Labour federation continues opposition to P3 legislation plans STEPHEN BRUN The Guardian
The P.E.I. Federation of Labour will continue to protest P3 legislation, despite not getting any new answers from the province on the matter.
The federation’s 44th annual conference wrapped up Saturday in Charlottetown. The delegates passed several resolutions including ones in protest of government’s proposed public/private partnerships (P3) for long-term care facilities.
Labour Minister Carolyn Bertram spoke to the group Saturday, but didn’t offer any major announcement regarding P3, said federation president Carl Pursey.
“She didn’t say anything new, no just that they were still looking into it,” he said. “I’d like to see all the issues we’ve put forward dealt with by cabinet. P3s are the biggest thing and privatization will be at the forefront of our agenda.”
Government unions have opposed the idea of P3 since Premier Robert Ghiz announced his government would look into the possibility of using the partnerships to replace five of its aging manors.
The cost of the replacements is estimated at around $50 million.
One option could be to contract the jobs to private developers, which would then lease the property back to the province, saving the government some long-term debt.
The unions say this could put government jobs and the control of the facility at risk.
The federation passed two resolutions Saturday urging full disclosure from the province on all P3 agreements before they’re finalized, and saying the federation will continue to protest the idea.
“We know from vast experience in this province, in this country and around the world that public/private partnerships are not good investments, and that it costs more for taxpayers and reduces services,” one resolution reads.
During the conference, Pursey was elected to his third straight term as president, while Lori MacKay was re-elected as vice-president of women’s issues, and Melissa Bruce was elected as the federation’s new recording secretary. All the positions are two-year terms.
In all, the delegates unanimously passed 17 resolutions, including opposing post office closures and the privatization of Canada Post and removal of home mail delivery to Islanders. The federation will also lobby the province to enact pension legislation by the fall 2009 sitting of the legislature, will work toward realizing women’s economic equality and work with the federal government to introduce a pan-Canadian literacy strategy.
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Melody Bernard from PE writes: EVERYONE knows that governments can borrow at much better rates than private industry. How could 3P possibly be cheaper in the long run for Government? Some initiatives are better left in government hands and the operation of a Seniors Home is one of them.
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Don't believe the Hype from PE writes: While P3s may be useful in reducing longterm debt, about 98% of the time they have been used, it has resulted in reduced services to the taxpayer at a higher expense. Personally, I would not have too much trouble with the gov'y using P# to build the building, providing they got a reasonable lease rate on the property and good conditions in the lease to ensure the property owner keeps up the maintenence. That is as far as I am prepared to accept P3s. When it comes to running the operations of services, private for profit operations tend to cut corners and cost more. That would be unacceptable.
If the government wants to look at ways to save long term debt and reduce costs, maybe they should grow a set and make a real decision on the islands multitude of hospitals and schools.
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Grad Student from Dalhousie, NS writes: Melody,
You're completely right! The provincial government can borrow at the best rates available. Supporters say that P3s lower risk for government, but private companies can still go out of business, leaving the government as the final risk bearer.
In the long run, under P3s, the tax payer pays more money for the service, but a few lucky businesses make more profit than they would under a usual contract agreement.
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Stephen Pate from Charlottetown, PE writes: P3's are generally a patronage deal to reward party faithful. Another Harris Tory rre-tread idea for Ghiz. Would someone buy him new books to read. Those ideas are 20 years old and wrong.
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