This bill is from the 40th Parliament, 2nd session, which ended in December 2009.
Jim Flaherty Conservative
This bill has received Royal Assent and is now law.
This is from the published bill.
Part 1 implements income tax measures proposed in the January 27, 2009 Budget. In particular, it
(a) increases by 7.5% above their 2008 levels the basic personal amount and the upper limits for the two lowest personal income tax brackets, thereby also increasing the income levels at which income testing begins for the base benefit under the Canada Child Tax Credit and the National Child Benefit supplement;
(b) increases by $1,000 the amount on which the Age Credit is calculated;
(c) increases to $25,000 the maximum amount eligible for withdrawal under the Home Buyers’ Plan;
(d) introduces amendments to the rules related to Registered Retirement Savings Plans and Registered Retirement Income Funds to allow for recognition of losses in accounts between the time of the annuitant’s death and final distribution of property from the account;
(e) repeals the interest deductibility constraints in section 18.2 of the Income Tax Act;
(f) extends the mineral exploration tax credit for one year;
(g) increases to $500,000 the annual amount of active business income eligible for the 11% small business income tax rate and makes related amendments;
(h) clarifies rules relating to timing of acquisition of control of a corporation; and
(i) creates cost savings through electronic filing of tax information.
In addition, Part 1 implements income tax measures that were referenced in the January 27, 2009 Budget and that were originally proposed in the February 26, 2008 Budget but not included in the Budget Implementation Act, 2008. In particular, it
(a) clarifies the application of the excess corporate holdings rules for private foundations;
(b) increases the amount that corporations will be able to pay as “eligible dividends”;
(c) enacts several regulatory amendments that complement and complete measures enacted in the Budget Implementation Act, 2008;
(d) introduces minor adjustments to the Tax-Free Savings Account rules and the scientific research and experimental development investment tax credit rules included in the Budget Implementation Act, 2008;
(e) implements rules in respect of donations of medicines; and
(f) reduces the paper burden on businesses by allowing a larger number of government entities to share Business Number-related information in connection with government programs and services.
Part 1 also implements other income tax measures referred to in the January 27, 2009 Budget that either were themselves previously announced or flow directly from previously announced measures. In particular, it
(a) implements technical changes relating to specified investment flow-through trusts and partnerships and new tax rules to facilitate the conversion of these entities into corporations;
(b) contains amendments to take into account financial institution accounting changes;
(c) extends the general treatment of capital gains and losses on an acquisition of control of a corporation to gains and losses that result from fluctuations in foreign exchange rates in respect of debt denominated in foreign currency;
(d) enhances the carry-forward for investment tax credits;
(e) implements amendments relating to the computation of income, gains and losses of a foreign affiliate;
(f) implements amendments to the functional currency tax reporting rules;
(g) implements minor tax amendments relating to interprovincial allocation of corporate taxable income, the Wage Earner Protection Program and the Canada-United States tax treaty’s rules for cross-border pensions;
(h) provides for an extension of time for income tax assessments that are consequential to provincial reassessments;
(i) ensures the appropriate application of the Income Tax Act’s trust rules to certain arrangements and institutions under Quebec civil law;
(j) enacts regulatory amendments relating to prescribed amounts for automobile expenses and benefits, eligible medical expenses, and the tax treatment of foreign affiliate active business income earned in a jurisdiction with which Canada has concluded a tax information exchange agreement;
(k) introduces rules to reduce the required minimum amount that must be withdrawn from a Registered Retirement Income Fund or from a variable benefit money purchase pension plan by 25% for 2008, and allows related re-contributions;
(l) extends the deadline for Registered Disability Savings Plan contributions; and
(m) modifies the provisions relating to amateur athletic trusts.
Part 2 amends the Excise Act, 2001 and the Excise Tax Act to implement measures to reduce the paper burden on businesses by allowing a larger number of government entities to share Business Number-related information in connection with government programs and services.
Part 3 amends the Customs Tariff to implement measures announced in the January 27, 2009 Budget to
(a) reduce Most-Favoured-Nation rates of duty and, if applicable, rates of duty under other tariff treatments on a number of tariff items relating to machinery and equipment imported on or after January 28, 2009;
(b) divide tariff item 9801.10.00 into two separate tariff items pertaining to conveyances and containers, respectively, and make two technical corrections, effective January 28, 2009; and
(c) modify the tariff treatment of milk protein substances, effective September 8, 2008.
Part 4 amends the Employment Insurance Act until September 11, 2010 to extend regular benefit entitlements by five weeks. It also provides that a pilot project ceases to have effect. In addition, it amends that Act to provide that the cost of benefit enhancement measures under that Act, provided for in the budget tabled in Parliament on January 27, 2009, are not to be charged to the Employment Insurance Account. Finally, it sets the premium rate provided for under that Act for the years 2002, 2003, 2005 and 2010.
