OCI dumps troubled shrimp plant on taxpayers #nlpoli

Ocean Choice International is in better financial shape today, having successfully dumped a surplus shrimp processing facility on the people of Port Union.  The plant - seriously damaged in 2010 during Hurricane Igor still needs major renovations.

OCI put the plant on the market in 2012 but couldn't find buyers.  In 2012,  company president Blaine Sullivan said that even if the hurricane hadn't damaged the plant, OCI would have closed either Port Union or the company's other shrimp plant in Port aux Choix.  The company couldn't supply both profitably with declines in the shrimp quota.

A company with strong ties to the provincial and federal Conservatives, OCI picked up the Port Union plant and other assets after the former provincial Conservative administration hounded Fishery Products International into self-destruction.

Then-fisheries minister Tom Rideout  - right, precisely as illustrated,  - played a key role in the campaign to destroy FPI.

Neil King, the Liberal MHA for the district, posted on Facebook that he would "be working with the town to secure funding for renovations which will create jobs in the short term."  That money would come from taxpayers, of course, although King did say if he'd be looking to St. John's or Ottawa to help out.

-srbp-

Related:  The Walking Dead

Osborne quits Tory caucus #nlpoli

Tom Osborne is part of the old townie Tory establishment in Newfoundland and Labrador.

He quit Kathy Dunderdale’s party on Thursday to sit as an independent member of the House of Assembly.  Osborne’s announcements sent a shock through the political community since no one saw it coming.  He cited a series of grievances he’s had with the way Dunderdale is running the party, although he never referred to the Premier by name.

Osborne’s announcement was a neat bookend to the week in which CBC’s David Cochrane reported on leaked news of a pending cabinet shuffle.  As SRBP noted, that sort of leak suggested that Dunderdale’s administration was “in far more serious political trouble than it first appeared.”

Suck it up, buttercup #nlpoli

Ocean Choice international is a local fishing company.  The key players in the company are from the Sullivan family.

You will recall one member of the family -  Loyola  - was a key cabinet minister in the Tory administration that started in office in 2003.  He is now used to be a federal fisheries ambassador.

Another offshoot of the family served as chief of staff to Tom Rideout – right, exactly as illustrated -  for the 43 days the fellow was premier.

Ocean Choice International, as a company, profited hugely while Tom was fisheries minister under Danny Williams.  The provincial government interfered left, right and centre in the fishing industry.  Rideout seemed to have it as a personal mission to torture one company - Fishery Products International  - to death. 

Rideout ranted about the company in every venue he could find .  Danny Williams joined in the assault.  Rideout started a prosecution against the company for supposed illegal export of fish from its Marystown plant for processing overseas. 

Williams and Rideout pushed changes to the law governing FPI through the House of Assembly to make running the company much more difficult than it already was given the unwarranted political attacks Williams, Rideout and the rest of the Tory administration waged against the locally-based international fishing company.

Ultimately, Rideout and Williams succeeded in smashing FPI to bits.

The profitable stuff, like the FPI brands, the marketing arm and an overseas subsidiary wound up going to fishing companies outside the province.

OCI scooped up a bunch of fish plants, some other odds and ends and the FPI headquarters Building in St. John’s with its large, beautiful boardroom.  OCI sold the building very shortly afterward. 

As the Telegram reported at the time:

According to a conveyance filed at the registry, OCI got $3.335 million for the building, located at 70 O'Leary Ave. in St. John's.

The buyer is Deacon Investments Ltd., whose sole director is local businessman Dean MacDonald.

OCI’s Martin Sullivan spoke to a board of trade luncheon on Tuesday.  Sullivan whined and moaned about the state of the province’s fisheries.  He bawled especially big tears over the heavy hand of government interference.

According to the Telegram’s account of the speech, “Sullivan pointed to yellowtail as an example” of the problems with government interference in processing and marketing.

This is an especially rich moment.  processing yellowtail flounder in China was a key part of Rideout’s ongoing persecution of FPI.  Ocean Choice and the Sullivans swooped in to take up the bits of FPI Rideout shook loose. 

A couple of years later Sullivan and OCI found themselves in exactly the same place FPI was. The provincial government is shagging around with the company over the exports yet again. 

No one should shed any tears over OCI’s current predicament.   They who live by the unholy sword of government interference can’t really expect sympathy when they start getting the same shaft right up to the hilt.

People like Sullivan who represent the fishery of the past ought not to have any say in determining the fishery of the future.  That is, not unless Martin and his friends are willing to compensate the public treasury for the occasions when they profited from the interference he now bitches about.

Otherwise, Sullivan and his compatriots and just suck it up and leave the future of the fishery to other people who have an ounce of credibility.

- srbp -

Related:  Liberal fisheries critic Jim Bennett wants equal time at the board of trade to rebut Sullivan largely with a dose of the same thinking that helped create the current mess.

