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

[Stephen Woodworth, Conservative, Kitchener Centre, ON]

Madam Speaker, it is a very astute observation that the NDP members refuse to actually debate what is in the budget. All they want to talk about is process, and that is because what is in the budget is really beyond debate. It has been so well received across Canada that there is nothing they can say to criticize it.

[Carol Hughes, NDP, Algoma—Manitoulin—Kapuskasing, ON]

Madam Speaker, I am happy to add my voice to the debate on the omnibus budget implementation act, Bill C-38. The budget is being described as a Trojan Horse, and for good reason. It is yet another omnibus bill from a government that favours broad, sweeping legislation that defies appropriate scrutiny and oversight. It is another attempt to baffle Canadians with a huge bill that does too much.

To top it off, we have time allocation on it, which is no longer a surprise from a government that seems to consider closure as a normal feature of the parliamentary cycle. That is why we say it is a Trojan Horse, and it is on a fast track to boot.

However, as the official opposition we have given the government the opportunity to appear to be a little more democratic and have proposed a solution to make Bill C-38 better match the way that Parliament is supposed to work. In fact, New Democrats are really just calling for respect for Parliament and long-standing tradition when we say that the budget should be split into five separate, manageable pieces of legislation.

It is the right thing to do. At the very least, it would allow for proper scrutiny by this House and from the appropriate committees. Sadly, we know that the government feels the need to rush this bill past Canadian eyes and will not consent to the reasonable oversight that is the job of Parliament and parliamentarians. In that respect, we are not being allowed to do our job, and that is a shame.

Before I go any further, there is something I would like to address right away, and that is how the Conservatives apply their own logic to NDP decisions. I am sure there will come a day when the Conservatives will point out the few useful measures in this budget and criticize the NDP for not supporting them.

However, I would like to point out that we absolutely cannot support the budget because this is really an omnibus bill—and it is therefore impossible to study it thoroughly—and because blind environmental deregulation is the dominant theme.

I hope the Conservatives will remember this before they engage in their revisionist history, but I might as well believe in the goose that lays the golden eggs; there are so many other things that I would rather see and hope for. The NDP understands that this budget does not at all reflect Canadians' priorities.

New Democrats are listening, and we know that Canadians do not want their environment gutted in the name of economic expediency. Canadian families do not want regulations tossed aside because they are not convenient for big oil and foreign investors who only want to export Canada's resources with a minimum benefit to Canadians, but that is what the budget does.

Canadians do not believe there should be a time limit on processes designed to protect our environment. That speaks to a mindset that does not appreciate nature's delicate balance. I am reminded of the phrase “fools rush in”; those words are not the lyrics of a song, but an age-old maxim that speaks to the wisdom that time and perspective allow for. When we are dealing with things as sensitive as the great salmon and steelhead rivers that are part of the constituency represented by my friend the member for Skeena—Bulkley Valley, there can be no such thing as taking too much time to make the right decision, and I am sure that the majority of Canadians feel the same as we do in the official opposition feel.

New Democrats know that Canadians do not want to gamble with our children's future, but that is what a full one-third of this budget does.

New Democrats get it. They get it that Canadians do not want power concentrated more and more at the cabinet level, but that is what this budget would do by allowing the cabinet to overturn National Energy Board rulings that it does not like. These are not the priorities of Canadian families, who want their environment to be protected; they are the priorities of investment bankers, who want to win at any cost, and that is not the Canadian way.

We are being asked to gut environmental regulations and legislation that other Parliaments have carefully considered. We are being asked to undo years and decades of work in just one week of debate. How is that reasonable? It is not, and Canadians will not be fooled.

Over these past few weeks we have watched the Minister of Natural Resources rushing about, claiming that the sky will fall if Parliament does not fast-track the budget and that somehow our energy reserves—the ones that the government cannot get out of Canada quickly enough—will be cast aside as undesirable by big oil and international investors if we do not move fast.

