Canadian government stays the course heading for a balanced budget in 2015

   Canada column for Sunday, March 24/13

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   THE CANADIAN REPORT

   (c) By Jim Fox

   The Canadian government will continue to practice restraint as it gets its fiscal house in order for a predicted balanced budget in two years.

   Finance Minister Jim Flaherty, in presenting the federal budget, said dramatic cuts to program expenses will continue as the government shuffles priorities and reallocates resources.

   The reward will be a balanced budget in 2015, the first since 2008, and just in time for the Conservatives to campaign on their achievement for an expected election that year.

   There are projections the deficit for the current fiscal year will be $25.9 billion, up from $21.1 billion projected by Flaherty in the budget a year ago.

   The government plans to revamp its job-skills training to better meet employers’ needs; promote manufacturing development; begin a renewed 10-year fund for infrastructure spending; reduce import tariffs on hockey equipment and baby clothing; and crack down on tax cheaters with offshore accounts.

   Canadians need to realize the government “will be a benign and silent partner in their enterprise, not an overbearing behemoth squeezing them at every turn,” Flaherty said.

Justin Trudeau headed for "coronation" by Liberals

   Canada column for Sunday, March 17/13

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   THE CANADIAN REPORT

   (c) By Jim Fox

   Justin Trudeau’s dream to one day succeed his late father, Pierre, as Canada’s prime minister appears to be moving a step closer.

   Montreal Member of Parliament (MP) Marc Garneau has dropped out of the Liberal leadership race to support Trudeau, 41, saying the outcome of the April 14 vote was “a fait accompli.”

   The former astronaut said a poll conducted by his campaign showed Trudeau with the endorsement of 72 percent of Liberals.

   Calling Trudeau the “overwhelming favorite,” Garneau was second with 15 percent support followed by Vancouver MP Joyce Murray at 7.4 percent and former Toronto MP Martha Hall Findlay with 5.2 percent.

   Garneau’s departure was a surprise to many as he said earlier a “coronation” of Trudeau was not in the party’s best interests.

   He also suggested that Trudeau lacked leadership credentials, experience and policy depth.

   Calling it “constructive” criticism, Garneau now says Trudeau has “risen to the occasion” and proved an unmatched ability to rally people to the party that dropped to third place in the Commons in the last election.

   Also in the race are David Bertschi, Martin Cauchon, Deborah Coyne and Karen McCrimmon.

Long lives Canada's appointed Senate: NDP bid to abolish fails

   Canada column for Sunday, March 10/13

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   THE CANADIAN REPORT

   (c) By Jim Fox

   A bid by the New Democratic Party to abolish Canada’s appointed Senate has failed in a 186-101 vote.

   Member of Parliament Craig Scott put forward the motion, calling it a “useless” body.

   He said Senators work in the upper chamber only an average of 56 days a year and are appointed virtually for life, able to serve until age 75.

   Known as the upper house of “sober second thought” to review government bills, the Senate has 105 members earning a base pay of about $132, 000 a year.

   Prime Minister Stephen Harper’s Conservative government “promised” to reform the Senate but in the last seven years has appointed 58 members, Scott said.

   Even if passed, abolition would require a constitutional amendment approved by the provincial governments.

   The New Democrats “know full well the provinces aren't going to abolish the Senate,” Harper said.

   The government’s proposed reforms would limit Senators’ terms to nine years and allow the provinces to hold elections to choose its members.

Audits underway for four Senators over expense claims

   Canada column for Sunday, March 3/13

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   THE CANADIAN REPORT

   (c) By Jim Fox

   Three Senators, including former TV news journalist Mike Duffy, continue to be investigated over alleged improper housing expense claims.

   Auditors are also examining the travel expense claims of former TV news broadcaster Pamela Wallin.

   A Senate board is investigating allegations three Senators who live in Ottawa were improperly claiming allowances meant to compensate those who keep a secondary residence there.

   The board has reviewed documents from all 98 Senators such as driver’s licenses, health cards and residency information on their income tax returns.

