Category Archives: Business

Dave O’Connor gets the party started

It’s not that he’s perfectly fine with a global shortage of helium. In fact, his voice actually seems to rise at the mere mention.

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It’s just that Dave O’Connor, president of, arguably, Nova Scotia’s leading party-supply outfit, doesn’t let much get him down – something about tears of a clown, which would be bad for business.

In fact, over at Dartmouth-based Glow – where 35,000square feet of tables, chairs, tents, tablecloths, glasses, ribbons, streamers, signs, placards, and, when the season requires, costumes, beckon to celebrants of every disposition – business couldn’t be better.

That might be partly due to the worldwide growth over the past five years of the ‘instant party’, a social-media-driven phenomenon that now recognizes World Goth Day and International Talk Like Pirate Day alongside Christmas and Easter.

But O’Connor, who started the business 23 years ago and now employs as many as 150 people at various times of the year, prefers to explain his success as a combination of good, old-fashioned customer service and a buoyant, anything-goes attitude.

“We are a one-stop shop with five divisions,” says the Halifax Chamber of Commerce business leader award-winner (2018). “We do signs, games, parties, events, and Halloween. Hey, we’re on the cutting edge of bounce castles.”

Says one of the store’s Facebook friends: “Glow is the best place to go for balloon bouquets. We release balloons every year (into the air) and they are biodegradable.”

Until, of course, the helium runs out. Still, says O’Connor with typical élan: “If we have to, we’ll fix ‘em to sticks.”

For: Halifax Magazine, July 2019

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ROCKET MAN: Will Canso become the next Cape Canaveral?

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One bright, sunny day in the near future, the inhabitants of tiny Canso, Nova Scotia, might spy from their craggy shoreline a new vessel launching into the great wide open. This time, though, it won’t be a fishing boat they see, but a rocket carrying commercial satellites.

That’s because an unassuming, yet oddly garrulous, mechanical engineer from New Mexico has proclaimed that this, of all possible places in the world, is the perfect site on which to erect a commercial spaceport for Ukrainian-built, Yuzhnoye Cyclone-4M missiles; replete with a blast-off pad, a vehicle-handling complex, and mission control.

Meet Stephen Matier, a former NASA project manager who worked for 16 years at the White Sands Test Facility developing propulsion systems for the American Space Shuttle program. That’s another way of saying that while the president and CEO of something called Maritime Launch Services Ltd. (MLS) may be laughing, he isn’t kidding.

The Albuquerque native, who now resides in Halifax with his wife and two kids, has almost singlehandedly spearheaded the venture over the past three years. He’s met dozens of provincial and federal officials. He’s conducted myriad public meetings and given speeches to community and business groups. He’s completed and submitted environmental assessments and negotiated Crown land-use agreements.

He’s arranged about $210 million in private financing with international and Canadian investors to help vault his start-up company over the initial operational hurdles. He keeps a lid on the details; nevertheless, he reports in an email, “We are looking at a cross cut of equity, non-dilutive debt, [and] launch pre-sales, etc., for our entire needs to get to first launch. The specific split is, of course, fluid and we are under non-disclosure agreements at this point.”

Still, he adds, “My wife, Anne, and I have a lot riding on this in terms of investment, sweat equity and otherwise having transplanted our family here. We’ll be making some investment announcements [soon].”

Through it all, he has fought a pitched battle against critics who think his project, which received provisional environmental approval in June from the Nova Scotia government, is naïve, reckless, or both.

Chuck Black, one of the few journalists in Canada who cover the nation’s commercial space industry full time is somewhat more sympathetic, but only somewhat. “I’m really of two minds about this,” the editor of the Toronto-based Commercial Space Blog says. “In the first place, I appreciate what he’s facing.”

Black notes that the process involved in obtaining a launch licence in this country is cumbersome and primitive, compared with other jurisdictions, such as the United States and the European Union. In this context, he adds, “Matier’s company is putting in enough money at least to go through the process. That should help Canadian governments find out what they want and then, presumably, they’ll start licensing launch providers.”

On the other hand, Black observes, the basic Ukrainian missile technology MLS plans to employ is almost 20 years old. “I know about 100 commercial rocket companies around the world,” he says. “Some of them are really big, like Elon Musk’s SpaceX. Some of them are really small. About half of them are already using innovative technologies that have been developed within the last five years. But if MLS goes ahead, it would be like competing in the modern car market with new Studebakers.”