However, that is not the case at all. The only thing that will happen if we do not swiftly gut our environmental regulations and rig the deck for big oil is that Canadians will pay attention to what the government is up to and rain down a chorus of disapproval.

It shows us how the government is worried that downloading federal environmental responsibilities and dumping those costs onto the provinces, territories and future generations will come under the watchful eye of most Canadians who actually care about the environment, and that what is left of their support will disappear.

The government is worried that anglers will figure out what is happening to the Fisheries Act and that cottagers and campers will start to wonder if their lake is next. I know this much: Canadians did not want protection of fish habitat removed from the Fisheries Act and replaced with market-based language. Canadians get it. They understand that fish live in ecosystems that are complex webs of food items and interdependencies.

This is knowledge shared by elementary school students who study basic science, but it is ignored by a government keen to remove all barriers to development so that it can please its friends who want to fast-track a pipeline through some of the most pristine parts of British Columbia.

It is a bit much to see the changes to the Fisheries Act. They came just days after I received an update from the Bright Lake Association celebrating the fact that the water in the lake was so pure that it could sustain a population of northern redhorse suckers, a fish that can be considered an indicator species for excellent waterway health, much like the proverbial canary in the coal mine. Those suckers will not receive any protection under the amended Fisheries Act; the preoccupation of the act is now commercial and sport fisheries, not habitat and systems.

If we ask someone who fly-fishes about how fish habitat works, that person will tell us about bugs that grow under rocks and mate in trees. They will tell us about prey fish, like sculpin and stickleback, that will lose protection if the Fisheries Act is changed to discard the protection of fish habitat. The government claims it is only helping farmers who have been hamstrung by the Fisheries Act, but the government is not acknowledging that there are other ways to fix those problems. It claims it is stopping the Fisheries Act from protecting unnatural habitats; we know that the government knows all about unnatural waterways and fake lakes.

We also know that the government has spent more hard-earned tax money for self-promotion in the past few years than it has for protecting the Great Lakes. I and my colleague from Thunder Bay—Rainy River and many communities across northern Ontario know that the government has actually cut funding for the Lake Superior Binational Forum, and we are extremely concerned.

It had no end of cash to tell us what a great job it was doing to build that infamous fake lake. I say Great Lakes over fake lakes every time, and the government should get back to protecting fish habitat in Canada or the anglers of this country will be casting for something in the next election that the Conservatives will not like at all.

What is obvious is that the budget marks a crossroads in Canada. It attempts to put an end to publicly scrutinized development of resources and puts blind faith in private sector self-regulations and regulators. It marks the end of a national vision and the ascent of a mindset that sees Canada as a corporation.

We now have two very distinct political parties in Canada. One believes in science-based, carefully considered regulatory practices and reporting. It is a party that sees the benefit of careful consideration and long-term planning for our natural resources. It cherishes the treasure we have inherited and must carefully steward and ultimately deliver to future generations.

The other party wants to rig the deck for its corporate friends. It guts our environmental legislative and regulatory framework. It wraps itself in small, divisive issues, but it sets to work on great sweeping changes that cut to the heart of the Canada most of us cherish.

The Conservatives see only opportunity and blind themselves to negative outcomes while they deafen themselves to dissenting opinion. They have little regard for things like endangered species, and are well on the way to becoming as--

[The Deputy Speaker, Denise Savoie]

Questions and comments. The hon. member for Vancouver Quadra.

[Joyce Murray, Liberal, Vancouver Quadra, BC]

Madam Speaker, I was pleased to hear my NDP colleague refer to the two approaches. She was clearly referring to the Liberal Party of Canada when she was talking about the party that stands for a thoughtful, careful science-based approach to resource development and environmental protection, because that is what the Liberal Party has shown over many generations.

My question for the member is on rural economic development. I am concerned about the budget of the Canadian Tourism Commission being cut 20%. The commission promotes tourism, which is important to our rural areas. The economic development agencies are being slashed, WED out west is losing $30 million and EI payroll taxes are going up.

