Roundup: Bill Morneau makes himself a bigger target

As if the WE Imbroglio couldn’t get any more ridiculous, Bill Morneau stepped up to the plate yesterday and drove it to an all new level of lunacy by declaring that he had just repaid some $40,100 in travel costs to WE after they sent him and his wife on tours of some of their operations, and he didn’t realize that they hadn’t been billed for the full costs. WE later said that they were ostensibly free trips because the pair are well-known philanthropists, and these kinds of trips help showcase their work to potential donors. It would also appear that these weren’t reported to the Ethics Commissioner, if I’m reading it correctly, so that means even more problems for Morneau coming at him. (And before you make the joke, no, Morneau did not previously “forget” about his French villa – he incorrectly reported its ownership structure).

Morneau was, of course, appearing at the Finance committee to answer questions on the WE Imbroglio, and this sent Pierre Poilievre and Charlie Angus in particular over the edge. Already there were more questions raised about the contract with WE over the student grant programme because they had signed it with one of the charity’s holding companies, but that may have been about limiting liabilities, so it could be explained away, but it has all become byzantine both from a lack of government candour (shocking, I know), and because the opposition has constructed conspiratorial narratives that have taken any facts and shaped them in the darkest way possible, so as to make it difficult to figure out what is going on.

And this is only going to spiral from here on out. While the Conservatives and Bloc are now howling for Bill Morneau to resign, both Justin Trudeau and his chief of staff, Katie Telford, have agreed to appear at committee at a future date to be negotiated, so that is going to be nothing shy of a circus. And because the circus did not have enough monkeys, conspiracy theorist Vivian Krause also appeared at committee yesterday, for some unknown reason, to assert – with no evidence – that WE was passing along information to the Liberal Party for their voter identification database (which was denied by both WE and the Liberals), and yet this was being brought up in the Commons, and in some irresponsible reporting.

https://twitter.com/acoyne/status/1286029728982478848

Meanwhile, Justin Ling has a broad exploration of the bigger picture of what the whole Imbroglio says about this government and WE, particularly when it comes to the power of branding. Heather Scoffield lists the ways in which Bill Morneau has managed to be off-side because he’s blind to the ethics implications of his decisions. And to remind everyone about this column I wrote a couple of weeks ago about why it was time for Morneau to be shuffled from Cabinet before all of this WE business started up, which really starts to look like it’s untenable that he remain in the position much longer, not only because he can’t communicate, can’t deal with the business community, and now because it’s unavoidable that he is completely blind to his ethical obligations.

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Roundup: Feigned confusion and a filibuster

As anticipated, the government unveiled their reforms to the wage subsidy programme yesterday, which included more of a sliding scale for revenue drops and how much support businesses could get before the subsidy phases out, which helps ensure that businesses don’t reach a “cliff” in terms of restart growth only to have that support ripped away at an arbitrary level. This has the business community both applauding the government for responding to concerns, while also moaning that it’s so complicated now, which has some economists rolling their eyes. It also looks like the government that insisted they don’t like abusive omnibus bills is rolling the legislation for these changes in with the new-and-improved disability payments, as well as the justice timelines legislation, so that’s something to look forward to when the House comes back next week for a single day.

Meanwhile, the Ethics committee met yesterday to start their own look into the WE Imbroglio (conveniently with many of the same faces who subbed in at the Finance Committee during its hearing), to which the Liberals on the committee, knowing that they don’t have sufficient votes, decided instead to filibuster things, which is not a good look. Their arguments that this undermines the work of the Ethics Commissioner ignores that his role is supposed to support them, not the other way around; the fact that they were blocking a motion to demand the receipts from Margaret and Alexandre Trudeau’s public speaking events from their Speaker’s Bureau going back to 2008 is a little more suspect, and I haven’t heard a reasonable rationale for it or how it relates to the proposed study on how well the conflict-of-interest regime is working. Suffice to say, this isn’t a good look for the Liberals, and there are better ways of beating the Conservatives at their own game than playing into their hands. It’s too bad that they can’t seem to grasp that.

