Roundup: That $1 trillion figure

The big scary headline yesterday was that Canada’s market debt had reached $1 trillion. OH NOES! screamed the commentators, and the Conservatives most especially (albeit not in Question Period, but at committee). Part of the problem with this figure, however, is how it’s being reported, and most especially, being compared to things like a household mortgage, which it is absolutely nothing like. For starters, the “market debt” figure being reported there adds a great many things into it – things like the debts of Crown Corporations like CMHC, the Business Development Bank of Canada, or Export Development Canada. These may have federal backstops, but with BDC and EDC, for example, these are important vehicles for entrepreneurs and exporters to expand their businesses, which is generally good for the economy. And you can bet that the “fiscal hawks” out there are disingenuously bundling this into the federal government’s net debt, or sub-national government debt, and giving themselves the vapours to prove a point, which isn’t necessarily helpful.

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And as much as the Conservatives are snarking at Bill Morneau over this figure, ignoring how much they added to the national debt in the wake of the financial crisis of 2008 (much of the spending coming too late as the recovery had already started when they spent the money, which was also not necessarily spent efficiently) or the fact that when the Liberals took office in 2015, there was a $70 billion hole in GDP because of the mini-recession that happened in part due to the drop in oil prices. That $70 billion is largely where their increased deficit figures come from, not that they communicate this very effectively. But despite Kevin Page’s warning that interest on debt is the fastest growing line item in the federal budget, debt-to-GDP is going down, and the deficit is shrinking faster than initially reported because the economy has been growing faster than expected. Current PBO figures show that there is no debt bomb – federal figures are in a downward trajectory sustainably. I’m not sure that tearing our hair out over this $1 trillion figure is helpful, particularly because it bundles in a lot of things, and the reporting on that isn’t making it clear. It’s just a big number that people are supposed to get upset over, which helps nobody understand the true fiscal situation, of the levers that governments have to deal with it.

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QP: Concern trolling about Daniel Jean

While the memo went out cancelling travel for Conservative MPs, it apparently wasn’t received by Andrew Scheer, who was not present. That left it up to Candice Bergen to lead off, railing that the government forced them to vote for 21 hours in a “cover-up.” Justin Trudeau said that Scheer was offered a classified briefing by the public servants in PCO, and he declined. Bergen insisted that they wanted the same briefing that the media received, and Trudeau reiterated his answer, and that this was really about petty politics. Bergen retorted that members of the media aren’t sworn into Privy Council, and repeated her question. Trudeau said it was puzzling as to why Scheer turned town the briefing in order to play politics. Pierre Paul-Hus stoood is to repeat the question in French, and he got the same response in French as he did in English, with Trudeau digging in that the Conservatives would rather play politics than debate gun control. Guy Caron was up next for the NDP, railing that only a small number of tax evasion files were opened by CRA, to which Trudeau took up a script to reminded him that they invested a billion dollars and have a thousand ongoing audits, and forty criminal investigations underway. Caron railed that KPMG was getting away while waitress’ tips are being targeted, and Trudeau gave some bland assurances that everyone will pay their fair share of taxes. Charlie Angus was up next, railing about the “close links” between Facebook, the Liberals, and actors identified in the current scandals. Trudeau took up a script to read some assurances that they respect privacy rights, and they are committed to ensuring Canadians can trust in our institutions. Angus demanded assurances that they would not balk at these actors being called to committee, but Trudeau read some more bland assurances.

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Roundup: Incoming procedural shenanigans

Hang onto your hats, dear readers, because it looks like we’re up for another week of procedural gamesmanship as the Conservatives continue to try to make the Atwal Affair happen. Our hint is that the Conservative whip, Mark Strahl, has taken the unusual action of cancelling all MP travel, and wants to ensure that it’s all hands on deck for this short week (but one wonders if that includes Andrew Scheer, who has been barely in Ottawa lately, including on sitting weeks, as he continues his various tours across the country). That, and the fact that it seems that this is the time of year that there is some kind of procedural showdown, judging from the past couple of years. (Recall that around this time last year, the Commons ground to a halt over Bardish Chagger’s proposals for reforming the Standing Orders).

So what can we expect? No idea yet, but one imagines that the stops will be pulled out, whether it’s interminable points of privilege, filibusters at committees, or attempts to force concurrence motions on committee reports. Whatever it is, we’ll see how long they either have the stamina for it (unlike last week’s vote-a-thon tantrum), given the upcoming long weekend/two-week constituency break, or whether the government will back down (as they have tended to in the face of such obstruction techniques). Maybe the government will be able to issues manage/communicate their way out of a wet paper bag this time and effectively say that the opposition is wasting time that could be better spent debating gun control/the budget implementation bill/etc, etc. Or maybe the Conservatives will have better traction with their disingenuous narratives about the Atwal Affair and the absurd notion that the government is “muzzling” the National Security Advisor from appearing at committee (never mind that he shouldn’t appear based on Westminster norms, and that the government has pointed to the National Security and Intelligence Committee of Parliamentarians to investigate the issue if the Conservatives are so motivated, if they actually cared about accountability and were not simply looking to public humiliate a senior public servant and the government). Suffice to say, nobody is going to cover themselves in glory over this, everyone’s patience will be tested, and nothing will be accomplished in the long run. But what else is new?

