06 December 2006

Scandal checklist

Scroll down the right-hand column and you will find a set of links to previous posts on the House of Assembly spending scandal.

When the story was new and hot there was plenty to scribble about.

In light of some of this week's events - including AG John Noseworthy's return to an accusation he previously admitted can't back up - it's useful to check on what happened before. You see, Noseworthy likes to accuse people of participating in a criminal conspiracy because he has forms and cheques with signatures at the bottom of them. If the name is yours, he will accuse you of fiddling the Crown out of cash.

Well, not only hasn't Noseworthy checked into the accounts themselves to see where the money went, he also hadn't even bothered to rule out fraud and forgery before he pointed his finger at anyone he felt deserved it.

Cavalier isn't strong enough an adjective to describe his attitude.

Auditor General missed about a million in recent overspending?

While everyone may have been on holidays when this one broke, here's a Bond Paper from August that notes the House of Assembly overspent members' allowances by over half a million dollars in each of fiscal years 2004 and 2005.

For those who remember, that's two fiscal years after Auditor General John Noseworthy originally contended problems with the House accounts were fixed. It's also considerably more than the amounts Noseworthy alleges were paid to two sitting members of the House during those years.

On top of that, Bond Papers pointed out in August that for two successive budgets, finance minister Loyola Sullivan misreported House of Assembly spending during his term as finance minister. The financial statement released in August also contained columns of figures that were presented in a way that suggested they had previously been released. As such, the presentation diverted attention from the misrepresentations in the spring budgets.

The figures hadn't been made public at all.

The finance minister knew or should have known the correct figures on actual spending. Those figures come from the Comptroller General's office which issues cheques for all departments and the House of Assembly. If accounts were overspent, the Comptroller General caught it or should have caught it and reported it to his boss, Loyola Sullivan.

Has anyone asked Loyola Sullivan why his Estimates numbers for the House of Assembly were wrong two years in a row?

Has anyone asked Auditor General John Noseworthy to explain the discrepancy between his figures and the Comptroller General's numbers?

Incidentally, Noseworthy audits and approves the Public Accounts statements normally published every year in November. So where are the audited public accounts for 2005?

The Financial Administration Act gives Loyola and John until February 1 to produce them, but surely the figures aren't so complex they have to be postponed, especially since Sullivan was able to release what amounts to Volume III of the Public Accounts back in August.

NL government breaking medicare principles

600 MS patients cannot access medically-necessary drug treatments due to lack of government support

December 6, 2006, St. John's, NL -- The Multiple Sclerosis Society took its campaign for universal drug coverage to the House of Assembly today to highlight that Newfoundland and Labrador's lack of drug coverage for MS patients is inconsistent with the principles of medicare.

Newfoundland and Labrador is the only province in Canada that does not provide universal coverage of MS drugs. While the provincial government covers the drug costs of people on social assistance, seniors and those in long-term care, the lack of universal coverage has left over 600 Newfoundlanders without access to the drugs they need to manage their disease and slow its progression. Many others with MS have been forced to go on social assistance in order to qualify for drug coverage.

"Tommy Douglas, the father of medicare, used to say that no one should have to lose their farm because of an illness," said Sean Kirby, vice chair of the MS SociAtlantictlantic division board. "MS patients in this province should not have to quit their jobs, give up their life savings and raise their families in poverty because of their illness. Nor should they have to do without medically-necessary drugs that are available to patients in every other province. The government's refusal to provide drug coverage to all MS patients is inconsistent with the fundamental principles of our health system."

"The sad truth is that MS patients are better off in every other province in the country than they are here," said Kirby. "Patients in Newfoundland and Labrador should get the same care as other Canadians."

Margaret Rideout, a fisherwoman from Burin Peninsula who was diagnosed with MS three years ago, is one of many MS patients in Newfoundland and Labrador who have chosen to continue working to help support their families instead of going on social assistance to get government drug coverage. Ms. Rideout, who is married and has a four year old daughter, cannot afford to pay the cost of the drugs ($17,000-$27,000 per year), so she simply does without. The provincial government would pay for her drugs if she quit work and went on social assistance.

