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Monday, February 27, 2006

Curling Gold and National Pride in Newfoundland and Labrador

On Friday February 24th history was made when the Newfoundland and Labrador men’s rink captured curling gold for Canada. Many in the Province and throughout the Country watched with pride as Brad Gushue and the team from the St. John’s curling club captured Canada’s first ever gold medal in curling and the first gold medal of any kind for Canada’s newest Province.

I watched that game with the sort of pride I always feel when a Canadian team reaches for the podium, but this time there was something more, this time my feelings ran just a little bit deeper. This time it was the local boys who had brought it home.

As proud as I was at that moment I didn’t realize that it was even possible to experience an even stronger feeling of pride, not until those initial feelings were eclipsed a few short moments after the game was over.

Let me start by saying that the good folks at CBC Sports deserve a huge round of applause for their treatment of the moments immediately following the Gushue victory. The act of empathy, understanding and diplomacy they displayed during that time touched me and many others very deeply.

Yes Newfoundland and Labrador is indeed a Canadian Province and yes the win was indeed a Canadian win but when CBC Sports took it upon themselves to capture the moment by airing a full and uninterrupted rendition of the Newfoundland Anthem, “The Ode to Newfoundland” they displayed a depth of character the likes of which is not often seen. They also displayed a deep understanding of the Province’s culture and sense of history that should not be forgotten.

For many people across Canada it was perhaps the first time they had heard or even realized that Newfoundland had an Anthem of its own. It was this that started me thinking about our existence in the Canadian Dominion and about how little so many people across this great Country really know about us. Often Newfoundland and Labrador is viewed as the “poor little” province down East or simply the place where “those Newfies” come from. "Kiss da Cod" and grab some "Screech" bye's.

All too often many Canadians are unaware of the rich history and the feelings of pride this place invokes in its people.

Many in the Province, including myself, often debate our treatment at the hands of Ottawa. We talk of having our resources taken to supply smelters and mills “up along”. As a lightly populated Province we sometimes view the current program of equalization based on population as a stumbling block to self sufficiency and growth. We feel that we’ve been let down by the mismanagement that has resulted in the collapse of our fishery, which was the backbone of this place for so long, and we wonder why this Province always seem to take one step forward before taking two backward.

Today, after listening intently as the Ode to Newfoundland being played and upon recognizing the understanding exhibited by a network that cared enough to air the song right across the Country, I have to wonder if we haven’t been fighting the symptoms rather than the problem itself?

If we really examine it closely what it all boils down to is respect. That’s really the only thing any of us really wants isn’t it? Don’t we all want to hold our heads up high and simply know that the rest of Canada truly understands that this place is different? Not that it’s any better or worse than the other Provinces, it’s not that at all, simply that it’s different. I wonder if all aspects of our Canadian experience might not improve it we could simply achieve such a level of understanding.

YesCanada, we do have our own anthem, two in fact, since the Labrador portion of the Province also has a very beautiful one of its own. The reason we have an anthem is because up until the early 1930’s we were an independent Nation on an equal footing with Canada. North America was made up of 4 Countries, Canada, America, Mexico and Newfoundland.

Newfoundland and Labrador has its own dialects, words and phrases that are used nowhere else in the world. We have our own forms of art, music, songs, poetry and lore. We have a history that includes Norse visitors to our shores 500 years before other Europeans even knew North America existed.

During the time of sail we saw settlers and traders arrive on our shores from places like Spain, Portugal, England and France. When the Europeans arrived on U.S. shores onboard the Mayflower and began to settle in the area of Plymouth Rock it was Newfoundland merchants that they traded with for much needed supplies and which helped ensure their survival. While New York was little more than a muddy village St. John’s was a bustling sea port involved in world wide trade.

During the dawn of air travel our little corner of the North Atlantic made Newfoundland the cross roads of the world for international travel. During World War II thousands of allied aircraft built in the U.S. and Canada destined for the war in Europe, left from this place and when the first wireless signal reached across the globe ushering in the age of radio, television and wireless internet that signal was sent from this place.

We are a people that lost 10% of its population during World War I, a level of committment unmatched by any other Nation and we are a place that has seen natural or man made disasters touch our shores and our lives nearly every single year of our existence.

The Province has a culture of closeness and caring that sees the people of Canada’s poorest Province consistently rate as the highest per capita donors to charitable causes in the Country. We are a place where people are accepted for what they are, not what we expect them to be and we have a culture where the pursuit of wealth has, and always will, take a back seat to the nurturing of our family and friends.

People have survived in this sea swept outpost almost continuously for over 500 years and this could not have been accomplished without strength of character, a will to survive and the ability to pick up your neighbour when he’s down, all the while knowing that he will undoubtedly have to do the same thing for you one day.

Life in this place has not always been an easy one. Icy winter storms often rip through the North Atlantic and gale force winds can send merciless waves crashing through villages along its shores. The people have survived here for centuries and it is through this survival that a pride of place has grown in our people. Although life is often much easier today this sense of pride still exists. It flows through the veins of every Newfoundlander and Labradorean, from generation to generation, Father to son and from Mother to daughter.