None of which seems to daunt Matier. His 2016 project description calls the Yuzhnoye Cyclone-4M rockets the “latest model,” “highly reliable,” and “proven.” If all goes as planned, perhaps as soon as 2021, he’s certain this technology, combined with his industriousness, will transform an unprepossessing spit at the eastern edge of the continent into the only facility of its kind in the country.

That raises the tantalizing possibility of Canso with barely 739 souls (where the average age is almost 50 and the median annual income is less than $24,000) becoming the next Cape Canaveral (with all the economic benefits that might accrue) in the hot, new race for private-sector ascendency over outer space. Not bad for a town where the only other claim to fame is the summertime Stan Rogers Folk Festival.

But that still raises the question: Why now and why, on Earth, here?

“I used to get that a lot,” the budding astropreneur says by phone during one of his frequent business trips. “Consider the old adage: location, location, location. I started several years ago by doing a study that looked at 14 potential venues —from Chiapas in Mexico to Newfoundland and Churchill, Manitoba; from Alaska to California and Virginia. And of all of them, Canso fulfills every criterion I had outlined.”

The coastal village’s remoteness (it faces the ocean on three sides, and only one road in and out connects it to civilization) is its greatest advantage. It’s an ideal spot, he explains, for ensuring optimal rocket trajectories and safeguarding people along the seaboard from the statistically minuscule risk of falling debris.

It’s surrounded by hundreds of hectares of leasable, publicly owned wilderness, some of which would be cost-effectively handy when the time comes to install launch pads, buildings, roads, power lines, and sewer systems. And despite its relative seclusion, Canso is relatively near major entrepôts such as Halifax’s airport and the Mulgrave Marine Terminal, both of which would be essential to the timely delivery of launch vehicles and associated equipment.

Finally, and perhaps most importantly, local support for the scheme seems to be growing. “You can’t do a damn thing without a community that stands solidly behind you,” Matier says.

Vernon Pitts, warden of the Municipality of Guysborough (which governs Canso) echoed the attitude of many area residents last summer when he declared in a letter to then-Nova Scotia Environment Minister Margaret Miller, “We look forward to . . .this project and encourage its expeditious review and approval. [It] has the potential to provide significant benefits to a region that has been greatly impacted by the collapse of the cod fishery in the 1990s.”

If there is something poignant about this sentiment, there’s also something concrete to it. This is not Matier’s first rodeo in the high frontier. As he told the House of Commons Finance Committee last fall, apart from his experience at NASA, “I have been an independent consultant working directly with the U.S. commercial space industry on building and licensing spaceports and working with launch vehicle operators from around the world.”

The Canso operation would reprise that approach by managing the lift-offs of as many as eight, medium-range orbital rockets a year, plus booking and processing the payloads of satellite providers. MLS would make its money as an “integrator” or middleman, charging fees for the services it renders.

As for the commercial marketplace’s appetite, Matier isn’t worried. He points to research by the Space Foundation, an unaffiliated think tank based in Colorado Springs, and others, which stipulate that revenues from the “global space economy” now approach $350 billion US annually. That represents yearly growth of about 15% since 2004, with most of the expansion having occurred after NASA retired the Space Shuttles in 2011.

The launch segment of the industry is currently struggling to meet burgeoning demand for mid-range rocket systems and operations. These are the work horses that provide frequent and cheap access to near-Earth orbit, which is crucial to modestly sized satellites designed to collect real-time, up-to-date information on just about everything. . .well. . . under the sun: From the layout of municipal street grids to the condition of residential roof tiles.

Into all of this, Matier expects, MLS and, of course, Canso will step. He’s loath to predict economic returns to his own company, but he has no problem outlining the potential boons to the town. “Our employment is probably going to be in the neighbourhood of 40 or 50 people,” he says. “So that would be plumbers, pipefitters, instrumentation technicians, and the like. They are the backbone of any facility like this. We will also have 24-7, 365 security services, as well as emergency response capabilities.”

He added in a recent email updating the project’s progress: “The community support has been great. They collected about 750 signatures in a petition in Canso, Hazel Hill and Little Dover, and it was tabled by MLA Hines [Guysborough-Eastern Shore-Tracadie] … before the legislature rose.”

Even so, not everyone in the province is sold. Following an initial assessment last July, Environment Minister Miller wrote back: “During the EA review, concerns were raised regarding the potential impacts of the project on: water resources, soil, air quality, noise, flora and fauna, fish and fish habitat, protected areas and parks, human health and contingency planning.

