Friday, August 07, 2009

What I think the utilities commission was saying about private power

The B.C. Utilities Commission deserves a slap upside the head for its ruling on B.C. Hydro's plans to sign deals with private power companies that will cost consumers billions of dollars.
Not for its substance. As far as I can tell, the murky, acronym-laden swamp of a decision makes sense.
But it's incomprehensibility - not just to dabbling journalists or interested readers, but to energy experts - is appalling.
The utilities commission exists to protect the public interest. B.C. Hydro is a monopoly. It sold $2.8 billion worth of electricity within the province last year - about $650 for every person in the province.
The commission, among other things, scrutinizes B.C. Hydro's operations and plans to make sure it isn't making mistakes that result in unnecessarily high electricity costs.
This decision ruled on B.C. Hydro's long-term plan to meet energy demand in the province.
And the utilities commission had some big doubts.
It had to look at several components of the plan, starting with B.C. Hydro's forecast of future energy demand. That was OK.
Then it reviewed B.C. Hydro's plans for reducing demand, through increased efficiency and conservation and off-peak power. Curbing demand can be cheaper than adding new dams or wind turbines.
Those didn't pass the commission's scrutiny. The corporation wasn't doing enough, it ruled.
Next the commission looked at how B.C. Hydro proposed to meet the province's energy demands in the coming decades. That matters because wrong decisions mean unnecessary costs for consumers and companies. If B.C. Hydro enters into a long-term deal to buy electricity from a company developing a big power project on a B.C. river system, for example, when it's not needed, consumers pay the price.
The utilities' commission rejected B.C. Hydro's long-term energy acquisition plan.
The Crown corporation, acting on government direction, has set three criteria for new power. It has to be green - hydro, wind or burning wood waste. It has to come from private companies, not B.C. Hydro's own projects. And the capacity has to be so great that no imports would be needed.
That's consistent with the government's decision, two years ago, that climate change was an over-riding issue.
But it comes at a cost. New, green energy from private companies is expensive. If B.C. Hydro commits to paying too much, or buying too much, energy prices will be higher than necessary.
The commission - based on my reading of an opaque 200-page decision - thought B.C. Hydro could be planning to buy more power than was necessary, building a large cushion into its plans.
And the corporation had reduced the potential capacity of Burrard Thermal, the gas-powered plant in the Lower Mainland. Burrard is old and inefficient and produces a lot of greenhouse gases. But it can provide cheap standby insurance power, an alternative to costly contracts with private power corporations.
The ruling baffled everyone. It didn't order a halt to the current call for new green power projects from private corporations. But it did reject B.C. Hydro's plans to reach power deals with those companies.
Plutonic Power, one of the big IPPs, saw its share fall 19 per cent on the day after the decision's release, making it worth about $35 million less.
The bottom line, I would say, is the utilities commission judged that B.C. Hydro is trying to buy too much expensive energy from private companies, at consumers' expense.
The Crown corporation is in an interesting spot. The government and the well-connected private power companies want it to go ahead with more long-term deals.
But the utilities commission has served notice that B.C. Hydro will be taking a risk if it goes ahead.
The commission might not allow those costs to be passed on to consumers, which would threaten the $500 million - more or less - the government expects in profits from B.C. Hydro.
Unless, of course, the government abandons its commitment to an independent utilities board and opts for political interference.
Footnote: Energy Minister Blair Lekstrom called some of the analysts for the big investment houses who track the private power companies operating in the province in the wake of the ruling. The ministry won't say who got the chats with the minister. No transcript exists of the briefing, the ministry says.

System just wasn't set up to help this baby

This is a third column about a three-year-old boy. He started life healthy, loved by capable parents who faced some big challenges.
He was taken from them, based on legitimate concerns, at three weeks. The basic problem was that they were too poor to find a safe place to live. He moved through three foster homes in a matter of months and then ended up in hospital, with symptoms suggesting he was shaken.
He's back with his parents today. He's blind in one eye, can't walk and has cerebral palsy. But they're all doing OK, for now.
Mary Ellen Turpel-Lafond, the representative for children and youth, was asked by a legislative committee to review how this all happened.
The real problem was that the parents were poor. They couldn't afford a place to live. Income assistance stalled them, despite the babe in arms. So they stayed with relatives on a small First Nations reserve.
There were concerns about some of the people living in the house, leading to the child's apprehension.
One of Premier Gordon Campbell's earlier enthusiasms was for breaking down "silos" in government - ministries and departments operating in an unco-ordinated fashion, oblivious of their shared objectives.
In this case, parents were about to have their child taken by one ministry because they didn't have a safe place to live.
At the same time, another ministry turned down their request for emergency help finding adequate housing.
Oh, there was communication between the two.
On the day the child was taken from the mother, a Ministry for Children and Families employee called a counterpart in the Income Assistance Ministry.
Not to get help for the family, but to tell them the child had been taken into care in order "to ensure the child's mother would not apply for income assistance for the child as well."
The representative reports that members of the child's family and community thought the apprehension was rushed and other options for care within the family weren't considered.
That, I suppose, could be blamed indirectly to the media. If a protection worker delays taking a child into care and something bad happens, the decision is closely scrutinized. That's appropriate. But we should start with the assumption that workers are making hard decisions based on limited information and managing a big workload.
A friend I respect worries about columns like this. They might give the public the idea that there aren't successes or discourage frontline workers, she fears.
I have to disagree. What the workers helping this family needed was a mandate - and time - to work at a way of keeping the baby boy with his family.
In five months, the report found, at least six frontline ministry staff, a delegated aboriginal agency, a contract family services agency and income assistance were involved with the family. Everyone was clear about their role.
But, the report found, no one thought about how their role affected the little boy's life.
One week after the boy was taken from his parents, a Children's Ministry social worker said in court that the baby would be returned if they had place to live. But ministry staff did nothing to help the family take the one step that would bring their child back (and save the taxpayer money).
This is not an isolated case, the report suggests. It notes two ministry internal audits found 50 to 84 per cent compliance with its standards in the region where the boy lived while in care. The B.C. Association of Social Workers - representing frontline workers - said the report documents "the tragic consequences of a multi-directional systemic meltdown and a lack of supports, resources and anti-poverty measures."
And considering that this baby was taken from his parents and sent through a series of foster homes because his family was poor, it's notable that B.C. has had the highest rate of child poverty in Canada for the past six years. This baby boy's rough life, sadly, wasn't an aberration.

