Economic Recovery Act (stimulus)

An Act to implement certain provisions of the budget tabled in Parliament on January 27, 2009 and to implement other measures

This bill is from the 40th Parliament, 2nd session, which ended in December 2009.

Sponsor

Jim Flaherty  Conservative

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill.

Part 1 implements income tax measures proposed in the Budget tabled in Parliament on January 27, 2009 but not included in the Budget Implementation Act, 2009, which received royal assent on March 12, 2009. In particular, it
(a) introduces the Home Renovation Tax Credit;
(b) introduces the First-time Home Buyers’ Tax Credit; and
(c) enhances the tax relief provided by the Working Income Tax Benefit.
In addition, Part 1 extends the existing tax deferral available to farmers in prescribed drought regions to farmers who dispose of breeding livestock because of flood or excessive moisture and sets out the regions prescribed either as eligible flood or drought regions in 2007 to 2009.
Part 2 authorizes payments to be made out of the Consolidated Revenue Fund for multilateral debt relief and in relation to offshore petroleum resources. It also makes the following amendments:
(a) the Bretton Woods and Related Agreements Act is amended to implement amendments proposed by the Board of Governors of the International Monetary Fund;
(b) the Broadcasting Act is amended to extend the Canadian Broadcasting Corporation’s borrowing limit to $220,000,000;
(c) the Budget Implementation Act, 2009 is amended to clarify the purposes for which payments may be made;
(d) the Canada Pension Plan is amended to
(i) remove the work cessation test in 2012 so that a person may take their retirement pension as early as age 60 without the requirement of a work interruption or earnings reduction,
(ii) increase the general drop-out from 15% to 16% in 2012 allowing a maximum of almost seven and a half years of low or zero earnings to be dropped from the contributory period and to 17% in 2014 allowing a maximum of eight years to be dropped,
(iii) require a person under the age of 65 who receives a retirement pension and continues working to contribute to the Canada Pension Plan and thereby create eligibility for a post-retirement benefit,
(iv) permit a person aged 65 to 70 who receives a retirement pension to elect not to contribute to the Canada Pension Plan, and
(v) have the adjustment factors that apply to early or late take-up of retirement pensions fixed by regulation after December 31, 2010 and have the Minister of Finance and the ministers of the included provinces review the adjustment factors and make recommendations as to whether the factors should be changed;
(e) the Canada Pension Plan Investment Board Act is amended by repealing section 37 and by permitting the approval of regulations made under subsection 53(1) before they are made;
(f) The Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act is amended to provide for Crown share adjustment payments to be made in accordance with an agreement between Canada and Nova Scotia;
(g) the Customs Tariff is amended to change the conditions relating to containers temporarily imported under tariff item 9801.10.20 and to add new tariff item 9801.10.30 relating to temporarily imported trailers and semi-trailers;
(h) the Financial Administration Act is amended to require that departments and parent Crown corporations cause quarterly financial reports to be prepared every fiscal quarter and to make them public; and
(i) the Public Service Superannuation Act is amended by adding the name of PPP Canada Inc. to Part I of Schedule I to that Act.
Part 2 also amends the Bankruptcy and Insolvency Act and chapter 36 of the Statutes of Canada, 2007 to correct unintended consequences resulting from the inaccurate coordination of two amending Acts.

Elsewhere

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-51s:

C-51 (2023) Law Self-Government Treaty Recognizing the Whitecap Dakota Nation / Wapaha Ska Dakota Oyate Act
C-51 (2017) Law An Act to amend the Criminal Code and the Department of Justice Act and to make consequential amendments to another Act
C-51 (2015) Law Anti-terrorism Act, 2015
C-51 (2012) Law Safer Witnesses Act

Votes

Nov. 17, 2009 Passed That the Bill be now read a third time and do pass.
Oct. 7, 2009 Passed That the Bill be now read a second time and referred to the Standing Committee on Finance.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 5:35 p.m.

An hon. member

And Kelowna.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 5:35 p.m.

Liberal

Judy Sgro Liberal York West, ON

Aside from Kelowna and so many other good initiatives around the table.

We all have a responsibility, whether in government or the official opposition, to conduct ourselves in a proper manner. It is very easy for that irrelevant party to stand and make all kinds of accusations and the rest of it because it will never be government.