These concerns came up through public and Mi’kmaq submissions, plus submissions by Nova Scotia Environment, Nova Scotia Department of Lands and Forestry, Nova Scotia Department of Fisheries and Aquaculture, Environment and Climate Change Canada, Health Canada, Fisheries and Oceans Canada, and Department of National Defence.”

According to a CBC news report at the time, “In one of the 25 letters received, an Environment Department staffer wrote any spill of hazardous material from the site ‘would destroy the impacted ecosystems with no chance of recovery for the next several hundred years.’”

Another critic, writing in the opinion pages of the Halifax Chronicle-Herald, went further, calling into question MLS’s decision to manage rockets that use the propellant Unsymmetrical Dimethylhydrazine (UDMH), a known carcinogen.

“A launch failure at Canso would not in itself be of great concern—except for those 10 tonnes of UDMH within the upper stage [of the rocket],” British Columbia political scientist Michael Byers wrote. “The last UDMH-fuelled rocket launched from the United States was in 2005. European and Japanese launch providers have also switched to non-toxic fuels. Even China and Russia are replacing their UDMH-fuelled rockets with more modern, non-toxic alternatives.”

Matier says he addressed all concerns, dealing with each in a brick-sized tome he filed with the Environment Department in March. Here, for example, is only part of that 475-page document’s dissertation on UDMH: “The effect of unsymmetrical dimethylhydrazine on the human body is irritation of the mucous membranes of the eyes, respiratory tract and lungs, damage to the central nervous system, and damage to the digestive tract. Concentrations of 240 milligrams per cubic metres (mg/m3) is considered human-tolerated during exposures up to 10 minutes, and concentrations up to 120 mg/m3 for 30 minutes.”

Nevertheless, the report adds, “propellant spills would occur only in the event of malfunction of ground support equipment and/or personnel errors.” In the worst case, “the procedure of collection and neutralization in combination with personal protective equipment allows quick elimination of the spill with minimal risk of acute and chronic exposures.”

Even so, Matier assures, the probability of such an accident is vanishingly small. “Look,” he says, “we list 50 different launch pads in a dozen countries that still use UDMH, and the reason they do is that there is simply no replacement for it at this point in the technology. A forest fire is pretty scary, too. But that doesn’t mean we stop cooking or using our fireplaces. It all comes down to engineering controls. And that’s what I’ve done with my time for a whole career.”

For now, the provincial government seems to concur, although it requires MLS to reimburse Nova Scotia Environment as much as $100,000 a year for the public costs of monitoring its compliance. Says Matier in an email: “My. . .team was surprised [by this], but to me it is a measure of the uncertainty of them of embracing Canada’s first orbital satellite launch facility. It seems prudent and once we are up and operating, they should find that it might not be needed. We are or will produce almost everything they’ve asked for in the normal planning, design, development and operation of the launch site.”

For the time being, the oft-travelling engineer will spend most of his time filling out forms, answering questions, deflecting verbal barbs, and issuing occasional bromides to the bureaucrats and elected officials who hold the virtual launch codes of his ambitious undertaking. “We are now moving to complete the land lease application with Lands and Forestry as efficiently as possible,” he reports.

Sometimes, though, he does afford himself a few moments to imagine that bright, sunny day in the near future when he will watch, from tiny Canso town, the first rocket ship ever to launch into the great, wide open of Canada’s craggy, eastern shoreline.

Originally published in Halifax Magazine, June 27, 2019

 

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An Atlantic Canadian field guide to surviving recessions

The one thing Atlantic Canadians manage better than almost anything else is recession.

When the economic wind blows cold, we throw another log into the wood stove and cinch our collars.

When our spending money runs short, we whip out a tin of beans and tighten our belts.

When others across the country tremble at the mere thought of stock markets circling the drain, we cast a rueful eye to the storm clouds gathering on the near horizon and mutter, “Yeah, what else you got?”

Of course, we’ve had plenty of practice. Recessions – or weathering them – are kind of our thing. After all, two consecutive quarters of what experts call “negative growth” is, relatively speaking, a permanent way of life along the East Coast. It’s certainly no reason to panic.

But just tell that to the chattering class.

In times of yore, when the mighty wanted to know the shape of things to come, they would instruct an augur to read the entrails of a small animal. Today, they’re more likely to consult an economist.

Are we, in the western world, barrelling toward another recession?

Yup, says Martin Feldstein, a former chairman of the Council of Economic Advisers and a professor at Harvard University. “Ten years after the Great Recession’s onset, another long, deep downturn may soon roil the U.S. economy,” he wrote in a recent edition of the Wall Street Journal.

