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Jobs and Growth Act, 2012

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

This bill is from the 41st Parliament, 1st session, which ended in September 2013.

Sponsor

Jim Flaherty  Conservative

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill.

Part 1 implements certain income tax measures and related measures proposed in the March 29, 2012 budget. Most notably, it
(a) amends the rules relating to Registered Disability Savings Plans (RDSPs) by
(i) replacing the 10-year repayment rule applying to withdrawals with a proportional repayment rule,
(ii) allowing investment income earned in a Registered Education Savings Plan (RESP) to be transferred on a tax-free basis to the RESP beneficiary’s RDSP,
(iii) extending the period that RDSPs of beneficiaries who cease to qualify for the Disability Tax Credit may remain open in certain circumstances,
(iv) amending the rules relating to maximum and minimum withdrawals, and
(v) amending certain RDSP administrative rules;
(b) includes an employer’s contributions to a group sickness or accident insurance plan in an employee’s income in certain circumstances;
(c) amends the rules applicable to retirement compensation arrangements;
(d) amends the rules applicable to Employees Profit Sharing Plans;
(e) expands the eligibility for the accelerated capital cost allowance for clean energy generation equipment to include a broader range of bioenergy equipment;
(f) phases out the Corporate Mineral Exploration and Development Tax Credit;
(g) phases out the Atlantic Investment Tax Credit for activities related to the oil and gas and mining sectors;
(h) provides that qualified property for the purposes of the Atlantic Investment Tax Credit will include certain electricity generation equipment and clean energy generation equipment used primarily in an eligible activity;
(i) amends the Scientific Research and Experimental Development (SR&ED) investment tax credit by
(i) reducing the general SR&ED investment tax credit rate from 20% to 15%,
(ii) reducing the prescribed proxy amount, which taxpayers use to claim SR&ED overhead expenditures, from 65% to 55% of the salaries and wages of employees who are engaged in SR&ED activities,
(iii) removing the profit element from arm’s length third-party contracts for the purpose of the calculation of SR&ED tax credits, and
(iv) removing capital from the base of eligible expenditures for the purpose of the calculation of SR&ED tax incentives;
(j) introduces rules to prevent the avoidance of corporate income tax through the use of partnerships to convert income gains into capital gains;
(k) clarifies that transfer pricing secondary adjustments are treated as dividends for the purposes of withholding tax imposed under Part XIII of the Income Tax Act;
(l) amends the thin capitalization rules by
(i) reducing the debt-to-equity ratio from 2:1 to 1.5:1,
(ii) extending the scope of the thin capitalization rules to debts of partnerships of which a Canadian-resident corporation is a member,
(iii) treating disallowed interest expense under the thin capitalization rules as dividends for the purposes of withholding tax imposed under Part XIII of the Income Tax Act, and
(iv) preventing double taxation in certain circumstances when a Canadian resident corporation borrows money from its controlled foreign affiliate;
(m) imposes, in certain circumstances, withholding tax under Part XIII of the Income Tax Act when a foreign-based multinational corporation transfers a foreign affiliate to its Canadian subsidiary, while preserving the ability of the Canadian subsidiary to undertake expansion of its Canadian business; and
(n) phases out the Overseas Employment Tax Credit.
Part 1 also implements other selected income tax measures. Most notably, it introduces tax rules to accommodate Pooled Registered Pension Plans and provides that income received from a retirement compensation arrangement is eligible for pension income splitting in certain circumstances.
Part 2 amends the Excise Tax Act and the Jobs and Economic Growth Act to implement rules applicable to the financial services sector in respect of the goods and services tax and harmonized sales tax (GST/HST). They include rules that allow certain financial institutions to obtain pre-approval from the Minister of National Revenue of methods used to determine their liability in respect of the provincial component of the HST, that require certain financial institutions to have fiscal years that are calendar years, that require group registration of financial institutions in certain cases and that provide for changes to a rebate of the provincial component of the HST to certain financial institutions that render services to clients that are outside the HST provinces. This Part also confirms the authority under which certain GST/HST regulations relating to financial institutions are made.
Part 3 amends the Federal-Provincial Fiscal Arrangements Act to provide the legislative authority to share with provinces and territories taxes in respect of specified investment flow-through (SIFT) entities — trusts or partnerships — under section 122.1 and Part IX.1 of the Income Tax Act, consistent with the federal government’s proposal on the introduction of those taxes. It also provides the legislative authority to share with provinces and territories the tax on excess EPSP amounts imposed under Part XI.4 of the Income Tax Act, consistent with the measures proposed in the March 29, 2012 budget. It also allows the Minister of Finance to request from the Minister of National Revenue information that is necessary for the administration of the sharing of taxes with the provinces and territories.
Part 4 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 4 amends the Trust and Loan Companies Act, the Bank Act, the Insurance Companies Act and the Jobs and Economic Growth Act as a result of amendments introduced in the Jobs, Growth and Long-term Prosperity Act to allow certain public sector investment pools to directly invest in a federally regulated financial institution.
Division 2 of Part 4 amends the Canada Shipping Act, 2001 to permit the incorporation by reference into regulations of all Canadian modifications to an international convention or industry standard that are also incorporated by reference into the regulations, by means of a mechanism similar to that used by many other maritime nations. It also provides for third parties acting on the Minister of Transport’s behalf to set fees for certain services that they provide in accordance with an agreement with that Minister.
Division 3 of Part 4 amends the Canada Deposit Insurance Corporation Act to, among other things, provide for a limited, automatic stay in respect of certain eligible financial contracts when a bridge institution is established. It also amends the Payment Clearing and Settlement Act to facilitate central clearing of standardized over-the-counter derivatives.
Division 4 of Part 4 amends the Fisheries Act to amend the prohibition against obstructing the passage of fish and to provide that certain amounts are to be paid into the Environmental Damages Fund. It also amends the Jobs, Growth and Long-term Prosperity Act to amend the definition of Aboriginal fishery and another prohibition relating to the passage of fish. Finally, it provides transitional provisions relating to authorizations issued under the Fisheries Act before certain amendments to that Act come into force.
Division 5 of Part 4 enacts the Bridge To Strengthen Trade Act, which excludes the application of certain Acts to the construction of a bridge that spans the Detroit River and other works and to their initial operator. That Act also establishes ancillary measures. It also amends the International Bridges and Tunnels Act.
Division 6 of Part 4 amends Schedule I to the Bretton Woods and Related Agreements Act to reflect changes made to the Articles of Agreement of the International Monetary Fund as a result of the 2010 Quota and Governance Reforms. The amendments pertain to the rules and regulations of the Fund’s Executive Board and complete the updating of that Act to reflect those reforms.
