Peggy Nash

[Budget Economic Statement Implementation Act, 2007, December 10th, 2007]

Mr. Speaker, I am pleased to speak to this bill and to support the amendment that would eliminate the provision for corporate tax cuts.

With the current government, it does not matter whether it is a social program or economic development or what the issue is, the solution is always a tax cut. Clearly, these tax cuts are not working. The massive corporate tax cuts made by previous governments have drained so much potential from our federal resources and the current government is continuing along the same path. The high cost of these tax cuts means that we are not investing where we ought to be investing, which is in our communities.

We have seen a growing economic gap in this country. People are working longer and harder, yet they are falling further and further behind. There is a growing number of Canadians who are homeless, a growing number who are badly housed and who are at the limit, in terms of their capacity to assume any more debt. I certainly see it in my own community. There are people who are working for less than $10 an hour, in other words they are poor, who are paying $1,000 a month for an apartment for them and their families. They are under-housed and cannot make ends meet because they cannot support themselves and pay that kind of rent.

Where is the money to be able to invest in a national housing strategy? There are 75,000 families in my city, Toronto, who are on the waiting list for assisted housing. Those numbers are not going down; in fact, they are growing every day. We do not have money to build new facilities for them. We are not seeing new co-op housing or other forms of affordable housing being built. This is an absolute disgrace.

A recent United Way report showed that the number of families falling into poverty in my city of Toronto is double the number in many other communities. Why? Toronto is a fast-growing city. It is the home to many newcomers to Canada. It is the most expensive city in the country. Tax cuts are not fixing the situation.

Tax cuts are also not fixing the situation with the loss of manufacturing jobs. Manufacturing is the biggest sector in our city and yet we have seen the loss of 125,000 manufacturing jobs from our community. These are decent paying jobs. They are full time work. They allow people to support themselves and their families. People are being thrown out of their jobs. Their lives are thrown into turmoil. Often they are only able to secure much lower paying, insecure work.

Instead of targeting a strategy to help the manufacturing sector at a time of a high dollar, at a time of greater competition, at a time of high fuel prices, what we have seen is across the board corporate tax cuts which, frankly, are not helping the companies that are not making profits anyway. These companies cannot benefit from the tax cuts. Those that do benefit are already extremely profitable, multi-billion dollars profitable, such as the banking sector and the oil and gas sector. In fact, we are helping the already overheated sectors of the economy, which pushes our dollar even higher.

The government needs a focused targeted strategy to deal with the crisis in the manufacturing sector. It needs to make a strong investment in social programs. It also needs to make a strong investment in infrastructure programs. None of these things happen with across the board corporate tax cuts.

I want to spend a couple of minutes on the issue of infrastructure investment. It does not matter whether it is engineers, the Federation of Canadian Municipalities or the Board of Trade, in all the studies everyone agrees that we have a crisis in infrastructure spending, that the current government and previous governments have neglected their responsibilities to invest in our infrastructure. Whether it is water or waste management, roads or transit, the proper stewardship has not been exercised in these areas. We need a major commitment to invest in our infrastructure. Corporate tax cuts do not provide investment in our infrastructure.

I have put forward a motion calling for a national transit strategy. It is a disgrace that the government does not have a national transit strategy. Our transit systems are growing as our populations grow, especially in our major urban centres. In a city like mine, in Toronto, we are seeing a growing gridlock with the resulting pollution and drain on people's time. It puts stress on the family. It is a huge drag on business. The Board of Trade has said that the number one thing it would like to see is investment in transit.

This ought to be public investment and not shunted off to a public-private partnership. We saw what happened in the city of London when it had a public-private partnership to expand its subway system. There was a $4 billion cost overrun there which the public is on the hook for. It is false economy to say that we can divert this to the private sector, because ultimately the public will be on the hook for it.

For us to be able to invest the needed moneys in our infrastructure and in our transit, we need a strong tax base. Letting profitable corporations off the hook to the tune of tens of billions of dollars is a colossal mistake. It is wasting our tax revenue. It is missing an opportunity to invest in the services, the programs and the infrastructure that Canadians need.