Tuesday, August 04, 2009

A child taken away because his parents were poor

A child taken away because his parents were poor
This is a second column about a three-year-old boy. He started life healthy, loved by capable but challenged parents. But he was taken from them, based on legitimate concerns, at three weeks.
The basic problem was they couldn't afford a safe place to live. He moved through three foster homes in five months and then ended up in hospital, with symptoms suggesting he was shaken while living in the third foster home.
Now he's back with his parents. He's blind in one eye, can't walk and has cerebral palsy. His disabilities are permanent. But they're all doing OK.
The Representative for Children and Youth examined the case to find out what, if anything, could have been done to produce a different ending.
The ministry has already done an internal review. It found that required steps in investigating child protection concerns were skipped, available information wasn't considered and there was too little effort to learn about the child's extended family.
Once the boy was taken from his parents, care was "not fully consistent with legislation, policy and service standards," the internal review reported vaguely. Assessment, training and monitoring of the foster home were he was living when injured were all "were not fully consistent" with policy and standards.
The review resulted in mushy recommendations to review plans and send out memos and hold meetings.
The representative didn't find that adequate. And Mary Ellen Turpel-Lafond offered a reminder of what this was all about - a child a few months old, removed from his parents by the state, completely dependent on the adults in his life for all his needs.
The representative's report noted that only one thing blocked the parents from keeping their child - the lack of housing. Everyone acknowledged that.
But in the five months from the time a child protection concern was raised until the baby was hurt, no worker or agency addressed that problem.
The income assistance ministry turned the family away when they sought emergency help; the children and families ministry didn't address the housing issue. If they had been found a one-bedroom, safe apartment, even a motel room, everything might be different.
Helping the family into housing might have cost some money and time. But even at $800 a month, that would be at least 50 per cent cheaper than foster care,.
And, as the representative notes, because of the injuries "the lifelong cost of caring for this child is unknown." I'll guess though, at something well over $4 million.
But there was no evidence that the ministry considered finding a motel room or coming up with a housing subsidy as a better alternative for the baby than apprehension and foster care.
The problems - poverty and no or bad housing - aren't new. The Hughes report, in 2006, noted that poor families were far more likely to have their children apprehended. The First Nations community that was home to this family has a housing waiting list of 200 people.
The representative noted that in First Nations communities, a housing shortage means many family member share one home out of necessity. The ministry acts as if parents have a choice about where the live. So their children are apprehended "largely because they are unable to immediately create a living situation that they could not reasonably be expected to achieve."
Even if people can find their way to income assistance, the representative found, the housing allowance leaves them $200 to $400 a month short of what is needed. A family of three, like this baby boy's, is allowed $660 a month for rent. Check out the apartments and basement suites in your community and see what is available for that rent.
The result, the representative found, is that children are taken from their parents because they are poor. "This places the basic human rights of children in jeopardy and tears families apart in tragic way, especially aboriginal families trying to recover and rebuild," the report found.
The baby boy's parents kept working to reunite their family. They finally secured suitable housing in November 2008. "They deserve credit for their determination, but will now care for a developmentally disabled child while continuing to struggle with poverty," Turpel-Lafond said.
All because, instead of finding them a place to live, the state took their child away.
Next: Isolated case, or a systemic problem?

