Roundup: Mark Carney undermines his Bank of Canada successors

When it was announced that former Bank of Canada governor Mark Carney was going to be speaking at this weekend’s Liberal convention, we got the usual amount of tongue-wagging from journalists and pundits who assumed that this would be the time when he announced he was running for the party. The Conservatives put out a nasty press release that considered him the “future leader of the Liberals,” as though this was a replay of the Michael Ignatieff trajectory. Carney didn’t make any announcements of future plans, but he did the next worst thing – he stated that he planned to support the Liberal Party in any way he could.

This is bad. This is very, very bad. I have written about this before, but the Bank of Canada is an institution that needs to be scrupulously independent, much like the Supreme Court of Canada. Monetary policy is not to be trifled with, and the separation between fiscal policy (government and the Department of Finance) from monetary policy (Bank of Canada) is sacrosanct in our system. We had a bona fide political scandal about maintaining this separation decades ago, which was the Coyne Affair, and it led to changes that guaranteed the central bank’s independence. This is why, much like Supreme Court justices, former Bank of Canada governors need to maintain their scrupulous independence after office, because the danger of tainting the institution is too great. Because what are we going to see now? All monetary policy decisions will be viewed through the lens of partisan politics and opportunism – which is toxic to the institution. Opposition MPs will start badgering and hectoring the current Governor when he appears before committee and assuming partisanship in his advice and policy direction – something that we are already getting dangerously close to, as Pierre Poilievre tried to go after the Governor over the decision to buy bonds through the current fiscal crisis (which is perfectly sound expansionary policy at a time when we were seeing deflation instead of the kinds of inflation that the Bank is trying to target). This matters, no matter how many Liberal partisans seem to think that this is something they can just handwave away because he said nice things about them.

If Liberals had a modicum of respect for institutions that they claim they have when those institutions are under attack by the Other Guys, then they wouldn’t keep doing this, and yet it happens time and again. They undermined the Senate, the Governor General, and now the Bank of Canada. They have become an absolute menace to the systems and institutions that are at the heart of how our country operates. This is a problem.

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Roundup: Asking for a “special monitor”

As case numbers continue to rise alarmingly in most parts of the country, Ontario Premier Doug Ford tried to get into a pissing match with the federal government over vaccines, and the federal government wasn’t playing ball, simply tweeting vaccine delivery numbers in response. This on the same day that Ford insisted that schools were safe, and hours later, Toronto’s chief public health officer issued a Section 22 order and closed all Toronto area schools as of today, so that’s a good look. (In Alberta, Jason Kenney also had to issue new restrictions, while still trying to take swipes at the federal government for vaccines well – distraction from their own failure to contain the virus).

In the middle of this, Erin O’Toole decided that he was going to promise a public inquiry into the handling of the pandemic – which, to be fair, the government has also said they would be willing to hold once things were in the clear, because everyone wants lessons learned – but O’Toole loaded his particular desire for such an inquiry full of easily disproven allegations and conspiracy theories. Things like how there weren’t any vaccines even being considered last spring because everything was too new; or CanSino (which the government never “put all their eggs in one basket” with, and the vaccine task force didn’t give them any priority when they started compiling the vaccine portfolio), which he keeps referencing as though saying it often enough will make it true. That, and by focusing solely on vaccines, he is very conspicuously trying to avoid blaming his provincial brethren for their massive failures, for which a proper national public inquiry would probably be needed to enumerate (because I doubt that most of those provinces will call inquiries of their own).

More to the point, O’Toole’s demand for a “special monitor” to be appointed from the Auditor General’s office to examine decisions “in real time” is literal parliamentary insanity. What exactly an accountant knows about public health decisions I’m not entirely sure, but frankly, having them looking over the government’s shoulders is literally O’Toole abdicating his own responsibility for holding government to account for their decisions. Trying to pawn the job off to a non-partisan Officer of Parliament (or their proxy) as a way of using them as both a cudgel and a shield is the height of cowardice and a refusal to do his own bloody job. It’s also why I keep warning against the proliferation of these kinds of Officers – pretty soon, MPs won’t have a job left to do. This is a mess all around, and O’Toole continues to prove that his attempts at showing he is relevant only reiterate that he is trying to make himself obsolete.

