The Problems Faced by the Cape Breton Regional Municipality - Term Paper Example

Running Head: CBRM: GOVERNANCE AND ECONOMIC STABILITY CBRM: Governance and Economic Stability The Cape Breton Regional Municipality (CBRM) comprises of the city of Sidney, six towns and Cape Briton, a rural municipality (Sancton, 2000, p 90). Total population of CBRM is approximately more than 100, 000 (Patterson, Paul, and Biagi, 2003, p 261). CBRM is included within the province of Nova Scotia, Canada. The region of Nova Scotia is divided into three chief regions or municipalities. These are- Queens Regional Municipality, the Cape Breton Municipality and the Halifax Regional Municipality (HRM). While the former comprises one city and one rural municipality, HRM consists amalgamation of one rural municipality, two cities and own town (McAllisteR, 2011, p 94). Before delving deep into the governance and economic systems of CBRM, is it important that we consider the problems faced by the province in recent years. It had once grown into an industrial slump, hit by depression and uncertainty. CBRM was perhaps was affected more than any other province in Canada. This gave rise to poor financial condition, poverty and unemployment. Thus, formulating the fiscal and economic policies has become a challenge for CBRM in present times. This paper aims at examining the governing system of CBRM, it fiscal and economic sustainability and policies for the same. This paper throws a good amount of light on the practices, policies undertaken and their outcomes. Governance CBRM holds an important position when it comes to local administration (Impressions of Cape Breton, 1986, p 263). The crisis of DOSDO during 1966- 1967, has shaped up the political map of CBRM. Since then local political sensibility has controlled CBRM’s development, though political strategies implemented by the new government has succeeded in lessening political fragmentation within the province (Gagnon and Keating, 2012, p 110-111). In spite of following the policy of no amalgamation with other municipalities within the province of Nova Scotia, all the municipal corporations cooperate with each other. Generally municipalities which share any similar characteristics cooperate with each other. Thus there exists a relation based on cooperation among CBRM and another municipality HRM. The revenue that is earned is divided among the amalgamated provinces. Therefore, conflicts often occur over fair distribution of provincial revenues. Also, political lobbying also has its say when it comes of attention from Canadian government and share of resources (Sancton and Andrew, 2009, p 168). The amalgamation took place as a measure to reduce the annual expenditure. It was estimated that by merging different municipalities, it would be possible to save $ 6.5 million on an annual basis. It took the operating expenditures to $77.1 million (Sancton, 2000, p 90). Election for municipal corporations occurs every four years. In the elections of municipality, no political partying exists, that is none of them are recognized. All Canadian citizens, above the age of eighteen are eligible to vote in municipal elections, provided they have lived within the province for three months (Sancton and Andrew, 2009, p 172). All municipal governments in Canada are facing a common problem in present times. A strange phenomenon has been noticed amount citizens of CBRM as well as other municipal provinces. Minority and backward communities, especially in marginal areas are expressing their discontent and lack of participation in the programs launched by the government to help them. This symptom has brought up a new challenge for the CBRM governance- the challenge of informing citizens and making them participate in various development projects and programs (MacIntyre, 1995, p 40). Strategically, policies of CBRM include ‘scale jumping’, in which it confronts the scalar aspect. “Stalled negotiations” with “provincial states” are made to protest against the “interscalar rule regime”, as because the later was restricting the activities and power of the local government. Such measures reveal that more inclusive development of the province of Cape Breton is what aimed by CBRM (Gagnon and Keating, 2012, p 112-113). As compared to HRM, governance of CBRM has achieved less success presently. CBRM has no community council for effective municipal governance. Nova Scotia is said to have been one of “the most over governed province” and CBRM could be credited for it. Added to it, CBRM is blamed for promoting sluggishness in economic development, thereby creating a huge deficit of as much as $4.5 million in its balanced budget (The Savage Years: The Perils of Reinventing Government in Nova Scotia, 2000, p 247). Economic policy The pattern of economy has changed over a past few decades in CBRM. Previously, economy of the province was entirely dependent on heavy industries- industries of coal and steel. Fishery was another important industry of CBRM> but in last fifty years, both these industries have suffered heavy loss and mismanagement. Thus, the citizens of CBRM had no other choice but to shift to other occupations. This incident had tuned the economy into knowledge- based economy. That is to say, the province of CBRM is exploiting its expertise in the field of literature, music and fine arts. It’s rich Celtic- inspired cultural heritage along with education are the chief factors due to which the province is moving towards prosperity. Small businesses have taken control over economy of CBRM at present day (Patterson, Paul, and Biagi, 2003, p 17). In present times, CBRM‘s economy is completely dependent on external