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Roundup: Some strings attached

Prime minister Justin Trudeau wound up holding an irregular presser yesterday, mid-afternoon instead of late morning, and with a specific purpose in mind – to announce that the federal government had finally come to an agreement with the provinces over the Safe Restart Plan, now pegged at $19 billion rather than the $14 billion initially put on the table. What is noteworthy is that there were still federal strings attached for this money, though some premiers noted that the strings were not as tight as before. The money is to go toward municipalities, transit, contact tracing, personal protective equipment, childcare, and ten days of paid sick leave (so now Jagmeet Singh can pat himself on the back, even though this was BC premier John Horgan’s initiative), and is to last for the next six to eight months, at which point there will be a re-evaluation of where everyone is at. Trudeau also made it official that the Canada-US border will remain closed to non-essential travel until August 21st.

During the Q&A that followed, Trudeau expressed optimism around the vaccine candidate being held up by Chinese customs, and said that in spite of the Russian hacking story, it was important to work with everyone to develop a vaccine and that they were working to get the balance right. When asked if he would appear before committee as invited around the WE Imbroglio, that his House leadership team was looking at the possibilities, but that he also looked forward to taking questions in the Commons next week during the scheduled special sitting day. Chrystia Freeland was asked about what she knew regarding the WE Imbroglio, and she gave a fairly lengthy response about how everyone accepts responsibility for what happened, and apologized, saying that “clearly we made a mistake and we’re going to learn from it,” adding that everyone knew that the PM was connected to WE but didn’t know of his family’s specific financial arrangements, and then added that she still supported the PM and that it was a privilege to serve in his Cabinet. When asked if Quebec had no problems with the strings attached to the billions on the table, Freeland said that they agreed to it like everyone else, and that it was actually a Really Big Deal to get all thirteen provinces and territories to sign onto a deal that includes the municipalities and covered several ministries, saying that it showed that Canadians have understood that we need to work together in this time of crisis.

Shortly after the presser ended, Bardish Chagger and her officials appeared before the Finance committee to discuss the WE Imbroglio. Chagger insisted that nobody in PMO directed her to make an arrangement with WE, but she kept deferring to her officials, which…isn’t really how ministerial responsibility works. There was also talk about how WE had sent an unsolicited proposal to several ministers about a youth programme before this was announced, which WE later came out and said was a youth entrepreneurship programme which had nothing to do with what became the Service Grant programme. This having been said, the senior bureaucrat on the file said that they had three weeks to come up with a programme, and that WE fit the bill for its requirements, which is why they were recommended – and pointed out that potential conflicts are for public office holders to deal with, not bureaucrats (which is true). Up today, the Ethics Committee will begin their own examination into the Imbroglio, so we’ll see if that goes any better.

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Roundup: Making help available to the provinces

Prime minister Justin Trudeau’s daily presser was earlier than usual yesterday, Trudeau saying it was because of a pending Cabinet meeting, and his itinerary showed an afternoon of calls to other world leaders as the race to secure votes for the UN Security Council seat is in full-swing. Trudeau’s main message of the day was that the federal government was making available trained federal employees capable of making 3600 contact-tracing calls per day, with the ability to deploy an additional 1700 StatsCan interviewers capable of making 20,000 calls per day, should any province require their services as part of the testing and tracing necessary for economies to re-open. (Because obviously, provinces need the federal government to do everything for them these days). Trudeau also mentioned the launch of an online benefits portal, to help people navigate the various financial benefits available to them.

During the Q&A that followed, Trudeau said that the government was trying to find a balance when it comes to the issue of airlines offering vouchers instead of refunds for cancelled travel as they face their own cash crunches and layoffs. When asked about contact-tracing apps, Trudeau did hint that they were trying to find one that would be useable across the country – as Apple and Google have stated that they want a single app to service an entire country (which is hindered by the fact that Alberta has already launched their own app) – but he also gave a reasonable explanation about the fact that they haven’t recommended one to date because they required the app to run in the foreground while people were out, which drains batteries and limits functionality. As for the worrying news out of Hong Kong, Trudeau stated that he was concerned about the situation – and a few hours later, Canada made a joint statement with the UK and Australia to condemn the proposed law that China apparently plans to impose on the region.