"Someone with MS basically has to be poverty-stricken to get any help from the provincial government," said Ms. Rideout. "Not only would I have to quit work and go on social assistance to get drug coverage, my husband and I would have to get rid of our investments and never save anything for retirement to meet the government's financial rules. Getting government drug coverage would mean committing my family to a life of poverty forever."

"I want to work and set a good example for my daughter. I want to contribute to the province and not be a drain on it," said Ms. Rideout. "It is wrong that the government is forcing me to choose between supporting my family and getting access to the drug treatments I need."

The lack of universal drug coverage also has terrible impacts on the provincial government's finances, the economy and communities. When MS patients cannot take their drugs, their health deteriorates and government health care costs increase as a result. When MS patients are forced to go on social assistance to get drug coverage, the provincial government ends up paying their drug costs plus social assistance payments and other related costs. In other words, it would be cheaper for the government to pay the drug costs for all MS patients than it is force them into poverty in order to meet government drug program rules.

Most MS patients are diagnosed when they are relatively young - between the ages of 15 and 40. With universal drug coverage, most would be able to contribute to the province, the economy and their communities for their entire lifetimes. Without universal drug coverage, they are forced into a life of poverty and deteriorating health.

The MS Society is urging the Government of Newfoundland and Labrador to establish in its 2007 budget an MS-specific drug program that ensures every person with MS receives the drug treatments they need to manage their disease.

-30-

Contact:
Sarah Cowan
Manager of Communications and Government Relations
Multiple Sclerosis Society of Canada (Atlantic Division)
Cell: (902) 981-4996

Sean Kirby
Vice Chair of the Board
Multiple Sclerosis Society of Canada (Atlantic Division)
Cell: (902) 222-6930

05 December 2006

Another N.B. Premier for Danny to fight

Enter Shawn Graham and the Conference of Atlantic Premiers' meeting in St. John's on December 6.

Will Danny respect a premier standing up for his province or pick a fight with the guy because he doesn't agree with Danny on Equalization?

Any day now

Corporate Research Associates released results of its Prince Edward Island quarterly political polling on Tuesday.

If past patterns hold, New Brunswick and Nova Scotia will be next followed by Newfoundland and Labrador on Friday or next Monday. CRA might skip NB this time since the Graham government is so new in office.

No predictions, but it is noticeable that government hasn't really been doing as much poll goosing this time around.

Noseworthy order-in-council [dated 19 July 2006]

Revised: 11:30 AM 05 Dec 06

Following is the text of the order-in-council directing the Auditor General to conduct certain reviews of House of Assembly accounts:
MC2006-0366. [Minute of Council 0366 issued in 2006]

Under the authority of section 16 of the Auditor General Act, and consistent with the Resolution of the Internal Economy Commission, the Lieutenant Governor in Council hereby requests that the Auditor General carry out the following:

i) annual audits of the accounts of the House of Assembly from fiscal years 1999/2000 to 2003/2004; and,

ii) a review of constituency allowances between 1989 and 2004 further to the Morgan Commission Report, to determine whether overspending occurred at the constituency level beyond funds which were approved, authorized, or provided for through Internal Economy Commission policy.

//signed//
Robert C. Thompson
Clerk of the Executive Council

______________________
Bond Papers Explanatory Notes

1. As with all similar documents, this one is headed: "Certified to be a true copy of a Minute of a Meeting of the Committee of the Executive Council of Newfoundland and Labrador approved by His Honour the Lieutenant-Governor on..." This is followed by the date for this MC: "2006/07/19".

2. MC = Minute of Council.

3. On the left hand, the document contains an order in council number and a distribution list.

OC2006-295 [Order in council 295 issued in 2006. This is the number cited by the Auditor General]

P[Premier; Bold is used here to distinguish the entry from the explanatory notes]]
Hon T. Rideout (A) [Indicates deputy premier Tom Rideout. (A) normally denotes someone functioning in an acting capacity]
J. Noel [John Noel, former clerk of the House of Assembly, secretary of the Internal Economy Commission]
H. Hodder [Harvey Hodder, Speaker of the House of Assembly, chair of the Internal Economy Commission]
AG [Auditor General (?) John Noseworthy]
Deputy Clerk [of the Executive Council]
File [Denotes a copy is to be retained on file in accordance with normal documents management processes.]

