Debates of Nov. 4th, 2004

Sponsorship Program

[The Speaker]

Order, please. No member would want to waste the time allotted for oral questions, even though that is what is happening at the moment.

The hon. member for Roberval—Lac-Saint-Jean.

[Michel Gauthier, Bloc, Roberval, QC]

Mr. Speaker, is the Prime Minister finally going to admit that what we are learning from the Gomery commission is there were two streams, two lines of influence and leadership at the time both in the government and in the Liberal Party; there was the Chrétien-Pelletier-Gagliano line and then there was the line connecting the current Prime Minister, Terrie O'Leary and the Minister of Finance—

[The Speaker]

I am sorry to interrupt the hon. member for Roberval—Lac-Saint-Jean, but the hon. Minister of Public Works and Government Services has the floor.

[Scott Brison, Liberal, Minister of Public Works and Government Services]

Mr. Speaker, the opposition is making a grievous error by commenting on day to day testimony.

Part of a headline in today's Ottawa Citizen actually said, “Testimony differs dramatically”, and it does. On a day to day basis the testimony varies. One testimony will be contradicted by another. One document in fact can be contradicted by another. That is why it is so critically important that we allow Justice Gomery to do his work, not interfere in a judicial inquiry, and respect that independence.

Agriculture

[Charlie Penson, Conservative, Peace River, AB]

Mr. Speaker, yesterday in reaction to the re-election of President Bush, the Prime Minister said he plans to raise a number of issues that have been on the back burner, including the border closure to Canadian livestock.

Canadian livestock and cattle producers are tired of the Liberal government neglecting their industry on the BSE trade dispute. Many have resorted to taking matters into their own hands and have mounted their own NAFTA challenge because the government has refused to support them.

Why has the government treated the BSE crisis as a back burner issue?

[Andy Mitchell, Liberal, Minister of Agriculture and Agri-Food]

Mr. Speaker, that is absolute nonsense. There have been over 150 separate occasions where we have intervened with the Americans specifically on the BSE issue. That is hardly on the back burner. I talked to the U.S. ambassador yesterday about this issue and talked to the secretary of agriculture just a few hours ago.

[Charlie Penson, Conservative, Peace River, AB]

Mr. Speaker, two things are certain. First, until the border is fully reopened, Canadian livestock producers and their communities will continue to suffer economic hardship and loss. Second, anti-American and anti-Bush comments from this Liberal government only aggravate an already strained Canada-U.S. relationship.

When will the Prime Minister get serious about the BSE crisis and slap down those in his caucus who hurt Canadian interests by bad mouthing the United States?

[Andy Mitchell, Liberal, Minister of Agriculture and Agri-Food]

Mr. Speaker, when the hon. member talks about what this government has done in respect of supporting those communities, there have been four separate initiatives, collectively with the provinces and totalling over $2 billion, that have been undertaken to assist our beef producers and the industry.

On this side of the House we are not concerned about the anti-rhetoric we hear from them every day. We are interested in getting results and making investments for our beef producers, and that is what we are doing.

[Diane Finley, Conservative, Haldimand—Norfolk, ON]

Mr. Speaker, with the U.S. border still closed to Canadian livestock, increasing slaughter capacity should be a priority of the government. However, $38 million allocated for loan loss reserves is not getting shovels in the ground for even one processing facility, let alone stimulating an entire industry.

When will the government provide real incentives for increased slaughter capacity so the Canadian livestock industry can process Canadian ruminants?

[Andy Mitchell, Liberal, Minister of Agriculture and Agri-Food]

Mr. Speaker, as I said yesterday in answer to similar questions, we do have a very aggressive strategy for ensuring that we can expand slaughter capacity.

First, we have provided CFIA with the additional resources it needs in order to undertake the inspection and regulatory process. Second, we have provided a loan loss reserve so there can be investment from the private sector, encouraged by the investments from the public sector, to close that gap.

Presently in Canada we slaughter some 81,000 animals per week. We are working to reach a level of 100,000, which is estimated to be the amount we should.

[Diane Finley, Conservative, Haldimand—Norfolk, ON]

Mr. Speaker, the fact is the structure of the loan loss reserve program does not encourage investment in new abattoirs. Even with the border opening, cull cows will still not be accepted by the United States.

Why will the Minister of Agriculture not aggressively promote the building of slaughterhouses for cattle over 30 months of age?

[Andy Mitchell, Liberal, Minister of Agriculture and Agri-Food]

Mr. Speaker, the details and the terms and conditions of the loan loss reserve were provided to the financial institutions last week. I took the opportunity to talk to each one of those financial institutions to discuss the particular terms and conditions. In fact I will be holding another collective meeting with those institutions tomorrow.

