relatively easy – via procurement rules and concentrating expenditures on non-tradable goods – to target new government spending towards domestic firms.

This kind of decoupling would contribute to the unwinding of the macroeconomic imbalances caused by the Bretton Woods II arrangements. It would also, however, be sure to reduce overall economic growth even further. It would also reduce whatever constraints economic interdependence has placed on aggressive action in world politics.

If this happens this would be a big problem for Canada and much of the West and was just what Prime Minister Harper warned against in this speech at APEC in Peru in November:


… we must continue to commit ourselves to an open and freer trade system and be vigilant against the rise of protectionism. When it comes to Canada’s support of free and open economies and markets, our view is based on the success of our North American economic partnership. We took a close and trusting relationship with the United States and transformed it into the most successful commercial partnership in the world. …

Canada is committed to pursuing mutually beneficial economic relationships with like-minded nations around the world. …

We must remember, notwithstanding our current difficulties, the prosperity generated around the world in the last part of the 20th century and the beginning of the 21st has been unprecedented in history. Removing protectionist barriers and easing trade restrictions helped to usher in this extraordinary era. In these times of economic instability, we cannot turn back. Now is the time for opening doors, not for erecting walls. . . .

… let us remember what led to the Great Depression. It was not caused by a stock market crash. That was only the beginning. Policymakers pursued four sets of actions that defined that terrible decade. They allowed a rapid contraction of the banking system. They allowed widespread deflation as a consequence. They undertook to balance the books at all costs – raising taxes and contracting government economic activity at the one time when fiscal stimulus was absolutely essential. And, finally, they erected protectionist barriers in a short-sighted attempt to preserve jobs. These are mistakes the Government of Canada will not make.

The 'Y' responds to "The YMCA and you — and the Canadian taxpayer "

After reading this, the YMCA sent along this:

Dear David Akin:

Re: Your December 19 blog regarding the YMCA and government funding for new facility in St. John’s

We were glad to read about the YMCA being of service to you in several Ontario communities and your support of the YMCA’s approach to fundraising, which is fundamentally based on community support and is volunteer driven. We do, however, wish to set the record straight regarding government funding for YMCA facilities. Your article of December 19, suggests that federal funding for a new YMCA facility (in St. John’s) is unique to the YMCA in Canada, when in fact, that is not entirely accurate.

As a charity, the YMCA has always relied on fundraising and government funding not just for facility development but for much needed services for those who are marginalized in society. Our commitment to serving all Canadians is reflected in our practices of being accessible to all through YMCA financial support. Fundamental to our mission is our deep belief in voluntarism and philanthropy.

As you are well aware, the YMCA is committed to building strong kids, strong families and strong communities for generations to come and to collaborating with others to achieve this goal. To achieve this, the first step in developing a new facility in any community is to conduct market research to be certain that local residents strongly desire and support a new facility to ensure its sustainability. Once adequate community support exists, most YMCAs independently approach municipal, provincial and federal governments to seek funding in conjunction with community support. As a federation, each association is autonomous and determines its own funding plan. However, over the last 8 years, many YMCAs and YMCA-YWCAs have applied for and received some level of government funding towards renovations or new facility developments.

As a community builder, the YMCA creates a sense of belonging and responds to local community needs. Programs offered in St. John’s will not entirely mirror those offered in Thunder Bay, Ontario, Calgary, Alberta or Victoria, British Columbia. Our community-based approach encompasses a framework that seeks social inclusion, economic viability, local self-reliance, and an environment that provides for the full growth of all citizens in spirit, mind and body.

Recognizing this value added, governments as well as school boards, hospitals, and other health agencies are partnering with YMCAs in a myriad of different ways to help meet community needs for many years to come.

We hope you will continue to support and participate at your local YMCA. We greatly appreciate your contributions to building strong kids, strong families and strong communities.

Yours sincerely,

Marty Reynolds
Chair, YMCA Canada Board of Directors

Wayne Perkins
President & CEO, YMCA Canada

Infrastructure spending: In the Government's own words

As MPs gear up for the coming political season, infrastructure spending is sure to be front and centre. Canwest News Service recently published a series on the state of Canada's infrastructure by my colleague Mike De Souza. Here, from some records I've received over the last few months through Access to Information requests are some notes on infrastructure spending.

From Transport Canada request: A-2007-00858:

Through Budget 2007, this Government committed to the largest investment in infrastructure in Canada's history over an unprecedented period of time – $33 billion in new funding over seven years. This includes long-term predictable funding for municipalities through extension of the Gas Tax Fund at $2 billion per year for an additional four years (until 2013-14) and the 100% rebate on all GST that municipalities pay. (from a House Card updated on Oct. 18, 2007)

The Building Canada Plan, as the government calls it, includes:

  • $8.8 billion Building Canada Fund for provincial, territorial and municipal projects like highways, water, and wasterwater infrastructure, and transit.
  • $2.1 billion for Gateways and Border Crossings Fund
  • $1.26 billion for the public-private partnership (P3) fund.
  • $1 billion for the Asia-Pacific Gateway and Corridor Initiative

From Transport Canada request: A-2007-00858:

A national transit strategy (funding)

• Budget 2007 announced $33 billion of new funding over seven years – that represents about $5 billion per year in new investments. This is an unprecedented level of funding.