Monday, August 03, 2009

A little boy, failed by the system and forgotten by the rest of us

It’s fitting, in a grimly symbolic way. 
Just when attention might be paid to the little boy who fared so badly in the government’s care, a swirl of bigger news stories pushed him into the shadows.
We don’t know his name. The little boy has a right to privacy. Not much else.
The representative for Children and Youth set out his story — how he went from a healthy baby boy to a three-year-old who had suffered devastating injuries that left him with cerebral palsy. He’s blind in one eye, can’t walk yet and faces a life of struggle.
The boy was born on July 9, 2006. His mom was 20; his dad 24. They were from the same First Nations community and had rough childhoods themselves.
But they loved their baby and were capable of nurturing him. They moved back into the boy’s grandparents’ home on an unidentified reserve to care for him.
It was not a great place for an infant. On July 28, someone called the ministry of children and families and said it was not a safe home for a child. Alcohol abuse, neglect, even physical abuse were possible.
The ministry responded admirably. Social workers checked the files and made immediate home visits. They checked on the baby boy, who was doing well. They explained to the parents why the grandparents’ home was not safe.
The mother understood. She said they were going to live with another relative as an interim measure.
There was a 200-person waiting list for reserve housing. To deal with the concerns, she needed help from the ministry of income assistance to get off-reserve housing.
And the mother applied for the help. The income assistance ministry told her to come back after the mandatory three-week wait, if she had found a place. She was denied interim financial assistance.
In September, the ministry received a report the family was back in the grandparents’ home and, apparently, other concerns were raised. The investigating social worker decided the risk was serious enough that the boy should be taken from his parents.
An RCMP officer and social workers from the ministry and the aboriginal agency that provided services found the mother walking her two-month-old son in a stroller.
She had been living in the grandparents’ home for a week because they had no money to live anywhere else, the young mother said. She had been in the hospital for several days and the boy’s father had been caring for him.
And the workers took the baby away.
He was placed in a foster home that day. (A relative who provided foster care offered to take him. That offer was apparently never followed up on.) The parents suggested two other relatives who could care for the child. The ministry says it couldn’t reach them; the family says they were never called.
The ministry came up with a risk-reduction plan that would allow the child to be returned to his parents, once housing was secured and support was provided. But it didn’t do the required plan of care for the child. This is tangled and difficult work, of course. The social worker referred the parents to family counselling. They didn’t go.
The first foster home placement was on a 30-day contract. When it ended on Oct. 2, the baby was moved to another foster home.
In early November, the boy’s mother requested the ministry return her child because she had found shared housing. It wasn’t safe enough, workers decided.
Meanwhile, the child’s second foster mother became ill. So on Dec. 12, he was moved to a third foster home.
It’s worth pausing to think about this. The baby was barely five months old and had been with his parents and in three different foster homes. All good intentions aside, as a parent or grandparent, how do you think a child you loved would handle those changes? How long would he cry for a missing blanket or a person he had come to associate with comfort?
On Dec. 18, the baby boy had a successful supervised visit with his parents. Two days later, it all went wrong. The foster home reported he was unwell. At B.C. Children’s Hospital, doctors said his injuries were consistent with having been shaken. Criminal charges were laid against a caregiver in the foster home and then later stayed.
After almost a month in hospital, the baby was sent to his fourth foster home in January 2007.
In July, he was returned to his parents and started receiving support because of his massive disabilities. He has been making progress in their care since then, but is struggling with permanent, severe disabilities.
Next: What did we learn from this family’s tragedy?

Thursday, July 30, 2009

I am trying to break you heart

I know we're heading to a long summer weekend, but everyone should read this report from Representative for Children and Youth Mary Ellen Turpel-Lafond.
It's a review of the travails of a baby boy who was taken from his parents as a result of legitimate, but easily addressed concerns. All they really needed was help finding an apartment .
While living in his third foster home, and still not six months old, he suffered massive injuries, consistent, doctors said, with being shaken. He is back with his parents as a three-year-old with cerebral palsy, blind in one eye and unable to walk.
I have a friend who is troubled by the attention on these reports. She fears it slights or discourages the workers doing great things every day, in impossible circumstances.
I think paying real attention is the greatest honour we can do those people.

Is the recognition and reconciliation act really dead?

The unravelling of the proposed legislation setting out a new relationship with First Nations remains a fascinating mystery. In the spring, the government was on the brink of introducing the act, with the support of most provincial-level First Nations leaders.
Now, aboriginal support has collapsed and the letter below suggest they want to make sure the act is really quite sincerely dead, as they sing in the Wizard of Oz.


UBCIC Open Letter: Implementing the New Relationship and the Legislative Initiative
July 30, 2009


Dear Premier Campbell and Ministers,

We are writing to clarify the UBCIC’s position regarding pursuing Recognition and Reconciliation Legislation based on the Discussion Paper on Implementing the New Relationship (the “discussion paper”).

The UBCIC has fought long and hard for the recognition by the Crown of Aboriginal title in British Columbia, and for respect for our laws and governments. The New Relationship is regarded as a good step in the right direction, and our communities watched and waited with much hope, for the implementation of the Vision. To our bitter disappointment, the Province failed to implement the spirit and intent of the New Relationship. By way of examples, notwithstanding the decisions of the Court, including the Huu-ay-aht case, where the Court found that the revenue and benefit sharing formula for the FRAs/FROs constituted bad faith negotiations, the Province refused to even discuss revenue and benefit sharing for forestry agreements on any other basis. Nor has the Province been prepared to discuss the sharing of a percentage of gaming revenue as an example of a commitment to revenue sharing to accommodate the economic component of title. There has been no implementation of the jurisdictional component of title, either. The present Environmental Assessment Review Process is the most blatant example of unilateral Crown decision making which is used to veto our Aboriginal title and rights interests as big projects are permitted to proceed, over our objections and often to the detriment of the land itself. The Province continues to rely on discredited terra nullius theories in litigation defences – such as in the Jules and Wilson litigation, where the Province pleads that the Browns Creek Watersheds are vacant Crown land.

When the conduct of the Province did not produce concrete and far-reaching change on the ground, the UBCIC supported legislative change as a tool to bring about systemic change in Provincial Crown conduct from denial to title recognition. This led to the discussion paper.

The discussion paper has been brought to our members for discussion, and we have had considerable feedback at Regional Forums, community meetings, and at meetings held by the UBCIC. The response from our members is clear: there are concerns about concepts in the discussion paper, and UBCIC members do not support legislative drafting based on it. This point was made most emphatically at the last Chiefs Council meeting. A resolution, designed to improve the process for First Nations’ review and debate of any proposed legislation was defeated, based on a debate which was in opposition to the discussion paper initiative. The Chiefs stated that the process which led to the discussion paper and which was proposed for legislative drafting was not sufficiently inclusive.

The UBCIC has now made clear to our members, and we wish to make it clear to you and to your Government, that the UBCIC has withdrawn from the legislative initiative based on the discussion paper. We will continue to attend the Regional Forums and other community meetings as observers, to witness and listen to the concerns of the community membership and leaders. UBCIC also continues to support the spirit and intent of the Leadership Accord, and all other initiatives attached to this collective effort, including the Forestry Council, Fisheries Council, Economic Development Council, Energy and Mining Council, Children and Family Wellness Council and Health Council.

