Roundup: The supposed fiscal precipice

My sinking feeling about the interim Parliamentary Budget Officer continues to plummet, not only in response to last week’s committee appearance where he not only used a bunch of over-the-top adjectives to describe his read of the fiscal situation, but also telegraphed that he has taken all of the wrong lessons from his predecessor and that he intends to make himself a media darling, in defiance of what his role is actually supposed to be according to his legislated mandate:

“If the government wants to go 12 months without producing a budget, as a citizen I would feel a little bit uncomfortable. But as somebody who works in the Parliamentary Budget Office, I’d say, ‘That’s great for us. Because we will occupy all the space that they decide to give up.’”

He was back on TV this weekend, and saying a bunch of alarmist things about how we’re on a “precipice” and so on, which…is not what his office was saying just a few months ago. If anything, this is the kind of alarmism that we’re used to hearing from the “it’s 1995 and will always be 1995” crowd, where any budget deficits are treated as some kind of national catastrophe, and that we’re sitting on a “debt bomb,” but we’re not. People are actively forgetting the measures taken to save the economy during the height of COVID, pretending that it didn’t happen, and now they’re downplaying just what exactly the effect that Trump’s tariffs are having on the economy—or the fact that we have managed to avoid a recession so far (not that it has stopped Poilievre from insisting that our economy is “collapsing.”)

Meanwhile, we’re once again getting the litany of demands from business groups about the budget, and they’re entirely of the “cut taxes and deregulate” variety, because nobody has learned a single lesson about how trickle-down doesn’t work, and that the scars from the last round of government austerity have not healed. And from the looks of it, this PBO is not only trying to become a media darling, but he’s basically rooting his analysis/opinion in these very same frameworks, which I suspect is going to really start to skew just what his analysis is and what it’s saying, which is going to do a real disservice to the job that he’s supposed to be doing.

Ukraine Dispatch

There was another major attack on Kyiv early morning Sunday, with 595 drones and 48 missiles, which killed four people, including a child.

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Roundup: Giving credence to Poilievre’s trolling

In spite of it being an exhaustingly packed news week, The Canadian Press took time out to get some reaction to Pierre Poilievre’s trolling tweets about prime minister Mark Carney’s many international trips of late. Yes, it’s summit season right now and there is a lot more travel coming up, but he has made a number of trips since he was appointed PM, and we have to ensure that it’s not “excessive” or something. Never mind that we’re in a moment of global crisis as the United States has turned into an authoritarian regime that is upending the post-war international order and tacitly siding with other authoritarian regimes, and this requires a global realignment of liberal democracies, but is he travelling too much? Guys.

The one thing that irked me the most in the story was the point about Carney having only attended three Question Periods since Parliament resumed last week, and only nine in the four-week spring session. There was no context to this, which is that it means once or twice per week, which is perfectly normal for any sitting prime minister. Once or twice a week was all Stephen Harper could deign to attend. Justin Trudeau started out with three a week, but then fell back to two on most weeks, but sometimes was just once. The difference of course was that Trudeau made it his practice to answer every question on Wednesdays, which no previous PM had done, and which Carney has not kept up (possibly because he may not have stamina enough to pat himself on the back for a full forty-five minute). In other words, Carney’s QP attendance is fully within the norm, and you would think that the national wire service could point this out, but that might mean that they would have to have someone with enough institutional knowledge and memory to know this, but pretty much every bureau on the Hill no longer has either. (As a reminder, I am the only journalist who goes to QP every day, because someone has to).

This being said, I think we need to once again have a discussion about the kind of insular nativism that Poilievre is stoking by making it sound like foreign travel by the prime minister is somehow illegitimate, or that every trip must come with some kind of signed agreement (even though we may already have signed agreements with countries like Mexico, and forging stronger ties is important beyond just a signed piece of paper). Trying to create this false expectation that the PM can’t go anywhere so long as there is “crime and chaos” at home is juvenile and frankly troubling, because it means that they have absolutely no idea how the real world works, and are playing with fire, especially if they ever want to form government one day.

Effin' Birds (@effinbirds.com) 2025-09-26T13:24:02.797Z

Ukraine Dispatch

The front line in the conflict has grown to nearly 1250 km in length, as Russian forces have shifted tactics to try and make breakthroughs. That said, both president Zelenskyy and his top military commander say that Russia’s 2025 offensive has failed to meet their goals, and suffered heavy losses in the process. Meanwhile, Ukraine’s assessment of the drone incursions into NATO airspace is that Russia is trying to stoke fatigue in Ukraine’s allies in the hopes of drawing down military support.

