Bill C-60 (Historical)

Economic Action Plan 2013 Act, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures

Part 1 implements certain income tax measures proposed in the March 21, 2013 budget. Most notably, it
(a) allows certain adoption-related expenses incurred before a child’s adoption file is opened to be eligible for the Adoption Expense Tax Credit;
(b) introduces an additional credit for first-time claimants of the Charitable Donations Tax Credit;
(c) makes expenses for the use of safety deposit boxes non-deductible;
(d) adjusts the Dividend Tax Credit and gross-up factor applicable in respect of dividends other than eligible dividends;
(e) allows collection action for 50% of taxes, interest and penalties in dispute in respect of a tax shelter that involves a charitable donation;
(f) extends, for one year, the Mineral Exploration Tax Credit for flow-through share investors;
(g) extends, for two years, the temporary accelerated capital cost allowance for eligible manufacturing and processing machinery and equipment;
(h) clarifies that the income tax reserve for future services is not available in respect of reclamation obligations;
(i) phases out the additional deduction available to credit unions over five years;
(j) amends rules regarding the judicial authorization process for imposing a requirement on a third party to provide information or documents related to an unnamed person or persons; and
(k) repeals the rules relating to international banking centres.
Part 1 also implements other income tax measures and tax-related measures. Most notably, it
(a) amends rules relating to caseload management of the Tax Court of Canada;
(b) streamlines the process for approving tax relief for Canadian Forces members and police officers;
(c) addresses a technical issue in relation to the temporary measure that allows certain family members to open a Registered Disability Savings Plan for an adult individual who might not be able to enter into a contract; and
(d) simplifies the determination of the Canadian-source income of non-resident pilots employed by Canadian airlines.
Part 2 implements certain goods and services tax and harmonized sales tax (GST/HST) measures proposed in the March 21, 2013 budget by
(a) reducing the compliance burden for employers under the GST/HST pension plan rules;
(b) providing the Minister of National Revenue the authority to withhold GST/HST refunds claimed by a business where the business has failed to provide certain GST/HST registration information;
(c) expanding the GST/HST exemption for publicly funded homemaker services to include personal care services provided to individuals who require such assistance at home;
(d) clarifying that reports, examinations and other services that are supplied for a non-health-care-related purpose do not qualify for the GST/HST exemption for basic health care services; and
(e) ending the current GST/HST point-of-sale relief for the Governor General.
Part 2 also amends the Excise Tax Act and Excise Act, 2001 to modify the rules regarding the judicial authorization process for imposing a requirement on a third party to provide information or documents related to an unnamed person or persons.
In addition, Part 2 amends the Excise Act, 2001 to ensure that the excise duty rate applicable to manufactured tobacco other than cigarettes and tobacco sticks is consistent with that applicable to other tobacco products.
Part 3 implements various measures, including by enacting and amending several Acts.
Division 1 of Part 3 amends the Customs Tariff to extend for ten years, until December 31, 2024, provisions relating to Canada’s preferential tariff treatments for developing and least-developed countries. Also, Division 1 reduces the rate of duty under tariff treatments in respect of a number of items relating to baby clothing and certain sports and athletic equipment imported into Canada on or after April 1, 2013.
Division 2 of Part 3 amends the Trust and Loan Companies Act, the Bank Act, the Insurance Companies Act and the Cooperative Credit Associations Act to remove some residency requirements to provide flexibility for financial institutions to efficiently structure the committees of their boards of directors.
Division 3 of Part 3 amends the Federal-Provincial Fiscal Arrangements Act to renew the equalization and territorial formula financing programs until March 31, 2019 and to implement total transfer protection for the 2013-2014 fiscal year. That Act is also amended to clarify the time of calculation of the growth rate of the Canada Health Transfer for each fiscal year beginning after March 31, 2017.
Division 4 of Part 3 authorizes payments to be made out of the Consolidated Revenue Fund to certain entities or for certain purposes.
Division 5 of Part 3 amends the Canadian Securities Regulation Regime Transition Office Act to remove the statutory dissolution date of the Canadian Securities Regulation Regime Transition Office and to provide authority for the Governor in Council, on the Minister of Finance’s recommendation, to set another date for the dissolution of that Office.
Division 6 of Part 3 amends the Investment Canada Act to clarify how proposed investments in Canada by foreign state-owned enterprises and WTO investors will be assessed and to allow for the extension, when necessary, of timelines associated with national security reviews.
Division 7 of Part 3 amends the Canada Pension Plan to ensure that the Canada Revenue Agency can accurately identify, calculate and refund overpayments made to the Canada Pension Plan and the Quebec Pension Plan in a particular year by contributors who live outside Quebec.
Division 8 of Part 3 amends the Pension Act and the War Veterans Allowance Act to ensure that veterans’ disability benefits are no longer deducted when calculating war veterans allowance.
Division 9 of Part 3 amends the Immigration and Refugee Protection Act to authorize the revocation of temporary foreign worker permits, the revocation and suspension of opinions provided by the Department of Human Resources and Skills Development with respect to an application for a work permit and the refusal to process requests for such opinions. It authorizes fees to be paid for rights and privileges conferred by means of a work permit and exempts, from the application of the User Fees Act, those fees as well as fees for the provision of services in relation to the processing of applications for a temporary resident visa, work permit, study permit or extension of an authorization to remain in Canada as a temporary resident or in relation to requests for an opinion with respect to an application for a work permit.
It also provides that decisions made by the Refugee Protection Division under the Immigration and Refugee Protection Act in respect of claims for refugee protection that were referred to that Division during a specified period are not subject to appeal to the Refugee Appeal Division if they take effect after a certain date.
Division 10 of Part 3 amends the Citizenship Act to expand the Governor in Council’s authority to make regulations respecting fees for services provided in the administration of that Act and cases in which those fees may be waived. It also exempts, from the application of the User Fees Act, fees for services provided in the administration of the Citizenship Act.
Division 11 of Part 3 amends the Nuclear Safety and Control Act to authorize the Canadian Nuclear Safety Commission to spend for its purposes the revenue it receives from the fees it charges for licences.
Division 12 of Part 3 enacts the Department of Foreign Affairs, Trade and Development Act, sets out the powers, duties and functions of the Minister of Foreign Affairs, the Minister for International Trade and the Minister for International Development and provides for the amalgamation of the Department of Foreign Affairs and International Trade and the Canadian International Development Agency.
Division 13 of Part 3 authorizes the taking of measures with respect to the reorganization and divestiture of all or any part of Ridley Terminals Inc.
Division 14 of Part 3 amends the National Capital Act and the Department of Canadian Heritage Act to transfer certain powers, duties and functions to the Minister of Canadian Heritage from the National Capital Commission. It also makes consequential amendments to the National Holocaust Monument Act to change the Minister responsible for the construction of the monument to the Minister of Canadian Heritage from the Minister responsible for the National Capital Act.
Division 15 of Part 3 amends the Salaries Act to add ministerial positions for regional development responsibilities for northern Canada, and northern and southern Ontario. It also amends the Salaries Act to replace a reference to the Solicitor General of Canada with a reference to the Minister of Public Safety and Emergency Preparedness. It also makes an amendment to the Parliament of Canada Act to provide that the maximum number of Parliamentary Secretaries who may be appointed is equal to the number of ministers for whom salaries are provided in the Salaries Act.
Division 16 of Part 3 amends the Department of Public Works and Government Services Act to remove the requirement for the Minister of Public Works and Government Services to obtain a request from a government, body or person in Canada or elsewhere in order for the Minister to do certain things for or on their behalf. It also amends that Act to specify that the Governor in Council’s approval relating to those things may be given on a general or a specific basis.
Division 17 of Part 3 amends the Financial Administration Act to give the Governor in Council the authority to direct a Crown corporation to have its negotiating mandate approved by the Treasury Board for the purpose of the Crown corporation entering into a collective agreement with a bargaining agent. It also gives the Treasury Board the authority to require that an employee under the jurisdiction of the Secretary of the Treasury Board observe the collective bargaining between the Crown corporation and the bargaining agent. It requires that a Crown corporation that is directed to have its negotiating mandate approved obtain the Treasury Board’s approval before entering into a collective agreement. It also gives the Governor in Council the authority to direct a Crown corporation to obtain the Treasury Board’s approval before the Crown corporation fixes the terms and conditions of employment of certain of its non-unionized employees. Finally, it makes consequential amendments to other Acts.
Division 18 of Part 3 amends the Keeping Canada’s Economy and Jobs Growing Act to provide for increases to the sums that may be paid out of the Consolidated Revenue Fund for municipal, regional and First Nations infrastructure through the Gas Tax Fund. It also provides that the sums may be paid on the requisition of the Minister of Indian Affairs and Northern Development.

