Debates of April 22nd, 2004

Government Contracts

[Some hon. members]

More.

[The Speaker]

We are not having any singing in question period.

The hon. member for St. John's West has the floor to ask a question and we will hear the question.

[Loyola Hearn, Progressive Conservative, St. John's West, NL]

Mr. Speaker, they do not appreciate music.

Under a standing offer issued on March 29, 2004, Earnscliffe will be on call to provide Health Canada with advice and strategy on some of the most sensitive files on the political agenda.

Why is the Prime Minister contracting out this work when people in the department are being paid to do it?

[Pierre Pettigrew, Liberal, Minister of Health]

Mr. Speaker, it is absolutely normal that Health Canada uses the best possible advice it can get across the land. This is why we organize workshops across the country as well. We need the private sector sometimes to organize some of these workshops and get some advice, the best possible strategic communications advice.

Earnscliffe is one of the four companies that we have on standing offer. This is not a decision made by the minister nor his office. The opposition knows that very well. The process is transparent and we respect it.

[Rahim Jaffer, Canadian Alliance, Edmonton Strathcona, AB]

Mr. Speaker, the Prime Minister is quite proud of his relationship with the Ottawa lobbyist firm Earnscliffe. They made him Prime Minister and he repays them with taxpayer funded contracts.

Earnscliffe was just given $160,000 to advise the health department on reforming health care. Earnscliffe, however, is also contracted to do business with private firms promoting privatization of health care.

Why does the Prime Minister think that awarding contracts to his friends at Earnscliffe will promote the public interest when they are clearly working against the public good?

[Pierre Pettigrew, Liberal, Minister of Health]

Mr. Speaker, we get the best possible strategic communications advice we can get. This was made by standing offer, organized by public works in a very transparent way.

I can tell the House that Earnscliffe has organized its way of working with a Chinese wall between its operations. It has been reviewed by the ethics counsellor. They do respect what the Supreme Court of Canada indicated in its 1998-99 annual report that they respect absolutely those guidelines. Therefore, the ethics counsellor approves that they can do both, advise on strategic communications and the other activities they have--

[The Speaker]

The hon. member for Edmonton—Strathcona.

[Rahim Jaffer, Canadian Alliance, Edmonton Strathcona, AB]

Mr. Speaker, here are a few facts about the Prime Minister and Earnscliffe.

In the 1990s he rigged the finance department contracting procedure to benefit Earnscliffe. When he was fired from--

[Some hon. members]

Oh, oh.

[The Speaker]

The hon. member will not want to suggest there is any rigging going on. That is something done on sailing ships. He will stick to facts. If he is going to give a list as a preamble, he had better make sure it is all in order because I will not hear that kind of language.

[Rahim Jaffer, Canadian Alliance, Edmonton Strathcona, AB]

Mr. Speaker, he arranged certain contracting procedures for Earnscliffe. When he was fired from cabinet, his successor as finance minister cancelled all those contracts with Earnscliffe.

Earnscliffe began work in earnest for his leadership campaign and then when he became Prime Minister the taps started opening up again to Earnscliffe.

How much money has flowed from the PMO to Earnscliffe since he has taken over?

[Ralph Goodale, Liberal, Minister of Finance]

Mr. Speaker, with respect to the hon. gentleman's preamble, once again he insists on misstating the facts.

The contractual arrangement with Earnscliffe preceded the existence of the government in 1993. There were two short term extensions of that contract while the Department of Public Works was arranging a new competitive process. When that process was finally available in the latter part of 1994, the contract was again fully competed and on a competitive basis Earnscliffe won the award.

Ethanol Industry

[Marlene Catterall, Liberal, Ottawa West—Nepean, ON]

Mr. Speaker, yesterday at Iogen Corporation here in Ottawa, the Prime Minister witnessed the launch of the first tanker truck full of cellulose ethanol fuel on its way to market.

Given that the government has invested $21 million in bringing this technology to this stage, is the government now prepared to act according to the Speech from the Throne and the budget and assist in the commercial expansion and development of cellulose ethanol?

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

Mr. Speaker, the Government of Canada has been a long time supporter of innovative environmental technologies, such as clean-burning fuel.

In February the Government of Canada allocated $78 million to seven new ethanol plants across the country as round one with more to come in the near future.

