First year

Dexter's party won the general election held on June 9, 2009 and became the first NDP government in Nova Scotia, and the first in Atlantic Canada.^[16] He was sworn in as Premier of Nova Scotia on June 19, 2009.^[22]

The Dexter government struggled for the first year of its mandate to control spending on public programs while increasing revenue. It paid off when Dexter's minister of finance Graham Steele posted the provincial budget on April 4, 2011, showing a $447 million surplus – one of the largest in Nova Scotia's history and only the 7th time the debt was paid down since 1950.^[23] Major factors in recording this surplus were a one-time adjustment from the federal government of almost $200 million as well as an increase to the HST by two percentage points.^[24] However, Dexter's government also made several unpopular decisions, including removing the freeze on tuition fee hikes for Nova Scotia universities^[25] as well as budget cuts and freezes in public education and health care spending.^[26]

The first year in office, Dexter and his NDP government sat in the legislature for more days than the previous government's last four sessions combined; the Conservatives sat 15 days in the Fall of 2007, 21 days in the Spring of 2008, 16 days in the Fall of 2008 and 3 days in the Spring of 2009 when an election was called.^[27] Dexter's NDP government sat for 35 days in the Fall of 2009^[28] and 32 days in the Spring of 2010.^[29]

Legislative highlights in the first year included the province beginning to help cover the travel cost for out-of-province medical care,^[30] increasing funding to women's shelters for the first time in a decade,^[31] creating a Graduate Retention Rebate for graduates who stay in Nova Scotia,^[32] banning uranium mining^[33] and the use of cosmetic pesticides,^[34] banning political donations by unions and businesses,^[35] and launching a new renewable energy strategy with a target of 40% renewable energy by 2020.^[36]

In December 2009, at an international summit in Copenhagen, Dexter was awarded a Climate Leadership in Canada award for putting a Greenhouse Gas Emissions Cap on electricity in Nova Scotia.^[37]

In Dexter's first year as Premier two significant stories caused controversy for the NDP government and Nova Scotia's MLAs. On February 3, 2010, Nova Scotia auditor general Jacques Lapointe released a report stating that many Nova Scotia politicians had filed expense claims that were "excessive or inappropriate" because of inadequate spending controls that invite errors and misuse.^[38] Lapointe's report found that politicians had used taxpayers' money to buy items including televisions, cameras and other electronic equipment, custom-made furniture, model boats, and espresso makers.^[39] Lapointe's report questioned the appropriateness of the spending habits of all three main political parties. Dexter himself expensed $7,650 for a pair of laptops and a digital camera, while taxpayers picked up his annual $3,500 professional fee to the Nova Scotia Barrister's Society.^[40] Dexter later rejected a call for a public inquiry into the MLA spending scandal, saying that due to the Auditor General's report, excessive and inappropriate spending by MLAs would be curtailed.^[41] Dexter promised reforms to the expense system, and the first bill he introduced in the spring of 2010 was An Act to Establish a Management Commission for the Effective Administration of the House of Assembly,^[29] saying "I promised Nova Scotians that their demands for an open and transparent system for MLA expenses would be met."^[42]

Three former and one incumbent Member of the Legislative Assembly, Liberals Dave Wilson, Russell MacKinnon, Progressive Conservative Richard Hurlburt, and former NDP turned Independent MLA Trevor Zinck were criminally charged for their involvement.^[43]

The second controversy occurred on February 25, 2010, when Elections Nova Scotia fined the governing NDP $10,000, the maximum fine under the governing act,^[44] for accepting an illegal campaign donation from a trade union, referring the case to police. The agency said the NDP took more than $5,000 from a single donor and failed to return $45,000 from eight unions and one union affiliate, though it "knew or should have known" the money was all from the Mainland Building and Construction Trades Council. After the release of the report, Dexter stated that he had believed the money had been returned. Party secretary Ed Wark resigned, citing a "serious error in judgment".^[45]

Second year

The Dexter government used the second year of its mandate to continue to get spending under control while increasing revenue. Dexter also lobbied the federal government on helping with "nation-building" projects including the Lower Churchill Falls renewable energy project^[46] from Newfoundland to Nova Scotia and awarding a national ship building contract to the Halifax shipyard.^[47]

Dexter's NDP government continued to sit in the legislature for double the days of the previous government. Significant legislation in the second year included creating the province's first debt-cap for university students,^[48] a tax reduction for small business,^[49] an Auditor General Act giving that office more power and access to information,^[50] an indefinite moratorium on oil and gas exploration on Georges Bank,^[51] and Canada's first "Lemon Law" which requires used car dealers to give buyers more information.^[52]

Two decisions saw significant opposition during Dexter's second year as Premier. The first was his government's replacing an early learning program called Reading Recovery with Succeeding in Reading. Critics were concerned changing programs would hurt children's literacy, while advocates argued that the old program was too expensive and the new program would help more children in more grades.^[53]

Business advocates were concerned that a bill that was barely debated by the opposition in the legislature in the bill's first stages would give power to labour unions, and they held up passage of the bill by several weeks. The bill combined the activities of six boards into one unified Labour Board and created a Labour Management Review Committee that consisted of managers and employees from unionized workplaces. Critics wanted non-unionized business people to have a say in how workplaces become unionized and worried about a preamble that supported including collective bargaining as part of the Freedom to Assemble, while advocates argued that the committee was required by law to consult with businesses and that the preamble had been in the Canada Labour Code since 1972. The government amended the bill to guarantee non-unionized businesses are consulted on potential labour changes affecting matters including union drives.^[54]

