Friday, 6 June 2025

Liberal lobbyists line up to influence Holt government

 

Liberal lobbyists line up to influence Holt government

2 former premiers, ex-ministers and insiders register new clients seeking meetings with Liberal ministers

New Brunswick's registry of lobbyists has seen a wave of new filings from Liberal-connected consultants looking to influence Premier Susan Holt's Liberal government on behalf of paying clients.

Since Holt took power last fall, two former Liberal premiers, Brian Gallant and Shawn Graham, have registered new clients seeking to influence government policy.

Three former Liberal cabinet ministers and two former advisers have also registered new clients since Holt was sworn in.

Progressive Conservative Opposition Leader Glen Savoie highlighted Gallant's Feb. 28 registration to lobby for Aecon Group Inc., a major construction company that has worked on nuclear power and natural gas projects, among others.

In his filing, Gallant said he wanted to organize meetings with Infrastructure Minister Chuck Chiasson and N.B. Power CEO Lori Clark to promote Aecon's "corporate brand awareness and capabilities."

Holt worked for a job-creation secretariat created by Gallant when he was premier.

 A man in a suitFormer premier Brian Gallant registered as a lobbyist for Aecon Group Inc., a major construction company. (Radio-Canada)

"Her former boss Brian Gallant said at every turn that perception matters," Savoie said.

"So now here he is lobbying his former employee as a lobbyist. What's the perception on that?"

Gallant forced out one of his MLAs, Donald Arseneault, in 2017 for taking on lobbying work while sitting as a backbencher. Lobbying rules allowed it, but Gallant said it would be seen as a conflict of interest.

Savoie suggested Gallant might help Aecon secure a contract to build a new N.B. Power natural gas power plant in Scoudouc that was announced last December.

Holt said she did not know whether Aecon had the contract and said she had never met with the company.

WATCH | 'What's the perception on that?': Opposition on Liberal lobbyists 
 
Liberal lobbyists take on new clients after Holt election win
 
Two former premiers are among the consultants working for companies hoping to influence decision-makers. A previous version of this video included an incorrect reference to former Liberal cabinet minister Doug Tyler, who in fact has not taken on new clients since last year's election.

"Our ministers meet with community groups, not-for-profits, citizens, certainly staff of the government, front-line workers, without lobbyists at all," Holt told reporters. "The presence of a lobbyist does not determine who gets what meeting when.

"If a company wants to ask [for a meeting] themselves, or pay somebody to ask for them, it's still treated the same."

Asked in that case why a company would need to pay lobbyists, the premier said, "It's a great question. I'm not sure." 

In a written statement to CBC News, Gallant said he became "an advisor" to Aecon in early 2024, before the Liberals won the election.

He did not register, however, until Feb. 28 of this year. The law requires lobbyists to register "within 15 days after commencing performance of an undertaking on behalf of a client."

"Aecon has done work in Atlantic Canada and has the capabilities to do more in the region, including in New Brunswick," he wrote.

Aecon did not respond to a request for comment.

Gallant's February registration is his first ever in the public lobbyist registry, which has existed since 2017.

A man in a suit Another former premier, Shawn Graham, registered as a lobbyist for Fertility Partners Inc., a Moncton clinic and Global University Systems Canada. (Gilles Landry/Radio-Canada)

Former Liberal premier Shawn Graham, a longtime lobbyist, added two new clients to his roster since Holt took power last year.

He now represents Fertility Partners Inc., a Moncton clinic, and Global University Systems Canada, a for-profit chain of universities that operates three medical schools in the Caribbean. 

Graham said in an email his work with Fertility Partners is to help establish a research centre at the Université de Moncton and is unconnected to Holt's recent announcement about funding for one round of in vitro fertilization for New Brunswickers.

In his registration for Global University Systems Canada, Graham says he would meet with Health Minister John Dornan about an initiative to "help address the family physician shortage by offering fully funded medical school education to provincial citizens."

Graham turned down a request for an interview.

Holt said in question period Friday that she itemizes all her official meetings in social-media videos she releases every Monday.

She questioned whether there's a link between a Liberal government taking office and Liberal-connected consultants taking on new clients.

"You'd have to look at the history to see if that's the case," she said.

"I'm sure somebody could probably do the data to see if there's correlation between new registrations and changes in governments." 

The premier suggested having Liberal connections may actually be a disadvantage, because her office may hesitate over how it might look to help someone with connections.

Savoie also flagged Holt's links to Jordan O'Brien, a former chief of staff to Gallant with a long list of current and former lobbying clients.