04 December 2006

Latest AG report on Tuesday

Provincial auditor general John "Baubles" Noseworthy will release his latest report on spending in the House of Assembly on Tuesday at 10:00 AM local time.

True to form for Noseworthy, it is unclear from the news release whether Noseworthy will release both portions of his report or just one.

In July Noseworthy was tasked by cabinet with conducting comprehensive audits of the House of Assembly accounts for the period from Fiscal Year 1999 to Fiscal Year 2003.

To be clear, Noseworthy previously confused the dates when conducting his reviews and releasing his information. This should mean that this portion of Noseworthy's report would cover from 01 April 1999 to 31 March 2004.

Part of that period was already covered by previous reports. While it was not previously described this way by government or House of Assembly officials, Noseworthy was given revised terms of reference to offset a procedural problem with his earlier audits.

The second part of his mandate was to review any excess expenditure of constituency allowances by members of the House of Assembly beyond what was approved by the House Internal Economy Commission. This portion of the review would cover the period from 01 April 1989 to the present.

Noseworthy's release describes his report on Tuesday as being about "excess constituency allowance claims by Members of the House of Assembly."

Taken at face value, this would mean he would be releasing the larger and more complex review dating back almost 18 years and involved over 100 current and former members of the legislature. This may turn out to be the easiest to complete, though, since Noseworthy was only tasked with reviewing one of several allowances available to members of the legislature.

Furthermore, he was only tasked with identifying overspending that had not been approved by the IEC. Operating like treasury board or an executive committee, IEC has the authority to approve expenditures beyond budgeted amounts based on agreed-upon criteria. Overspending could occur, but if approved by IEC it would be beyond Noseworthy's mandate to discuss it. Former finance minister Paul Dicks made this point.

Considerable confusion in Noseworthy's earlier reports suggested that the Auditor General and his auditors did not understand the House expenditures. Constituency allowances, as defined by the 1989 Morgan Commission report was one of several district-related allowances available to members of the legislature to cover costs of serving as a full-time elected representative.

In his earlier reports, Noseworthy routinely lumped constituency allowances with travel and other allowances. This occurred despite Noseworthy's including the Morgan Commission report's definition of constituency allowances in each of his reports. See, for example, the report on New Democrat legislator Randy Collins. There were also discrepancies among the reports on all four current and former legislators.

The gold standard of professional public auditing remains the Auditor General of Canada. Her most recent report included allegations against a senior public servant. The allegations were back by both meticulous research and meticulous reporting of the research. Take a look at the report at the AG website, and then compare it to whatever her local counterpart releases on Tuesday.

Kilbride Tories have a battle

Well, at least among themselves for the nomination.

Former teacher and St. John's city councilor John Dinn already declared.

Today, the Telegram reports that 32-year old Sean Hammond, scion of another BFT family in the district, is looking for the Tory nomination to replace Ed Byrne.

Hammond grew up across the street from your humble e-scribbler. He's a smart and aggressive young guy back by impressive Tory connections and credentials.

Meanwhile, the Liberal establishment seems to have already decided on its candidate. District association president Bob Clarke announced his candidacy shortly before the party announced its nomination call would be inexplicably really short.

Maybe, Bond was a little premature to congratulation Dinn. Let's revise our congrats to Dinn or Hammond, depending on which one wins the nomination. Either way, the Libs have already ceded the by-election.

The New Democrats still haven't announced what they plan to do.

So what is Potsie doing these days?

Celebrity life is cruel.

One day your saying or gesture or hairstyle is making magazine covers across the globe.

Next day, you are doing dinner theatre in Boise with the guy who played Eddie Haskell on Leave it to Beaver while across the street the chick who played whashername on that show that didn't last too long is trying to save souls with stories about the hard life of a child celebrity.

Same thing with politicians.

One day you are hitting 97% support in the polls. (remember the Accord?)

Not so very long later, people are wondering who the frig put the sand in your Vaseline this time? Those stroke moments seem fewer and much farther between no matter how hard the publicity department tries to get your picture out there (right).

Like in theatre, taking it on the road is proof the show has had its run in the big halls. Now it's time to bring the Lard of the Dance experience to Wallingford Connecticut with the second team of dancers.

And it isn't like being a cartoon character where your catch phrases just effortlessly morph into cultural icons.

Yosemite Sam? Still funny half a century after he first sputtered after the rabbit.