What the crowd at the board of trade – proponents of the Maximum Government Interference school of free enterprise thinking – have already heard it all before.

What the board of trade could use is a dose of some original ideas, even if they wouldn’t like them.  That’s the only way we might build a successful fishery of the future.

Here’s what an opposition party looks like #nlpoli

The Conservatives won’t open the House of Assembly until the spring.

Former Tory Premier Tom Rideout thinks it’s a bad idea, according to CBC:

"The government is an incumbent government. It has plenty of legislation on the books and ready, I'm sure, for the legislature. I think it's a sign that in Danny's case and, again, unfortunately in Kathy's case, that they're not house of assembly people," said Rideout.

…

Rideout said he loved life in the house of assembly, but he said Dunderdale and Williams see it as a "necessary evil."

CBC quotes NDP leader Lorraine Michael in their story online:

“I think its irresponsible. You know, Danny Williams did the same thing in 2007 and I just see Kathy Dunderdale carrying on the same arrogant way of dealing with opposition in the house," she said Tuesday, after the NDP won five districts in the provincial election.

That’s what an opposition party should sound like.

- srbp -

Rideout tags Tories for election pork-fest #nlpoli

Former premier Tom Rideout didn’t mince words about the orgy of pork-barrel spending his former caucus colleagues have been pushing in the run-up.

On a political panel on Tuesday morning, Rideout told the audience for CBC Radio’s West Coast Morning Show that the public mood has changed over the past few decades and that people view these things differently now than the way they used to.

Rideout, who said he liked to think he had an independent mind, said he thought the provincial Conservatives can go too far with their announcements, and re-announcements and announcements of the same spending for the third and fourth time.

Rideout singled out municipal affairs minister Kevin “Fairity” O’Brien, saying that O’Brien had acted “like a buffoon”’ by going around the province “dropping off fire trucks” all over the place.  Rideout said that he could have left it up to the local member of the House of Assembly.

The issue wouldn’t be enough to defeat the government, said  Rideout, but he did feel there could be a backlash in some areas.

Wow.

Rideout basically confirmed what your humble e-scribbler has been picking up for months from all around the province.  Lots of people are miffed for lots of reasons.  The blatant pork-barrelling is just the latest thing.

The fire trucks have become a twisted symbol of the Conservative’s old-fashioned political mentality.

What’s really startling here is that Rideout openly laced into his political colleagues and tagged one minister in particular.

That’s a huge sign that the provincial Tories are not the invincible political behemoth they once were no matter what the townie media would want to read into CRA’s always dubious poll results.

Stable political environment? 

Try not to pee your new back-to-school pants no matter how hard it is to stifle the guffaws.

Kathy Dunderdale did say she thought the poll suggested the polling numbers had stabilised but that was just because the Tories have been in a pretty sharp decline for most of the last year.

But with the Tories having the support of 40% of respondents to a recent poll and the opposition parties at 18% and 16%, it wouldn’t take much to give Kath and Fairity a visit from the Old Hag.

There’s more to it than fire trucks. O’Brien could well be a liability in other parts of the province, too,  becoming the poster-child for perceived political arrogance in the face of some fairly obvious cock-ups over the provincial government’s response to natural disasters.

On the Great Northern Peninsula there are other issues.

On the northeast coast there are others.

Still more on the Burin peninsula and in central Newfoundland.

And then there is the threat of Muskrat Falls.

Look around.

The mood is anything but settled.

Rideout is right:  it might not be enough to bring down the government yet.

But when a prominent Tory takes such a smack at other Tories as Rideout did this past Tuesday morning, it is enough to think things in this province  could get quite a shake in October.

- srbp -

Tom Rideout: the audio version

The former Premier who left Danny Williams’ cabinet in a huff and under fire from the Old Man himself had a chat with some students at Memorial University’s Corner Brook campus (formerly Grenfell College),

He apparently had a few choice observations, as CBC lifted out for the morning  newscast on Tuesday.  For example, Rideout warned that not much will happen on the fishery  - even though it needs to be done – simply because there’s an election on the way.  Rideout also said something along the lines that the current - or any administration for that matter - administration shouldn’t get a sweep of the House after the next election because that wouldn’t be good for the province.

For the record, here’s a link to podcast of Tom’s interview with CBC radio’s western Morning Show Monday morning: 

http://podcast.cbc.ca/mp3/nlwcmornshow_20101018_39763.mp3

- srbp -

Burdening our children with increased debt: fish centre costs escalate wildly

An aquaculture centre that was supposed to have opened in 2009 for a cost of $4.2 million will now cost $8.8 million and construction isn’t set to start until later this spring.

Cost of the project shot up 22% in 2009 alone on a project that even then was already 71% over budget. Former fisheries minister Tom Rideout announced the project in 2007 as part of government’s pre-election vote buying orgy of public spending.