Division 1 of Part 5 amends the Financial Administration Act to authorize the Minister of Finance to take, subject to certain conditions, a number of measures intended to promote the stability or maintain the efficiency of the financial system, including financial markets, in Canada.
Division 2 of Part 5 amends the Canada Deposit Insurance Corporation Act to provide the Canada Deposit Insurance Corporation with greater flexibility to enhance its ability to safeguard financial stability in Canada. The Division also adds Tax-Free Saving Accounts as a distinct category for the purposes of deposit insurance. It also makes consequential amendments to other acts.
Division 3 of Part 5 amends the Export Development Act to, among other things, expand the Export Development Corporation’s mandate to include the support and development of domestic trade and business opportunities for a period of two years. The period may be extended by the Governor in Council. Division 3 also increases the Corporation’s authorized capital.
Division 4 of Part 5 amends the Business Development Bank of Canada Act to increase the maximum amount of the paid-in capital of the Business Development Bank of Canada.
Division 5 of Part 5 amends the Canada Small Business Financing Act to increase the maximum outstanding loan amount in relation to a borrower. It also increases individual lenders’ cap on claims. These amendments will apply to new loans made after March 31, 2009.
Division 6 of Part 5 amends a number of Acts governing federal financial institutions to improve access to credit and strengthen the financial system in Canada, including amendments that will
(a) provide new authority for further safeguards to promote the stability of the financial system;
(b) enhance consumer protection by establishing new measures to help consumers of financial products; and
(c) implement other technical measures to strengthen the financial sector framework in Canada.
Division 7 of Part 5 provides for payments to be made to provinces and territories, provides authority to the Minister of Finance to enter into agreements respecting securities regulation with provinces and territories and enacts the Canadian Securities Regulation Regime Transition Office Act.
Part 6 authorizes payments to be made out of the Consolidated Revenue Fund for various purposes, including infrastructure and housing.
Part 7 amends Part I of the Navigable Waters Protection Act to create a tiered approval process for works in order to streamline the approval process and to exclude certain classes of works and works on certain classes of navigable waters from the approval process. This Part further amends Part I of the Act to clarify the scope of the application of that Part to works owned or previously owned by the Crown, to provide for the application of the Act to bridges over the St. Lawrence River and to add certain regulation-making powers.
Part 7 also amends the Act to clarify the provisions related to obstacles and obstructions to navigation. The Act is also amended by adding administration and enforcement powers, consolidating all offence provisions, increasing fines and requiring a review of the Act within five years of the amendments coming into force.
Division 1 of Part 8 amends the Wage Earner Protection Program Act and the Wage Earner Protection Program Regulations to provide that unpaid wages for which an individual may receive payment under the Wage Earner Protection Program include unpaid severance pay and termination pay.
Division 2 of Part 8 amends the Canada Student Financial Assistance Act to, among other things,
(a) require the Chief Actuary of the Office of the Superintendent of Financial Institutions to report on financial assistance provided under that Act; and
(b) authorize the Minister of Human Resources and Skills Development to suspend or deny financial assistance to all those who are qualifying students in respect of a designated educational institution.
Division 2 of Part 8 also amends both the Canada Student Financial Assistance Act and the Canada Student Loans Act to, among other things,
(a) terminate all obligations of a borrower with respect to risk-shared loans and guaranteed loans if the borrower dies;
(b) authorize the Minister of Human Resources and Skills Development to require any person who has received financial assistance or a guaranteed student loan to provide that Minister with documents or information for the purpose of verifying compliance with those Acts; and
(c) authorize that Minister to terminate or deny financial assistance in certain circumstances.
Division 3 of Part 8 amends the Financial Administration Act to provide express authority for agent Crown corporations to lease their property, restrict the appointment of employees of a Crown corporation to its board of directors, require Crown corporations to hold annual public meetings, clarify Treasury Board’s duties to indemnify Crown corporation directors and officers, permit more flexibility in the frequency of special examinations of Crown corporations, and require the reports of special examinations to be submitted to the appropriate Minister and Treasury Board and made public. This Division also makes consequential amendments to other Acts.
Part 9 amends the Federal-Provincial Fiscal Arrangements Act to set out the amount of the fiscal equalization payments to the provinces for the fiscal year beginning on April 1, 2009 and amends the method by which fiscal equalization payments will be calculated for subsequent fiscal years. It also amends the method by which the Canada Health Transfer is calculated for each fiscal year in the period beginning on April 1, 2009 and ending on March 31, 2014.
Part 10 enacts the Expenditure Restraint Act. The purpose of that Act is to put in place a reasonable and an affordable approach to compensation across the federal public sector in support of responsible fiscal management in a difficult economic environment.
It sets out rules governing economic increases to the rates of pay of unionized and non-unionized employees for periods that begin during the period that begins on April 1, 2006 and ends on March 31, 2011. It also continues certain other terms and conditions at their current levels. It preserves the right of collective bargaining with regard to other matters and it does not affect the right to strike.