Could my colleague comment on how the budget would impact small and medium-sized enterprises and tourism?

[Carol Hughes, NDP, Algoma—Manitoulin—Kapuskasing, ON]

Madam Speaker, I certainly was not referring to the Liberals. While the Liberals signed and ratified the Kyoto protocol, they did nothing to try to reduce our emissions until it was too late. They voted in favour of previous budgets, which began the Conservative government's work of unravelling environmental protection in Canada. They supported measures that rolled back navigable waters protection and weakened environmental assessment by exempting hundreds of projects. I certainly was not talking about them.

I am concerned with respect to the impact that this bill would have on small businesses and on the economy as a whole. The government is putting people out of work and it is telling us that its goal is jobs, growth and long-term prosperity. I do not know how it can do that.

I would add that we have a lot of concerns with respect to business, which is extremely important in northern Ontario especially.

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

Madam Speaker, just for the purpose of historical accuracy, it should be noted that there were good climate plans put in place, although late in the day, by the previous Liberal government, that were cancelled by the current government.

My question for my colleague relates to the Fisheries Act. I am so thrilled to hear someone in the House talk about suckers and sculpins because they would not be protected by this new approach to fisheries.

The bill, probably unintentionally, would create an incentive for the mining industry to drain a lake, remove all the fish, destroy the habitat and to then have a dry hole into which it can place tailings rather than go through an approval process to add tailings to an existing lake. That is the kind of bad consequence that happens from a rushed piece of legislation.

[Carol Hughes, NDP, Algoma—Manitoulin—Kapuskasing, ON]

Madam Speaker, coming from Elliot Lake, I know a lot about tailings.

I will elaborate a bit more on the impact this would have on some of our communities. I have an email from Ian Ross in Elliot Lake with regard to the end of local weather reporting in that community. Mr. Ross told me that he was concerned on a personal level because it was convenient to know what the local conditions were. Now the planes landing in Elliot Lake, which bring workers to Elliot Lake at times, will not know what the weather is like there for them to land. That is extremely concerning. This is another way of seeing how the government's actions are negatively impacting our communities.

[Marjolaine Boutin-Sweet, NDP, Hochelaga, QC]

Madam Speaker, in my opinion, the budget that was presented has a very short-term vision, despite its size. For instance, in terms of the environment, would my colleague agree that this short-term vision will be even more costly in the future?

[Carol Hughes, NDP, Algoma—Manitoulin—Kapuskasing, ON]

Madam Speaker, absolutely; we are very concerned about this. I touched on that in my speech. These changes will definitely have a huge impact on future generations. I do not know what they plan to leave for future generations, but we certainly do not want to see it, because we know what is going to happen.

[Patrick Brown, Conservative, Barrie, ON]

Madam Speaker, in advance of March's budget, I had the opportunity earlier this year to discuss creating job opportunities and economic growth in Canada with a wide variety of stakeholders in my riding of Barrie, Ontario. Included in these consultations were a number senior staff in the city of Barrie: cultural leaders, such as real estate brokers, hospital administrators, health care professionals, YMCA executives, outreach staff members, seniors issues advocates, faith leaders, lawyers, tourism representatives, grassroots media and business people from a wide variety of areas, including manufacturing, financial services, transportation, construction and home heating.

Each of those participants provided insightful contributions from different aspects of our city. Many shared the same concerns as all Canadians: ensuring good jobs are available, keeping taxes low, investing in long-term growth and ensuring sustainability for generations of retirees.

With over $63 billion in targeted stimulus, Canada's economic action plan helped protect Canada from the worst of the global recession and the city of Barrie had tremendous support from the federal government during these tough times.

Through the steady leadership of our Prime Minister and our Minister of Finance, we have seen Canada's economy expand for nine of the last ten quarters. We have seen Canada create close to 700,000 net new jobs just since July 2009. Canada's unemployment rate is significantly lower than that of the U.S., a phenomenon that has not been seen in nearly three decades.