The provincial economy shrank by 26% in 2009.

-srbp-

“Stimulus”: price tag on delayed fisheries centre jumps 71% before construction starts

That aquaculture veterinary facility promised by the provincial government to start in 2007 was originally supposed to cost $4.2 million.

It was supposed to open in 2009.

Tenders for site preparation just went out.

The tender for construction won’t be out until the fall.

The new cost is $7.2 million, 71% higher than when it was first proposed.

Tracy Perry, the provincial Conservative member of the legislature for the area attributes the cost over-runs to “design and tender work” whatever that means.

The facility will still take two years to build.  Construction is supposed to start this year but the thing just went to tender, two years behind schedule.

Odd then that back in January, fisheries minister Tom Hedderson described the building as if it was already under construction:

“As well, the new aquatic veterinary facility that my department is building in St. Alban’s is going to help improve on these protocols even further by enabling more timely testing and results.” [Emphasis added]

There’s also a news release from the same time where Hedderson is quoted as saying the same thing.

Incidentally, the size of the new facility hasn’t changed even though the price tag is almost double what it was.

In 2007, then fish minister Tom Rideout told the people of St. Alban’s that the facility would house 10 staff and their offices and equipment. “He said the new facility should be operating by the end of 2008.”

In 2009, the completed facility “is expected to house 10 staff, including development and inspection personnel, as well as aquatic health staff and veterinarians.”

Wonder why the project took two years to start and will cost almost twice as much – during a major recession – if it is basically going to do now what it was supposed to do then.

-srbp-

Due diligence: Gaultois fish plant shut

Newfoundland and Labrador Hydro chopped the power because of an unpaid bill by the previous owner.

Provincial fisheries lifted the plant license in a dispute over construction of a wastewater treatment system for the plant.

The provincial government apparently fronted the money, the preliminary work was done but the contractor wasn’t paid.

[Provincial fisheries] Minister [Tom] Hedderson said that Atlantech did the work and were ready to put the treatment equipment in the Gaultois plant. However, a serious problem arose when the company was not paid for its initial work. Basically, government gave GB Seafood International the first $182,000 of an approximate $400,000 project to pay for the work completed by Atlantech. However, the money was never paid to the PEI company and no one seems to know where the money is.

Read the rest from The Coaster.

The money for this little disaster came from a 2007 announcement by former fish minister Tom Rideout. 

That would be the same one in which he announced construction of an aquaculture veterinary facility that would be finished by 2009.

They called the tender for construction this month.

And announced it again, not like Tom hadn’t already announced it at least once before.

Anyway…

Do the words due diligence mean anything to anyone any more?

The best line in The Coaster story is the one where it’s clear there’s nearly $200,000 of public cash gone and no one knows where it is.

-srbp-

There’s a reason…

people call her Blunderdale.

Deputy premier Kathy Dunderdale has taken to answering opposition questions with an odd air of arrogance about her.  She tries to taunt and put down the questioner in a way that…well.. doesn’t work.

Some people can carry on arrogantly and get away with it  - sort of - because their abilities are far above that of others. Maybe their response is so witty that you just don’t see the arrogant jab.

Dunderdale ain’t one of those people by a long stretch.

MS DUNDERDALE: Thank you, Mr. Speaker.

Mr. Speaker, I am going to divulge the name of his source. It is the Leader of the Opposition, and I gave her that information in Estimates, earlier this week, that these actions had been taken. We told her that the report had been received, although I had not been briefed at this point in time.

She was responding to a question by the opposition house leader about an audit into the local chicken marketing board.

Problem for Dunderdale was Kelvin Parsons could simply rebut her asinine comment:

MR. KELVIN PARSONS: Thank you, Mr. Speaker.

The minister must surely have a problem with timelines because she did her Estimates on Monday night of this week with the Leader of the Opposition. My questions were asked in this House of the minister last December. That is the source to which I refer, that told us there was indeed a forensic audit being done, which you denied at the time and you said you would check it out and get back, which the minister failed to do, and has not done now until it was taken out of her and pried out of her in the Estimates Committees again.

Mr. Speaker, the people who contacted our office certainly believe - and this was back in December - the people who contacted our office and provided the information back in December had very good information that there were financial irregularities. These people made significant allegations.

I ask the minister: Can you confirm that anyone in your office was, in fact, dismissed as a result of what happened involving this matter?

Now this is not the first time Dunderdale has had a problem disclosing things factually in the House of Assembly.  She got into serious trouble in late December 2006 when she wound up misleading the House – and by extension everyone else in the province – about details surrounding a public tendering controversy that had led ultimately to cabinet firing one of their political appointees:  Joan Cleary.

So serious did Dunderdale Blunder that her boss had to slam the House closed noticeably early to avoid everyone realising what had happened and calling for the head of one his most faithful lapdogs.