Also, the Government of Canada reaffirmed its long time support to environmental technologies by announcing in budget 2004 a full $1 billion in additional funding for this area. Shell Oil's ethanol was named as one potential area of investment for this new program.

Health

[Bev Desjarlais, NDP, Churchill, MB]

Mr. Speaker, the Prime Minister and the Liberals say that it is the Conservatives who want private, for profit health care. The reality is that the Prime Minister is setting the stage for private, for profit health services. This is verified by the Earnscliffe lobbyists standing at the Prime Minister's right hand, as well as the Liberals' hiring Earnscliffe to advise Health Canada.

Would the Prime Minister prove that he is different from the Conservatives and stand up and tell all Canadians that his government will not allow private, for profit health service delivery in Canada?

[Pierre Pettigrew, Liberal, Minister of Health]

Mr. Speaker, the question went in all kinds of directions, so I will use this opportunity to absolutely confirm to the House the firm intention of our government to work very closely with the provinces. The Prime Minister has committed to meet the first ministers next summer, following the good work we will be doing in the next few weeks and months with the health ministers.

We will want to guarantee the five principles of the Canada Health Act. We will want to work cooperatively with the provinces for a long term plan for the long term sustainability of our health care.

Employment Insurance

[Yvon Godin, NDP, Acadie—Bathurst, NB]

Mr. Speaker, the Minister of Human Resources recently said in the House that seasonal workers in the riding of Beauséjour—Petitcodiac will not be penalized for having banked hours for employment insurance benefits. His department assured me that the people in the riding of Acadie—Bathurst would be treated the same way, but it reversed its decision and is now asking them to pay.

Can the Minister of Human Resources commit to equal treatment for seasonal workers everywhere experiencing the same problem, and not just those in Liberal ridings?

[Joe Volpe, Liberal, Minister of Human Resources and Skills Development]

Mr. Speaker, seasonal workers across Canada are experiencing this problem. My department and I, personally, are treating everyone the same way. We are dealing with the problem and we are trying to put all the department's resources into finding solutions for individuals, no matter where they work.

Sponsorship Program

[Diane Ablonczy, Canadian Alliance, Calgary Nose Hill, AB]

Mr. Speaker, Canadians want some straight answers about who is responsible for spending sponsorship millions in a way the Auditor General found broke every rule in the book.

Today a mid-level bureaucrat, Chuck Guité, claimed the Liberals gave him leave to award millions upon millions as he alone saw fit. Are Canadians to believe that a lone bureaucrat was allowed to spend all that money with no political direction or oversight?

[Stephen Owen, Liberal, Minister of Public Works and Government Services]

Mr. Speaker, as the hon. member knows, the public accounts committee is in the process of interviewing a whole range of witnesses on this important topic. I am sure that all members of the House, including the member, will look forward to the report of the public accounts committee commenting on his testimony, as well as other versions of what might have happened at what time during the last few years.

[Diane Ablonczy, Canadian Alliance, Calgary Nose Hill, AB]

Mr. Speaker, I remind the Liberal government that the Auditor General uncovered such outrageous abuse of sponsorship spending that it triggered both a parliamentary and a judicial investigation, as well as multiple criminal investigations.

Canadians are being asked to swallow that all this can be laid at the door of a single bureaucrat who is pretty much a legend in his own mind. If the Liberals sat back while all this went on, why would anyone want them to run the country?

[Stephen Owen, Liberal, Minister of Public Works and Government Services]

Mr. Speaker, I am sure the hon. member is aware of the testimony this morning. I am sure she, along with her colleagues on the public accounts committee, will be paying very careful attention to this version of what might have happened compared to other people's versions of what happened, come to some conclusions, some findings and present them in a report to this House, which all members of the public accounts committee are encouraged to bring as soon as possible.

[Jason Kenney, Canadian Alliance, Calgary Southeast, AB]

Mr. Speaker, one of the things that became clear in this morning's testimony is that the secret Liberal unity fund laid the ground for the sponsorship debacle.

As finance minister and vice-chair of Treasury Board, the Prime Minister funded and had full knowledge of the unity honey pot and therefore he shares responsibility for the sponsorship scandal.

Why should Canadians trust the Prime Minister to clean up the sponsorship mess that he helped to create when he was the most powerful member of the Chrétien cabinet?

[The Speaker]

The hon. President of the Treasury Board.

[Some hon. members]

Oh, oh.