Maybe or maybe not, thinks The Toronto Star’s David Olive, who wrote this fall, “The Canadian financial system is among the world’s most stable. . .

But that is small comfort for Canadians. The global financial system is intimately interconnected. . .At all times, the world’s 300 or so biggest banks, including Canada’s Big Six, have enormous short-term loans outstanding to each other. Which means that the failure of just one giant financial institution could bring them all down.”

Anyone ready for a second helping of entrails?

Never mind. Here are some hard-won – if not exactly failsafe – tips for surviving the next recession in Atlantic Canada:

Avoid obvious and precarious flights of fancy. I once worked for a guy in the United States who truly believed that starting a magazine in the middle of a downturn was a grand idea. After all, there’d be no competition. Advertisers would surely flock to his venture, begging to spend their marketing budgets. The lesson learned? Don’t start a magazine in the middle of a downturn.

Still, don’t be afraid to embrace the big, wide world. If we have jobs, we should do everything we can to keep them. But if we don’t, because, well, we just don’t roll that way, we ought to double-down on our enterprising instincts. Is there a promising, new revenue stream just waiting for our particular talents and experiences? Are there two or three or even four? Indeed, when the world finally comes up for air again, our bank accounts will thank us.

Be pennywise, but not essentially miserly. It’s important to know the difference, which is sound advice even when good times roll. Ask ourselves whether the dollar we’re planning to spend will vanish like rain on a sun-caked riverbed, or germinate the seeds of new growth. We might take a course that will upgrade our suite of professional skills. But, unless the world’s supply of wicker suddenly dries up, we should ensure that course is not applied basket weaving.

Finally, float like a boat. If history teaches anything about Atlantic Canada it’s that periodic highs and lows in the regional economy are like Fundy tides: They come, they go, and there’s nothing we can do about them.

So, we throw another log on the fire. We crack open a tin of beans. We wait for the light.

Meanwhile, we manage.

We always do.

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HAL, are you out there?

To read press releases issued recently by federal and provincial government operatives, Atlantic Canada is poised to become the next North American hotbed of ‘artificial intelligence’. But does the reality live up to the billing?

The answer is as complex as a coding exercise. The phrases that come to mind are ‘maybe’, ‘not yet’ and, quite possibly, ‘no’. That’s a subtle ternary calculation that only human brains can, thus far, fathom (some more effectively than others, as evidenced by Donald Trump’s morning tweets on just about anything and everything).

Still, according to a recent piece in the Memorial University Gazette of St. John’s, NF/LA, Ottawa and that province’s investments will enable the institution “to undertake a three-year research initiative focused on. . .systems (which) teaches AI systems how to make decisions based on past experience and deep neural networks focused on learning about large data sets by creating AI based on the human brain.”

Added Dr. David Churchill, assistant professor in the department of computer science at Memorial: “Artificial intelligence at its core is about developing computer technologies that make intelligent decisions – to help us solve problems not only in academia, but in many industrial sectors as well. AI is predicted to become one of the largest economic sectors in the world, and I believe that establishing a state-of-the-art AI research lab at Memorial University will help promote innovation, motivate future students, and have long-term benefits for our province.”
That’s fair enough. I’m all for the type of innovation that will wean this region from the debilitating and downward spiral of our expectations. At the same time, though, the thoughfully sceptical among us must recognize that artificial intelligence is a denominator, not a numerator. And if you, dear reader, do not understand my point, then you have made mine.

The bottom number in a fraction (the denominator) will grow as AI technology receives increasingly more money). The top number (the numenator) must increase in tandem to extract maximum economic benefits from the largest number of people possible (experts who will apply their skills in this region to solve, in their own ways, innovation gaps, economic adversity and, ultimately, social dislocation).

Look at it this way: For every ten dollars invested in any form of AI innovation, you will need an equivalent number of professionals operating at top efficiency to produce one new job. In that event, what’s to stop the companies involved from moving to places where they might get 20 dollars of investment to produce two new jobs? Does this feel like a good deal?

Beyond economics, though, does AI acutally live up to its hype?

A wonderfully written piece, by Ian Bogost, in The Atlantic last March makes the following points:

“In science fiction, the promise or threat of artificial intelligence is tied to humans’ relationship to conscious machines. Whether it’s Terminators or Cylons or servants like the ‘Star Trek’ computer or the Star Wars droids, machines warrant the name AI when they become sentient – or at least self-aware enough to act with expertise, not to mention volition and surprise.