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QP: Scrapping over data mining

While Justin Trudeau was off to New Brunswick, and Andrew Scheer elsewhere, it was up to Erin O’Toole to lead off, reading a quote about the job of the opposition to ask questions, attributing it to the PM, and wondered why the government wouldn’t let Daniel Jean appear before committee. Ralph Goodale calmly responded that the crux of the motion was around the Atwal invitation, that it was rescinded. O’Toole insisted two more times that MPs had a right to hear the briefing, but Goodale defended Jean’s career and insisted there were no contradictions in the positions put forward. Pierre Paul-Hus tried again twice in French, and Goodale poked holes in the Conservative Supply Day motion in return. Guy Caron was up next for the NDP, and decried that only $15 million out of the $1 billion given to CRA to combat tax evasion. Lebouthillier reminded him that the investment was over five years, and it would be ramped up in order to take a strategic approach. Caron then railed that the CRA’s anti-avoidance committee met in secret, while Lebouthillier said that it was a committee of experts that meets as necessary. Peter Julian took over in French, and demanded taxation on web giants, to which Bill Morneau said that they were conducting studies to ensure that the system would work well. Julian changed to English to insist that studying the issue would mean doing nothing, but Morneau reiterated that they wanted to have a plan before acting.

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Roundup: Threatening marathon votes

Because apparently this Jaspal Atwal issue refuses to die, the Conservatives have decided to spend today’s Supply Day motion demanding that the Prime Minister instruct the National Security and Intelligence Advisory to attend the public safety committee and give the MPs there the same briefing he allegedly gave journalists (on background). Or else.

That’s right – in order to overplay their hands, they’re openly threatening to force some forty hours’ worth of votes on the Estimates as consequence for defeating this motion – because that doesn’t come across as petulant or childish. And while they couch it in the fact that they have a responsibility to hold the government to account – which they do – they’ve also been demonstrably obtuse about this whole affair. The different versions of what happen are not impossible to reconcile – they are, in fact, eminently reconcilable. The PM has defended the facts put forward by the senior officials, and have stated that they did not put him up to it. Media outlets have since dribbled out versions of “reviewing my notes” and toning down some of  their reporting of what was actually said to show that it wasn’t actually as inflammatory as initially reported as (because by the point at which it initially happened, they were focused more on wedging it into the narrative they had all decided on rather than acknowledging what was happening on the ground if it didn’t fit that frame). Nobody has acted responsibly in this – the government, the opposition, or the media. And digging in to entrench the narrative that somehow we have damaged relations with India (not true, unless you’ve conveniently forgotten the fiction about how it led to new tariffs) and that the trip was some giant disaster (forget the investments or the constructive conversations with Indian officials) is just making it all worse for everyone.

The bigger issue, however, is the fact that this committee is not the venue for this conversation to happen, and MPs are kidding themselves if they think it is. We have the National Security Intelligence Committee of Parliamentarians to review this kind of intelligence data in confidence, and then issuing a report on what was said. Commons committees have been down this road before, and have actively damaged our national security and intelligence agencies because they can’t help themselves, and now they’re demanding the chance to do it yet again. There are proper ways to hold the government to account. This planned stunt and threat is not it.

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QP: Twin moral panics in play

While Justin Trudeau was off to Toronto, Andrew Scheer was present for Question Period, and he led off with the role that Christopher Wylie, the infamous “Facebook whistleblower” had worked for the Liberals, and demanded answers. Scott a Brison pointed out that the Liberal Research Bureau had already issued a statement saying that they decided not to go ahead with his services and that he had no access to voter data. Scheer lamented that Trudeau didn’t answer — being cute because Trudeau was not present — and when he continued to rail about Wylie, Brison reiterate his response, and hit back with contracts the Conservatives tendered for their own data services. Alain Rayes took over in French to ask the same thing two more times, and Brison repeated his responses (albeit in English). Scheer got back up to rail about the “peoplekind” joke and the apparently scandalous news that Service Canada is not supposed to use the honourifics of “Mr.” of “Mrs.” The horror! Jean-Yves Duclos assured him that they can still use the honourifics, but that they were working to be more inclusive of all gender identities. Guy Caron led off for the NDP, condemning the lack of action on tax evasion despite the $1 billion investment to do so. Diane Lebouthillier got up to assure him that they were looking into tax evasion and had new agreements to get necessary data, and when Caron got up to rail that CRA was slapped with a $1 million fine for abusive behaviour, Lebouthillier reiterated that the case dated back to the Conservatives. Peter Julian got up to repeat the condemnation around tax evasion in English, and Lebouthillier reminded him that they now have the data they need. Julian tried one more time, throwing every thing else in the question, and Lebouthillier retorted that the OECD has recognised Canada’s leadership in data-driven combatting against tax evasion.

