Maybe next time we can make s'mores

Walter Noel is becoming something of a legend as a political pyromaniac.

He's seems intent on constantly setting fire to himself or, to be accurate, the smoldering remains of his political reputation.

His staunch defense of spending his constituency cash on gifts of perfume, crystal and clothing serves as gasoline which Noel insists on pouring over himself throughout this campaign.

He'll happily splash anyone else within reach, as well, as he did this week with both his opponent Jack Harris and his fellow Liberal candidate Judy Foote. Those two have been able to douse any fires with simple, straightforward explanations. 

The problem for Noel - and the flamethrower he brings to his self-roasting  - is his repeated excuse that his spending was within the rules and approved by the "highest officials of the House of Assembly."

Sure, Walter. 

We already know the "rules" were all but non-existent and one of those "highest" officials is currently facing criminal charges.

Noel has even gone so far as to claim his bone-headed actions in defended the misspending are brave or some such bit of silliness.

Well, the flames were barely fading from his latest round of bravery when the Telegram dutifully reminded everyone in the Saturday edition that Noel managed to blow an entire year's worth of public money in a single six month spree between April and October 2003. The genesis of this latest story was a news release Noel issued defending himself on the whole issue which itself resulted from some other media story generated by yet another brave defence by Noel

Amazing.

Noel's top expense that year was advertising: $3,261. He spent nearly $2,950 on over 50 restaurant and food claims - an average of about two per week. Brochures cost Noel just over $2,000; donations, nearly $1,800 more. Noel was also reimbursed for $1,367 in alcohol-only purchases at liquor stores.

Bear in mind that at the time Noel was a provincial cabinet minister with access to another sizeable expense account. We can only wait for the juicy revelations that come from the Telegram's investigation of that spending as well.

In itself, the spending is something voters might possibly have been able to get over in time.  Noel's repeated use of what amounts to easily refutable excuses - the "highest officials" crap - calls into question his judgment.

And his vehemence doesn't just make one a little uncomfortable. 

Coupled with his ludicrous plan to study building a tunnel to Bell Island, his unsubstantiated claims about his part in the 2004/05 offshore transfer deal, his pseudo-separatist dalliances, and his ranting about the "socialist" hordes in the New Democratic Party and their overspending way, his repeated defence of his own overspending suggests Noel is completely out of touch with anything vaguely resembling reality, political or otherwise.

Three things follow from all this:

First, the Liberal Party in Newfoundland and Labrador needs to tighten up its candidate vetting process and candidate selection process.  Big time.

Second, Noel's political future is deader than dead to the point that his vote count in this federal election might wind up being barely above his 1974 first effort.  Incidentally, that's when he ran on behalf of the "socialist" hordes.

Third,  Noel's only political value to this race - and it is sad to see it happen - is to give the only bit of light entertainment to a race otherwise made boring now that Danny Williams has abandoned his Family Feud campaign entirely.

If Noel wants to keep setting his own political ass on fire, there's not much any of us can do except sit back and shake our heads.

Oh, yes.

And maybe next time we can make s'mores.

That's about the only way Noel's candidacy can be said to have contributed anything to the current election.

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Noel returns to roots

Well, that is if you think New Democrats are just "socialist" big spenders who want to pour money - that is your tax dollars - down some gigantic bottomless pit all in the name of some vague purpose.

Now Noel wants to build a tunnel to Bell Island.

The road to nowhere in Alaska will now be matched by the hole to nowhere on the other end of the continent.  Nowhere in this case being where Noel's political future is headed, not the charming island in the middle of Conception Bay.

Noel, whose political fortunes in the current election are not looking good, seems to be thinking that if he channels Sarah Palin he might boost his chances of coming second behind Jack Harris.

What the heck could be next?

We shudder to think, given Noel's penchant for using public funds to pay for crystal, women's clothes and perfume he handed out as gifts.

Let's not even consider that maybe Noel's going to try some naughty librarian makeover next.

With every utterance, Walter Noel proves it is time for change in our politics. 

Walter makes it pretty clear that change is not Walter Noel.

-srbp-

That was now, this is then

Walter Noel, Liberal candidate in St. John's East:

Electing an NDP [sic] could deprive the Liberals of enough seats to beat Stephen Harper. Voting NDP could give the socialists the balance of power in Parliament, the ability to wreck our economy.

Walter didn't always think that way.

Well, at least not in 1974.

Noel ran for the "socialists" in the old riding of St. John's West, coming in third with about 3400 votes. Walter Carter took the seat for the Progressive Conservatives.  Lillian Bouzane came in second for the Liberals.

S. Carey Skinner polled 143 votes for the Social Credit Party.

Will "aging granola" Ryan Cleary do better than Walter did 34 years ago?

-srbp-

The charge of the light brigade

He just doesn't get it, does he?

Walter Noel, that is.

Determined to wear the House of Assembly spending scandal forever and a day.

