Finance Committee on Dec. 7th, 2007

[Luc Harvey, Conservative, Louis-Hébert, QC]

What was the return on our investment in Chalk River?

[Prof. Dominic Ryan]

You have the whole CANDU technology behind it. You have the medical isotopes business, which is providing 20 million treatments a year, a business that we created. You have all the research that goes on. On the neutron beams from Chalk River, we invented two major techniques in neutron scattering from that, which are now established worldwide. We have an international reputation and attract the best scientists and engineers to that facility to do both fundamental research and very applied research.

When Columbia blew up, we had pieces from their boosters coming in for analysis so we could understand what was going on in its welds. From rail cars to welds in space rockets, you name it, we've studied it.

[The Chair, Conservative, Rob Merrifield]

Okay, thank you very much.

Now, we'll go to Madame Thaï Thi Lac. The floor is yours for seven minutes.

[Ève-Mary Thaï Thi Lac, Bloc, Saint-Hyacinthe—Bagot, QC]

Thank you, Mr. Chairman.

I am very pleased that you are all able to testify before the committee. I am also very pleased to be here with you this morning.

Everyone agrees that the federal government has a huge budget surplus. Paradoxically, everyone knows that some sectors in certain areas are in a crisis, including the manufacturing, forestry and agriculture sectors. Corporate tax credits may be a good thing, but they only benefit companies which make huge profits. However, many companies will not be able to take advantage of these tax credits.

So rather than making tax cuts a priority, as they will only benefit wealthy companies, and reducing the GST, the government should have invested its huge surplus in infrastructure, education and health.

I know that the high Canadian dollar has greatly affected the competitiveness of Canadian companies, especially in the manufacturing sector. I would like to hear what you think about that situation.

[Peter Brenders]

Few of our companies within the biotech sector in Canada are into full manufacturing, but there is no question that the increase in the dollar has affected Canada's competitiveness for investment in the research. So it does affect Canada; it's a more expensive place in which to invest in companies and their products, so....

I don't know if anyone else can answer that.

[The Chair, Conservative, Rob Merrifield]

Does anyone else want to take a run at that? I see none.

Do you have another question?

[Ève-Mary Thaï Thi Lac, Bloc, Saint-Hyacinthe—Bagot, QC]

Yes.

The government has withdrawn its support to social programs. It cut funding for women's literacy organizations. It refused to reinstate POWA, a program which helped older workers after mass layoffs. It also refused to fully retroactively pay seniors the Guaranteed Income Supplement. The government's lack of commitment to social programs has made people less competitive. It's also very well and good to lower taxes...

Ladies, I would like to know what you think about ongoing funding. There's funding, but we also need to talk about ongoing funding.

[Jennifer Dorner]

In terms of the ongoing funding in the arts and cultural sector, yes, the message I'm really trying to push is that we really need core, stable funding, an increase to the Canada Council that is permanent, and also to keep programs like the Tomorrow Starts Today initiative. In the arts, we're always worried about losing these programs and then going back 20 years in terms of the amounts of funding we're getting. So we really need to have stability so our organizations can become permanent within their communities.

[The Chair, Conservative, Rob Merrifield]

Thank you.

Do you have another question?

[Ève-Mary Thaï Thi Lac, Bloc, Saint-Hyacinthe—Bagot, QC]

I would like to conclude by talking about Quebec's distinctiveness. Quebec has been recognized as a nation, but it has specific needs. The government must recognize that it should adapt some its programs to help communities in certain regions of Quebec.

My final question is for Mr. Thibaudeau. You talked about subsidies for cell phone service in your area, but I would like to hear what you have to say about the CRTC. Applying for a licence can be a complex undertaking.

[Pierre Thibaudeau]

That shouldn't be too hard. It's no problem getting a licence.

[Ève-Mary Thaï Thi Lac, Bloc, Saint-Hyacinthe—Bagot, QC]

You said that a line was laid to connect the school and the municipality; was it optic fibre? It wasn't a cable, was it?

[Pierre Thibaudeau]

It was cable for the three municipalities, and for every other place in the RCM, it was optic fibre, including Bellechasse and L'Islet. Telus provided the connection to the school board of these municipalities.

[The Chair, Conservative, Rob Merrifield]

Thank you very much.

We'll now move to Mr. Dykstra. You have seven minutes.

[Rick Dykstra, Conservative, St. Catharines, ON]

Mr. Harvey is going to take the first part of my time.

[The Chair, Conservative, Rob Merrifield]

Mr. Harvey.

[Luc Harvey, Conservative, Louis-Hébert, QC]

First, I would like to get some additional information from Ms. Laidlaw-Sly.

You talked about daycare spaces throughout Canada. Do you believe the federal government has given the provinces enough money to create daycare spaces?

[Catharine Laidlaw-Sly]

Yes, yes, and yes. The simple answer is that there was a program developed and a series of agreements presented, at least in the draft form. And the National Council of Women of Canada members were very pleased to think that at long last there would be the facilitating legislation and backup funds, or guarantee of funds, to ensure there was a national program of day care.

Yes, it is administered at the provincial level. We understand that. There will always be this difficulty in Canada, and it will always be possible for respective layers of government to say that it's really a federal issue or it's really a provincial issue. But when it comes down to care of the children, they are Canadians, and we wanted to see a program that provided good day care of an acceptably high standard with an early learning component in it.

[Luc Harvey, Conservative, Louis-Hébert, QC]

Ms. Laidlaw-Sly, do you realize that since 2006, the Canadian government has transferred $250 million a year to the provinces to create daycare spaces? Were you aware of this program?

[Catharine Laidlaw-Sly]

Yes, we read this, but the results have not shown up.

What we do also hear the federal government saying repeatedly is that they have this child benefit of $100, which, as our colleagues have noted, is taxable and it is not administered fairly then. It's not an equal gift to all. The better off you are, the more benefit it is to you. It does not help low-income working people, although it does help people on--

[Luc Harvey, Conservative, Louis-Hébert, QC]

Ms. Laidlaw-Sly, the $250 million I just mentioned is not the money given to caregivers in the amount of $100 per person. I'm referring to the $250 million which is transferred to provincial governments to create daycare spaces.

Were you aware of this program?

[Catharine Laidlaw-Sly]

We read about it, but we don't see the results.

[Luc Harvey, Conservative, Louis-Hébert, QC]

Ms. Laidlaw-Sly, I will give you a copy of page 104 of the budget, so you will understand what is happening. I would invite you and your association to ask your provincial governments whether the money they have received is actually being spent on daycare spaces. The provinces often blame the federal government, but they do get the funding. In fact, the province of Quebec received nearly $200 million to help integrate immigrants. But it turns out that only $120 million was spent for that purpose.

When the federal government gives money to the provinces, you have to watch them, because they are the ones who spend the money, and they don't always spend it as intended. I asked for copies of page 104 to be made; you will be able to see for yourself that this program truly exists. The money is there for you, as it is for Mr. Thibaudeau, who can access $25 billion in funding...

[Pierre Thibaudeau]

You may claim that, but I'm not so sure. I want the address and the phone number. I will call tomorrow morning and then I will get back to you. You can be sure of that.

[Luc Harvey, Conservative, Louis-Hébert, QC]

Mr. Thibaudeau, tomorrow is Saturday, but I will have an answer for you by Monday morning. I've given you my card; it would be my pleasure to provide you with an answer.