Roundup: Ginned up outrage over accounting rules

My tolerance for ginned-up outrage is mighty thin, and it was exceeded yesterday as a certain media outlet ran a completely bullshit story about how in the last fiscal year, $105 million of Veterans Affairs’ budget went unspent and was returned to the consolidated revenue fund rather than simply kept in the department for the following year as the government “promised” to do following a completely inane NDP Supply Day motion a year previous. The story is one hundred percent not worth anyone’s time, and we have a media outlet who has decided to waste precious resources into putting a disingenuous framing mechanism around an NDP press release and calling it accountability.

To be clear: the whole premise of this “outrage” is the fact that the NDP have deliberately ignored how accounting and budgeting rules work in order to dial up a fake controversy for the sake of scoring outrage points in the media. The unspent money from Veterans Affairs is because they’re a demand-based department – they estimate how much they’ll need to deliver services to veterans every year, and if the funds don’t all get spent, then the law states that money goes back to general revenue, and reallocated in the following year’s budget. This does not mean there is deliberate under-spending – it means that they overestimated what the demand for services would be in an abundance of caution. And yes, there are backlogs in the department, but when you have capacity issues because they can’t hire enough qualified staff at the drop of a hat (after the previous government let hundreds of them go), you can’t just throw that “leftover” money at that problem. Pretending that it works otherwise is frankly dishonest.

One of the journalists at said outlet took exception to my calling out the disingenuous framing and insisted that the government shouldn’t have promised not to keep the funds in the department if they didn’t intend to keep the promise – and I would almost accept that as a valid argument except for the whole promise in and of itself was the result of shenanigans. The NDP’s whole Supply Day motion last year was illusory outrage, and government explained over and over how accounting rules and demand-based departments work, but if they voted against the (non-binding) motion, they would be voting against veterans and it would be bad optics. The path of least resistance is to vote for it and just keep following the rules. Because what is the alternative – vote for it, and then bring in new legislation to contort the accounting rules for this one-off bit of faux outrage over a non-scandal that is the direct result of a party that deliberately misstated how said accounting rules work in order to try to generate headlines? How is that a productive use of anyone’s time or energy? It would be great if we could get certain media outlets to engage in some critical thinking and not fall for this kind of transparent spin, and then gin it up as though it were a real scandal. We all have better things to do.

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QP: Platitudes and the Parole Board

After a number of members’ statements dedicated to both the anniversary of the Quebec City mosque shooting and #BellLetsTalk, and a moment of silence for the mosque shooting, things got down to business with all of the leaders present. Andrew Scheer led off, and he railed about MasterCard getting government funding. Trudeau responded with some bland platitudes about growing the Middle Class™. Scheer tried again, got much the same response, and then Scheer demanded that the Teck Frontier Mine be approved. Trudeau said that railing about activists and celebrities didn’t help the energy sector, but working in partnership with all sectors and Indigenous people was the path forward. Scheer then switched to French to ask about a parole case, to which Trudeau picked up a script to read that they had ordered an investigation into the Parole Board’s decision. Scheer switched to English to lie about Trudeau apparently opposing mandatory minimum sentences for violent murderers, and Trudeau repeated his answer in English. Yves-François Blanchet was up for the Bloc, to get back to his usual complaints about aluminium under the New NAFTA, and Trudeau gave his usual assurances that there are new content guarantees that don’t exist currently. Blanchet threatened to vote against the Ways and Means motion on the treaty, and Trudeau listed the good things about the agreement. Jagmeet Singh was up next for the NDP, and he worried about evacuating Canadians from China — something that was addressed in a press conference moments before QP began. Trudeau read a statement about their concern, and that they were working to assist the 160 Canadians who had contacted them. Singh then raised that MasterCard contract instead of giving that money to pharmacare, and Trudeau stood up to correct him as to the actions they have taken to make prescription drugs more affordable.

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QP: What about infrastructure?