At this time when our economy has been expanding and doing relatively well, if we cannot now make these important investments, when will we ever be able to do it?

I would argue that to let companies off the hook and not have them pay the taxes that they should be paying based on their very successful profits is a mistake. It is missing a golden opportunity at this point in the business cycle to be able to address the physical and social infrastructure needs that our country has.

Through neglect we are letting our country slide into crisis, a crisis of poverty for a growing number of people, a crisis of a lack of child care, a crisis of a lack of housing, a crisis of a lack of infrastructure, especially transit. With the growing number of seniors in this country, I fear that we will increasingly have a crisis in terms of neglecting the needs of seniors as well.

In conclusion, I would strongly argue that this is not the time for across the board tax cuts. We need to pay attention to the manufacturing crisis and the crisis in other sectors, such as tourism, that desperately need attention from the government. These sectors desperately need attention. Across the board tax cuts do not help them. This is the time to be investing in our country.

[Business of Supply, December 6th, 2007]

Mr. Speaker, the member for Victoria is absolutely right. I fear what is happening is less a commitment to renewing infrastructure and more a commitment to enriching some sections of the private sector. I would argue that there are lots of possibilities, as I said, with the provision of subway cars and buses in Toronto. There are lots of provisions for business opportunities, but not at the expense of privatizing our services.

[Business of Supply, December 6th, 2007]

Mr. Speaker, what I do know is that the money that was committed to the extension of a key subway line in the city of Toronto is not moving forward because of the ideology of the government. The Conservatives are insisting on mandatory public-private partnership reviews before they will spend this money to expand our transit system.

We have recently seen the incredible failure of a public-private partnership for upgrading large sections of the subway system in London, England. We saw over $4 billion Canadian in cost overruns with a private consortium. The people of Britain are on the hook for that cost overrun.

The argument is that somehow these public-private partnerships take away risk from the public. The reality is, they simply do not. They privatize public infrastructure, public services and then leave the taxpayer on the hook for any cost overruns.

There may be money committed, for example, to transit in Toronto, but the money that has been pledged is not being spent and it really is a very ideological way to spend money. The city of Toronto has the sixth largest government in our country and we ought to leave it up to it to decide how to provide transit in the way it knows how to do best.

[Business of Supply, December 6th, 2007]

Mr. Speaker, I will be splitting my time with the member for Burnaby—New Westminster.

I am very pleased to speak to this motion today. I believe that the issue of municipal infrastructure is a fundamentally important issue. When I speak with the members of the board of trade, the mayor of my city or business people around our town, they all agree that the number one concern is our crumbling infrastructure, in all places but certainly in the town that I come from, Toronto.

We have seen study after study and report after report detailing the enormous and growing infrastructure deficit in our country. The Conference Board, the board of trade, as I mentioned, the Canadian Council of Professional Engineers, the Federation of Canadian Municipalities and the big city mayors--in short, everyone in this country--agree that we have a massive infrastructure deficit. It is a hindrance to business. It is a danger to our environment. It is creating huge personal problems in terms of inconvenience, by lengthening travel times for people and through disruption and costs related to water pipes breaking because they are old and ought to be replaced. There are huge problems.

Everyone agrees that we need to address this problem, yet there seems to have been a paralysis in the previous government and now there are problems with the current government in addressing this issue. Therefore, I want to not only address the issue but discuss how we should address it.

I want to reinforce what the Federation of Canadian Municipalities is saying, which is that the deficit in infrastructure has now reached $123 billion. It categorizes “sub-deficits”, that is, certain parts of our infrastructure that are particularly deficient. Water and waste water systems have a $31 billion deficit. Transportation has a $21.7 billion deficit. Transit has a $22.8 billion deficit. Solid waste management has a $7.7 billion deficit. Community, recreational, cultural and social infrastructure has a $40.2 billion deficit.