Here's a clue, Walter:  it isn't a case of guts, even capelin guts.

It's a matter of sheer stupidity to continue to defend an abuse of public funds (along with the rest of your colleagues).

It's incomprehensibly dumb to claim that "spending was all in keeping with regulations, and approved by the highest officials of the House of Assembly"  when it's pretty clear there were no regulations of any consequence and the "highest officials" would have - and very often did - approve just about any expense claim for anything at all.

Walter Noel clearly doesn't get it, some 18 months after the rest of the world found out about the unmitigated mess in the House of Assembly.

And as long as Noel continues to shoot himself between the eyes, that's not the only thing Walter won't get come the middle of October.

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The inevitable headline

First this.

Watch next for Jack Harris to announce he'll run for the Dippers, which will make the next headline, followed by the next one: Harris wins in landslide.

Ironically, Jack Harris was first elected as a member of parliament in a Jurassic Park battle where he was the furry, agile little mammal as the alternative to two dinosaurs.

Now, Harris will likely be one of the dinosaurs, but with no alternative, voters will have an extremely limited choice.

The thing about inevitable headlines is that they aren't all inevitable; the other thing about them is that if the first one turns out to be inevitable, the rest will just fall in line.

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Change versus more of the same

While former Liberal cabinet minister Walter Noel does his part to support the victim mythology of Newfoundland nationalism, perhaps he should consider a new approach to economic development and Newfoundland and Labrador's economic place in the world.

Noel's problem appears to be with Newfoundland and Labrador's balance of trade.

He identifies the solution to a general economic problem as being more federal transfer payments. Right problem. Wrong solution.

All that Noel succeeds in doing is demonstrating how the current administration and the one Noel served in are fundamentally the same. Heck, the current administration offers the same answers that have never worked for administration after administration since Confederation.

Like that's worked.

The idea outlined in this op-ed piece from the Toronto Star is increased inter-provincial free trade. In other words, open up the opportunities for Newfoundland and Labrador companies to do business in the rest of Canada. Rather than building barriers, Newfoundland and Labrador needs to open the doors.

Since Confederation, Canadians have been hampered by an inter-provincial distrust of the power of free markets to produce economic and social benefits.

As a result, federalism has evolved into an inefficient system of provincial and municipal enclaves of economic autonomy. Provincial economic independence has created an interprovincial trading system that hampers productivity through barriers that curb the flow of goods and services.

These have impeded Canada's evolution from a middle to a modern power.

Canada cannot hope to compete globally when we have the kind of barriers to internal trade we have now.

There's a similar idea in this study by the Economist Intelligence Unit.

More of the same won't work.

It's time for Newfoundland and Labrador to change.

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Another Dan-didate?

Walter Noel, left, is a former provincial Liberal cabinet minister and a former federal Liberal candidate.

On Open Line with Randy Simms this morning, Noel said he had written the Premier suggesting the province commission a report to look at the economics of Confederation and show how Newfoundland and Labrador hasn't been receiving its "fair share" or getting "fair treatment".

Noel claimed that the 2002 Airing of Grievances didn't produce such a report.

Well, not exactly.

There is a report titled "Newfoundland and Labrador: Towards an Assessment of the Benefits of the Canadian Economic Union."

Here's the executive summary:

This report was commissioned by the Royal Commission on Renewing and Strengthening our Place in Canada to provide information regarding the economic, fiscal and other benefits to Canada and to Newfoundland and Labrador of the province’s presence in the federation.

In 1949, Newfoundland and Labrador joined Canada to secure a brighter economic future for itself – and its new country. In the ensuing half century, Newfoundland and Labrador has certainly become wealthier but has struggled to keep pace economically with the rest of the country and with its trading partners. Perhaps unfairly, the province has too often been characterized as a place with no jobs and dependent upon the transfer payments it became entitled to upon Confederation.

A region’s growth involves at least four kinds of external relationships: (i) trade, or the import and export of goods and services; (ii) migration of people, both in their capacity as consumers and in their capacity as workers; (iii) interregional “migration” of other production factors, notably investment capital; and (iv) the national government’s revenue collection and expenditure in the region. This report examines the current state and evolution of each of these external relationships and in doing so provides information to help assess the benefits to Newfoundland and Labrador from the Canadian economic union.

Fiscal Benefits

This report finds that the federal government’s net spending in the province has not been a major factor in the overall national fiscal position. Newfoundland and Labrador’s size meant that more populous provinces receive substantially larger sums of federal money and have a larger impact on the federal government’s overall fiscal position.

Federal spending in Newfoundland and Labrador has declined over the last few years. In fact federal spending in Newfoundland and Labrador as a share of spending throughout the country has fallen 0.5% over the last decade – the largest decline of any province – while over the same period Ontario and British Columbia have seen their share of Federal spending rise.