The Act does not preclude the continued development of workplace improvements by employers and employees’ bargaining agents through the National Joint Council or other bodies that they may agree on. It also permits bargaining agents and employers to agree to the amendment of certain terms and conditions of collective agreements or arbitral awards.
Part 11 enacts the Public Sector Equitable Compensation Act and makes consequential amendments to other Acts. The purpose of the Act is to ensure that proactive measures are taken to provide employees in female predominant job groups with equitable compensation.
It requires public sector employers that have non-unionized employees to determine periodically whether any equitable compensation matters exist in the workplace and, if so, to prepare a plan to resolve them. With respect to public sector employers that have unionized employees, the employers and the bargaining agents are to resolve those matters through the collective bargaining process.
It sets out the procedure for informing employees as to whether an equitable compensation assessment was required to be conducted and, if so, how it was conducted, and how any equitable compensation matters were resolved. It also establishes a recourse process for employees if the Act is not complied with.
Finally, since the Act puts in place a comprehensive equitable compensation scheme for public sector employees, this Part amends the Canadian Human Rights Act so that the provisions of that Act dealing with gender-based wage discrimination no longer apply to public sector employers. It extends the mandate of the Public Service Labour Relations Board to allow it to hear equitable compensation complaints and to provide other services related to equitable compensation in the public sector.
Part 12 amends the Competition Act. The amendments include
(a) introducing a dual-track approach to agreements between competitors, with a limited criminal anti-cartel provision and a civil provision to address other agreements that substantially lessen or prevent competition;
(b) providing that bid-rigging includes agreements or arrangements to withdraw bids or tenders;
(c) repealing the provisions dealing with price discrimination and predatory pricing, replacing the criminal resale price maintenance provision with a new civil provision to address price maintenance practices that have an adverse effect on competition, and repealing all provisions dealing specifically with the airline industry;
(d) introducing an administrative monetary penalty for cases of abuse of dominant position, increasing the maximum amount of administrative monetary penalties for deceptive marketing cases, and increasing the maximum fines or terms of imprisonment, or both, for agreements or arrangements between competitors, bid-rigging, criminal false or misleading representations, deceptive telemarketing, deceptive notice of winning a prize, obstruction of Competition Bureau investigations and failure to comply with prohibition orders or production orders;
(e) clarifying that, in proceedings under section 52, 74.01 or 74.02, it is not necessary to establish that false or misleading representations are made to the public in Canada or are made in a place to which the public has access, and clarifying that the “general impression test” applies to all deceptive marketing practices in sections 74.01 and 74.02;
(f) providing that the court may make an order in respect of cases of false or misleading representations to require the person who engaged in the conduct to compensate persons affected by the conduct, and may issue an interim injunction to freeze assets if the Commissioner of Competition intends to ask for such a compensation order; and
(g) introducing a two-stage merger review process for notifiable transactions, increased merger pre-notification thresholds and a reduced merger review limitation period.
Part 13 amends the Investment Canada Act so that the review of an investment will be applied only to the more significant investments. It also amends the Act to allow more information to be made public. This Part also provides for the review of foreign investments in Canada that could threaten national security and allows the Governor in Council to take any measures that the Governor in Council considers advisable to protect national security, such as prohibiting a non-Canadian from implementing an investment.
Part 14 amends the Canada Transportation Act to provide the Governor in Council with flexibility to increase the foreign ownership limit from the existing levels to a maximum of 49%.
Part 15 amends the Air Canada Public Participation Act in relation to the mandatory provisions in the articles of Air Canada regarding constraints imposed on the issue, transfer and ownership of shares. It provides for the repeal of the provisions requiring that the articles of Air Canada contain provisions imposing limits on non-resident share ownership and the repeal of the provisions requiring that the articles of Air Canada contain provisions respecting the enforcement of these constraints.
All sorts of information on this bill is available at LEGISinfo, an excellent resource from Parliament. You can also read the full text of the bill.
Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-10s:
Budget Implementation Act, 2009Government Orders
The Acting Speaker Denise Savoie
As the member for Etobicoke North does not have a lot of time to answer the question, I will give her the floor for 30 seconds.
Kirsty Duncan Liberal Etobicoke North, ON
Madam Speaker, I think the point of the speech was that municipalities do struggle to pay that one-third. We really have to make sure that municipalities that need infrastructure can in fact afford it.
Guy André Bloc Berthier—Maskinongé, QC
Madam Speaker, it is with interest that I rise to speak today to Bill C-10, a bill to implement the 2009 budget the Conservative government presented in January.
Obviously, we oppose this bill. We made it clear that we would vote against it, because we believe that the 2009 budget and the measures in Bill C-10 do not meet the needs of the public, which, in an economic crisis, is entitled to expect appropriate and sufficient measures.