Report Stage

[Scott Brison, Liberal, Kings—Hants, NS]

Mr. Speaker, before being so rudely interrupted by the weekend, I was saying that the Conservatives' latest budget would raise taxes by a whopping $3.3 billion over four years, and a number of these tax measures are included in this budget implementation act.

Bill C-60 would attack Canada's rural economy, with tax increases on credit unions. It would take more money out of small communities that are already struggling, and it would make it harder for small businesses in rural and small-town Canada to get the credit they need to grow and create jobs.

This is what David Phillips, president and CEO of Credit Union Central of Canada had to say:

The income tax increase on credit unions...is growth limiting. It deprives credit unions of income that might otherwise be used to support the growth of the credit union by building its capital base. The credit union will...have less capacity to make loans to small business, fund community economic development, and meet member needs.

It disregards the federal government's desire to support small business in local communities...

...it's really a tax on growth.

It is a tax on growth in rural and small-town Canada.

Garth Manness, the CEO of Credit Union Central of Manitoba, said:

...it is no exaggeration to say that some...may begin to question the future viability of credit unions in many communities in rural Canada. Not only could people be left without access to a nearby financial institution, [but] valuable and stable jobs at the credit unions could be lost.

Many of Canada's smaller rural communities face persistently higher unemployment rates and a rapidly aging population as younger workers move to cities for stable jobs. It is illogical for the Conservatives to go ahead with this tax hike on credit unions and diminish an already-limited source of investment in these rural and small-town communities.

On top of hurting small businesses that rely on credit unions, Bill C-60 would attack 750,000 Canadian small-business owners with a new tax hike on dividends. This legislation would even raise taxes on safety depot boxes. Perhaps what is most offensive is that Bill C-60 would actually punish victims of crime by adding GST or HST to health care services they need to establish their case in court.