Natural Resources

[Scott Simms, Liberal, Bonavista—Exploits, NL]

Mr. Speaker, my question is for the Minister of Natural Resources. I would like him to comment on what is fast becoming a critical juncture in the history of Newfoundland and Labrador.

Could the minister provide the House with an update on what is currently happening between the province and the Government of Canada? Also, could he tell us where the resources are now and how much revenues the Government of Newfoundland and Labrador currently receives?

[R. John Efford, Liberal, Minister of Natural Resources]

Mr. Speaker, the government has been working very hard on this file. Up until the present day, the Government of Newfoundland and Labrador is receiving 100% of the revenues and 30% in the offset clause, which is no transfer of equalization. The remaining 70% is on a declining formula. The offer on the table today is 100% of the revenues plus the equalization plus the 30% plus the 70% until it reaches the Ontario level, and then it will still keep receiving 100% of the revenue and a--

[The Speaker]

The hon. member for Hamilton Centre.

Sponsorship Program

[David Christopherson, NDP, Hamilton Centre, ON]

Mr. Speaker, we now know there are documents which prove the Prime Minister's former executive assistant knew that part of a $600,000 contract that had been awarded fairly to one contractor was overridden by someone in the finance department to direct it to the Prime Minister's friends at Earnscliffe.

The minister today says that this is just a legitimate difference of opinion. What does the minister say to Canadians who think those are just code words for more Liberal political chicanery?

[Scott Brison, Liberal, Minister of Public Works and Government Services]

Mr. Speaker, the Department of Finance has responded to this. This was a matter handled by public servants in finance and public works. There was a legitimate difference of opinion and that difference of opinion was based on the whole idea of best value versus lowest price.

Let it be noted that the NDP is attacking the integrity of our good pubic servants in Canada. We are proud of our public servants and of the work they do. I would ask the hon. member from the NDP to stop besmirching the reputation of our public service.

[David Christopherson, NDP, Hamilton Centre, ON]

Mr. Speaker, if the minister would start providing some legitimate answers to the House, we would not have to listen to the minister misconstrue statements and put accusations where they do not belong.

This is about the minister, his Prime Minister and the party that he represents. You owe Canadians an explanation as to what is going on--

[The Speaker]

The hon. member for Hamilton Centre has had a lot of experience in the Ontario legislature where I know this kind of mistake can happen, but we do not have this type of error here in the House of Commons. I know he intended his remarks for the minister, but I would encourage him to address them to me and via me to the minister. I cannot offer explanations of the sort he is demanding.

[David Christopherson, NDP, Hamilton Centre, ON]

Mr. Speaker, could the minister inform the House how many other contracting decisions are being reversed by Liberal staffers, since that seems to be standard government practice?

[Scott Brison, Liberal, Minister of Public Works and Government Services]

Mr. Speaker, I will not comment on day to day testimony. However, I will point out that testimony can vary widely. In fact today we had somebody before the Gomery commission who said this afternoon, “I want to correct what I said this morning. No department interfered in the selection process”. We have an example where one afternoon's testimony contradicts the same individual's morning testimony. That is what happens if we comment on day to day testimony.

Agriculture

[David Anderson, Conservative, Cypress Hills—Grasslands, SK]

Mr. Speaker, the government has failed beef producers at every turn. Ranchers have tried for at least 18 months to open producer initiated packing plants. The Canadian Food Inspection Agency has hindered them at every turn, dragging out regulation after regulation.

When will the agriculture minister clear the path? When will he remove the CFIA as the industry's main obstacle to increasing Canadian cull cow slaughter capacity?

[Andy Mitchell, Liberal, Minister of Agriculture and Agri-Food]

Mr. Speaker, we will not remove the CFIA from protecting the health and safety of Canadians. That is an absolute. There is a need at the same time to operate administratively efficiently and to operate in a way where we can encourage and work with proponents. That is exactly what we intend to do, but we will not put at risk the health and safety of Canadians.

[David Anderson, Conservative, Cypress Hills—Grasslands, SK]

Mr. Speaker, the CFIA has thrown roadblocks in the path of producers. Unnecessary regulations such as requiring paved parking lots, changing floor drain sizes, moving walls four feet and complaining about the size of the offices of the CFIA bureaucrats have all been used to keep cattlemen from opening their own facilities.

It is crucial that we increase slaughter capacity immediately. Why will the agriculture minister not force the CFIA to work cooperatively with producers so we can begin to dig our way out of this BSE black hole?

[Andy Mitchell, Liberal, Minister of Agriculture and Agri-Food]

Mr. Speaker, let me be very clear. In those instances where there are regulatory necessities that need to be undertaken and that are not critical to health and safety, obviously we will work with the proponents. That will not hold up a licensing process. However, on the core issues that deal with the health and safety of Canadians, CFIA will ensure that those regulations to protect Canadians are enforced and adhered to.