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. The Library of Parliament often publishes better independent summaries.

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

May 31st, 2010 / 5 p.m.
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NDP

Olivia Chow NDP Trinity—Spadina, ON

Mr. Speaker, I am quite amazed that my Conservative colleagues actually got my point, that wrecking the environment should not have anything to do with a budget bill, but that is precisely what they are doing. They are taking the environmental assessment on energy projects, oil and gas, from the environmental assessment agencies. They then give the responsibility over to the industry-friendly National Energy Board, or the Canadian Nuclear Safety Commission.

Let me explain the connections between the National Energy Board, the oil industry and the government. The National Energy Board does not have the experience necessary to conduct proper public consultations and environmental assessments. In fact, about 90% of the board's total expenditure is recovered from the companies it regulates under the National Energy Board.

That is like asking someone like BP to decide on whether its oil drilling is safe or not. In fact, 90% of the National Energy Board's expenditures come from the companies it is supposed to regulate. How could that possibly be done? The companies cannot be asked to regulate themselves. The government is supposed to regulate the projects that come in front of it.

Not only are six of the board members longtime veterans of the private oil and gas industry, on top of that, the Conservatives have hand-picked 10 out of the 12 members on the board. Sometimes the board only takes written submissions. There are no public hearings or consultations. Who did the board choose to hear from on one of the projects, the same-season relief well policy? It heard mostly from the big oil companies. No wonder, they are funded by them.

Of the 300 staff at the National Energy Board, only a few dozen of them work on environmental issues. They do not have the expertise. They are not designed to do environmental assessment. It is not their job, yet they are now given the responsibility to look at all our energy projects. It will take away the environmental protection role that the Canadian Environmental Assessment Agency is supposed to have. It is set up, under the environment minister, to conduct reviews of projects that may have serious consequences.

When there is an oil leak, whether it is diesel, oil or deep-sea drilling, oil has huge environmental consequences as do nuclear projects. This move is anti-democratic and bad for the environment.

Part of the budget bill has cancelled the eco-energy renewable power program, a project that was quite popular. Now it is gone. After increasing some money for Environment Canada, there will be a $53 million cut.

Also most unacceptable in the bill is the selling of Atomic Energy of Canada Limited. That will have serious consequences. Last year's spending on AECL ended up being more than double what was budgeted, raising questions about what the final figure would be this year. Embedding the sale of AECL in the budget bill makes absolutely no sense.

The other element I want to talk about is the whole Canada Post situation. I have met with quite a few of the postal workers in my riding. My riding actually has four postal stations in its vicinity. The workers are extremely worried that their jobs are on the line. The bill would remove Canada Post's monopoly on outgoing international letters, which means that it would earn less, for example, when they needed to deliver mail to rural Canada. Canada Post runs itself like a business and if it loses this monopoly on international letters, it will earn less and other mail service across Canada will suffer.

This proposal is identical to what was proposed in Bill C-14 and Bill C-44. These two bills were defeated in the House. What the government has done is totally undemocratic. It brought back the bill that it was unable to pass and put it into this enormous Bill C-9, the budget implementation bill, in all types of areas that have nothing to do with the budget.

We ask all members of Parliament, who are not Conservative, to stand and vote against the bill.

Jobs and Economic Growth ActGovernment Orders

May 31st, 2010 / 4:55 p.m.
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NDP

Olivia Chow NDP Trinity—Spadina, ON

Mr. Speaker, that is precisely my point. Environmental assessment has nothing to do with the budget bill. Why is it in Bill C-9? I am glad the parliamentary secretary noticed that environmental assessment really should not have anything to do with the budget. While he—

Jobs and Economic Growth ActGovernment Orders

May 31st, 2010 / 4:40 p.m.
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NDP

Jack Layton NDP Toronto—Danforth, ON

Mr. Speaker, I appreciate the opportunity to talk about this bill.