We will now consider all options for the implementation of the New Relationship at the upcoming All Chiefs forum in August, and the UBCIC General Assembly scheduled for mid-September. Make no mistake; the UBCIC shall continue to utilize all means to achieve a just resolution of the Land Question in B.C.

Over the summer, we ask you to consider solutions so that we might have success in our future conversations. The problem which has been expressed many times in discussions about the discussion paper is a widespread distrust of the Province. This has been said a number of ways – but what is disturbing, even enraging, to those who raise this concern, is the Province’s inability or unwillingness to substantively change from status quo behaviour, especially since 2005. First Nation leaders point out correctly that while there are systemic shifts that might best be achieved through legislation, legislation is not needed for the Province to change its conduct, by providing different honourable recognition-based negotiation and litigation mandates consistent with the New Relationship Vision and decisions of the Courts. Outdated Provincial denial policies can give way today, to the policy expressed in the New Relationship. Engaging in discussions with the FNLC is not a substitute or reason for the Province to delay. New opportunities for reconciliation must emerge. First Nations are waiting for the Province to engage with them respecting Aboriginal title, including our laws and jurisdictions, sharing lands and resources and revenue and benefits derived from our lands and resources, and addressing past and ongoing interferences. The Province should have taken such actions a century ago, and there is no honourable basis for not doing so today.

Sincerely,

Grand Chief Stewart Phillip

President

Wednesday, July 29, 2009

Is running B.C. Ferries really a $940,000 a year job?

The provincial government announced a review of the operations of B.C. Ferries and TransLink yesterday.
If you're wondering about the timing, Jordan Bateman at langleypolitics.com notes that the ferry corporation filed its report on executive compensation this week, revealing CEO David Hahn received $940,000 in base bay and bonuses, plus another $96,000 in pension contributions. The pay was approved by the board, which is appointed by the government. Read Hansen's comments and the details here.

Tuesday, July 28, 2009

The Liberal campaign and a sick democracy

Is this really democracy?
The whole election process now looks like a sham. The Liberals rejected a harmonized sales tax during the campaign, less then three months ago.
Not part of their plans, period. The association that represents restaurant owners asked all parties about the harmonized tax prior to the election.
The Liberals said the tax would cover too many items that were currently tax-exempt and prevent future sales tax changes. It was not of their plans.
And then, with no consultation, it was announced last week. Anyone who voted for the Liberals on the basis of that commitment has been played for a sap.
There is actually much to recommend the tax change.
But in a real democracy, a party would make those arguments and let the voters decide.
Not in B.C.
The Liberals pledged during the campaign that the deficit this fiscal year would not be more than the $495 million forecast in the February budget.
Gordon Campbell and Colin Hansen both committed, less than three months ago, to that number. You could believe the budget, they said.
The claims were ridiculous. Every economist and analyst - and anyone who looked at the budget - knew the deficit would be much, much larger.
After the election, Campbell revealed the deficit would be much larger. The explanation - that income and corporate tax transfers from the federal government were lower than expected - was ludicrous.
Almost all the main assumptions underlying the budget - housing starts, natural gas prices, economic growth, welfare rolls - were overly optimistic. Within hours of the budget, independent analysts were saying the deficit would be much larger.
The NDP was complicit in this scam. Carole James unveiled a platform and spending plan based on the Liberals’ budget assumptions. The New Democrats said they had to accept the forecast. It was also politically safer to build a budget based on optimistic numbers than to face reality. (Though straight talk might have had advantages. If one in 30 non-voters had been inspired by an honest NDP plan, the party could have been in government now. Or, of course, the plan could have cost the party existing support.)
Back to the Liberal campaign’s distance from reality. They left the door open for cuts to programs and services, but didn’t say which ones would be chopped.
Campbell did pledge that health care and education would be protected.
Less than three months later, health care is being cut significantly. Here on Vancouver Island, the health authority plans to do five per cent fewer surgeries to save money. That means 3,160 people who would have been helped by surgery in the 12 months will now wait.
The story is similar in other health authorities where cuts are being made to the number of patients treated and the level of care.
A politician could try to make the case that it makes fiscal sense to deny timely treatment. When government revenues are down, people should expect a lower standard of health care.
But the Liberals did not make that case. Campbell promised to protect health care, and then didn’t.
You have to wonder about all those MLAs, who ran on platforms that have now been abandoned. They told people in their communities what would happen if their party formed government.
It was not true. They misled the voters.
It adds up to a grim scenario. About 51 per cent of eligible voters cast ballots in May and about 24 per cent of eligible voters supported the Liberals.
They were supporting a $495-million deficit, no health cuts, no new sales tax.
None of those are part of the Liberals’ real plans.
The election wasn’t really about policies or platforms. It was about electing a dictator or, at least, a leader who would do much as he chose for the next four years.
That’s a form of democracy. But not the one Canadians have been promised.
Footnote: Hansen says the Liberals didn’t scam voters on the HST. The new tax was “not on our radar” during the election campaign, he said. (Although Ontario had introduced the same tax earlier in the spring.) It defies reason to claim that the government suddenly looked around and noticed the need to make a huge shift in tax burden from business to consumers.

