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 / 12:55 p.m.


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Conservative

Ted Menzies Conservative Macleod, AB

Mr. Speaker, I am stumped because I have no answer for that question. I have no idea why anyone, who is elected by Canadians, would vote against some of the positive things, in fact, all of the positive things that are in this budget.

The hon. member raises a good comment, that opposition members stand up and complain about the complexity of this legislation. This document appears certainly to be a large document. I have seen some people throwing it around as if it is not that important, but it is important, and 52% of it is actually defining the tariffs that we are reducing, the tariffs that have been impeding businesses from being able to compete internationally.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 1 p.m.


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Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Mr. Speaker, I am delighted to address the issue of this budget.

As members know, we have some serious reservations about this budget plan, primarily because of that four letter word “plan”. We do not see one.

What we do see is, and the parliamentary secretary has described it, a mixture of certain elements that the government surreptitiously wants to see addressed, accepted and moved on, and not having the courage to address some of those issues.

For example, he talked about remailers and the reorganization of Canada Post as if it was a fait accompli already but not having the courage to present the stand-alone legislation here so that we could have a look at what the government wants to do.

He threw around figures, for example, about the number of people in the printing business in this country. Of course, we know there are people who are engaged in the printing business, but they are not all engaged in the business of remailers. They are not all engaged in the business associated with whatever it is that Canada Post does relative to the printers.

It is a little bit too much to ask the Canadian public to support a piece of legislation that says “vote for us, we are good, we have the public's interest in mind, and by the way to those who are printers or involved in transportation or any delivery of service, this bill will address those interests, and it does that because it eliminates taxation”.

We are all left scratching our heads. What is it? There is a document that is 880 pages long. The government says it is the fiscal plan for the country, that it is the business upon which the country must live or die over the course of this next year, that it is the basis for the creation of jobs, but it is not willing to separate out some various items.

There is the issue about the re-transformation, and I say re-transformation because Canada Post has been transformed so many times since I have been here that I do not even know if it is Canada Post as it was before. There is reference to what the soon-to-be former president says about where Canada Post is headed and the business plan. There is mention of privatization, but no, not privatization. There is mention of the privatization of rural mail post offices, but no, we are not going to be privatizing those post offices. There is the fact that we are not going against the unions and CUPW, but no, that is not what it is about.

What is it about? Why would the government put all those questions and queries in the bill, while throwing out these little nuggets of whatever it is that is part of the fiscal plan, the economic plan, the economic strategy of the government, if in fact we can still talk about it as a strategy? Why would the government throw it all in this 880-page long bill and expect members of Parliament to be experts on it?

The government is not an expert on it. It has members of Parliament reading out speeches. The only jobs it is creating with that is for those speech writers who revel in the opportunity to have their mots of wisdom, their words of explanation, repeated over and over again so that they become speaking points and are read in this place.

These words say the same thing; we are good and they are bad. However, what is not talked about are the consequences of taking one move from one place to another. For example, if we talk about reorganizing the post office, reorganizing the way that we do international remailers, we cannot even discuss the merits of that. We cannot even discuss the financial implications of that.

We have discussed some of this in the past. I can give members some of the numbers. The government contests all of the numbers that the Parliamentary Budget Officer gave.

However, we cannot do that because we are talking about the larger fiscal plan of the government. We are talking about an economic strategy, which must be at the base of the authority that the public gives elected office holders, that the public gives chambers, assemblies of people, like this one here to make decisions on their behalf.

That is not what is in this budget plan. It certainly is not to be seen in that issue related to the post office. By the way, the post office is an important element of our society. Yes, it creates many jobs. It delivers and it is a stimulus for a lot of economic activities. It has general revenues of about $7.8 billion a year. In the large scheme of things, it is important but it is not the overriding issue.

The overriding issue is the plan that the government put in place to tax Canadians and to build on that taxation.

In my question a few minutes ago I talked about one very specific element. We need to get beyond the subterfuge that is presented in some of these fabricated speeches, otherwise known as talking points, that pass for debate in this place when delivered by the government side.