We call it a bill but it is a Trojan Horse. Buried inside this budget bill are a series of measures that the government could simply not have passed had it not put them in the budget bill.

We have a golden opportunity to open up this Trojan Horse and take out the nefarious legislation that is within it and to move ahead with the consideration of those important proposals but it will require the government to split out these pieces of legislation so we can deal with them separately. I would like to address why that is so important. I think the government should do exactly this.

I would like the leader of the official opposition to behave like a real opposition leader and use his power to prevent the Prime Minister from sneaking major legislative changes through by hiding them in this budget bill. Passing bills on the sly like this is a last-resort strategy for a government trying to make changes that do not have unanimous approval. Knowing that Canadians would not support each of these changes individually, the Conservatives tried to sneak them into its budget bill.

Some of the most disturbing changes in Bill C-9 are those to the Canadian Environmental Assessment Act giving the Minister of the Environment the power to determine the scope of environmental assessments and to turn responsibility for reviewing power generation proposals over to the National Energy Board, which has close ties to the business sector. This bill includes a hodge-podge of unrelated elements and looks a lot like American budget bills, which tend to include hundreds of clauses added as a result of political manoeuvring.

Some of the most significant provisions buried in the Prime Minister's budget bill are: authorization to sell Atomic Energy of Canada Limited without any public debate or scrutiny; a measure to privatize Canada Post that takes away the crown corporation's exclusive international remailing privilege; and approval for having cleaned out the employment insurance fund, which had a surplus of $57 billion in contributions from employees and employers over the past 10 years. That was one of the largest thefts in this country's history.

We hope that the Leader of the Opposition will stand up for his convictions and vote against the measures in Bill C-9. It is important that he do so.

I want to speak a little further about some of the key elements that are buried in the budget bill. We can agree or disagree with some of these budget measures, but buried in this bill are projects and initiatives that the government could simply never pass through the House of Commons any other way.

The first that we want to discuss here today is the gutting of our environmental assessment process. The environmental assessment process for major projects including major energy projects is absolutely vital. We do not have to look any further than the crisis that is unfolding in the Gulf of Mexico right now to see why an environmental assessment is so important for major projects.

Yet, what is the government proposing to do? The government is proposing to give to the Minister of the Environment, without any accountability to Parliament, the power to simply waive any environmental assessment requirements and to ask the National Energy Board, for heaven's sake, to conduct the environmental assessment such as it might deem fit.

This is exactly the reverse of what our friends the Americans are doing as they realize when there is one agency responsible for getting approvals that ultimately generate revenue to government, that generate business for business, that are related to energy projects, that it has an exclusive focus and jurisdiction, that what is needed is a separate set of eyes and a separate process to deal with the environmental consequences, dangers and issues that can arise from an environmental project, particularly of a major magnitude.

Why empower the minister to limit environmental assessments at a time when Canadians and our neighbours to the south as well are asking governments to be more vigilant when it comes to environmental assessment, not less? This bill will open up greater risk for our Canadian environment and we could see the same kind of disaster unfolding in Canada on one of our coastlines or even in the Arctic as we are seeing unfold in the United States.

Mark my words, I do not want this to come true. I do not want this to be a prediction of something that is actually going to happen. I want us in this chamber to take responsibility to ensure that it does not happen, that it never happens, and that it could not happen here.

That is why I am calling on my colleagues in the other parties of the opposition to stand up and be counted. In fact, I would call on them to stand up and speak because I notice that even though this is a vitally important bill and even though there have been pronouncements on the part of both of the other opposition parties that they oppose some of these measures like the weakening of our environmental assessment process, we find that they are not willing to stand up and speak.

It is only New Democrats now, according to the list we have before us, who are prepared to keep fighting the bill. I call on my colleagues in the opposition, on the opposition leader, and the leader of Bloc Québécois to ensure that the members of Parliament from those parties are speaking to this issue and are standing up for Canadians when it comes to the environment. It is time for us to do our job.