Yes we are Canadian, but Newfoundlanders and Labradoreans are a people who also feel the same pride in their Province that most other people feel for their Country and I believe that is what we really want the rest of Canada to understand. I believe that if the people of Canada, and by extension the government of Canada itself, were to fully understand what makes this place so special to its people then everything else would begin to fall into place. Simply put, Newfoundland and Labrador is a unique and very special place with all of the trappings of a Nation but none of the power it needs to control its own destiny.

Former Federal MP and Tory Finance Minister John Crosby (Skipper John) once said, “You can always tell who the Newfoundlanders are in Heaven. They’re the ones who want to go home.”

Friday, February 24, 2006

Atlantic Rating on the Rise for Harper's Conservatives

With the new Conservative government having been in power for a few weeks already I thought we should take a quick look back at some of their election promises to Atlantic Canada in General and Newfoundland and Labrador in particular. During any election campaign I take all promises offered by those seeking gainful employment with the same Skepticism as I do the resume padding of a university graduate pounding the pavement. Having said that, it doesn’t mean I’m willing to forget what was promised and simply move on.

Some of the key promises made to this part of the Country during the winter election were included in a letter from Conservative leader Stephen Harper directly to Premier Danny Williams of Newfoundland and Labrador. The list was an extensive one but 5 major points spring immediately to mind.

  • Help with development of the Lower Churchill hydro project.
  • A federal move toward custodial management of fish stocks outside the 200 mile economic limit.
  • The placement of a 600+ armed forces contingent at the air base in Labrador.
  • Re-instatement of weather forecasting services at the Gander weather center.
  • Remove natural resource revenues from equalization calculations.

    In the case of assisting with the Lower Churchill hydro project the Conservative leader was a little evasive in his wording at the time around exactly what sort of help would or wouldn't be forthcoming. Having said that, since the Province is still reviewing proposals for development it hasn’t yet reached a point where local politicians are even ready to discuss the matter with Ottawa. I guess this one is still a wait and see situation and I will be one who indeed "waits and sees".

    Custodial Management of fish stocks is an issue that has all the ear marks of being addressed at least from a PR perspective. Nothing has outwardly been done to this point and it still remains to be seen if it ever will be, but all the signs are there. The new Fisheries Minister hails from Newfoundland and Labrador and has his finger on the pulse of fisheries issues in the region. Loyola Hearn has long been an advocate for custodial management and with the appointment of another Atlantic Canadian, Peter McKay, to the Foreign Affairs portfolio, the table is set. Hearn has also been quoted in the national press talking tough on the subject and is clearly sending a strong message to other nations. Time will tell on this one but it isn't dead at least.

    The placement of troops in Labrador appears not to have been forgotten in the bustle of ramping up in the new government. Just the other day during a visit to CFB Shearwater in N.S. the newly minted Defense Minister was pressed about stationing a 650 person rapid response team at that air base. His response to the press and politicians in attendance was simple. No. He stated in essence that contingents had been promised to Labrador and several other bases around the Country and unless someone could prove to him that this direction couldn’t work then that's what was going to happen. No playing for political points during that visit I guess.

    The reinstatement of weather services in Gander appears to be something that may be in the offing for next week. Representatives of Environment Canada including the Minister of Environment are expected in Gander next week to meet with local officials. It is believed they will announce the re-opening of the Gander weather office at that time.

    The last promise, removal of natural resource revenues from the calculation for equalization has not yet come to fruition however that’s to be expected. The implications of this promise are far reaching and will likely take time to implement and account for. The buzz is that the plan is still in place and since this promise was designed to help close the fiscal imbalance with the Provinces it’s unlikely Mr. Harper would even consider backing out of that one.

    So there you have it folks. Only a few weeks into the Conservative mandate, the House hasn't even come into session yet, and already we are seeing some movement on election promises made. Granted nothing solid has actually happened yet (though Gander may change that situation next week) but all signs are pointing in the right direction. If nothing else it’s a far cry from the Martin school of election promises.

    Does anyone remember the offshore oil revenue promises made by Paul Martin to Newfoundland and Labrador during the previous election? Of course you do and you probably also remember the ensuing battle between the Province and Ottawa simply to have that promise honored. Flags were stripped from flag poles, the Premier stormed out of meetings in the Nation’s capital and people in the Province were up in arms. The battle raged for months before Paul Martin was shamed into complying with his election promise and even then he used the accord agreement as a pawn to prop up his government in the House of Commons by hiding it inside an unpopular budget bill. I may have forgotten to do it at the time so I'd just like to take a second and personally thank Mr. Martin for that one.

    I hate to say it but this time around it seems almost anti-climactic. How much fun can a political junkie have if politicians insist on keeping their promises? I guess we’ll just have to bide our time and hang in there in the hope that sooner or later the guys (and gals) in Ottawa get complacent and start reverting to the old school approach. For the good of the Country let’s hope they don’t but somehow I suspect that if they think they’ve lulled us into a deep sleep then the old “ugly” attitudes will start to creep out once again.

