The Reminder is making its archives back to 2003 available on our website. Please note that, due to technical limitations, archive articles are presented without the usual formatting.
Provincial issues Ñ Year Three The Doer government is past the halfway point in its second term with at least two more years before the next election. Normally in Manitoba, the voters allow one party to form a government for two terms, then "toss the rascals out" and elect the opposition. Of course there have been exceptions Ñ the Sterling Lyon and Howard Pawley governments come to mind Ñ but Manitobans are unlike Saskatchewan voters and usually sour on an administration after eight or nine years. Some say this is healthy for the province, as it allows new people with new ideas to try new approaches to governing, and after eight years there are usually few new ideas from those in power, who start to hide behind the bureaucrats and refuse to allow change. What will be some of the opposition's approaches as the months wind down to the next provincial vote? The Crocus fiasco should be an issue with a lot of questions still not answered on the NDP government's overlooking the warning signs over the past three years. It is worth repeating that this was, or is, a labor venture fund supported by organized labor and the present government, with both groups appointing the board of directors who overlooked the problems, or were misled by the fund's administrators. An admission from former NDP Industry Minister Maryann Mihychuk in early June was that she said her department was working on legislation in 2002 and 2003 to improve accounting and reporting measures at Crocus, but that it never happened because a "high authority" in the cabinet would not agree. Mihychuck was obviously not one of Gary Doer's favourites as she soon lost that portfolio to former Frontier School Division employee Jim Rondeau, who had no business experience, and who claims he knew nothing of the Crocus problems. Mihychuck, readers may remember, quit the cabinet and her seat to run for mayor of Winnipeg Ñ a longshot at best Ñ but is now willing to testify in any Crocus inquiry. The opposition and both Winnipeg newspapers have been calling for an independent inquiry on Crocus, but the NDP have steadfastly refused even to release information about what they knew was happening with the fund. Industry critic John Loewen questioned the government on the fairness of using Crocus unit holder's money to pay the legal bills for the Board of Directors and administration in the upcoming class action legal suit and any other lawsuits. Loewen points out that the shareholders have already lost $60 million and shouldn't have to pay more. Of course the government does not want an independent inquiry, as they would take a sure hit on their actions, or lack of them, on the issue. Another would be, or should be, issue on the Crocus mess is the Provincial and Federal governments' agreements not to claw back the 30% tax credits the shareholders received. Part of the venture capital agreement is that you leave your money in for five or seven years, then you get your money back and keep the 30%. Guess who's money the 30% tax credit is? You are right Ñ it's the taxpayers! Allowing them to keep the 30% credit means we all take a major hit on the Crocus losses. The government's decision that "they have suffered enough" is heart warming, but also expands the losses. What will be interesting is the class action lawsuit, launched in July against the former directors and administrators but not against the government (too hard to prove and they have too many lawyers Ñ which is the obvious reason). A poll in Manitoba supposedly shows that those polled do not blame the NDP for their involvement in the scandal, and that they are not taking the hit from the public that Gary Doer predicted. The pollster claims that the government continues to dominate in the city of Winnipeg and predicts that Crocus will not be an issue in the next election, and that those supporting the Liberals are just "parking their votes" now and will vote for the NDP in two or three years. Those in opposition can take solace in the observation that pollsters are almost always wrong, and have been so for the past several elections. They have no more knowledge than you or I as to how voters will react in two or three years. As John Diefenbaker said many times: "Dogs know what to do with polls!" Another 'business type issue' that the opposition will surely use is the NDP's plans for expanding the Winnipeg Floodway. The expansion is financed by the three levels of government and is approved by all political parties, and particularly those Winnipeg residents in danger of Red River flood waters. The kicker is the pro-union stipulations that will add millions to the cost. Most companies bidding on the contracts are non-union but will have to pay union dues and hire union members as any new employees. They will also be required to contribute to pension and health benefit plans even if they don't have a union. The cost to non-union companies will be $2.91/hour to the three trust funds, with no guarantee the workers will receive any benefits. Opposition leader Stuart Murray claims the construction industry estimates these costs plus union dues will be $30-60 million of taxpayer's money. Murray charges that Doer is paying off his big union buddies and supporters and has written the Prime Minister at least twice to intervene as the Feds are paying a large share of the costs. Work on the Floodway expansion is just beginning, but watch for more and more rhetoric on this guaranteed election issue.