We know that this deficit will only grow exponentially and that all governments and parties need to work together in order to come to grips with it and deal with the ongoing challenge to our quality of life.

However, the expectation that municipalities alone can deal with infrastructure deficits by increasing property taxes is clearly ludicrous. It is simply not sustainable, nor it is possible for them to do so.

Let us take a look at the gas tax, which is specifically referenced in this motion. The federal gas tax is 10¢ a litre. It generates over $4 billion a year. Even half that tax, $2 billion, would be a substantial investment in our municipalities. That is certainly what we have been proposing: that this tax, on a permanent basis, be made available to municipalities to deal with their infrastructure deficit.

The previous government made some promises about municipalities getting up to 5¢ a litre in future years, which would be $2 billion, but of course that was never fully realized. What was realized, of course, were the massive corporate tax cuts, the largest we had seen. They were certainly escalated. We have seen that continue with the current government in the previous budget, and then the mini-budget the government brought in certainly fast tracked corporate tax cuts.

I would submit that what needs to be fast tracked is the funding for infrastructure. We have seen our communities stagnating. I hear complaints constantly about the amount of taxes people pay and the deterioration of their cities. This is an urgent issue that ought to be addressed.

The building Canada fund that was announced last year is a flawed program. All it does is repackage already designated federal dollars into a scheme that is designed to profit certain interests from the infrastructure crisis in municipal services and ultimately lead to their privatization.

Municipalities need support to repair and replace their aging infrastructure and what they are facing in fact are threats that if they do not agree to public-private partnerships, they will not get the funding that they need.

Therefore, we see the rising funds put into the building Canada infrastructure program which includes a mandatory P3 review for any project of more than $50 million of federal funds. These reviews can be skewed to make the public sector look inefficient and in fact the head of Partnerships BC, responsible for privatization, said himself that:

--public sector comparators won’t do you much good because I can make the public sector comparator as bad as I want to in order to make the private sector look good.

I think that often these privatizations are a false economy. We certainly saw this with the upgrading of the London subway system and the failure of a public-private partnership there. There were cost overruns of over £2 billion, or over $4 billion.

While the proponents of privatization argue that P3s take away risk from government, clearly it is government and the public sector that is still on the hook for any cost overruns. The risk just reverts back to the public sector at a cost much higher than if they had just undertaken the work themselves.

I want to say a few words more about transit because we are talking about gas tax and I believe that transit infrastructure is fundamentally important for our communities. As I said earlier, it is important clearly for our environment and our businesses. It is important to the quality of life for people in large centres to be able to get to and from their homes, to work, and to other places where they have to travel to in a timely fashion.

If we look at what happens if we replace cars with a bus, a regular TTC vehicle, one bus during rush hour can replace 45 private vehicles, which is very significant. If we put in an additional six car subway train, that replaces 900 vehicles. We are talking about an incredible bonus, incredible assistance, to unclogging our streets, unclogging our air, and simplifying the lives of people in the community.

We ought to have the finest transit systems in the world. We are a vast country. We specialize in transportation. It is what we do to keep our communities connected, yet we have let our transit systems lag further and further behind.

I believe we ought to be making significant investments in all infrastructure, but transit is very near and dear to my heart. I know that when the NDP was able to take $5 billion earmarked for corporate tax cuts in the previous government's budget and invest some of that money in transit, it not only put new hybrid energy efficient buses on the streets of Toronto but what it did was order those buses from a plant in Mississauga and kept workers building those buses.

It was a big order for a Canadian plant. Not only was it good for the environment it kept people employed, and the people and the company paid taxes. It was good for the economy. It stimulated our economy. It was a win-win-win situation. This investment in infrastructure was done properly, not privatizing our infrastructure but investing our public dollars for the good of all Canadians That is what we ought to be doing

While I support the motion, I want to move that this motion be amended by adding the following: “And with the provision of an additional dedicated component for public transportation”.

