Preventing Judgment Day

From: POLITICO Ottawa Playbook - Tuesday Apr 18,2023 10:01 am
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Apr 18, 2023 View in browser
 
Ottawa Playbook

By Nick Taylor-Vaisey

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Thanks for reading Ottawa Playbook. I'm your host, Nick Taylor-Vaisey. Today, we catch you up on the artificial intelligence debate languishing inside the House. Plus, all the lobbying that led to an Ericsson investment. Also, PROC's back at it.

DRIVING THE DAY

FIRST THING — Two connected sources told Playbook that Finance Minister CHRYSTIA FREELAND's first budget implementation bill is landing this Friday. It's the first look at how the Liberals plan to prioritize the many commitments flowing from Budget 2023. Stay tuned.

CHATGPT VS. THE HOUSE — The Liberals want to regulate artificial intelligence, presumably before sentient machines consume us all in a terrifying techno-pocalypse.

Innovation Minister FRANÇOIS-PHILIPPE CHAMPAGNE was far less dramatic when he spoke to Bill C-27 at second reading last November.

Champagne wants AI companies to "put in place measures to identify, assess and mitigate harms to the health, safety and well-being of Canadians." C-27 would force companies to "actively mitigate discrimination and bias" as they design AI systems.

The bill is only part-AI. The rest of it would legislate a long-overdue overhaul of digital privacy rules.

The NDP asked Speaker ANTHONY ROTA last year if the AI elements could be voted on separately. Rota ruled that MPs could do so. Liberals haven't appeared open to a split vote, but they haven't forced an end to the debate, either.

 — Inside the House: C-27 returns to the Commons for a fifth day of second-reading debate this week, likely on Thursday.

— A letter-writing campaign: A letter in support of C-27 is circulating among AI researchers in Ontario and Quebec. The signatories could publish the letter in time for House debate — a symbol of key stakeholder support that Liberals could quote generously on the chamber floor.

— Why something needs to happen: Playbook got on the horn with BLAKE RICHARDS. No, not the Tory MP — this is the assistant professor in the Montreal Neurological Institute and the School of Computer Science at McGill University. Richards is also a core faculty member at the Quebec Artificial Intelligence Institute.

We asked him why AI needs government regulation in the first place.

"If you have AI models that can fool people into thinking they're other human beings, that also means that you can get up to a lot of nefarious s--t," he said. "You could manipulate democracy, you could convince people of falsehoods, you could spread vicious rumors about people, and the unsavvy would surely have no way of differentiating whether they were speaking to a model or a person and whether or not to trust what they were reading."

— What about self-regulation? No, said Richards. "I don't think we can leave this up to the big tech companies in California. Even aside from the philosophical problem with doing that, I just don't trust those guys. I know enough about the culture in Silicon Valley to say that they think they're a lot smarter than they are."

C-27 is a "good start," he says, which he supports in spirit. But there's a lot of work ahead.

— Why? What's wrong with C-27? Critics say the bill's AI elements are vaguely written and the result of too little consultation with industry.

Playbook obtained a briefing deck presented in March by Osler partner ADAM KARDASH, the chair of the firm's privacy and data management practice.

Kardash pointed to the absence of an independent ombudsman "for reporting, compliance and enforcement" of penalties. Kardash also flagged that "vast swaths of detail" on compliance measures — and even the definition of a "high impact" AI system — will only be hammered out through a regulatory process that won't be debated in Parliament.

Kardash recommended a return to the drawing board and broad consultations.

— A rebuttal: Champagne's office insists the department "conducted consultations with AI leaders including from industry." And the government has committed to a "broad and inclusive consultation of industry, academia, civil society, and Canadian communities" after C-27 becomes law.

— The NDP's view: The party's innovation critic, BRIAN MASSE, described the AI legislation as "very problematic" in a statement to Playbook: "From the business community to civil society groups to AI experts, all have expounded on the many issues and concerns with the bill in its present state."

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TODAY'S HIGHLIGHTS

— Prime Minister JUSTIN TRUDEAU is in Ottawa. He'll attend QP at 2:15 p.m. and Cabinet at 3:30 p.m..

— Deputy Prime Minister CHRYSTIA FREELAND will also attend QP and Cabinet.

8:30 a.m. Statistics Canada releases its Consumer Price Index for March.

9 a.m. Parliamentary Budget Officer YVES GIROUX pays a visit to the Senate national finance committee to talk about main estimates.

9:30 a.m. Trudeau will meet with the Canadian Dental Association.

10:45 a.m. NDP leader JAGMEET SINGH will hold a media availability on CEO incomes.

10:50 a.m. Trudeau will attend the National Holocaust Remembrance Day commemoration, and deliver remarks. Green leader ELIZABETH MAY will also be present.

11 a.m. Intergovernmental Affairs Minister DOMINIC LEBLANC will be guest of honor at the House transport committee on Main Estimates 2023-2024.

11 a.m. PBO YVES GIROUX is first up at the House finance committee, followed by the Bank of Canada’s No. 1 and No. 2, TIFF MACKLEM and CAROLYN ROGERS.

