Jobs and Economic Growth Act

An Act to implement certain provisions of the budget tabled in Parliament on March 4, 2010 and other measures

This bill was last introduced in the 40th Parliament, 3rd Session, which ended in March 2011.

Sponsor

Jim Flaherty  Conservative

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill.

Part 1 of this enactment implements income tax measures proposed in the March 4, 2010 Budget. In particular, it
(a) introduces amendments to allow a recipient of Universal Child Care Benefit amounts to designate that the amounts be included in the income of the dependant in respect of whom the recipient has claimed an Eligible Dependant Credit, or if the credit is not claimed by the recipient, a child of the recipient who is a qualified dependant under the Universal Child Care Benefit Act;
(b) clarifies rules relating to the Medical Expense Tax Credit to exclude expenses for purely cosmetic procedures;
(c) clarifies rules relating to payments made to a Registered Education Savings Plan or a Registered Disability Savings Plan through a program funded, directly or indirectly, by a province or administered by a province;
(d) implements amendments to the family income thresholds used to determine eligibility for Canada Education Savings Grants, Canada Disability Savings Grants and Canada Disability Savings Bonds;
(e) reinstates the 50% inclusion rate for Canadian residents who have been in receipt of U.S. social security benefits since before January 1, 1996;
(f) extends the mineral exploration tax credit for one year;
(g) reduces the rate of interest payable by the Minister of National Revenue on tax overpayments made by corporations;
(h) modifies the definition “taxable Canadian property” to exclude certain shares and other interests that do not derive their value principally from real or immovable property situated in Canada, Canadian resource property, or timber resource property;
(i) introduces amendments to allow the issuance of a refund of an overpayment of tax under Part I of the Income Tax Act to certain non-residents in circumstances where an assessment of such amounts has been made outside the usual period during which a refund may be made;
(j) repeals the exclusion for indictable tax offences from the proceeds of crime and money laundering regime; and
(k) increases the pension surplus threshold for employer contributions to registered pension plans to 25%.
Part 2 amends the Excise Act, 2001 and the Customs Act to implement an enhanced stamping regime for tobacco products by introducing new controls over the production, distribution and possession of a new excise stamp for tobacco products.
Part 2 also amends the Excise Tax Act and certain related regulations in respect of the Goods and Services Tax/Harmonized Sales Tax (GST/HST) to:
(a) simplify the operation of the GST/HST for the direct selling industry using a commission-based model;
(b) clarify the application of the GST/HST to purely cosmetic procedures and to devices or other goods used or provided with cosmetic procedures, and to services related to cosmetic procedures;
(c) reaffirm the policy intent and provide certainty respecting the scope of the definition of “financial service” in respect of certain administrative, management and promotional services;
(d) address advantages that currently exist in favour of imported financial services over comparable domestic services;
(e) streamline the application of the input tax credit rules to financial institutions;
(f) provide a new, uniform GST/HST rebate system that will apply fairly and equitably to employer-sponsored pension plans;
(g) introduce a new annual information return for financial institutions to improve GST/HST reporting in the financial services sector; and
(h) extend the due date for filing annual GST/HST returns from three months to six months after year-end for certain financial institutions.
In addition, Part 2 amends regulations made under the Excise Tax Act and the Excise Act, 2001 to reduce the interest rate payable by the Minister of National Revenue in respect of overpaid taxes and duties by corporations.
Part 3 amends the Air Travellers Security Charge Act to increase the air travellers security charge that is applicable to air travel that includes a chargeable emplanement on or after April 1, 2010 and for which any payment is made on or after that date. It also reduces the interest payable by the Minister of National Revenue to corporations under that Act.
Part 4 amends the Softwood Lumber Products Export Charge Act, 2006 to provide for a higher rate of charge on the export of certain softwood lumber products from the regions of Ontario, Quebec, Manitoba or Saskatchewan. It also amends that Act to reduce the rate of interest payable by the Minister of National Revenue on tax overpayments made by corporations.
Part 5 amends the Customs Tariff to implement measures announced in the March 4, 2010 Budget to 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 manufacturing inputs and machinery and equipment imported on or after March 5, 2010.
Part 6 amends the Federal-Provincial Fiscal Arrangements Act to provide additional payments to certain provinces and to correct a cross-reference in that Act.
Part 7 amends the Expenditure Restraint Act to impose a freeze on the allowances and salaries to be paid to members of the Senate and the House of Commons for the 2010–2011, 2011–2012 and 2012–2013 fiscal years.
Part 8 amends a number of Acts to reduce or eliminate Governor in Council appointments, including the North American Free Trade Agreement Implementation Act. This Part also amends that Act to establish the Canadian Section of the NAFTA Secretariat within the Department of Foreign Affairs and International Trade. In addition, this Part repeals The Intercolonial and Prince Edward Island Railways Employees’ Provident Fund Act. Finally, this Part makes consequential and related amendments to other Acts.
Part 9 amends the Pension Benefits Standards Act, 1985. In particular, the Act is amended to
(a) require an employer to fully fund benefits if the whole of a pension plan is terminated;
(b) authorize an employer to use a letter of credit, if certain conditions are met, to satisfy solvency funding obligations in respect of a pension plan that has not been terminated in whole;