Yosemite Dan? Same hair, but it's gettin' old Dan.

Really old.

Really quickly.

03 December 2006

Congratulations, John Dinn

He'll be the new member of the House of Assembly for Kilbride.

According to the Telegram, the 62 year old retired teacher, former St. John's city councilor and former mayor (prior to amalgamation) is considering looking for the Tory nod in the district to be vacated by incumbent Ed Byrne.

Byrne departs officially January 1 with a by-election to follow at some point over the next three months.

In order to get the Tory nomination in the district, one would have to get the blessing of Bob Aylward. The former member for the area and former Peckford era cabinet minister is still a potent political force. Active, well, known and well-liked, Bob is the Godfather of Kilbride.

Dinn's already got that covered off, being one of the old Tory hands from these parts.

Jack Lee, another name being touted, might be a Danny favourite - Lee runs a hockey school - but he simply won't be able to beat Dinn and the Political Haymaking Machine that forms the core of the old-line Tory camp in the partly suburban and partly rural agricultural district.

The New Democrats haven't said boo about the district so far.

Meanwhile, a day or so before the nomination was announced, Liberal district association president Bob Clarke seems to have taken advantage of his insider knowledge of the impending nomination call and got his name in play before anyone else even knew about it.

The nomination was announced publicly the next day and is open for the suspiciously short period of three business days. Any potential candidates and supporters who spent the week working the federal leader candidates campaigns will be unlikely to reorganize for a needlessly short and early provincial district nomination fight. Heck, Clarke may well have had a hand in going off prematurely.

Congratulations, John Dinn on being almost guaranteed the by-election win.

The only thing thing stopping Dinn from being a shoe-in is the as-yet unnamed New Democrat candidate. Once we know that we can tell if there will be a real fight or if the Premier can stay away from knocking doors and walking in cow manure.

02 December 2006

Dion!

For those of us who supported Stephane Dion from the outset, among a field of great candidates, today is very good day indeed.

Dion will likely bring new ideas and an opportunity for renewal within the party and across the nation.

For those who fear all manner of bogeymen - today is a dark day indeed. Then again, the separatists and their allies and sympathisers across Canada, may rightly feel threatened.

Today, it is especially humourous to see a local separatist scribbling in the local daily after serving as the high commissioner to Ottawa for a government that more than anything else represents exactly the dependence on Uncle Ottawa he supposedly despises.

01 December 2006

Lower Churchill not really any closer

While the Lower Churchill project has been registered for environmental assessment with both the federal and provincial governments, the project isn't really any closer to starting than it was six months ago.

That's when Premier Danny Williams tossed aside every proposal submitted in the province's expressions of interest process and embarked on an approach which, by his own admission, had not been assessed on any level at all. There was no business plan, that most basic of business planning tools.

The environmental assessment documents are drawn largely from work completed since 1998 under former premiers Brian Tobin and Roger Grimes.

Contrary to Premier Williams' claim today, it appears that he is actually farther from developing the Lower Churchill the province was in 1991 or at any time since.

Biggest, most important issues still unaddressed

Six months after Williams embarked on his go-it-alone approach, all the major elements - market, land claims agreements and financing - aren't even close to settled.
A key point, with political implications, is securing a loan guarantee from the federal government that could run between $6 billion and $9 billion.

Williams is confident that Prime Minister Stephen Harper will come through with such a guarantee.

"I have a commitment in writing from the prime minister, for what it's worth," said Williams, referring to a letter Harper wrote Jan. 4, during the federal election campaign.
What Williams didn't say apparently is what that commitment is. In fact, the Premier has consistently misrepresented Harper's written comments at every opportunity. During the election - while Williams pretended to support Harper - he claimed that there was a commitment to a loan guarantee. At the recent provincial Tory convention in Gander - when Williams admitted he secretly distrusted Harper even as he campaigned for him publicly - Williams continued to claim there was a loan guarantee commitment.

Harper's actual comment was substantially different. All committed to do was discuss the issue further.
A Conservative government would welcome discussions on this initiative and would hope that the potential exists for it to proceed in the spirit of past successes such as the Hibernia project.
Feds would accept ownership stake

Rather than loan guarantees, the Harper administration would be interested in an ownership stake in the Lower Churchill. Putting Ottawa in a position to take a share of revenues from the project would fly in the face of Williams go-it-alone posturing. Then again, if the province was actually able to go-it-alone, Williams wouldn't need the federal government to help finance the project.