Furthermore, I call upon them to bring their members to the House when the vote comes and to ensure there are sufficient numbers in the House to defeat this clause so that we can protect environmental assessment in Canada.

Some would say, “Oh, that would mean that it would take us into an election”. An election is not going to happen on top of the G8 and G20. Why not? Because the Prime Minister has already spent $1.2 billion to have these international guests come to ensure he can have his photo opportunity. There is no way that an election is going to happen on top of that.

It is time for the opposition parties to use the leverage and power that we have, and that Canadians sent us here to use in order to ensure that the government is kept under control. Conservatives think the opposition is weak. They think the opposition is unwilling to stand up to them.

Prove them wrong, that is what I say to my colleagues in the opposition. Let us stop the gutting of environmental laws here in Canada.

I could make exactly the same case when it comes to another element of the budget bill. This has to do with the sale of AECL.

AECL is a very important public enterprise. If it were to be debated here, I doubt very much there would be support of this chamber for it to be sold off, especially in tough economic times and without any sense of what would happen, in terms of environmental protection, not to mention the future of the jobs.

It is an obnoxious precedent being set here by the government. I call on the opposition parties to stand up and fight.

It also argues that we should privatize Canada Post. That is the wrong direction to go when we are talking about an essential public service. Taking profitable overseas mail distribution and turning it over to big companies that compete with Canada Post would undermine the ability of our public post service to do the job that Canadians expect it to do, and have expected it to do for many decades. It is a vital corporation.

In closing, I call on my colleagues from the opposition parties to understand that we have a key historic moment here to use the leverage given to us by 62% of Canadians who did not vote for the current government to put a stop to what it is trying to do in this budget bill.

The House resumed consideration of Bill C-9, An Act to implement certain provisions of the budget tabled in Parliament on March 4, 2010 and other measures, as reported (without amendment) from the committee, and of the motions in Group No. 1.

Citizenship and ImmigrationCommittees of the HouseRoutine Proceedings

May 31st, 2010 / 3:35 p.m.
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NDP

Peter Julian NDP Burnaby—New Westminster, BC

Mr. Speaker, after that very crude, wrong-headed attempt by the Conservatives to shut down yet another debate, I welcome the opportunity to actually raise a question on the issue at hand.

We can hear the reaction from the Conservatives. This is what they do. They take blunt instruments and try to brutally beat people into submission.

On the issue of Bill C-9, it is completely inappropriate what they have done with the monster bill in 24 different areas.

We have the third report of the Standing Committee on Citizenship and Immigration that the member for Trinity—Spadina has brought forward, thankfully. The issue, of course, is the issue of respecting diversity.

We have a government that does not respect diversity. It has cut and slashed all funding for organizations that support the rights of gay Canadians. In every single place, what it has done is slash funding. Now we see the citizenship guide that completely eliminates any reference to the many contributions of gay, lesbian, and transsexual Canadians.

We have people who come to Canada, and that presence, that history, and those immense contributions are simply erased by the government in a very mean-spirited way.

I want to ask the member for Trinity—Spadina if she sees this as a systematic attempt by the government to completely eradicate the contributions made by gay Canadians by eliminating references to gay rights, equal marriage, and the history of gay Canadians. Does the member see this as a strategy that the government employs to try to eliminate that respect for diversity on which Canada was founded?

Citizenship and ImmigrationCommittees of the HouseRoutine Proceedings

May 31st, 2010 / 3:35 p.m.
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NDP

Olivia Chow NDP Trinity—Spadina, ON

Thank you, Mr. Speaker, for that ruling. I thought that there should be at least an hour of discussion on this matter before a motion such as that was moved.

I will attempt to answer that question, rhetorical though it is.

It is important that we deal with this citizenship guide. Why? It is because the first batch of the citizenship guide has been printed. There probably will be a reprint of the guide quite soon.