Then there’s the time last December when she couldn’t accurately recall what she’d said the week before.

First Danny Williams appointed Tom Rideout to run the place on all those occasions when DW is not around.

Tom left.

Then he picked Kathy Dunderdale to be his Number Two.

Does anyone else see a pattern here?

-srbp-

Erasing the distinction, to our detriment

Used to be, not so long ago, that public servants were different from political staff.

The distinction was important as one served to keep a check on the other.

No longer.

According to CBC News, the premier has appointed a top “aide” – a term normally used to refer to political staff – as deputy minister of natural resources, a position at the top leadership level of the public service.

The distinction between the top echelons of the public service  - typically non-partisan permanent employees of government - and the political staff took a while to erase but in the decade since Brian Tobin really started to undermine the difference, the two have now fused together. 

The damage to government and the public service has yet to be calculated.

In some respects though we can already see it.

Only last spring,  Tom Rideout resigned in a dispute within cabinet over road work for his district.  The premier admitted that a senior member of his political staff oversaw the allocation of spending, ostensibly to ensure it was done fairly.  of course, the result was anything but  fair and impartial according to a set of standards applied transparently and equitably to all cases, irrespective of partisan, political considerations.

Not a single news outlet in the province reported that road paving was decided by political staff.

Instead, they parroted the premier’s characterisation of the situation as “normal” even though it was  - quite obviously - far from that.

Is it any wonder that government here and elsewhere continues to be unaccountable, when even news organizations that are usually pretty careful about their use of language can’t get the rights of things?

-srbp-

Backuppable Tom to run for federal Connies?

The Family Feud could get infinitely more entertaining if local political rumours hold true.

Former Provincial Conservative Premier Tom Rideout is looking at running for the federal Conservatives according to CBC's David Cochrane.  When Rideout quit Danny Williams' cabinet a couple of months ago, Bond Papers had Rideout looking at a run against incumbent Liberal member of parliament Scott Simms in central Newfoundland.

The specific riding isn't as important as the idea of the guy who ran through the 1989 provincial general election like the love child of Speverend Rooner and Mrs. Malaprop running for the federal Conservatives in the fall federal election.

Rideout's departure from provincial politics was never just about a million dollars of roadwork, despite what some people would have you believe. There's quite obviously some considerable animosity between Rideout and Williams, likely dating back to Rideout's leadership win in 1989.

Rideout - who served in key roles in the Williams administration - is in a position to know where more than a few bodies are buried in the Provincial Conservative backyard.  He'd also likely attract a fair bit of support from long-time Provincial Conservative voters and backroom workers who are dissatisfied with the internal party strife resulting from the ongoing Anything But Conservative campaign, as the Family Feud is officially known.

The scrappy veteran campaigner would also be inclined to smack back at any attacks from his former Provincial Conservative caucus and cabinet mates.

Even if Rideout worked behind the scenes or as a spokesperson for the federal Conservatives in the province, the Family Feud could turn out to be the surprise hit of the fall political season. The Family Feud likely won't shift too many votes, but it would be political theatre of the kind the province hasn't seen in years.

-srbp-

Telegram: Rideout comment's "factually inaccurate"

From the Telegram online:

Deputy premier Tom Rideout defended his $53-a-day per-diem spending in an open line radio appearance today, saying the cash was for “meals and incidentals and stuff like that.”

The information he provided, however, was factually inaccurate.

...

Contacted by The Telegram, Rideout said he is not disputing Telegram reports that the $53 per diem was specifically for accommodations.

“I’m not disputing that part of it, and I want to make that abundantly clear,” Rideout said Thursday afternoon.

“In the discussion with Randy this morning — I don’t have the transcript in front of me, but I don’t dispute that what you said as a quote is accurate — all I’m saying is what I have said consistently from the beginning: when I went and spoke to the people in the House of Assembly about getting some accommodations in Lewisporte, I was told that, yes, I could do that, and also you can charge the same per-diem rates that you’re charging now.”

According to published spending rules in effect at the time, MHAs had a choice of two options.

They could claim $50 per day for meals without receipts, plus the cost of accommodations — like hotels — with receipts.

Alternatively, they could charge $103 per day for meals and accommodations without receipts.
Rideout generally opted for the latter option. He charged $103 per day — the $53 per diem for accommodations without receipts, plus the $50 per diem for meals.

The $53 per day did not cover meals, as he told VOCM.

The other $50, which Rideout claimed in addition to the $53 per day, covered meals.

Rideout made a minimum of 123 per-diem claims from the fiscal period of 2004-05 through 2006-07 alone.

More to follow in the Friday print edition of the Telegram.