For his part, Andrew Scheer held his own presser to present a motion that the Conservatives are proposing for the Commons to debate for Monday’s regular sitting, wherein he wants Parliament to be declared an essential service (where have I heard that before?) and wants regular sittings with a maximum of 50 MPs present where regular business can be discussed. And he’s got a point, were he and his caucus not being complete dicks about it and creating a series of falsehoods to justify their position. We’ll see what happens on Monday, and whether they can come to an agreement before then.

https://twitter.com/PhilippeLagasse/status/1263901581256384514

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Roundup: A campaign of lies to demand Parliament’s return

For his daily presser, prime minister Justin Trudeau opened with an announcement of some $75 million in additional support for off-reserve First Nations people, Métis and Inuit, primarily those in urban situations that require additional supports. He also said that provinces – most especially Ontario and Quebec – were being offered additional federal supports for testing and contact tracing as they open up their economies, which was later confirmed in the readout of the first ministers’ teleconference that took place later in the day. During the Q&A, Trudeau also referred to China not understanding the notion of what a rule of law country is after certain comments about the detention and determination of the extradition of Meng Wanzhou (and the BC court will make its determination next Wednesday).

Meanwhile, in the special COVID-19 committee, Conservative MPs engineered outrage by demanding the government answer questions on the Harrington Lake renovations, and when they were called out for the fact that the agreement between all parties was that the special committee’s ambit was on the pandemic, they tried to justify the question by saying that if the government was granted extraordinary spending powers, they needed to ensure that it wasn’t going to these renovations – which is disingenuous bullshit because the spending for those would have been approved of years ago. Nevertheless, they bundled their outrage clips and started putting shitposts around social media to claim that because we don’t have proper parliamentary sittings right now that they weren’t allowed to ask questions that the “government doesn’t approve of” – again, which is disingenuous bullshit. Those questions weren’t in the ambit of the committee, which is why they were objected to. I’m also incredibly pissed off that they are trying to make an issue out of these renovations, calling them “secret renovations” to “mansions for the prime minister’s enjoyment,” which is out of bounds. These are official residences, and every time they get weaponised like this in order to score political points, it means that we can’t maintain them properly. That’s the reason why 24 Sussex was allowed to turn into a crumbling shitpile, and yet here they are, carrying on the same kinds of accusations that led to this situation. They refuse to learn, and we all pay the price for it.

At the same time, I am exasperated by the fact that the Conservatives are now trying to use yet more lies and disingenuous bullshit to bolster their case to bring back regular sittings of a skeletal parliament. Nobody wants these sittings more than me, but the fact that they are trying to drum up fake outrage against Trudeau, claiming he is trying to permanently sideline parliament in favour of daily press conferences (where they falsely claim that he hand-picks the journalists asking questions), is really beyond the pale. But this is what the party has become under Andrew Scheer – a haven of liars who will say anything, no matter how outrageous, in order to try and score points. The fact that people saw through this and kept him from forming government should be a lesson, but no. They are barrelling ahead with this tactic, and it boggles the mind why they think this a winner for them. Poisoning the well hurts everyone in the end – most especially Parliament as an institution, which they suddenly claim they cherish and are trying to defend.

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Roundup: LEEFF details and mask recommendations

As is becoming the norm on days when there is a special committee sitting, it was the ministers who were out first – specifically Bill Morneau, who was announcing more details for the Large Employer Emergency Financing Facility (LEEFF), and how that was going to work – including more of the attached conditions such as ensuring that there was some kind of beneficial arrangement for the government in the form of warrants, and the possibility of a government observer on boards of directors.