Division 7 of Part 4 amends the Canada Pension Plan to implement the results of the 2010-12 triennial review, most notably, to clarify that contributions for certain benefits must be made during the contributory period, to clarify how certain deductions are to be determined for the purpose of calculating average monthly pensionable earnings, to determine the minimum qualifying period for certain late applicants for a disability pension and to enhance the authority of the Review Tribunal and the Pension Appeals Board. It also amends the Department of Human Resources and Skills Development Act to enhance the authority of the Social Security Tribunal.
Division 8 of Part 4 amends the Indian Act to modify the voting and approval procedures in relation to proposed land designations.
Division 9 of Part 4 amends the Judges Act to implement the Government of Canada’s response to the report of the fourth Judicial Compensation and Benefits Commission regarding salary and benefits for federally appointed judges. It also amends that Act to shorten the period in which the Government of Canada must respond to a report of the Commission.
Division 10 of Part 4 amends the Canada Labour Code to
(a) simplify the calculation of holiday pay;
(b) set out the timelines for making certain complaints under Part III of that Act and the circumstances in which an inspector may suspend or reject such complaints;
(c) set limits on the period that may be covered by payment orders; and
(d) provide for a review mechanism for payment orders and notices of unfounded complaint.
Division 11 of Part 4 amends the Merchant Seamen Compensation Act to transfer the powers and duties of the Merchant Seamen Compensation Board to the Minister of Labour and to repeal provisions that are related to the Board. It also makes consequential amendments to other Acts.
Division 12 of Part 4 amends the Customs Act to strengthen and streamline procedures related to arrivals in Canada, to clarify the obligations of owners or operators of international transport installations to maintain port of entry facilities and to allow the Minister of Public Safety and Emergency Preparedness to require prescribed information about any person who is or is expected to be on board a conveyance.
Division 13 of Part 4 amends the Hazardous Materials Information Review Act to transfer the powers and functions of the Hazardous Materials Information Review Commission to the Minister of Health and to repeal provisions of that Act that are related to the Commission. It also makes consequential amendments to other Acts.
Division 14 of Part 4 amends the Agreement on Internal Trade Implementation Act to reflect changes made to Chapter 17 of the Agreement on Internal Trade. It provides primarily for the enforceability of orders to pay tariff costs and monetary penalties made under Chapter 17. It also repeals subsection 28(3) of the Crown Liability and Proceedings Act.
Division 15 of Part 4 amends the Employment Insurance Act to provide a temporary measure to refund a portion of employer premiums for small businesses. An employer whose premiums were $10,000 or less in 2011 will be refunded the increase in 2012 premiums over those paid in 2011, to a maximum of $1,000.
Division 16 of Part 4 amends the Immigration and Refugee Protection Act to provide for an electronic travel authorization and to provide that the User Fees Act does not apply to a fee for the provision of services in relation to an application for an electronic travel authorization.
Division 17 of Part 4 amends the Canada Mortgage and Housing Corporation Act to remove the age limit for persons from outside the federal public administration being appointed or continuing as President or as a director of the Corporation.
Division 18 of Part 4 amends the Navigable Waters Protection Act to limit that Act’s application to works in certain navigable waters that are set out in its schedule. It also amends that Act so that it can be deemed to apply to certain works in other navigable waters, with the approval of the Minister of Transport. In particular, it amends that Act to provide for an assessment process for certain works and to provide that works that are assessed as likely to substantially interfere with navigation require the Minister’s approval. It also amends that Act to provide for administrative monetary penalties and additional offences. Finally, it makes consequential and related amendments to other Acts.
Division 19 of Part 4 amends the Canada Grain Act to
(a) combine terminal elevators and transfer elevators into a single class of elevators called terminal elevators;
(b) replace the requirement that the operator of a licensed terminal elevator receiving grain cause that grain to be officially weighed and officially inspected by a requirement that the operator either weigh and inspect that grain or cause that grain to be weighed and inspected by a third party;
(c) provide for recourse if an operator does not weigh or inspect the grain, or cause it to be weighed or inspected;
(d) repeal the grain appeal tribunals;
(e) repeal the requirement for weigh-overs; and
(f) provide the Canadian Grain Commission with the power to make regulations or orders with respect to weighing and inspecting grain and the security that is to be obtained and maintained by licensees.
It also amends An Act to amend the Canada Grain Act and the Agriculture and Agri-Food Administrative Monetary Penalties Act and to Repeal the Grain Futures Act as well as other Acts, and includes transitional provisions.
Division 20 of Part 4 amends the International Interests in Mobile Equipment (aircraft equipment) Act and other Acts to modify the manner in which certain international obligations are implemented.
Division 21 of Part 4 makes technical amendments to the Canadian Environmental Assessment Act, 2012 and amends one of its transitional provisions to make that Act applicable to designated projects, as defined in that Act, for which an environmental assessment would have been required under the former Act.
Division 22 of Part 4 provides for the temporary suspension of the Canada Employment Insurance Financing Board Act and the dissolution of the Canada Employment Insurance Financing Board. Consequently, it enacts an interim Employment Insurance premium rate-setting regime under the Employment Insurance Act and makes amendments to the Canada Employment Insurance Financing Board Act, the Department of Human Resources and Skills Development Act, the Jobs, Growth and Long-term Prosperity Act and Schedule III to the Financial Administration Act.
Division 23 of Part 4 amends the Canadian Forces Superannuation Act, the Public Service Superannuation Act and the Royal Canadian Mounted Police Superannuation Act and makes consequential amendments to other Acts.
The Canadian Forces Superannuation Act is amended to change the limitations that apply in respect of the contribution rates at which contributors are required to pay as a result of amendments to the Public Service Superannuation Act.
The Public Service Superannuation Act is amended to provide that contributors pay no more than 50% of the current service cost of the pension plan. In addition, the pensionable age is raised from 60 to 65 in relation to persons who become contributors on or after January 1, 2013.
The Royal Canadian Mounted Police Superannuation Act is amended to change the limitations that apply in respect of the contribution rates at which contributors are required to pay as a result of amendments to the Public Service Superannuation Act.
Division 24 of Part 4 amends the Canada Revenue Agency Act to make section 112 of the Public Service Labour Relations Act applicable to the Canada Revenue Agency. That section makes entering into a collective agreement subject to the Governor in Council’s approval. The Division also amends the Canada Revenue Agency Act to require that the Agency have its negotiating mandate approved by the President of the Treasury Board and to require that it consult the President of the Treasury Board before determining certain other terms and conditions of employment for its employees.

