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Chop! Chop! Hear the sounds of cuts in Ottawa

by Angelo Persichilli
THE HILL TIMES 

For all political watchers out there, if you believe that the summer went by and the Paul Martin Government took holidays, think again. While most Canadians were relaxing in the sun, or, whatever it was they did in a not-so-sunny summer, a group of federal Cabinet ministers and top bureaucrats were in Ottawa working on a clear mandate: to chop, chop, chop.

      Itıs called Cabinetıs Expenditure Review Subcomittee, headed by Revenue Minister John McCallum who held several meetings over the summer to find where and how Cabinet can cut government program spending. Intergovernmental Affairs Minister Lucienne Robillard is the vice-chair, Foreign Affairs Minister Pierre Pettigrew, Agriculture Minister Andy Mitchell, Human Resources Minister Joe Volpe, Public Works Minister Scott Brison and Industry Minister are also on the Cabinet committee.

      However, Iım also being told that thereıs another Cabinet committee, headed by Deputy Prime Minister Anne McLellan. Minister of Finance Ralph Goodale, Government House Leader Tony Valeri, Transport Minister Jean Lapierre and Liberal Senator Jack Austin, are on this committee which is also finding ways to cut.

      But who knows how many sub-sub-committees are out there. Officially this second Cabinet committeeıs job is to eliminate waste and re-prioritize the nationıs spending. The crass purpose of the entire exercise is to find $12billions in four years to develop a plan "to save money without cutting services." All ministerial departments have been ordered to submit to this subcommittee a plan present their suggestions to proceed with cuts.

      Most of the presentations must be made in the next few weeks.

      They have to eliminate waste and make sure that the possibility that events like the sponsorship programs wonıt be repeated.

      Under scrutiny, are programs with long-term commitments, but, Iım told by one top insider, that even "contracts to buy pencils if theyıve been awarded without the tendering process" are being scrutinized.

      There are already hundreds of cancelled projects, internal audits of foundations and departments underway and everything is under scrutiny.

      Everything must be done by the book. Theyıre putting out tenders for pencil sharpeners, said one source close to the exercise.

      It appears that the Martin government and all its senior officials and departments are under siege.

      Working by the book seems to be the right way to approach the job. In reality, working by the book, means to slow down everything and, in some cases, stopping activities altogether.

      Unions know that: in fact, they resort to the work-to-rule practice as the last resort effort before a full strike. Of course, once the whole exercise is finished, Prime Minister Martin has to explain how it is that in a time when the surplus is higher than predicted, he needs to implement some deep cuts.  Meanwhile, repercussions are already being felt in one sector already and thatıs the lucrative government relations and consulting sector.

      Independent consultants, who rely on government departments and agencies for work, are dropping like flies out there, apparently. Spending on all outside projects and anything that has a whiff or similarity to the now much-despised "sponsorship scandal" is being stopped in its tracks.

      In the business, complaints are widespread: "It's little wonder the government is going to have a bigger than expected surplus ‹ it isn't spending," said one consultant.

      Well, how deep those cuts are, is going to be much clearer in a of couple weeks. Some are saying that the changes are so radical that a new budged is needed. The usual October outlook might not be enough.

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