The Canadian Psychological Association remains concerned that Bill C-60 would add GST and HST to mental health services, including psychological assessments. This is what Karen Cohen, the CEO of the Canadian Psychological Association, said when she appeared before the finance committee: “If passed without clarification or amendment, Canadians will now have to pay taxes on certain psychological services that were once exempt”. She provided a number of examples of Canadian patients who would now have to pay GST on mental health services, and went on to say:

It's important to note that this isn't a pocketbook issue for psychologists. It's not the psychologists who have to pay this tax. It's going to be hard-working Canadians who have a health need that is not met by Canada's publicly funded health care system.

A psychological assessment can cost thousands of dollars in out-of-pocket fees. The amount of money at stake for Canadian patients is not trivial.

While it may be true that the Conservatives' latest omnibus budget bill is less omni-busive than either Bill C-38 or Bill C-45, it is still deeply flawed, and we see the government now moving closure to ram this through the House of Commons without respect for Parliament and without proper scrutiny. This bill would threaten the independence of the CBC; it would raise taxes on hard-working Canadian families.

We proposed at committee some constructive amendments to address the very legitimate objections raised by Canadians during the committee's studies, but the Conservatives would not listen to reason. They have been deaf to the concerns of Canadians on this, and I expect Canadians will return the favour to the Conservatives in the next federal election.

The House resumed from May 31 consideration of Bill C-60, An Act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, as reported (without amendment) from the committee, and of the motions in Group No. 1.

Bill C-60--Time Allocation Motion

[Shelly Glover, Conservative, Parliamentary Secretary to the Minister of Finance]

Mr. Speaker, I want to commend the minister for his answers. However, as I sit on the finance committee, it is hypocritical of the other parties to come here and present things that really are not factual. In committee, we heard from a number of witnesses, and the majority supported the measures in Bill C-60.

I also want to reply to some of the comments made by the NDP on how many pieces of legislation are in the bill. This is typical, and I would ask the minister to comment on how typical it is. The minister commented on the Liberals having a longer bill in 2001.

It is hypocritical when the NDP government in Manitoba recently, on May 31, was criticized for its omnibus budget bill, which actually introduces a controversial new subsidy for political parties. As members know, we are eliminating political subsidies. We think it is important that donations come to parties from taxpayers. However, the NDP government in Manitoba is going to provide new political aid through taxpayer funds in its omnibus budget bill. It is also going to reduce penalties for cabinet ministers in that omnibus bill. I do not agree with that. Let us hear from the minister about how typical it is to effect change with a number of legislations. What we will not do is hide things, as we see in Manitoba, in our omnibus bills.

[Guy Caron, NDP, Rimouski-Neigette—Témiscouata—Les Basques, QC]

Mr. Speaker, let me explain the normal stages of a bill as it makes its way through the House and the committees. First, the bill, the subject matter of which is often rather complicated, passes at second reading and is studied intensively during four or five meetings in committee. Then, it comes back to the House to be debated. All that for just one bill.

However, in the case of the budget implementation bill, Bill C-60, which amends, adds or eliminates about 50 laws, only two and a half meetings of the Standing Committee on Finance, of which I am a member, were devoted to the provisions of Bill C-60.

I would remind hon. members that this bill includes two rather complex parts on taxation and a third part on various amendments to a number of statutes. Indeed, 18 different parts might have needed 18 separate bills.

We were given just one day of debate at second reading and two and a half meetings at the Standing Committee on Finance. Some very superficial meetings were held at other committees, but there was never any real study in committee. The committee on investment held just one meeting with officials and that is all. We did not even get to propose amendments in the Standing Committee on Finance.

How can the President of the Treasury Board claim that we have had ample time to debate Bill C-60, when we really only took an extremely superficial look at it?

[Elizabeth May, Green, Saanich—Gulf Islands, BC]

Mr. Speaker, every time there is time allocation on bills, the government breaks all records for that. The time for debate is shortened and that means limited time for members of Parliament, such as myself. I appreciate the hon. President of the Treasury Board said that there were opportunities. I tried to get to all the various committee hearings on Bill C-60, because it is such important legislation. As I am not a member of those committees, I am not allowed to ask questions.

However, the way in which witnesses are being treated in this current administration is an aberration compared to previous parliamentary procedures where in legislative committees witnesses would actually have sufficient time to put forward a 20-minute presentation and take lots of questions. We now have whole panels on many different topics. One panel can cover different topics. It gets five minutes and very little time for actual discussion and certainly no real deliberation, because everything is prescribed by partisan discipline.

In this context, right now on Bill C-60, I will have no opportunity to speak whatsoever. As you know, Mr. Speaker, and I am not protesting this point, none of my amendments or deletions or suggestions for Bill C-60 were chosen. I do not think there will be any speaking opportunity, yet I represent not just my party but my constituents, who have significant concerns.

We heard the member for Nanaimo—Cowichan speak about the changes to crown corporations, the changes to taxation of credit unions and the failure to define national security, one of the few opportunities we have had to put a definition of national security in the Investment Canada Act. None of these points will I be able to give more than the cursory 30 seconds here and there. Because with time allocation, I will have no speaking opportunity.