Tuesday, and all of the leaders were back once again. Andrew Scheer was up first, and he claimed there were “sky high” deficits and taxes and no infrastructure spending to show for it — assertions that were all false. The deficits are actually tiny in comparison to the size of the federal budget, and the tax burden on Canadians is hovering near its lowest point in the post-war period, not to mention the fact that many of the promised infrastructure projects were held up by provinces trying to play politics in advance of the election, and that the hoped-for productivity gains were blunted when provinces didn’t keep up their planned infrastructure spending, and instead rolled it back as the federal government spent more. Justin Trudeau stood up and used a script to list projects that they were approving. Scheer then raised their Supply Day motion about calling in the Auditor General about the infrastructure programme. Trudeau reminded him that the Conservative record was spending on billboards, door knobs and gazebos, while their government was getting things done. Scheer asked again in French, got much the same answer, and Scheer raised the coronavirus and wanted support for Taiwan to get observer status at the WHO. Trudeau avoided the direct question and gave assurances about the coronavirus and collaboration with China. Scheer tried again, and Trudeau reminded them that they shouldn’t play politics with public health crises. Yves-François Blanchet was up for the Bloc, and he once again raised the possibility of aluminium impacting the Quebec market under the New NAFTA, to which Trudeau reminded him there were guarantees in the new agreement that do not exist currently. Blanchet tried again, and Trudeau quoted the aluminium producer association as saying it was a good deal. Jagmeet Singh was up next for the NDP, and he railed about the Volkswagen settlement agreement, calling it a “sweetheart deal.” Trudeau, without script, stated that they are paying a penalty and it was great for the fight against climate change. Singh then railed about a supposed tripling of outsourcing of public service functions, and Trudeau spoke to the balance around procurement. 

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QP: A conciliatory note, and then a lie

And we’re back. While Justin Trudeau and Andrew Scheer were present, and most, but not all other leaders were as well. After a moment of silence for the victims of PS752, Scheer led off, mini-lectern on desk as usual, and he asked for progress on bringing PS752 victims home and holding perpetrators to account. Trudeau thanked him for the question, and picked up a script to note that they were supporting victims, and what he told the Iranian President directly. Scheer thanked him, and then moved onto cancelled energy projects and lied about the cost of living versus wages and demanded that the Teck Frontier Mine. Trudeau reminded him that they were  growing the economy while protecting the environment. Scheer then stated that the government was destroying the energy sector — again, falsely — and lamented deficit spending, to which Trudeau reminded him that they made the choice to invest, and it was paying off. Scheer then switched to gang violence and claimed the government was taking the “lazy approach” of targeting lawful gun owners, to which Trudeau took up a script to list the measures they were taking. Scheer then moved onto the survey which stated that Canada dropped three spots on the transparency ranking (which is a self-reported metric), to which Trudeau listed ways in which Canada was strong on the international stage. Yves-François Blanchet was up next, and raised a potential deportation case and demanded that the minister intervene. Trudeau, with script, to read a platitude about how they examine each case based on merit, and said that they were aware of the case but could not speak to it. Christine Normandin raised the question again, and Trudeau repeated his response. Jagmeet Singh was up next, and demanded did that the government immediately pay the compensation for First Nations children demanded by the Canadian Human Rights Tribunal. Trudeau reminded him that they are working on reconciliation, noted the new approvals under Jordan’s Principle, and that they were still working on the issue. Singh then demanded immediate action on pharmacare and claimed he has a bill to immediately implement it (which a private members’ bill can’t do), and Trudeau took a script to list actions they have taken to reduce drug prices and noted they were negotiating with the provinces.