The member talks about all these other issues that are so important. Does the member think about the children who still do not have early learning opportunities or early learning centres and about single mothers who want to work but do not have a safe place for their children? When he goes to bed at night does he not remember the way the NDP voted? Otherwise, we would have an early learning child care program in this country.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 5:40 p.m.

NDP

Charlie Angus NDP Timmins—James Bay, ON

Madam Speaker, I am concerned for my hon. colleague because she continues to fall into that terrible Liberal trap. Whenever the Liberals look at the New Democratic Party, they somehow give us the credit for finally throwing them out. However, we did not throw them out. The Canadian people threw them out and they threw them out for their corruption and for their red book of promises that they stood up election after election and promised an early learning program. They promised to meet all the Kyoto objectives and they promised to help first nations. However, they did nothing because they were not interested in that. They were interested in power.

After how many red books covers were ripped off and dates changed from 1993 to 1997 and then rip that off and put on 2000? They just changed the date and just scratched it out. Canadians were fed up because they wanted some action.

The member can say what she wants but the Liberals were never willing to move until they were lying on their deathbed and begging the Canadian public to give them one more chance. They said that if they were given one more chance they would do everything they never did in 13 years but the Canadian public said that was enough.

If the member wants to give the New Democratic Party the credit for finally fumigating the Houses of Parliament of a Liberal majority, I will take that credit, but I believe it belongs to the average smart Canadian citizen at the Tim Hortons, the gas stations and the restaurants who finally said “enough of this lot, throw them out”.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 5:40 p.m.

NDP

Jean Crowder NDP Nanaimo—Cowichan, BC

Madam Speaker, I want to go back to something the member for Timmins—James Bay said about arts funding. I want to quote the member's very good question in the House about the CBC. He said:

Mr. Speaker, we are now seeing crippling losses at CBC in Windsor, Sudbury and Thunder Bay. While we are talking about pink slips, he should be giving them to the Conservative MPs from Quebec who will pay for his decision to blow 260 jobs yesterday in Montreal alone.

I wonder if the member could talk about the importance of something he called for in terms of providing the CBC with the ability to borrow some money to stay in business. I wonder if he could talk about the importance of that part of Bill C-51 and the importance of ensuring that there is adequate support for the CBC.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 5:40 p.m.

NDP

Charlie Angus NDP Timmins—James Bay, ON

Madam Speaker, there is an element in Bill C-51 for the CBC to start to deal with some of its structural problems but it does lead us back to the overall issue of why we are here tonight. The government does not have a coherent vision for where we need to go. The CBC will continue to be in shortfall. We will continue to see the bleed off of jobs at the crown corporation. It is vital that we have a national strategy to ensure a robust public broadcaster. Even the private broadcasters recognize that we need a complex infrastructure in place to maintain the diversity of voices.

The government does not get it. It has made a few steps in Bill C-51 in terms of addressing the terrible fact that CBC is having to sell some of its assets, but we will definitely be looking for it in future budgets. A budget to the folks back home is a vision statement for the government, of where the government is in terms of its willingness to invest in our public broadcaster. That is something we will be watching very closely next spring.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 5:40 p.m.

Charleswood—St. James—Assiniboia Manitoba

Conservative

Steven Fletcher ConservativeMinister of State (Democratic Reform)

Madam Speaker, I enjoyed the member's comments about Liberal broken promises. I would like to give him the remaining time to reflect on those Liberal broken promises and maybe expand on the promises made and the promises broken.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 5:40 p.m.

NDP

Charlie Angus NDP Timmins—James Bay, ON

Madam Speaker, that is a very difficult question to answer because it is the sheer audacity of the party in assuming its basic natural governing right. The only governing right that exists in this country comes from the people and the only way to get that right is by living up to basic commitments to those people. We are bound to those people back home. We see a party that has cut itself adrift from that fundamental sense of obligation.

The Liberals now have a new guy, Donolo, who is the new saviour of the party. I think he is the fifth guy they have had this year. It is not about finding the saviour of the party. That was the mistake they made bringing in the guy from Harvard. The saviour for a party is to go back to the grassroots when their trust was betrayed. We go back and listen to people. We find out why they are angry and we build a new vision. That is the only way to get out of palookaville politically. It is not by bringing in some guy from Harvard, a guy who, for the record, said that when it came to national arts funding he supported Maggie Thatcher because she cut the artists off funding, which is something that should be done. That is not something we in the New Democratic Party would support and we challenge the Liberals on their support of a leader like that.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 5:45 p.m.