[Youth Criminal Justice Act, November 26th, 2007]

Mr. Speaker, I thank my colleague for his question.

Yes, there are problems related to street gangs in Toronto, as there are in other cities in this country. However, I do not see anything in this bill that would prevent young people from joining street gangs.

I already spoke about the issues of poverty in Toronto, but much could be done in terms of training young people and investing in youth leadership programs. We must invest in youth so that they can have a secure future and can aspire to success, instead of seeing street gangs as the only alternative.

[Youth Criminal Justice Act, November 26th, 2007]

Mr. Speaker, I thank my hon. colleague for his question.

Affordable housing does play an important part in the rise in poverty. In Toronto, housing is expensive, especially for single parent families. These families cannot afford the housing they need. The problem is that the federal government has abandoned Canadian families, as we can still see in Toronto, and in Quebec as well.

This is a matter of real urgency because we live in a northern country. Living and surviving on the streets is not an option. To promote successful families and prevent crime, we must invest in families and affordable housing. This is an urgent matter across the country.

In light of this report today, and the one released last week about affordable housing, this is indeed an urgent matter. It is truly a national disgrace that no immediate action was taken. It is a disgrace that the federal government is not acting.

[Youth Criminal Justice Act, November 26th, 2007]

Mr. Speaker, I rise today to address the bill on youth crime. While we believe the bill falls short in many ways, we believe it should be debated and amended in committee.

As previous speakers have said, the bill contains two specific sections, one dealing with youth and pre-trial custody and the other dealing with sentencing provisions. We support the notion that judges should be allowed the discretion to impose pre-trial restrictions on those who pose a serious threat to society. The section dealing with pre-trial detention maintains judicial discretion and simply entrenches principles that are already being practised by most courts, so it is not a huge change.

The sections in the bill dealing with sentencing principles are more problematic. There is no evidence to suggest that the adult principles of deterrence and denunciation will have any positive outcome for public safety. Blurring the differences between adults and youth is something that the courts and surely society does not sanction. Therefore, we believe this part needs to be amended and improved on.

I will take a step back and speak a bit about some of the challenges that youth face today.

I come from the city of Toronto. I was there today when the United Way of greater Toronto released its report called “Losing Ground: The Persistent Growth of Family Poverty in Canada’s Largest City”. I want to share with the House some of the findings of this very serious report, which I believe ought to ring alarm bells with the government if it is serious about crime prevention and the need for greater safety in our communities.

Let me cite some of the findings from the United Way study.

The study found that the median income of Toronto families with children under 17 had fallen well behind the median income of families throughout the rest of Canada. It found that one in five two-parent families lived in poverty. That is twice the rate of families in the rest of Canada.

The study found that over 50% of single parent families lived in poverty compared with one in three at the beginning of the last decade, in 1990. One in four Toronto families struggled with poverty. Our poverty rate in Toronto is at 28.8% compared with 19.5% in the rest of Canada. Therefore, we are 10 percentage points higher in the city of Toronto for family poverty.

A lot of people are taking on high debt and we are finding bankruptcies. Insolvency rates in Toronto were up 52.3%, between 2000 and 2005, compared with a 16.8% increase nationally. Eviction applications have increased by 26% over the last seven years. Debt management caseloads have increased 50%, between 2001 and 2007. Payday loan and cheque cashing outlets have increased from 39 in 1995 to over 317 in 2007, with most concentrated in high poverty neighbourhoods.

I believe these statistics are even more pressing and compelling than even these numbers show because Toronto is the most expensive city in the country. Therefore, people who are experiencing these greater levels of poverty are trying to live in the most expensive city in the country.

Behind all these statistics, as devastating as they are, are individuals, families and children trying to survive in extremely stressful and hostile circumstances.

How did we get here? We have seen a massive de-industrialization in the city of Toronto. We have lost over 125,000 manufacturing jobs over the last few years. These were jobs in which people made a decent wage with benefits, with some security and stability of hours of work. They were able to support themselves and their families.