We need the government to tell us about what it calls its plan, that dirty four letter word again. We need it to tell us what it is going to be doing with our money and our confidence. That is the question that everybody here wants addressed. The general public wants the same thing.

Members have heard me say this before, that the Conservatives acquired a deficit in the last 18 months. They inherited a $12 billion surplus, which was gifted to them by the last Liberal government, and I realize that is not very palatable for them. It was a Liberal government that bequeathed a $12 billion surplus, and the Conservatives ate that up. Not only did they eat that up, but they squandered the opportunity to build on what was made available to them by responsible administrations that preceded them. We are now faced with a $55 billion deficit.

Any responsible, accountable government would have told us its plan. It would have addressed this. But no, the Conservatives sneaked in the back door and put themselves into a situation where they went from a $12 billion surplus to a $55 billion deficit. Then they say they are going to re-establish the economic climate. I want members to notice the word re-establish. The Conservatives are going to re-establish the economic health of the country, implying of course what everybody sees to be the obvious.

The Conservatives drove the surplus down to the ground and then say it was a synchronized depression-recession collapse. The Conservatives claim it is everybody else's fault. “The devil made me do it” is what Flip Wilson use to say in the sixties. I think he was the mentor for the current government, especially for the Minister of Finance. The devil made us do this.

We were fine as long as we lived under a Liberal administration, but now the world has decided to punish us and the Conservatives decided they were going to visit unhappiness on Canada. That is why we have a deficit.

The Conservatives are saying they are going to cut taxes, so that everybody else will invest in Canada and get us out of this deficit. That $55 billion amounts to about $2,000 per person in Canada. Every man, woman and child must pay $2,000 to reduce that deficit. Where will that money come from? It is going to come out of the pockets of people who work, corporations that still turn a profit. It is going to come out of the pockets and purses of every single Canadian. Everybody is asking, how else are we going to get rid of the deficit? When we had a responsible government, we did not have a deficit.

I notice the finance minister is too busy to appear here on a finance bill. I am sorry, I should not have said that. I take it back. The Minister of Finance could have spoken for himself but he asked the parliamentary secretary to speak on his behalf. He said that we need to create an environment for building the economy of the country. I would like him to tell me which industries the government is going to stimulate. Will it be the auto sector? It cannot be that sector because we have already given it $12 billion in loans and subsidies, et cetera. That sector is not creating any more jobs. The economy has collapsed for the auto industry.

Is the government going to stimulate the agricultural sector? No, because everybody is engaged in buying their food products from other places at a very competitive price. The government claims it cannot build a market for the agricultural sector because it should not be up to the government to do it.

Maybe it is the mining sector. The government does not believe in industrial strategy because it cannot be insinuated in the day to day decisions of private enterprise.

Maybe it is fishing. Can we see something there? Our coastal communities in particular might rely on that. Do we have a plan for it? Do we have something that is associated with biodiversity, the environment, investments in infrastructure to associate productivity with agri-production and with value added businesses? No, we do not have that because we do not find that is very productive, but we have a stimulus program.

We are looking for the stimulus program. Everyone in the country has a stimulus program. Every province has a stimulus program to get us out of a recession that the government threw us into because it said that we did not need to worry and that we should be happy. After the 2008 election it said that there was no problem in this country that it could not handle. It said that since it already had that $12 billion surplus that the Liberal government gave it, it could ride out the storm.

Bang, 14 days after the election we were in the worst economic crisis we could ever be. Why? Because someone on the opposite side was asleep at the switch, and that is exactly where the government is today.

Members of Parliament on this side of the House look at this and say that this is a tax and squander government. The bill is 880 pages of taxing and squandering. Then the government has the gall to stand up and say that it is reducing taxes.

