Evidence of meeting #59 for Finance in the 40th Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was cement.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Howard Mains  Consultant, Public Policy, Association of Equipment Manufacturers
Ruth-Anne Craig  Executive Director, Manitoba Division, Canadian Mental Health Association
Pierre Boucher  President and Chief Executive Officer, Cement Association of Canada
Robert Simonds  First Vice-President, Canadian Association of Fire Chiefs
Andrew McKee  President and Chief Executive Officer, Juvenile Diabetes Research Foundation Canada
John Dickie  President, Canadian Federation of Apartment Associations
Patrick McGarry  Member, Ontario Funeral Service Association
Leo Guilbeault  Chair, Ontario, Ontario-Quebec Grain Farmers’ Coalition
William Van Tassel  Vice-President, Ontario-Quebec Grain Farmers’ Coalition
Martine Mangion  Manager, Episodic Disability Initiatives, Canadian Working Group on HIV and Rehabilitation
John Stapleton  Principal, Open Policy, Canadian Working Group on HIV and Rehabilitation
Tamra Thomson  Director, Legislation and Law Reform, Canadian Bar Association
Elena Hoffstein  Executive Member, National Charities and Not-for-Profit Law Section, Canadian Bar Association
Christine Collins  National President, Union of Canadian Transportation Employees
Daniel Demers  Director, National Public Issues Office, Canadian Cancer Society
David Teichroeb  Manager, Alternative and Emerging Technologies, Fuel Cells, Enbridge Inc.
Claude Lajeunesse  President and Chief Executive Officer, Aerospace Industries Association of Canada
Maryse Harvey  Vice-President, Public Affairs, Aerospace Industries Association of Canada
Francis Bradley  Vice-President, Canadian Electricity Association
Dianne Watts  Representative, REAL Women of Canada
Michael Teeter  Advisor, Union of Canadian Transportation Employees

11:45 a.m.

First Vice-President, Canadian Association of Fire Chiefs

Robert Simonds

It did, indeed.

11:45 a.m.

Liberal

John McCallum Liberal Markham—Unionville, ON

Mr. McKee, we on this side are highly supportive of research in general and medical research in particular. We don't think the government's done enough in this area. I'd like to ask you a question that might sound negative. Why juvenile diabetes? There are all sorts of awful diseases out there requiring research, whether it's cancer or heart disease or diabetes. It's difficult for political people without a medical background to set priorities on diseases. Can you tell us why we should be particularly inclined to support your proposal, as opposed to funding for research in other health areas?

11:45 a.m.

President and Chief Executive Officer, Juvenile Diabetes Research Foundation Canada

Andrew McKee

Absolutely, Mr. McCallum. Thank you for the question.

Why support the Juvenile Diabetes Research Foundation? As you said, there are many worthwhile causes, worthwhile diseases out there. The nature of our partnership proposal that we entered into with the federal government is such that we're providing not only expertise in the realm of diabetes and have products ready to come to market to deal with diabetes, but we're also bringing matching dollars to the table as well. So our proposal, where we're offering to bring $50 million of investment in research, achieves additional leverage. Also, our proposal and our partnership agreement creates a clinical trials platform that is not unique to diabetes. That clinical trials platform could be used for any disease. We're asking that ours be the first effort utilized to get that clinical trials program going, but it would be open to any other partner disease group that wanted to bring matching money to the table as well.

11:45 a.m.

Liberal

John McCallum Liberal Markham—Unionville, ON

So you're saying the platform you propose would not be limited to diabetes.

11:45 a.m.

President and Chief Executive Officer, Juvenile Diabetes Research Foundation Canada

Andrew McKee

That is correct.

11:45 a.m.

Liberal

John McCallum Liberal Markham—Unionville, ON

Can you say anything, in terms of the status quo, about existing levels of government funding for diabetes versus cancer versus heart disease? Are you lower than you ought to be?

11:45 a.m.

President and Chief Executive Officer, Juvenile Diabetes Research Foundation Canada

Andrew McKee

Certainly. In the realm of type 1 diabetes or juvenile diabetes research, there's currently no government funding specific to type 1 diabetes research in Canada. There is a program within the federal government that provides some $20 million to $30 million a year, broadly based, under CHR, for obesity and type 2 diabetes research, but nothing has ever actually been provided for type 1 diabetes research. As it stands relative to cancer and other diseases, I wouldn't want to quote numbers here today, because I don't know them accurately, but we receive less funding than those other interests receive from government at present.

11:50 a.m.

Liberal

John McCallum Liberal Markham—Unionville, ON

Thank you.

On the question of cement, and more generally on the question of infrastructure programs, you say you think the infrastructure money should get out quickly, and it hasn't been. Right now, I believe the money has to be spent by March 2011 or it's lost, and given the slow pace at which the money has been getting out, it would seem that much of the money may not be spent by that date. So my question to you is whether you think that date should be extended.

11:50 a.m.

President and Chief Executive Officer, Cement Association of Canada

Pierre Boucher

We feel that the date should be extended until such time as we can indeed put infrastructure in the ground, cement and concrete. Basically, a lot of paperwork has been done identifying the projects. Engineering firms are doing the engineering, what they have to do, but not much has happened on the ground yet. So that's why the equation is very simple: we say cement, concrete in construction.