Since Holt was elected, O'Brien has started lobbying for Populus Plus, a health technology company, and the Fredericton International Airport.

 A man in a blue jacketMaurice Robichaud, a former communications adviser to Graham and to an earlier Liberal premier, Frank McKenna, registered as a lobbyist for the Convenience Industry Council of Canada. (Michèle Brideau/Radio-Canada)

Last fall, Liberal insider Maurice Robichaud, a former communications adviser to Graham and to an earlier Liberal premier, Frank McKenna, registered as a lobbyist for the Convenience Industry Council of Canada.

The organization opposed a Liberal bill to repeal the "cost of carbon adjustor" surcharge on gasoline put in place by the Blaine Higgs government that passes the cost of federal clean-fuel regulations to consumers.

The council argued repealing the surcharge would leave gas wholesalers and retailers absorbing the cost instead.

A week after Robichaud registered, the Liberals put the bill on hold.

Greg Byrne, a former Liberal cabinet minister and one-time chief of staff to Gallant, also registered to lobby for the council, the records show.

A man in a suit Greg Byrne, a former Liberal cabinet minister and one-time chief of staff to Gallant, also registered to lobby for the council. (CBC)

Robichaud, meanwhile, is also registered to lobby for Copenhagen Infrastructure Partners, a wind energy company, and the New Brunswick Pharmacists' Association.

Donald Arseneault, a Liberal cabinet minister in Graham and Gallant Liberal governments, has registered four new clients since the start of 2025.

They include the Energy Alliance of the North, an organization of regional service commissions and First Nations that Arseneault says in his registration is seeking changes to provincial laws so it can bid to launch renewable energy projects to supply N.B. Power.

A man in a suit speaks to reporters Donald Arseneault, a Liberal cabinet minister in Graham and Gallant Liberal governments, has registered four new clients since the start of 2025. (CBC)

Another of his clients is Groupe Lebel, a company that owns a sawmill in Tobique Valley that "has planned various capital projects and is looking for government financial assistance, along with increased Crown wood allocations," the filing says.

The two other new clients are the University of Fredericton, a private institution, and the Northern New Brunswick Airport Authority Inc., which operates the Bathurst airport.

Holt promised in last fall's election campaign to "modernize and strengthen the lobbyist registry to enhance transparency and accountability."

Holt revealed Friday that her government is ending its $19,000 US a month contract with lobbyists in Washington who were hired earlier this year to lobby the Trump administration and members of Congress on tariffs.

She said the contract, which began Feb. 3, had served its purpose. "The relationships and the connections have now been made."

O'Brien's firm subcontracted the U.S. firm and earned a $6,000 US monthly commission for doing so.

Corrections

  • A previous version of this story included incorrect information about lobbying work by Doug Tyler, a former Liberal cabinet minister and former adviser to Shawn Graham. Tyler's work for two Grand Falls companies began before the Holt Liberals took power last year.
    Jun 02, 2025 1:37 PM ADT

ABOUT THE AUTHOR


Jacques Poitras

Provincial Affairs reporter

Jacques Poitras has been CBC's provincial affairs reporter in New Brunswick since 2000. He grew up in Moncton and covered Parliament in Ottawa for the New Brunswick Telegraph-Journal. He has reported on every New Brunswick election since 1995 and won awards from the Radio Television Digital News Association, the National Newspaper Awards and Amnesty International. He is also the author of five non-fiction books about New Brunswick politics and history.

 
 
 

N.B. to get $614M in 'historic' tobacco settlement after decades-long battle

Part of $32.5B agreement between provinces and tobacco giants for health-care costs related to smoking

New Brunswick will receive an estimated $614 million from three tobacco giants for health-care costs related to smoking, with about $147 million "up front" and the remainder "over time," Health Minister Dr. John Dornan announced Friday.

It's part of a $32.5-billion settlement between Canadian provinces and territories and the tobacco companies — JTI-Macdonald Corp., Imperial Tobacco Canada Ltd., and Rothmans, Benson & Hedges in a legal battle that dates back decades.

Ontario Superior Court Chief Justice Geoffrey Morawetz approved the agreement in a ruling released Thursday, calling it a "momentous achievement in Canadian restructuring history."

Smokers, former smokers or their representatives living in Canada will also be able to seek individual compensation through Tobacco Claims Canada.

"I am pleased to announce a resolution of our effort to recover money for our health-care system from the tobacco companies that have sold cigarettes in Canada," Dornan said in a statement.

The province was instrumental in launching the litigation nearly 20 years ago, he said.