4 p.m. Singh will meet the Canadian Dental Association.

4:30 p.m. Members of the National Security and Intelligence Committee of Parliamentarians (NSICOP) including chair DAVID MCGUINTY, Sen. FRANCES LANKIN and executive director LISA-MARIE INMAN make an appearance at the House public safety committee.

6:30 p.m. The House procedure and House affairs committee continues its study of foreign election interference where former Privy Council clerk MICHAEL WERNICK and DANIEL JEAN, the prime minister’s former national security and intelligence adviser, are up as witnesses.

For your radar

PROC O'CLOCK — It's go time once again for the procedure and House affairs committee, which gathers today for the first time since last week's two-hour meeting of minds with KATIE TELFORD.

On the witness list for the evening meetup that gets rolling at 6:30 are former Privy Council clerk MICHAEL WERNICK and former national security adviser DANIEL JEAN.

Earnscliffe senior consultant SEAN MURPHY, a longtime Conservative whip staffer dating to the Harper era, explained in Monday's Playbook what he expects to hear from the government as the House digs in for five consecutive sitting weeks.

Today, Murphy gives his take on how the opposition could win the narrative — and the House affairs committee is in his sights.

— Oppo strategy: "The opposition will try to maintain and build momentum on big issues like the acknowledged interference by Beijing in Canada’s democratic processes (and a politically tinged charity). Unless and until we get a public inquiry, a parliamentary committee is still the best venue for this type of investigation not least because committees can operate in public and have the power to 'send for persons, papers and records.'

"Katie Telford’s appearance came as part of a deal to end a weeks-long filibuster and to secure the NDP’s support in defeating a CPC supply day motion that would have invited about three dozen more witnesses.

"I’ll be very interested to see where this goes next. Who is next on the invite list? Will the committee use its power to order sensitive documents? Such documents could say a whole lot more than any well-prepared witness ever would. I suspect we may see a few more filibusters in the next five weeks.“

NORDIC NICHE — Could Telenor be next in line for an infusion of federal investment?

Sure, the Norwegian telecom has no visible business interest in Canada, but won't it feel left out as Finnish Nokia and Swedish Ericsson build out their campuses in the bucolic suburban tech wonderland of Kanata, Ont.?

— The money on the table: Prime Minister JUSTIN TRUDEAU announced Monday an "over C$470-million" Ericsson project to "advance research and development toward next-generation 5G and 6G networks" that will "create and reskill hundreds of jobs" in Kanata and Montreal.

As for specifics: "Discussions are ongoing, and details of the project, including timelines and the level of federal support, will be confirmed in the near future."

— A long time coming: Ericsson CEO BÖRJE EKHOLM and Innovation Minister FRANÇOIS-PHILIPPE CHAMPAGNE were texting buddies. They first messaged each other on Jan. 13, 2022, by Champagne's recollection. Ekholm called them "legendary."

But the company's lobbying has run far deeper than SMS, tracing back years in the federal registry. Let's start following that first text message between minister and CEO.

Prospectus senior partner BRUCE HARTLEY organized an Oct. 4 meeting with Champagne senior policy adviser PETER OPDAM.

A much larger meeting followed on Nov. 15, when Prospectus principal BILL PRISTANSKI set up a conversation with two ISED senior assistant deputy ministers, MITCH DAVIES and ERIC DAGENAIS; and two ISED assistant deputy ministers, MARY GREGORY and COLETTE KAMINSKY. The company filed a separate meeting that tacked on ERIC COSTEN, another senior ADM.

By early December, Ericsson was bending the ear of Opdam and his boss, Champagne policy director BOYAN GERASIMOV, as well as Gregory and Kaminsky. The company capped two days of confabs with ISED deputy minister SHAWN TUPPER.

All was quiet on the lobbying front until March 2, when Ericsson and Hartley renewed their acquaintances with Opdam.

MEDIA ROOM

Top of Newswatch via DANIEL LEBLANC and LOUIS BLOUIN: Trudeau family vacationed with wealthy friends who donated to Pierre Elliott Trudeau Foundation.

— This sounds familiar. POLITICO reports: 2 men charged with running covert Chinese ‘police station’ in Manhattan

— Elections Canada is telling political parties to advertise the specific locations of fundraising events because it's the law — or, if they'd prefer, amend the law. Prime Minister JUSTIN TRUDEAU's events regularly name only the city of the fundraiser, not the venue, for security purposes.

DAVID MOSCROP argues a public service strike should be the NDP's red line.

— From the Toronto Star: Why paper can’t be the solution to Canada’s plastic ban — yet

STEPHEN KELLY at the Hub: Lowering telecom prices won’t come from policy tweaks. We need a drastic rethink

PROZONE

For POLITICO Pro s, our latest policy newsletter: Trudeau test drives new attack lines

From Pro’s TANYA SNYDER: Americans can purchase 91 models of electric cars and trucks — but as of today, only 14 qualify for federal tax breaks

In news for POLITICO Pro s:
G-7 ministers pledge action on fossil fuel phase-out.
Biden and Congress want to ban TikTok. At this point it may be impossible.
Washington takes aim at Brussels with London data summit.
Europe's plan to cut pharma pollution.
SEC sues crypto exchange Bittrex.