Overall, since we have formed government in 2006, over 1.2 million net new jobs have been created. Even better, Canada has had, by far, the best rate of job growth in the entire G7 since 2006.

Canada has the lowest overall tax rate and new business investment in the G7. Our net debt to GDP ratio remains the lowest in the G7 by far and we have the lowest overall tax rate on new business investment in the G7. Both the independent International Monetary Fund, IMF, and the Organisation for Economic Co-operation and Development, OECD, forecast that Canada will be ahead of the pack for economic growth in the G7 for the years ahead.

I am particularly proud to say that Canada has maintained its AAA credit rating through the period of economic downturn and uncertainty, something that has rocked nations from around the world.

However, the global recovery remains fragile, especially in Europe and the United States, and too many Canadians are still looking for work. That is why I am so pleased to see that budget 2012 is clearly focused on jobs, economic growth and ensuring Canada's economic advantage remains strong today and into the long term.

One of the most important exercises in ensuring future success is for us to return to balanced budgets. Before the global recession hit, our Conservative government paid down over $37 billion of debt, bringing Canada's debt to its lowest level in an astonishing 25 years. Our fiscal responsibility and aggressive debt reduction plan placed Canada in the best possible position to weather the global recession when the global recession hit. We made a deliberate decision to run a temporary deficit to protect our economy and jobs, and all parties in Parliament agreed.

Reducing debt frees up tax dollars that would otherwise be used to cover interest costs, keep interest rates low and, most important, ensure lower taxes for Canadian families.

Our plan to get back to balanced budgets is working. In the past two years we have already cut the deficit in half.

In 2010, we started down the road to balanced budgets by winding down temporary stimulus spending, putting into place targeted spending restraint measures and reviewing government administrative and overhead costs. In 2011, we continued to return to balanced budgets by delivering over half a billion dollars in new ongoing savings.

In 2012, we are building on our existing efforts by refocussing government, making it easier to deal with and streamlining back-office administration to achieve $5.2 billion in ongoing savings for taxpayers. Almost 70% of the savings will come from eliminating waste in internal operations of government, making it leaner and more efficient. These modest savings, less than 2% of federal program spending, will help ensure that Canada returns to balance over the medium term, while also respecting taxpayer dollars.

Unlike what other parties in the House would do if they had the chance, our Conservative government will not raise taxes and, unlike the former Liberal government, we will not slash health, education and support for seniors through provincial transfers.

Economic action plan 2012 demonstrates our Conservative government's strong support for my home province of Ontario through record federal transfer support for hospitals, schools and other critical services. Totalling $19.2 billion in the 2012-13 fiscal year, the transfer support represents an increase of nearly $8.4 billion, or 77%, since the former Liberal government was removed from office by the voters of Canada. We are continuing the long-term stable funding arrangement with the provinces for health care social services that will see transfers reach historic levels of $40 billion by the end of the decade.

As indicated by the recent Canadian Institutes of Health Research information data, federal transfers are projected to grow faster than average provincial spending in health care. We are leading in health care investment.

Federal support for health care will keep growing every year beyond the record levels the federal government already invested since 2006 and in a way that is both predictable and, most important, sustainable. This will help ensure Canada's health care system, including doctors and nurses, will be there when Canadians and their families need them most. This is very good news for all Canadians.

Balancing the budget and reducing debt interest costs help keep interest rates low and instills confidence in the Canadian economy, allowing families and businesses to plan for the future. It will also ensure sustainability of Canada's social programs, like health care, for future generations. I applaud our Minister of Finance for the responsible, realistic and common sense approach contained in this budget.

