Bill C-38 (Historical)

Jobs, Growth and Long-term Prosperity Act

An Act to implement certain provisions of the budget tabled in Parliament on March 29, 2012 and other measures

Part 1 of this enactment implements certain income tax measures and related measures proposed in the March 29, 2012 budget. Most notably, it
(a) expands the list of eligible expenses under the Medical Expense Tax Credit to include blood coagulation monitors and their disposable peripherals;
(b) introduces a temporary measure to allow certain family members to open a Registered Disability Savings Plan for an adult individual who might not be able to enter into a contract;
(c) extends, for one year, the temporary Mineral Exploration Tax Credit for flow-through share investors;
(d) allows corporations to make split and late eligible dividend designations;
(e) makes the salary of the Governor General taxable and adjusts that salary;
(f) allows a designated partner of a partnership to provide a waiver on behalf of all partners to extend the time limit for issuing a determination in respect of the partnership;
(g) amends the penalty applicable to promoters of charitable donation tax shelters who file false registration information or who fail to register a tax shelter prior to selling interests in the tax shelter;
(h) introduces a new penalty applicable to tax shelter promoters who fail to respond to a demand to file an information return or who file an information return that contains false or misleading sales information;
(i) limits the period for which a tax shelter identification number is valid to one calendar year;
(j) modifies the rules for registering certain foreign charitable organizations as qualified donees;
(k) amends the rules for determining the extent to which a charity has engaged in political activities; and
(l) provides the Minister of National Revenue with the authority to suspend the privileges, with respect to issuing tax receipts, of a registered charity or a registered Canadian amateur athletic association if the charity or association fails to report information that is required to be filed annually in an information return or devotes resources to political activities in excess of the limits set out in the Income Tax Act.
Part 1 also implements other selected income tax measures and related measures. Most notably, it
(a) amends the Income Tax Act consequential on the implementation of the Marketing Freedom for Grain Farmers Act, including the extension of the tax deferral allowed to farmers in a designated area who produce listed grains and receive deferred cash purchase tickets to all Canadian farmers who produce listed grains and receive deferred cash purchase tickets;
(b) provides authority for the Canada Revenue Agency to issue via online notice or regular mail demands to file a return; and
(c) introduces a requirement for commercial tax preparers to file income tax returns electronically.
Part 2 amends the Excise Tax Act to implement certain excise tax and goods and services tax/harmonized sales tax (GST/HST) measures proposed in the March 29, 2012 Budget. It expands the list of GST/HST zero-rated medical and assistive devices as well as the list of GST/HST zero-rated non-prescription drugs that are used to treat life-threatening diseases. It also exempts certain pharmacists’ professional services from the GST/HST, other than prescription drug dispensing services that are already zero-rated. It further allows certain literacy organizations to claim a rebate of the GST and the federal component of the HST paid on the acquisition of books to be given away for free by those organizations. It also implements legislative requirements relating to the Government of British Columbia’s decision to exit the harmonized sales tax framework. Additional amendments to that Act and related regulations in respect of foreign-based rental vehicles temporarily imported by Canadian residents provide, in certain circumstances, relief from the GST/HST, the Green Levy on fuel-inefficient vehicles and the automobile air conditioner tax. This Part further amends that Act to ensure that changes to the standardized fuel consumption test method used for the EnerGuide, as announced on February 17, 2012 by the Minister of Natural Resources, do not affect the application of the Green Levy.
Finally, Part 2 amends the Air Travellers Security Charge Act, the Excise Act, 2001 and the Excise Tax Act to provide authority for the Canada Revenue Agency to issue via online notice or regular mail demands to file a return.
Part 3 contains certain measures related to responsible resource development.
Division 1 of Part 3 enacts the Canadian Environmental Assessment Act, 2012, which establishes a new federal environmental assessment regime. Assessments are conducted in relation to projects, designated by regulations or by the Minister of the Environment, to determine whether they are likely to cause significant adverse environmental effects that fall within the legislative authority of Parliament, or that are directly linked or necessarily incidental to a federal authority’s exercise of a power or performance of a duty or function that is required for the carrying out of the project.
The Canadian Environmental Assessment Agency, the Canadian Nuclear Safety Commission, the National Energy Board or a review panel established by the Minister are to conduct assessments within applicable time limits. At the end of an assessment, a decision statement is to be issued to the project proponent who is required to comply with the conditions set out in it.
The enactment provides for cooperation between the federal government and other jurisdictions by enabling the delegation of an environmental assessment, the substitution of the process of another jurisdiction for an environmental assessment under the Act and the exclusion of a project from the application of the Act when there is an equivalent assessment by another jurisdiction. The enactment requires that there be opportunities for public participation during an environmental assessment, that participant funding programs and a public registry be established, and that there be follow-up programs in relation to all environmental assessments. It also provides for powers of inspection and fines.
Finally, the enactment specifies that federal authorities are not to take certain measures regarding the carrying out of projects on federal lands or outside Canada unless they determine that those projects are not likely to cause significant adverse environmental effects.
This Division also makes related amendments to the Environmental Violations Administrative Monetary Penalties Act and consequential amendments to other Acts, and repeals the Canadian Environmental Assessment Act.
Division 2 of Part 3 amends the National Energy Board Act to allow the Governor in Council to make the decision about the issuance of certificates for major pipelines. It amends the Act to establish time limits for regulatory reviews under the Act and to enhance the powers of the National Energy Board Chairperson and the Minister responsible for the Act to ensure that those reviews are conducted in a timely manner. It also amends the Act to permit the National Energy Board to exercise federal jurisdiction over navigation in respect of pipelines and power lines that cross navigable waters and it establishes an administrative monetary penalty system.