NDP

Irene Mathyssen NDP London—Fanshawe, ON

Madam Speaker, I am pleased to participate in this debate because I certainly support the measures in Bill C-51 that we have discussed, particularly the home renovation tax credit. Many people in my riding have availed themselves of this tax credit. I will support it because these people have pursued it in good faith.

Unfortunately, however, this budget bill did not go nearly far enough. It was very limited in terms of its application. I regret that it did not focus on home retrofits, energy saving, money saving and environmentally saving our communities in terms of making a real effort to be practical, and retrofits would have done that. They would have also created green collar jobs. With home retrofits, we would have seen new windows, new doors, insulation and perhaps the installation of solar panels that homeowners could then utilize to save energy and even generate their own clean energy.

What was missing in terms of this bill was the increased investment in not just retrofits but in the technology around the new green jobs and the training for green collar jobs like computer control operators who can cut steel for wind turbines, mechanics trained to repair electric engines and manufacturers of solar panels. These are good jobs. They pay enough to raise a family. They are jobs with purchasing power that in turn create more jobs.

Another positive component to this is that these jobs are very difficult to outsource. Unlike the current corporate strategy of sending jobs to low wage jurisdictions with lower environmental regulations, these jobs stay in the community. A house cannot be picked up and sent to China to have energy efficient windows, doors or solar panels installed. It simply cannot be done.

That is unlike the Ford motor company. In the riding adjacent to mine, Ford Talbotville is closing down. We are losing 1,600 direct jobs and 8,000 indirect jobs because Ford is saying that it cannot make money or that it cannot afford to retrofit the plant. Meanwhile, it is spending $500 million to build a plant in China. These are jobs that are gone. These are jobs that we will sorely miss and that will impact our community. However, green jobs and retrofits would have helped and supported us.

Transportation costs are another consideration when one starts to look at all of this. With the decline in the supply of fossil fuels and the increasing expense associated with oil and gas production, it makes more and more sense to develop local industries that provide local goods and services; hence, back to these green jobs. Unfortunately, that is where the government missed the boat. With the help of the official opposition, it voted against my made in Canada bill. It deemed it protectionist and completely ignored the fact that we are the only G20 country without a local procurement policy.

When all Canadian businesses have been undermined by a government that ignores their needs and the needs of Canadian workers, who will be left to produce the goods that will be needed for the green economy? Who will be there to make those turbines locally? Who will be there to grow the food products locally? When we have cut off our own people and said that they do not matter and that we do not want to be protectionist but that their jobs are insignificant, who will be there to produce this green economy? Who will be there to save our environment? Who will be there to keep our communities strong?

There has been no interest from the government on that, nor has there been any interest in going to Copenhagen with something substantive. The fact is that the government is going empty-handed because it has refused to take any kind of leadership role when it comes to the environment. Instead, the Conservatives quietly tabled their so-called Kyoto protocol implementation act but it does nothing. It imposes no binding target, delays actions on emissions from coal-fired power generation and grants broad exemptions to industry.

The Conservatives could have brought forward the NDP's Bill C-311. That bill sets out a very clear path for Canada to help fight climate change. It provides greenhouse gas targets consistent with those of the Intergovernmental Panel on Climate Change.

One of the members of that panel comes from my city of London, Professor McBean, a University of Western Ontario professor and a very respected Nobel Prize winner. Unfortunately, he and the other Nobel Prize winners were ignored by the government.

At any rate, our bill is consistent with the Intergovernmental Panel on Climate Change and would impose legally binding, tough but achievable, reduction targets. Instead the government is trying to stop our bill in committee and is refusing to acknowledge that this kind of inaction is no longer acceptable.

All of this is despite the urgent call for action from Canadians, from scientists, from environmentalists and from the international community.

We have lost our international reputation. We have lost our reputation as being progressive and a leader. There was a time when the world looked to Canada. Whether it was with regard to women's rights, children's rights, environmental protection, or the kind of services that we provide in our health care system, we were leaders. People looked to Canada as the peacekeepers, the peacemakers, the leaders. Now we are scorned. We are scorned across the globe for our inaction and our apparent complacency.