Another key area of prudent fiscal management is to stop unnecessary spending. There is probably no better example of this than the elimination of the penny. By stopping the production of the penny this fall, our government will do what should have been done years ago. An independent study estimated that the economic cost of maintaining the penny amounted to $150 million. The penny has lost its purchasing power over the years and now most are hoarded, resulting in a useless expense for Canadian taxpayers. In fact, taxpayers pay 1.6¢ for each new penny made. This costs taxpayers $11 million every year.

After hearing strong support from consumers, retailers and small businesses, a recent public study by the Senate committee recommended the elimination of the penny. I am pleased to tell Canadians that this government absolutely concurs. Eliminating the penny is a lot like the penny itself. Producing pennies may not seem like much in the context of the entirety of the federal budget, but every penny makes a difference. However small things may seem, they can certainly add up to something significant over time. Former U.S. president Ronald Reagan once said that government was the people's business and that every man, woman and child becomes a shareholder with the very first penny of tax paid. We have a responsibility to our Canadian shareholders. No amount of cost is insignificant, no amount of waste is acceptable.

Canadian families deserve the cleanest air, water and environment possible. That is why, since 2006, our Conservative government has made major investments to preserve our environment and to protect the health and well-being of Canadian families for today and tomorrow. Economic action plan 2012 builds on our Conservative government's impressive record for supporting a cleaner and more sustainable environment. The budget proposes $50 million over two years for the protection of wildlife species at risk. The Species at Risk Act is one of the government's main conservation tools to protect wildlife species, maintain healthy ecosystems and preserve Canada's natural heritage.

We are also committing to the creation of a new near-urban national park in Rouge Valley, Ontario, only 40 minutes south of beautiful Barrie, Ontario. I am particularly pleased with our commitment to the continued support of Canada's lakes, including Lake Winnipeg and Lake Simcoe. In 2008, the federal government's unprecedented $30 million funding for the Lake Simcoe cleanup was an extremely welcomed initiative for the residents of Simcoe county and Barrie. To see included in this year's budget a commitment to continue the cleanup of Lake Winnipeg and Lake Simcoe is a wonderful thing.

The cleanup of the lake has had dramatic effects. For four decades, phosphorous levels have gone up. High phosphorous levels mean a reduction of marine habitat. It means excessive weed growth. For the last four years, because of this federal funding, we have seen the lake become cleaner. We have seen phosphorous go down for the first time. It is a remarkable achievement in cleaning up our lake.

We are improving conditions for businesses, for environment and for Canadian families.

I want to commend the Minister of Finance for a prudent, responsible budget that I believe protects and enhances the best interests of Canadians from coast to coast to coast.

[Peggy Nash, NDP, Parkdale—High Park, ON]

Madam Speaker, the hon. member from Barrie, who like me, represents a riding in Ontario where unemployment has been persistently high. How can he account for the fact that under the government, between 2007 and 2011, according to Statistics Canada, temporary foreign workers account for about 30% of all net new paid employment? This is before the changes that the government will bring in under the budget that will allow temporary foreign workers to be brought in on 10 days notice and be paid 15% less than the so-called going wage, which will drop as we get more and more temporary foreign workers. These workers, as we know, are not just working in agriculture or in northern Alberta, they are in workplaces across Ontario. How does he account for that?

[Patrick Brown, Conservative, Barrie, ON]

Madam Speaker, there are things we can look at in our immigration system. The focus of my speech today is on the budget. However, in terms of job creation and foreign worker permits, there are some parts of the country where there are significant human resource shortages, which is an important tool of the immigration system.

Let me talk about the creation of jobs. I think that is what the member is interested in. One thing the budget does, this economic action plan, is it takes steps to encourage entrepreneurship, innovation and world-class research, with over $1.1 billion in significant investments for research and development, $500 million for venture capital, support for increased public and private research collaboration and much more. These initiatives create jobs.

Supporting industrial research pays dividends. In my own riding of Barrie, there was a partnership with Wolf Steel to create a high efficiency furnace. It was mentioned on page 62 of the budget as an example of job creation through innovation. That is the type of job creation on which we need to focus.