My colleague from the Bloc Québécois, who made some reference to a question by a member on this side before, at least took the trouble to look at particular pages. I will bet that if he looks at the budget plan again, out of those 880 pages, he too will scratch his head in surprise and say, as he has said already, that people will be paying payroll taxes. There is an additional $11 billion in payroll taxes that will accrue to those who work and those who offer work.

I do not know why the government thinks that that is a stimulus. By the way, the Liberal administration for nine straight years reduced payroll taxes.

I am sure my Bloc colleague is also thinking that before reducing taxes because reducing taxes stimulates economic activity, surely to heaven, if we raise taxes on travellers by $3.5 billion, which I am sure is somewhere in that 880 pages and maybe one of the other parliamentary secretaries will do it for the Minister of Finance and point out to us, how does that stimulate further travel.

Here is the problem with subterfuge. The government sneaks it in under the pretext that it will make additional investments in security so that we can fly safely. It used the opportunity to build on paranoia just last December and it threw $11 million into buying scanners that everyone says that they might be superfluous but because we are afraid of flying and afraid of terrorists, it is a worthwhile investment. The government bought 44 scanners for $11 million. There is not that much space in our airports but it would find it and put them in and everything will be fine. Then, immediately after that, it will spend another $3.5 billion on another 60,000 of these scanners. Where is it going to put them? How will it encourage travel by increasing the cost to travellers by $3.5 billion?

No, the government will not use the word “taxation” for these things. There is a new moniker for all of these things now. This will be the government of fee for usage, not tax. If we are going to use the infrastructure of air travel, we have to pay an additional fee, which is only fair. Only 60 million people travel and there are only 32 million Canadians but they take about 60 million flight movements in Canada. Now the government will tax them an additional $3.5 billion for the audacity of travelling.

We want to see where in this budget plan there is the $1.2 billion for the G8 and G20 summit which suddenly out of the blue has become the new normal in terms of cost for putting on an international conference. The government has taken the word “squander” to artistic levels.

I will tell members about squandering. It is not just about money thrown away for building man-made lakes inside closed environments when we have hundreds of thousands of lakes right here in southern Ontario. No. It is the squandering opportunity.

The Parliamentary Secretary to the Minister of Finance took great pains to remind everybody about the child credit, the $100 for every child under the age of six so that women and families could get out and work. The only place in the country that actually provides child care at a reasonable price is in Quebec. However, people living in Toronto or anywhere in southern Ontario who wants child care services for their children under the age of six, unless they are going to junior K, which is paid by the provincial government now after age four, will be paying $50 a day. If they get a discount, that might go down to $30 or $35. That means, at the very best, they will get either two or three days of child care services for their infant, toddler or pre-schooler. That is what that $100 represents. That $100 represented a plan, that was before it became a dirty word, a strategic plan to provide a universal and universally accessible child care program nationwide, in conjunction with the provinces, and the initial cost from the federal side was $5 billion.

The Conservatives turned around, took a reasonable plan that had already been negotiated with the provinces for $5 billion, and substituted it with $100 a month for those children under the age of six.

Talk about squandering an opportunity to build a legacy for the future.

We look at this financial plan of theirs and we see that another squandered opportunity is what they want to do with AECL, the Atomic Energy of Canada Limited. We spent hundreds of billions of dollars in developing a national, internationally-recognized institution with very high-paying jobs for engineers and scientists to produce medical isotopes and other energies. We are leaders in the world on this. However, the government, in its classic modus operandi, its method of operation for everything, has decided to squander that opportunity, vilify the people who work in it, allow the institution to collapse into disrepair and then say that it is in such a bad situation that it will sell it off to some sucker so that we can export the benefits and the sacrifices that everybody had made in order to achieve those benefits in the past. It wants to hand that off to somebody else.We will turn back to being hewers of wood and drawers of water.

I am not sure about the hewers of wood anymore because the Conservatives' plan for the forestry sector and the 350 communities around this country that rely exclusively on forestry has been shameful, to say the least. They have abandoned the complete market in the United States and when the Americans call and say, “Listen, Canada. Back off”, we say, “How quickly?”.