Division 3 of Part 3 amends the Canada Oil and Gas Operations Act to authorize the National Energy Board to exercise federal jurisdiction over navigation in respect of pipelines and power lines that cross navigable waters.
Division 4 of Part 3 amends the Nuclear Safety and Control Act to extend the maximum allowable term of temporary members of the Canadian Nuclear Safety Commission from six months to three years. It is also amended to allow for a licence to be transferred with the consent of that Commission and it puts in place an administrative monetary penalty system.
Division 5 of Part 3 amends the Fisheries Act to focus that Act on the protection of fish that support commercial, recreational or Aboriginal fisheries and to more effectively manage those activities that pose the greatest threats to these fisheries. The amendments provide additional clarity for the authorization of serious harm to fish and of deposits of deleterious substances. The amendments allow the Minister to enter into agreements with provinces and with other bodies, provide for the control and management of aquatic invasive species, clarify and expand the powers of inspectors, and permit the Governor in Council to designate another Minister as the Minister responsible for the administration and enforcement of subsections 36(3) to (6) of the Fisheries Act for the purposes of, and in relation to, subject matters set out by order.
Division 6 of Part 3 amends the Canadian Environmental Protection Act, 1999 to provide the Minister of the Environment with the authority to renew disposal at sea permits in prescribed circumstances. It is also amended to change the publication requirements for disposal at sea permits and to provide authority to make regulations respecting time limits for their issuance and renewal.
Division 7 of Part 3 amends the Species at Risk Act to allow for the issuance of authorizations with a longer term, to clarify the authority to renew the authorizations and to make compliance with conditions of permits enforceable. The Act is also amended to provide authority to make regulations respecting time limits for the issuance and renewal of permits under the Act. Furthermore, section 77 is amended to ensure that the National Energy Board will be able to issue a certificate when required to do so by the Governor in Council under subsection 54(1) of the National Energy Board Act.
Part 4 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 4 amends a number of Acts to eliminate the requirement for the Auditor General of Canada to undertake annual financial audits of certain entities and to assess the performance reports of two agencies. This Division also eliminates other related obligations.
Division 2 of Part 4 amends the Trust and Loan Companies Act, the Bank Act and the Cooperative Credit Associations Act to prohibit the issuance of life annuity-like products.
Division 3 of Part 4 provides that PPP Canada Inc. is an agent of Her Majesty for purposes limited to its mandated activities at the federal level, including the provision of advice to federal departments and Crown corporations on public-private partnership projects.
Division 4 of Part 4 amends the Northwest Territories Act, the Nunavut Act and the Yukon Act to provide the authority for the Governor in Council to set, on the recommendation of the Minister of Finance, the maximum amount of territorial borrowings and to make regulations in relation to those maximum amounts, including what constitutes borrowing, the relevant entities and the valuation of the borrowings.
Division 5 of Part 4 amends the Financial Administration Act to modify, for parent Crown corporations, the period to which their quarterly financial reports relate, so that it is aligned with their financial year, and to include in the place of certain annual tabling requirements related to the business and activities of parent Crown corporations a requirement to make public consolidated quarterly reports on their business and activities. It also amends the Alternative Fuels Act and the Public Service Employment Act to eliminate certain reporting requirements.
Division 6 of Part 4 amends the Department of Human Resources and Skills Development Act to establish the Social Security Tribunal and to add provisions authorizing the electronic administration or enforcement of programs, legislation, activities or policies. It also amends the Canada Pension Plan, the Old Age Security Act and the Employment Insurance Act so that appeals from decisions made under those Acts will be heard by the Social Security Tribunal. Finally, it provides for transitional provisions and makes consequential amendments to other Acts.
Division 7 of Part 4 amends the Department of Human Resources and Skills Development Act to add provisions relating to the protection of personal information obtained in the course of administering or enforcing the Canada Pension Plan and the Old Age Security Act and repeals provisions in the Canada Pension Plan and the Old Age Security Act that are substantially the same as those that are added to the Human Resources and Skills Development Act.
Division 8 of Part 4 amends the Department of Human Resources and Skills Development Act to add provisions relating to the social insurance registers and Social Insurance Numbers. It also amends the Canada Pension Plan in relation to Social Insurance Numbers and the Employment Insurance Act to repeal certain provisions relating to the social insurance registers and Social Insurance Numbers and to maintain the power to charge the costs of those registers to the Employment Insurance Operating Account.
Division 9 of Part 4 amends the Parks Canada Agency Act to provide that the Agency may enter into agreements with other ministers or bodies to assist in the administration and enforcement of legislation in places outside national parks, national historic sites, national marine conservation areas and other protected heritage areas if considerations of geography make it impractical for the other minister or body to administer and enforce that legislation in those places. It also amends that Act to provide that the Chief Executive Officer is to report to the Minister of the Environment under section 31 of that Act every five years. It amends that Act to remove the requirements for annual corporate plans, annual reports and annual audits, and amends that Act, the Canada National Parks Act and the Canada National Marine Conservation Areas Act to provide that that Minister is to review management plans for national parks, national historic sites, national marine conservation areas and other protected heritage areas at least every 10 years and is to have any amendments to a plan tabled in Parliament.
Division 10 of Part 4 amends the Trust and Loan Companies Act, the Bank Act and the Insurance Companies Act in order to allow public sector investment pools that satisfy certain criteria, including pursuing commercial objectives, to directly invest in a Canadian financial institution, subject to approval by the Minister of Finance.