Friday, July 24, 2009

The HST, Gordon Campbell and the Clark government

The "harmonized tax" plan makes me wonder if the Campbell government has lost its way.
It's not the plan's substance, in fact, though there a lot of questions about the costs and benefits for different groops.
It's the way Gordon Campbell, with no warning or consultation, imposed a major tax change. The new tax system will shift taxes from business to individuals. Some industries will win and some - like the restaurant business - will lose.
The tax plan wasn't mentioned in the election campaign three months ago. There have been no discussion papers or reports. The Liberals rejected calls for the harmonized tax and said the change wasn't on the agenda.
And then imposed it.
Here are the basics. Right now, individuals and businesses pay seven-per-cent provincial sales tax and five-per-cent federal GST on most goods and services they buy.
The federal government - and many business groups - would like to see one harmonized tax. Three provinces have already merged the GST and provincial sales tax - Newfoundland, New Brunswick and Nova Scotia.
Campbell proposes to follow them with a 12-per-cent merged GST and PST, effective next July 1. The tax will go to Ottawa, and B.C. will be sent its share.
But that's just the start. Businesses can deduct GST they pay from their tax bill. Now they will be able to deduct PST as well, as it is included in the harmonized tax.
That will save them - and cost the government - about $1.9 billion in what had been provincial sales tax. That's a 37-per-cent drop in PST revenue.
But Campbell said the change would be revenue neutral. The overall money coming into government, needed to pay for schools and hospitals, would not go down.
Which means someone else is going to have to pay the $1.9 billion that business will be saving.
Most likely you. The new tax will apply to a long list of things that you didn't pay PST on. Heating oil and natural gas, cable and telephone, restaurant meals and non-prescription medicine. Movie and airline tickets and real estate commissions and dry cleaning and new house prices. You get the picture.
The theory is that while you will pay more in taxes, the companies will pass on their tax savings to you. It will work out.
Uh-uh.
There are benefits. Companies say that filing one sales tax return will cut their costs.
The federal government will give the province $1.6 billion for making the change, part of a national incentive plan.
And Campbell said that as other provinces give tax breaks to business in this way, B.C. had to follow.
The three Atlantic provinces aren't significant. But Ontario is proposing a harmonized tax for July 1, 2010 - the date B.C. now proposes to introduce its version.
Ontario's approach is strikingly different. Premier Dalton McGuinty started talking about the harmonized tax in January. The proposal was set out in the budget in March, with reports on the effects on business and families. The government pledged to use the federal incentive payment to cushion the impact of the change - most families would get transitional payments of $1,000 - and to exempt many goods. It also pledged to help affected industry sectors - tourism, for example would get an extra $40 million a year for marketing efforts.
Even the language was different. McGuinty's budget said the tax changes would be made "pending legislative approval and Ontario and Canada signing a tax co-ordination agreement."
Campbell presented a done deal. MLAs, both Liberal and New Democrats, might as well be cardboard cutouts. The public's views were not of any interest.
Campbell said the harmonized tax issue wasn't even on the radar for him at the time of the election campaign. Odd, since Ontario had announced its intention before that.
So, in a little over two months, the premier noticed tax harmonization and worked out a whole plan.
It reminds me of the last couple of years of the Glen Clark government. Too much certainty, too little planning, too bold enthusiasms and too little interest in the views of anyone outside the inner circle.
And that, we know, ended in tears.

Thursday, July 23, 2009

Rolling the GST and PST into one tax

Gordon Campbell and Colin Hansen left a lot of questions with the announcement of a Harmonized Sales Tax that would - mostly - combine the GST and PST into one 12-per-cent tax.
It's the kind of big change that could have been debated during the election campaign, except it wasn't on the radar for him three months ago, Campbell said. (Which raises questions about how well the details have been thought through.)
It also could have been useful to invite public comments on such a sweeping tax change.
There are benefits and drawbacks, which I'll write about once there is a little more information.
For now, there are more questions. For example, the premier says the change will reduce sales taxes for business by about $1.9 billion.
And he says the change overall will be - more or less - revenue neutral.
So who is going to pay $1.9 billion more to make up for the cut for business?
More to come. . .

Latest secret cuts hurt those who most need help

It seems bad public policy - even dumb and destructive - to cut supports that help people get off welfare and into jobs just as more people are being forced onto income assistance.
Or to cut efforts to improve literacy, one of Gordon Campbell's "five great goals" of 2005.
But those are among the measures the provincial government has chosen to deal with its botched budget.
The NDP released leaked documents this month that show the government knew in early June that its income assistance caseload projections were wildly inaccurate.
The budget was based on the assumption that 112,000 people would be on welfare by the next fiscal year; the documents show the caseload is now expected to "to peak at 147,000 in June 2010."
That's 24 per cent higher than the forecast, an increase that represents suffering for individuals and families and a $100-million budget overrun. (The revelation comes after the government's public affairs bureau intervened to suppress the regular monthly release of income assistance caseloads during the election campaign. The statistics - which were released during the last two campaigns - would have showed a 50 per cent jump in the number of employable people on income assistance in just six months.)
The documents also reveal the government is attempting to deal with its errors by cutting needed services.
A June 5 memo announced an immediate freeze on "direct purchase" funding for people on income assistance. That's a ministry program intended to help people on welfare find and keep work.
In areas where there is no contractor supplying employment programs to government, for example, income assistance workers have been able to approve job readiness training for clients who were capable and keen to work, but needed help.
Direct payments were also available for literacy training for people on income assistance and to cover small costs like textbooks and transportation. They were used to cover high school level upgrading courses for people whose lack of education was preventing them from finding work.
And in all cases, funding was only available if the person on welfare had demonstrated commitment, motivation and ability in the hunt for a job.
What sensible person could think these cuts make sense?
Income assistance rates are desperately low in B.C. A single person who is considered employable receives $375 a month for shelter and $235 a month for every other expense - that's less than $8 a day for food, transportation, clothes and everything else.
Which leaves no money for the basics required for job hunting. Direct payments were the solution, a small amount of money available to provide needed help in making the transition from welfare to work.
Cutting it is cruel, of course.
It's also foolish. Helping people off income assistance reduces the long-term costs substantially.
And as Campbell has noted, the longer a person is on income assistance the greater difficulty they have in escaping.
The literacy cuts show a similar short-sightedness.
Last year, the government announced funding for 16 regional literacy co-ordinators.
Advanced Education Minister Murray Coell said the co-ordinators would help make improvements urged by the auditor general. "Regions are often faced with challenges matching up people with the programs and services they need and making all the various literacy programs work together efficiently," Coell said.
Now the jobs are being cut to try to keep the deficit down.
It's an odd approach for a government that has identified literacy as a key to the province's future - and the need for economic stimulus. Firing people and weakening the literacy effort hardly accomplishes either goal.
Add in the news - revealed by Sean Holman at publiceyeonline.com - that libraries across the province face funding cuts and reports that support for university and college students is being chopped, and a pattern is emerging.
The greater worry is that these cuts are just symptoms of rushed, arbitrary and ill-considered efforts to slash programs and jobs across government at great cost to people and communities now, and the province's future.
Footnote: None of these cuts are being announced publicly. The government is proceeding by stealth - a great contrast to the flood of pre-election announcements of tiny funding programs and a betrayal of commitments to "openness and accountability."

