Flaherty to end campaign welfare

On November 7th, I argued that we should end government-subsidized campaign welfare in this country and follow the example set by President-elect Barack Obama and amend our electoral system to eliminate our $1.95-per-vote subsidy received by political parties each year. During the US Presidential campaign, Obama did not take a single dollar of public financing and went on to win the election. On a panel for the Public Policy Forum yesterday, I suggested to my Obama-obsessed co-panelist Judy Rebick that Mr. Hope and Change had set the wheels in motion for the elimination of public money for political campaigns.

In my post earlier this month, I suggested that such a system implemented in Canada would cause parties to actually appeal to the electorate and work for donations rather than put their hand out for a per-vote subsidy for being the least offensive option. The theory goes that if our politics inspires (Yes We Can) rather than demonizes (No They Can’t), people will show additional financial support that parties should depend on rather than be the public cash-receptacle of successful fear mongering campaigns that they are. How many Quebeckers these days actually support the Bloc Quebecois on its principles (they’ve all but abandoned sovereignty these days) rather than voting for that party to “block” the Conservatives or the Liberals?

I argued that we should end party welfare to motivate parties to appeal on their own issues.

In the past couple of hours, we’ve learned that in Jim Flaherty’s economic update tomorrow, the Conservative government will move to do just that in the name of showing that even politicians can tighten their own belts.

I may have been a bit of a tongue-in-cheek cynic by using the Obama magic to suggest removing critical funding from two parties of the left. The Bloc Quebecois, as mentioned, has depended on their status as those that could block Liberal corruption in 2006 and the Conservative Party’s… er conservatism in 2008. The Liberal Party on the other hand has depended upon what they are not. Specifically, they have warned Canadians of the Harper hidden agenda and what the Conservatives would do if they had a majority. In this spot and in relative comfort, the Liberals have relied on their per-vote subsidy. Under the new proposed financing cuts, the strength of the Liberal brand won’t matter as it is veritably without substance as conservatism is represented by the CPC and progressive politics is claimed by a resurgent NDP.

CTV reports that under Flaherty’s cuts, the parties could stand to lose up to:

* Conservatives: $10 million
* Liberals: $7.7 million
* NDP: $4.9 million
* Bloc Quebecois: $2.6 million
* Green Party: $1.8 million

Late this evening, I’ve learned that the per-vote subsidy stands to be reduced in full.

In this, the Conservatives aim to level a strategic blow to the Liberals as Conservative fundraising efforts — rooted in the Reform tradition of passing the hat in legion halls and church basements — has remained strong. Buoyed by detailed supporter databases, the party is set to compete on an advantageous — despite it’s now mutually diminished — footing with other parties. The Liberal Party still has not mastered grassroots fundraising and with an expensive year ahead with another leadership convention, Liberals will need to determine how to appeal (and fast) if they are to survive as a viable organization.

First Speech from the Throne of the 40th Parliament

Reactions (if you represent a stakeholder and would like to see your release quoted here, email me):

Liberal:

The official Opposition is focused on making Parliament work for all Canadians during this time of economic turmoil and will not oppose today’s Speech from the Throne, Liberal Leader Stéphane Dion said today.

“By electing a minority government, Canadians are asking Parliament to work together to see our country through the economic challenges that we now face,” said Mr. Dion. “Demanding strong action from this government on the economy will be our primary task as the official Opposition.”

NDP:

“It’s more of the same and people . . . want bold action” (no statement yet on the NDP site)

Canadian Taxpayers Federation:

Today’s throne speech earns a mixed review … The speech contains some good, some bad, and in some cases, downright ugly news for taxpayers moving forward in uncertain economic times.

The federal government will find Canadians are receptive to taking aim at wasteful programs, and a pledge to control the growth in the size and cost of the public service is welcome news. … It is unacceptable that a modern 21st century democracy appoints one quarter of its lawmakers. Keeping Senate reform on the agenda is a good move.