(c) permit a pension plan to provide for variable benefits, similar to those paid out of a Life Income Fund, in respect of a defined contribution provision of the pension plan;
(d) establish a distressed pension plan workout scheme, under which the employer and representatives of members and retirees may negotiate changes to the plan’s funding requirements, subject to the approval of the Minister of Finance;
(e) permit the Superintendent of Financial Institutions to replace an actuary if the Superintendent is of the opinion that it is in the best interests of members or retirees;
(f) provide that only the Superintendent may declare a pension plan to be partially terminated;
(g) provide for the immediate vesting of members’ benefits;
(h) require the administrator to make additional information available to members and retirees following the termination of a pension plan; and
(i) repeal spent provisions.
Part 10 provides for the retroactive coming into force in Canada of the Agreement on Social Security between Canada and the Republic of Poland.
Part 11 amends the Export Development Act to grant Export Development Canada the authority to establish offices outside Canada. It also clarifies that Corporation’s authority with respect to asset management and the forgiveness of certain debts and obligations.
Part 12 enacts the Payment Card Networks Act, the purpose of which is to regulate national payment card networks and the commercial practices of payment card network operators. Among other things, that Act confers a number of regulation-making powers. This Part also makes related amendments to the Financial Consumer Agency of Canada Act to expand the mandate of the Agency so that it may supervise payment card network operators to determine whether they are in compliance with the provisions of the Payment Card Networks Act and its regulations and monitor the implementation of voluntary codes of conduct.
Part 13 amends the Financial Consumer Agency of Canada Act to provide the Financial Consumer Agency of Canada with a broader oversight role to allow it to verify compliance with ministerial undertakings and directions. The amendments also increase the Agency’s ability to undertake research, including research on trends and emerging consumer protection issues. Finally, the Part makes consequential amendments to other Acts.
Part 14 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to confer on the Minister of Finance the power to issue directives imposing measures with respect to certain financial transactions. The amendments also confer on the Governor in Council the power to make regulations that limit or prohibit certain financial transactions. This Part also makes a consequential amendment to another Act.
Part 15 amends the Canada Post Corporation Act to modify the exclusive privilege of the Canada Post Corporation so as to permit letter exporters to collect letters in Canada for transmittal and delivery outside Canada.
Part 16 amends the Canada Deposit Insurance Corporation Act to allow the Governor in Council to specify when a bridge institution will assume a federal member institution’s deposit liabilities and allow the Canada Deposit Insurance Corporation to make by-laws with respect to information and capabilities it can require of its member institutions. This Part also amends that Act to establish the rules that apply to the assignment, by the Canada Deposit Insurance Corporation to a bridge institution, of eligible financial contracts to which a federal member institution is a party.
Part 17 amends the Bank Act and other related statutes to provide a framework enabling credit unions to incorporate and continue as banks. The model is based on the framework applicable to other federally regulated financial institutions, adjusted to give effect to cooperative principles and governance.
Part 18 authorizes the taking of a number of measures with respect to the reorganization and divestiture of all or any part of Atomic Energy of Canada Limited’s business.
Part 19 amends the National Energy Board Act in order to give the National Energy Board the power to create a participant funding program to facilitate the participation of the public in hearings that are held under section 24 of that Act. It also amends the Nuclear Safety and Control Act to give the Canadian Nuclear Safety Commission the power to create a participant funding program to facilitate the participation of the public in proceedings under that Act and the power to prescribe fees for that program.
Part 20 amends the Canadian Environmental Assessment Act to streamline certain process requirements for comprehensive studies, to give the Canadian Environmental Assessment Agency authority to conduct most comprehensive studies and to give the Minister of the Environment the power to establish the scope of any project in relation to which an environmental assessment is to be conducted. It also amends that Act to provide, in legislation rather than by regulations, that an environmental assessment is not required for certain federally funded infrastructure projects and repeals sunset clauses in the Regulations Amending the Exclusion List Regulations, 2007.
Part 21 amends the Canada Labour Code with respect to the appointment of appeals officers and the appeal hearing procedures.
Part 22 authorizes payments to be made out of the Consolidated Revenue Fund for various purposes.
Part 23 amends the Telecommunications Act to make a carrier that is not a Canadian-owned and controlled corporation eligible to operate as a telecommunications common carrier if it owns or operates certain transmission facilities.
Part 24 amends the Employment Insurance Act to establish an account in the accounts of Canada to be known as the Employment Insurance Operating Account and to close the Employment Insurance Account and remove it from the accounts of Canada. It also repeals sections 76 and 80 of that Act and makes consequential amendments in relation to the creation of the new Account. This Part also makes technical amendments to clarify provisions of the Budget Implementation Act, 2008 and the Canada Employment Insurance Financing Board Act that deal with the Canada Employment Insurance Financing Board.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Votes