Division 11 of Part 4 amends the National Housing Act, the Canada Mortgage and Housing Corporation Act and the Supporting Vulnerable Seniors and Strengthening Canada’s Economy Act to enhance the governance and oversight framework of the Canada Mortgage and Housing Corporation.
This Division also amends the National Housing Act to establish a registry for institutions that issue covered bonds and for covered bond programs and to provide for the protection of covered bond contracts and covered bond collateral in the event of an issuer’s bankruptcy or insolvency. It also makes amendments to the Trust and Loan Companies Act, the Bank Act, the Insurance Companies Act and the Cooperative Credit Associations Act to prohibit institutions from issuing covered bonds except within the framework established under the National Housing Act. Finally, it includes a coordinating amendment to the Supporting Vulnerable Seniors and Strengthening Canada’s Economy Act.
Division 12 of Part 4 implements the Framework Agreement on Integrated Cross-Border Maritime Law Enforcement Operations between the Government of Canada and the Government of the United States of America signed on May 26, 2009.
Division 13 of Part 4 amends the Bretton Woods and Related Agreements Act to reflect an increase in Canada’s quota subscription, as related to the ratification of the 2010 Quota and Governance reform resolution of the Board of Governors of the International Monetary Fund, and to align the timing of the annual report under that Act to correspond to that of the annual report under the Official Development Assistance Accountability Act.
Division 14 of Part 4 amends the Canada Health Act so that members of the Royal Canadian Mounted Police are included in the definition of “insured person”.
Division 15 of Part 4 amends the Canadian Security Intelligence Service Act to
(a) remove the office of the Inspector General;
(b) require the Security Intelligence Review Committee to submit to the Minister of Public Safety and Emergency Preparedness a certificate on the Director of the Canadian Security Intelligence Service’s annual report; and
(c) increase the information on the Service’s activities to be provided by that Committee to that Minister.
Division 16 of Part 4 amends the Currency Act to clarify certain provisions that relate to the calling in and the redemption of coins.
Division 17 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act in order to implement the total transfer protection for the 2012-2013 fiscal year and to give effect to certain elements of major transfer renewal that were announced by the Minister of Finance on December 19, 2011. It also makes certain administrative amendments to that Act and to the Canada Health Act.
Division 18 of Part 4 amends the Fisheries Act to authorize the Minister of Fisheries and Oceans to allocate fish for the purpose of financing scientific and fisheries management activities in the context of joint project agreements.
Division 19 of Part 4 amends the Food and Drugs Act to give the Minister of Health the power to establish a list that sets out prescription drugs or classes of prescription drugs and to provide that the list may be incorporated by reference. It also gives the Minister the power to issue marketing authorizations that exempt a food, or an advertisement with respect to a food, from certain provisions of the Act. The division also provides that a regulation with respect to a food and a marketing authorization may incorporate by reference any document. It also makes consequential amendments to other Acts.
Division 20 of Part 4 amends the Government Employees Compensation Act to allow prescribed entities to be subrogated to the rights of employees to make claims against third parties.
Division 21 of Part 4 amends the International Development Research Centre Act to reduce the maximum number of governors of the Centre to 14, and to consequently change other rules about the number of governors.
Division 22 of Part 4 amends Part I of the Canada Labour Code to require the parties to a collective agreement to file a copy of it with the Minister of Labour, subject to the regulations, as a condition for it to come into force. It amends Part III of that Act to require employers that provide benefits to their employees under long-term disability plans to insure those plans, subject to certain exceptions. The Division also amends that Part to create an offence and to increase maximum fines for offences under that Part.
Division 23 of Part 4 repeals the Fair Wages and Hours of Labour Act.
Division 24 of Part 4 amends the Old Age Security Act to provide the Minister of Human Resources and Skills Development with the authority to waive the requirement for an application for Old Age Security benefits for many eligible seniors, to gradually increase the age of eligibility for the Old Age Security Pension, the Guaranteed Income Supplement, the Allowance and the Allowance for the Survivor and to allow individuals to voluntarily defer their Old Age Security Pension up to five years past the age of eligibility, in exchange for a higher, actuarially adjusted, pension.
Division 25 of Part 4 dissolves the Public Appointments Commission and its secretariat.
Division 26 of Part 4 amends the Seeds Act to give the President of the Canadian Food Inspection Agency the power to issue licences to persons authorizing them to perform activities related to controlling or assuring the quality of seeds or seed crops.
Division 27 of Part 4 amends the Statutory Instruments Act to remove the distribution requirements for the Canada Gazette.
Division 28 of Part 4 amends the Investment Canada Act in order to authorize the Minister of Industry to communicate or disclose certain information relating to investments and to accept security in order to promote compliance with undertakings.
Division 29 of Part 4 amends the Customs Act to allow the Minister of Public Safety and Emergency Preparedness to designate a portion of a roadway or other access way that leads to a customs office and that is used by persons arriving in Canada and by persons travelling within Canada as a mixed-traffic corridor. All persons who are travelling in a mixed-traffic corridor must present themselves to a border services officer and state whether they are arriving from a location outside or within Canada.
Division 30 of Part 4 gives retroactive effect to subsections 39(2) and (3) of the Pension Benefits Standards Act, 1985.
Division 31 of Part 4 amends the Railway Safety Act to limit the apportionment of costs to a road authority when a grant has been made under section 12 of that Act.
Division 32 of Part 4 amends the Canadian International Trade Tribunal Act to replace the two Vice-chairperson positions with two permanent member positions.
Division 33 of Part 4 repeals the International Centre for Human Rights and Democratic Development Act and authorizes the closing out of the affairs of the Centre established by that Act.