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QP: Circling back to Atwal, yet again

A frigid Tuesday in Ottawa, and all of the leaders were present in Question Period, for a change. Andrew Scheer led off, mini-lectern on desk, and he immediately returned to the Atwal issue, wondering who was telling the truth about Atwal — him or the Indian government. Justin Trudeau stood up and said that he would always believe the advice of non-partisan public servants over anyone else. Scheer pressed, and Trudeau reminded him that Randeep Sarai took responsibility for proffering the invitation, but he trusted public service. Scheer tried again in French, and Trudeau repeated that same point about believing public servants. Scheer reverted to English, reset his preamble to provide a fresh media clip, and wondered if it was Chrystia Freeland who was telling the truth this time when she said it was an honest mistake. Trudeau reiterated the same point about believing public service. Scheer demanded an answer as to whether the “conspiracy theory” was baseless, and Trudeau reminded him that for ten years, the Harper government diminished and belittled the work of public servants, and the Conservatives hadn’t moved on from those habits. Guy Caron was up next, and worried about the Facebook data used by Cambridge Analytica. Trudeau noted that they take privacy seriously, and it’s why the Minister of Democratic Institutions was looking into electoral interference, and the Privacy Commissioner also indicated he was taking a look. Caron demanded that the issue of data protection be raised at the G7 meeting in June, and Trudeau assured him that they had already had these conversations and they would continue to do so. Hélène Laverdière raised the armoured vehicle sales to Saudi Arabia, and Trudeau first pointed asked her to ask her caucus colleague from London Fanshaw if she wanted them to cancel that contract, but that they were taking the issue more seriously than the previous government did. Laverdière demanded to know if human rights were for sale, and Trudeau took up a script this time to insist that they respect human rights obligations.

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Roundup: A shambolic process delivering Ford

It was a shambolic affair from start to finish, from the court challenge around the deadlines, the problems with the voting itself, and in the end, thousands of misallocated ballots and a result where Christine Elliott won more votes in more ridings, but Doug Ford managed to get more of the allocated points and won the leadership on a narrow victory. Elliott did not concede for the better part of a day later, and the feeling is that this all could very well be Kathleen Wynne’s “lifeline,” though one probably shouldn’t count Ford out the way that people counted Donald Trump out.

And lo, we will be inundated with Ford/Trump comparisons for the coming weeks, and analyses of whether these comparisons are fair or not.

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Chris Selley notes the big risk that the Ontario PC party takes with Ford, while Paul Wells notes how Ontario conservatism is a bigger tent and stranger coalition than most people may take for granted.

I’m hoping that out of this, we finally start having a real conversation about how leadership contests are run, because it’s ridiculous. Sure, the partisans will close ranks around this, and we’ll get the voices that insist that this is the best way to grow the party, but it just perpetuates the same cycle. You’re not actually growing the party – you’re creating a number used for shock and awe purposes, and giving an even bigger “democratic mandate” to a leader who will then abuse it to consolidate power. It happens time and again, and we need to have a real conversation about restoring accountability to our politics. Maybe Ford will be the last straw, but I find myself pessimistic that it will change much.

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Roundup: Notley’s unconstitutional threats

In Alberta, Rachel Notley’s NDP government had a Throne Speech yesterday that promised all manner of action to try to pressure BC’s NDP government when it comes to the Trans Mountain pipeline problem. Notley, however, decided to take some of Jason Kenney’s bluster and make it her own, promising the ability to block oil shipments to BC that they need for their domestic use. The problem? The Trans Mountain pipeline is regulated by the National Energy Board, meaning it’s federal jurisdiction, and that neither province can do anything to block it or affect what it carries. She’s also echoing the comments that the federal government needs to lean harder on BC, never mind that the NEB has quasi-judicial authority on the issue, and the fact that all BC has done to date is announce a study, or that the federal government has repeated “This pipeline will get built.” It’s a bunch of chest-thumping and borrowed demagoguery that ignores the historical context of what Peter Lougheed threatened in the 1980s, and is rank hypocrisy in that they’re threatening unconstitutional action to combat BC’s threatened unconstitutional action. It’s time for everyone to grow up.

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Roundup: Unserious about peacekeeping promises

News came out yesterday that Canada had lined up 19 Spanish-speaking soldiers for a UN peacekeeping mission to Colombia, only for National Defence to drag their feet until the opportunity closed. With more tales like these, and others about Canada being offered leadership positions in peacekeeping operations and then turning them down repeatedly, is causing a lot of questions to be asked about just how serious we are about the promises the government made during the last election about returning to peacekeeping operations. The Chief of Defence Staff has said that there were questions about operational security, but those claims are being questioned in light of other evidence being presented. There was a very good interview on Power & Politics with Peggy Mason, president of the Rideau Institute and the former Canadian Ambassador for Disarmament, who challenged many of the points that the government and the military has made, and points to the current culture in DND, which has been out of peacekeeping game for long enough that it’s looking down on those kinds of missions. It’s worth watching if you’ve got five minutes to spare.

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