The Throne Speech seems to prepare for a return to deficit spending when it states that it would be “misguided to commit to a balanced budget at any cost.” … It is worrisome that a responsible government would be prepared to spend more than it takes in during tough times … Responsible Canadians do not have this luxury, why should governments? The federal government should leave no stone unturned in its pursuit of keeping the books in the black and getting spending under control is the first step … Taxpayers should be warned that a ‘cap-and-trade’ tax scheme is the evil twin of a carbon tax. Either way, it means higher energy prices and a costly bureaucratic mess that couldn’t come at a worse time. … Also, ugly is a commitment to offer further aid to the auto and aerospace industries.

Federation of Canadian Municipalities:

The Government of Canada has recognized the need to boost Canada’s economy in the face of worldwide financial turmoil and an impending recession, and it has chosen infrastructure spending as one of the remedies. We agree with the diagnosis and applaud this choice of remedy. Spending on infrastructure is a tried-and-true response to an economic slowdown. A study released by FCM earlier this month shows that accelerated infrastructure spending is the best way to boost our country’s economy and immunize it against a recession.

National Union of Public and General Employees:

It’s clear from this throne speech that the Harper government doesn’t view healthcare as a top priority and in fact seems to suggest the job is pretty much done.

That’s a huge disappointment for over-worked health professionals and patients waiting for critical services who are expecting and demanding national leadership on healthcare issues.

Canadian Labour Congress:

Today’s Throne Speech offers little hope or assurance to thousands of people being hit hard by the economic crisis, says Ken Georgetti, president of the Canadian Labour Congress.

“This speech is supposed to put forward the government’s vision for the future,” Georgetti says, “but what Canadians heard today won’t help them sleep any easier tonight and some of what they heard may well give them nightmares. People want jobs and if they lose them they want protection but I don’t see those promises here.”

Canadian Housing and Renewal Association:

We commend the federal government for remembering that four million Canadians still cannot afford adequate housing and that 300,000 people experience homelessness in Canada annually. Today’s throne speech made promises for health care, jobs, the environment, and family life in order to help Canadians fully participate in the economy and in society, and it has to be remembered that housing is the foundation of this participation and therefore needs to be a top priority.

Co-operative Housing Federation of Canada:

Today’s Speech from the Throne gives some hope for the four million Canadians who lack decent affordable housing, the Co-operative Housing Federation of Canada said today. The government committed to extending the Homelessness Partnering Strategy and helping more Canadians find affordable housing.

The Canadian Lung Association:

The Lung Association is pleased to see the government’s Throne Speech commitment to improving the lung health of Canadians.

Approximately 6 million people in Canada struggle with asthma, COPD, lung cancer and other lung diseases. The fact that the government has recognized how critical it is to improve the lung health of Canadians is excellent news and a clear sign that they wish to continue partnering on building a Canada free of lung disease.

Canadian Bankers Association:

he Canadian Bankers Association (CBA) fully supports the federal government’s commitment to a common securities regulator in Canada as announced in today’s Speech from the Throne. This step, along with other recent initiatives to facilitate credit markets in Canada, indicates that the government continues to take an appropriate and measured approach to deal with the global economic situation.

Canadian Chemical Producers’ Association:

In its Speech from the Throne, the Government of Canada has pledged “To further reduce the cost pressures on Canadian business, our Government will take measures to encourage companies to invest in new machinery and equipment.”

The Canadian Chemical Producers’ Association (CCPA), along with other manufacturers, has been advocating such measures.

Canadian Association of Retired Persons:

CARP chapters and retiree groups were disappointed to learn that no action was promised in the Throne Speech to address the threats to their retirement security wrought by the current market chaos.

CARP chapters and other retiree groups across the cross country assembled to listen to the Throne Speech in the hopes of hearing what the government would do to respond to the clamour for immediate relief and longer term protection of their pensions.