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Roundup: Fiscal update and actuarial context

Finance minister Bill Morneau released his fall economic update yesterday, and it showed that while the economy was doing well – fairly strong growth, very strong job creation (November’s numbers notwithstanding) and wage growth – the deficit was going to get a lot bigger unexpectedly. The reason for it, however, was largely ignored by all of the commentariat, both media and partisan, because the kneejerk response in Canada about any finance story is about the size of the deficit, end of story. The real reason – that low interest rates had forced a hefty actuarial adjustment for government pension plans – was inconvenient for them to force a narrative onto, so they just ignored it and clutched their pearls some more, crying “The deficit! The deficit!” and the Conservatives continued to cheerlead a “made-in-Canada” recession by cherry-picking some very selective economic data that was to the exclusion of the broader trends, because narrative. Here’s economist Kevin Milligan to explain some more.

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I would add that while the Conservatives like to rail about how our unemployment figures compare poorly to other countries, it’s a bit of a fool’s errand because we don’t all measure unemployment the same way, and not all of our economies work the same way. Canada has had record low unemployment in recent months, to the point where economists say we are have been at what is essentially “full employment” – in a statistical sense, not to dismiss that there are regions where it’s still a problem, but essentially there’s not a lot of room for more job growth in the economy. But hey, why let reality get in the way of the narrative, right?

In terms of analysis, John Geddes delves into the notion of “endless deficits” and finds that, shockingly, it’s not a cut-and-tried issue, but the real issue is complacency. Certain bank economists think that because the shift in the deficit is on pension obligations, it could force the Bank of Canada to act sooner if there were an economic downturn. Heather Scoffield wonders what kinds of budget promises that Morneau will have to abandon given the bigger deficit figures if they don’t want to lose their debt-to-GDP anchor.

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Roundup: A corridor to nowhere

While the Liberals took the day off of the campaign, Andrew Scheer headed to Edmonton to campaign alongside Jason Kenney in Amarjeet Sohi’s riding, where Scheer reiterated his previously announced vision for a “trans-national energy corridor” which he imagines would create a right-of-way for all manner of pipelines across the country and they wouldn’t need to do additional environmental assessments on those projects or have jurisdictional challenges, or anything of the sort. Erm, except it’s going to involve expropriating a lot of land from private landowners (which is expensive and contrary to what Conservatives claim to stand for), and it will be long, complex, and expensive negotiations with the various First Nations and Inuit along those lands, because you can be assured that they will be asserting rights title over that territory. (For more, I wrote a column on this when the subject was first broached in May). It’s nice in theory, but practically has little chance of getting anywhere off the ground.

On the topic of Scheer, the Globe and Mail found that while he says that he was an “insurance broker” for six months in Saskatchewan as his private sector experience, he was never licenced and didn’t actually work as a broker. So that’s something.

Jagmeet Singh, meanwhile, was in Burnaby, BC, to promise $30 million in federal funds to reduce the cost of BC ferries. It’s worth noting that this was five days straight of campaigning in the vicinity of his riding, which could easily be interpreted as a sign that he’s worried about saving the seats he has in the area.

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Roundup: Narratives about radicalization ahead

One of the sub-plots from the 2015 election is about to get a rerun as the UK decided to revoke citizenship from “Jihadi Jack” Letts, who has joint-UK and Canadian citizenship. That essentially leaves him with only Canadian citizenship – dumping their problem on our laps (likely in contravention of international law, incidentally). And that means a return to Trudeau’s decision to revoke a Conservative law that would have had a similar effect in Canadian law, because as you may recall, “A Canadian is a Canadian is a Canadian.”

Where this will be compounded with the Conservative talking points that Trudeau thinks that returning fighters are “powerful voices” that can be reformed with podcasts and poetry lessons – which is a gross distortion of both Trudeau saying that people who were de-radicalised (not returning fighters) could be those powerful voices in their communities, and de-radicalisation programmes themselves, which again, are not for returning fighters but preventing people from taking that step once they’ve been radicalised. And lo, they will talk about how “naïve and dangerous” the notion that returning fighters can be de-radicalised is, when all of the things they point to are about de-radicalising people before they leave the country or do something violent here. But why should they let truth get in the way of a narrative?