We have not done anything in terms of promoting our products, either our first primary product or our downstream products, anywhere around the world, but we are quick to eliminate anything that involves additional research and development. Why? Because the government is afraid of the words “industrial strategy”. It requires some thinking, it requires a vision and it requires a plan. More important, however, it involves believing in Canada and believing in its citizens. The Conservative government opposite does not believe in any of it. That is why it has come up with a subterfuge of 880 pages, expecting everybody to buy a pig in a poke.

Do members know what? The Conservatives have made a mess of this country in the four and a half years they have been here and they deserve to be thrown out.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 1:20 p.m.


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Souris—Moose Mountain Saskatchewan

Conservative

Ed Komarnicki ConservativeParliamentary Secretary to the Minister of Human Resources and Skills Development and to the Minister of Labour

Mr. Speaker, I have been listening with some amusement to the comments the member made and I would indicate to him that having a surplus is not particularly difficult. Any Joe could have a surplus. If we look at how the Liberal government did it, it was not by good business practices but by taxing hard-working Canadians who had to work harder to pay more taxes. If we burden the people, we will get more money, but the Liberals balanced their books and got a surplus on the backs of Canadians.

First, they took $25 billion from the provinces and the municipalities that had to forgo infrastructure and certain things that had to be done. They tried to balance their books on the backs of ordinary Canadians. They then raided the EI account by taking $50 billion from that account for their own pet political projects and then said that they had a piddling surplus.

They did it on the backs of ordinary Canadians, which is nothing to brag about. It was not because of good business practices. They took it from hard-working Canadians. What did they do with that money? They spent it.

We reduced taxes for ordinary Canadians. We reduced the deficit by $38 billion in the years we were in government. We not only reduced taxes but we put money into infrastructure. During the difficult times, we were there helping Canadians and ensuring that we were not balancing the books by taxing ordinary Canadians.

What would they do if they became government? The Liberal Leader of the Opposition said that he would raise the GST, raise taxes, spend--

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 1:20 p.m.


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The Deputy Speaker Andrew Scheer

I will have to stop the hon. member there to give the member for Eglinton--Lawrence a chance to respond.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 1:20 p.m.


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Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Mr. Speaker, I do not know where the parliamentary secretary thinks he lives.

If anybody could have eliminated the deficit, maybe Brian Mulroney and all of his ministers who caused the deficit to rise to $43 billion would have given them a hint. I am sorry but apparently he has been giving them advice, so they have taken a surplus and they are back down to a $55 billion deficit.

What did we do with that money, he asks? I just want to point out two programs for him. One was an increase in equalization payments to all provinces. It was $32 billion over a 10 year period, $3.2 billion per annum. That is still ongoing. It is in year five.

There was also an additional $41 billion transfer in health transfers to the provinces, which is $4.1 billion per annum every year. We are now in year five and we have another five years of this to go. That was all money that was put into the fiscal plan in 2005 and it was effected. It was put in place. Everybody here knew about it and everybody voted for it. That is $72 billion.

As for reducing the tax burden, he knows quite well that the former Liberal administration not only reduced the deficit to zero but also the debt by over $100 billion. His government brought it back up again.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 1:20 p.m.


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NDP

Jim Maloway NDP Elmwood—Transcona, MB

Mr. Speaker, Canada has to be concerned about a double-dip recession in the United States. We know that $1.3 trillion worth of commercial loans are coming due and commercial real estate values are collapsing in a lot of the different markets. There is a freeze on credit for small business. Banks are being very restrictive in their commercial loans and very conservative in their lending. Manufacturers cannot get lines of credit.

In fact, in 2008, 400 of the largest U.S. contractors were doing 80% of their business in private sector work. Now, the 400 largest U.S. contractors are doing 80% of their work in the public sector, which will be running out at the end of the stimulus package at the end of this year. Unemployment is then going to rise.

How does the member think Canada will be impacted by this possible double-dip recession in the United States?

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 1:20 p.m.