June 8, 2010 Passed That the Bill be now read a third time and do pass.
June 7, 2010 Passed That Bill C-9, An Act to implement certain provisions of the budget tabled in Parliament on March 4, 2010 and other measures, be concurred in at report stage.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 2137.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 1885.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 2185.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 2152.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 2149.
June 7, 2010 Failed That Bill C-9 be amended by deleting Clause 96.
June 3, 2010 Passed That, in relation to Bill C-9, An Act to implement certain provisions of the budget tabled in Parliament on March 4, 2010 and other measures, not more than one further sitting day shall be allotted to the consideration at report stage of the Bill and one sitting day shall be allotted to the consideration at third reading stage of the said Bill; and That, 15 minutes before the expiry of the time provided for Government Orders on the day allotted to the consideration at report stage and on the day allotted to the consideration at third reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and in turn every question necessary for the disposal of the stage of the Bill then under consideration shall be put forthwith and successively without further debate or amendment.
April 19, 2010 Passed That the Bill be now read a second time and referred to the Standing Committee on Finance.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 4:55 p.m.


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NDP

Brian Masse NDP Windsor West, ON

Mr. Speaker, that is a very important question. This is basically out with the new and back in with the old. Today in the House of Commons, the Conservatives used one of their questions to talk and brag about Brian Mulroney. At the same time, they have spent a lot of time trying to distance themselves from Brian Mulroney.

Something interesting is happening here, especially with these agencies that are going to get more power. We have seen that the Prime Minister is incapable of resisting the temptation of putting political hacks and special favours into these commissions as well the senate. The people from the former Alliance and former Reform Party, and those who have signed to the Wildrose Alliance Party must be thinking this is déjà vu all over again.

Now we have record spending with less accountability. Now we have a system put in place again that brings in some of the old practices and takes away the elected officials' capability to respond to them.