We need budget measures that are directed at environmental protection. We need a government to create budget measures that could and should create opportunities for a better economy, a green, strong, sustainable economy with all the dividends of energy conservation, job creation and environmental protection.

We did not get those and we are not likely to get them, but I want Canadians to think about what could have been.

New Democrats also support the first time-home buyers' tax credit. It is a very important step. There are a lot of young Canadians who would love to be able to provide their family with a home, and they cannot. Therefore, this is a positive thing, as is the income deferral for farmers breeding livestock in drought conditions.

It is interesting that this tax credit is here when, again, the government does not seem to understand that we need to have local procurement policies. We need to support our farmers. We need to support production in order for our communities to thrive, but that is beside the point.

As well, it is very good to see the changes to the working income tax benefit that increase the percentage of the tax credit and increase the top-up of the payment. This will help low-income families. There has been precious little to help low-income families from the government.

All of these are very important and all will have a significant impact on the lives of people in our communities.

However, we need to be cognizant about what is missing from this bill and I would like to go back to that. While the CPP adjustments are very good, providing an increase in security for seniors, some flexibility, and a reduced incentive for early retirement, these are still lacking. They are lacking because they do not provide enough security for seniors.

As CARP says, 30% of Canadians are still without retirement savings. The proposals that have been put in place are not grandfathered. They do not address the need for enhancement of the OAS and GIS, and there is no retroactive claim beyond the current 11 months.

In Quebec, the QPP allows for a five-year retroactive claim. I can tell the House that there are people who have come to my office who did not understand their rights and their pension benefits, and who were cheated out of a secure and decent standard of living and could not claim back any further than 11 months. That is simply not acceptable.

I would like to say that as acceptable as this is, what New Democrats presented to the government last spring and what we would still like to see is preferable, and that is the expansion of and increase to the CPP, OAS and GIS.

In fact, it has been shown that a 15% increase to OAS and a doubling of CPP would create the kind of income security that seniors absolutely deserve.

This country can afford it. Since 1996, $400 billion has been given away in tax cuts to profitable corporations. That is four hundred thousand million dollars given to profitable corporations, to those deserving banks and oil companies. Imagine if just some of that $400 billion were invested in those seniors who had invested their lives in the building of this country.

We would also like to see the self-financing of a pension insurance program to make sure that when companies fail or choose to abandon retirees, there is a plan in place to protect our grandmothers and grandfathers from poverty. It would have helped the people of Nortel. It would have helped if the government had thought of that.

It would have helped if the government had thought about violence against women and had invested some money in women to prevent the violence these women feel, instead of spending millions and millions on their campaign to undermine the very few protections we have.

There is a great deal that the government could have done and chose not to do. I regret that very much, because it had the opportunity. It has had many opportunities.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 5:55 p.m.

Conservative

Mike Allen Conservative Tobique—Mactaquac, NB

Madam Speaker, I want to thank my colleague for at least itemizing a number of things, both for and against, and also for her support for this bill.

I must ask the member, as she was talking about the $400 billion we gave away in tax breaks to profitable business, who does she think takes a tax break but a profitable business? Who does the member think keeps people working in this economy, but profitable businesses?

I want to ask my hon. colleague, does she really believe that the right thing to do is to overtax Canadian businesses, both small and large, so they do not have the capital to hire the people we need working in our economy?

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 5:55 p.m.

NDP

Irene Mathyssen NDP London—Fanshawe, ON

Madam Speaker, I wish the member had listened very carefully. I said $400 billion since 1996, which implicates the Liberal Party as well.

In terms of profitable corporations, it would seem to me that they are doing fine. I have a real problem with this notion that somehow the oil sands, and Imperial Oil and the Bank of Montreal need the largesse of the people of this country.

I have very significant problems when I look at the struggling companies, the struggling businesses. Small business creates jobs in this country at a rate far exceeding that of any of these big corporations, and yet there has been no mention of how they should be treated. There has been no benevolence to them in terms of the kinds of tax breaks that we have seen for the large corporations, the $60 billion from the government alone in the last couple of years.

