Evidence of meeting #92 for Indigenous and Northern Affairs in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was amendment.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Julia Redmond  Legal Counsel, Department of Justice
Michael Schintz  Federal Negotiations Manager, Negotiations - Central, Treaties and Aboriginal Government, Department of Crown-Indigenous Relations and Northern Affairs
Clerk of the Committee  Ms. Vanessa Davies
Clerk  Ms. Vanessa Davies

5 p.m.

Federal Negotiations Manager, Negotiations - Central, Treaties and Aboriginal Government, Department of Crown-Indigenous Relations and Northern Affairs

Michael Schintz

You're correct. It simply says that this is the mechanism through which the tax treatment agreements are given effect.

5 p.m.

Conservative

Arnold Viersen Conservative Peace River—Westlock, AB

In essence, whatever the relationship between the Government of Alberta and the federal Government of Canada, the Government of Alberta would have the same tax treatment as this.

5 p.m.

Federal Negotiations Manager, Negotiations - Central, Treaties and Aboriginal Government, Department of Crown-Indigenous Relations and Northern Affairs

Michael Schintz

I think that's an accurate statement, Mr. Viersen, if I follow your question.

5 p.m.

Conservative

Arnold Viersen Conservative Peace River—Westlock, AB

The income that Alberta gets isn't subject to income tax in the same way.

5 p.m.

Federal Negotiations Manager, Negotiations - Central, Treaties and Aboriginal Government, Department of Crown-Indigenous Relations and Northern Affairs

Michael Schintz

The intention is that the Métis governments would be given similar tax exemptions as those of, for example, the Government of Alberta.

5 p.m.

Conservative

Arnold Viersen Conservative Peace River—Westlock, AB

That's a good thing.

I'm hopeful that these governments run surpluses, unlike the federal government here, which seems to be running deficits. It's definitely running deficits.

5 p.m.

An hon. member

They're doing it with gusto.

5 p.m.

Conservative

Arnold Viersen Conservative Peace River—Westlock, AB

I stand in awe of the shamelessness here. I'm not talking about revelations; we knew this already. This something else.

5 p.m.

Liberal

The Chair Liberal John Aldag

Hold on for just one moment, Mr. Viersen. We have a point of order.

5 p.m.

Conservative

Arnold Viersen Conservative Peace River—Westlock, AB

It's a point of levity. I think this is more a point of levity.

5 p.m.

Liberal

Jenica Atwin Liberal Fredericton, NB

It's once again on relevance to the specific clause. I would say that this argument is not helpful. It's irrelevant.

5 p.m.

Liberal

The Chair Liberal John Aldag

Are you finished with your intervention, Mr. Viersen?

5 p.m.

Conservative

Arnold Viersen Conservative Peace River—Westlock, AB

No, I don't think so.

This is a thing on tax treatment agreements. I think the deficit spending was entirely in line. I'm pointing out that I'm hopeful the Métis governments can run a surplus and not have to pay taxes. I'm happy about that.

I would just point out that I hope the federal government can start to run surpluses, though I'm glad that the government doesn't have to pay taxes either.

Yes, that totally makes sense. I think I can support this portion. Thanks.

5 p.m.

Liberal

The Chair Liberal John Aldag

Next on my list is Mr. Vidal.

5 p.m.

Conservative

Gary Vidal Conservative Desnethé—Missinippi—Churchill River, SK

Thank you, Chair.

I think it was Mr. Schintz who said this, but I'm not sure which of you said it now, to be honest with you. Did I hear, and am I understanding, that in approving this clause in this piece of legislation—if passed—we're providing agreement for something that is going to be negotiated in the future, but we don't know exactly what that something is yet?

I just want to understand it. If we're approving something, are we giving somebody a blank slate? Are we taking the Etch A Sketch, giving it a shake, saying “Do whatever you want”, and we're already approving it?

That's what I heard. I might be wrong.

5 p.m.

Federal Negotiations Manager, Negotiations - Central, Treaties and Aboriginal Government, Department of Crown-Indigenous Relations and Northern Affairs

Michael Schintz

I understand. I'll do my best to clarify, Mr. Vidal.

5 p.m.

Conservative

Gary Vidal Conservative Desnethé—Missinippi—Churchill River, SK

Thank you.

5 p.m.

Federal Negotiations Manager, Negotiations - Central, Treaties and Aboriginal Government, Department of Crown-Indigenous Relations and Northern Affairs

Michael Schintz

One point I would make about tax treatment agreements is that they're time-limited agreements.

I will reiterate that they're negotiated by Finance Canada.

5:05 p.m.

Conservative

Gary Vidal Conservative Desnethé—Missinippi—Churchill River, SK

Fair enough.

5:05 p.m.

Federal Negotiations Manager, Negotiations - Central, Treaties and Aboriginal Government, Department of Crown-Indigenous Relations and Northern Affairs

Michael Schintz

These are time-limited agreements, and they deal specifically.... The intention is to give these governments the same tax exemptions we provide to other governments in Canada.

5:05 p.m.

Conservative

Gary Vidal Conservative Desnethé—Missinippi—Churchill River, SK

Okay.

5:05 p.m.

Federal Negotiations Manager, Negotiations - Central, Treaties and Aboriginal Government, Department of Crown-Indigenous Relations and Northern Affairs

Michael Schintz

As you'll see, the intention behind 14, the next clause, is to clarify that those tax treatment agreements are not protected by the Constitution. They are simple side agreements to deal with the basic tax exemptions that we provide to other governments in this country. That is the scope of what these clauses consider.

It's true that there aren't added constraints on this section. There is a history of these kinds of negotiations. The Minister of Finance has a mandate to negotiate these, and there's a scope to that mandate. These really are specific to the tax exemptions of the government and the tax treatment of these governments.

5:05 p.m.

Conservative

Gary Vidal Conservative Desnethé—Missinippi—Churchill River, SK

I don't see anything nefarious in this, but it seems odd to me that we're approving something that's going to happen in the future without ever.... It's a little bit like my colleague's request for the treaty to come back for some oversight. Is it common in all kinds of agreements that there's no mechanism for it to come back for any kind of perusal or approval and that the approval is done in the negotiation between Finance Canada and the government? Is that simply the end of the story?

5:05 p.m.

Federal Negotiations Manager, Negotiations - Central, Treaties and Aboriginal Government, Department of Crown-Indigenous Relations and Northern Affairs

Michael Schintz

The intention is that this is the mechanism to give that tax agreement effect. That's why it's included in the legislation.

5:05 p.m.

Conservative

Gary Vidal Conservative Desnethé—Missinippi—Churchill River, SK

Okay.