It is such a basic issue of fundamental rights. Right now, in the Canadian Charter of Rights and Freedoms, sexual orientation is included. How is it possible that it is not in our citizenship guide? I think it is a priority. It is important that the House have a comment and issue a position on whether it believes that gay rights should be in the citizenship guide. That is why I raised that as a motion.

To try to answer the question the member has raised, I have no idea why environmental assessment, for example, is in Bill C-9 and whether it pre-empts a review of the environmental review process. Bill C-9, the budget bill, has all sorts of things in it that are not connected with the budget, such as the sale of Atomic Energy of Canada Ltd. or Canada Post, and so on.

Therefore, we should continue the discussion on this very important issue.

Citizenship and ImmigrationCommittees of the HouseRoutine Proceedings

May 31st, 2010 / 3:35 p.m.
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Macleod Alberta

Conservative

Ted Menzies ConservativeParliamentary Secretary to the Minister of Finance

Mr. Speaker, I thank the hon. member for Trinity—Spadina for raising a very relevant topic today, but with all due respect, I do not think we want to diminish the importance of this report.

We need to recognize that at hand is Bill C-9, which we were debating, the bill entitled leading the way on jobs and growth. That has seized all the members of the House and should, because there are a number of important issues in that bill that we need to get done immediately. I would suggest that all hon. members would be willing to continue with that hon. member's debate once we get the bill passed through the House.

Therefore, I move that the debate be now adjourned.

Bill C-9Oral Questions

May 31st, 2010 / 2:50 p.m.
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NDP

Chris Charlton NDP Hamilton Mountain, ON

Mr. Speaker, the Conservative government buried major policy changes in the budget hoping to ram them through unnoticed with the rest of its agenda.

This American-style approach is bad for democracy and goes against the transparency the government pretends is so important to it.

The Liberals are no better. They are all talk and no action when it comes to opposing Bill C-9.

We are calling upon both parties to do the right thing for Canadians by pulling these sections out of the budget. If the government really believes that these changes have public support, then it can reintroduce them as stand-alone bills if it must.

Jobs and Economic Growth ActGovernment Orders

May 31st, 2010 / 1:55 p.m.
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Liberal

Scott Simms Liberal Bonavista—Gander—Grand Falls—Windsor, NL

Mr. Speaker, in his speech, the hon. member talked briefly about Fisheries and Oceans and how a lack of funding is certainly a problem that has existed for quite some time.

I was wondering if he could paint a picture of what was overlooked in this particular budget. We talked about eco-certification and an office therein, but I was wondering if he would also talk about what else should be in it. Since he is the fisheries critic for the New Democratic Party, I was wondering what else he would like to tell us was overlooked in this Bill C-9 budget.

Jobs and Economic Growth ActGovernment Orders

May 31st, 2010 / 1:45 p.m.
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NDP

Fin Donnelly NDP New Westminster—Coquitlam, BC

Mr. Speaker, I rise today to voice my disappointment with the budget implementation bill.

In this time of economic uncertainty, the government has seen fit to ram through changes to legislation in the budget implementation bill rather than to follow an established democratic process. In our parliamentary democracy, it is customary for government to bring forward changes it wants to make here in the House and then to allow debate for hon. members, the representatives of the people, on their behalf.

The government chose to go another route. It chose to hide substantive policy changes in the implementation of this budget. As members know, this amounts to a kind of democratic blackmail. That is not only undemocratic, it is just plain wrong.

In what has become a disturbing pattern, the government has again, this year, incorporated into its budget implementation bill major changes to environmental safeguards.

Last year's budget bill took a slice out of the federal duty to assess the environmental impact of projects that could have potential impacts on the navigable waters of Canada. It moved to exempt all federal stimulus-funded projects from any assessment previously triggered by waterways impacts and those for which the federal contribution was under $10 million. The beautiful province of British Columbia, my province, has hundreds of rivers, and this change puts them in serious danger.