economies. Before, 1950, the scenario was completely different. Presently, due to ineffective economic policies, CBRM has highest rate of unemployment and poverty. Cape Breton gets less importance in state affairs as it could be seen that representatives or state Breton have less say in state affairs, only confirming participation of communities (Patterson, Paul, and Biagi, 2003, p 256). CBRM depends on its natural resources for sustaining economically. It has developed iron and steel industries. Other industries which developed gradually are mining of gypsum, salt, and barites. Agriculture does not contribute much to the revenue of this province. Rather its orientation towards service and skilled workforce is sustaining its financial needs. In this regard, it could be said that CBRM is self- sufficient when it comes to finance and management of fiscal policies (Orkin, 2009, p 13). As measure for economic development, some of the initiatives undertaken by CBRM are letting the local airport of Sidney go private, establishing facility for recreation and convention in Sidney. Also, establishment of local schools and other educational institutions has further strengthened the economy of CBRM. In an indirect mode, these schools also works for producing skilled human labor, by incorporating right entrepreneurial attitudes and above all self- confidence. For instance the University College of Cape Breton assists the local municipal government by supporting efforts for community- based development (MacIntyre, 1995, p 35). Other than political and administrative factors, other aspects which are hampering development of CBRM province are shortage of human resource, lack of proper experience and skills, lack of technological resources and non availability of risk capital (Gurstein, 1999, p 193- 207). Drawbacks: The planning policy of CBRM is regarded as defective one. This is because; CBRM’s economic policies are set by government agencies outside the province of CBRM. Therefore, system of economic development has become less effective as the jurisdictions of the government agencies are often unrealistic. Rather, it would have much adequate if the local authorities were given more power to take decisions and apply them. However, consequences of such a system are: firstly, the outside government agencies prefer to carry on with projects and programs which promises coherent development process and are long term ones, over ad hoc projects for any particular community or group. Also, the responsibility for failure is put on those communities or groups. Secondly, as because the government agencies do not belong to Nova Scotia, neither could they properly judge the present status of CBRM, nor the effectiveness of strategies and progress. Thus, they failed to acquire a strong vision and mission. Also, implementation, feedbacks, procedures, and formulation of goals and objectives, resource management caused discrepancy between them and the local authority (Patterson, Paul, and Biagi, 2003, p 261). Conclusion CBRM in Nova Scotia is one of the most influential provinces in Canada. It has a prestigious past for being a prosperous province, with the heavy industries accounting for its prosperity. Apart from iron and steel, another important source of earning revenue was fishery. However, all these collapsed after the province was affected repeatedly with conflicts, acquisitions and interference from external sources. Presently its economy is dependent on the skills of its citizens and cultural resource. Ever since came into being, it was never free from the domination of external or outside governances (Colgan and Tomblin, 2004, p 157). Time and again its politics, strategies and implementations are revised and formulated by these governances. Government’s policies were based on mutual cooperation. Though CBRM governance successes in maintain a peaceful atmosphere, it failed to dominate the political supremacy. It failed to bring out the desired effect, that is, development, sustainability and prosperity. This was largely because the acquisition of data, prosecutions of plans were on superficial level. It was never done by keeping the actual situation of Cape Breton. The failure of practical implications made brought upon financial crisis within the province of CBRM. Till date, the province has not fully recovered from this crisis though it is struggling hard to figure out its ways (MacIntyre, 1995, p 157). References Colgan, C. S., & Tomblin, S. G. (2004) Regionalism in a Global Society : Persistence and Change in Atlantic Canada and New England. Canada: University of Toronto Press. Gurstein, M. (1999), Fiddlers on the Wire, retrieved on 20 April, 2013, from http://link.springer.com/chapter/10.1007/978-1-4471-0561-9_14#page-1 Gagnon, A. & Keating, M. (2012) Political Autonomy and Divided Societies: Imagining Democratic Alternatives in Complex Settings. UK:Palgrave Macmillan. MacIntyre, G. A. (1995) Active Partners : Education and Local Development. Canada: Cape Breton University Press. McAllister, L. M. (2011) Governing Ourselves?: The Politics of Canadian Communities. Canada: UBC Press. Orkin, D. (2009) Nova Scotia: The Bradt Travel Guide. UK: Bradt Travel Guides. The Savage Years: The Perils of Reinventing Government in Nova Scotia (2000), Halifax: Formac Publishing Company. Patterson, Paul, and Biagi, S. (2003) The Loom of Change : Weaving a New Economy on Cape Breton. Biag Canada: Cape Breton University Press. Sancton, A. & Andrew, R. (2009) Foundations of governance: municipal government in Canadas provinces. . Canada: Young University of Toronto Press. Sancton, A. (2000) Merger Mania. Canada: McGill-Queens Press. Read More