A close-up of a man's stern expression Health Minister Dr. John Dornan said the province will get the money in instalments, starting with about $147 million. (Edwin Hunter/CBC)

No information about how the province intends to use the money was provided.

Health Department officials did not immediately respond to a request for details, but spokesperson Tara Chislett did confirm to CBC News an undisclosed amount of New Brunswick's settlement will have to go toward legal fees.

She was unable to provide specific timelines.

"As the plans were only approved by the Superior Court yesterday, government is reviewing the resolution and next steps," Chislett said in an email. "At this time, the potential amount, exact timing and accounting treatment remain uncertain.

"It is anticipated the first payment will be made during the next fiscal year (2025-2026) and legal fees will be deducted from this payment."

'Nowhere near enough'

Melanie Langille, president and CEO of NB Lung, is disappointed with the settlement. She contends the funding is "nowhere near enough to cover the true cost of tobacco-related disease and addiction in Canada."

New Brunswick's tobacco-related costs are $165 million annually, she said in an interview.

"Over decades, tobacco-related costs to Canada are in the hundreds of billions, which is why the initial claim was asking for a $500-billion settlement, to help offset the cost of tobacco-related harm, and introduce programs to address the health and addictions consequences of tobacco."

Given New Brunswick's "higher-than-average smoking rates and the significant financial burden of tobacco-related health-care costs, the settlement funds, while beneficial, are insufficient to fully address the extensive damage caused by tobacco use in New Brunswick," Langille said.

 A woman wearing a pink shirt smiles for a photo.Melanie Langille, president and CEO of NB Lung, said the settlement funds, while beneficial, are insufficient. (Submitted by Melanie Langille)

She urges the provincial government to direct its settlement dollars toward "high-impact programs that address both the health and addiction consequences of tobacco."

She cited as examples expanding lung-cancer-screening programs, investing in early COPD (chronic obstructive pulmonary disease) diagnosis and treatment, strengthening of youth tobacco and nicotine prevention initiatives, and supporting smoking cessation programs.

Decrease in smoking rates

According to the Department of Health, adult smoking rates in New Brunswick have dropped to 13 per cent from 26 per cent in 2000.

Youth smoking rates have also declined to 6.6 per cent from 14 per cent in 2018-19.

The province's goal is to reach zero per cent.

Details of settlement

All provincial and territorial governments, as well as the plaintiffs in two Quebec class-action lawsuits, unanimously voted in December to accept the settlement plan proposed by a court-appointed mediator.

Under the agreement, the companies will pay more than $24 billion to provinces and territories over about two decades, while plaintiffs in the two class-action lawsuits will get a combined total of more than $4 billion. Individuals can receive up to $100,000 for throat or lung cancer and up to $30,000 for emphysema if they were diagnosed before March 12, 2012, and were still alive as of Nov. 20, 1998, according to the Quebec Council on Tobacco and Health.

Another $2.5 billion will go to compensate Canadian smokers not included in the lawsuits. These individuals may receive up to $60,000 if they were diagnosed between March 8, 2015, and March 8, 2019, the Quebec organization said.

In addition, $1 billion will go toward creating a charitable foundation dedicated to funding programs aimed at combating tobacco-related diseases.

 
 
 
 

Holt Liberals must choose how to spend $614-million tobacco settlement

Windfall would reduce deficit, but advocacy groups want most of it spent on anti-smoking programs

It's an unusually good budget problem for a provincial government to have: what to do with an unexpected financial windfall of $614 million.

The Holt government must decide whether to spend that money on programs to help people quit smoking or use it to reduce projected budget deficits.

"When you think of the size of many of the provincial governments' deficits these days —  several hundred million dollars — it could be the difference between a deficit and a surplus," says economist Pierre-Marcel Desjardins of the Université de Moncton.

The money will flow from a $32.5 billion settlement in a lawsuit by Canadian provinces and territories against three major tobacco companies over the health-care costs of treating people with smoking-related illnesses.

A man with short grey hair and a beard, wearing clear glasses and a blue shirt, standing outside. Economist Pierre-Marcel Desjardins says he understands wanting to use the money to fight smoking, but it is compensation for money already spent on caring for smokers — spending that contributed to budget deficits and provincial debt. (Patrick Lacelle/Radio-Canada)

The settlement was approved by an Ontario judge earlier this year. 

Anti-smoking groups, including the Canadian Cancer Society, have called for a "significant" share of the money to be devoted to programs to help people quit smoking and prevent smoking among youth, and to enforcing tobacco restrictions.