These are just the sorts of changes Canadians want to see their representatives in this House discuss. That debate is completely eliminated when the government pushes through legislation in the background of a budget implementation bill.

This year's budget bill, however, swings an axe at a crucial environmental law, the Canadian Environmental Assessment Act. The axe cuts deeply. What is most disturbing about the process by which this law is being eviscerated is that Parliament has moved that a review of the law be undertaken this year and that recommendations for reform be made. The review is already slated to come before the parliamentary committee on environment and sustainable development within weeks.

The government has chosen to short-circuit this process. Instead of hearing and considering the views of interested stakeholders and other concerned parties, it has chosen to fast-track the changes through this budget bill.

Bill C-9 transfers reviews of major energy projects from the Canadian Environmental Assessment Agency to the National Energy Board and the Canadian Nuclear Safety Commission. The effect is the diminishment of public representation. Neither the NEB nor the CNSC are equipped to conduct community consultations, nor do either have previous experience with these sorts of projects.

It also removes from the public clear access to intervenor funds that would allow groups and individuals to make themselves heard, and it lessens the requirements to consider environmental factors when proceeding with a project.

Second, and this is most troubling, the Minister of the Environment will be empowered to narrow the scope of any environmental assessment, which sets a dangerous precedent. This means that at the discretion of the minister, a project can be approved based on an assessment of only part of its overall environmental impact.

In January of this year, the Supreme Court of Canada found that the government failed to follow federal laws by scoping the Red Chris mine in northern B.C. to exclude the mine and the mill in order to avoid a comprehensive assessment and public input. What Bill C-9 therefore means to do is remove from the public any recourse for requiring consultation.

In addition, Bill C-9 removes one of the key triggers for a federal assessment, and that is federal spending. The limit for federal spending that would require an assessment is all but completely removed. Almost all federal stimulus funding projects would be exempted.

The bill will exempt from environmental assessment all projects falling under the building Canada fund, the green infrastructure fund, the recreation infrastructure fund, the border infrastructure fund, the municipal rural infrastructure fund, and many more. Such projects range from transmission lines running thousands of kilometres to road extensions, new bridges, and interchanges.

The New Democrat motion to enable the finance committee to split the bill provides the opportunity to defer study and the vote on the environmental reform measures until the environment committee review has been completed, which is a matter of only a few short months. Regrettably, the government manoeuvred to prevent this constructive solution from proceeding. Addressing long-term environmental or health impacts should not be shunted aside for short-term political gain from fast-tracked project approvals.

Ultimately, it is Canadians who will pay the cost. With these changes, one has to wonder what the future holds for the Enbridge pipeline project. Having just presented the proposal last week, will it be subject to the scrutiny and public consultation that is so needed, or will the minister narrow the scope and allow 225 oil tankers to sail along our coast every year? The people of northern British Columbia want to be consulted, and Bill C-9 effectively silences them.

I know that my time runs short, so let me be brief by saying that the budget still has many shortcomings. It has yet to fund a national transit strategy. In my riding, the Evergreen Line is desperately in need of funds so that it can be completed. In fact, it has not even been built. This is a project that was promised over two decades ago, and we are still waiting for the funds to complete it.

The budget invests over $1 billion in a three-day event instead of putting much-needed police officers on the streets in every Canadian community. There is no money for a real, affordable housing strategy in this country. The Department of Fisheries and Oceans remains underfunded, under-resourced, and understaffed.

I hope that all hon. members will support the motion brought forward by my hon. colleague from Edmonton—Strathcona and will vote these measures out of Bill C-9.

Jobs and Economic Growth ActGovernment Orders

May 31st, 2010 / 1:30 p.m.
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NDP

Dennis Bevington NDP Western Arctic, NT

Mr. Speaker, I am pleased to stand and debate this particular set of amendments to Bill C-9, the budget bill proposed by the Government of Canada. Quite clearly, we have heard the debate about the nature of this bill being the large omnibus type that the government has favoured in order to put forward very radical changes to Canadian society without the proper input of the parliamentary process, the committees and all of the things that could make any of these things more justifiable, if they are justifiable, in the minds of Canadians.