We have to really wonder about all of those people who talked about those issues and felt them so dearly that they even brought some of the members of Parliament here to flip-flop and cross the floor. Why would they continue to support this when they are bringing back the old and throwing away the new?

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 4:55 p.m.


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NDP

Jim Maloway NDP Elmwood—Transcona, MB

Mr. Speaker, one of the biggest travesties of this omnibus bill, Bill C-9, is the sale of AECL, a measure that in itself should mandate a legislative initiative from the government. It is hiding it in this omnibus bill. AECL is our largest crown corporation. The Canadian taxpayers have put $22 billion into it. The government is looking at selling it at a time when it would be lucky to get $300 million for our investment.

I think the public should be demanding that the government at least do this in a transparent way. The government commissioned a report from Rothschild on how to proceed. It never consulted Parliament about its contents. We want to know why the government is sneaking this measure into an omnibus bill like Bill C-9.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 4:55 p.m.


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NDP

Brian Masse NDP Windsor West, ON

Mr. Speaker, clearly, it is to avoid accountability. It is unfortunate because we could get a better process for that. We could have had the opportunity to understand some of the work that is happening out there. I think it is afraid for that to come forward because then we would have the chance to see the type of scientists that we have and their skill sets.

I had a chance to be at a press conference with some of the workers. They were here in this chamber watching one day. It is incredible to see the value and commitment that they have. If that story gets out there along with the serious nature and vulnerability of the work that they do, it could expose a really bad decision to do that. However, that would at least put it out there for debate.

Unfortunately, we are not. Unfortunately, we are beginning a process right now that is going to erode the ability for us to actually be a major world player and also to maintain that work that is so valuable. Lastly, it really is showing that we are distancing ourselves from our traditional world path, which has been nuclear power and public safety.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 4:55 p.m.


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Liberal

Irwin Cotler Liberal Mount Royal, QC

Mr. Speaker, I rise to intervene on behalf of the residents of my constituency of Mount Royal, a great, diverse and committed constituency, and I will seek to reflect and represent their concerns and hopes as they have conveyed them to me.

As my constituents would put it, a budget is not simply a financial statement, it is a statement of values. It is not simply a balance sheet but constitutes a set of priorities and principles underlying those priorities.

Accordingly, what I would like to do, in addressing the budget, is not only to address what the budget says but what it does not say, and also, how interspersed in the budget and comingled with it are a series of government initiatives that may in fact exclude the very instruments that are necessary for purposes of protecting the concerns of people in my constituency and beyond. I will give one example of the many I can give in this regard.

On May 14, the Supreme Court of Canada ruled that the federal government was obliged to apply the Canadian Environmental Assessment Act to proposed development projects within traditional aboriginal territories. In this case, the Quebec government filed an action seeking to exclude the Canadian Environmental Assessment Act from being applied to mining projects in the province because the province claimed jurisdiction over the development of those resources.

Similarly, the Supreme Court of Canada recently held and confirmed the important roles that environmental assessment and public participation play in development projects when it denied federal permits for the Red Chris mine in British Columbia.

In a ruling this past January, the court determined that the federal government violated the Canadian Environmental Assessment Act by limiting the environmental assessment to a small component of the mines while avoiding assessment and wider public scrutiny.

Taken together, what these two judgments demonstrate are both the importance of public participation and environmental assessment and how the Canadian Environmental Assessment Act authorizes and allows for both public participation and environmental assessment. Yet, the federal government is now attempting to weaken this important legislation.

If one goes through the 900 pages of the federal budget, it will not leap out, but buried in those pages are a series of amendments that would effectively grant the environment minister broad discretion as to how and in what fashion the Canadian Environmental Assessment Act is to be applied to development projects.

As well, in a related amendment, there is a proposal to authorize the National Energy Board and the Canadian Nuclear Safety Commission to assume responsibility for environmental assessments of large energy projects, where these responsibilities would now be held by the Canadian Environmental Assessment Act.