Division 34 of Part 4 amends the Health of Animals Act to allow the Minister of Agriculture and Agri-Food to declare certain areas to be control zones in respect of a disease or toxic substance. The enactment also grants the Minister certain powers, including the power to make regulations prohibiting the movement of persons, animals or things in the control zones for the purpose of eliminating a disease or toxic substance or controlling its spread and the power to impose conditions on the movement of animals or things in those zones.
Division 35 of Part 4 amends the Canada School of Public Service Act to abolish the Board of Governors of the Canada School of Public Service and to place certain responsibilities on the Minister designated for the purposes of the Act and on the President of the School.
Division 36 of Part 4 amends the Bank Act by adding a preamble to it.
Division 37 of Part 4 amends the Corrections and Conditional Release Act to eliminate the requirement of a hearing for certain reviews.
Division 38 of Part 4 amends the Coasting Trade Act to add seismic activities to the list of exceptions to the prohibition against foreign ships and non-duty paid ships engaging in the coasting trade.
Division 39 of Part 4 amends the Status of the Artist Act to dissolve the Canadian Artists and Producers Professional Relations Tribunal and transfer its powers and duties to the Canada Industrial Relations Board.
Division 40 of Part 4 amends the National Round Table on the Environment and the Economy Act to give the Round Table the power to sell or otherwise dispose of its assets and satisfy its debts and liabilities and to give the Minister of the Environment the power to direct the Round Table in respect of the exercise of some of its powers. The Division provides for the repeal of the Act and makes consequential amendments to other acts.
Division 41 of Part 4 amends the Telecommunications Act to change the rules relating to foreign ownership of Canadian carriers eligible to operate as telecommunications common carriers and to permit the recovery of costs associated with the administration and enforcement of the national do not call list.
Division 42 of Part 4 amends the Employment Equity Act to remove the requirements that are specific to the Federal Contractors Program for Employment Equity.
Division 43 of Part 4 amends the Employment Insurance Act to permit a person’s benefits to be determined by reference to their highest earnings in a given number of weeks, to permit regulations to be made respecting what constitutes suitable employment, to remove the requirement that a consent to deduction be in writing, to provide a limitation period within which certain repayments of overpayments need to be deducted and paid and to clarify the provisions respecting the refund of premiums to self-employed persons. It also amends that Act to modify the Employment Insurance premium rate-setting mechanism, including requiring that the rate be set on a seven-year break-even basis once the Employment Insurance Operating Account returns to balance. The Division makes consequential amendments to the Canada Employment Insurance Financing Board Act.
Division 44 of Part 4 amends the Customs Tariff to make certain imported fuels duty-free and to increase the travellers’ exemption thresholds.
Division 45 of Part 4 amends the Canada Marine Act to require provisions of a port authority’s letters patent relating to limits on the authority’s power to borrow money to be recommended by the Minister of Transport and the Minister of Finance before they are approved by the Governor in Council.
Division 46 of Part 4 amends the First Nations Land Management Act to implement changes made to the Framework Agreement on First Nation Land Management, including changes relating to the description of land that is to be subject to a land code, and to provide for the coming into force of land codes and the development by First Nations of environmental protection regimes.
Division 47 of Part 4 amends the Canada Travelling Exhibitions Indemnification Act to increase the maximum indemnity in respect of individual travelling exhibitions, as well as the maximum indemnity in respect of all travelling exhibitions.
Division 48 of Part 4 amends the Canadian Air Transport Security Authority Act to provide that the chief executive officer of the Authority is appointed by the Governor in Council and that an employee may not replace the chief executive officer for more than 90 days without the Governor in Council’s approval.
Division 49 of Part 4 amends the First Nations Fiscal and Statistical Management Act to repeal provisions related to the First Nations Statistical Institute and amends that Act and other Acts to remove any reference to that Institute. It authorizes the Minister of Indian Affairs and Northern Development to close out the Institute’s affairs.
Division 50 of Part 4 amends the Canadian Forces Members and Veterans Re-establishment and Compensation Act to provide for the payment or reimbursement of fees for career transition services for veterans or their survivors.
Division 51 of Part 4 amends the Department of Human Resources and Skills Development Act to add powers, duties and functions that are substantially the same as those conferred by the Department of Social Development Act. It repeals the Department of Social Development Act and, in doing so, eliminates the National Council of Welfare.
Division 52 of Part 4 amends the Wage Earner Protection Program Act in order to correct the English version of the definition “eligible wages”.
Division 53 of Part 4 repeals the Kyoto Protocol Implementation Act.
Division 54 of Part 4 amends the Immigration and Refugee Protection Act and the Budget Implementation Act, 2008 to provide for the termination of certain applications for permanent residence that were made before February 27, 2008. This Division also amends the Immigration and Refugee Protection Act to, among other things, authorize the Minister of Citizenship and Immigration to give instructions establishing and governing classes of permanent residents as part of the economic class and to provide that the User Fees Act does not apply in respect of fees set by those instructions. Furthermore, this Division amends the Immigration and Refugee Protection Act to allow for the retrospective application of certain regulations and certain instructions given by the Minister, if those regulations and instructions so provide, and to authorize regulations to be made respecting requirements imposed on employers in relation to authorizations to work in Canada.
Division 55 of Part 4 enacts the Shared Services Canada Act to establish Shared Services Canada to provide certain administrative services specified by the Governor in Council. The Act provides for the Governor in Council to designate a minister to preside over Shared Services Canada.
Division 56 of Part 4 amends the Assisted Human Reproduction Act to respond to the Supreme Court of Canada decision in Reference re Assisted Human Reproduction Act that was rendered in 2010, including by repealing the provisions that were found to be unconstitutional and abolishing the Assisted Human Reproduction Agency of Canada.