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Roundup: The third wave is accelerating

The third wave is accelerating, and targeting younger populations, and the affected provinces are seeing record levels of hospital strain, and the number of positive cases has now topped one million since the beginning of the pandemic. School boards are starting to shut down in-person learning in several Ontario regions, and it’s getting really, really bad. But the province is keeping on with its current mockdown rather than imposing actual tough measures, and I’m sure we’ll hear another round of blame being laid at the federal government (never mind that the vaccine rollout is ahead of schedule, with another 2.2 million doses arriving this week).

One thing we are hearing a lot about is workplace spread, and most of it with “essential workers” (even though that definition is so broad these days). This is causing a number of infectious disease experts to call for the province to shift its vaccination plans from simply going by age to targeting areas where more of these essential workers live, or even vaccinating at workplaces. I’m not confident, however, that the affected provinces will do so, because a) they are being run by incompetent murderclowns who are incapable of pivoting to where there is greater need, b) they want to cater to boomers because that’s where the votes are, and c) they have an in-built ideological inability to doing the kinds of things that are needed to halt workplace spread, such as paid sick days or simply paying people to stay at home to avoid spread, and this is allowing things to get progressively worse.

To that end, here’s Robert Hiltz, who quite rightly points out that the current mockdowns will remain useless because the provincial governments have decided that these workers are expendable to keep the economy chugging along, while tut-tutting at the rest of us, and yes, that should make us all furious.

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Roundup: Pointing to the civilian culture too

The reckoning over the culture in the Canadian Forces that permits sexual misconduct continues to get an airing, and over the weekend, we saw another dimension to this reckoning be raised, which is that the culture of the civilian branch – the Department of National Defence – has many of these same cultural problems in part because a good portion of its staff are former military and came up in the same toxic culture in the Forces. One example of ways in which the Forces were trying to show women that they weren’t welcome was forcing them into co-ed showers in 1997, and how the people involved in those decisions are still in positions of authority today.

Also over the weekend, there was an interview with retired Lt-Gen. Christine Whitecross, who discussed her experiences with misconduct that she did not always pursue complaints about, but also her sense of optimism that more people reporting sexual misconduct in the ranks. Whitecross also let it be known that she did apply for the chief of defence staff position, but obviously did not get it (to the surprise of many). As well, the accused in one of the most high-profile cases of sexual assault in the military – the story of which wound up in Maclean’s and touched off the Deschamps report and Operation Honour – is going to plead guilty to the charges after all.

Amidst all of this, the current military ombudsman is now echoing previous calls to make his office fully independent and reporting to Parliament, rather than to the department and the minister, and I just can’t. The very last thing we need is one more unaccountable Independent Officer of Parliament, and yet they are proliferating like mad, and this is yet one more demand. Surely we can figure out some sort of mechanism to help them retain greater independence within the current structure, but we need to stop the proliferation of Officers of Parliament, before they completely overrun our system, reducing our MPs to battle droids who recite canned speeches and vote according to their whip’s instructions. And it’s not like we’re not seeing other Officers of Parliament going well beyond their job descriptions and turning themselves into media darlings, right? Oh, wait…

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Roundup: Announcing the process to find the next GG

Yesterday afternoon, the government finally announced the process by which they will be selecting the next governor general, and it is the return of an advisory panel – but not really the old vice-regal appointment committee process that Stephen Harper initiated. For one, minister Dominic LeBlanc co-chairs the committee along with the interim Clerk of the Privy Council, which is a big change because LeBlanc’s inclusion means it is no longer arm’s length and won’t be able to claim that it can avoid the appearance of considerations being made through a political lens. As well, the Canadian Secretary to the Queen is nowhere to be seen in this process, whereas the previous CSQ chaired the previous committee process. (There has been some disagreement with this over Twitter, which is their prerogative but I would not consider the creation of a short list to be “political advice” any more than any other options presented to a government as compiled by the civil service).