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Roundup: New hate crime legislation tabled

The government tabled new hate crime legislation yesterday, and while I’m not going to delve too deeply into it here because I’m writing something more substantial about it for another outlet, I wanted to make a couple of observations, starting with the complaints of every reporter in the room during the press conference, which was that they didn’t have copies available at the time, nor did they have press releases available, so everyone was essentially flying blind. Part of this is a function of parliamentary privilege—no one can see the bill until it has been tabled in the House of Commons (or it violates the privileges of MPs), and upon first reading it can be ordered printed, which is why there is a delay on seeing the bill. This isn’t the first time it’s happened, and you would think that some of the more senior reporters would know this, but of course not. It was also the fact that they had the press release immediately after it was tabled, but that was in part a function of the clock (the minister had a flight to catch). But the inability to at least furnish press releases was a legitimate complaint, and the minister’s staff (or the department) should have known better.

This being said, much is being made about the fact that certain symbols are being criminalized if used in the context of promoting hate, and some of the reporters in the room just could not wrap their heads around that context. “But what if someone is wearing a t-shirt?” “What if they have Nazi memorabilia in their house?” The minister was not going to engage in hypotheticals, but the fact that there is context to these offences was a little too abstract.

Some of the reactions were expected, such as the concerns that this is going to impact legitimate protest even though the government has tried to make a clear delineation in the language of the bill that intention to intimidate because of hate is the target, and yes, there are specific legal tests about this. Of course, one of the biggest problems is that we already have laws for most of these offences, but police simply don’t enforce them, and that could be the case after this bill passes as well. Or it could wind up that this bill provides more clarity for police and prosecutors than the existing jurisprudence, but that remains to be seen.

Ukraine Dispatch

Russia claims it has taken control over two more village in Donetsk region, while president Zelenskyy says that Ukrainian forces have inflicted heavy losses on Russians on the frontline counteroffensive near two cities in the same region. Russian jets violated Estonia’s airspace as part of their latest test of NATO resolve.

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Roundup: Alberta’s book bans take shape

Because Danielle Smith’s Alberta continues to descend into this somewhat farcical MAGA karaoke, the alleged list of books that the Edmonton Public School Board is proposing to ban from its libraries per the government’s new policy got leaked yesterday, and you can bet that so many of the usual suspects were on it, including The Handmaid’s Tale, books by Margaret Lawrence, George Orwell, and plenty of queer titles as well, including Flamer, Fun Home, Gender Queer and Two Boys Kissing, because of course they are. (Funnily enough, Ayn Rand’s two most famous works are also on this list). These were all targeted supposedly for “explicit sexual content,” which is ridiculous in pretty much every single case (including those couple of panels from Gender Queer that has every single social conservative apoplectic).

Well, the list of books being banned from EPSB is appalling. And it's very likely that an author on this list will get their other works pulled too, especially in the absence of teacher librarians.There are books on this list that changed my life. This is what the UCP is taking away from kids.

Bridget Stirling (@bridgetstirling.bsky.social) 2025-08-28T17:23:59.383Z

More of the list. It's truly shocking to realize just what this will mean.

Bridget Stirling (@bridgetstirling.bsky.social) 2025-08-28T17:23:59.384Z

But based on the cheers I've heard Danielle Smith's school library content crackdown get at AlbertaNext Panels and UCP function, her political base absolutely adores this.

Jason Markusoff (@markusoff.bsky.social) 2025-08-28T21:42:02.703Z

Of course, once the list was leaked, the minister had to start engaging in damage control, and wants “clarification” on the list, but come on. You set up a moral panic, predicated mostly on queer books, and once you started pulling that thread, whoops, the results were quickly exposed for what they really are, because Smith and company didn’t want to be upfront about the homophobia/transphobia that they were clearly pandering to. So now they’re going to take control over the book ban lists directly, which they insisted they didn’t want to do, and you can bet that the books that stay banned will pretty much entirely be queer or trans materials. Just you wait.

Meanwhile, falling oil prices have turned Alberta’s planned surplus into a big deficit, because they refuse to get off the royalty roller-coaster. Every time they insist that they’re going to, they just double down on resource revenues because they absolutely do not want to implement a sales tax, and the province’s books are constantly in an absolute mess as a result. Of course, Albertans also expect high levels of public services for their low taxes, which is a choice that provincial governments have been making for close to five decades now, and lo, here we are again. Maybe they’ll learn this time? (Haha, no, they won’t).