• A significant portion of this funding is eligible to support transit, if provinces and municipalities choose to make it a priority investment.

• Given that this funding has yet to be allocated, how can there be arguments that more funding is needed?

• With all the federal funding currently on the table, a national transit strategy would ensure that funding from all levels of government and users is invested in the most efficient manner.

• Discussions are already taking place with provinces and territories, and other interested partners, on a national transit strategy. We will develop this strategy in the spirit of this Government's commitment to the values of open federalism.

….

Over the coming weeks, Infrastructure and Transport Canada will continue discussions with provinces, territories and the municipal sector regarding the Building Canada Plan and the implementation of related initi atives. including the National Transit Strategy. (From a House Card updated Sept. 19, 2007)

The YMCA and you — and the Canadian taxpayer

My career has taken me, among other places, into positions in newsrooms in Toronto, Orillia, Ont. and Thunder Bay, Ont..

At those stops and elsewhere, one of the first things I did upon arriving in the community was look for the local YMCA so I could find a group to play pickup basketball. In Orillia, the YMCA was a relatively new building when I signed up. 'Y' volunteers in the community had engaged in considerable fundraising to build that YMCA and, as a new member, I paid a one-time 'capital' fee to help with the facility's cost.

It was the same story in Oakville, Ont., where I lived while working in the Toronto newsrooms at National Post and The Globe and Mail. A beautiful new YMCA facility opened up a few years ago in Oakville after a lengthy community fundraising campaign and after I and every other new member paid a one-time building development fee.

In Thunder Bay, though, the YMCA shut down before my arrival, partly because a fundraising campaign was not successful. Luckily for me, I could find a pickup game of basketball at Lakehead University's gym.

It's like that in communities across the country: YMCA volunteers work hard to raise money locally and tap their own members for a little financial help. If they don't, they don't get a new building.

It works a bit differently in St. John's, NF, apparently. There, the YMCA folks who want a new building can rely on the largesse of the federal government. The federal government, through the Atlantic Canada Opportunities Agency, is spending 1.5 million of the tax dollars collected from people in Oakville and Orillia and Thunder Bay and elsewhere to build a new $11.3 million YMCA facility in St. John's. (At $11.3 million, that will be one sweet 'Y'!)

The money will be administered by the Atlantic Canada Opportunities Agency (Keith Ashfield, Minister) though an ACOA official says the funding actually comes out of budgets administered by Infrastructure Canada (John Baird, Minister).

Here's ACOA's mandate:

“The Atlantic Canada Opportunities Agency works with business and communities to make Atlantic Canada's economy more innovative, productive and competitive. Together, with Atlantic Canadians, we are building a stronger economy.”

It's not really clear how funding a YMCA fits in with that mandate to “build a stronger economy” but here's the regional political minister, Peter MacKay, trying to rationalize that spending in the ACOA press release:

“The new YMCA-YWCA facility will provide broad-based health, fitness, and recreational programs for the growing population of St. John's and surrounding area,” said Minister MacKay. “It will help increase participation by individuals and families of all ages, abilities and incomes. Through ACOA, our Government keeps Atlantic Canada moving forward by investing in projects like this that improve municipal infrastructure, and the health and well-being of residents, making everyday life better for all Canadians.”

MacKay, when he was minister responsible for ACOA, spent federal tax dollars in a way that might seem to stretch the definitions of ACOA's mandate. A few days before the federal election was called, for instance, MacKay announced ACOA would give $50,000 to the Sobey's Slam Curling Tournament to be held in MacKay's Nova Scotia riding. On the same day, MacKay announced $2 million would be spent to establish a farmer's market in Halifax, a city which has been around since 1841 without needing $2 million for a farmer's market.

Liberals want answers

Liberal MP Scott Brison brought this letter to his meeting in Toronto this morning with Finance Minister Jim Flaherty:

December 12, 2008

The Honourable James M. Flaherty, P.C., M.P.
Minister of Finance
607 Confederation Building
House of Commons
Ottawa, Ontario K1A 0A6

Dear Honourable Minister,

Canada is facing an unprecedented economic downturn and our foremost duty as parliamentarians is therefore to demonstrate to Canadians that we recognize the challenges they face and are prepared to provide solutions to mitigate the impacts of the economic hardship.