Not only does this budget not meet the public's expectations, but this legislation contains provisions in direct opposition to the unanimous demands of the Quebec National Assembly. As a responsible party, the Bloc, which works solely and always in the interest of the Quebec nation, has introduced a series of amendments aimed at correcting the main elements of the Conservative budget conflicting directly with the interests of Quebec and Quebeckers.
For the purposes of this debate, I am going to focus on two of the measures contained in the implementation legislation that we consider unacceptable. First, we are proposing an amendment to eliminate clause 6, that is, the section permitting the use of tax havens. This is a major issue. I have been hearing about these tax havens since I was first elected in 2004. The Liberals put measures in place at the time, and the Conservatives, who were supposed to abolish this type of measure continued with clause 6 of this budget.
While this Conservative budget does nothing to help the regions and sectors such as furniture manufacturing, which is a major industry in the riding I represent, or the infrastructure the Liberal member just spoke of, and contains no measures to help the thousands of workers who have lost their job, the Minister of Finance is going to allow the major corporations to avoid paying billions of dollars in taxes through tax havens. It is a scandal.
This is despite the fact that, in 2007, the Minister of Finance clearly stated his intention to put an end to tax havens and to ensure that everyone would pay their fair share of taxes. However, this is not the case. At the time, that same minister also lamented that, whenever large corporations managed to avoid paying taxes, workers and small and medium-size businesses had to pay more. That is something the Bloc Québécois noticed a long time ago and it rightly came to the conclusion that this was unfair.
Yet, in the 2009 budget, the Conservative government has decided, with the support of the Liberals—those masters of tax havens—to remove a provision in the Income Tax Act that was meant to prevent businesses from continuing to avoid paying taxes through the use of tax havens. Clearly, this Conservative government has yielded to the pressures of large corporations, including oil companies in western Canada. It has reneged on its commitment to fight tax evasion during this economic recession, at a time when thousands of workers need support. It is quite insulting to see how the Conservatives and Liberals are now refusing to act to put an end to this injustice.
The Liberals did just like the Conservatives and supported this budget because they, in fact, have always been against fighting tax evasion. Who could forget the former Liberal finance minister and Prime Minister who personally took advantage of these tax havens to avoid paying taxes in Canada? I thought the Liberals would have learned a lesson from the 2006 election. Unfortunately, that is not the case.
This is why I am asking all members to support this amendment from the Bloc Québécois. Those billions of dollars we are losing could definitely be useful to the unemployed, to low-income seniors and to manufacturers who are neglected in this budget, at a time when they need programs and support.
There is no question that, while the Bloc Québécois wants to help our regions and our poor, the Conservatives and the Liberals are as always protecting the large multinationals that do not want to pay taxes.
The second amendment that I want to discuss is the one calling for the clauses relating to the establishment of a single securities commission to be deleted. That amendment is necessary because this government with, of course, the support of the Liberals, has decided to use this legislation to introduce the provisions that will set up a Canadian securities regulation regime. Why does the federal government want to interfere yet again in an area that comes under the jurisdiction of Quebec and the provinces? Why do the two main Canadian parties want to deprive Quebec of one of its powers? Why centralize the whole process in Toronto, thus depriving Quebec of quality jobs and of its expertise in an area that is its own, namely its financial sector? Why are the Liberals and Conservatives opposed to the consensus that was clearly expressed by the Quebec National Assembly against the establishment of a single securities commission? This is despite the fact that, as my colleague indicated earlier, the OECD believes that the current monitoring regime under the authority of Quebec and the provinces is one the most efficient among industrialized countries. Why question such a successful structure?
The passport system, like the system used in the European Community, works very well and allows a uniform, coordinated approach to the operating rules. It also promotes the development of specific areas of expertise, which makes it possible to have different, but complementary approaches to compliance with the regulations.
Lastly, the Autorité des marchés financiers du Québec is the last bastion against the disappearance of stock market activity from Montreal, because the AMF has the regulatory power to require exchange activities in Montreal. In the interest of Quebeckers and given the unanimous will of our National Assembly, with this amendment, we, the members of the Bloc Québécois, reiterate our opposition to the creation of a Canada-wide securities commission.
Last week, we voted on a motion calling on the federal government to abandon the idea of putting in place a Canada-wide securities regulator. Yet not a single Conservative member from Quebec got up to support that motion, even though the National Assembly of Quebec had taken a unanimous position against such a regulator. As always, they agreed to stand up for their party and the interests of Canadians at the expense of Quebeckers. But all the Bloc Québécois members rose to support that motion by a Bloc member, and I am proud that we did. Our mandate is still to defend the interests of Quebec, its National Assembly and its people.