Effin' Birds (@effinbirds.com) 2025-08-28T21:27:01.802Z

Programming Note: I am taking the full long weekend off, so I’ll return Wednesday morning.

Ukraine Dispatch

The Russians sent 598 drones and 31 missiles into Ukraine early morning on Thursday, most of them aimed at Kyiv, which resulted in at least 21 dead and 48 wounded, with British and European Union diplomatic buildings targeted alongside more residential buildings. (Photos here, some recounting of the scenes here).

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Roundup: The growing incoherence with environmental protections

This government’s incoherence with regard to its environmental policies continues apace, as Tim Hodgson told Vassy Kapelos that exceptions to things like the tanker ban or emissions cap could be made through Bill C-5, which doesn’t make any gods damned sense. Why have a tanker ban or an emissions cap if it’s only applied on an ad hoc basis? If you want to get rid of them (and with that tanker ban, be ready for a major fight with local First Nations), actually lay out a rationale for it other than hand-wavey nonsense, But seriously, Hodgson is worse than any Trudeau-era minister when it comes to being unable to communicate his way out of a wet paper bag, and I fail to see how he could possibly have been considered a star by Carney.

Meanwhile, while Alberta continues to beat the drum for the obliteration of environmental laws, they keep using examples where there are already permits in hand, and where the market has determined that they don’t see a business case to move ahead, which has nothing to do with government. But hey, why be honest about it?

Oh, and because this government seems to be pinning a lot of hopes on reinventing the wheel, there already was a pre-existing major projects office, but Carney has determined to recreate it under a different minister, just because, and not actually learn any lessons as to why projects take time or approvals take as long as they do.

effinbirds.com/post/7772964…

Effin' Birds (@effinbirds.com) 2025-08-21T14:04:55.394Z

Ukraine Dispatch

Russia launched another massive attack in the early morning hours of Thursday, with 574 drones and 40 missiles, and one of the targets was an American-owned household electronics company based in Lviv, because they know the Americans won’t respond. Ukraine attacked an oil refinery in Russia’s Novoshakhtinsk city. And Putin’s demands include the whole Donbas region, and a prohibition on joining NATO or having Western troops in the country, which are clearly unacceptable because Russia has no intention of ending the war.

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Roundup: Undue back-patting for Poilievre

It really should not have been a surprise to anyone that Pierre Poilievre won the by-election in Battle River—Crowfoot by around 80 percent, which is why he chose that riding after all. But that won’t but an end to the back-patting about the “hard work” he put in, and so on. What I find particularly odd is this narrative that has emerged, from Jason Kenney and others, about how this somehow proved that Poilievre stuck it to the so-called “separatist” movement in the province, and exposed them for the empty shell that they are. Because I don’t see him having done that at all.

https://twitter.com/jkenney/status/1957815691299713180

This was a federal by-election and there was no real “separatist” presence, particularly when the ballot question in the riding was whether Poilievre deserved a second chance after he was defeated in his own riding. There was no actual separatist narrative being advanced, and even if there was, Poilievre basically said that they have “legitimate grievances,” which is not exactly a rousing condemnation. More to the point, those separatists are focused on the provincial level, because they know that they can wedge Danielle Smith internally within the UCP, because these are the same face-eating leopards that Jason Kenney invited into the party while he kicked out the centrist normies (and those leopards subsequently ate his face). Smith is the one giving these losers oxygen, especially as she has tried to do everything she can to ensure that they get the referendum that they’re looking for, so that she can play it to her advantage in trying to leverage concessions from the federal government. It’s going to blow up in her face eventually, but this has nothing to do with Poilievre and everything to do with Smith, so giving Poilievre any credit here is grasping.

As for Poilievre’s return to Ottawa, could legacy media be less credulous about his supposed change in tone, or his bullshit about how he’ll work with the government on “non-partisan solutions,” which in his mind is the obliteration of environmental legislation, and the other bullshit in his so-called “Canadian Sovereignty Act.” He has explicitly stated this outright. Stop pretending he’s going to act “prime ministerial” or “statesmanlike,” because he is completely incapable, nor is he willing because that doesn’t get him clicks on social media/funds in the party’s coffers.

Ukraine Dispatch

Within hours of the “peace” talks in Washington, Russia launched their biggest overnight attack of the month, with 270 drones and ten missiles, striking energy facilities in Kremenchuk and Chernihiv. But hey, they’re going to draw up options for “security guarantees” that Russia won’t agree to, because their goal is the elimination of Ukraine. (Why are we pretending otherwise?)