   It identified potential problems with the claims of three Senators – Duffy, Mac Harb and Patrick Brazeau, who was removed from the Conservative caucus after being arrested for assault.

   External auditors are now looking at their expenses while Duffy has volunteered to repay the $22,000-a-year allowance.

   A report shows Wallin, representing Saskatchewan, has claimed travel expenses of $321,000 since September 2010.

Canadians could forgo Florida trips over driver's permit law

   Canada column for Sunday, Feb. 24/13

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   THE CANADIAN REPORT

   (c) By Jim Fox

   There are indications many Canadians will forgo their March-break trips to Florida over a contentious new law that requires International Driver’s Permits (IDP).

   Even though Florida authorities say police won’t enforce the law that’s expected to be amended and requires the permits for all foreign drivers, including Canadians, that might not be enough.

   “Until the law is changed, we continue to recommend Canadians traveling to Florida should consider obtaining an IDP,” the Canadian Automobile Association (CAA) advises.

   Since the law “remains in effect,” there is “some uncertainty on how insurance companies and Florida car rental agencies will interpret the law,” it said.

   “Was going to go down for a trip next month driving but not now,” someone identified as “Rugby Norm” posted on the Toronto Star website.

   “Plain and simple, Florida obviously doesn't care about Canadians,” he wrote, adding that a trip to the Toronto Blue Jays’ spring training is also “off the list of to do now.”

   CAA offices have been packed with people buying the $25 international permits that supplement a provincial driver’s license.

   Florida Tourism officials are concerned over the law’s impact as Canadians are the state’s top international market with 3.1-million visitors in 2010.

Senator expelled, three others under investigation

   Canada column for Sunday, Feb. 17/13

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   THE CANADIAN REPORT

   (c) By Jim Fox

   Canada’s youngest Senator has been expelled from the upper chamber while three others face an investigation into their residency claims and expenses.

   Patrick Brazeau was removed from the Conservative caucus in the Senate by Prime Minister Stephen Harper after being arrested for domestic and sexual assault.

   There was criticism of Harper when he appointed Brazeau to the Senate in 2008 when he was 34 as he wanted to also continue as national chief of the Congress of Aboriginal Peoples.

   Brazeau has also been put on a paid leave of absence by the Senate until the criminal case is resolved but remains an independent member and keeps his annual salary of $132,000. In Canada’s non-elected Senate, members can serve to age 75.

   He has also been under scrutiny recently over allegations he was using an address other than his own in Gatineau, Quebec in order to receive a federal government housing allowance for his service in the Senate.

   As well, an external auditor has been asked to review the residency declarations of Brazeau and three other senators to determine where they actually live and if they qualify for the added benefits.

   The others are former television news journalists Mike Duffy and Pamela Wallin as well as former Member of Parliament Mac Harb.

Tariffs adding to higher prices Canadians pay for goods

   Canada column for Sunday, Feb. 10/13

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   THE CANADIAN REPORT

   (c) By Jim Fox

   Tariffs on imports are cited as one reason Canadians are paying on average 13 percent more for goods than their American neighbors even as the dollar is about equal with the U.S. currency.

   The Senate Finance Committee said while tariffs are just one factor in prices, they are something the government can do something about.

   “Canadians consumers are feeling ripped off,” said Senator Joseph Day, who chaired the eight-month study.

   Tariffs used to protect domestic businesses brought in $3.6 billion in revenue for the government in the last year and are being reviewed, Finance Minister Jim Flaherty said in calling for the Senate study.

   Price differences drive thousands of Canadians to cross the border to shop for groceries, clothing, buy gas and car parts as well as seek out a larger selection of goods.

   Also an issue is the economy of scale with Canada’s smaller marketplace, vast distances and higher wages and benefits.

   The report noted that a Lexus made in Cambridge, Ontario sells for $44,950 in Canada but only $40,950 in the U.S., including Hawaii. Books are routinely marked up, sometimes by up to 40 percent on some titles.