I bring these forward as case studies of where the budget has interspersed matters, comingled with the budget and in fact buried in the budget a series of initiatives that would marginalize the power with regard to both public participation and environmental protection, and imbue the executive authority with broad and discretionary power that would undermine both objectives of public participation and environmental assessment.

I will now address the budget with respect to those matters that are not covered, just as they were not covered by its overseer framework, the throne speech. For example, if we look at the throne speech, it was replete and well stated with a series of commemorative anniversaries.

However, if we look at the present budget, we find that with respect to those commemorative anniversaries, there is no reference to the fact that 2010 is the 25th anniversary of the coming into effect of the equality rights provision of the charter, which is effectively an organizing principle for the building of a just and egalitarian society.

Indeed, in 2005, on the occasion of the 20th anniversary of the coming into effect of section 15 of the charter, at the time that I served as minister of justice and attorney general of Canada, we proclaimed 2005 as the year of equality and, to that end, ushered in a series of exhibits, initiatives and events, all intended to convey the importance of equality as an organizing principle, as I put it, for a just society.

As we said then and I reaffirm now, the test of a just society is how it treats the most disadvantaged in its midst, how it treats its children, its violated women, its immigrants, its refugees, its poor, its elderly and its sick. That was the cause for proclaiming 2005 as the year of equality. I regret to say that this anniversary is being passed over in silence in 2010 and finds no parallel budgetary expression in the budget itself. Nor is there any reference in the budget of the Charter of Rights and Freedoms itself, even though this has a transformative impact not only on our laws but in how we live our lives.

As I said in the beginning, the budget is not just a financial statement. It is a statement of values. It is not just a balance sheet. It is a statement of principles and priorities, and these have been somehow airbrushed out of the throne speech and then, correspondingly, airbrushed out of the budget.

Indeed, if one looks at the budget in terms of referencing the concerns and providing for them, there is only passing reference and mention to the issue of women's rights. There is no mention, for example, of the compelling need, as continuously represented to me by my constituents, of restoring and giving budgetary expression to the court challenges program, which became a bulwark for the protection of women's rights and minority rights in this country.

Nor is there any mention in the budget or provision, and this, too, is a matter of fundamental principle and policy, for a comprehensive and sustainable civil as well as criminal legal aid program, identified unanimously by all the federal, provincial and territorial ministers of justice at their annual meeting in 2005 as a priority for the justice agenda. The lack of such a program, I might add, also impacts adversely on the most vulnerable of our society, on women, on children, on minorities, the elderly, the poor and the like, therefore further exacerbating their plight and further exacerbating the concern of inequality.

I will now turn, in the second half of my remarks, to the compelling concern, again as conveyed to me by my constituents, of violence against women, which I trust will find expression in the upcoming meetings of the G8 and G20, in that we hear referencing to the matter of violence against women as being a persistent, pervasive and pernicious evil.

Seventeen years ago, at the United Nations World Conference on Human Rights in Vienna, the clarion call at the time was that “women's rights are human rights and there are no human rights that do not include the rights of women”. Indeed, the women's movement energized the conference, not only with their advocacy of women's rights but with their compelling concerns for human rights as a whole.

Seventeen years later and in the aftermath of the 100th anniversary of the founding of International Women's Day, it is tragic to note that not only are women's rights still not seen as human rights, not only is the promotion and protection of women's rights still not a priority on the national and international agenda, but discrimination against women remains, as UNESCO characterized it even then, as a form of gender apartheid, that violence against women is a pervasive, persistent and pernicious evil, and therefore should be put on the agenda at the G8 and G20 summits.

As women's rights leader, Charlotte Bunch, put it on the occasion of the Beijing Declaration, and astonishingly enough the situation has not improved since, she said:

Vast numbers of people around the world suffer from starvation and terrorism, and are humiliated, tortured, mutilated, and even murdered every year, just because they are women.