Now, I call on the members of this House, but especially all the members from Quebec, to vote for the Bloc Québécois amendments to this budget implementation bill. The main purpose of our amendments is to defend Quebec's interests and the consensus expressed by the National Assembly. Our amendments also address the needs of the people of Quebec. The House will vote, and we will see once again which party is the only one that really defends the interests of Quebeckers in this House, which party is the only one that stands up for unanimous votes in the National Assembly of Quebec. That party is the Bloc Québécois.
Jean-Yves Roy Bloc Haute-Gaspésie—La Mitis—Matane—Matapédia, QC
Madam Speaker, I would like to congratulate my hon. colleague from Berthier—Maskinongé on his speech.
In his speech, he touched briefly on one sector of the economy that affects my riding in particular and his region, Trois-Rivières and Berthier—Maskinongé, that is, the softwood lumber sector. I read recently that, in addition to the businesses going bankrupt and the companies in the softwood lumber sector that are closing, all forestry operators are affected. In the budget, the Conservative government responds by telling us that no action should be taken in this sector, because it would be too dangerous. Otherwise, it could be disputed under the softwood lumber agreement. Compared to the auto industry, which is receiving billions of dollars, even though it is in loans, nevertheless, we see that there is not much in this budget for the softwood lumber agreement. I would like my colleague to say a few words about this.
Guy André Bloc Berthier—Maskinongé, QC
Madam Speaker, I would like to thank my hon. colleague for his excellent question. Softwood lumber is an important issue. Our industries are in crisis and facing difficulties at this time, like the manufacturing sector in our ridings. This budget does not include any measures or loan guarantees to support these businesses.
What is more, we are exporting much less to the United States. The Americans are currently dealing with an economic crisis that is gripping their country. As a result, there is less construction and we are exporting much less softwood lumber, which is affecting our own industries. Our exports accounted for about 35% of the American market, but that number has decreased to about 20% to 22%. Thus, the recession in the United States is very important and is having a real impact on our industry.
If we want to maintain that industry and its vitality, this government must support our forestry companies, even at the expense of NAFTA. We all know very well that the Americans are also supporting their industries.
Larry Bagnell Liberal Yukon, YT
Madam Speaker, the previous speaker mentioned that the municipal governments have the least ability to raise taxes and therefore need that infrastructure money. I would add that it is the same for first nations. Those two orders of government have responsibilities for infrastructure but very limited revenue increasing resources. I have said a number of times in this House that they need to get the same percentage of funds as they have in the past because those programs were primarily for them.
I wonder if the member has heard any concerns from his municipalities that they may not be getting the appropriate levels of funding or, at the very least, the same as they received in the past, if the process is any worse and if they are getting it fast enough.
Guy André Bloc Berthier—Maskinongé, QC
Madam Speaker, I would like to thank my colleague for his question.
Even if the government puts certain measures in place to fight the recession and maintain and develop infrastructure, some municipalities, especially rural ones with 500 to 1,000 residents, do not have the means to contribute one-third of the funding under the Municipal Rural Infrastructure Fund. Even if the federal government invests an exorbitant amount, rural municipalities with fewer than 2,000 people will not be able to sustain this program.
The Bloc Québécois motion deals with this infrastructure program. The federal government has the means to make it happen. It could invest 50%, provinces 35% and municipalities 15%. This program would then actually stimulate infrastructure development both in large cities and in relatively poorer rural areas.
Keith Martin Liberal Esquimalt—Juan de Fuca, BC
Madam Speaker, it is a pleasure today to speak to Bill C-10. I want to talk about a couple of things that are important for not only my riding but also nationally.
In clause 10 of the bill, the government has done a very sly thing. I will give the House a bit of history, which you know very well, Madam Speaker, coming from the area that we come from, the greater Victoria area. Our dockside workers are the men and women who ensure our navy has ships that are functioning properly for our brave men and women in the Canadian Forces.
During the last several years, people in the trades nationally were earning a lot of money in the private sector and our workers in the dockyards could have easily left the civil service, gone into the private sector and made more money. Did they do that? No, they did not. Why not? They felt they were honour bound to continue to serve our country as civilian workers on the docks.
The government refused to negotiate their contract in good faith, so it went to arbitration. The arbitration was completed in January of this year with a fair and reasonable increase of 5% that goes back to 2006. What did the government do? In clause 10 of Bill C-10, it literally tore up that arbitrated agreement and has actually rolled back the moneys that our dockyard workers are owed. That is an underhanded approach.
My party, the Liberal Party, approached the government and asked if we could work for the betterment of the dockyard workers. We asked the government to negotiate a way to enable the dockyard workers to receive the pay and benefits that are their due. What did the government say? It said no. It said that it would not negotiate at all and that we must take this bill in its entirety. It would not allow us to change or amend the bill. It would not accept any of our suggestions to make the bill better for Canada and Canadians. It said that we had to take this lock, stock and barrel and, if we did not, since the vote on this bill would be a vote of confidence, it would invoke an election and ensure we wore it.