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Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Mr. Speaker, the member was not here when we ran through these difficult times in a previous Liberal administration, but today I see that even the government members opposite turn around and say that people look to Canada for the fiscal stability for which it is known, one that was built over 13 years of Liberal administration.

One of the things that we did, and that the government has been busily undoing, is that we did not follow the American example of allowing the banks to make loans to people who could not pay them and to allow their stock markets to speculate on the bets that the banks took on people being able or not being able to repay their debts. We made it very difficult.

We had a very conventional, traditional and responsible way to do business. In my brief comment a few moments ago, I said that we needed a fiscal plan as well as an economic strategy but that this bill does not address either one.

We made sure that we had a fiscal plan and those guys are eroding it.

Jobs and Economic Growth ActGovernment Orders

June 8th, 2010 / 1:25 p.m.


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Conservative

Bruce Stanton Conservative Simcoe North, ON

Mr. Speaker, it has been quite a performance here this afternoon. I think the hon. member actually used the word “subterfuge” in his comments. I would say that the sultan of subterfuge is over there. All we have had here this afternoon is a bunch of bluster and talking points from his own party.

This is a serious discussion about Canada's economic action plan. The member said that there is an absence of a plan. Perhaps he missed the document that came out in 2007 called “Advantage Canada”. It set out an entire framework for investments not only in infrastructure but also in knowledge. It is the framework that this government has been using since 2007. We have added to that, of course, through Canada's economic action plan, but these are substantial investments, well coordinated in the economy to have the kind of results that we are seeing.

On job creation, three-quarters of the job losses that came as a result of the global recession in the last year have been recovered. Over $200 billion in tax savings have been received and are now in the pockets of Canadian consumers right across the country. That is helping to stimulate the economy and create jobs. The hon. member ought to rely a little less on the rhetoric and consider some of the key questions that we should be discussing here in the House.

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June 8th, 2010 / 1:25 p.m.


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Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Mr. Speaker, I guess the documents to which he made reference, including “Advantage Canada”, the action plan and the budget document, are nothing more than inscribed rhetoric. What I do is I look at the outcomes. I am proud to have been part of an administration—

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June 8th, 2010 / 1:25 p.m.


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Conservative

Bruce Stanton Conservative Simcoe North, ON

The outcomes speak for themselves.

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June 8th, 2010 / 1:25 p.m.


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Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Mr. Speaker, if the member would listen, he would learn something.

Everybody in Canada is looking at exactly the same thing. Under our previous administration before the Conservatives came to office, we had an unemployment rate in the country that went below 6%, when 5.5% is considered to be full employment. The pressures on our human resources potential to address all of the demands by the marketplace were so strained that we needed to come up with a demographic plan to address all of those.

Today, the unemployment rate is above 8%. People can no longer look with the same kind of optimism—

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June 8th, 2010 / 1:25 p.m.


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Conservative

Bruce Stanton Conservative Simcoe North, ON

That is the role of the G7.

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June 8th, 2010 / 1:25 p.m.


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Liberal

Joe Volpe Liberal Eglinton—Lawrence, ON

Mr. Speaker, it is the G7. Here it is. That is the problem. It is everybody else. The devil made them do it. The government was in government for a particular purpose: to make sure that Canadians could benefit from the advantage that is resident in Canada—

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June 8th, 2010 / 1:25 p.m.


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The Deputy Speaker Andrew Scheer

Order. There is time for another brief question. The hon. member for Hochelaga.

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June 8th, 2010 / 1:25 p.m.


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Bloc

Daniel Paillé Bloc Hochelaga, QC

Mr. Speaker, I am new to the House, but even when I was a member of Quebec's National Assembly, I was always excited to hear the member for Eglinton—Lawrence's earnest statements. He has style, confidence and parliamentary savoir-faire. Government members tremble when he speaks.

I wonder if he will use his volubility and eloquence to serve democracy by persuading all of his Liberal Party colleagues to show up and vote with the Bloc and NDP members so that we can finally rid ourselves—