What concerns me is the timeline of this process, which the government claims to want to be “expeditious” because they don’t want to keep the Chief Justice in the Administrator position for long, particularly if we are in a hung parliament that could theoretically fall at any time (if you discount that the only people who actually want an election right now are bored pundits). Nevertheless, it took them a month-and-a-half after Payette’s resignation to just announce the committee. The old committee process took an average of six months to conduct a search and compile a short-list for a vice-regal position, which is really not tenable in the current situation.

If anyone wants to read more about the old process and the role of the Canadian Secretary of the Queen in it, it was part of the focus of my chapter in Royal Progress: Canada’s Monarchy in the Age of Disruption, which was the product of presentations made at the last conference by the Institute for the Study of the Crown in Canada.

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Roundup: Alberta’s big budget hole

Alberta released a fiscal update yesterday, and it was pretty abysmal, projecting a record-breaking $24.2 billion deficit. The problem? Was that the province’s finance minister spent much of it lying to the legislature and Albertans about the state of their books going into the pandemic, not to mention not having a real plan for the recovery. But it to put some of the staggering numbers in context, the province is taking in more revenue from gambling, alcohol and cannabis than they are from oil revenues – you know, what they have based their economy on. Meanwhile, their non-existent recovery plan is bro-heavy, and they still insist that they have a spending problem on services rather than a revenue problem from having the lowest tax rate in the country and no sales tax – and you know that’s going to mean the province is looking to slash and burn services, and they’ve already started by picking fights with doctors in the middle of a global pandemic, and those doctors are already shutting down their clinics and moving away. So yeah, Alberta’s got problems.

Economists Andrew Leach and Lindsay Tedds have more, starting with this preview thread by Leach that set the stage for the speech of lies that was to come.

https://twitter.com/LindsayTedds/status/1299171987655327744

https://twitter.com/LindsayTedds/status/1299173816577347584

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Roundup: $2 billion unbidden

There was a lot of reaction to the announcement that prime minister Justin Trudeau was giving an additional $2 billion to the provinces to help schools restart safely – unbidden – and those reactions were interesting. Trudeau himself made a point of saying that this was as a result of listening to his backbench Liberal MPs and parents who continued to express concerns, and that it wasn’t requested by premiers, so that’s a political marker right there. It’s also a transfer that is largely without strings – it comes in two tranches, one now, one at the end of the year, and all the provinces need to do between them is to tell Ottawa how they spent the money, so again, it’s a bit of a political test for those premiers – and it’s also giving rise to speculation that this is a sign that Trudeau is in election mode.

Reaction was mixed. Doug Ford expressed gratitude (but also falsely claimed that Ontario’s restart plans were the safest in the country, which is patently absurd), but his education minister – and his opposition critic in the NDP – derided the funds as “late to the game.” Manitoba premier Brian Pallister, for example, was somewhat non-committal, and said he’d take the money, but praised his own government’s efforts. And, hilariously, Jagmeet Singh took credit for it, saying that he had called a press conference to “make an announcement” (read: demand) about more money for schools and lo and behold, the prime minister delivered before that press conference happened. Yeah, okay then.

The complicating factor in all of this is that this is an area of sole provincial jurisdiction and there should be zero expectation for federal dollars, which is why I find myself mystified by all of the people on Twitter (and the Ontario NDP education critic) bemoaning that these funds didn’t flow in June. But if you recall, in June, Trudeau and Chrystia Freeland were negotiating with the provinces for their “Safe Restart Plan,” with $14 billion on the table which included money for schools, so it’s not like it wasn’t being discussed – the provinces were recalcitrant because they didn’t want the strings attached that come with billions of dollars. Eventually, they came to an agreement and it turned into $19 billion, and this $2 billion is on top of that, so it’s not like the federal government has been completely silent. I would also suspect that there is a bit of an implicit rebuke in this new envelope of money because provinces have been dithering on their restart plans, giving confusing options to parents with no time to evaluate them, and more critically, have been unwilling to do the important work of reducing class sizes. One could easily interpret this money as Ottawa telling them – not in so many words – to get their acts together, and they’ll look fairly magnanimous while they’re at it.

https://twitter.com/StandingHannah/status/1298685195579723776

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Roundup: Self-isolating MPs

Yesterday evening, Seamus O’Regan tweeted that after a persistent head cold, he went to his doctor and was self-isolating until he got the results of the COVID-19 test that he got. Around the same time, former Conservative Cabinet minister (and sexting blackmail victim) Tony Clement was on Power & Politics saying that it may be time to think about taking Parliament “digital,” and holding debates and votes remotely for the duration. Yeah, that’s a big nope.