Wednesday, July 22, 2009

Reconciliation act is dead on the vine - what next?

The provincial government had high hopes its proposed recognition and reconciliation act would bring "seismic change" to relations with First Nations in the province.
But the plan has collapsed in the face of native concerns, as this memo shows, and its back to the drawing board.


July 14, 2009

Dear UBCIC Chiefs Council,

Re: Proposed Recognition and Reconciliation Legislation Process-to-Date and Next Steps

The UBCIC Executive takes this opportunity to provide an update regarding the proposed Recognition and Reconciliation Legislation.

The legislative initiative was a step which the UBCIC, First Nations Summit and BCAFN mandated the FNLC to advance with the Province, designed to compel the Province to implement commitments contained in the New Relationship (2005), including to recognize Aboriginal title and rights, to respect First Nations' laws and responsibilities, to reconcile Aboriginal and Crown titles and jurisdictions, and to close the socio-economic gap through agreements about revenue and benefit sharing.

In February 2009, a "Discussion Paper on Instructions for Implementing the New Relationship" (the "Discussion Paper") was released to generate dialogue on the proposed legislative initiative. A series of regional sessions and community visits to explore the content of the Discussion Paper have been held with First Nations across the Province, and these are continuing.

In many ways, the first several community/Tribal group visits represented a 'test drive' of the original discussion paper. Based on the feedback, it is clear that many concepts expressed in the Discussion Paper are unacceptable. Concerns have been raised, including that 'reconstitution' will interfere with self-determination; that the Indigenous Nation Commission could become another bureaucracy; that there is risk of including Aboriginal title recognition in legislation which also recognizes Crown title in any form; that the nature, scope and substance of the title being recognized will weaken the title recognition within s. 35. We have heard questions raised whether the Province has jurisdiction to pass such legislation, and doubts expressed whether they will implement it. Questions have also been raised about the absence of Canada.

We have also heard expressed the opportunities which title recognition could bring. Consistently we heard the message, "we generally accept and support the concept of the need to achieve recognition, but not in its current form". In other words, not as currently articulated in the original Discussion Paper. The Discussion Paper has done its job, but it has now become an impediment to carrying forward a constructive and productive dialogue.

Consequently, on June 25th, the FNLC made a decision to 'set aside' the discussion paper to provide the space and opportunity to carry on an inclusive and cohesive dialogue. The Recognition Working Group ("RWG"), who had been instructed to develop with the Province language that might serve as detailed instructions to legislative drafters, has been directed to stop that work and not engage in any legislative drafting.

We believe our decision has significantly improved the tone of our dialogue; both politically and legally. When we finalize our Regional and community sessions, we will be in a position to deliver a summary report to the delegates of a Provincial-wide meeting at the end of August.

We welcome the formation of a lawyers' caucus comprised of First Nations' lawyers who wish to participate, who are working together to prepare other options for consideration at the All Chiefs' Assembly this summer.

We are at an important time in answering the land question. We have an opportunity unlike any other in our history. The Province has been compelled through law and politics to agree to recognition of title. We must use this opportunity well. Through recognition legislation or other initiatives, we must now compel the provincial government and every civil servant to act based on recognition and not denial of Aboriginal title. Now it is time to listen to our communities. We believe we will be given clear direction in terms of a 'forward looking' mandate when we next meet.

United we stand; divided we perish. We will work together to identify consensus for the steps we will collectively take together.

Sincerely,

Grand Chief Stewart Phillip
President

Chief Robert Shintah
Vice-President

Chief Robert Chamberlin
Secretary-Treasurer

Tuesday, July 21, 2009

The uranium file

Although professionally predisposed to have an opinion on anything, I'm uncertain on uranium mining. If global warming is a real issue, nuclear power beats coal-fired plants. And without uranium, you can't nuclear power.
The provincial government is more certain. It has taken two shots at discouraging development of potentially significant deposits, in part because they're in the Okanagan. People don't want to retire to uranium country.
New junior minister for mines Randy Hawes told Sean Holman, on CFAX 1070's Public Eye, that the public doesn't want uranium mining and the government accepts that. Hawes refused an invitation to see Saskatchan's uranium mines.
Meanwhile, a second mining company has sued the government over the pre-election uranium mining ban, arguing their rights were expropriated and they are owed compensation.