“What to make, then, of the explosion of supposed-AI in media, industry, and technology? Autonomous vehicles, for example. . .deploy a combination of sensors, data, and computation to perform the complex work of driving. But in most cases, the systems making claims to artificial intelligence aren’t sentient, self-aware, volitional, or even surprising. They’re just software.”

That’s right. And we are the wetware that created them. The question is only whether we remain the truly intelligent ones in our midst.

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The meaning of leadership

You can find them in all walks of life, in all fields of endeavour. They seem to walk taller, though not necessarily speak louder, than the rest of us. They rarely shout, but they always inspire through their deeds and words.

They are the leaders among us.

I was reminded of this while reading a short piece in the Telegraph-Journal about Scott McCain, owner of the Saint John Sea Dogs, who addressed his team before a recent play-off game in Windsor, Ontario.

According to team forward Bokondji Imama, “He told us that he was already proud of us and that we’ve had a hell of a season, so that kind of gave us back our confidence. He said that whatever happens, he’s always going to be proud of us and he’s always going to love us.”

Added team captain Spencer Smallman: “He came in and just wanted to reassure us that from a organization standpoint, he had full confidence in us. He definitely psyched the boys up. It means so much. He’s a powerful guy. He’s right at the top, and none of this would be possible without him. We’re very grateful for him, and to hear those words and see it in his eyes how confident he is us, I think the confidence spread through the room.”

I know Scott McCain personally, and he has always struck me as a natural leader. But are leaders born or made? As U.S. business consultant Erica Andersen wrote in Forbes Magazine a few years ago, “What I’ve learned by observing thousands of people in business over the past 30 years, though, is that – like most things – leadership capability falls along a bell curve.  Some people are, indeed, born leaders.These folks at the top of the leadership bell curve start out very good, and tend to get even better as they go along. Then there are the folks at the bottom of the curve: that bottom 10-15 per cent of people who, no matter how hard they try, simply aren’t ever going to be very good leaders. They just don’t have the innate wiring.

“Then there’s the big middle of the curve, where the vast majority of us live. And that’s where the real potential for ‘made’ leaders lies. It’s what most of my interviewers assume isn’t true – when, in fact, it is: Most folks who start out with a modicum of innate leadership capability can actually become very good, even great leaders.”

This must be indisputably good news for New Brunswick and the rest of the Atlantic Provinces. It’s doubtful there’s ever been a time in the recent past of this region when good leaders have been in heavier demand. And the possibility that most of us, given the chance and under the right circumstances, can become the heroes of our lives is, frankly, comforting.

So then, what shall our leadership qualities look like? Think about Donald Trump’s nest of psychological predilections and reverse them.

Good leaders are not narcissists. They are empathizers, because to motivate people, they must understand what makes others tick.

Good leaders are not bullies. They are negotiators, because to get anything done well, they must inspire, not threaten or cajole.

Then there’s the usual shopping list of characteristics business magazines and related websites are fond of trotting out: honesty, confidence, the ability to delegate chores, passion, a sense of innovation, integrity, authenticity, patience, open-mindedness, determination, decisiveness.

We can observe genuine leaders in all sectors of our society – government, education, health care, the arts, business.

Just take some time and look closely.

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More pennies from heaven

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Federal budgets are primarily for journalists, pundits, lobbyists, think tankers, and other assorted members of the chattering class. I should know. I’ve been covering fiscal updates, in one form or another since my first ‘lock-up’ during the years Brian Mulroney occupied the democratic ‘throne’ of this country.

In those days, back in the 1980s, information from the ‘Centre’ was sparse, though the actual documents released were voluminous. Enlightenment was rare, though analysis (both for and against) was incessant. Alas, nothing has changed, lo these many decades later.

For New Brunswick, depending on who’s talking, the Trudeau government’s second (2017) budget, unveiled last week, is either the best thing on three wheels or an unmitigated car wreck.

“New Brunswick Finance Minister Cathy Rogers said Wednesday evening she had only had a chance to review highlights of the budget, but was ‘thrilled with what I see so far,’” the CBC reported. “‘I see that the federal government’s priorities line up very well with New Brunswick’s priorities,’ said Rogers. (She) cited federal investments in skills development, innovation, temporary foreign workers, and assistance to families for child care as some of the federal initiatives the Gallant government is also targeting.”

Beausejour MP Dominic LeBlanc, who is also the federal government’s minister of fisheries, went further in an interview with the Telegraph-Journal: “There is very significant money available in this budget for green infrastructure, climate change adaptation, and there’s money to help provinces and electrical utilities get off coal-fired electricity by 2030. So, New Brunswick’s push for clean energy and green technology will find in the budget a very willing partner.”