The 2011 budget was tabled on April 5. Although the final figures for 2010 showed a surprising surplus,^[55] Dexter's Finance Minister Graham Steele estimated a deficit for 2011 of $389 million, and promised to continue with their 4-year plan to get Nova Scotia out of unsustainable spending through both economic growth and trimming department budgets.^[49] The NDP pledged to reduce debt servicing costs, expand their ban March Madness spending in departments, keep unbudgeted spending low and continue to review department programs. The budget also pledged to open Canada's first Collaborative Emergency Centres as a way of keeping emergency health services in rural Nova Scotia, reduce the price of prescription drugs for people on Medicare, provide tax relief by increasing the Basic Personal Amount, and give more money to people living on income assistance. Critics suggested the projected deficit was higher than it should be as a way of the government providing good news when the deficit turns out to be lower and called for more cuts and faster cuts, while Dexter's government said unpredictable conditions in the worldwide economy required caution and stated the opposition would need to explain where extra cuts would come from.^[56]

Third year

The third year of Dexter's mandate brought significant news for the province. The Halifax Shipyard was awarded the federal shipbuilding contract,^[57] and the NDP announced an agreement with Newfoundland on the Lower Churchill project to bring hydroelectricity to Nova Scotia.^[58] Dexter's government also opened Canada's first Collaborative Emergency Centres to start to address emergency room closures in rural Nova Scotia.^[59]

Significant legislation in the third year included re-creating Nova Scotia's independent Arts Council,^[60] capping cellphone contract cancellation fees,^[61] scheduling a reduction in the HST by one point in 2014 and another point in 2015,^[62] and reducing the small business tax for the third year in a row.

Two decisions drew substantial opposition during Dexter's third year as Premier. Both the Conservatives and Liberals tried to block a labour-friendly bill on First Contract Arbitration. The bill meant that if employees voted democratically to form a union but could not reach an agreement with their employer on a first-contract, then an arbitrator would create one to avoid a strike. Critics said the legislation showed the NDP was on the side of workers instead of business, while advocates pointed out that similar legislation exists across Canada regardless of which party is in power, reduced the number of work stoppages, and did not lead to job losses in other provinces.^[63]

The second controversy involved his government's work to try to save the forestry and pulp and paper industries in the province. While both opposition parties eventually voted for the legislation to help the paper mill in Queens County, some criticized the move to protect jobs as too costly while others applauded the moves to save the economies of the towns of Liverpool and Port Hawkesbury.^[64] In the end, the government support was not enough and the Bowater plant in Liverpool closed.^[65]

The 2012 budget was tabled on April 12. Dexter made a surprise announcement the day before Finance Minister Graham Steele's budget, announcing that the HST would be reduced by 1 point in 2014 and a second point in 2015.^[66]

The budget continued with the NDP's four-year plan to stop Nova Scotia's unsustainable spending through both economic stimulus and holding the line on department budgets. The budget also pledged to open more Collaborative Emergency Centres, help the poor and disabled, provide more needs-based grants to university students, and invest heavily in rural road and highway repair. The budget projected a deficit of $211.2 million, slightly better than the $215.8 million deficit anticipated in the province's fiscal plan, and projected a surplus in the next year.^[67]

As Dexter's third year as Premier came to an end, two long-time colleagues announced they would not re-offer when the next election is called. Transportation and Infrastructure Minister Bill Estabrooks and Finance Minister Graham Steele stepped down from Cabinet and were replaced by Antigonish MLA Maurice Smith and Nova Scotia's first ever female Finance Minister Maureen MacDonald.^[68]

Fourth year

The fourth year of Dexter's government included the introduction of a balanced budget,^[69] and significant debate over the Maritime Link project with the province of Newfoundland.^[70]

Significant legislation in the fourth year included stronger protection for animals,^[71] cyber-safety laws,^[72] the Betty Bauman law,^[73] and reducing the small business tax for the fourth year in a row.

One topic saw substantial debate throughout the year was the question of whether to move forward with the Maritime Link project, which would bring in hydroelectricity from Newfoundland at a fixed rate over 35 years. Opponents suggested Nova Scotia should move slower on renewable energy,^[74] or import energy from Hydro-Québec instead.^[75] Proponents of the deal said it was a made-in-Atlantic-Canada solution, would put Nova Scotia into an "energy loop" and allow the province to meet both its green-house gas emissions requirements and renewable energy targets.^[76]

The 2012 budget was tabled on April 4, and presented a small surplus of $16.4 million, ending the NDP's four-year plan to get "back to balance".^[69] The budget also invested in more Collaborative Emergency Centres, insulin pump funding for children, expanded dental care coverage for children, expanded newborn screening, and tax breaks for low income seniors.^[77]

The Dexter government was heavily defeated in the 2013 provincial election which saw the NDP collapse to only 7 seats, reducing it to third party status in the legislature behind Stephen McNeil's Liberals and the PCs. This was mainly due to a near-wipeout in Halifax, the party's power base for almost two decades; the NDP went from holding 14 of the capital's 20 seats to just two. Dexter ran in Cole Harbour-Portland Valley, essentially a reconfigured version of his old seat, and lost to Liberal candidate Tony Ince by only 21 votes. He was the first sitting premier of Nova Scotia to be unseated in his own riding since Ernest Howard Armstrong in 1925. Eight other members of his cabinet were defeated. Dexter served as premier until his successor Stephen McNeil was sworn in as the 28th Premier of Nova Scotia on October 22, 2013,^[78] and later announced on November 16, 2013 that he would resign as NDP leader, effective November 23, 2013.^[2]