Mr. Speaker, I have a few comments on Bill C-60, the act that would put in place the Canadian Food Inspection Agency.
The stated purpose of this bill is to establish the Canadian Food Inspection Agency in order to consolidate and enhance the efficiency and effectiveness of the federal inspection services related to food, animal and plant health and to increase collaboration with provincial governments in this area.
Specifically, the bill sets out the new agency's framework in terms of responsibilities, accountability, organization, human and financial resources, powers and reporting. The bill also amends some of the enforcement provisions and penalties in federal statutes that the agency will enforce or administer in relation to food, plants and animal health.
When the new Canadian Food Inspection Agency begins operation in 1997 it will become one of Ottawa's largest bureaucratic entities with 4,500 civil servants and a budget of $300 million. Federal officials contend that ending interdepartmental overlap and duplication in such areas as enforcement, risk management,
laboratory services, informatic systems and communications will save taxpayers $44 million annually beginning in 1998-99.
However, a detailed breakdown of this estimate has not been provided by the government. No decision has been made on staff reductions or the new agency's surplus laboratories. We have a broad statement of cost, a broad statement of savings and no specifics whatsoever.
When we are working with legislation that creates a new bureaucracy of 4,500 employees with an estimated budget of $300 million we should have a lot more detail. I am not talking about minute detail, but about a statement that really explains how the money will be spent and how money will be saved. That has clearly not been offered in this legislation.
The government departmental estimates on cost are $300 million but we should know from history that departmental estimates are rarely accurate. It would be a rare occasion indeed. I have seen many new agencies created and I do not know if I have seen one that has come in on budget. I would feel much more comfortable that this agency would come in on budget if some information were given to show how the money would be spent.
I want to make it clear that the Reform Party supports the consolidation and downsizing of federal government operations but this bill will accomplish little except for the shuffling of names and titles. Instead, the government should be considering the advantages of privatizing a significant portion of Canada's food, plant and animal inspection services. The Reform Party has been calling for this since the day we came here.
We should consider how much of this service can be privatized so the service can be provided at a lower cost to the people who need the services. At the same time I acknowledge it is very important to ensure the services that are privatized can be done more efficiently, in a less expensive way and safely.
With a saving of $40 million or 13 per cent of the agency's $300 million budget, that 13 per cent is currently cost recovered. The concept of cost recovery that the Reform Party proposes, and that I personally heard being recommended by many processors, particularly processors of agricultural products, is quite different from what this government proposes.
Reform proposes that cost recovery should reflect the lowest cost at which the service can be provided, whether it is in the hands of the private sector or the government. I believe that in some cases, the private sector can provide very high quality service for less money than government can. In other cases, it may be found that the department can provide the service at a lower cost. It is not clear which services could be provided better by the private sector or by the department. I do not know of any study or any work having been done on this.
The government's idea of cost recovery is totally different than the Reform idea. The Reform idea is cost recovery at the lowest price. If it can be done for less money with high quality then give it to that group or person to do.
The second major issue I would like to touch on in this legislation concerns the authority of the provincial governments versus the federal government. The federal government has decided that the way to end overlap between the federal and provincial governments is to centralize the complete service in the hands of the federal government. This is certainly in line with what Liberal governments have done over the years.
Liberal MPs have generally accepted that Canadians like big government. Along with big government comes high taxes. I contend that Canadians want a much smaller government, lower taxes, more take home pay and therefore a much better job situation in the country. There are two visions of Canada. There is the vision held by the Liberals and Conservatives which has been demonstrated over the years. They believe in big government, high taxes, low take home pay. Then there is the Reform vision which I believe is shared by many Canadians: a much smaller federal government with much lower taxes and higher take home pay, therefore, a better take home pay.
Unfortunately, with this legislation the government has chosen the large government, high tax route. The legislation will place a great burden on the taxpayer and on processors who are paying cost recovery.