    I think I'll keep these promises and others in mind over the coming months just to see if they are really acted upon. What else do I have to do while our political leaders are actually doing what they were elected to do? When complaining and throwing verbal bricks fails for lack of a target only dogged vigilance remains to keep me warm at night. Politics does indeed make strange bed fellows.

Thursday, February 23, 2006

Newfoundland and Labrador Premier to Spend $2 Billion in Oil Revenues

Ever since Newfoundland and Labrador Premier Danny Williams won a 2 billion dollar test of wills with former Prime Minister Paul Martin over offshore oil revenues last year many in the Province and in the halls of Parliament Hill have been wondering exactly how the Province would use those revenues. Would the Province, as the Premier initially said, be used to pay down debt and balance the Provincial budget or would Province squander the proceeds as governments the world over have done in the past when faced with a large influx of cash?

When the revenue agreement was reached it was settled that the 2 billion dollars received by the Province was in fact an up front payment on revenues due to the Province over the next 8 years and with this in mind the disbursement of the funds has been a critical issue for the Province. Earlier this week news finally hit the streets that a decision on how to make use of those dollars was finally in the offing.

It appears Premier Williams has decided to pour the lion’s share of the 2 billion into paying off a portion of the unfunded public sector pension plans. These plans, which include the retirement funds for teachers (who appear to be the primary beneficiary’s of this move), public employees and police officers, were essentially raped and looted by former governments during leaner times. The result of this looting was a fund that is set to be completely bankrupt by 2014, at a time when many baby boomers will be retiring.

The Province is currently staggering under the highest per capita debt in the Country, approximately 12 billion, which includes billions in unfunded pension liabilities. According to Premier Williams applying the cash, perhaps as much as 1.5 billion, to the pension funds and this will allow the Province to reap about 100 million per year in interest income in perpetuity plus another 40 to 60 million per year in borrowing savings. Those additional savings are expected as a result of the improved bond rating that is expected to follow the move.

In addition to the immediate savings outlined the province will save another estimated 150 million a year in pension costs that would arise 8 years down the road when government would be forced to pay pensions to retirees as a result of the collapse of their pension funds.

According to the board of trade, banking officials, bond rating agencies and others, including Federal officials involved in developing and managing transfer payment calculations, this is a good move for the Province and will provide benefits far after the 8 year timeframe the 2 billion dollars was intended to span, however some in the Province have different thoughts on the issue.

The leader of the official opposition Liberal party does not agree with the approach taken by government and would rather have seen a more diverse approach to the disbursement of the funds. Opposition leader Jim Bennett would rather the funds were divided between debt repayment on high interest loans, pension funding, infrastructure improvement and health care as well as in the hiring and deployment of new teaching staff.

According to Bennett, there are pressing needs in the Province that must be met and it’s “typical” of the Conservative government to focus solely on debt. In Bennett’s opinion the public won’t be pleased with the decision of government.

Some in Newfoundland and Labrador have speculated that Premier Williams would invest a portion of the funds in a Provincial buy out plan aimed at purchasing the Federal government’s 8% stake in the Hibernia oil field while others thought the money might go toward a Provincial stake in development of the Lower Churchill hydro development project. As things stand today, neither of these appears to be in the offing.

Over the coming days and weeks there will no doubt be much conversation and debate over government’s decision both pro and con. The truth of the matter is that regardless of how the money was utilized the decision would have had its proponents and its detractors. Either way it goes, the deal finally appears to be done.

Are there better ways the money could have been used, perhaps, I guess that depends on where you stand and what your “issue of the day” might be at any given time, but regardless of whether or not there might be a better investment (and I believe some other options could have been assessed) I for one see this as a strong, decisive and sound move. It’s a decision that can only help the Province going forward and I’m not so sure the public reaction expected by Liberal leader Jim Bennett will come to pass.

When you consider the stability and security this move will provide to many in the public service sector, the improvement in our bond ratings (read lower borrowing rates) and the guarantee of an extra 100 to 160 million a year in revenues (not counting the savings of over 150 million a year beginning in 2014) the decision can’t be that bad. If the Province has any intention of investing in Hibernia or the Lower Churchill or Spaghetti Factories for that matter then they can no doubt work out a way to do that through borrowing (at lower cost than we can borrow now) or through some sort of time managed payment arrangement. These options still exist.

In addition to the financial benefits of the plan there are two very big benefits I see coming from this decision. The first is the fact that Newfoundlanders and Labradoreans no longer have to worry about the government simply frittering and wasting the money away as might have been done by other leaders. The second, and perhaps just as important benefit, is that this government did not put the Province in a position where anyone in Ottawa or anywhere else in the Country will have any reason to continue under the mis-conception that Newfoundlanders and Labradoreans must be, “led by the hand”, or, “managed”, because they, “don’t know how to take care of themselves”.

I’ve thrown verbal “bricks” and “bouquets” at Premier Williams over the course of his mandate, today I toss a very big bouquet. My Mom always said, “Watch the nickels and dimes and the dollars will take care of themselves”. I’ll even go so far as to say that it’s likely his Mother and mine would have gotten along just fine if they had ever met over a cup of Tetley tea.