Jobs, Growth and Long-term Prosperity Act

[Brian Masse, NDP, Windsor West, ON]

Mr. Speaker, the OECD has best practices for budgeting. It has suggested that a budget be tabled three months in advance of the beginning of the fiscal year so that people can debate it and digest it.

We do not do that here in Canada. In fact, we do not follow any of the OECD's best practices for budgeting.

[The Acting Speaker, Bruce Stanton]

It being 6:01 p.m., the House will now proceed to the consideration of private members' business as listed on today's order paper.

The House resumed from May 3 consideration of the motion that Bill C-38, An Act to implement certain provisions of the budget tabled in Parliament on March 29, 2012 and other measures, be read the second time and referred to a committee, and of the amendment.

Jobs, Growth and Long-Term Prosperity Act

[Bob Dechert, Conservative, Parliamentary Secretary to the Minister of Foreign Affairs]

Madam Speaker, I am pleased to rise today in support of our government's bold and responsible economic action plan 2012 and, in particular, Bill C-38, also known as the jobs, growth and long-term prosperity act.

Budget 2012 sets out a prudent and long-term plan to ensure the future prosperity, health and retirement security of all Canadians. I would like to take this opportunity to highlight a few of the many provisions of budget 2012 which are particularly important to the people I represent in the city of Mississauga.

While budget 2012 includes dozens of important new measures to create jobs and growth and ensure long-term prosperity, the budget is also remarkable for what it does not do. What it does not do is raise taxes. Unlike the budgets of many of our largest trading partners, such as the United Kingdom, our government is not raising taxes on hard-working Canadian families, seniors and job creators. We are, in fact, keeping taxes on individuals and job creators to the lowest levels in over 50 years.

Not many years ago, Canada had the unenviable reputation of having some of the highest personal income tax and business tax rates in the industrialized world. Those punishing rates of taxation had the effect of driving business investment and jobs out of Canada and penalizing workers and families.

Since 2006, our government has reduced taxes through measures such as the GST by 2%, targeted tax relief for families, workers and small business people, and introduced income splitting for seniors. By reducing the federal corporate tax rate to 15%, we have made Canada a very attractive place to invest and create jobs. This rate compare favourably to business tax rates in the United States and Europe.

Through these measures, we have reduced the federal tax burden on the average family by $3,100 each and every year. The money saved through these tax reductions is providing Canadians with more choice, enabling them to save more for their children's education and their own retirement, and to care for their families and pursue their dreams.

Our government is committed to keeping taxes low. We know that the world is an increasingly competitive place in which to create jobs and conduct business. In addition to keeping taxes low and ensuring that our workers have the best education and skills, our government understands that in order to succeed, Canadian businesses need to innovate.

Mississauga is home to some of the most technologically advanced and innovative companies in the world. Our government has made significant investments in the University of Toronto, Mississauga campus, and the new Mississauga campus of Sheridan College, through the infrastructure stimulus fund. These investments will ensure that our young people and older workers have the knowledge and skills to create the world-leading technologies, services and innovations of the future.

I am pleased to see that, through budget 2012, the government is taking further action to support innovation in Canada. For example, we are providing $400 million to increase private sector investments in early-stage risk capital and to support the creation of large-scale venture capital funds led by the private sector.