Prime minister Justin Trudeau was up next for his daily presser, wherein he repeated his pleas to employers to use the wage subsidy to re-hire their workers, and for commercial landlords to take advantage of the rent subsidy programme, which would begin taking applications on May 25th. He also said that more assistance for large retailers would be coming.

What made no sense was the Thing that journalists made of the fact that Trudeau has increasingly been seen with a non-medical mask in certain public situations, followed by Dr. Theresa Tam making an “official recommendation” that people wear such masks when physical distancing is difficult. Erm, except she’s been saying that for weeks now, so why this was such a big deal that journalists needed to play up and then dissect the “evolution” of her position is boggling. Nothing has changed – the message has always been that these masks won’t prevent you from contracting the virus, and that you still need to maintain physical distancing and proper hygiene (and more to the fact that these masks can instill a false sense of confidence, and that people are more likely to touch their faces more with them on). But hey, our de facto parental authority figure is telling us this “officially” now, so that obviously has some kind of psychic weight, or something. (Seriously, guys).

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Roundup: Pearl-clutching over fraud

While he didn’t show up at the “virtual” special committee yesterday, prime minister Justin Trudeau nevertheless held his daily presser, during which he announced that they were creating a $470 million programme to support fish harvesters, which would include grants for those businesses who needed a bridge, and EI application rules for those who would have to miss the season because it wasn’t safe. As well, there was another $100 million for an agriculture and food solutions programme through Farm Credit Canada. Trudeau also noted the upcoming long weekend, and said that as of June 1st, some national parks and historical sites would be re-opened to the public – provided the province they are in would allow it – and that there were new restrictions for pleasure craft, with the intention that they not be allowed to head to places where they could infect local populations, particularly in the North.

Meanwhile, the breathless pearl-clutching fraudulent CERB claimants continues unabated, as the National Post procured yet another government documents that allegedly says to grant it even to people who have quit their jobs or been fired with cause, which shouldn’t be allowed. But as Trudeau stated under questions after his presser, the goal was to ensure rapid delivery for the 99 percent of people who were claiming this benefit for legitimate reasons, and that if they had insisted on more robust checks at the beginning of the process, the money still wouldn’t be flowing. This of course hasn’t stopped some of the usual suspects from tweeting bullshit about how the programme is being abused, with zero evidence and using examples that could not actually work. But let’s create a moral panic about it.

https://twitter.com/kevinmilligan/status/1260960640480407552

We also had some observers fanning themselves and reaching for their fainting couches when Liberal MP Wayne Easter, who chairs the finance committee, remarked to Bill Morneau at yesterday’s finance committee meeting, that he wanted a stronger statement from the government that they were going to deal with fraudulent cases. Imagine – an experienced backbencher taking a tough tone with his own party in government! Suffice to say, the message from this government has consistently been that if there is misconduct, it will be caught and dealt with at the appropriate time (and now is not that time). I’m not sure how much more explicit they can actually get, but maybe that’s just me.

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Roundup: Hurt feelings and punitive lessons

There is a vote coming up on Monday, when Parliament returns from the constituency week, which is on the Conservatives’ Supply Day motion to allot the opposition an additional three Supply Days, which the Conservatives are trying to spin as a “lesson” for the Liberals, because they apparently haven’t gotten the memo that it’s a hung Parliament. Also, the Conservatives’ feelings are hurt that their previous Supply Day was moved from a Thursday to a Friday, and they feel like it was being done as “punishment.” Never mind that the rules allow the government to allot a certain number of Supply Days to Wednesdays and Fridays (which are half days), and every government has monkeyed around with Supply Days in the past – most especially the Conservatives.

To that end, I find it particularly galling that Candice Bergen thinks that the Liberals need to take some lessons in humility because it’s a hung parliament, considering how the Conservatives behaved during the minority years. Humility? Conciliatory note? Nope. It was daring the opposition, declaring non-money bills (some of them in the Senate) to be confidence measures, screwing over the other parties by changing the federal rules governing spending limits on leadership campaigns while the Liberals were in the middle of theirs, and it culminated in a finding that the government was in contempt of parliament because of how they were withholding information that parliamentarians had a right to see.