Trade Benefits

The rest of Canada has and continues to benefit from the economic union by exporting goods and services to Newfoundland and Labrador. Companies in Ontario and Quebec have benefi ted the most from trade with Newfoundland and Labrador. While consumers in Newfoundland and Labrador have benefited from lower prices for imported goods and services since Confederation, it is only now that Newfoundland and Labrador businesses are starting to see a significant increase in their benefit from the domestic market.

Investment in the development of the province’s major oil projects will continue to support high levels of imports for a few years. The production from these projects will, however, start to generate substantial export revenue and help push the trade balance towards a surplus position.

Labour Benefits

People from Newfoundland and Labrador can be found across the country making significant contributions to their local economy. This study estimated that for every 10 current residents in Newfoundland and Labrador, there are 4 people born in the province that are now living elsewhere in Canada. By moving to fill jobs required in the rest of Canada, the Newfoundland and Labrador labour force has acted to reduce labour market disruptions caused by labour shortages in other provinces. The current study estimates that a flow of workers to other provinces the amount of which is equal in size to the number of people born in Newfoundland and Labrador but now resident in other provinces would reduce competitiveness and economic
performance leading to a $1.1 billion reduction in the federal government surplus. The latter amount is equal to about 40% of the current federal deficit in the province.

The loss of these people has, however, been at best a mixed blessing to Newfoundland and Labrador. The loss of productive workers and their associated demand depresses economic activity – but it does reduce competition for jobs for those that remain.

Natural Resource Benefits

For the last forty years investment capital has been concentrated in the development of the province’s natural resources. While these projects have brought jobs and income there are lingering questions about whether the province receives an appropriate return on its natural resource wealth.

The impact of the Churchill Falls hydro-electric power contract with Hydro Quebec is significant. The loss in real provincial GDP (1997 dollars) was estimated to be between $1,500 and $3,000 a person each year throughout the 1990s and – even at the lower end of the range – would be enough to pull Newfoundland and Labrador ahead of both Nova Scotia and New Brunswick in terms of per capita GDP. The benefits to Quebec’s economy have been equally large – supporting the development of a powerful manufacturing sector and providing windfall gains on their electricity exports. The situation has, up to now, stalled the development of hydro-electric resources that would reduce Canada’s dependence on fossil fuels and help us meet our greenhouse gas emissions targets.

The Government of Newfoundland and Labrador appears to collect, at best, a modest return on its natural resource assets.

• The high costs of development and exploration mean that the province collects about one eighth the revenue per barrel of oil that Alberta does. This low revenue rate, combined with a comparatively short lifespan for the projects, means that Newfoundland and Labrador will not benefit from this resource to the same extent that the other oil producing provinces have.

• Provincial revenues from other mining activity are similar to those in other provinces. The more critical issue for this sector is to process the minerals locally. The recent agreement on development at Voisey’s Bay should help the province benefi t in a more significant way from this resource.

• Provincial revenues from the forestry sector are the second lowest in the country. The benefit from this resource appears to accrue to the owners of the province’s pulp and paper mills.

Appropriate natural resources policies are extremely hard to define. Ideally, the province should capture a larger share of the economic rent from its natural resources to help ensure a more prosperous future. The analysis in this report, although limited in scope, would appear to support a review of the province’s natural resources policies.

Other Benefits

Confederation brought a host of other benefits to Canada. The new province helped “complete” the country from coast to coast to coast. While politically Confederation prevented Newfoundland and Labrador from slipping into the United States orbit it has not inhibited the province’s strategic importance to continental defence. By adding 406,000 square kilometres of land to the country, Canada gained a wealth of natural resources and dramatically extended its coastline. As a result, the adoption of the 200 nautical mile limit allowed Canada to add 1,826,000 square kilometers of offshore waters to its territory with access to all the riches of the Atlantic Ocean. This physical enlargement also provided a new shipping outlet on the Atlantic sea lanes with St. John’s harbour and Gander airport is an important waypoint for
international flights.

Finally, the people of Newfoundland and Labrador have not only contributed economically to the success of the rest of the country but have also enriched the culture of the nation through the work of its writers, artists, performers and politicians. The province also enriches our history as the site of the first European settlers in North America.

This report has explored some of the dimensions of the Canadian economic union and
Newfoundland and Labrador’s relationship with it. In 1949, a small economy became part of a larger economy. This action entailed the creation of a customs union for the movement of goods, services and capital; the removal of barriers to labour movement; and the reduction of non tariff barriers. The process of adjustment to these changes has defined economic development in the province since Confederation. With the tumultuous decade of the 1990s behind it, Newfoundland and Labrador can now look forward to a period of sustained growth. The process of adjustment and integration is still ongoing and the policy choices made in St. John’s, Ottawa and the other provincial capitals will help determine how the benefits of the economic union affect the people of Newfoundland and Labrador.

Maybe Wally didn't read the report since it doesn't conclusively demonstrate that his preconceptions are valid.

Maybe he is planning on running as a Dan-didate either provincially or federally next time out.

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