We are providing an additional $100 million to the Business Development Bank of Canada to support its venture capital activities; an additional $110 million to the National Research Council to double support to companies through the industrial research assistance program; $95 million over three years and $40 million per year thereafter to make the Canadian innovation commercialization program permanent; $37 million to the granting councils to enhance their support for industry and academic research partnerships; and $500 million over five years to the Canada Foundation for Innovation to support advanced research infrastructure. These measures will help to foster scientific research, innovation and commercialization.

Our government also understands that most Canadian jobs are created by small and medium-sized enterprises. These businesses are nimble and efficient. They employ millions of young and new Canadians in places like Mississauga.

In addition to reducing small business tax rates to the lowest levels in decades, our government is continuing to support small business in budget 2012, by investing $205 million to extend the hiring credit for small business to help small businesses defray the costs of hiring new workers.

The budget also provides an additional $50 million over two years to the youth employment strategy to assist more young people in gaining tangible skills and experience. Last year alone, this investment helped 70,000 Canadian youth gain valuable work experience and skills training.

One of the most intractable issues for new Canadians is the struggle to have their foreign credentials and work experience recognized in Canada. Our government tackled this issue in 2009 by providing funding to develop the pan-Canadian framework for the assessment and recognition of foreign qualifications. Budget 2012 identifies six more occupations including physicians, dentists, engineering technicians, licensed practical nurses, medical radiation technologists and teachers for inclusion in this process. This process would allow many more foreign-trained doctors to qualify to practise medicine and begin to care for the tens of thousands of Canadians who are searching for a family doctor. I am proud that our government is making real progress on this issue.

Our government has made historic and unprecedented investments in Canadian infrastructure under the building Canada fund, the permanent municipal gas tax fund and the infrastructure stimulus fund. Mississauga has received substantial funding of important infrastructure projects under these funds. Budget 2012 would additionally provide $150 million over two years for a new community infrastructure improvement fund to support repairs and improvements to existing community facilities and $105 million to support VIA Rail Canada's operations and capital projects. People in Mississauga will benefit greatly from the creation of Canada's first national near-urban park in the Rouge Valley in the GTA.

We are all aware of the global concerns regarding the size of sovereign national debts and relative national fiscal capacity. We have witnessed the turmoil in Greece and draconian measures required in many European countries to put their fiscal houses in order. Canadians know that our economic and fiscal fundamentals are relatively strong. They also understand that governments, like households and businesses, must balance the books. That is why our government is committed to returning to balanced budgets at an appropriate rate as the economy continues to recover from the global economic crisis. Our government is not reducing transfers to persons, including those to seniors, children and the unemployed or transfers to other levels of government in support of health care and social services. In my view, the modest reductions in operating expenses set out in the budget are necessary, reasonable and responsible.

As members know, politicians and governments are continually criticized for short-term, myopic thinking. Canadians want us as legislators to foresee future problems and devise plans to protect our prosperity against the negative impact of those long-term liabilities. In budget 2012, our government is looking more than 10 years down the road and putting in place today pragmatic measures to protect the retirement benefits of future generations. These are not easy decisions to make but they are prudent and, in my view, they are the right decisions for Canada. Budget 2012 charts a bold, visionary and safe course for our nation's future. It is the right plan for the people of Mississauga and it is the right plan for Canada.

For all of these reasons, I urge all of my hon. colleagues in this chamber to support Bill C-38.

[Robert Aubin, NDP, Trois-Rivières, QC]

Madam Speaker, I listened closely to the hon. member's speech.

Obviously I understand that he chose, among the innumerable pages of this bill, the passages that seemed most appropriate to him. However, unfortunately, I am going to have to ask him a question about some of the elements that he did not cover, including the appointment of a unilingual anglophone Auditor General, something we have been disagreeing about for weeks.

What is more, under this new bill, the Auditor General's authority will be diminished considerably. In fact, this bill does away with the obligation to audit the books of at least 12 agencies.

This budget contains what the Conservative members are saying it contains, but there are also many other things hidden throughout this bill that the Conservatives never mention.

I would like to hear what the hon. member has to say about the role of the Auditor General and about the duties that he will be relieved of under this bill.

[Bob Dechert, Conservative, Mississauga—Erindale, ON]

Madam Speaker, my hon. colleague mentioned official languages. Of course he will know that our government has very strongly supported official languages in Canada. I find it somewhat strange that he would mention that, given that it was his party that elected many unilingual members from the province of Quebec in ridings where the amount of French spoken in many of those ridings was over 98%. Yet there were people elected without having knocked on one door or talked to any voters, and were unable to speak to them in their own language.

However, the member mentions the Auditor General. The Auditor General is important. We are putting extra funding into the Auditor General's role to enhance his ability to audit the operations of government. We take all of his reports very seriously.

[Elizabeth May, Green, Saanich—Gulf Islands, BC]

Madam Speaker, I would like to make a comment and ask the Parliamentary Secretary to the Minister of Foreign Affairs a question.

My comment is that quite often in this debate on Bill C-38 government representatives talk about budget 2012 and confuse it with the bill before us now, which is implementing parts of budget 2012 and a great many other measures that were not part of the budget.