-srbp-

The Williams Standard of Ministerial Propriety

From The Telegram online edition:

Asked by The Telegram whether that means the standard for ministers is that, as long as their activity is not illegal, it’s fine, Williams said:

"We as a government will get involved (when there is) illegal activity. From my own perspective, I’m not going to sit down and pass judgment on every single member — whether they’re NDP or Liberal or PC or anybody else — every single time the press decides that there’s a question here of whether this was proper spending of money or not."

Was that a "yes"?

-srbp-

Be it ever so humble...

... there's no place like the home office, apparently, for deputy premier Tom Rideout, right.

An investigation by The Telegram revealed that Rideout claimed rental for a house in his constituency of Lewisporte and an additional claim for accommodations while in the district between 2004 and 2007. The story, which appeared in the Saturday edition of the St. John's daily, is not available online. A copy is reproduced below.

Rideout, whose 43-day term as premier was ended by the Liberal victory in the 1989 general election, rented the house from the vice-president of his district association.

Asked about the appropriateness of renting from his party's district vice-president, Rideout said he was not aware of Freake's position in the party.

"I don't know if was or if he wasn't (vice-president)," Rideout said. "I couldn't say."

Rex Freake is, in fact, listed as vice-president of the Lewisporte PC district association in the party's 2005 convention booklet - next to a large photo of Rideout.

During the same time period, Rideout operated a rent-free constituency office in a nearby government office building. At the time, House of Assembly rules prohibited members from charging taxpayers for the cost of renting a home or apratment in the constituency.

This is not the first controversy for Rideout related to the constituency spending scandal.

In June, 2007, Bond Papers revealed that key provisions of new legislation designed correct excesses revealed by the House spending scandal would not take effect until after the provincial election in October, despite comments from members of the legislature suggesting the entire Act had come into force in June. Rideout, who was a member of the Internal Economy Commission that barred the auditor general from reviewing the legislature's accounts in 2000, turned time and the English language in knots attempting to excuse the political misdirection:

Since Green didn't say the act comes into effect today, we, in consultation with him, said what can come into effect today comes into effect today, what needs time to come into effect tomorrow comes into effect tomorrow, and tomorrow is Oct. 9, 2007.

He said that in June.

In August, the Telegram reported that Rideout had made a $5,000 donation to a charity in his constituency, long after the controversy over the issue had surfaced. The donation was delivered in Fiscal year 2007 but had actually been held over from the previous fiscal year. The Telegram reported that Rideout used upwards of half of his constituency allowance in 2006 for donations of various kinds in his district.

-srbp-

The Telegram 

15 Dec 07


Rideout rental raises issues
Deputy premier claimed house rent, plus per diems

Rob Antle; Jamie Baker

Deputy premier Tom Rideout claimed more than $23,000 for "rental
accommodations" in his district of Lewisporte from late 2004 to early
2007, while tacking on an additional $53 per day for accommodations
whenever he stayed in the area.

Rideout acknowledged Friday he spent the $23,000 out of his
constituency allowance to rent a house in Lewisporte.

The landlord who received the cash was a key local Progressive
Conservative party organizer.

House rules in effect at the time barred MHAs from charging taxpayers
the cost of renting a home or apartment in their district - no matter
who they rented it from.

Rideout justified the claims by saying that his Lewisporte rental home
contained an office - even though he also operated a rent-free
constituency office in a government-owned building less than a
kilometre down the road.

MHAs were permitted to claim a per diem of $53 without receipts for
accommodations whenever they visited their constituency.

Rideout charged both - a monthly house rental of between $750 and $850,
and $53 each day he stayed in Lewisporte.

That amounted to a minimum of 123 per-diem claims from the fiscal
period of 2004-05 through 2006-07 alone. The MHA pocketed more than
$6,500 in per-diem claims for accommodations in Lewisporte during those
three years, while also charging taxpayers separately for his
Lewisporte house rental.

Arrangement approved

Rideout said the arrangement was approved by the House of Assembly.

"Before I rented property in Lewisporte, I went and sat down with the
staff at the House of Assembly, told them my situation, that I didn't
live in the district," Rideout told The Telegram on Friday.

"I was told I could rent a place that I could use as an office - with a
room in it to sleep in, that's fine too - and that rental would be
covered, and there was a per diem that goes with your travel. You
submitted that as part of your claim too. I went and sat down eyeball
to eyeball, face to face. I never sent an assistant to do it, I went
and did it myself."

Rideout said he met with House staff at the time, but didn't identify
who they were.

But officials at the legislature said Friday they were unaware Rideout
was living at the Lewisporte location he was claiming as his office,
until contacted by The Telegram.

In fact, Rideout's situation appeared to be unique, said William
MacKenzie, clerk of the House of Assembly.

"Office expenses were certainly eligible under the old rules,"
MacKenzie said. "I'm not aware of other instances where the office was
also used for personal accommodations."