I would like to ask the hon. President of the Treasury Board if he would speak to his government whip and ask that I be given one of the speaking slots for Conservative members.

[Scott Brison, Liberal, Kings—Hants, NS]

Mr. Speaker, we have heard from a number of witnesses, including Friends of Canadian Broadcasting, at committee. Also members of the finance committee received a letter from Hubert Lacroix, the president of CBC, who took what was almost an unprecedented step of writing to member and essentially threatening a court case if Bill C-60 passed without amendment. He said, “this legislation threatens the independence of the CBC and Radio Canada”. He said:

We believe that the proposed amendments to the Financial Administration Act...may conflict with key parts of the Broadcasting Act, our Corporation's governing legislation, and as a result, would reduce the independence that is critical to our operation.

He also said, “may give rise to conflicts with the Broadcasting Act and the Charter” and could ultimately lead to significant challenges in legal challenges with the corporation. He simply said that we could avoid all of this with an amendment that would protect the independence of the CBC.

Why is the government so hell-bent on driving this legislation through with closure? Why is the government not considering constructive amendments to avoid this kind of conflict with the CBC and this threat to the independence of public broadcasting?

[Peggy Nash, NDP, Parkdale—High Park, ON]

Mr. Speaker, today we have a record in this Parliament: 39 times this government has brought time allocation in to end debate, stifle debate, on parliamentary discussion of parliamentary bills.

Its previous own record stood at 31, which in itself is outrageous, but it has brought in time allocation now on 23 different bills since the election, for a total of 39 times.

The bill on which it is now bringing in time allocation is the budget implementation act, another omnibus budget bill, Bill C-60. In this bill, there are changes that would affect dozens of laws. Different parliamentary committees that should have had the opportunity to debate and question and pass some of this bill as separate individual bills have not had that chance.

This bill would affect the collective bargaining process in our crown corporations, would undermine the journalistic independence of the CBC and could undermine the independence of the Bank of Canada. We called for more study on this measure; the government shut that down.

This is a bill that would tinker with the temporary foreign workers program and the Investment Canada Act, which should themselves have separate debates, and it would raise taxes for Canadians across this country.

My question for the hon. minister is this: what is he and his government so afraid of that they have had to bring in time allocation 39 times?

[Tony Clement, Conservative, President of the Treasury Board and Minister for the Federal Economic Development Initiative for Northern Ontario]

moved:

That, in relation to Bill C-60, An Act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, not more than one further sitting day shall be allotted to the consideration at report stage of the Bill and one sitting day shall be allotted to the consideration at third reading stage of the said Bill; and

That, 15 minutes before the expiry of the time provided for Government Orders on the day allotted to the consideration at report stage and on the day allotted to the consideration at third reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and in turn every question necessary for the disposal of the stage of the Bill then under consideration shall be put forthwith and successively without further debate or amendment.

Bill C-60—Notice of time allocation motion

[Peter Van Loan, Conservative, Leader of the Government in the House of Commons]

Mr. Speaker, I must advise the House an agreement has not been reached under the provisions of Standing Orders 78(1) or 78(2) concerning the proceedings at report stage and third reading stage of Bill C-60, An Act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures.

Under the provisions of Standing Order 78(3), I give notice that a minister of the Crown will propose at the next sitting a motion to allot a specific number of days or hours for the consideration and disposal of proceedings at the said stage.

Canada Post

[Mauril Bélanger, Liberal, Ottawa—Vanier, ON]

Mr. Speaker, in November 2011, the Supreme Court ruled that Canada Post had to honour pay equity and compensate more than 6,000 employees. A year and a half later, the matter is still not settled. When I raised the question, I was told that Canada Post is an independent corporation that manages its own human resources. However, in 2011, the Conservatives did not hesitate to intervene, and if Bill C-60 is passed, they will not stop intervening.

Why do they interfere in Canada Post's affairs when it suits them, but they do not intervene to ensure compliance with a ruling by the highest court in the land?

Speaker's Ruling

[Scott Brison, Liberal, Kings—Hants, NS]

Mr. Speaker, I rise today to speak to Bill C-60, the Conservatives' latest omnibus budget implementation act, as well as amendments that are now before the House.

The Liberals continue to oppose Bill C-60 for two key reasons: this legislation threatens the independence of the Canadian Broadcasting Corporation, and it continues to raise taxes on middle-class Canadians in order to pay for the Conservatives’ wasteful spending.

At committee, the Liberals put forward several constructive amendments to help address these concerns. Unfortunately, the Conservatives refused to listen and give decent consideration to these amendments. They refused to entertain any amendments whatsoever, despite the growing evidence that Bill C-60 is in fact deeply flawed.

To give an example of just how flawed the legislation is, Mr. Hubert Lacroix, the president of CBC/Radio-Canada, took the almost unprecedented step of writing to the members of the finance committee and essentially threatening a court case if Bill C-60 passes without amendment. He said that the legislation threatens the independence of the CBC and Radio-Canada. This is what he told us in his letter:

We believe that the proposed amendments to the Financial Administration Act….may conflict with key parts of the Broadcasting Act, our corporation’s governing legislation, and as a result, would reduce the independence that is critical to our operation.