In relation to foreign affairs, I would like to ask the hon. member about the retreat from federal activities under the Kyoto protocol and the repeal of the Kyoto Protocol Implementation Act. Was it considered that it might have been preferable to amend the act to allow reporting requirements to continue, as some reporting will be still be required under the United Nations Framework Convention on Climate Change?

[Bob Dechert, Conservative, Mississauga—Erindale, ON]

Madam Speaker, the member will know that Canada's participation in the Kyoto accord was very strongly debated in the last federal election. Our government and my party made our position very clear. Bill C-38 is following through on that promise, as it is on many of the other promises that were made in our platform last year.

There are many mechanisms for reporting Canada's improving record in the reduction of greenhouse gases, one that was woefully inadequate under the previous Liberal government, as she well knows. She will know of recent reports which show that Canada is doing very well in reducing its greenhouse gas emissions. There are many ways in which that will be reported to the UN and other agencies.

[Ted Hsu, Liberal, Kingston and the Islands, ON]

Madam Speaker, why was funding not renewed for the eco-energy retrofit program for homes in the budget? The program helped people make their homes more energy efficient, save the environment, create jobs, support local businesses and reduce greenhouse gas emissions. Why did the government not continue that very successful program?

[Bob Dechert, Conservative, Mississauga—Erindale, ON]

Madam Speaker, as the member points out, the eco-energy retrofit program was very successful. It was 100% taken up. Significant taxpayer funds were put into that program. Also, many Canadians made use of the home renovation tax credit a few years ago to do similar kinds of environmental renovations to their homes to reduce energy consumption. They were very successful. We now feel it is time to get back on track and balance budgets. The economy is improving and we are letting the private sector take care of those matters.

[Claude Gravelle, NDP, Nickel Belt, ON]

Madam Speaker, I am honoured to speak today to Bill C-38.

I will begin by noting that the bill, according to journalist Don Martin, has everything but the kitchen sink in it, and, believe me, we looked and we found the kitchen sink in Bill C-38.

Frankly, the bill is an end run around accountability and transparency, and an end run around accountability and transparency from the very Conservative government that made commitments to govern better than the Liberals and to be accountable to Canadians.

Rather than the proper scrutiny of so many changes by the proper parliamentary committees, we see in Bill C-38 a budget bill that avoids consultation and review by both MPs and Canadians.

I understand why the Conservative government might want to do this. It finds itself on the defensive, plagued by scandal, secrecy and mismanagement. Instead of focusing on jobs, as promised, the Prime Minister is attacking pensions, cutting health care and gutting environmental protection.

Bill C-38, An Act to implement certain provisions of the budget tabled in Parliament on March 29, 2012 and other measures, was introduced in the House last week. The bill would implement certain budget provisions, it is true—for example, the controversial changes to old age security—but the reference to “and other measures” has to be one of the all-time parliamentary understatements.

The bill has more than 420 pages, some 60 acts are amended, another six are repealed and three more are added. The Canadian Environmental Assessment Act is completely rewritten. This is far more than a budget bill that deals with taxes and spending.

There are sweeping changes here to policy across a number of fields, from immigration where, among other changes, it erases with the stroke of a pen the entire backlog of applications under the skilled workers program, to telecommunications, opening the door to foreign ownership, to land codes on native reservations and more.

I have just completed an assignment as natural resources critic for my party and remain on the natural resources committee. It is obvious to me, from the studies we have done there on pipelines, refineries and northern resources, that the changes the government wants on reviews are the most extraordinary chapters in the bill.

The new bill gives cabinet broader powers to override decisions of the National Energy Board, shortens the list of protected species and abolishes the Kyoto Protocol Implementation Act, among other measures.

We must remember that we have just tabled in this House the 2011 National Energy Board annual report citing more problems related to accidents and an increased volume of projects that it must review. The government should decide to resource the National Energy Board to do its job better. Instead, it wants to have a veto to manage an end run around those proper and comprehensive reviews that not only should look at bigger and longer-term consequences from these natural resources projects but also assess impacts on future generations.

Our natural resources committee needs to call witnesses and look closely at this proposal. This does not belong to the finance committee, hiding in a budget bill. Frankly, this is an insult to Parliament and to the committee system that we have. How can one committee, in this case finance, properly examine all of these diverse measures, especially in the time allotted to them?

It is clear why the government is doing this. While it claims to be fine managers of the economy, the evidence says otherwise. First, there was the lavish night at the Savoy and the $16 orange juice, and now we learn about $600,000 just in overtime for the Conservatives' chauffeur-driven limos. The Conservatives are slashing vital services like food inspection and border services while blowing hundreds of thousands of taxpayer dollars on their outrageous sense of entitlement.

How can the Conservatives tell Canadians to sacrifice food safety and border inspections while they continue to live the high life? The government has lost all credibility when it comes to accountability.

The Conservatives have claimed that their budget is about job creation. However, even they admit that it will lead to 19,200 lost jobs in the public service. The Parliamentary Budget Officer, the same one appointed by the Conservative government, has estimated that the budget will cost 43,000 Canadians their jobs. When combined with previous rounds of cuts, this number is 102,000 lost jobs.

I could be on my feet all day and night to say what is wrong with these proposed changes to the law. The very worst change is raising the age of eligibility for OAS-GIS from 65 to 67, when many experts, including the Parliamentary Budget Officer, have confirmed that the OAS program is sustainable. Yet the Conservatives want to balance the budget on the backs of seniors.