The government has refused to negotiate in good faith with the opposition on this bill. It has refused to allow us to work for our constituents. It has refused to negotiate to make this bill better in the interest of our country. It said that if we do not take this bill lock, stock and barrel, it will not only have an election but the stimulus package that is in the bill, which is important now for our workers, our economy and our country, will not go through. Therefore, after an election the stimulus package might get through some time this fall.
What kind of response is that from the government to Canadians at a time of need and at a time when all of us want to work together for the common good during a time of economic crisis in our country? We have a government that simply will not negotiate with the opposition to strengthen the bill in the interest of the public. That is what Canadians need to hear and what I hope they hear in the debate today.
The government is simply saying to Parliament and to the Canadian people that if we do not take this bill we will not get the stimulus package, jobs will be lost and we will have a $350 million election that nobody wants.
Is it not remarkable when we see events south of the border, where the U.S. president is willing to work across party lines in a bipartisan way. He is asking what the best solutions are that his country needs right now for his people. That is the kind of leadership that Canadians want and deserve. The Prime Minister is failing again to do this because he is playing politics. Why is he not listening to those of us in the other parties? Why will he not work with us to implement a series of solutions that will strengthen our country and help our citizens during their time of need?
Let us look at the stimulus package for a second. The stimulus package was intended to pass quite quickly. If last year is any indication, in 2008 in my province of British Columbia 75% of the moneys allocated for infrastructure projects are still sitting in the bank. What kind of infrastructure project is that?
The community of Sooke requires umpteen infrastructure projects. The west shore needs the E&N railway up and running, the Bear Mountain and Spencer Road overpasses need to be up and running, a storm sewage drainage system requires fixing, affordable housing needs to be implemented, and the federal government must work with the provinces to help post-secondary institutions from Royal Roads to the University of Victoria, Camosun College and the Pacific Institute for Sport Excellence. These and many other infrastructure projects have their hands out saying we should use these moneys now in order to provide a long-term benefit for our economy and our country.
The president of the high tech parks in Canada, Dale Gann, has an exciting proposal that would enable the government to invest taxpayers' money into high tech infrastructure parks that will enable our economy to compete internationally. We are a trading nation. We are an exporter. The government has simply not responded. Why is it doing that? Unless we invest in high tech parks today, we are going to be so far behind the eight ball that we will be at a huge disadvantage in terms of the changing economies.
China, for example, is building dozens and dozens of high tech parks. India is doing the same. They are getting into the forward cutting edge of research and development, which are the central pillars of the ability of any economy in any country to be able to move forward and capitalize on the future challenges ahead of us.
If we also look at the ability of our workers to access post-secondary training, one of the great challenges now is the fact that access to post-secondary training is often dependent on the amount of money in one's pocket. That is not an egalitarian situation. How can we have a nation whose access to post-secondary training, to be the best that we can be, to contribute in the best way possible for our nation, is actually predicated on the amount of money in our pockets? If we do not have money in our pockets, we cannot fulfill our highest potential for ourselves and our nation. That needs to change.
The Liberal Party put forth a number of very exciting solutions that could have been beneficial and, frankly, ought to be implemented now by the government. A couple of those are that the interest rate would be prime plus .5% and that the time students have to repay their loans would only start two years after they graduated.
In the case of medical students, for example, and those in residency training, they should not have to pay their loans until their residency training is over. Why should students have to pay off very hefty loans when they are making $50,000 or $60,000 a year while they are still essentially in medical school, in training? They are not able to pay off all of what they owe.
Some flexibility must be put into play to enable them to pay back the amounts they can. Many students graduate and go into jobs that are just a bit above minimum wage. They cannot possibly meet the financial requirements that are placed on them. The government has to invest in post-secondary institutions in an intelligent way and enable students to access the post-secondary training they need.
The other issue is investment in research and development, from Genome Canada to the stem cell research taking place in various institutions. Canada is full of outstanding researchers. The lack of interest and attention the government has given in this particular bill to research and development is going to hamstring the ability of our researchers to save lives and to develop research and development initiatives that could massively improve the health and welfare of our citizens.
Yvon Lévesque Bloc Abitibi—Baie-James—Nunavik—Eeyou, QC
Madam Speaker, when I hear a Liberal member complaining about the government budget when it had the opportunity to take power itself and move ahead with its ideas as part of a coalition government, I cannot help but smile.
In a coalition government, compromise sometimes has to be made. I believe that the other party that would have been involved in the coalition also made compromises. I believe that the program the coalition presented had advantages for all of Canada.
Today we see that Ontario and Alberta are benefiting, while the rest of Canada has been forgotten, especially the mining and forestry sectors when compared to the auto industry.
Since he is equally concerned with the mining industry in his region, could the member tell me what is actually planned for the mining and forestry sectors as compared to what has been planned for the auto and oil industries?