He further stated:

“[The bill]…may give rise to conflicts with the Broadcasting Act and the Charter and compromise the Corporation’s independence.

This could potentially embroil the government, our corporation, and its unions in litigation, a result that could be avoided with an amendment that protects that independence.

We have also heard from tens of thousands of Canadians who have signed petitions and written to their MPs in order to protest the way in which Bill C-60 threatens the independence of the CBC and Radio-Canada.

Unlike the government, Canadians understand that the CBC/Radio-Canada was originally set up as an independent crown corporation in order to shield it from political interference. While the government appoints the board of directors and determines the overall budget of the CBC and Radio-Canada, this cultural crown corporation has always had the independence to determine who should work there and how much they should get paid. This legislation effectively removes that independence.

Canadians have been clear. They do not want politicians to punish reporters or journalists from the CBC and Radio-Canada for asking any of us uncomfortable questions. In an effort to be constructive, Liberals tried to provide the Conservatives with options in order to address these concerns. We proposed a constructive amendment that would have excluded the CBC and Radio-Canada from the measures of Bill C-60.

We also proposed an amendment that would have simply yet clearly protected the independence of CBC and Radio-Canada from the measures in this bill so that the government could avoid a potential legal showdown, but the Conservatives would not listen to reason and consider these amendments. They seem to have become completely deaf to the concerns of Canadians.

George Smith, a professor at Queen's University, who has also served as a chief management negotiator for the CBC and Radio-Canada, also appeared before the finance committee and was clear that the changes in Bill C-60 are not just bad for labour, they are bad for business. This is what Professor Smith predicts will happen under this legislation:

Relationships between labour and management, which are fragile at best during stressful negotiations, will be strained to the point of breaking with the negative consequence of ensuring labour disputes. There will be costs to the economy. In sum, an already complex process will be complicated to the point where in my considered professional opinion it will become totally dysfunctional.

In addition to threatening the stability of CBC/Radio-Canada, one of Canada's most cherished cultural institutions, as well as endangering labour relations, this legislation actually raises taxes on Canadians. In fact, in each of the last four budgets, the Conservatives have raised taxes on hard-working, middle-class Canadian families. Their latest budget raised taxes by a whopping $3.3 billion over the next four years and a number of these tax measures are included in Bill C-60. Bill C-60 actually attacks Canada's rural and small-town economy with a tax increase on credit unions.

[Shelly Glover, Conservative, Parliamentary Secretary to the Minister of Finance]

Mr. Speaker, I am very pleased to rise in the House once again to speak to an important piece of pro-economic and job growth legislation. Of course, I am talking about Bill C-60, the economic action plan 2013 act, which is BIA 1, at report stage.

Before I begin my remarks I want to take a moment to personally thank all of my colleagues on the finance committee for their outstanding work in their careful, detailed and timely consideration of the bill, and I mean all of the members from all of the parties, including independent members who came to committee.

Also, I would like to thank all the witnesses who took their time to come before the committee to share their thoughts and opinions about the bill and its importance to the Canadian economy.

I would also be remiss if I did not recognize the member for Edmonton—Leduc, our cherished chair of the finance committee, someone for whom all sides of the House have tremendous respect. They acknowledge his great work, I am sure.

I also want to remind all members and all Canadians that our government went to great lengths to ensure that Bill C-60 and its great measures received the appropriate consideration by the House, especially at committee stage.

That is why five additional committees—industry, veterans affairs, human resources, citizenship and immigration and foreign affairs—undertook comprehensive examinations of select portions of today's legislation. I was quite surprised to hear the NDP critic talk about it not being reviewed by other committees because, in fact, it was.

As all Canadians know, our government's main priority is the economy. Whether encouraging job creation, promoting economic growth or ensuring Canada's long-term prosperity, we focus first on what matters to Canadians.

However, in recent years, Canada has faced a challenging global economic landscape that has resulted in persistent threats from outside its borders, including from the United States and Europe, two of Canada's most important trade partners.

To add to this uncertainty, Canada is dealing with increasingly intense competition from emerging economies, such as China and India. In a constantly changing global market, we must continue focusing on the economy and building on Canada's strong economic plan.

Since the end of the global recession in July 2009, the Canadian economy has created more than 900,000 net new jobs. This is the very best job growth record in the entire G7. Even better, over 90% of those jobs have been full time and nearly three-quarters have been in the private sector.

On top of our very strong record of job growth, Canadians can also point with tremendous pride to other strong economic fundamentals, which include the soundest banking system for over five years, according to the World Economic Forum. We have the lowest net debt to GDP ratio in the G7, and we are the only G7 country to have more than fully recovered business investment lost during the recession. This is great news for Canadians.

What is more, Canada is forecasted to have among the strongest economic growth in the G7 for years ahead, according to both the IMF and the OECD. It is little wonder that all the major credit rating agencies, Moody's, Fitch and Standard and Poor's, have recently reaffirmed Canada's rock solid AAA credit rating.

However, we all understand that Canada cannot afford to be complacent. We cannot rest on our laurels. While our position relative to other countries is strong, now we must take the bull by the horns and build on this strength to secure long-term prosperity for our children and their children and their children.