However, Williams will need outside financial backing to build the Lower Churchill. According to the Halifax Chronicle-Herald, Williams tried to raise capital on Wall Street before the go-it-alone announcement but was rejected by financiers.

Williams not welcome in Ottawa

The more significant problem the premier faces in seeking financial help from Ottawa is his abysmal relationship with the prime minister's office. The dust-up in Gander between the president of the federal Conservative Party and the premier's brother is typical of the ongoing scrap. Williams' attack on Bernard Lord is symptomatic of the animosity bordering on full-blown contempt that flows freely between the Langevin Block and the Premier's Office.

The Canadian Press story refers to energy experts as being somewhat more cautious than the Premier in his enthusiasm. CP refers to transmission grid issues. Additionally, though, Newfoundland and Labrador Hydro is behind the curve in finding markets for the power as a direct result of the go-it-alone snap decision. Progress has also been slow on an impacts and benefits agreement with aboriginal peoples.

Great horny toads!

Premier Danny Williams [Left: not exactly as illustrated.] doesn't like any critical comment, as Bernard Lord has learned.

Even the innocuous remarks by the former Tory premier of New Brunswick got Danny to come out, guns blazing.

So what does a combative Premier do?

He launches another verbal war; which is what Lord was scolding Williams for in the first place.

How quickly we forget

As we look forward to another report from Auditor General John "Baubles" Noseworthy on spending in the House of Assembly and the fibre fiasco, let's cast our minds back to February 2006 and some of his interesting comments on financial management within the Williams' administration.

Interesting too that at around the same time, the provincial estimates were being compiled showing that spending in the House of Assembly was exactly on budget for every single line item.

Odd, that.

And when you are done with that, consider the ongoing antics at City hall and remember the candidacy of one Simon Lono. The Mayor of St. John's dissed his comments on financial administration at City Hall, the folly called Mile One, the abysmal state of infrastructure in the city and just about everything else going at the downtown bunker.

Next time, Simon.

Fibre fact-checker needed

CBC Newfoundland and Labrador is carrying a story on the provincial government's conemtplation of expanding broadband access to Labrador.

Yes, it's important.

Yes, it's expensive - upwards of $80 million, according to Trevor Taylor's comments to CBC.

But it isn't like there isn't already a plan for it.

Check the link to a November 2005 news release in which former innovation minister Kathy Dunderdale announced government would be hiring a consultant to map out an information strategy. They never did; if they did, the person has never been heard of again.

Anyway, the oddly titled "Big Backgrounder" contains a breakout of projects under the federal government's Broadband and Rural and Northern Development (BRAND) project. Two Labrador projects are listed with a total project cost of over $5.0 million, financed 100% by the Government of Canada.

Trevor Taylor's department is listed as having commited exactly zilch to the project.

Nada.

Bupkis.

BRAND is a project in which the province dribbles teeny bits of cash and the feds flood.

So now, Trevor Taylor is announcing further study of extending broadband coverage to Labrador, which will, as he predicts, require provincial funding.

Trevor needs a fact-checker.

Thank you CBC

With one single hire, CBC has crippled the ego-fest known as Out of the Fog.

Officially a light entertainment show, it pretended to cover serious news. You can't do that if there is an official editoral policy that says government ministers get the kid gloves, the Premier gets an ass-kissing and everyone else gets the shaft.

Hard to be objective when The Boss is family, but at least they could make an effort to hide the bias.

Meanwhile, if Krysta's got hard news potential or hard news aspirations, she can realise it if she takes advice from the experienced news people around her at CBC. The shameless on-air boot-licking she practiced at Rogers just won't fly anywhere else.

I'd tell her the same thing if the new show was at NTV.

Let's see how it goes.

As for CBC news, Here and Now does not need more light filler. Let Krysta occupy the afternoon slot unless you need to push audience her way. But keep her appearances to a minimum; Here and Now has enough of the softer, background stuff.

Here and Now is doing better than when it retruned to the hour format but overall it needs to get its old edge back. Finding that balance between edge and everything else is difficult.