What we want is when you renew the infrastructure, you have to construct. You have to rebuild. Certainly the engineers have to design, we agree with that. So this is why we're mentioning that now, for the cement industry and for the construction industry, we're surely not out of a recession yet, because we haven't seen, basically, the shovels in the ground. Hopefully there are shovels. We have identified them and hopefully they'll be in the ground shortly.

11:50 a.m.

Liberal

John McCallum Liberal Markham—Unionville, ON

You're saying not much is in the ground yet.

11:50 a.m.

President and Chief Executive Officer, Cement Association of Canada

Pierre Boucher

Some have been in the ground, but not enough. The full impact of the shovels has not yet been seen.

11:50 a.m.

Liberal

John McCallum Liberal Markham—Unionville, ON

So how much of the construction season is left this year?

11:50 a.m.

President and Chief Executive Officer, Cement Association of Canada

Pierre Boucher

One month maximum. Not very much is being done in roadwork during the winter. Building construction, of course, is slowed down during the winter period but it still continues. So we are certainly expecting that an increase in the tendering will be done throughout the months to come, to kick-start very rapidly the construction season for next April.

11:50 a.m.

Liberal

John McCallum Liberal Markham—Unionville, ON

So if I understand correctly, what you're saying is that with only one month left in the construction season, this whole season has been largely a write-off in terms of getting substantial money and shovels into the ground.

11:50 a.m.

Conservative

The Chair Conservative James Rajotte

Thirty seconds.

11:50 a.m.

President and Chief Executive Officer, Cement Association of Canada

Pierre Boucher

We wish to have more shovels in the ground, but we expect that there will be many, many shovels, if we understand correctly, in the ground next year. This is what is very important.

11:50 a.m.

Liberal

John McCallum Liberal Markham—Unionville, ON

Thank you very much.

11:50 a.m.

Conservative

The Chair Conservative James Rajotte

Thank you, Mr. McCallum.

We'll go to Mr. Laforest.

11:50 a.m.

Bloc

Jean-Yves Laforest Bloc Saint-Maurice—Champlain, QC

Thank you, Chair.

I would like to welcome all witnesses.

My first question is for Mr. Boucher of the Cement Association of Canada.

In your submission, you stated that the debate concerning federal investments has focused primarily on how fast the money is spent and has not focused enough on how well it is spent.

Do you have specific examples of projects that may not necessarily have been the right choice?

11:50 a.m.

President and Chief Executive Officer, Cement Association of Canada

Pierre Boucher

It is difficult for me to comment on the selection of a given project. These decisions are made by governments, which give priority to projects that they wish to make a priority. It is up to them to establish their priorities.

Naturally, they wish to accelerate spending to help or stimulate the economy. However, they should choose wisely. We propose that a life-cycle analysis be used, which would ensure that the best projects and the best materials are chosen and that the infrastructures built give value for money. I agree that this takes time. The final decision is up to the government. We are definitely surprised at times by the type of projects because they can be carried out easily. We expect that the most difficult projects will be executed in the next few months.

11:55 a.m.

Bloc

Jean-Yves Laforest Bloc Saint-Maurice—Champlain, QC

You also raised the issue of the use of materials such as concrete and cement, which you sell, as opposed to wood. Could you talk about that?

The Bloc Québécois presented a proposal to further support the forestry industry, which is in crisis. The federal government could use more wood in its buildings. Is this at odds with the position you expressed earlier?

11:55 a.m.

President and Chief Executive Officer, Cement Association of Canada

Pierre Boucher

Not at all. However, we clearly stated that cement production has declined significantly since 2006 due to the recession. Whether in the forestry or automotive industry, people in Canada are really hurting. There have been significant job losses.

What we are saying is that if the money is available we have to rebuild and use the best materials in our projects. We have heard that wood bridges will be built. Perhaps, but it depends where. It is better to build concrete bridges. We have building codes in Canada and engineers and architects are best qualified to specify or to agree on the preferred material.

A cost-benefit analysis will indicate the best material for the job. In my opinion, it is not up to the government to dictate the material to be used. That is what we are saying.

11:55 a.m.

Bloc

Jean-Yves Laforest Bloc Saint-Maurice—Champlain, QC

Thank you.

Mr. Simonds, you recommend personal income tax relief for all volunteer firefighting personnel. You also stated that the Joint Emergency Preparedness Program, which allocates funds to municipalities, can be used for other purposes.

You mentioned emergency medical services, police and public works. You indicated that moneys allocated to emergency preparedness were used for public works, for example water systems.

Do you have specific examples of situations where municipalities are using moneys allocated to emergency preparedness for other purposes?

October 29th, 2009 / 11:55 a.m.

First Vice-President, Canadian Association of Fire Chiefs

Robert Simonds

Certainly I would offer that we don't dispute the worthwhile projects that those other applicants have. However, what we would offer is that the need for us to be able to have that state of readiness to respond to the needs of our communities is highly dependent upon having adequate funding.

We have stated on a number of occasions that the application process is very arduous. The criteria for eligibility sometimes do not enable us to move forward on projects that would be clearly advantageous for public safety. So with the increased funding levels and perhaps a further clarification of criteria for selection, we would be able to better optimize the use of those funds for public safety.

11:55 a.m.

Conservative

The Chair Conservative James Rajotte

You have 30 seconds, Mr. Laforest.