As the Vancouver Board of Trade pointed out recently, and I quote:

Given the state of the global economy — where we are seeing recessions, drops in national and sub-national credit ratings, and out-of-control deficits —we are truly fortunate in Canada to be contemplating balanced budgets, receiving AAA credit ratings, and growing our GDP.

That is why I am so proud of economic action plan 2013. It is forward looking and would build on our solid record with measured, prudent steps that would help position Canada for long-term success, both today and well into tomorrow. It is a really positive plan for Canadians.

Many elements of this plan will be implemented with this legislation. For example, in order to build a stronger Canadian economy and help promote job growth, Bill C-60 will enable the government to extend tax relief for new investments in machinery and equipment by Canadian manufacturers; index gas tax fund payments to better support job-creating infrastructure projects in municipalities across Canada; extend the mineral exploration tax credit; provide $165 million in multi-year support for genomics research; provide $18 million to the Canadian Youth Business Foundation to help young entrepreneurs grow and develop their firms and their future; provide $5 million to Indspire for post-secondary scholarships and bursaries for first nations and Inuit students; and finally, undertake many other important initiatives on the economic front.

In addition, today's legislation would help families and our communities by promoting adoption through enhancing the adoption expense tax credit; by introducing a new first-time donor super credit to encourage Canadians to donate to charity; by expanding tax relief for home care services; by providing $30 million to support the construction of housing in Nunavut; by investing $20 million in the Nature Conservancy of Canada to continue to conserve ecologically sensitive land; by providing $3 million to support training in palliative care for front-line health care providers; and by committing $3 million to the Canadian National Institute for the Blind to expand library services for the blind and partially sighted. Also, so much more is in this bill.

I would like to note one last time that this legislation is an important step in creating jobs and economic growth, all while keeping taxes low and balancing the budget in 2015. I urge all members to vote in favour of this bill and support jobs, growth and long-term prosperity for all Canadians.

I would caution Canadians who are listening today that they will hear two sides to this very important bill, but I want them to take an opportunity to actually look at the bill. It is available online through the Department of Finance website. The facts speak for themselves. This would be another tremendous leap forward for Canadians and for this country so that we preserve all of those jobs, create more of them and create an environment where business can flourish. Our children would benefit and the grandchildren they have would benefit for years to come.

I just wish the opposition members would reconsider their position to vote against this bill and maybe have some heart today, look into their souls, do what is right for Canadians, do what is right for taxpayers, stop blocking those all-important measures that would help Canadians and vote for this bill.

[André Bellavance, Bloc, Richmond—Arthabaska, QC]

Mr. Speaker, I have always said in the House—and the parliamentary secretary can check the speeches I have given since 2004—that every bill has pros and cons that must be weighed before voting for it.

In this case, we are not debating the budget, but the budget implementation bill, Bill C-60. What I am telling the parliamentary secretary and all members of the House is that amendments should be adopted in order to improve the bill.

With respect to securities, I understand that the member is supporting her Minister of Finance and that she has found some phrases that suit her purposes in the Supreme Court ruling. However, I have an article here that says that the Supreme Court of Canada does not at all agree with the Conservative Minister of Finance.

According to the Supreme Court, “the government...is violating the principle of the division of powers of the Canadian Constitution by attempting to create a national securities commission.”

What more do I have to say?

[André Bellavance, Bloc, Richmond—Arthabaska, QC]

Mr. Speaker, I am pleased to have this opportunity to speak to our amendments to Bill C-60.

I figured the members would be interested in talking more about this during questions and comments, so I had to hurry. Still, I will use my time to talk about why the Bloc Québécois's amendments to Bill C-60 are so important.

Once again, the government has tabled a budget implementation bill that makes many changes that are not strictly financial. Unfortunately, under the Conservative government, we have gotten used to seeing measures like these in mammoth bills. Several different committees have had to look at measures that originated with the Standing Committee on Finance and end up going back there.

It is very difficult for both MPs and Canadians to follow exactly what is going on. I think that was the government's plan when it decided to bury so many other measures in the budget implementation bill.

Today, I would like to focus on how some of our amendments relate to the Canada health transfer for Quebec. Other provinces have also expressed disapproval regarding the federal government's cuts to health transfers. The Conservatives say that they have not cut anything. They say that the budget remains the same, that it is stable. However, we are not seeing the 6% increase that was supposed to happen.

Instead of growing by 6% per year, the Canada health transfer will increase in step with economic growth, though it will never rise by less than 3%. Over time, the federal government will reduce funding for health care to a fraction of the 50% it was originally. By 2024, it will probably shrink to 18.6%.

Why do we want to get rid of that clause? We want the health transfer to continue increasing by 6%. We all know that health costs are skyrocketing in Quebec and the other provinces. The Government of Quebec reacted strongly to this decision.

When the federal government announced its plan, Quebec's finance minister reacted. A message on the Government of Quebec's website reads as follows:

While the federal budget confirms technical changes to the equalization program, Mr. Marceau pointed out that Quebec had asked that the caps that were imposed on the program in 2009 be removed. “Because of these caps, Quebec has suffered significant financial losses totalling $7.6 billion since 2009-10. Combined with budget shortfalls resulting from the federal government's unilateral decisions in 2011 regarding health care, Quebec will lose out on $8.6 billion between 2014-15 and 2024-25. Together, these unilateral changes are having a very serious negative impact on Quebec's public finances. The Government of Quebec is calling on the federal government to reverse these unfair decisions,” Minister Marceau stated.