We could have done a great deal to generate jobs and to secure communities. We could have built affordable housing for the 200,000 Canadians who are homeless. They are families with children. We could have done that. We could have put in place a national child care program so that young families could get back to work, get jobs, create wealth, but no, it had to be tax cuts instead. That is regrettable.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 6 p.m.

Conservative

Cathy McLeod Conservative Kamloops—Thompson—Cariboo, BC

Madam Speaker, like my colleague, we certainly appreciate the NDP members who, after many years or 79 votes, have actually come to their senses and are recognizing the very important things our government is trying to do for Canadians.

I listened with interest. I know that my colleague across the aisle is sitting on a committee with me, where we are looking at pensions for seniors. We recognize that our system, compared with other countries, is very generous in terms of the GIS and OAS.

Does the member recognize that the things supporting our seniors on top of our pension system are those profitable corporations, and maybe the small dividends that the seniors make from them? If she actually took those tax breaks away from corporations, it would actually be taking money out of the pockets of the seniors she says she is trying to protect.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 6 p.m.

NDP

Irene Mathyssen NDP London—Fanshawe, ON

Madam Speaker, I am afraid I have to say that is chop logic. It is an interesting proposition.

The maximum that a senior can gain from OAS and GIS is about $11,000 a year, which is about $7,000 below the low income cut-off. We do not call it the poverty line because, I think, we are a little timid about calling it the poverty line, but it is.

In terms of those seniors who have investments in these profitable corporations, does the member mean a corporation like Nortel? I can remember a time when Bell stock or Nortel stock meant something, but it certainly does not mean anything now. People have taken a bash from the stock market.

The same thing goes for RRSPs. People were told to save in RRSPs, put money away, and benefit from freedom 55. What has happened to those RRSPs? In the last few years we have seen them decline significantly, to the point where seniors feel duped. They feel duped by the promises.

RRSPs in a 35 to 45 year period are charging 40% for management fees. Imagine that. That is nearly half. People thought they were saving for a secure retirement and they were duped into believing that somehow giving money to big banks, to those profitable corporations, to invest on their behalf would secure their future. They found out differently, and it is to our great shame.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 6 p.m.

NDP

Peter Julian NDP Burnaby—New Westminster, BC

Madam Speaker, there is not a lot left to say after hearing my colleagues from London—Fanshawe and Timmins—James Bay speak to this issue, but I would like to add a few notes.

I do not think the Conservatives are going to like my presentation as much as they liked some of the others about the lack of action and erratic nature of the Liberal Party. That is a matter of public record. Certainly the byelection results last Monday show that most Canadians agree. We saw a collapse of the Liberal vote across the country. In New Westminster—Coquitlam, as everyone well knows, the Liberals did not even get their deposit back. That is a seat they used to hold. Now, west of Toronto they have a handful of seats and east of the West Island of Montreal they have a handful of seats. Basically, they have been reduced to two areas of the country. I do not doubt they will be competitive in those two areas, but generally speaking, the Liberal Party simply does not reflect Canadian values and where Canadians want to go.

On the harmonized sales tax which is gouging Canadians in Ontario and British Columbia, the Liberals simply say that they are supporting it. Sure, they support it; it is a great idea to rip $500 out of the pockets of each and every person in Ontario and British Columbia.

Enough about the Liberals. I think the verdict from the electorate in four parts of the country was very clear. The verdict also was very clear in New Westminster—Coquitlam. The issue of the harmonized sales tax was front and centre in that campaign.

The Conservative Party dumped hundreds of thousands of dollars of partisan Conservative material into the riding. It spared no expense. It simply flooded the riding with partisan political advertising. The Conservative Party sent in its members of Parliament and ministers. It had a good local candidate. What the government was saying was that British Columbians should not be concerned about the HST.

The verdict from British Columbians was clear. In what was a very competitive riding, there was a landslide for the NDP. Fifty per cent of the vote went to the NDP. A split that was only 3% went to 15%.

If we apply the results of the byelection in New Westminster—Coquitlam across British Columbia, there are a dozen Conservative MPs in B.C. that would lose their seats. There is also a handful of Liberals left in B.C. and they would lose their seats.

