Liberals, NDP Reach Coalition Deal
Source: The Canadian Press
Posted: 12/01/08 5:21PM
Filed Under: Canada
OTTAWA - The opposition parties have signed a deal to form a coalition government and advised the Governor General that they're ready to take over from the Conservatives.
Budget Fallout |
Surrounded by members of the Newfoundland and Labrador caucus, Liberal Leader Michael Ignatieff speaks with the media on Parliament Hill in Ottawa Tuesday, Feb. 3, 2009 and said he would let the Newfoundland and Labrador MP's vote against the budget in protest of unilateral changes to the Atlantic Accord. |
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Liberal Leader Stephane Dion sent a letter to Michaelle Jean today advising that the Harper government has lost the confidence of the House of Commons.
He said the Liberals and NDP - backed by the Bloc Quebecois - have reached a deal to form a coalition for at least 18 months, with Dion as prime minister until spring.
Dion's letter states that the new government "will effectively, prudently, promptly and competently address these critical economic times."
The pact includes a multibillion-dollar stimulus package for the troubled economy, including support for the auto and forestry sectors.
Liberals Bungle TV Address |
In the battle of the airwaves Wednesday, Dec. 3, Liberal Leader Stephane Dion showed up almost an hour late and a few pixels short in his duel with the prime minister he hopes to replace. Above, Caleb Reid, five, climbs on his mom Andrea Reid as she watches Dion address the nation during a national TV broadcast about the current Parliamentary crisis from their rural Alberta home near Cremona, Wednesday, Dec. 3, 2008. |
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The opposition plans to vote down the minority Tory government next Monday because there was no stimulus package in last week's fiscal update.
It will then be up to the Governor General to decide whether to call an election or let the Liberals try to govern.
The Governor General is on a state visit to Europe, but a spokeswoman says she is following the events closely and is ready to return if needed.
The fractious Liberals agreed to support a tentative deal with the NDP - backed by the Bloc Quebecois - to form a coalition government with Dion as interim prime minister.
"We've decided that the only person and the best person to lead and form a coalition government is the elected leader of our party ... Stephane Dion," said Liberal MP Dominic LeBlanc, flanked by his two leadership rivals in a show of solidarity.
"We are comfortable with that, we support that and we think that's right."
Dion would take over as prime minister until a new leader is picked next spring.
The deal includes a multibillion-dollar economic stimulus package for the troubled economy, including support for the auto and forestry sectors.
Should Harper's government be defeated next Monday and the Governor General accept a coalition agreement, Canada would see its first change of government without an election since 1926.
Harper accused the Liberals of playing the "biggest political game in history" during a boisterous question period in the House of Commons on Monday.
His accusation came after Dion, fresh from being named the leader of a proposed coalition with the New Democrats, questioned the legitimacy of Harper's minority government.
"Instead of introducing an economic stimulus package in his fiscal update last week, the prime minister decided to play politics, ignoring the difficult economic times Canadians are facing," Dion said.
"Does the prime minister still believe that he enjoys the confidence of this House?"
Harper defended last week's fiscal update, saying it included help for seniors hit by the worldwide financial turmoil and other measures to stimulate the economy, such as doubling infrastructure spending next year.
The prime minister then shot back: "When the honourable gentleman speaks about playing politics, I think he's about to play the biggest political game in history."
The Conservatives still have some options that might block the extraordinary move to topple their government.
LeBlanc, Michael Ignatieff and Bob Rae said they will continue to campaign for the party reins in the run-up to a scheduled May 2 leadership convention.
"We are at one - the three of us - that the only person who can lead the country is the duly elected leader of the party, Mr. Stephane Dion," said Ignatieff, the perceived front-runner in the race.
New Democrats and the Bloc Quebecois had already stated that the Liberals would lead any coalition government, and it was up to that party to decide on the prime ministership.
Settling the leadership question puts in place another piece of the puzzle as Liberals, New Democrats and the Bloc Quebecois hammer out an alternative government.
Liberal MP John McCallum disputed what one source said was a $30-billion stimulus package. He suggested the coalition plan remains a work in progress but could pump money into the forestry and manufacturing sectors, public infrastructure, and even direct payments to citizens.
New Democrats have dropped their demands for the repeal of corporate tax cuts, added McCallum.
Under the deal, a tight coalition cabinet of 24 members would have 18 Liberals and six New Democrats.
What has not been agreed to is where NDP Leader Jack Layton - or other New Democrats - would sit around the cabinet table.
A Liberal source said the plan also involves an economic advisory panel of experts, including Paul Martin, John Manley Frank McKenna, and Roy Romanow. That was news to one New Democrat intimately involved in the negotiations, who said such a panel might be a Liberal construct but was not part of the tripartite talks.
With no opportunity to defeat Harper's newly elected minority before next Monday, Canada's first federal coalition government in 91 years remains an entirely speculative proposition.
Harper precipitated the Commons confidence crisis last week with a provocative economic update that slashed government spending, provided no economic stimulus for an ailing economy and included a poison-pill-proposal to gut public subsidies of political parties.
Liberal MPs on their way into Monday's caucus meeting expressed widely divergent opinions on where the party should go.
Veteran MP Judy Sgro said she would be content to see the Conservatives bring forward an expedited stimulus package this week, in which case Harper could remain in office.
Other Liberals said Harper has so poisoned this Parliament that they've lost confidence in his government regardless of what face-saving measures it now proposes.
"There is no turning back," said Rae.
Rae formally filed his nomination papers with the party Monday morning in a bid to squelch published reports that he's shelving his leadership ambitions to allow Ignatieff to take over.
If the three opposition parties - representing just over 54 per of the popular vote in the Oct. 14 federal election - can agree on a written entente for governing, most constitutional experts agree that Gov. Gen. Michaelle Jean would have little choice but to invite them to try their hand at government, rather than calling a second election in two months.
But there were rumours that the Conservatives might try other tactics, including:
-Announcing a stimulus package this week.
-Asking the Governor General to prorogue Parliament, putting off any confidence vote.
The opposition parties each called emergency caucus meetings to lay out the working elements of the plan Monday.
The coalition government would depend on Bloc support because the Liberals and NDP together don't command a majority in the Commons.
The developments came after a frantic weekend of closed-door talks and concessions from the Conservative government.
The Tories announced Sunday they would bump up the federal budget date and scrap a second controversial element of their economic plan, while hinting at a stimulus plan in a frantic bid to save itself from defeat.
Finance Minister Jim Flaherty announced the budget will be delivered Jan. 27 - "the earliest date in modern times" - while he simultaneously relented on a plan to ban public service strikes.
With files from CBC News
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