This shows what a serious impact these decisions are having. That is why I am confident that at least the members in the House from Quebec will support our call to delete this amendment on health transfers.

Of course there are other issues related to crown corporations, credit unions and securities, and I would be remiss if I did not address them. Once again, we proposed amendments to make this budget implementation bill more equitable.

In the case of credit unions, this measure was introduced in 1972 in order to allow Canadian credit unions to build capital faster. From our perspective, of course, we are particularly concerned about the Caisses Desjardins.

Most credit unions are subject to a federal corporate tax rate of about 11%, and the additional deduction for credit unions means they can enjoy a lower tax rate, since they are not otherwise eligible for the small business deduction, up to a maximum cumulative amount, which is directly related to the total amounts the credit unions owe their members.

This budget announces plans to phase out this additional deduction for credit unions over a five-year period. It will be completely eliminated by 2017.

On top of the impact on the caisses populaires members, some fear that certain branches will close if this deduction is cancelled.

The Bloc Québécois is proposing to maintain the current deduction formula. I would remind hon. members that budget 2013 is a frontal attack on several aspects of Quebec society. Eliminating the tax credit for labour-sponsored funds that help vulnerable Quebec businesses, such as Fonds de solidarité FTQ and Fondaction CSN, is just another one of the obstacles the Conservative government is putting in the way of small businesses and investors in Quebec.

Clause 15, which deals with this measure affecting credit unions and caisses populaires, should also be eliminated.

As hon. members know, the Bloc Québécois has made securities their issue for a very long time, for ages, or certainly since the current Minister of Finance got it in his head—in a pigheaded way, in fact—to create a Canada-wide securities commission. He wants to impose it on Quebec and the provinces.

Quebec is not the only province that is against this decision. However, this issue got a lot of ink, in Quebec in particular, and it will get even more. The Supreme Court recently made a ruling whereby the provinces, Quebec, have all the latitude they want to take care of their securities commissions themselves.

I have in hand a press release from the Government of Quebec, which slammed this decision when the Conservative Minister of Finance brought down his budget. Mr. Marceau says he does not understand why the federal government is insisting on setting up a Canada-wide securities commission when the rulings handed down by the Quebec Court of Appeal and the Supreme Court are clear. Minister Marceau also said he is surprised that the federal government extended the mandate of the Canadian securities transition office. This is what Minister Marceau said:

Allowing the federal government to insinuate itself in securities regulation, which is within Québec’s exclusive jurisdiction, is out of the question.

It is rather surprising. Well, it is and it is not, since the government's stubbornness is not surprising. However, when the Supreme Court has given a ruling, it is time to give up. The Supreme Court made that decision for a reason, and that reason is just as clear as what is set out in the Constitution: that the jurisdictions of Quebec and the provinces must be respected.

Yet, the Minister of Finance and his friends on Bay Street, probably, are telling themselves that they are in control, that they have the power and that they are going to shove this much-touted Canada-wide securities commission down the throats of Quebec and the other provinces no matter what the cost.

Take, for example, what is happening around the world. The government often brags that it prevented an economic disaster, but not all countries were so lucky. One of the reasons we were is because of our securities system, which ensures that Quebec and the provinces can have their own control system if they want. The system is working well.

The OECD has said as much about Canada's securities system. Other countries also work this way, so I do not understand why the minister would continue down the path he is taking when everyone, except perhaps his friends on Bay Street and a few provincial governments, are saying that he can have a Canadian commission if he wants but that each province, and Quebec in particular, should continue to have their own control over the securities system.

I have to wrap up, but I would be remiss if I did not mention the federal government's decision to interfere in Crown corporations' collective bargaining negotiations. This is a great cause for concern. We have already seen what happened with Canada Post and what is now happening with CBC/Radio-Canada. The government wants to interfere in negotiations. Obviously, CBC/Radio-Canada's concern is maintaining control over its newsroom. This is all also related to Bill C-377, which started making the headlines again yesterday.

In this context, the House must adopt the Bloc Québécois’s amendments to delete those provisions and ensure that the implementing legislation deals with tax measures and leaves out all the other measures that should be introduced in separate bills.

[Peggy Nash, NDP, Parkdale—High Park, ON]

Mr. Speaker, I rise yet again to speak on Bill C-60, another Conservative omnibus bill that crams changes to more than 50 pieces of legislation into it, and which ought to have been split up and studied at various different committees.

This bill will have wide-ranging impacts, affecting everything from the price of an iPod to credit unions to foreign aid to journalistic freedom of the CBC. This omnibus budget bill makes changes to the temporary foreign worker program, to the Investment Canada Act, and it merges the Department of Foreign Affairs and International Trade with CIDA, the Canadian International Development Agency.

This bill also raises taxes on Canadians by introducing tax hikes on credit unions, increasing the taxes on small businesses, and increasing the taxes on thousands of products that Canadians use every day.

It took generations to establish institutions like the CBC and the central bank, and some of these institutions are the envy of the world. However, this bill would undermine the collective bargaining process at many of our Crown corporations, the Canada Pension Plan Investment Board, Via Rail, Canada Post, the CBC and the Bank of Canada.