E-mails might, finally, move B.C. Rail case forward

Slowly — so slowly — British Columbians might be moving closer to some answers in the B.C. Rail corruption case.
It’s been a dismal performance from the courts and the politicians. More than five years after police raided legislature officers and talked about the long reach of organized crime, the affair hangs over the government and the three accused.
That might change with B.C. Supreme Court Justice Elizabeth Bennett’s ruling that the government must produce e-mails from Premier Gordon Campbell and a clutch of current and former cabinet ministers and their staff.
Or it might sink the whole affair even deeper into an ethical and legal quagmire.
We’ll find that out, perhaps, Aug. 17. That’s when the government’s lawyer will tell the court whether the e-mails exist, or if some or all have been destroyed. (An astonishing number of lawyers — all taxpayer-funded — are involved in the case. Costs have been estimated at more than $10 million and counting.)
The government’s story has been changing.
Last month, its lawyer introduced a deposition from an official saying the e-mails from 2002 to 2005 and all backups had been erased.
That appeared to violate government policy, which calls for records to be kept for seven years. (Transitory e-mails — like a message confirming a lunch date — are exempted.)
Last week, the government offered a new deposition from the same officials saying that at least some of the relevant e-mails had existed but were ordered destroyed in May, during the election campaign.
If true, that’s serious on several levels.
First, destroying evidence is a criminal offence. The relevance of the e-mails to the trial should have been obvious since the raids. It was certainly clear once the defence lawyers asked for the documents in 2007. The RCMP has already been asked to review the information to see if an investigation is warranted.
Second, if the evidence is gone, defence lawyers have a reasonable argument that the charges should be dismissed due to the government’s abuse of the process. That would leave the questions unanswered.
Third, the government would face a political crisis. Campbell has pledged complete openness and co-operation with the investigation since the days after the raid.
Barring some remarkable explanation — I can’t even think of an example — the destruction of the e-mails being sought by the court would look like a cover-up. And while governments can escape a great many failings and missteps, cover-ups tend to taint their reputations and relationships with the public permanently.
It’s a potentially toxic mess, stemming from the broken 2001 campaign promise not to sell B.C. Rail but spreading to include questions about the influence of well-connected Liberal insiders, the legitimacy of the bidding process and, now, the missing evidence.
The Crown is alleging Dave Basi, ministerial assistant to then finance minister Gary Collins, and Bob Virk, who held the same position with transport minister Judith Reid, accepted benefits from Omnitrax, one of the B.C. Rail bidders. In return, the Crown says, they provided inside information about the bidding process.
The defence denies that and says the two were actually acting on behalf of their political masters. The bidding was rigged all along to ensure CN got B.C. Rail, the defence alleges. The government wanted Omnitrax kept involved to preserve the appearance of a real bidding process. (CP Rail had dropped out because it believed the bidding process was unfair; a partner bidding with Omnitrax had pulled the plug for the same reason.)
And all of this, remember, after a promise by Campbell not to sell B.C. Rail.
It is a bizarre situation that two provincial elections have been held since the raids and allegations of corruption, with no answers for the public and only silence from the government.
And, if the e-mails have been destroyed and the case is thrown out, those answers might still be years away — particularly if the investigation into the destruction of evidence moves at the same halting pace.
Footnote: The NDP will undoubtedly seek a public inquiry if the case is thrown out. But Campbell has so far stonewalled on the case and the vanished e-mails. The tactic has worked and it’s unlikely that he would now accept an independent inquiry into the scandal.

Sunday, July 19, 2009

A dissident hero speaks for democracy

Not in China or Iran, but in Alberta, where a Conservative MLA has decided to put his constituents ahead of his party.
Party discipline is part of our system. Members of a party are supposed to share some broad principles and policies.
But they are not supposed to be robotic public boosters of their bosses reciting talking points written by staffers at the direction of the leader. They should not stand foolishly silent when government actions damage their own communities. (For example, like Liberal cabinet ministers Murray Coell and Ida Chong, when their government enriched a forest company while opening vast amounts of green space and protected land for development.)
Our system was based on MPs and MLAs having the power to dump a distant or inattentive leader; they have abandoned that power and chosen docility.
Except for this guy.

Saturday, July 18, 2009

The purposes of journalism

"The stenographers of power will always find work. As will the trumpeters of fame. I.F. Stone wrote not to create a sensation, or to promote himself (or his 'brand'), but to change the world." John Ibbitson quotes from D.D. Guttenplan's Stone biography in a review in today's Globe.