I think, though I’m not quite sure, the appropriate response is: balderdash! Oh yes, on second thought, that is the word: balderdash! The very notion that Ms. Rogers or Mr. LeBlanc had only light acquaintance with the contents of this underwhelming document before it was announced is absurd.

The federal government deserves plenty of plaudits for its plan to spend more money on early childhood education, adult skills development and, presciently enough, innovation. The budget speech says this about each of those investment areas: “The Innovation and Skills Plan is an ambitious effort to make Canada a world leading centre for innovation, to help create more good, well-paying jobs, and help strengthen and grow the middle class. . .Young Canadians will be the ones who drive the future growth of Canada’s economy – yet too many struggle to complete the education they need to succeed now, and in the future.

Still, the problem, as always, devolves to the provincial response, which invariably involves matching funds for programs. To date, there is no way, anywhere in this country, to control or focus local spending on much-needed social initiatives without throwing entire communities into the spin-washer of deficit and debt. Grand gestures from Ottawa are fine, but they usually fail to account for the on-the-ground, shovel-unready costs of execution. Who ultimately pays? You know the answer. And so do I.

Ideally, a competent, grown-up federal budget would eschew the fine rhetoric of ‘building’ and ‘exploring’ and ‘expanding’ in favour of the harder truth much of the country now faces: We’re dead broke. That means targeting. No more yakking about ‘willing partners’ and “thrilled” to be seeing ya’. Decide, for once, whether an imperfect, but perfectly serviceable, highway needs to be reconstructed from scratch or an urgently required early childhood education program deserves to be redesigned from bottom to top.

Take a page from the past, journalists, pundits, lobbyists, think tankers, and other assorted members of the chattering class, including politicians, and grow up.

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Death and taxes

DSC_0180It’s always heartening to see our tax dollars at work – even the ones we don’t owe. That’s why I don’t begrudge forking over a few more bucks to squeeze the odd mea culpa out of a hard-working civil servant in this province.

“With this matter of (property) assessments, Service New Brunswick has discovered 2,400 miscalculations, which it is now moving to correct,” that organization’s communications director Nichole Bowman informed the Telegraph-Journal earlier this week. “A new bill will be issued to all impacted property owners. (Those affected) will receive a letter flagging the problem by April 1 and an amended tax bill by June 1. They will have 30 days to request another review. Service New Brunswick apologizes to property owners for any inconvenience this has caused.”

What’s arguable, of course, is whether provincial assessors would have noticed the “miscalculations” in the normal execution of their public duties had a rising tide of public outrage and media coverage had not swept onto their doorsteps over the past couple of weeks.

“A CBC review of New Brunswick property tax records in six communities shows the provincial government billed 1,186 homeowners for property tax increases of more than 20 per cent this year, despite legislation that forbids increases above 10 per cent, plus the cost of new construction,” the public broadcaster reported yesterday. “It is more than 10 times the number of homeowners who got a tax increase that large last year.”

Consider poor Jamie Watling’s predicament. According to the CBC the Quispamsis man “saw his tax bill increase 32.9 per cent after the province raised his assessment $59,700. His renovation? Two $300 laundry room windows he installed himself on a Saturday last year. ‘I think our reaction was laughter,’ Watling said when he and his wife opened their tax bill. ‘We couldn’t believe it.’

By law, Watling’s tax bill can only increase $241 this year (10 per cent of last year’s bill) plus 1.28 per cent of the value of his two new windows.”

Still, before we mount our high horses, pitchforks in hand, it behoves us to remember this is not the first time residential property assessments in New Brunswick have been wonky, and it won’t be the last. The process nationwide, regardless of province, is anything but scientific. Just ask our fellow Canadians in Hog Town and La La Land.

Last year, the Toronto Star reported: “A blistering housing market has prompted a 30 per cent jump in residential property values over the last four years, according to the company that assesses real estate in the province.

City homeowners will receive assessment notices – their first since 2012 – from the Municipal Property Assessment Corp. (MPAC) beginning next week showing a 7.5 per cent annual increase in their property values.

“That’s above the 4.5 per cent provincial average, but lower than the double-digit increases in some 905-area communities such as Richmond Hill and Markham. The average assessed value for a single-family detached home in Toronto is $770,000, up about $200,000 on average from the last assessment in 2012. Toronto condo values increased on average to $363,000, about $35,000 higher than four years ago.”