I get that being a politician is a tactile business, and there are concerns that the House of Commons is essentially one big cruise ship, however Parliament needs to happen face-to-face. It’s inconceivable that it could be done remotely because so many of the needed conversations happen off-camera and on the sidelines. That can’t be replicated by everyone working remotely. Should they take additional precautions? Sure – additional hand-washing, practicing social distancing when they take meetings, and so on, but that’s not exactly a big hardship. And it’s not like there aren’t a number of constituency weeks coming up for MPs to hunker down if they need to, and even though it may be a hung parliament, there are more than enough provisions for members from different parties to “pair” absences so that there are no accidental losses of confidence in the meantime (because as much as the Conservatives claim they want an early election, this is largely bravado as their party organization is in chaos and they are in no shape for it, not to mention that neither the Bloc nor the NDP want one either, and they have the votes that count).

The bigger danger, however is contagion – not of the virus, but of the notion that MPs can “work remotely,” which many have been pushing for in the ongoing effort to make Parliament more “family friendly.” But that way lies madness – MPs won’t bother to leave their constituencies, believing they can do more good there (even though constituency work is actually not part of their job description), and without those sideline conversations, it will polarize the environment even more than it already is. Recall how collegiality was shattered after evening sittings were ended and MPs no longer ate dinner together – this would make it that much worse, if they no longer have to look one another in the eye or cross paths. This nonsense needs to be quashed here and now. You can’t Skype Parliament.

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Roundup: Attacking his own plan

Andrew Scheer’s sudden denunciation of the planned clean fuel regulations got some reaction yesterday, partly from the government, and partly from economists who deal with this kind of thing for a living. Scheer’s labelling it a “secret fuel tax” is more than a little odd, because it’s exactly the kind of thing he’s proposing by removing the transparent federal carbon price and replacing it with more costly regulations, which would get passed onto consumers in a hidden way without any of the rebates that the current federal backstop programme provides – in other words, doing exactly what he’s accusing the Liberals of doing. The government noted that Scheer’s 4¢/litre figure are just a guess because the regulations haven’t been finalised yet (though some economists say it’s about right based on current projections), but again, it needs to be driven home that this is exactly the kind of thing that Scheer himself is proposing, but without the added “technology is magic” sheen attached.

To that end, here’s economist Andrew Leach’s mock open letter to Scheer.

Meanwhile, Heather Scoffield points out that this latest attack by Scheer risks boxing him in, and attacks his credibility on the climate file.

https://twitter.com/robert_hiltz/status/1148609609424429057

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Roundup: More trouble in Rideau Hall

The news out of Rideau Hall is rarely good these days, and yesterday, it was about high levels of harassment and job dissatisfaction being reported by the staff there. I’m not entirely surprised by this, given that most of the established and long-time staff abandoned it shortly after Julie Payette was named governor general, because she and her hand-picked secretary (who had no government or Crown-related experience) essentially made everyone’s lives miserable. This after it was revealed that Payette still refuses to move into Rideau Hall because she’s unhappy with the lack of privacy there, while she has decided to decamp to the Citadelle in Québec City – her other official residence – for the summer. (On that note, it’s probably the most use the Citadelle has had continuously in quite a while). All of this makes one wonder if she wasn’t told when she was offered the position that it’s a very public role and that living in an official residence would come with issues like staff being in the building at all hours. It seems odd that she wouldn’t have known this going into the job (and possibly a sign that Justin Trudeau and his office did a terrible job in either selecting her or preparing her).

Meanwhile, I remain concerned that we’ve heard nothing from the PMO about how they’re planning to replace the lieutenant governor of Saskatchewan following his untimely death this week, because the provincial government will be paralyzed until that is filled. If we had a functioning vice-regal appointments commission, there would have been more names from a short-list on record that could be drawn from fairly easily for a replacement, but now it’s an opaque box, and if there is another Judy Foote-like appointment in the works, that could be yet another self-inflicted wound for this government.

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