Meanwhile, Letts’ parents are imploring the Canadian government to do something, and they are prepared to move here if that helps, but it also leaves questions as to what Letts may be charged with – though there is no evidence he was actually involved in any fighting. Nevertheless, it’s a problem the UK dumped on us that will become a partisan election issue, with all of the nonsense that entails.

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Roundup: Proving the SCC’s point

It was only a matter of time after Alberta premier Jason Kenney announced that he was reviving his province’s sham Senate “election” laws that the two so-called “elected” senators from the province started chiming in, and lo, Senator Tannas did just that on the Alberta Primetime politics show on Alberta’s CTV affiliates this week. During the hugely uncritical interview, Tannas proclaimed that getting an “endorsement” from the public gives him the right to speak up “more forcefully,” and that he and fellow “elected” Senator Black are “listened to differently” because they of their special status.

Let me remind you what the Supreme Court of Canada said when it comes to consultative elections – that it would give the Senate a popular mandate, which would change the constitutional architecture of the institution, and you can’t do that without a formal constitutional amendment. In other words, Tannas is proving the Supreme Court’s point – that his “election” (which was a sham, let’s be clear) confers upon him some kind of special authority, which is whole point. Now, Tannas did try to couch some of his criticisms for his nominally appointed colleagues from Alberta because he has to work with them, but amidst the myths about Bills C-48 and C-69 and the complete self-aggrandisement, there was virtually no pushback at Tannas about what the Supreme Court said, or the fact that the process that got him “elected” was a sham worthy of a People’s Republic.

There seems to be almost nobody pushing back against Kenney and his unconstitutional legislation and the sham that these “elections” really are. Why, here’s Don Braid with a lazy garbage take that lauds the farce that Kenney puts on because he’s swallowed the rhetoric about those bills whole, along with the fairytale nonsense about a “Triple E” senate and what it purports to do (never mind that the only thing it would do is create 105 new backbenchers with an overinflated sense of self). Repeat after me: Kenney is only doing this to invent a future grievance, while he lies about those two bills. It would be great if someone could be bothered to call him out on it.

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Roundup: A queen and her prime minister

It was Pride weekend in Toronto, and Justin Trudeau was in attendance once again this year, with several Cabinet ministers and his Toronto-area MPs. The only Conservative MP in attendance appears to have been Lisa Raitt, while Jagemeet Singh and Elizabeth May were also present.

But most importantly? This years RuPaul’s Drag Race runner-up from Toronto, the Queen of the North, Brooke Lynn Hytes was also in attendance, and got to meet her prime minister, as any good queen would.

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QP: Calmly upset versus storming out

With Justin Trudeau and Jagmeet Singh still at D-Day commemorations, and Andrew Scheer at a family event in Regina, there were no major leaders present. Lisa Raitt led off, and she made a statement about D-Day, and offered the government a chance to say how they are commemorating the event. Bill Blair read a statement about service and sacrifice in response. Raitt then moved onto affordability and a plea for a government to “stop the taxes” without specifying which ones, to which Ralph Goodale stood up and reminded her of the Middle Class™ tax cuts and the Canada Child Benefit. Raitt moaned about the loss of boutique tax credits, and Goodale noted that the net of the government’s changes mean that most families are $2000 better off than before. Alain Rayes then cited the false Fraser Institute figure that taxes were raised by $800 per year, to which Jean-Yves Duclos recited in French the same measures that Goodale listed. Rayes tried again, with added theatrics, and Duclos cited that he was upset that the opposition was painting a false picture (in his calm demeanour). Ruth Ellen Brosseau was up next for the NDP, and she read a lament about the settlement that CRA reached with KPMG clients, to which Diane Lebouthillier stated that she had asked the CRA for more transparency around settlements going forward. Daniel Blaikie repeated the question in English with added outrage, and Lebouthillier repeated her response. Blaikie then moved onto a demand for additional aid for homeless veterans, and Blair read that their whole of government approach was getting results with homeless veterans. Brosseau then read the French version of the same question, and Duclos repeated the same response in French.

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