The government will say that jobs have been created. Where are those jobs? They are increasingly in the low wage, precarious, part time, contract jobs. Many people working in these jobs, even if they manage to get 40 hours a week, or the equivalent of a full time job, are living below the poverty level. More than one million people working in the city of Toronto make less than the poverty level; that is they make less than $10 an hour, which is disgraceful. We have these precarious jobs.

Then the previous Liberal government abolished our national minimum wage. We have no national minimum standard that would protect these workers from falling below the poverty line, which is why I introduced a bill to re-establish a national minimum wage and set it at $10 an hour. This would help workers get out of poverty.

One of the major challenges for families in the city of Toronto is to find affordable housing. The previous government got out of providing affordable housing. We have no national housing strategy. The real estate market in Toronto is sky-high. People trying to pay rent or maintain a mortgage are finding the costs really unsustainable.

I hear from many people in my community who tell me, especially single parents trying to pay $1,000 a month in rent when they are working in a fairly low wage job, that it is simply untenable.

What does it mean for children growing up in this environment? It means their parents are working longer hours. The parents are often away from home. The children do not have supervision when they need it, or the guidance and the resources that are needed.

If we truly want to prevent crime among young people, if we truly want to make alternatives to negative activity in society, if we want to make those more attractive, then we have to invest in families. The government has to invest in a city such as Toronto, which ought to be the engine of our national economy.

A situation that I find quite shocking is the rise of payday loan companies. They charge outrageous and exorbitant levels of interest. These companies are blossoming in poor neighbourhoods. People become locked into debt perhaps to get an advance on a paycheque. Suddenly they are into these spiralling loans that can charge hundreds of percentage points on a very small loan and suck people in.

Another problem that people in Toronto face and that affects young people is when a parent loses a job or they are between jobs. They cannot access employment insurance. Almost 80% of unemployed workers in the city of Toronto do not receive benefits from employment insurance. Therefore, they are denied the benefits they pay into.

The challenges are huge. I believe the best way to deal with youth crime is to invest in prevention. We need to invest in affordable housing. We need to get the loan sharks and the payday loan people out of the communities. We need to provide clear banking alternatives for people. We need to invest in good paying jobs that allow people to support themselves and their families. We ought to invest in programs for young people that help them succeed in school, develop leadership qualities and prepare them for the world of further education or the world of work.

Clearly, we are failing our young people and our families. I believe the report today from the United Way is a national shame. Every Canadian ought to hear an alarm bell. We ought to take action on this report immediately.

[Points of Order, November 26th, 2007]

Mr. Speaker, in my question this afternoon, I cited some statistics from a United Way report that was released this morning. The hon. Minister of Human Resources and Social Development challenged my statement, which was a citing from this report.

In the interests of correcting the record, I would welcome the minister to rephrase his statement to show that my facts were not wrong; my facts were taken directly from a report released this morning. I would welcome his action on that.

[Poverty, November 26th, 2007]

Mr. Speaker, when will the government wake up? Today's United Way report is the third in 18 months that has sounded the alarm of the growing gap that is leaving so many behind in Toronto.

Toronto families are losing ground on every measure: in median incomes, in the percentage of low income families, and in the number of families living in poverty.

There has been a net loss of jobs, with good paying jobs being replaced by temporary, part time, and contract work with no security, no benefits, and thanks to the previous Liberal and now Conservative government, no unemployment insurance.

When can the government--

[Poverty, November 26th, 2007]

Mr. Speaker, after months of Conservative indifference and years of Liberal inaction more and more Toronto families are slipping into poverty.

Since 1990, the number of Toronto families living in poverty has doubled. Today, 30% of families live in poverty and more than half of Toronto's single parent-led families are poor. The Conservative government, like previous Liberal governments, is letting Canada's largest city fall farther and farther behind.

With today's United Way report, can the government tell us why it has billions of dollars for corporate tax cuts and nothing to help poor families in the city of Toronto?