Keith Martin Liberal Esquimalt—Juan de Fuca, BC
Madam Speaker, I think that the member poses an intriguing suggestion. It goes back in history. The interest of our party was to make the system work. At a time of crisis, the last thing that our country wanted or needed was a political crisis. We in the Liberal Party said that we wanted to work with the government by fulfilling and implementing a series of initiatives that would deal with the economic crisis before us. Frankly, that is what we did.
Our critics in the Liberal Party put forth some profound solutions to the government. To a degree, some of them were adopted, and we were happy that the government took the olive branch that we put forward. There were some fruitful negotiations that took place with our finance team.
However, subsequent to that, the government has slammed the door shut on any viable negotiation. This is not democratic. This is not in the interest of our country. This is not in the interests of our citizens. We in the Liberal Party have said that we have a series of solutions. We can make Bill C-10 better. We want to make this bill better, but we do not want to have an election. We do not want to put our country through that because that would be utterly irresponsible.
Yves Lessard Bloc Chambly—Borduas, QC
Madam Speaker, I listened carefully to my colleague's speech. I must say that it raises a certain number of questions. I cannot ask them all but I would like to ask the following.
I know my colleague well enough to understand just how much he cares about social justice and wants fairness to prevail in this country. However, given that his party is preparing to vote for a law that will result in significant inequality between men and women and that will take away from women the right and the power to go before the courts to obtain pay equity, does he not believe that he is abdicating his responsibility and compromising on a fundamental principle of our society?
Keith Martin Liberal Esquimalt—Juan de Fuca, BC
Madam Speaker, I would just like to say that we all have a choice to make. Do we pass a bill that we think is inadequate, or do we fight and defeat a bill that we think is inadequate and by doing so incur another election, deprive our country of a stimulus package that it needs now, and deprive our nation's workers of the jobs they need to survive?
We do not feel that this is something we can responsibly take on ourselves. However, the real responsibility falls within the Conservative government's failure to negotiate with any of us in good faith to make this bill better and deal with the several inequities that my colleague and friend mentioned.
Carole Lavallée Bloc Saint-Bruno—Saint-Hubert, QC
Madam Speaker, I see that I have some fans in this chamber, or at least one.
The budget implementation bill, Bill C-10, presents various initiatives contained in last January's budget, in particular the transition office for the single securities regulator. The Bloc Québécois has introduced amendments to delete clauses 295 to 299, that is to eliminate the clauses to establish a single securities regulator. The government, through this bill, wants to establish a transition office for the Canadian securities regulator and would provide an operating budget of $150 million for this office.
The Expert Panel on Securities Regulation in Canada, appointed by the Minister of Finance, tabled its final report in January 2009. It is proposing the creation of a federal regulator for securities, over which Quebec has exclusive jurisdiction. This is an encroachment into Quebec's jurisdiction. The report proposes various mechanisms to implement the project without agreement from Quebec and the provinces. Furthermore, the report also proposes that the federal government use legal recourse to force dissenting provinces to comply with the federal project. The 2009 budget reflects the recommendations of the expert panel and reiterates the government's commitment to establishing a single regulator in Canada.
The Bloc Québécois would like to reiterate its opposition to the creation of a national securities commission. Instead, it will support harmonization of the rules governing the financial system through a passport mechanism, like that of the European community, in order to maintain the autonomy and jurisdictions of Quebec and the provinces. The Bloc Québécois will continue to vigorously argue against the creation of such a commission and will continue to fully support the Autorité des marchés financiers du Québec.
I want to go back one year and talk about the 2008 budget, which confirmed this Conservative government's intention to set up a single securities commission. At the time, the minister reiterated in his budget his intention to introduce federal legislation to establish a single regulator. To this end, the minister commissioned a panel of experts to draft a bill to create a single securities commission. He said, “I am asking the panel to develop a model common securities act to create a Canadian advantage in global capital markets.” That is what is written in a news release issued by the Minister of Finance on February 21, 2008.
The panel tabled its final report at the end of 2008. That document includes a series of measures to establish a single securities commission. In his 2009 budget, the minister welcomed the recommendations made by the panel in its report. Moreover, the budget allocated $150 million to set up a committee to implement those recommendations.
This is unacceptable. The Minister of Finance is stubbornly going ahead with an initiative that goes against the unanimous will of Quebec's National Assembly and that is a flagrant violation of Quebec's constitutional jurisdictions. The Bloc Québécois will continue to defend Quebec against the centralizing views of this federal government.
For over 40 years, the idea of a single securities regulatory body has been surfacing every now and then. Since 2003, the issue has again moved to the forefront of federal politics. The Liberals, who were in office at the time, set up an expert panel to look at the possibility of establishing a single regulatory body in Canada.
In 2005, the Ontario government mandated a group of experts, led by Purdy Crawford, to examine the benefits of a single securities regulatory system. Of course, the Crawford report supported Ontario's arguments in favour of a single regulator.