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Roundup: Details on military pay raises

Prime minister Mark Carney was in Trenton yesterday to meet with members of the military, and then announced the specifics on the previously promised raises. They’re concentrated at the lower ranks, with a 20 percent boost to recruits, and the levels of increases decrease the higher in rank one gets, owing to the fact that they already have higher salaries. There are other bonuses being enriched, including for specific trades that they are most in need of, though as The Logic reported earlier this year, signing bonuses in those needed trades hasn’t really worked so far. Maybe with higher bonuses? Of course, the money doesn’t address some of the other problems, like the moving across the country every couple of years, which creates problems with retention, but we’ll see if those kinds of internal reforms are in the works.

The other stuff also makes sense: bonuses for being relocated again and again, more money for those who have had to deal with environmental stress–bad weather such as on ship during storms or arctic. My fave, other than more $ for everyone, is essentially combat pay for domestic ops.

Steve Saideman (@smsaideman.bsky.social) 2025-08-08T18:32:47.488Z

Another notable aspect: extra pay for those becoming instructors at various training positions. I am pretty sure this is the first time this has been incentivized. Before, I am pretty sure the regiments were sending their worst just as they did with recruiting. Not great for recruitment but

Steve Saideman (@smsaideman.bsky.social) 2025-08-08T18:43:53.849Z

that has changed as well.Some of these changes are wildly overdue. Others are possible in a friendlier fiscal environment, which it is now for defence and nothing else.and ….

Steve Saideman (@smsaideman.bsky.social) 2025-08-08T18:44:59.312Z

And this point also should be made:

Someone asked in the briefing to experts this morning if this makes defense competitive with the rest of govt. I wanted to shout: defence is the only part of the Canadian govt that has jobs. Everything else is being cut to pay for this.

Steve Saideman (@smsaideman.bsky.social) 2025-08-08T18:45:39.580Z

Ukraine Dispatch

Canada is joining with allies in lowering the price cap on Russian oil to further strangle their economy.

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Roundup: Creating a duplicative federal body?

The Canadian Association of Fire Chiefs want the federal government to take action on creating a national forest-fire coordination agency, and look at American bodies like FEMA (well, as it used to exist rather than the hollow shell it is now). The problem? That disaster management, which includes wildfires, is squarely within provincial jurisdiction in this country, and if such a body were to be created (and it’s a big if), then provinces would have to agree to sign onto it, and good luck with that—unless maybe you’re willing to shell out a whole lot of money to “compensate” them for it.

The other problem? We already have such a body, called the Canadian Interagency Forest Fire Centre, which is a not-for-profit owned and operated by existing firefighting bodies at all levels, which does the very work that these fire chiefs want it to do—coordinating to share resources, mutual aid, information sharing, and so on. If they don’t think this agency is doing enough, then they should say so. But if this is really just a backdoor way of saying the federal government should pay for everything, well, maybe they need to be honest about that.

We have a big problem in this country where provinces have learned that they can get away with short-changing their emergency management systems because they can call on the federal government to deploy the Canadian Armed Forces to do all kinds of said management, and even though the federal government has the option of cost-recovery from those provinces, they don’t, because it would be bad optics to be “nickel-and-diming” the provinces whom they give assistance to. Except of course, the provinces know that’s the case, so they cut their spending further, and the cycle continues because no federal government will stand up and say “We know you cut your funding to get free federal assistance, so we’re going to charge you for the services.” This is why I’m deeply suspicious of any move to create a federal civilian disaster emergency response agency, whether for wildfires, or other natural disasters, because it will give the provinces licence to cut further, and then beg for more federal assistance once they do.

Ukraine Dispatch

That gas interconnector that the Russians attacked in southern Ukraine appears to still be operating. Investigations have found that in spite of sanctions, Russians have been using Siemens technology in their factories, obtained by middlemen in China.

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Roundup: Preparing for another tariff climbdown

Prime minister Mark Carney held a (virtual) Cabinet meeting yesterday, followed by a virtual meeting with the premiers, and so far, the signs aren’t terribly encouraging. It was ostensibly about an update on trade talks with the US, given that the deadline passed and we’re not only no closer to any kind of resolution, but Trump raised the tariffs they are charging on non-New NAFTA items (which does nevertheless effectively mean we’re still one of the lowest tariff-rate countries overall), if you ignore all of the other sectoral tariffs that are having the biggest impact. And the premiers have also started to drift in their positions, whether it’s Doug Ford demanding more retaliation (even though he immediately backed down on his electricity export retaliation), or Danielle Smith and Scott Moe preferring to lick fascist boots instead.