The Liberal Caucus recognizes the need to work cooperatively with all Members of Parliament but success requires both a sufficient level of trust and a shared vision on how best to achieve the desired result.

If the Liberal Party is to be actively involved in the budget process, the first thing the Liberal Caucus and all Canadians need to know is the true state of the government's books. Meaningful discussion and input requires honest budgetary numbers. The government's recent Economic and Fiscal Statement has presented many questions for which we need answers in order to proceed further.

Few economists believe the numbers in the Statement. In particular, growth forecasts are already much worse than when the document was written. Accordingly, we would like to see updated economic forecasts and their implications for the fiscal plan as well as a detailed reconciliation of national and public accounts projections.

We would also like to see substantially more detail on the government's plan to generate savings of $10.1 billion over five years from the Strategic Review exercise and the Corporate Asset Reviews. We do not consider it fiscally prudent or credible to break generally accepted accounting principles and book asset sales before the sales have occurred. We also question the logic of selling government assets in a buyers' market.

With these concerns in mind, we require a detailed plan of which non-financial assets the government plans to sell and at what price. If this information is not available, we request that you remove the Corporate Asset Management Review from the Government of Canada's fiscal framework.     

In addition, we would like you to provide us with the information requested of your Deputy Minister by the Parliamentary Budget Officer on December 1, 2008 and December 3, 2008. We also request a full briefing from senior Finance Canada officials at which the Parliamentary Budget Officer would be allowed to attend.

The Liberal Caucus supports the implementation of an economic stimulus package over the next two years that would make sensible investments in infrastructure, key industries (like manufacturing, forestry and automotive), housing, and skills training. If we are to enter into greater detail on this issue, we need to know more about the scale and composition of the fiscal stimulus you are preparing for Budget 2009. More specifically, what scale of economic stimulus are you considering, and over what timeframe? And what specific measures are you considering in terms of new infrastructure investment, modifications to employment insurance and new tax measures?

We look forward to receiving the requested information by Friday, December 19, 2008. Upon receipt of the above, we will be able to consider what we believe are the best options for Canada at this time.

Triple-E bows to reality

OTTAWA – A young Stephen Harper was first swept into the House of Commons back in 1993 on a wave of often idealistic western populism that, among other things, demanded a Senate that was “equal, effective and elected.”

Fifteen years later, those populists, now led by Prime Minister Harper, are realists when it comes to Senate reform.

To paraphrase one of the prime minister's senior advisers, it's a chicken-or-the-egg kind of problem. You can't change the rules for Parliament's upper chamber until you control it. And you can't control it unless you appoint senators.

But his political opponents say Harper is embarking on nothing more than an orgy of patronage as his government looks defeat in the face.

“Does Mr. Harper think that Canadians aren't going to notice this blatant flip-flop?” said NDP MP David Christopherson.

In the economic and fiscal statement that prompted the current political crisis in Ottawa, the Conservatives proposed doing away with public subsidies of political parties because, as they said, politicians had to do their bit to cut costs in tough economic times. A senator gets a salary of about $130,000 a year.

But hiring 18 new senators and their staffs will cost about $6 million a year, said Christopherson . . . [Read the rest of the story]

Technorati Tags: ,

Brodie joins lobbying firm — but not to lobby

Hill and Knowlton, a fairly well-connected public relations and lobbying firm, announced two new hires today: Ian Brodie, whose last job was Chief of Staff to Prime Minister Harper, and David Collenette, the longtime Liberal cabinet minister.

Brodie, the release from H&K points out, will not be doing any lobbying, as per the Federal Accountability Act. Collenette is free from any such lobbying restrictions.

Here's the releases from H&K:

Ian Brodie Joins Hill & Knowlton Ottawa as Senior Counsel

Ottawa, ON, December 11, 2008 – Hill & Knowlton President and CEO Michael Coates today announced the appointment of Ian Brodie to the position of Senior Counsellor to Hill & Knowlton’s Public Affairs Group in Ottawa.

Mr. Brodie’s mandate will be to provide senior counsel to Hill & Knowlton clients across the country in government relations, whether provincial, federal, or international. This key addition strengthens Hill & Knowlton’s ongoing commitment to providing top quality strategic advice to clients as they seek to meet their communications objectives.

“It is an honour to have Ian Brodie join our team. We are confident that our clients and our staff will benefit from the insights and experience he has gained during his years in government, as well as his political strategy expertise,” said Michael Coates, president and CEO, Hill & Knowlton Canada. “His background in public service will help to further build Hill & Knowlton’s reputation as Canada’s preeminent public affairs and public relations consultancy.”

“At this point in my career, it is very exciting to have an opportunity to work with an organization of such high integrity, and to add to the breadth and depth of experience that Hill & Knowlton already possesses,” said Brodie. “I look forward to contributing to it.