These institutions have always been ambitious, but theirs was a vision grounded in hope and optimism. Canadians have always known that as a country we are stronger together.

Our leaders once had the wisdom to accept the independence of the Bank of Canada and the integrity of the CBC. They saw this independence as an asset to our country, not a threat to the power of government.

However, the Conservatives do not trust Canadians. Bill C-60, like omnibus bills before it, are evidence of this contempt. Many of the changes in Bill C-60 are cynical measures that will give more power to the Conservative government's inner circle while taking away the voice of Parliament from independent bodies, and ultimately from Canadians.

The Conservatives are making rash and ideological choices to push omnibus 3.0 through Parliament without talking to Canadians. If they had, they would have heard the kinds of things that I have been hearing from my constituents.

Parkdale—High Park, the electoral district I represent, is home to many Ukrainian credit unions. I recently met with representatives from the Council Of Ukrainian Credit Unions Of Canada, which has a combined membership of over 60,000 people across the country. The representatives I met with were shocked that they were not consulted in advance about these changes. These tax code changes were absolutely unexpected, and there was no comprehensive review of the sector before these changes were introduced in the budget.

The changes have surprised people and created worry and uncertainty for credit unions and the many Canadians who rely on their services. In my riding, the Ukrainian credit unions invest nearly $1 million annually in community programming, projects and educational initiatives, which will simply disappear as a result of these changes.

There is also a great deal of concern from credit unions from coast to coast about the long-term impact of these changes. We appreciate diversity in the financial sector and the banking sectors of Canada. They are part of modern economy, but I share the concerns of my constituents, and many Canadians, that these changes put that diversity at risk. However, the Conservatives would have had to talk to Canadians to know this.

My office has also been flooded with letters and emails and phone calls from constituents concerned about how Bill C-60 will impact the CBC, our national broadcaster. Thousands of Canadians are writing to tell Parliament that sections relating to the CBC alone are reason to stop this omnibus bill, to make changes to it. Last week I received a letter saying:

I do not want any politician exercising this kind of control over our national public broadcaster.

It is not a state broadcaster.

Another letter put it succinctly, saying, “What can I do; Where do I protest..”.

Canadians have made it crystal clear. They do not support these measures, so why are the Conservatives not listening?

Respected members of the Canadian media are telling Parliament that this omnibus bill needs to be intercepted. Canadian Journalists for Free Expression, the Fédération professionnelle des journalistes du Québec, the Canadian Media Guild, the Syndicat des communications de Radio-Canada and ACTRA are urging all of the Conservatives to use common sense.

On issue after issue it is clear that Bill C-60 is not what Canadians want, and if the Conservatives were listening they would know that. If they had talked to Canadians, they would be hearing the advice of experts like George Smith, who has decades of experience in Canadian business. Smith was once the chief management negotiator for Air Canada, Canadian Pacific Railway and the CBC. At the finance committee Smith stated:

These proposed amendments to the Financial Administration Act, buried in Bill C-60, contradict both the spirit and intent of the Canada Labour Code...and create a role for government in crown corporation collective bargaining which is not contemplated in the Canada Labour Code.

Another issue of serious concern is the impact that this omnibus bill would have on the independence of the Bank of Canada. Last week, I tabled a motion at the finance committee to study the impact of this bill on the Bank of Canada, but the Conservatives voted against it, as they vote against every proposed amendment. However, in a recent article in the The Globe and Mail, Kevin Carmichael, one of Canada's most respected financial reporters, discussed my motion and affirmed that measures in this bill could gravely impact the independence of the bank. Again, the Conservatives are willing to sacrifice the independence of our central bank and the national interest, if it means giving more power to the Prime Minister's Office.

Another measure in omnibus bill 3.0 makes changes to the temporary foreign worker program. These measures are a band-aid solution that does not get to the heart of the government's mismanagement of the temporary foreign worker program. Experts and community groups across the country are speaking out against this band-aid solution.

When is it enough? Canadians are saying, once again, that they do not support this omnibus budget bill. Canadians have serious concerns with the measures in Bill C-60, and until those concerns are addressed, we cannot support this bill and we will not support this bill.

There are serious issues facing our country, but budget 2013 does not rise to meet these challenges. It does nothing to address unemployment, record levels of household debt or rising inequality. Instead, the Conservative government is more concerned with rearranging power to give more power to its inner circle and less voice to Canadians.

Let us not forget what this budget is not doing. It is not getting Canadians back to work. It will not stimulate growth. Instead, this budget is squarely focused on a job-killing austerity agenda that has made major cuts to the services that Canadians rely on. Putting people to work is clearly the best way to reduce our deficit.

There is no need to play big brother with the Bank of Canada. There is no need to trample on credit unions that so many communities rely on. There is no need to spend millions on an advertising budget that Canadians do not agree with.

Instead, New Democrats know that investing in education and infrastructure, making life more affordable for Canadians, supporting small and medium-sized businesses and creating high-quality, high-paying jobs is the best way to get our economy back on track.

Canadians are counting on us. They are counting on New Democrats, and I dare say all of this Parliament, to show leadership and bring forward the ideas and proposals that will work in the public interest, not the private interest of a few insiders. We need to put Canadians first. This budget does not do that.

I see that my time is up. I look forward to the questions and comments from my colleagues.