My point is this. For the Conservatives to say that somehow the HST is not an issue and that British Columbians should just forget about it as it will be imposed come hell or high water would be a serious mistake, because British Columbians said no to the HST last Monday. That is something that will have an impact whether we talk about Abbotsford, Kamloops or any other riding in British Columbia.

The Conservatives, working with Gordon Campbell, trying to force the HST on people is simply not going to wash. I hope they will heed the very clear message from the byelection in B.C. and that they will step back from the brink on this because British Columbians do not want the HST.

I need to mention that the reason the NDP is supporting Bill C-51 is to try to save the government from itself. With a great deal of pomp and circumstance last spring, the government announced the home renovation tax credit and the first time homebuyers tax credit.

Particularly with regard to the home renovation tax credit, the Conservatives went out and picked up buckets of money from the Canadian taxpayers, ran off to build their signs and put up their Internet ads and all their partisan ads that are paid for by taxpayers, but they forgot one thing. They forgot the paperwork. They were telling Canadians to use the home renovation tax credit, that they would actually get their money back, but the Conservatives did not do their paperwork. They did not actually introduce the legislation for the tax credit. Can anyone believe that? Can anyone believe how irresponsible a government would be to tell Canadians to do their renovations and then the government does not do the paperwork to put the tax credit in place?

All of those Canadians who in good faith saw the buckets of money the Conservatives put into those huge signs that they love to put up everywhere, the Internet ads and all the other ads that they put in with taxpayers' money, thought that meant the Conservatives had done their paperwork, but they had not. If this bill does not pass, people will be left high and dry, having budgeted for the home renovation tax credit, having budgeted to make those renovations. Because the Conservatives did not do their paperwork, we would essentially be having people go even further into debt.

The average Canadian family over the past 20 years of Liberal and Conservative financial mismanagement has seen the family debt load double. That is a crisis. Many of the families who sorely needed renovations to their homes got them on credit. The NDP, because we are the conscience of this Parliament and often the only party that actually reads the legislation being brought forward, realized that if we did not adopt the bill, Canadians who in good faith went through the process would be stuck with the bill, and that is simply unacceptable.

On the home renovation tax credit, on the first time homebuyers tax credit, on the income deferral for farmers, on the working income tax benefit and on all those measures announced in pomp and circumstance, we are voting yes because we simply believe that Canadians need to see government keep its commitment.

We are appalled that the Conservatives did not do their paperwork, that they just ran off with their partisan advertising rather than do the first step, which most responsible Canadians would do, which is after they promised something they should introduce the legislation to make it real, but no, they did not do that. They spent all their time running off with buckets of money and putting up signs to advertise themselves. They got those big cheques with the big Conservative “C” logo on them and they ran around the country showing them, but they did not do step one, which was to introduce the legislation.

Of course, we will be voting for this in an effort to save the government from itself, but does that mean it has a blank cheque, as the Liberals have done 80 times? Does it simply mean we will let the Conservatives do anything they want? Certainly not. We have been very, very clear.

For example, the harmonized sales tax will have a profound negative impact on Canadians living in British Columbia and Ontario. The governments are in damage control. We saw the Conservatives and Liberals in Ontario announce that they are giving Timbits that are HST-free, but it is absurd to give back a few pennies when they are ripping $500 off the average individual, and $2,000 off the average family of four.

When they take all that money in a tax shift to appease the biggest companies in the country, the companies that love to offload their money and their jobs into the Caribbean, or Houston if it is an energy company, they are essentially saying to ordinary Canadians that they have to pay for this massive tax largesse that they are giving out for free. There is no performance required. The companies do not have to keep jobs. They can shed jobs; they can cut jobs; it does not matter. They will give those companies a gift in Ontario and British Columbia. It is a gift from the Conservative government to the biggest companies and there is a shift in the tax burden, because we always have to balance our books. As a financial administrator in the past, I know that well. The money has to come from somewhere. The Conservatives said that they would give all this largesse and ordinary British Columbians and Ontarians will have to pay for it.

It does not only impact the families. Two thousand dollars for an average family is a horrible impact. That is why the results in New Westminster—Coquitlam were so clear. Any time there is a byelection, or if there is an election in the spring, it will be the same verdict coming back to the Conservatives, unless they reverse engines and pull back from this phenomenal unjust tax imposition, this tax shift on the backs of ordinary Canadians.