MacKenzie said House officials would now review the matter with Rideout.

He suggested the per-diem claims by Rideout for accommodations may not
fall "within the spirit of those rules" in effect at the time.

"If the rental costs that the House was reimbursing for the office also
included private accommodations, it doesn't appear that the per diem
should have been claimed," MacKenzie said.

Under the old expense regime, MHAs could claim $53 without receipts for
accommodations away from their home or other residence. They could file
receipts for amounts greater than $53 - hotel bills, for example.

Rideout paid landlord Rex Freake - a two-time failed Tory candidate and
longtime party supporter - $750 a month for rental accommodations from
October 2004 through December 2005, according to constituency claims
filed by the MHA and obtained by The Telegram under the province's open-
records laws.

The monthly rent payment rose to $800 in January 2006, and again to
$850 in January 2007.

There are 30 monthly claims for rental charges from Freake over the
three fiscal years 2004-05 through 2006-07.

The claims totalled more than $23,000.

Rideout served as Lewisporte MHA from 1999 through October 2007, before
running successfully in Baie Verte-Springdale. The constituency
documents obtained by The Telegram only cover the three fiscal years
from April 2004 through March 2007.

Asked about the appropriateness of renting from his party's district
vice-president, Rideout said he was not aware of Freake's position in
the party.

"I don't know if was or if he wasn't (vice-president)," Rideout
said. "I couldn't say."

Rex Freake is, in fact, listed as vice-president of the Lewisporte PC
district association in the party's 2005 convention booklet - next to a
large photo of Rideout.

Freake is also a party fundraiser in the district. Wade Verge, the
newly-elected Tory MHA for Lewisporte, publicly thanked Freake for
helping with his October election victory. "This couldn't have been
done without fundraisers Don Manuel and Rex Freake as well as all the
financial supporters, poll captions, inside agents and the voters,"
Verge said in the Oct. 17 edition of the Lewisporte Pilot.

Rideout said he previously rented a basement apartment and another home
in Lewisporte before beginning his rental arrangement with Freake in
2004.

Freake could not be immediately reached for comment Friday. The
provincial PC office did not respond to phone calls inquiring about his
current status in the party.

Rideout said his constituency assistant operated out of a nearby
Department of Transportation office from 2004 to 2007.

The MHA said he did constituency work out of an office in his rental
home.

"I still continued to rent and I used part of the house as an office,
part of it to hang my hat in," Rideout said.

He said he is now looking for an office to rent in Baie Verte.

The hard work of being Premier, another perspective

And while Danny is off having a bit of a lark, the province has been left in the hands of this man, right, deputy Premier Tom Rideout.

Rideout said "there is no urgent public business" facing the legislature and all of it can be dealt with in the new year.

Draw your own conclusions.

-srbp-

From the grassroots

New technology is changing the face of public life and Newfoundland and Labrador is no exception.

Well, at least Labrador anyway.

Someone with the onscreen ID "labmetis" has produced several videos, two of which involve the Progressive Conservative land claim promise to the Metis people of Labrador. One was posted a few months ago but the newest came only within the past few days.



It's pretty aggressive stuff, in its own way. So much for recent comments by a Memorial University professor that lack of broadband access in some parts of our province would limit the impact of things like youtube during election campaigns.

-srbp-

Rideout defends 5K gift of public cash

No surprise.

Deputy premier Tom Rideout thinks it's just fine to hand out gifts of public money to groups in the province from money set aside originally in 1989 to run his district office.

As Jamie Baker reported in Thursday's Telegram, since the rules allowed it, Rideout thinks the whole idea is just tickety-boo.

Some observations:

• According to Baker's story, Rideout gave away almost half his constituency allowance in 2006 to things other that constituency operating expenses like travel and meals.
• The $5,000 donation Rideout handed out in this case is more than double a previous gift using taxpayers' money. Rideout notes he handed the $2500 secret payment in 2004 to Calypso.
• While the gift of public money was made to the Calpyso Foundation on May 11, Hodder indicates the cheque for it was cut sometime before March 31, 2007.
  
• There is no explanation for the time-lag or why the donation was connected to the auction held in May. As the Pilot reported: "When you factor in a $5,000 donation that MHA for the Lewisporte District Tom Rideout made from his constituency allowance during the auction, the grand total hit the $22,000 mark." [Emphasis added]
• Speaker Harvey Hodder is quoted as saying "Mr. Rideout is in total compliance with the rules as they then existed."
• However, the rules under which Rideout made the gift are still in place and will be in place until October 9, 2007.
• Hodder doesn't explain how the existing rules were met, though, given that in February 2007, [see second story below] news media reported spending in the House of Assembly would be handled on a new basis, or as Hodder said at the time "[t]he old regime changed." Presumably that meant a(n) MHA could only spend a portion of his or her allowance each month. For Rideout, with an allowance of about $41,000, a monthly pro-rated amount would be $3417, considerable less than he spent in that single donation and not including whatever other spending he carried out at the end of the old fiscal year.
• Chief Justice Derek Green was sharply critical of the practice of making donations from public funds and recommended the practice be banned. It will be banned, but only after the election.
• Since the old rules are still in place, it is unclear whether gifts such as the one Rideout made and the practice followed previously of MHAs spending most or all of their yearly allowance in the months prior to an election can continue and is continuing until October 9, 2007. There is no requirement for public disclosure of MHA spending and it is unclear whether the access to information provisions of Chief Justice Green's report will apply retroactively once they come into effect on October 9.
  