Meanwhile, I would also issue the warning that this kind of stunt, which will further limit the government’s available calendar, will inevitably wind up with the government needing to use time allocation or other similar measures in order to pass time-sensitive legislation. Bergan may think she’s being clever by using these kinds of tactics, but this kind of thing always blows up in someone’s face, and nobody wins in the end.

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Roundup: Expecting a regulatory overhaul

I’ve been keeping my eye on the Orphan Well issue in Alberta from a distance, somewhat in part because of everything I learned about the problem when writing about the Supreme Court of Canada challenge around how the obligations to clean them up interacted with federal bankruptcy law. As it turns out, the Supreme Court said no, companies can’t offload these environmental problems in order to salvage other assets, so Alberta was left with a problem as the huge problems with the way their regulatory system operates has been left with a very big problem. The province’s energy regulator (which has long been accused of being captured by the industry) is finally admitting that their system for determining liabilities has been flawed all along, and the province is saying they’ll be releasing new regulations soon, but we’ll have to see how much more stringent they’re going to be with the provincial government constantly worried that they’ll unduly harm the industry in its weakened state (which is another reason why Kenney has been pressing for those so-called “equalization rebates” from the fiscal stabilization fund in order to put toward remediating orphan wells – because why not get the federal taxpayer to deal with the remediation of environmental liabilities that the province deliberately under-funded in order to keep the good times rolling (and their tax base unsustainably low).

Meanwhile, the number of smaller oil and gas companies who haven’t been paying their taxes to municipalities or rents to farmers and landowners is climbing, leading to a great deal of frustration in the province, and there are calls essentially for these smaller companies to be allowed to go bankrupt so that larger ones can take them over, and they’ll be better capitalized to deal with their environmental liabilities, as happened in Texas several years ago. Then again, seeing as the provincial government and their federal counterparts seem to be so much more beholden to the smaller oil and gas players than they are the big ones (for whom they will deride as being big corporations, because don’t forget they’re right-flavoured populists), so we’ll see how far that line of argument gets them.

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Roundup: The reality of negotiation

As was ever thus, the Twitter Machine erupted with fury and disingenuous outrage when health minister Patty Hajdu told reporters that she couldn’t guarantee that a national pharmacare programme would be in place at the end of the current parliament (for which we don’t know when that will be, as a hung parliament rarely lasts beyond two years.

“Some of that will be predicted by, predicated by, the responses of the provinces and territories,” said Hajdu, because *mind blown* healthcare is largely the domain of the provinces and any pharmacare system would have to be negotiated with them – in particular, a national formulary, which is going to be extremely complicated to ensure that existing plans don’t get left behind or that the new national plan isn’t worse off than any existing ones that it would replace.

What is especially irritating are all of the voices crying out that this just means the Liberals were lying on the campaign trail, which is false and ridiculous – Trudeau spent the campaign not overpromising on this file, but rather kept saying that it was contingent on negotiation with provinces, which is why their fiscal plan only called for a “down payment” on such a programme rather than the whole thing, but nevertheless, the promise was to go by the principles of the Hoskins Report, which they have bene doing thus far. The NDP, by contrast, insisted that this could be done by 2020, and whenever anyone brought up the fact that the provinces may object, the line was largely that why would anyone say no to federal dollars? It’s absurd, of course, because provinces are rightfully afraid that they would be stuck with an expensive programme to run if the federal government suddenly cut out transfers or funds to it because they suddenly had other priorities (which has happened in the past).

And to that end, we have a bunch of premiers who are balking at it, Quebec and Alberta want to be able to opt-out with compensation, and Ontario is instead insisting that the federal government pay for drugs to treat rare diseases – the most expensive kind, and the ones where costs are rapidly escalating. So of course they want the federal government to pay for them rather than to share the burden. It’s predictable, and for anyone to be shocked and appalled that the Liberals have to deal with this reality is really, really tiresome.

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