There are some additional measures that will once again reduce the government's transparency and responsibility in the area of health. Bill C-38 weakens the reporting requirements of the Canadian Institutes of Health Research by eliminating all of the requirements regarding the publication of annual reports and analyses by the Auditor General.

Under the pretense of a change designed to reduce the administrative burden and make the approval process more efficient, Bill C-38 amends the Food and Drugs Act in such as way as to give the Minister of Health the authority to establish a list of products that are exempt from the regulatory process. The bill also gives the minister the authority to issue marketing authorizations to exempt a product or the advertising of a product from certain provisions of the law. These measures will give the minster more authority and will reduce regulatory oversight.

With regard to jobs, Bill C-38 repeals the Fair Wages and Hours of Labour Act, which was created in the 1930s to set wage standards and a minimum number of hours of work for construction workers hired for projects funded by the federal government. In practice, the elimination of these minimum standards will allow employers to get around the rates set by unions.

Bill C-38 also amends the Employment Equity Act so that it no longer applies to federal contracts. This is a direct attack on women, aboriginal people and visible minorities. In fact, it was recommended 10 years ago that the employment equity provisions for the federal contractors program be strengthened. Instead, this government is weakening these provisions.

We need to be real on the loss of jobs. The Canadian Centre for Policy Alternatives stated, “In total, federal spending cuts could lead to the elimination of over 70,000 full-time equivalent positions”. These are not only public sector losses; about half of these jobs will be lost in the private sector.

Canadians want real action on the economy. In the fall, the New Democrats tabled a motion that called on the government to take immediate action to grow our economy and create jobs. The Conservatives supported the motion, but the budget does not fit the bill. Instead, it focuses on slashing vital services and gutting environmental regulations.

The New Democrats are focused on addressing the real priorities of Canadian families: jobs, health care, pensions and protecting our environment. The New Democrats have a plan that will improve health services for all Canadians, reward the real job creators, strengthen benefits for seniors and take actions to fight climate change.

I will close by saying that this bill is a massive omnibus bill that goes far beyond the budget. Bill C-38 would enact numerous changes that will limit the ability of Canadians and MPs to hold the government accountable. The Conservatives are trying to ram previously unannounced measures through Parliament without allowing Canadians and their MPs to thoroughly examine it. This is not democracy in action.

[Colin Carrie, Conservative, Parliamentary Secretary to the Minister of Health]

Madam Speaker, I thank my colleague from Nickelback for his speech, but I would like him to explain the NDP math that he is using. He quoted in his speech that we are cutting health care.

Being the Parliamentary Secretary to the Minister of Health, I understand that the health care system is important to Canadians. We have consistently increased the transfers to the provinces and territories by 6%. This year is no exception, and we are transferring 6% to the provinces and territories.

In my province, which is also his province, the premier has said that he will be holding health care to a 3% increase. Therefore, he will have an extra 3% of federal transfers to utilize, supposedly, on health care.

How does the member come up with calling a 6% increase a cut? Could explain that math? Also, what will his premier be doing with the extra 3% that we will be allotting him this year for health care?

[Claude Gravelle, NDP, Nickel Belt, ON]

Madam Speaker, first, I will correct two things. I would like to be a member of Nickelback but I prefer to be a member for Nickel Belt. Second, the Premier of Ontario is not my premier. I want nothing to do with him. I want to make that very clear.

What concerns me with the budget bill, Bill C-38, is the raising of the age for OAS from 65 to 67. This will cause many seniors to have to work two years longer. It will cause them to live in poverty. According to the Conservatives' own Parliamentary Budget Officer, OAS is sustainable.

The member talked about health care. I can assure him that the health care in Ontario is not the best and that we need more services. For example, in our hospital in Sudbury, the waiting time for emergency services is 19 hours. Therefore, the Conservatives are not doing enough in cutting health care.

[Ted Hsu, Liberal, Kingston and the Islands, ON]

Madam Speaker, regarding the raising of the qualifying age for old age security, if we look at the lowest tenth, the lowest decile of income earners, and the health adjusted life expectancy for low-income people, we find that it has not really increased very much. It is around 60 years of age to 65 years of age, depending on whether one is male or female.

I have heard on the other side that people are living longer and that they are healthier. However, if we look at the people who really need old age security and the guaranteed income supplement, the lowest decile of income earners, when they get to around 60 years old or 65 years old, life sucks. They have reached the typical health adjusted life expectancy and their life becomes very difficult around that age. I would like to know my colleague's thoughts on that.

I think it is very important to focus on the people who need old age security, to look at what their life expectancy is and what their health and quality of life is when they get to around 65 years of age.

[Claude Gravelle, NDP, Nickel Belt, ON]

Madam Speaker, my colleague is right. The only seniors who receive OAS are the poorest of the poor. The ones who do not make enough money on CPP are lifted out of poverty through the OAS system.

Of course, the members on the Conservative front bench do not really care about that. As they would not qualify for OAS because of their massive federal pensions, it is of no concern to them. However, it certainly is a concern to those of us who care about the seniors across the country.