That is exactly what is going on here today. We are trying to achieve some of the things that were set out here in Parliament to accomplish. As our leader of the New Democratic Party has stated in the challenge he has put down to the other opposition parties, this is not likely the time that the government will call the tune and go to a potential election over these issues.

This is a good time to stand up for Canadians to try to make Parliament work, just as we have tried to make Parliament work with the Afghan detainee issue and a number of those types of issues that focused on how the process should be accomplished and how we should work within the House.

Here we are with another one of those issues. How does Parliament work? How should Parliament work in a minority situation?

In a minority situation, major changes to legislation should be available to the opposition parties and the public to understand completely and not be put forward in this very subversive fashion. It subverts the purpose of Parliament and puts it on an incorrect course. That is why we are all standing up here today and that is what we are working on.

I want to spend a little time on my particular subject, which is the question of aviation security. I am the transport critic for our party and, within the transport committee, a major study on aviation security is going on right now which started back in the days of prorogation. In the depths of winter, I organized a forum on aviation security, which the Liberal Party promptly joined into, and it had a great deal of success. It then moved on to looking at the issue within the committee.

Quite clearly, aviation security should be addressed in all its details before any additional charges are put on our aviation industry and then through to the customer. The aviation industry world-wide is under stress. Within Canada, most of the major carriers have had great difficulty and have lost money consistently over many years. This industry is not healthy. It has had to face up to many severe challenges. This industry supports the economics of Canada and of the world to a great degree with the movement of passengers and freight at a rapid pace around the world. When this industry is under stress, the result is very apparent within the economy. We saw that quite clearly with the volcanic ash cloud descending over Europe and the result of that within the economy of Europe. It was very carefully measured.

We saw that as well at Christmastime with the tremendous overreaction to a security incident in the United States that affected hundreds of millions of people in terms of the reuniting of families and all the things that go along with that. When we look at doing things to the aviation industry, we need to be very careful, which is why we are doing a review right now on aviation security. Most of the experts agree that the knee-jerk reaction we have had to aviation security since 9/11 has to be reviewed. It has to be taken into account.

Transport Canada officials have stated that once they put in place aviation security requirements, they have a very difficult time when they are redundant. They cannot get rid of them and what we see are ever-escalating levels of security costs and no particular review.

I have a fine example of that. Since 9/11, we have very secure, locked cockpit doors, which has taken out some of the threats that we might have had before 9/11 without any requirement for aviation security. Therefore, the threat to aviation has changed and yet the security proceedings have not changed.

With this air travellers' security charge in the bill, it would increase the revenue the government is generating from aviation security without addressing the issues of aviation security and the costs. The charge would add a penalty on to Canadian flyers for something that is not appropriate within the system. It would be far more expensive than most other countries in the world and would leave our aviation industry at a disadvantage. This, of course, would take money out of the taxpayers' pockets and put it into the general revenues of the Government of Canada. In many cases this looks to be considerably more than the cost of aviation security in the country as a whole, even though our aviation security system desperately needs the renovation.

The government has talked about reviewing aviation security to get rid of some of the parts that do not work so well, while at the same time raising the air transport service security charge. This was done not to pay for the costs of this service. This was done to raise more revenue for the government. That is pretty clear when we look at this and that is why this needs further review. Just as the government wants to review aviation security and just as the transport committee is engaged in a study on aviation security right now, we need to do that work before we put extra charges on our already ailing aviation industry. This has been said over and over again.

What we have here is a crass attempt to hide a tax somewhere in the system to add more revenue to the government that does not want to stand up and admit that over the course of the next five years it will have to raise more revenue for government in order to deal with the massive deficit. This is hypocritical and, in real terms to our industry, is rather stupid. What we have is a stupid, hypocritical action here with the air travellers' security charge.