Friday, July 17, 2009

Health cuts unnecessary and a broken promise

The Campbell government has decided the province’s sick and injured should carry a chunk of the recession’s burden.
The health authorities - more than three months into the fiscal year - have been told to make $360 million in spending cuts.
They’re looking for administrative savings, of course.
But they are also planning layoffs, longer waits for surgery and cuts in acute and residential care.
The government has decided that keeping the deficit small is more important than maintaining health care at the current level. People should limp longer with their bad knees or wait longer for care.
Governments can do what they want. But we’ve just been through an election campaign. And the Liberals did not talk about reducing the level of health care in the interests of fiscal responsibility. (And the other parties and media, myself included, did not raise the issue effectively.)
Quite the contrary. They promised to protect health care.
Health Minister Kevin Falcon wrote to the health authorities Wednesday. (Or, more accurately, public affairs staff drafted a dozen versions of a letter really aimed at managing media coverage.)
After 535 words setting out all the great things had been done in the last few years, Falcon got to the point.
The authorities had submitted budgets based on maintaining care. The government wanted $360 million cut.
That’s a 3.5-per-cent cut. After years of funding shortfalls, the health authorities and hospitals have ground costs out of the system. There are always savings to be had — you can stop cutting the lawns, cut corners on cleaning costs or cancel travel.
But those won’t add up to $360 million.
Vancouver Coastal plans to reduce surgeries by three per cent and Fraser Health is cutting the number of elective surgeries and limiting MRIs.
The Interior Health Authority is looking at capping or reducing community care and making people wait longer for elective surgery. It’s also cutting jobs and freezing clinical hours. The Northern Health Authority is reducing nursing care.
The Vancouver Island Health Authority is putting off maintenance, freezing programs and plans to reduce “volumes of elective surgeries, procedures and diagnostics” to stay within the funding. (It also plans to sell off property to make up for the operating deficit, much like selling the furniture to pay the mortgage. The next payment comes, and then what?)
The authorities have acknowledged that care will suffer — fewer surgeries, for example, means people will wait longer. That sounds OK, unless you’re the one limping on a horribly painful kneee.
You could make the case for health cuts. The recession means less revenue for government. Why shouldn’t people accept reduced care?
But that is not what the Liberals promised during the campaign
So where is the mandate for reduced health care - longer waits for surgery, delays in tests to determine what treatment is, or isn’t, needed?
This is about $360 million. What would be wrong with an increase in MSP premiums — which are graduated to the ease the burden on low-income families — to make up the shortfall. For a singe person, all that would be needed would be a $12-per-month increase to maintain health care at last year’s level; for a four, about $3.50 a person a month.
We can afford it. Health care costs have been increasing faster than the overall inflation rate. But we’re older and the treatments have got slicker and more expensive. We still want them for our family members.
And health care remains a bargain. In 1995, health costs consumed about 6.6 of provincial GDP. Last year - 13 years on - it was seven per cent. There are cost pressures that have to be addressed in the coming years, but no crisis.
But, for whatever reasons, the government has decided that it’s time to go backwards on health care for British Columbians.
Footnote: The NDP challenged the timing of the announcement, accusing the Liberals of hiding the cuts until after the provincial election. The delay – whatever the cause – results in deeper cuts as savings must be found in the remaining months of the fiscal year.

Thursday, July 16, 2009

To steal a head, RailGate A-Go-Go.....Who Knew What When?

A useful look at the destruction of potential evidence in the B.C. Rail corruption trial is to be found here.
Come on. This can't be happening in an advanced democracy in 2009.

Tuesday, July 14, 2009

IHA chair thinks two-tier care just fine

The Interior Health Authority chair, responsible for an organization delivering care to 720,000 British Columbians, believes two-tier care should be allowed in Canada.
And he doesn't see why the health care system should be providing residential care for frail seniors who can't live on their own any longer.
You have to admire Norm Embree's candour in raising such radical positions.
And he made it clear he was expressing his personal opinions.
But it's hard to see how most people living in the interior could feel comfortable with Embree as the health authority chair.
There are some big challenges ahead for all the health authorities. Provincial funding isn't enough to meet the care needs. The five regional authorities have to cut $320 million.
Embree's comments raise doubts about his commitment to the basic values and functions of our health care system.
His opinions are legitimate, if extreme, contributions to the discussion on health care. But they raise questions, coming from a B.C. health care leader.
In an interview with Don Plant of the Kelowna Daily Courier, Embree said it might be time to abandon the principles of medicare and allow people to pay for faster, better care.
"We're already multi-tier - we already go to Washington for private care - why not have it here,'' he asked.
Embree, to his credit, took the same position a few days later in an interview with Robert Koopman of the Kamloops Daily News when the issue of two-tier care came up.
"I have no problem with it. We've had two tiers for years, but nobody wants to admit it," he said, citing the ability of patients to the U.S. for speedier treatment.
Not every could afford that, Embree acknowledged.
"That's the nature of two tier - if you can, you do it. If you can't you hang in there," he said. "I've got nothing philosophically against it. As long as we maintain universal access and portability, I've got no problems with it."
That's one view of health care.
The Canadian view, expressed in the Canada Health Act and B.C.'s Medicare Protection Act, has been that your income shouldn't determine the kind of health care you receive.
If two little girls are sick, each should get the same care. The fact that one had poor parents wouldn't put her at greater risk. Embree's approach would see the poor child "just hang in there."
Embree's views on residential care for seniors raise as many questions.
"The Canada Health Act doesn't say anything about providing housing for everyone," he said. "Now everyone expects the health-care system to provide a room and a place."
It's true. The Canada Health Act doesn't include residential care and intermediate level nursing home care in the category of covered services.
But more than 5,500 Interior residents are in residential care or assisted living beds. If providing that care is not considered part of the health system, how are they to afford the $4,500 a month for a private care home? Pensions are a fraction of that amount and savings would quickly be exhausted.
So what becomes of the people who can't care for themselves and need help with meals or medical care or bathing?
They get worse and worse, I suppose, until they are admitted to an acute care hospital bed. That's a far more costly option, poorer for the senior and those beds aren't available for the patients who need them. (Between 10 and 15 per cent of acute care beds are already occupied by people waiting for long-term care.)
Embree's comments follow Health Minister Kevin Falcon's musings about allowing two-tier care in an interview with the Vancouver Sun. He later said he only meant for non-essential treatment.
A full debate on health care is welcome. But it's hard to see how the public can have confidence on a government-appointed health authority board chair who doesn't support the most basic principle of Canadian health care.
Footnote: Kelowna radio station AM 1150 tried to find out what Falcon thought of Embree's comments. They were told the minister was not available for comment on the topic "today, tomorrow, next week or indefinitely."