Meanwhile, in Vancouver, according to the Globe and Mail two months ago, “Assessments for single-family detached houses jumped 30 per cent to 50 per cent in value from July 1, 2015, to July 1, 2016. For example, a typical detached home on a lot with a width of 33 feet (10 metres) on Vancouver’s west side soared 41 per cent in value.”

Oh well, what is it they say about death and taxes?

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Real action on climate change

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We can debate the merits of New Brunswick’s new climate action plan until we raise the amount of hot air in the atmosphere to dangerously toxic levels. But, in the end, we are forced – some of us kicking and screaming – to agree that as government proclamations go this is a pretty good one.

Sure, it lacks specificity on what to do with the coal-fired generating station at Belledune (apart from acknowledging a phase-out sometime between 2030 and 2040). And it makes no promises on precisely which form of carbon pricing scheme it intends to adopt (an outright tax or a cap-and-trade system).

But where it falls short in some areas, it compensates in others – a fact that has not escaped the attention of normally arch critics of the provincial Liberals. “The premier needed to go the first minister conference with a good pan in his pocket and he’s got it,” said David Coon, leader of the Green Party of New Brunswick, last week. “It’s a plan he can put on the table alongside the ones the premiers of Ontario, Quebec and Alberta have put together – it is in that league.”

Others, of curse, are not so sure. After all, no one in politics gets a free ride in the plaudits department. As Kevin Lacey, regional spokesperson of the Canadian Taxpayers Federation told the Telegraph-Journal, “No matter what mechanism they choose to price carbon, it will be borne by the average worker who will end up paying the costs. A carbon tax is another in along line of cash grabs by this government. First the HST hike and now this carbon tax will make it harder for working families already struggling to make ends meet.”

Still, the mantra of this government – and, now, every other across the land – is that greening the economy and economic development are not mutually exclusive concepts. As some costs and prices increase, new opportunities for business and job creation emerge. Says Premier Gallant in the statement that accompanied the plan last week: “This will help us combat climate change in a way that respects New Brunswick’s economy, challenges and opportunities.”

In fact, the document is refreshingly declarative on the subject of environmental relief and economic development. “The provincial government will design and implement a clean-technology acceleration strategy that: Builds on early-stage innovation research, development and demonstrations (RD&D); accelerates clean technology commercialization; fosters greater clean technology adoption; and enhances connections and collaboration between business market needs and research expertise to accelerate the development and use of clean, low-carbon technology solutions.”

It will also “Create the conditions for growth and job creation in the areas of clean technology, products and services related to climate change in all sectors such as housing, agriculture, forestry, manufacturing, energy efficiency, renewable energy, information technology and transportation.

It will “Support a culture of innovation to pursue economic opportunities presented by our changing climate such as tools and approaches to adaptation developed in New Brunswick that are marketable elsewhere.”

Meanwhile, it will “Work with the tourism and recreation sector to pursue new opportunities presented by our changing climate and to promote New Brunswick as a world class destination. . .(and) take advantage of the large financial opportunities that exist through reducing energy costs and the potential for reinvesting the savings into New Brunswick’s economy.”

Naturally, there will come a time when this government – should it persist into a second term – will be held to account for its promises of greener pastures and jobs. But for now, the plan to get us there appears both prudent and possible.

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It could be worse

At this time of year, in this region of the increasingly Great White North, we have a pernicious habit of wearing our worries on our sleeves.

Call it a somber reflection on the year that was or an anxious anticipation of the one that looms before us, but our moods rarely improve with the promise of winter’s darkening skies.

Our kids are still leaving for sunnier economic climes. Good, sustainable jobs continue to evade us. Our public debts and deficits persist in vexing us, though we haven’t the foggiest notion of how to settle them. Meanwhile, the pundits and prognosticators among us sally forth like so many members of a chorus in a Greek tragedy with whispers and whines of imminent doom.

But are our lives in the Atlantic Provinces really as awful as we imagine them to be? Think of those we’ve welcomed from other, sundered parts of the globe. Specifically, think of the Syrian newcomers who have, in recent months, found new reasons to hope along Canada’s East Coast.

Last year, a BuzzFeed News report, relying on data supplied by the United Nations and assorted research groups, concluded that in 2014, “as the war enters its fifth year. . .the most shocking finding is that life expectancy in Syria dropped from 76 years in 2010 to an estimated 56 years in 2014. . .Syria’s population has shrunk from 20.9 million to 17.6 million during that time as people have fled overseas or been killed, the report says. The country is now the world’s biggest source of refugees. Over half of Syria’s pre-war population have fled their homes during the conflict. . . The bulk of that group have remained displaced within Syria. Around 200,000 people have died in the conflict so far.”