Jobs and Economic Growth ActGovernment Orders

May 31st, 2010 / 1:30 p.m.
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Liberal

Scott Simms Liberal Bonavista—Gander—Grand Falls—Windsor, NL

Mr. Speaker, I commend my colleague on his speech and especially the spirit of his speech about how much is contained within this bill that it is almost like so much is being brought in under the cover of night. This stealth way of doing it is essentially irresponsible for any legislature to turn its back on this.

I would like to ask the member a question about some of the issues. He mentioned EI and talked about many other issues, but Canada Post will also be a major issue with remailers.

I commend the member for the comments he made that these bills standing alone would give it a fulsome debate in the House. Whether it is a minority or not, it does not matter. What matters is that each would receive a full hearing by all members of the House duly elected by their constituents.

In this particular situation, I will give one prime example that I feel is very important and that is the issue of telecoms. The bill would amend the Telecommunications Act to allow foreign satellite carriers to be considered a common carrier. That is an amazing policy shift that is contained within Bill C-9. It should be a stand alone bill.

I wonder if my hon. colleague has comments about that particular issue and others that he may have missed.

Jobs and Economic Growth ActGovernment Orders

May 31st, 2010 / 1:25 p.m.
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NDP

Jim Maloway NDP Elmwood—Transcona, MB

Mr. Speaker, the member for Mississauga South touched on a number of areas in Bill C-9 where the government is improperly bringing initiatives through the door of this omnibus bill.

I want to go back to the area of security charges. We know that in the United States the international air security charge is $5. In Canada, the international air security charge ranges as high as $25. That is a huge variation. I think Canadians could understand that if the tax money were being used for safety issues it may be justified. However, we know that the revenues collected far exceed the money spent on security.

What is the government using the money for and why did it increase this tax 50%? That is a huge increase at a time when the government says that it is reducing taxes on Canadians. It is doing the opposite.

Jobs and Economic Growth ActGovernment Orders

May 31st, 2010 / 1:15 p.m.
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Liberal

Paul Szabo Liberal Mississauga South, ON

Mr. Speaker, I am pleased to participate in the debate on Bill C-9. It is a budget implementation bill and it is a very extensive bill.

It has some interesting aspects to it that have created even more problems than simply the fact that the Conservatives are projecting, in the budget, in excess of a $50 billion surplus.

Bill C-9 is an omnibus bill. Canadians should know that an omnibus bill is one which does many things all in the same package. Normally we would see those in terms of justice legislation, where there are three or four proposed changes to the Criminal Code. They are all changes that have to do with one existing piece of legislation, but relate to different aspects of it.

In this particular case, we have an omnibus bill that does not deal with one other act of Parliament. It in fact deals with a number of acts. It is quite unusual. Theoretically, a government, after winning an election, could walk in here, table a budget which not only laid out the budgetary measures for the session, but it could also put into that budget implementation bill every other promise it had made in an election whether it related to the budget or not.

That is exactly what has happened here. We have a case now where inside the budget implementation bill, Bill C-9, and there is a big debate among parliamentarians and Canadians at large who follow this, there are initiatives which were never mentioned in the budget speech, were not in the budget itself, and which are substantive changes to existing legislation.

They include the privatization of Atomic Energy of Canada Limited, AECL. My home backs onto their offices in the Sheridan research centre. A lot of my constituents are engineers and work there. This is causing great grief.

When I went to the briefing on Bill C-9 with the ministerial staff and had an opportunity to ask some questions about this, they were not very many answers, just “We are doing this, this and this”. The policy rationale was never there.

People are asking why we want to privatize AECL and get into public-private arrangements? They want to know if it is going to do something to the integrity of the R and D of AECL, whatever remains. They want to know what it is going to do to the whole model. This problem of AECL has been with us for a long time. This decision of the government to go forward with these discussions has caused great difficulty.