PLAYBOOKERS

Birthdays: HBD to Minister of Northern Affairs DAN VANDAL, former Conservative MP PETER VAN LOAN and former Liberal Cabinet Minister PIERRE PETTIGREW.

Spotted: The Globe's SHANNON PROUDFOOT, chronicling the poor state of affairs in the land of government comms.

Movers and shakers: MICHAL HAY is campaign director for OLIVIA CHOW's nascent bid for Toronto mayor.

Teck Resources has tapped BRAEDAN DE BAKKER of Rubicon Strategy, the makers of this bold claim: "No challenge is too difficult and we are ruthless at finding a pathway to success." Teck wants to monitor the National Security Review of Investments Modernization Act "and any ensuing regulatory changes."

Media mentions: Canadian Press reporter LEE BERTHIAUME is leaving the newswire for "a new challenge outside journalism."

Berthiaume wrote on Twitter: "Journalism in Canada is facing a range of challenges, from layoffs and closures to allegations of fake news and misinformation. There is a crisis of faith to go with a crisis of funds. I don't know what will happen, but I am reassured when I look around The Canadian Press's Ottawa bureau and elsewhere, and see the next generation of reporters who are picking up the torch."

On the Hill

Find the latest on House committee meetings here.

Keep track of Senate committee meetings here.

9 a.m. Canadian Human Rights Commission leaders CHARLOTTE-ANNE MALISCHEWSKI, VALERIE PHILLIPS and TABATHA TRANQUILLA will be at the Senate Indigenous peoples committee.

9:30 a.m. A discussion about committee structure and mandates is on the menu at the Senate rules and procedures committee with senators PETER BOEHM, PETER HARDER, and PERCY DOWNE on the witness list.

10 a.m. The Office of the Superintendent of Financial Institutions Superintendent PETER ROUTLEDGE holds a media briefing to mark the release of its annual risk outlook for 2023-2024.

11 a.m. The procedure and Hours affairs committee meets to study its report of the federal electoral boundaries commission for British Columbia with 10 MPs on the witness list: DON DAVIES, WILSON MIAO, HEDY FRY, TALEEB NOORMOHAMED, JOYCE MURRAY, TAKO VAN POPTA, KERRY-LYNNE FINDLAY, PETER JULIAN and BONITA ZARRILLO.

11 a.m. The House health committee gathers for clause-by-clause consideration of Bill C-252; Chief medical adviser SUPRIYA SHARMA of the health department will be in attendance in the first hour. At noon HESA will move in camera to discuss plans and to talk about its report on children’s health.

11 a.m. PBO YVES GIROUX is first up at the House finance committee, followed by the Bank of Canada’s No. 1 and No. 2, TIFF MACKLEM and CAROLYN ROGERS.

11 a.m. The House science and research committee will devote its first hour to witnesses on the commercialization of intellectual property. At noon, it closes its doors to discuss a report on research and scientific publication in French.

3:30 p.m. Treasury Board President MONA FORTIER will be at the House ethics committee as MPs finish their review of the Access to Information Act. FOI experts KEN RUBIN and MIKE LARSON will also appear.

3:30 p.m. Child care experts will be at the House human resources committee to discuss Bill C-35.

7 p.m. MPs ANJU DHILLON, PAM DAMOFF, YA’ARA SAKS and Sen. PIERRE DALPHOND hold a press conference after the Senate’s vote on Bill C-233, which includes a law named after Keira Kagan, a 4-year-old killed in 2020 in a murder-suicide.

— Behind closed doors: The House official languages committee; the House defense committee’s subcommittee on agenda and planning; the House natural resources committee, which will discuss its report on energy transformation; the Senate fisheries and oceans committee meets to review its report on the independence of commercial inshore fisheries in Atlantic Canada and Quebec.

TRIVIA

Monday’s answer: The notwithstanding clause was part of the Canadian Charter of Rights and Freedoms.

Props to BOB GORDON, CAROLYN MCCRIMMON, AMY BOUGHNER, JOANNA PLATER, JOHN DILLON, SHEILA GERVAIS, BRAM ABRAMSON, ANDREW SZENDE, ROBERT MCDOUGALL, LAURA JARVIS, NATHAN GORDON, FAYE ROBERTS, MATTHEW GASPARIN and GERRY THORNE.

Today’s question: Maya Price is the great-great-great-great-great granddaughter of which former prime minister?

Send your answers to ottawaplaybook@politico.com.

Want to grab the attention of movers and shakers on Parliament Hill? Want your brand in front of a key audience of Ottawa influencers? Playbook can help. Contact Jesse Shapiro to find out how: jshapiro@politico.com.

Playbook wouldn’t happen without: Luiza Ch. Savage, Sue Allan and David Cohen.

 

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