"This is a landmark opportunity for New Brunswick to address the leading cause of disease and death in the province," said Rob Cunningham, the society's senior policy analyst.

"It's well-established that sustained, well-funded programs are effective at reducing smoking, and now we have this dramatic problem of youth vaping."

Melanie Langille, the president of NB Lung, said her organization wants a majority of the money to fund quit-smoking programs.

But the Holt Liberals are also projecting a $549 million deficit this year and have been forced to cut spending to keep it from getting even larger.

WATCH | 'A landmark opportunity': No decision on tobacco windfall: 
 
The Holt government’s $614-million predicament
 
Liberals could use tobacco settlement to reduce deficit or to fund anti-smoking programs.

This year's instalment from the tobacco case, $147 million, would shrink that deficit.

"We are working with our minister of finance and other people on how best to deploy the money that we will collect through this settlement," Health Minister John Dornan said in the legislature on May 14.

"There is no decision yet."

The Opposition Progressive Conservatives have endorsed using a large share of the money on anti-smoking programs.

Health critic Bill Hogan says "all of it" should be devoted to that effort.

"It's a perfect opportunity to fund programs that we don't have to find money to fund," he said.

A man with grey hair, wearing a black suit, speaking to reporters, who are off-camera. Rob Cunningham, the Canadian Cancer Society's senior policy analyst, says the government has a 'landmark opportunity' to 'address the leading cause of disease and death in the province.' (Patrick Doyle/The Canadian Press)

The settlement amount does not take into account legal fees that must be paid to the law firms who represented the provinces.

According to one court filing, New Brunswick's lawyers will get 3.6 per cent of the total over the two decades or more of the payout.

The specific payment amounts per year may fluctuate depending on a range of factors including the ability of the tobacco companies to pay.

A woman, with a brown ponytail and black glasses, mid-speaking. Melanie Langille, the president of NB Lung, says her organization wants a majority of the money to fund quit-smoking programs. (Silas Brown/CBC)

That hasn't stopped two provinces from using this year's money, and estimated amounts in future years, to improve their bottom lines.

Even though it will take years to collect its $520 million total, Newfoundland and Labrador is recording the entire amount on this year's budget, slashing its deficit by more than half. 

Quebec has also booked a large part — but not all — of the multi-year total this year.

"You might not want to be cynical, but those two provinces will be facing elections in the next 12 months," Desjardins noted.

He said the most transparent approach would be for provinces to apply each year's instalment to the budget in that year. 

New Brunswick announced its lawsuit in 2006 and passed legislation allowing it to file the case in 2008, describing it as a way to hold tobacco companies accountable for promoting a product they knew to be harmful.

"No amount of settlement is going to undo the harms of years and years and years of tobacco use," Langille said.

"But we're hoping that our government will make choices in preventative medicine and supporting those living with tobacco-induced disease right now." 

Desjardins said he understands the argument for using the money to fight smoking, but pointed out it is compensation for money already spent on caring for smokers — spending that contributed to budget deficits and provincial debt.

"I don't think there's an obligation to earmark the money for specific programs," he said.

"The money that was spent on health over the past several decades would have either stayed in the pockets of taxpayers or been spent elsewhere. So I think the provinces do have the moral grounds to put the money where they think the priorities are." 

ABOUT THE AUTHOR


Jacques Poitras

Provincial Affairs reporter

Jacques Poitras has been CBC's provincial affairs reporter in New Brunswick since 2000. He grew up in Moncton and covered Parliament in Ottawa for the New Brunswick Telegraph-Journal. He has reported on every New Brunswick election since 1995 and won awards from the Radio Television Digital News Association, the National Newspaper Awards and Amnesty International. He is also the author of five non-fiction books about New Brunswick politics and history.

 
 
 
 
 
 

Liberal lobbyists take on new clients after Holt election win

 Two former premiers are among the consultants working for companies hoping to influence decision-makers. A previous version of this video included an incorrect reference to former Liberal cabinet minister Doug Tyler, who in fact has not taken on new clients since last year's election.
 
 
 
 

The Holt government’s $614-million predicament

Liberals could use tobacco settlement to reduce deficit or to fund anti-smoking programs. 
 
 
 
 
 

Why is N.B. spending $19K US per month lobbying Washington?

CBC News 
 
Feb 18, 2025
Fresh from her trip to Washington, D.C., with the other premiers, Premier Susan Holt talks trade, tariffs and threats of annexation with CBC New Brunswick host Clare MacKenzie.
 
 
 
 
 
 
 
 
 
 
 

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