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Two Telegram stories follow:

Calypso donation legitimate, Rideout says
Minister defends $5,000 donation to Lewisporte charity

Jamie Baker
The Telegram
Thursday, August 2, 2007, p. A3

Fisheries Minister Tom Rideout insists there was nothing wrong with a large donation he made from his constituency allowance to a charity in his district this past spring.

In March, Rideout, the Tory MHA for Lewisporte, turned over a cheque for $5,000 to the Calypso Foundation, a non-profit organization that provides training and employment support for people with developmental disabilities.

He said the money came from what was left over in his constituency allowance from the 2006-2007 fiscal year, which ended March 31.

"I checked with the House of Assembly staff and asked them if there was any change in the rules for donations at that point in time and there wasn't," Rideout told The Telegram. "I made a contribution out of the constituency allowance to Calypso, which I've done every year for many years, and made it known it was out of my constituency allowance and not out of my pocket."

Although the cheque was cut in March, the donation didn't become public knowledge until after the Calypso Foundation's "fantasy auction"in May. It was reported by the community newspaper in Lewisporte, The Pilot, and Rideout himself referenced it in the House of Assembly May 24.

"I told everybody there, it was their money and I was happy to make the contribution, on their behalf," Rideout said in the House at the time. "I do not think anybody there had any problem with the taxpayers' money being used for that."

House Speaker Harvey Hodder said the cheque from Rideout's constituency account to Calypso was dated March 30, 2007 - just a day before the end of the fiscal year when the remainder of whatever was left in Rideout's allowance would have been wiped from the ledger as the new fiscal year kicked in. While the cheque had to be cut before March 31 to come out of that year's allowance, Hodder explained the actual claim wouldn't have to be filed until some time in April.

"There's always a carry-over," Hodder said. "He would've had to have that money left in his account - there would be no extra money at all, not one nickel."

While MHA donations are often anywhere from $100 to $500, the $5,000 contribution from Rideout actually represented almost a quarter of the entire Calypso fantasy auction earnings, which came in at $22,000.

Hodder said there are no directives in place that limit how much an MHA can donate per charity.

"Mr. Rideout is in total compliance with the rules as they then existed," Hodder said.

In 2006-2007, Rideout had a total allowance of $41,300. According to Hodder, Rideout spent $3,020 on per diem meals, $2,633 on per diem accommodations, $15,300 on travel and $19,016 on "other" - which is where any donations would normally be listed. He left $1,332 untouched.

As for Calypso, Rideout said that's who also got the extra money he was granted the previous year.

"The year before that when we got the additional $2,500 that's where that went, to Calypso as well," Rideout said, indicating no receipt was required. As for the donation made in March "a receipt was required and it was provided and it was made known publicly," he said.

Meanwhile, all parties in the House of Assembly have publicly stated that constituency allowances will not be used to make donations from this point on in keeping with the "spirit and intent" of the recently released Green Report.

The report recommended, among other things, that the practice be discontinued. That recommendation will not become law until after the provincial election in October.

jbaker@thetelegram.com


Departing MHAs spent entire year's allotment

Rob Antle
The Telegram
Friday,February 2, 2007, p. A1

Departing and retiring MHAs may have served half a year in 2003, but they managed to spend most or all of their annual constituency allowances.

House of Assembly Speaker Harvey Hodder said they didn't break the regulations, because there weren't any.

"There were no rules that governed it," Hodder told The Telegram. "The access was not governed. The maximum was out there. It's not that people did it wrong. It's that there were no rules governing it whatsoever."

Hodder said only one departing MHA spent an equal amount of their constituency allowance compared to their time served - roughly 50 per cent of the total for 50 per cent of the year.

The rest of them spent a larger proportion.

"Some people who did not re-run in 2003 - they were only serving in the House for five months and a bit of that year - had actually spent 80 and 90 per cent of their constituency allowances," Hodder noted.

"There were no rules. They didn't do anything wrong - there were no rules governing it."

Hodder said that even MHAs who publicly announced in the spring that they would not run again spent the higher proportion.