The 2006 federal budget revisited the idea. In that budget, the government announced that it planned to work with the provinces and territories to set up a common securities regulator. That position was confirmed in the November 2006 economic update and the 2007 budget.
In June 2007, following a meeting of ministers responsible for securities, the current Conservative Minister of Finance announced plans to set up a working group to, first, study the outcomes, principles and performance measures that would best anchor securities regulation and the pursuit of a Canadian advantage in global capital markets. The group was also supposed to study how Canada could best promote and advance proportionate, more principles-based regulations, starting from existing harmonized legislation and national and multilateral regulatory instruments. It was supposed to look into how this progress could facilitate, and be reinforced by, better coordination of enforcement efforts.
In September 2007, the minister announced that the group would focus on how to set up a single regulatory organization instead of looking at how effective the current system is. When the Minister of Finance announced that work had begun on February 21, 2008, he confirmed his intention to change the expert panel's mandate and have it focus on drafting model legislation to create a single securities commission.
Budget 2008 confirmed the Conservative government's intention to set up a single securities commission. In his budget, the minister reiterated his plan to introduce the bill before us to create a single regulatory body. Quebec's National Assembly rejected the federal government's initiative and unanimously passed a motion to that effect on October 16, 2007. I will read it: “That the National Assembly ask the federal government to abandon its Canada-wide securities commission project”.
Authority over securities is given to the provinces by virtue of their jurisdiction over property and civil rights under section 92.13 of the Constitution Act, 1867. The Conservatives ignored Quebec's motion. In the November 2008 economic and fiscal update and in this budget, the Minister of Finance reiterated his intention to set up a single securities commission in blatant disregard of his own Constitution.
Not long after the economic statement was tabled, the expert panel set up by the minister tabled its report, which, as expected, suggests creating a single securities regulator. It also proposes a mechanism that would allow companies to disregard the laws of Quebec and do business with the Canada-wide regulator, ignoring the organization in Quebec. In short, this report reflects what the minister wants: to impose a single securities regulator despite Quebec's legitimate objections.
Lastly, when budget 2008 was tabled, the current Minister of Finance again expressed confidence in the expert panel report. In addition, he made $150 million available to implement his proposed Canada-wide commission.
The Conservative government is prepared to infringe on Quebec's jurisdictions in order to advance its plans for a single, Canada-wide securities commission. The federal Liberals are in favour of creating a single institution. All the political parties in Quebec are against this initiative. The current passport system works. Under this system, a company that registers in one participating province can do business with people in all the other participating provinces. The first phase of implementation was completed last fall, and the second phase is under way.
Paul Szabo Liberal Mississauga South, ON
Madam Speaker, the budget is about saving jobs that are at risk, about creating new jobs and about helping the most vulnerable during this period of crisis.
The Prime Minister has gone way over the top. He has threatened that if we do not get this budget passed quickly and we do get the stimulus money flowing, we will have an election. This is ludicrous given that the official opposition has indicated, notwithstanding the flaws in the budget, it will support the budget to get that stimulus out.
The Prime Minister also has showed his hand, that he is not very serious about this, by including matters like the pay equity, the Competition Act, the Navigable Waters Protection Act and the national securities regulator. These four areas really should not have been in the budget and have only taken the attention off the most important areas.
The member spoke extensively on the national securities regulator. I understand Quebec has a slightly different situation than the other 12 regulators. There is no consensus among the provinces. I think four provinces oppose a national regulator.
Is the member aware of the writings of a couple of professors out of the University of Montreal and Jack Mintz out of Calgary, who have talked about a hybrid solution of sorts whereby provinces could opt out of the national securities regulation system and thereby continue with their current system? What would the member's comments be on that?
Carole Lavallée Bloc Saint-Bruno—Saint-Hubert, QC
Madam Speaker, I will respond to the Liberal member by saying that his suggestion is not really a solution. I must tell him that I find it extremely difficult to see that the Liberal Party has supported this deeply flawed budget. One example that comes to mind is the creation of a common securities commission, which would be disastrous for Quebec.
In addition, there is also the issue of pay equity for women. This bill sets the status of women back significantly. I believe that we should be guided more by our convictions than our election strategy. In circumstances like this, the opposition members must work together. We should not provoke an election, but we should make sure that the government backs down on essential, important things. We have spoken about pay equity and I mentioned the securities commission, but there are also the artists who have fallen victim to $45 million in cuts in a sector where a cut like that hurts. They can no longer go overseas on tour. There are no longer any federal programs for artists in performing arts who want to tour overseas. There is a gaping hole in the government's financial aid. This is extremely damaging.
This same government created the Canada prizes and invested $25 million on behalf of some Toronto lobbyists, from whom they copied the entire project. The government cut and pasted from the lobbyists' promotional budget and included it in its budget. It was word for word. Then it realized that the project was a boondoggle and that the partners had never been informed about it.