Legislative Assembly McFadyen resigned as advisor to the mayor in May 2005, in order to seek the federal Conservative Party nomination for Winnipeg South. He defeated rival candidate Rod Bruinooge by only twelve votes at the nomination meeting. When the federal election was deferred, McFadyen was hired by provincial Progressive Conservative leader Stuart Murray as a consultant on urban issues. The Progressive Conservatives were the Official Opposition party in this period, having lost a second election to the New Democratic Party under Gary Doer in 2003. Later in 2005, McFadyen resigned his federal nomination to seek the Progressive Conservative nomination for a provincial by-election in Fort Whyte. He was supported by Gary Filmon, and again defeated Bruinooge for the nomination. Fort Whyte is a safe Progressive Conservative seat, and McFadyen was elected without difficulty in December. Stuart Murray announced his resignation as Progressive Conservative leader in November 2005, after receiving a lukewarm endorsement at the party's annual convention. McFadyen was soon mentioned as a possible successor, even before his election to the legislature. In February 2006, he became the first candidate to officially declare for the party leadership. His campaign was supported by fourteen MLAs, including Jack Reimer, Kelvin Goertzen and Cliff Cullen, as well as former cabinet ministers Rosemary Vodrey, David Newman, Jim Downey and Shirley Render. He defeated rival candidates Ron Schuler and Ken Waddell on 29 April 2006. Leader of the Progressive Conservative Party McFadyen's first months as party leader were successful. The Progressive Conservatives surpassed the NDP in public opinion polls in June 2006, for the first time since 1999. McFadyen strongly criticized the Doer government over its alleged failure to protect investors from the failure of the Crocus Investment Fund, and launched a party task force into the matter headed by former cabinet minister Don Orchard. He also advocated fixed provincial election dates, and accused Doer of failing to keep an earlier pledge to end "hallway medicine" in the province. In late 2006, McFadyen reversed his party's former position and promised to continue Manitoba's tuition freeze if elected as Premier. He also promised compensation for investors in the Crocus fund and financial incentives for Manitobans buying energy-efficient cars, raised the prospect of sharing the provincial sales tax with cities, and argued that parents who allow their children to wander the streets at night should be held responsible if their children commit crimes. During a speech