boondoggle

Thursday May 10, 2019

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Thursday May 30, 2019

Ontario to end Beer Store deal, paving way for beer in corner stores

The Progressive Conservative government has tabled legislation that would terminate a contract with The Beer Store.

The previous Liberal government signed a 10-year deal with the brewers that permitted an expansion of beer and wine sales to hundreds of grocery stores.

Premier Doug Ford has indicated he plans to put beer and wine in corner stores, but he has to break that agreement to do so and the industry has warned that could trigger steep financial penalties.

While tabling today’s bill, Finance Minister Vic Fedeli said the current system is a monopoly that is a bad deal for consumers and businesses.

The legislation comes after the province’s special adviser on alcohol delivered a report Friday to Fedeli on ways to improve consumer choice and convenience.

The Tories also announced a number of loosened alcohol restrictions in last month’s budget, including allowing alcohol to be served at 9 a.m., seven days a week, letting people consume booze in parks, and legalizing tailgating parties near sports events.

Meanwhile, there’s been a swift reaction from Labatt Brewing Company Limited and Molson Canada 2005 — two of the three large brewers who predominantly own The Beer Store — to the legislation tabled Monday.

CBC Toronto obtained a copy of a lawyers’ letter from Labatt  and Molson putting the government on notice of a potential legal challenge to the beer legislation. Blake, Cassels and Graydon LLP represent Labatt, while Molson is represented by Gowling WLG.

In the letter, the lawyers note that the 2015 Master Framework Agreement was negotiated with the province to enhance customer convenience, choice and shopping experience, while ensuring that customers in Ontario can purchase beer at prices below the Canadian average, and to enhance the beer retailing system for all brewers selling beer in Ontario.

“The Bill will destroy those benefits, legislate 7,000 Ontario-based The Beer Store employees out of work and cause billions of dollars in damages … and result in higher costs and prices for consumers,” the lawyers wrote. (CBC) 

 

Friday October 19, 2018

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Friday October 19, 2018

Premier Doug Ford’s cap-and-trade move will cost treasury $3B over four years

Premier Doug Ford’s move to scrap Ontario’s cap-and-trade alliance with Quebec and California will deal a $3-billion blow to the treasury, according to the province’s financial accountability officer.

September 29, 2018

“By cancelling the cap-and-trade program, the province’s annual budget balance will worsen by a cumulative total of $3 billion over the next four years,” Peter Weltman warned Tuesday.

“The province’s budget balance worsens because the loss of cap-and-trade revenue from ending the auction of emission allowances is greater than the savings achieved from cancelling cap-and-trade-related spending programs,” said Weltman.

Environment Minister Rod Phillips, who will unveil a replacement climate-change plan later this year without any taxation component, insisted the $3-billion hit was anticipated.

“That’s $3 billion back in the pockets of Ontario taxpayers,” said Phillips.

July 11, 2018

“We committed to the orderly wind-down of this program that was killing jobs, that was regressive, and we will follow that through. It’s a promise we made, it’s a promise we’ll keep,” he said.

“Yes, that means less money for government — that’s more money for families.”

NDP MPP Peter Tabuns (Toronto-Danforth) countered that “Ford is hurting Ontario’s environment, and he’s charging all Ontarians extra to do it.”

“The direct result of Ford’s favour to big polluters will be $3 billion in costs piled onto the backs of the people of Ontario. That means ripping $3 billion right out of folks’ bank accounts, or cutting $3 billion from things like health care,” said Tabuns.

November 22, 2016

Green Leader Mike Schreiner said “Ford’s anti-climate agenda is bad for the environment and bad for business.”

“Today, we learned that the premier’s reckless actions are a $3-billion boondoggle that will dig a deeper fiscal hole for the province,” said Schreiner.

Greenpeace’s Keith Stewart said the FAO report proves axing cap-and-trade “is bad for the budget and worse for our environment.”

Beyond any environmental impact of withdrawing from the climate accord, Ontario will now be subject to Prime Minister Justin Trudeau’s forthcoming federal carbon-pricing scheme that could be more expensive.

It was exempt from that while it was part of the two-year-old cap-and-trade accord with Quebec and California. (Source: Hamilton Spectator) 

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Wednesday, May 1, 2013

Wednesday, May 1, 2013By Graeme MacKay, The Hamilton Spectator – Wednesday, May 1, 2013

Canada can’t account for $3.1B in anti-terror funding, AG finds

The federal government needs to do better at tracking and evaluating some of its program spending to ensure taxpayer dollars are being well-spent, Auditor General Michael Ferguson found in his spring report released today, and one of the most striking examples is that it can’t account for $3.1 billion in anti-terrorism funding.

The lack of information on spending and on results achieved for money spent is a common theme throughout Ferguson’s report, which includes 11 chapters in total.

In his audit of the Public Security and Anti-Terrorism (PSAT) Initiative, Ferguson suggested there should have been a government-wide review of spending by 35 departments and of the results for the program that was funded between 2001 and 2009.

He found that departments reported spending $9.8 billion of the $12.9 billion allocated for security and anti-terrorism measures under the program but he couldn’t determine where the other $3.1 billion went. The Treasury Board had no clear answers for him.

Ferguson said he’s not concerned the money is missing, it’s the information about it that can’t be nailed down.

“It’s a matter of missing that last link in putting that information together,” he said at a news conference in Ottawa Tuesday morning. If the money was reallocated from the anti-terrorism program to another program, there should have been approval for that, he added.

“We don’t have enough information to say whether that happened,” he said.

The NDP jumped on the accounting gap as a sign the Conservatives can’t manage the public purse. (Source: CBC News)