If we had a bill that came forward that called for the privatization of certain aspects and parts of a division of AECL, there would have been substantial debates in this House. There would have been substantial expert witnesses called to comment on the proposal in that bill. There would have been rigorous due diligence done with regard to virtually every aspect of the bill.

When we take a subject matter like that and put it into a budget implementation bill, it is that one big, large omnibus budget implementation bill that is being debated in the House, and reviewed and studied in committee.

It goes to the finance committee. I know the members on the committee. They are excellent colleagues. However, I do not think that they have the expertise in the area of atomic energy. I do not know how they could possibly discuss it. In fact, the people who were coming before committee to talk about it only had a couple of hours to make their case.

If it were a stand-alone bill, it would have had probably a dozen hours or so at second reading. It would have had substantive committee witnesses. It would have had third reading. It would have gone to the Senate. The rigour with which we handle legislation here is very significant, but that has been denied to that aspect.

That is not the only one. There are significant changes to the Environmental Protection Act. There are significant changes which would say that we will have a situation where we can waive the requirement for environmental assessments on major projects if there are certain circumstances in place, like time, where we have to have something done quickly. I remember asking questions of one of the hon. members about putting economic priorities ahead of environmental priorities, and the member quite correctly said we have to look at both. Good environmental policy is good economic policy. The reverse is also true.

We have a significant challenge before us in terms of greenhouse gases, climate change, and preparing ourselves to do our share to reduce greenhouse gas emissions in our country, but when we start playing around with the Environmental Assessment Act, all of a sudden that seems to fly in the face of social and public responsibility. Canadians have already very clearly said how they feel about us doing our share, and after the government embarrassed Canadians at Copenhagen, it is no wonder they are concerned about things like this.

Members have also mentioned the airline tax. The EI fund also, when I was at the briefing with the officials, was just glossed over. I asked the question of the officials there about how it would operate. I did ascertain that there was to be some $2 billion put in as seed money for the administrative part, but that this new separate agency was to be responsible for the operations of employment insurance in Canada. All of the premiums collected from today's workers would go into the fund, and all of the benefits would come out.

Here we are in severe economic difficulty with record unemployment, and it will even rise. It will rise even greater than it is today. We have been operating at a deficit. There has been a deficit there. When I spoke to the Auditor General last, she assured me that the operations of this stand-alone agency will be accounted for in the determination of surplus or deficit of the Government of Canada in terms of its operations of the program, notwithstanding that it is a separate bank account again out there.

I think what annoys all of the opposition parties is the notional surplus, the $57 billion of premiums that were collected in excess of benefits required to be paid out, which were built up over a dozen years of surpluses because Canada's economy was booming, and the lowest unemployment in our history had been achieved. That $57 billion represents a liability to Canadians. It represents a matter of either return the premiums to those who paid them or improve programs that would then be affordable.

The government did neither of them, despite all of the interventions and all of the initiatives of members of Parliament. The Conservatives have summarily said it will disappear. It is basically another indication that the government has refused to be open, transparent, and accountable to Canadians on yet another area of significant public interest.

Jobs and Economic Growth ActGovernment Orders

May 31st, 2010 / 1:10 p.m.
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Liberal

Paul Szabo Liberal Mississauga South, ON

Mr. Speaker, the member is quite right that there have been a large number of private members' initiatives. We know they require royal recommendations and we also know that the Conservative government would certainly not grant them. This reflects the mood of the House, which is extremely important, because the mood of the House reflects the mood of the people.

We have not had a recession since 1993, and no one predicted that, even when the U.S. went into recession. Under the rules of the game, the EI fund was to withhold two years of surplus to pay for a recession and the balance was to be returned by reduced premiums or improved programs, and I think everybody understands that. The real key now is that the obligation to do that will be eliminated by Bill C-9 because that liability will be summarily taken away. The cash will continue to flow whether there is a surplus or a deficit in EI operations, but that liability will be wiped off the books.