[Mark Eyking, Liberal, Sydney—Victoria, NS]

Madam Speaker, I have two questions on the budget. I see two big hits. The first is in Cape Breton, where the Conservatives are cutting jobs in Parks Canada and Veterans Affairs.

The other is with CIDA. There are over $380 million in cuts. Many NGOs will be unable to help Canadians develop and deliver aid. Recently I heard about the Canadian Nurses Association that does great work around the world with CIDA, and the Conservatives have cut its funding.

Where is a good part for Cape Breton or international aid in the budget? I do not see it.

[Patrick Brown, Conservative, Barrie, ON]

Madam Speaker, Canada, on a per capita level, has been one of the largest donors toward international aid. Canada still contributes huge amounts.

In February, I had a chance to go on an all party visit to Tanzania with the good member from Newfoundland. The Canadian contributions there made incredible differences. We can see in many areas of the world where CIDA has made huge differences, and continues to do so.

When it comes to this budget, every department looked at efficiencies and more effective ways of spending.

When the last significant recession hit in the 1990s, a Liberal government was in power. The decision was to slash particularly one area, health care. It also slashed the area of education. Those were areas that Canadians could not afford to have slashed. I am happy this budget has been balanced in the medium term. We have had a prudent approach with small efficiencies in a wide variety of departments, not focusing on one area like gutting the health care system. We still face the consequences of the Liberal gutting of the health care system in the mid-1990s today. We are facing doctor shortages and hospitals at capacity because of the short-sighted decisions made during that administration.

I am happy this budget took a much more responsible and prudent approach to ensure efficiencies were found across the board in a much more even manner.

[Andrew Saxton, Conservative, Parliamentary Secretary to the President of the Treasury Board and for Western Economic Diversification]

Madam Speaker, I appreciate this opportunity to stand in support of Bill C-38, the jobs, growth and long-term prosperity act, the key legislation to implement the economic action plan 2012.

Our Conservative government, as demonstrated through today's act, is focused on what matters to Canadians, which is keeping the economy on the right track. In that regard, the nearly 700,000 net new jobs Canada has created since July 2009, 90% of those being full-time jobs, is a positive sign we are on the right track for Canadian families.

Indeed, a recent Wall Street Journal editorial praised Canada's economic leadership focus on private economic growth and its sound policies as a model for others to follow. As CIBC World Markets chief economist Avery Shenfeld recently declared:

Canada’s federal government remains the very picture of health, standing head and shoulders above many developed countries in terms of fiscal sustainability.

Nevertheless, we recognize global economic turbulences remain today and too many Canadians are still looking for work. That is why the economic action plan 2012, legislated through Bill C-38, takes responsible, positive action to support the economy now and over the long term, while keeping taxes low and returning to balanced budgets.

This plan has been largely welcomed by Canadians from coast to coast to coast, save the ideological NDP opposition.

For instance, the Vancouver Board of Trade, representing thousands of businesses in the Lower Mainland, assigned an overall grade of A to the economic action plan 2012, noting:

The federal government's reasonable and prudent 'game plan' continues to be the right one for British Columbia and Vancouver, and it remains the right strategy for Canada within a challenging global economic environment

For the remainder of my time today, I want to focus on the aspects of the jobs, growth and long-term prosperity act that deal with responsible resource development and how we have found the right balance between economic and environmental priorities.

Let me be clear. Our Conservative government is committed to being proactive in our stewardship of our national treasures, preserving them so we can pass them down to future generations. However, unlike the ideological NDP, we recognize that a healthy environment and a strong economy go hand in hand. Major economic projects create jobs and spur development across Canada.

In 2011 alone, the natural resource sector employed over 790,000 Canadians in communities throughout the country. It is predicted that in the next 10 years more than 500 major economic projects, representing $500 billion in new investments, are planned across Canada.