Let's just say that more Krysta wouldn't be a whetstone.

30 November 2006

Separated at birth? Two fish guys

Maybe it goes with the job to tell me to take it or leave it.

Minister of Fisheries and Oceans Loyola Hearn to Gander airport authority:

"If the people of Gander want it, and if they don't, well then there's not much we can do."...

"Do you want to buy time or don't you? And we're waiting for an answer."





Minister of Natural Resources John Efford to Premier Danny Williams, on the Atlantic Accord:

"Let me say it, and let me say it clear: the deal is done. Do you want it, Mr. Sullivan? Do you want it, Mr. Williams? There are no more changes."

Connie staffer ID'ed as Williams' diplomacy advisor


Bravo, Aaron Hynes.

We finally know who has been giving the local Tories some bad advice on relationship management.

From da Globe:










**Whizzing back by reply e-mail an hour later, Mr. Hynes, who was a Tory candidate in Newfoundland in the last election, parried with the remark: "That's all we care about. Canadians. But I wouldn't expect you to understand the complexities of this decision. . . . You're a foreign jackass." Responded the money manager: "I'm not sure that this is how Mr. Lauzon wants to be represented." He then sent the e-mail exchange to a number of Canadian energy companies, adding dryly: "I believe his office is not serving in your best interests. As a note I am a large shareholder in all of your companies."

The final e-mail instalment? Mr. Hynes wrote to the four oil and gas companies: "If any of you Canadians have questions or concerns, we will be more than happy to direct them to the [Finance] Minister's office for a thorough reply. However, I am not here to be denigrated or intimidated by self-important non-Canadians."**

Monkey tossing for England: Placentia school "compensation"

Notably absent from an announcement today in Placentia was a representative of Voisey's Bay Nickel Company, the outfit that - according to natural resources minister Kathy Dunderdale - is paying "compensation" to Placentia for building the nickel smelter/refinery in nearby Long Harbour instead of nearer-by Argentia.

But here's the thing. VBNC has been providing money just like the stuff Dunderdale mentioned today to a host of communities, including Placentia and Dunville.

The "agreement" announced by Dunderdale today consist of a payment in lieu of taxes to the Placentia town council, a small grant to the town to build a fire hall, upgrading lights at the Dunville ballpark (already committed in 2005, incidentally), and a general commitment to support local business opportunities.

That's basically the sort of thing VBNC has done or would be expected to do anyway as part of maintaining sound relationships with residents of the largest communities close to the new site at Long Harbour.

There's nothing in this announcement - not a single thing - that looks like anything other than sound business practice.

It certainly isn't "compensation" since, as we noted already, VBNC doesn't really have anything to compensate anyone for.

Dunderdale's release looks more like a case of political monkey-tossing than "compensation".

Except, of course for the provincial government's sudden commitment to build a new school in Placentia.

And that's the really big announcement here.

The government’s commitment to the people of Placentia was also clearly demonstrated today with the announcement of approval to build a new school for Grades 7-12. "I know that people of the Placentia area have been seeking a new school for some time. Government recognized that it was time to replace Laval High School. To that end, we have allocated funds to begin planning the new facility," said Minister [Joan]Burke.


It's a good decision and one that will support the workers at Long Harbour, many of whom are likely to already live in Placentia or who are more likely to locate there rather than in a smaller community somewhere else in the Long Harbour area.

Too bad the government's publicity department had to frame the whole thing around an something that has really been government's fabrication. Instead, they could have just announced the school, included VBNC's work as a good corporate citizen and heralded construction of a massive industrial enterprise at nearby Long Harbour.

Of course, doing that would mean the Premier and his ministers would have to acknowledge - even implicitly - that the agreement he trashed regularly before he was in government has actually delivered the only industrial construction project of his administration thus far.

He killed off the other biggie.

Rather than do that, the whole operation of government, and this release, become nothing more than another exercise in monkey tossing.

Shuttle to fly over North Atlantic

The next shuttle launch is scheduled for December 7 using a launch angle that it will take it over the North Atlantic.

So why isn't Danny Williams screaming about potential threats to offshore oil rigs?

Could it be that the Titan fiasco showed just exactly how hysterical concerns were that the rigs would be hit?

Yeah. Regular Bond Papers readers were never worried in the first place.