The 2003-04 fiscal year began April 1. The election was called in late September, and held Oct. 21. The new government took office in early November. Newly elected MHAs received a constituency allotment pro-rated from the time they took office until the end of the fiscal year.

Hodder said a similar spending phenomenon won't happen in 2007, which also happens to be an election year.

"The old regime changed," he noted.

Auditor General John Noseworthy revealed this week that politicians secretly approved an extra $2,875 constituency payment in 2004. Forty-six of the 48 MHAs accepted the money, which required no receipts for approval.

The twice-delayed Green report on pay for provincial politicians is now set for release in mid-February. It is expected to make recommendations on constituency allowances, among other matters.

rantle@thetelegram.com

Chaos in Control

There are times when deputy premier Tom Rideout seems to be channeling the late Don Adams in Adams' most famous role, that of Maxwell Smart, left.



One of those times has been the series of media interviews Rideout, right, has done trying to explain why the Green accountability bill is not actually in place today, despite the fairly obvious way in which Rideout and his colleagues attempted to suggest it was when the bill was passed - extremely quickly - on June 14.

"Zany" and "madcap" are fine words to describe comedy, but it has been entirely bizarre to have Rideout engage in the sort of semantic gymnastics that would make Buck Henry and Mel Brooks envious.

Consider Rideout's efforts to explain that while today might well have been June 14 when the bill was passed, tomorrow did not actually mean June 15. Rather it meant some date four months hence.

Since Green didn't say the act comes into effect today, we, in consultation with him, said what can come into effect today comes into effect today, what needs time to come into effect tomorrow comes into effect tomorrow, and tomorrow is Oct. 9, 2007.

The latest instalment in Rideout's apparent audition tape for the forthcoming Get Smart movie came in the Telegram's July 14 edition in which Rideout took exception to having it pointed out that a week before he acknowledged that the accountability provisions of the Green bill would not take effect until October 9th, Rideout had said they were in place now.

In a letter to the editor, Rideout accused the Telegram's Rob Antle of engaging in petty semantics and then explained that now was in fact not now but then, and when then arrived, Rideout's statement would be accurate, retroactively in the future. The whole thing has been eerily reminiscent of Max Smart attempting to explain that Antonio Carlos Carioca, also known as "The Lover" was in fact "The Blaster" and that Carioca's boat was named El Amador, which is Spanish for "The Lover".

The problem for Newfoundlanders and Labradorians in all this, though is not that Rideout, right, and his fellow members of the legislature have demonstrated remarkable unaccountability in dealing with a bill on accountability, using their own version of the Cone of Silence.

Nor is the problem that Rideout apparently cannot tell time.

Rather the problem is that, to paraphrase a former English teacher, chaotic use of language suggests a chaotic thought process.

For those who aren't familiar with the local cabinet, let us recall that Rideout is the minister of fisheries. He is the province's attorney general and as such is the chief legal advisor to cabinet. He is also the government house leader and, as such, is responsible for piloting the government's legislative agenda through the House of Assembly. Rideout is also the deputy premier and, as such is, in a manner akin to Dan Quayle, a mere heartbeat away from the most powerful office in the land, an office he one occupied.

Of all the people the Premier might have chosen for those extremely important jobs, he chose Tom Rideout.

The problem for Newfoundlanders and Labradorians in all the Green mess might well be that chaos is in control.

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Backuppable Tom strikes again

labradore wades into the controversy which your humble e-scribbler has aroused over the House of Assembly's decision to implement Chief Justice Derek Green's Rules but not until after the next provincial election.

labradore systematically demolishes the logic - or is that illogic - in claims made by the provincial government's man of a thousand titles Tom Rideout, right in an immortal picture from cbc.ca/nl, and by Paul Oram, cabinet-minister-wannabe.

There are so many choice quotes from Rideout and Oram, both of whom appeared to be scrambling to cope with the unexpected issue, but the best of all was Rideout's comment to VOCM:

Look that's all poppycock nonsense and dribble from people who don't know what they're talking about. Members have to concur with the, with the ban on donations. Members have to concur with the fact that discretionary spending is gone. All of these matters that was in the rules as brought forward by Judge Green have been accepted and implemented. There's the matter of some mechanisms that can't be put in place overnight.

Given that "all of these matters that was in the rules as brought forward by" Chief Justice Green have been accepted but won't actually be implemented until October 9, Rideout's comments are about as accurate as Jim Flaherty claiming that the Atlantic Accords haven't been changed and that the era of federal-provincial bickering is now over.

Those "mechanisms" Rideout refers to in the last sentence are actually all the rules "as brought forward by" Chief Justice Green.

Like the one that says a member of the legislature is personally liable for overspending on his or her expense account.

or the one that says a member of the House of Assembly cannot make donations using public funds.

Not in force.

Until October 9.

Mark it on your calendar.

You can bet every sitting member of the legislature running for re-election has it red-circled.

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