We have said we will not support the HST. We will vote against it. Unlike the Liberals and the Conservatives who are working together on this, we will simply fight the penalty of the HST because of what it does to ordinary families, and also for what it does to community businesses.

In my prior life before coming here, I was very fortunate to be honoured with two business excellence awards. I have worked with the local Chamber of Commerce and the Board of Trade, and I have worked in the business community with social enterprise. I believe profoundly that community businesses need to have the tools for growth. The NDP's approach has always been to provide an educated population that provides that additional level of productivity to ensure that community businesses prosper, because when families prosper, community businesses do. We do not believe, unlike the Conservatives and the Liberals, that we offload money to Houston and the Caribbean and that somehow magically creates a strong economic development initiative here at home.

What we are saying is when there is more support for health care services, more support for social services, when people in the community have a higher quality of life, that has a positive impact on community businesses.

The HST does exactly the opposite. By ripping off ordinary British Columbians and ordinary Ontarians, there are people in the community who have less money to spend. I have not talked to a single small business owner in Burnaby or in New Westminster who supports the HST. I have talked with the hairdressers and barbers who are really concerned because, of course, there will be an increased tax on their products. I have talked to people who are involved in restaurants, not just in the Lower Mainland but also in places like Kamloops and Calgary. They are concerned that when we have an HST increase like that, essentially their clientele has less money to spend and it affects the community business and starts a vicious spiral downward.

For those reasons, this is not a blank cheque for the Conservative government. We are saving the government from itself on Bill C-51, but we are going to be fighting in this House to ensure that the HST is not brought in. British Columbians have very clearly told the Conservatives to stop the HST. British Columbians have told them to roll back this misguided, irresponsible attempt to give even more big business largesse and tax credits to the largest companies and to put the focus where it needs to be, on a better quality of life for Canadians and on more supports for community businesses. That is where we want to see this government going. We are going to vote yes on this bill, but the Conservatives are on notice that they have to start acting responsibly.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 6:15 p.m.

Liberal

Alan Tonks Liberal York South—Weston, ON

Madam Speaker, I am sure the House is very impressed with the accolades the member has received from business organizations.

In Ontario the manufacturing sector is collapsing. The hollowing out of the city of Toronto, in terms of the loss of jobs, is extremely traumatic.

The bill does not deal with the HST, but the bill does deal with the stimulation of confidence and the creation of capital investment. I would point out to the member that the leakage of capital in the province of Ontario is undermining the manufacturing industry somewhere to the tune of $80 billion. That has been established as the capital loss.

I believe in community development, but if we cannot create the capital because we are overextending ourselves with deficits, where is the money coming from to create jobs?

It is one thing for the member to be asked questions about the HST, which is part of the issue in terms of a strategic economic plan, but is the member also giving people the straight answers with respect to if we do not replace that capital the jobs will not be created, and the knowledge economy that we have talked about will not be created? Is the member being honest with respect to answering completely those kinds of questions? I did not get any confidence from him today that he would be totally up front with respect to that kind of reasoning and leadership that this House is required to give, the legacy we are trying to create.

Economic Recovery Act (Stimulus)Government Orders

November 16th, 2009 / 6:15 p.m.

NDP

Peter Julian NDP Burnaby—New Westminster, BC

Madam Speaker, number one, the NDP always believes that the strength that this Parliament has comes from actually listening to the public, a bizarre concept for Conservatives and Liberals to swallow, I think.

What we have heard from British Columbians overwhelmingly was that they simply do not buy the argument that more handouts to corporate CEOs, more handouts to the energy sector in Houston, and more handouts to the banks in the Bahamas is some intelligent attempt at economic strategy. Taking $500 out of the pockets of an individual, whether a pensioner or a student, or taking $2,000 from a family of four so that they can pay for this incredible largesse to the biggest and most profitable companies in Canada is simply irresponsible.

The public spoke last Monday. Liberals lost their deposit. Conservatives were blown out. They were simply flooded right out of New Westminster--Coquitlam. They can heed that call or they can keep going the way they are going, but if they keep going the way they are going, there will be a lot fewer Conservatives from British Columbia and Ontario, and there will be a lot fewer Liberals from Ontario in this next Parliament.

They better heed what Canadians are telling them.