Free money, sign here!

The Liberals put forward the idea of yearly "dividend" cheques where the federal government underestimates its surplus:

The Liberals’ Surplus Allocation Act will promise taxpayers a slice of the surplus along with their income-tax return, federal officials told The Canadian Press.

The legislation, to be tabled Friday, sets out a broader spending plan for the unplanned surpluses that Ottawa frequently racks up.

One-third of all unexpected surpluses will go to debt relief, one-third to program spending and one-third to taxpayers.

What's less clear from the article is how the money is to be allocated - it's not a uniform amount for each Canadian, but rather based on a recipient's tax bracket, and nothing in article suggests whether the difference is need-based (more money to lower earners) or refund-based (more money to higher earners). The former would be slightly less objectionable as some element of redistribution, though smart investments in program spending could accomplish an awful lot more toward that goal.

In either event, though, it's tough to argue with Judy Wasylycia-Leis' take:

“It’s not even enough to buy a cup of coffee every week. I think we’ve got to look at the real motive of the Liberals — which is a pretty transparent way of buying Canadians’ loyalty back and get ready for the next election.”

Politically, the bill is a fairly ingenious idea: if it passes, the Liberals could then claim that any effort to cut taxes or increase program spending jeopardizes a highly visible individual payout. Which would do some serious damage to the ability of opposition parties to propose meaningful change.

As is so often the case, though, good politics makes for terrible policy. And it looks like it'll be up to the opposition parties to call the bluff. If the Liberals want to go to the mat over an arbitrary division of surplus funds with basically no basis in logic, then it shouldn't take long for all three opposition parties to do their job and refuse the plan, even if that's not the most politically popular step in the meantime. After all, the bill will probably be long forgotten within seconds after the Gomery report comes out...while the added government hand-tying could have repercussions for years to come.