Increasing global demand for resources, particularly from emerging economies, will create new economic and job opportunities from which all Canadians will benefit. Canadians will only reap the benefits that come from our natural resources once investments are made by the private sector to bring the resources to market. Currently conditions are hardly ideal for any business that wants to do so.

Canadian businesses in the resource sector that wish to undertake major economic projects must navigate a complex maze of regulatory requirements and processes. Approval processes can be long and unpredictable. Delays and red tape often plague projects despite few environmental risks. In the federal government alone, accountability for assessments rests with dozens of departments and agencies, each with its own mandate, processes, information needs and timelines. This leads to duplication and the needless waste of time and resources.

The starting point of federal environment assessments can also be unpredictable, which can cause lengthy delays. This leads to delays in investment and job creation, and some plans are even abandoned because of them. Frankly, that is unacceptable.

As stated in a recent Vancouver Sun editorial:

Currently, worthwhile projects are needlessly bogged down in repetitive environmental and regulatory assessments that increase costs to industry without adding value for Canadian taxpayers.

That is why we have worked hard, since 2006, to streamline and improve regulatory processes. However, more work still needs to be done. A modern regulatory system should support progress on economically viable and significant projects and sustain Canada's reputation as an attractive place to invest, all the while contributing to better environmental outcomes.

That is why we are focusing on four major areas to streamline the review process for major economic projects in economic action plan 2012, specifically making the review process for major projects more predictable and timely, reducing duplication and regulatory burdens, strengthening environmental protection and enhancing consultations with aboriginal peoples. This modernized federal regulatory system will establish clear timelines, reduce duplication, regulatory burdens and focus resources more effectively to protect the environment.

We will achieve the goal of one project, one review, in clearly defined time periods, something long overdue, especially for my home province of British Columbia. In the words of British Columbia's finance minister Kevin Falcon:

The moving to a one-permit, one-process approach on environmental assessments is extraordinarily important for British Columbia...We have many major, major projects on the table today that are in the billions of dollars that could have important ramifications for jobs and employment. I’m really encouraged by that...

He went on to say that what they always said about the environment was that they should not measure the environmental process based on how long the process took, that it should be measured based on outcome and that was what they believed in.

Rest assured our Conservative government also understands that long-term economic prosperity and a high quality of life requires a healthy and sustainable environment. That is why protecting Canada's environment and the health of Canadians is a key priority of this government.

For instance, the safe navigation of oil tankers is very important to our government. Oil tankers have been moving safely and regularly along Canada's west coast since the 1930s. For example, 82 oil tankers arrived at Port Metro Vancouver in 2011. Nearly 200 tankers visited the ports of Prince Rupert and Kitimat over the past five years. They all did this safely.

Canada's regulatory system had a lot to do with that. Oil tankers in Canada must comply with the safety and environmental protection requirements of international conventions, and while in Canadian waters, with Canada's marine safety regulatory regime.

These requirements include double hulling of ships, mandatory pilotage, regular inspections and aerial surveillance. In fact, in 2011 almost 1,100 inspections were carried out across Canada, 147 of them on oil tankers.

We have a strong system, but any responsible government must continually work to make it stronger. That is why economic action plan 2012 includes further measures to support responsible energy development, including: new regulations which will enhance existing tanker inspection regime by strengthening vessel inspection requirements; a review of handling processes for oil products by an independent international panel of tanker experts; improved navigational products, such as updated charts for shipping routes; research to improve our scientific knowledge and understanding of risks; and to manage the impacts on marine resources habitat and users in the even of a marine pollution incident, and much more.

As I indicated in my introduction, we must be vigilant in guarding our spectacular natural treasures, but unlike the NDP, we realize that Canada's economic prosperity cannot be sustained without a healthy environment, just as environmental progress cannot be achieved without a healthy economy.

That is why I urge all hon. members to join with me in supporting Bill C-38, the jobs, growth and long-term prosperity act, and supporting a stronger Canadian economy.