The Hook

Time To Bring Back the Critical Industries Commissioner

I recall circa 1982/3, during BC's mini-depression, mini-Wac set up the office of the Critical Industries Commissioner, which was headed up by Art Phillips.

Methinks it should be brought back during the interim.

In a case such as the Crofton Mill and the Elk Falls Mill, Phillips would step in to see if the operation could be kept going by:

1. BC hydro reducing/deferring payment for electricity;

2. Terasen Gas reducing/deferring payment for natural gas;

3. Management and unionized agreeing to plant specific interim cuts in pay;

4. Local municipal reducing/deferring payment of property taxes;

In many cases, during the early 1980's, Phillips was successful in arranging the continuance of operation of these plants and employment. Not so in other cases.

But at least it prevented the shutdown of many plants that could have otherwise continued to operate.

The burden of municipal taxes, for example:

I recall one BC mill that pays ~$8 million/year in property taxes. That same mill, in the U.S. South, pays ~$400,000/year in property taxes. Big competitive advantage for the U.S. mill.

But BC's political brains trust seems to be lacking in this regard.

BC Mary

"We have a proper name for the Golden Era?"

It should be the Golden Shower Era. After all its those at the top getting the gold and those at the bottom getting pissed on.

It was sad to see and hear

It was sad to see and hear teh lack of answers by the government today in question period when asked about some hlp for the folks losing their jobs, and their homes. Seems there was some fund but it closed down a few months ago and nobody was about to admit it should still be around. Yet 380 millions for a roof for the stadium is much more important than the lives of workers and their families. We are run by a uncaring group of bozo's.

DPL...

No kidding. Damn, if only we had an NDP government, BC Place would have an new roof by now!!!!!!!!

From an NDP press release:

http://www.bcndp.ca/newsroom/arrogant-bc-liberals-bungle-bc-place-roof-project

Way to go NDP!

OH Luke.........

There was a 130 million dollar fund for forest workers(federal money,Campbell didn`t contribute one dime)

And of course 6% of the money went to accenture to dole it out.

To apply for any of the money,the deadline was august 15th/2008--So any workers who lost their livihood(do to BC Liberal forestry policies)are shit out of luck!

Oh by the way Luke,people aren`t buying the evergreen line funding,Translink still has to come up with 200 million dollars.

And if this is fast tracking infrastructure,how come construction isn`t slated to start until 2011?

As for the roof on BC place stadium,that project is contingent upon selling off real estate adjacent to the stadium?

In this real estate market,I don`t think so,projects are shutting down left right and center(like the ritz)

So there will not be a roof,after the olympics,we are broke/debt/there will be other priorties......

But that won`t stop Campbell from promising the moon.

Matters not,Campbell will lose those Vqancouver ridings,the roof isn`t a priority for BCers and all these repeated non-announcements will do nothing but infuriate all the decimated towns,like Mackenzie/Kitimat/Prince george etc etc etc

And as for BC Place roof,back when the NDP were talking about the roof,according to Campbell and Hansen we were going to have a 1.6 billion dollar surplus and we weren`t bleeding jobs at the fastest rate in BCs history.

Priorities change,not for Campbell,but for the NDP,it is called a sober second look,Campbell should try that some time.

People have also noticed tweedle dum and tweedle dee flying to Ottawa when the federal big wigs were in BC/so much for clamping down on travel,and what was Falcon doing in Ottawa?

The crime measures are a bust for Campbell.

keep trying LUKE,I am starting to enjoy this!

Luke.....

Don`t forget to listen to the cutting ldge on CKNW tommorrow/9.00am---Vaughn and Keith will be talking about the BULLY,Campbell,and how he ordered his Cabinet and MLAs not to join in the bi-partisan photo-op-You know,like the photo that was done last year,to promote anti-bullying day!

You just might hear some smart cagey callers bring up some other goodies.

The Fall of the Coastal Forest Industry

It is disappointing to see how far the the coastal forest industry has tumbled during the last thirty-five years. M&B once had total control of the highest valued and the most accessible timber on the coast.

M&B and other BC forest companies stock-piled their primary products offshore and flooded the market prior to union negotiations to depress the market. Although they eventually lost control of this strategy, they emphasized with their union employees that they could not pay higher wages because of poor markets.

M&B bit off more than it could chew when it ventured into the rapidly growing pine forests of the south-east US. Although this was an ideal area of cheap labour, the depleted soil of the pine forests eventually reduced their viability. This same problem also occurred in Brazil.

Other killers of the BC forest industy:

a)When technically skilled BC based mill engineering companies moved into south-east Asia and began building newer mills there.
b)When whole BC logs were shipped to these technically improved mills that are now operated by cheap labour.
c) The transition to Fletcher Challenge and the eventual sale of operations to the latest mill owners. The acquisition costs for the recent owners were highly inflated relative to the original owners. An exception, of course, is the latest McKenzie debacle.

Easy Solution

There has certainly been an enormous drop in demand for newsprint. Perhaps, in order to help their union brothers, the above posters can lobby the Tyee for a daily print edition and then lobby the government to pay for a subscription for all British Columbians.

So Buy It!!

If the CCPA or the union thinks that the future lies in Catalyst Paper then buy it!

The stock, you say, is at 17cents. That's dirt cheap. The union or the CCPA could buy the whole shebang for a song.

Don't forget,

NEW YORK/SAN FRANCISCO (Reuters) - San Francisco may lose its main newspaper, the San Francisco Chronicle, as owner Hearst Corp cuts a "significant" number of jobs and decides whether to shut or sell the money-losing daily.

The privately held New York-based publisher already is considering shutting a second West Coast paper, the Seattle Post-Intelligencer, in the face of a devastating decline in advertising revenue and big losses.".

Duh. What to do? You could go down there and buy these client newspapers of Catalyst, keep the presses running and keep the mills in BC running. Just do it! Prices will never be cheaper. If it's such a good business then here' a great opportunity for the union to take over!

It won't happen, they all just sulk and blame the premier.

LONG TERM DECLINE OF BC PULP & PAPER INDUSTRY

The forest products industries (forestry and logging, wood products, pulp and paper) employed over 100,000 people in the early 1990s. Today the employ just over 60,000. For pulp and paper alone, the decline is clear as well. From employing 20,000 or more throughout the 1990s the industry has fallen to the 13,000 level as of 2008.

Pine beetles and American softwood tariff actions have taken their total on the wood products and logging sectors, but what's the story with pulp and paper? There just hasn't been any major investment in new plant and equipment in this industry over the past two decades, the last major plant being, IIRC, a mill in the Kootenays. Why not? Could it be that new owners simply weren't inclined to think long-term?

Luke S: Time To Bring Back the Critical Industries Commissioner

Correct me if I am wrong, but that office existed until it was closed down by Premier Gordon M. Campbell on philosophical grounds. Campbell believed, or said he believed, that this office constituted an injudicious subsidy to failed and failing business enterprises. In the name of free enterprise, Campbell proclaimed that these businesses needed to be allowed the freedom to go to the wall, for the good of the overall market system.

And of course, as we all know, Premier Gordon M. Campbell and his Ministers are men and women who take the administration of government with a certain unique degree of sobriety and seriousness. If you want an indication of the actual level of sobriety and seriousness involved, just read this article by Michael Smyth.

http://www2.canada.com/theprovince/columnists/story.html?id=a727c7af-5721-49b1-9ef9-1cd2ab189d40