A problem that’s far less dramatic than any of these, but nonetheless troubling, is the rise of anti-immigration sentiment everywhere, it seems, except Canada. According to a New York Tomes article late last month, “(Donald Trump’s) promise to deport (2-3 million) immigrants who have committed crimes suggested that he would dramatically step up removals of both people in the United States illegally and those with legal status. If carried out, the plan potentially would require raids by a vastly larger federal immigration force to hunt down these immigrants and send them out of the country.

Added Kevin Appleby, the senior director of international migration policy at the Center for Migration Studies of New York, for the Times: “If he wants to deport two to three million people, he’s got to rely on tactics that will divide communities and create fear throughout the country. He would have to conduct a sweep, or raids or tactics such as those, to reach the numbers he wants to reach. It would create a police state, in which they would have to be aggressively looking for people.”

Fear is the operative word these days. It is again becoming a media meme song. Still, here in Atlantic Canada, we may count our blessings – however minor we often perceive them to be – on our sleeves frayed with worry. Even the Conference Board of Canada says we’re doing pretty well, all things considered.

Says Marie-Christine Bernard, Associate Director, Provincial Forecast: “All three Maritime provincial economies are expected to perform better in the new year. This largely boils down to growth in the tourism, forestry, agriculture, and fishing sectors, as well as increasing exports to the U.S. and abroad boosted by a lower Canadian dollar.”

So, buck up my fellow New Brusnwickers. It could be worse. . .much worse.

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Time to plant a tree

IMG_1398For years, this trick-or-treat month was also known – at least, in policy circles – as the four-week period during which to celebrate the achievements of Atlantic Canada’s small businesses and entrepreneurs, an overture that always seemed to me to be one part patronizing and two parts disingenuous.

After all, as any entrepreneur will tell you, this sort of enterprise is a 24-7, year-round proposition. There are no (or few) paid vacations. Supper is, more often than not, consumed cold over a kitchen sink. And don’t even think about a cushy retirement. Who needs a special month to contemplate the textured meaning of the late Steve Jobs’ assessment of the vocation: “Your time is limited, so don’t waste it living someone else’s life. Don’t be trapped by dogma – which is living with the results of other people’s thinking. Don’t let the noise of other’s opinions drown out your own inner voice. And most important, have the courage to follow your heart and intuition. They somehow already know what you truly want to become. Everything else is secondary.”

Easy for him to say. Still, there’s little doubt that entrepreneurship has played – and continues to play – a disproportionately important role in the regional economy, something the University of New Brunswick must understand to its institutional bones. It just received a large gift of money to support innovative enterprise across the province. Meanwhile, in Fredericton, a non-profit organization recently joined up with a clutch of other like-minded groups to, among other things, spread the gospel of small business.

A few years back, a federal government monograph attempted, mostly successfully, to explain the character and dimension of this dynamic sector on the East Coast. “As we go about our daily routines, small businesses, defined as those that employ fewer than 100 people, are all around us,” it winsomely declared. “We see them in malls, operating out of homes and along the main streets of every town. But of what importance are these small businesses to our lives in Atlantic Canada?”

Answering its own question, the document continued: “Of the approximately 88,000 businesses in Atlantic Canada, 95 per cent are considered small businesses. . . The average annual entry rate of new businesses in Atlantic Canada from 1990-2000 was 18.2 per cent. When one considers that the business entry rate for Canada averaged 14.5 per cent during this period, Atlantic Canada asserts itself as being a very entrepreneurial region. . . In 2000, the self-employed represented 13.4 per cent of total employment in the region or 137,300 people, an increase of almost 20,000 individuals compared to a decade earlier. Self-employment has increased almost 17 per cent, whereas overall employment has increased only 9 per cent.”

What’s more, “The 2001 Census indicates that more than half the self-employed have at least some form of post-secondary education, with 19 per cent possessing a bachelor’s degree or higher. Interestingly, the highest rates of self-employment growth are occurring for those that have a university degree. This trend towards better-educated entrepreneurs is even more pronounced among females, a promising circumstance in light of the growth among female entrepreneurs generally.”

Still, there’s a downside and it remains as stubbornly challenging today as it did 15 years ago. “As the knowledge-based economy continues to grow in importance, so does the need for ongoing training and development of managers and employees to remain competitive,” the government report observed.

All of which suggests the surest path to a more enlightened and entrepreneurial society. That’s the trick, of course. But the treat is clearly worth the effort.

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