Mr. Brodie, served as Chief of Staff to the Prime Minister of Canada from 2006 to 2008. Prior to that he played a vital role in the organization of the Conservative Party of Canada, where he served as Executive Director. He is also an associate professor of political science at the University of Western Ontario.

Mr. Brodie has a PhD in Political Science and a Masters in Public Law from the University of Calgary. He graduated from McGill University with a B.A. Honours in Political Science.

Per the Federal Accountability Act and the Conflict of Interest Guidelines to which he is subject, Mr. Brodie will not perform an advocacy role for clients with the federal government.

The Hon. David Collenette Joins Hill & Knowlton Ottawa as Senior Counsel

Ottawa, ON, December 11, 2008 – Hill & Knowlton President and CEO Michael Coates today announced the appointment of the Hon. David Collenette to the position of Senior Counsel with the Ottawa office of Hill & Knowlton.

“Mr. Collenette brings tremendous leadership and experience both in Canada and from abroad to Hill & Knowlton,” said Michael Coates, president and CEO, Hill & Knowlton Canada. “His unique insight into public policy development and government will permit him to provide strategic advice to a wide range of our firm’s clients”.

A member of the House of Commons for more than 20 years, Mr. Collenette served in the Cabinet under three Prime Ministers, the Rt. Hon. Pierre Trudeau, the Rt. Hon. John Turner and the Rt. Hon. Jean Chretien. He held a number of portfolios including Minister of State (Multiculturalism), Minister of National Defense, Minister of Veterans’ Affairs, Minister of Transport and Minister of Crown Corporations.

As Minister of National Defense, Mr. Collenette was responsible for the reorganization, restructuring and re-engineering of the department while the government confronted the severe financial deficit. As Minister ofTransport, he oversaw the restructuring of the Canadian airline industry and authored a major policy document, Straight Ahead, which continues to chart the course for Canadian transportation policy.

However, the most challenging period of his career was organizing Canada’s response to the terrorist attacks of September 11, which resulted in the shutting down of Canadian airspace and the emergency landing of 226 wide-bodied jets servicing more than 33,000 passengers. In the following months, Mr. Collenette worked tirelessly with his American counterpart — Norman Minetta, now Vice Chairman of Hill & Knowlton USA — to redesign transportation security in response to the evolving international climate.

Since he retired from the House of Commons Mr. Collenette has been active as adviser to companies in the transportation and defense industries as well as being Distinguished Fellow at Glendon College, York University. He has also worked in a volunteer capacity for the National Democratic Institute, based in Washington, DC, an association which dates back to 1987, and which saw him involved with missions in Haiti, Chile, Romania, the Czech Republic, Ukraine and Pakistan. Mr. Collenette continues to be very active in the Liberal Party of Canada.

Mr. Collenette holds a Bachelor of Arts (Honours) and Master of Arts in political science from York University, Toronto and is a Fellow of the Chartered Institute of Logistics and Transport. He served as Chancellor of the Royal Military College of Canada (1993-96) and as a member of the International Advisory Council, Institute of International Studies, Stanford University, California (1999-2005).

About Hill & Knowlton Canada

With eight offices across the country, Hill & Knowlton Canada (www.hillandknowlton.ca) is Canada’s industry leader in public relations, public affairs and strategic communications. The company specializes in corporate, crisis, consumer marketing, technology, natural resources, healthcare, aboriginal and digital communications, public affairs, and financial and investor relations. Hill & Knowlton Canada is a recipient of Level IV Certification under the National Quality Institute’s Progressive Excellence Program, and has been recognized as a Top 100 Employer for 2008. Its parent company, Hill & Knowlton Inc. is a world leader in public relations and public affairs, with 73 offices in 41 countries, and is a member of WPP (NASDAQ: WPPGY) (www.wpp.com), one of the world’s largest communications services groups.

More senators — lots more senators

Michael Fortier won't be getting a call but I'll bet John Reynolds might get a look for one of the 3 BC Senate seats that are open:

Prime Minister Stephen Harper is poised to name as many new senators as he can before Christmas, Canwest News Service has learned.

There are 18 vacancies in the 105-seat Senate and Harper will try to fill as many of those slots as quickly as possible in order to put them out of reach of a Liberal-NDP coalition.

The Liberals will continue to hold the majority in the Senate even if Harper fills all 18 vacancies.

Each new senator will be a Conservative and is likely to share the prime minister's views on Senate reform, a senior government official said, speaking on condition of anonymity.

In the last Parliament, the Harper government attempted some reforms, such as introducing eight-year term limits on senators. Currently, a senator remains in office until reaching the age of 75.

Legislation to change the Senate died with the last Parliament.

Harper and the Conservatives believe that the opportunity to reform the Senate will be lost for a generation if a Liberal-NDP coalition fills up the vacancies.

Read the rest of the story