Indeed, as the new UN special rapporteur on violence against women, Rashida Manjoo, put it:

Violence against women violates human dignity, as well as numerous rights, including the right to equality, physical integrity, freedom and non-discrimination.

I believe that equality and equal protection doctrines demand that we address violence against women, in all its manifestations, as discrimination against women.

As I have stated in this House before, violence against women is a multi-dimensional assault on women's equality and human security. Women cannot achieve equality if they are subjected to violence in their daily lives. The opposite is also true. Women's inequality increases their vulnerability to violence and limits their options for leaving abusive situations and relationships.

It was this narrative of discrimination and violence against women, indeed, the nexus between the two where inequality is a precursor to violence and violence is an assault on women's equality that inspired and underpinned the first ever G8 international conference on violence against women held this past September in Italy, and which I trust deserves to be revisited in the course of the G8.

The conference brought together victims and witnesses to violence, NGOs engaged in combatting violence against women, scholars, journalists, human rights advocates, and, most important, the ministers involved in that conference, many of whom came from African, Asian and Middle East countries.

What struck me then, and what I wish to share with this House now, was the moving witness testimony, particularly as put forward by the victims of violence and witnesses to violence, and on the issue, for example, of domestic violence, which they spoke of as being too often ignored, marginalized or sanitized as a private issue, something to be hidden, something to be ashamed of, something to be contained within domestic walls.

At the G8 conference on violence against women in Italy, it came out of the shadows. In coming out of the shadows, it reminded us of the pernicious and pervasive assault. It reminded us of why this must be seen a universal human rights issue and why it should be put on the agenda of the G8.

Accordingly, may I briefly address two case studies of this violence and its underlying assault on women's equality. First, the evil of trafficking in women and girls, and second, mass sexual violence in armed conflict.

In the matter of trafficking, what we are dealing with is the commodification in human beings, of treating human beings as cattle to be bonded and bartered or as goods to be bought and sold, what I would refer to as the global slave trade, and which, again, is an issue that should be addressed within the framework of the G8.

We know that this grotesque trade in human beings now generates upward of more than $12 billion a year. It is the world's fastest growing international crime. We know that the majority of victims who are trafficked are women and girls under the age of 25, and that many trafficking victims tragically also include children.

We know that the victims of trafficking are desperate to secure the necessities of life and that exploitation is at the core of the crime and the evil of trafficking. We know that no matter for what purpose they are trafficked, all trafficked persons suffer deprivation of liberty and physical, sexual and emotional abuse, including threats of violence and actual harm to themselves and their family members.

Accordingly, if we are to develop a comprehensive and cohesive strategy to combat trafficking, we need to stop thinking in terms of abstract silos, of thinking of human trafficking as an abstract or faceless problem, of thinking of it only as an international law concern, a criminal law problem, a law enforcement problem, an immigration problem, public health problem or an economic problem. It is each and all of these and more.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 5:10 p.m.


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The Deputy Speaker Andrew Scheer

Order, please. The member's time is up.

It being 5:15 p.m., pursuant to order made Thursday, June 3, 2010, it is my duty to interrupt the proceedings and put forthwith every question necessary to dispose of third reading of the bill now before the House.

The question is on the motion. Is it the pleasure of the House to adopt the motion?

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 5:15 p.m.


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Some hon. members

Agreed.

No.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 5:15 p.m.


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The Deputy Speaker Andrew Scheer

All those in favour of the motion will please say yea.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 5:15 p.m.


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Some hon. members

Yea.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 5:15 p.m.


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The Deputy Speaker Andrew Scheer

All those opposed will please say nay.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 5:15 p.m.


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Some hon. members

Nay.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 5:15 p.m.


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The Deputy Speaker Andrew Scheer

In my opinion the nays have it.

And five or more members having risen:

Call in the members.

(The House divided on the motion, which was agreed to on the following division:)

Vote #63

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 5:40 p.m.


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The Speaker Peter Milliken

I declare the motion carried.

(Bill read the third time and passed)