Nevertheless, the tone coming out of Carney and the Cabinet is increasingly one where they are openly laying the groundwork for reducing or removing retaliatory tariffs or other measures, because really, appeasing Trump is clearly the way to go. Look at what pulling back on the Digital Services Tax got us. The question then becomes what happens to the increasingly large fiscal hole that eliminating these counter-tariffs will do to the balance sheet, because they booked a bunch of revenues from them, while they’re already promising deep cuts to government spending.

Just keep making concessions. That'll clearly get us a favourable deal.

Dale Smith (@journodale.bsky.social) 2025-08-06T21:26:09.762Z

Meanwhile, the Conservatives have decided to go full-bore on the notion that Carney has broken his signature campaign promise because he has not only failed to reach a deal with Trump, but that tariffs have increased since then. Of course, this is premised on the completely false notion that Trump is a rational actor, but pretty much the entire Conservative caucus was tweeting variations of this very thing all day, because absolutely everything they do has to be about social media posts. Even more eye-rolling was Roman Baber lying about what the president of Mexico said about Anand and Champagne’s visit (her comments were that we don’t need a bilateral trade deal because the New NAFTA is still in effect, and even if it wasn’t, we’re both signatories to the CPTPP), because this is the state of the Conservative Party today.

Ukraine Dispatch

Russian strikes killed two people and wounded at least ten in Zaporizhzhia, while shelling killed three and injured at least four in Nikopol. Russians also hit a key gas interconnector, which Ukraine says was about trying to undermine their preparations for winter (when Russia always attacks power supplies).

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Roundup: A committee of handwringing over ferries

On Friday, the Commons transport committee met to wring their hands and express their dismay at BC Ferries’ decision to buy new ships from a Chinese firm, and lo, there was much wailing and gnashing of teeth. Chrystia Freeland expressed her dismay. Gregor Robertson expressed his disappointment. The representative of the Canada Infrastructure Bank pointed out that they don’t make any decisions on procurement, and that their loan was secured before that decision was made. And the head of BC Ferries pointed out, once again, that no Canadian shipyard bid on these ships, if they did, it would take them a decade to deliver them (at least), and that the Chinese bid was $1.2 billion cheaper than any of the others.

That of course didn’t stop opposition MPs from doing the performative song and dance. Conservative Dan Albas demanded the government cancel the loan—which the government can’t do because the Infrastructure Bank is arm’s length. And now they want all documents and emails released, which is going to tell them yet again that no Canadian shipyards bid on this contract.

1) This procurement is entirely provincial jurisdiction2) The Infrastructure Bank operates at arm's length and ministers can't cancel any loans it gives3) NO CANADIAN SHIPYARDS BID ON THIS CONTRACT!Is the federal government going to dictate that one of them build these ferries? Seriously?

Dale Smith (@journodale.bsky.social) 2025-08-05T13:50:03.050Z

Perhaps most galling of all was Bloc MP Xavier Barsalou-Duval wanted an apology from the government and from the Canada Infrastructure Bank because it’s “unacceptable” that the government plans to invest in foreign infrastructure when our own steel industry is facing tariffs from Trump—but the federal government isn’t investing. BC Ferries, a provincial Crown Corporation is, and the loan from the Infrastructure Bank is a fully repayable loan. You would think the Bloc of all people would rather the federal government respect a decision by a provincial body, but apparently that only matters if it’s in Quebec.

Effin' Birds (@effinbirds.com) 2025-08-04T13:08:04.388Z

In case you missed it:

  • My weekend column on the false choice between emissions caps and prosperity, as the costs of climate change are already being felt in significant ways.
  • My Loonie Politics Quick Take points out that Poilievre and the Conservatives had a chance to deal with the Longest Ballot nuisances, but chose stupid games instead.
  • My column which responds to what was in that weekend CBC story on the “radically overhauled” Senate and the problems with some of the arguments made.
  • My long weekend column looks at the current issue with contracts for freelance interpreters in Parliament, and why it’s exacerbating an existing crisis.
  • My column asks if it’s time to revive the Economic Council of Canada as we did with the Law Commission, given the uncertain times we live in.

Ukraine Dispatch

Russia claims to have captured another village in the Dniporpetrovsk region. On Monday, Ukraine destroyed one Russian military jet and damaged four others stationed in occupied Crimea. Ukrainian officials say that Indian components have been found in Russian drones. Two days after Ukraine’s parliament voted to restore anti-corruption agencies’ independence, they announced that they had uncovered a major graft scheme involving drone procurements.

https://twitter.com/Denys_Shmyhal/status/1952763302699729187

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