Federal Parties Addicted to Public Funding

Posted January 22nd, 2010

by Jason Farris

In an article published today by the National Post, it was revealed that the top 5 federal parties in Canada would be financially “crippled” if their public funding were taken away.

The tax handouts for political parties created by former prime minister Jean Chrétien have relieved taxpayers of tens of millions of dollars, relieved the Bloc Québécois of having to fundraise, and cursed Canadians to a life of never-ending election campaigns — but getting rid of them … is likely unrealistic, says a new study co-authored by a former Tory campaign manager.

Parties now collect, on average, roughly 50% more from public funds than they gave up under the new limits on corporate, union and large personal donations, the study calculates: The Bloc Québécois raised less than $1-million in corporate donations in the four years prior to C-24, but collected more than $12-million in public funds in the four years after.

Of course, this dependence on public funding is no surprise. The Tories say they want to get rid of the program…

“We believe that political parties should support themselves with people who voluntarily donate to whichever party they wish to support,” Steven Fletcher, [Conservative] Minister of State for Democratic Reform, said in August.

…but while they would suffer least from having no subsidy, they still stand to lose millions, and that just won’t do. The Conservatives will not take a stand and do what’s right when it could mean they’ll lose their governing status. Thomas Jefferson once said, “In matters of principle, stand like a rock; in matters of taste, swim with the current.” It appears the Conservatives are much too busy swimming.

Though the study examined potential alternatives to the quarterly allowance — a return to capped corporate and union donations, more generous tax write-offs for individual donations, and an American-style “check-off” system, allowing tax filers to indicate on their return whether they want to direct some public money to their favourite party — they all would fall considerably short of replacing the subsidies upon which political organizations now rely, the authors calculated.

So until the people of Canada demand change, we’re stuck throwing away millions of taxpayer dollars every year.

One important fact the National Post article neglected to point out is that, while the Conservatives, Liberals, NDP, Bloc and Greens are all milking the public coffers, not all federal parties receive public funding. Of the 19 registered parties in Canada, only the top 5 receive funding! CHP Canada, the 2nd largest party not represented in Parliament and 6th largest party overall, receives not one cent of the $1.95-per-vote allowance Elections Canada doles out to federal parties every quarter. How can a system so obviously slanted possibly represent or be in the best interest of all Canadians?

CHP Canada would see the subsidy system done away with, but until that happens we will continue the battle of raising funds the old-fashioned way — against a tide of easy public funding flowing to the top 5.

If you would like to support CHP Canada, its policies, and its fight to bring morality and true democracy back to Canada, visit our National website’s donations page. You can also help right here in New Brunswick! Please consider giving to our Tobique–Mactaquac EDA as we work to build the party here in NB and assist other ridings as they become established. Since individual donations are our only source of funding, your support is greatly appreciated!

Jason Farris is the New Brunswick President of CHP Canada. For more inforamtion on the party and its progress in NB, please visit www.chpNB.ca or call 1-888-527-5566.


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