Sunday, September 20, 2009
Optics of Fibre - The Opdate
This sounds like an interesting new product. Our problem at the time was the provincial government's involvement in the deal. It essentially amounted to the Graham Liberals giving the big Bell phone company (headquarters in Toronto) a tax-payer funded grant along with a sweetheart contract for the government phone business.
Now the other shoes are starting to drop. Bell recently announced that the cost of this tax-payer subsidized service is going to be $100 per month for high-speed internet. Yowch!
We're sure the Premier can afford to spend more than $1,000 a year to be able to download YouTube videos, but it makes you wonder just how many actual New Brunswickers will actually be able to get this new service.
All Aboard the Feeling Good Train
We should of course be "feelin' good" about this news, but the involvement of NB Liquor in the deal raises more than a few red flags.
Our readers will recall the brilliant strategy of the Booze Bunker the last time they decided to open a new store, this one in Salisbury. Not only did they build a shop conveniently right off the Trans-Canada Highway but they have also decided to go head-to-head with an agency store just 5 minutes drive away.
What are the details on the train station deal and how much will beer buyers be on the hook for the new signature store in Fredericton?
So far the facts are sketchy, which always leads us to believe there must be more to the story. We know from public comments that they will be paying $23.50 per square foot for a 20 year lease. That's pretty pricy even for downtown Fredericton, but it's not outrageous.
Of course, a shrewd landlord will make his bucks on all the extras: fit-ups, escalator clauses, maintenance agreements, etc. Oh did we mention, the landlord is the Irving family?
We will leave the final comments to Sammy:
You work so hard just tryin' to make a livin'
Still you wind up on the losin' end
We don't want to leave the station without you
You'll have the best time that you'll ever spend
Economic Advice
Recently when they rolled out the typical report by an accounting firm stating that "the situation is worse than the last government would admit" (these reports are standard every time the government changes hands) Dexter also established a team of advisers on the economy.
And what a team - NBer Donald Savoie, APEC chair Elizabeth Beale, a former BMO Vice-President and a university economist.
Meanwhile back in New Brunswick - nothing.
No wait, that's not true. In March of this year Premier Graham held the first meeting of the Self-Sufficiency round table - a bi-partisan group of 36 New Brunswickers with the goal of making the province stronger and more prosperous.
The problem - it hasn't met since.
Guess we are going to solve our economic problems using photo-ops and not advice.
Tuesday, September 15, 2009
Off to the Races
At least that's what their latest scheme proposes to do. They are going to allocate 150 VLT machines worth of revenues to the NB Harness Racing Association, but only 25 of those machines will actually be at racing tracks. The rest will be ... in some other place.
In a recent article, otherwise competent Minister Jack Keir was trotted out to explain Graham-onomics. "It's not like it's new money that's being generated for them" was his explanation. He further explained that their goal is to make the horse racing industry sustainable, but also points out that the economics of horse racing already generates $20 million per year in activity. So why do they need the money?
In the meantime - the Graham Liberals announced last year they are cutting back on VLT machines in order to make room for the new casino being built in Moncton. Which machines are being cut? - you guessed it, the ones that are hosted by non-profit groups and small businesses across NB. Don't they have the same right to be sustainable too?
Tuesday, September 8, 2009
The Beer Bust
Actually, the official news release from Booze HQ said no such thing - but if you read between the lines it's there.
What the press flak from NB Liquor actually said was that they were "very pleased with these results". In August, the store brand beer generated about 1% of all beer sales. To put that into perspective, the booze corp sold 1 million (!!) cases of beer in August and 990,000 of those were NOT the Selection brand.
This despite the fact that you can't walk into a liquor store without tripping over the Selection Beer display.
So regardless of the fact that August share of sales were down over 60% from the initial launch, that is apparently one for the win column at the booze bunker.
They are even claiming that the $18.67 cases were the reason why beer sales have increased in New Brunswick. The problem with that analysis? When you take away the Selection numbers, beer sales were still up! So basically if they had done nothing they would still be making money. But we guess that's true of any monopoly.
Curiously absent from the presser was any mention of how sales affected border communities. You may recall that the whole reason given for entering into an untendered contract with Moosehead to produce Selection Beer was to compete with low prices in Quebec. Does anyone know what Selection sales were like in places like Edmundston and Campbellton?
Monday, July 27, 2009
Reduce, Reuse, Recycle?
As we have heard often lately from the Graham Liberals New Brunswick is in an economic crunch. We are experiencing a monster of a deficit this year ($750 million) and the future is not looking much brighter.
That's why, when TJ Burke announced he was stepping down from Cabinet last week, the Premier's reaction seemed so out of place.
With 21 Ministers the Graham Liberals already have one of the largest Cabinets in
We at the NB Conservative think that Burke's resignation as Environment Minister would have been an excellent opportunity to reduce the size of cabinet down to a more modest level.
Think of it this way - every Minister gets an extra $40,000 in salary, gets a special housing allowance in Fredericton, gets a vehicle allowance of about $500 per month, has to have an Executive Assistant and a Secretary hired to help them out, and so on and so forth. Maybe it all only adds up to an extra quarter of a million dollars a year - but shouldn't the Premier be leading the way when money is so tight?
License Plates
The Shawn Graham Liberals have recently rediscovered the economy is an issue. Several news releases and public statements over the past month have referred to their so-called 5-point plan to rescue New Brunswick.
So just out of curiosity - which one of the 5 points is the one that says now would be a good time to change the slogan on our license plates, thereby costing every person in New Brunswick an extra $25 bucks when they renew their vehicle registration?
And by the way - aren't these license plates made in Nova Scotia?
UPDATE: Yes, all our license plates are made by Waldale Manufacturing in Amherst Nova Scotia. Maybe helping their economy is the sixth point in the plan?