Elsewhere

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

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-45s:

C-45 (2023) Law An Act to amend the First Nations Fiscal Management Act, to make consequential amendments to other Acts, and to make a clarification relating to another Act
C-45 (2017) Law Cannabis Act
C-45 (2014) Law Appropriation Act No. 4, 2014-15
C-45 (2010) Law Appropriation Act No. 3, 2010-2011

Votes

Dec. 5, 2012 Passed That the Bill be now read a third time and do pass.
Dec. 4, 2012 Passed That Bill C-45, A second Act to implement certain provisions of the budget tabled in Parliament on March 29, 2012 and other measures, {as amended}, be concurred in at report stage [with a further amendment/with further amendments] .
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Schedule 1.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 515.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 464.
Dec. 4, 2012 Failed That Bill C-45, in Clause 437, be amended by deleting lines 25 to 34 on page 341.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 433.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 425.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 411.
Dec. 4, 2012 Failed That Bill C-45, in Clause 369, be amended by replacing lines 37 and 38 on page 313 with the following: “terminal elevator shall submit grain received into the elevator for an official weighing, in a manner authorized by the”
Dec. 4, 2012 Failed That Bill C-45, in Clause 362, be amended by replacing line 16 on page 310 with the following: “provide a security, in the form of a bond, for the purpose of”
Dec. 4, 2012 Failed That Bill C-45, in Clause 358, be amended by replacing line 8 on page 309 with the following: “reinspection of the grain, to the grain appeal tribunal for the Division or the chief grain”
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 351.
Dec. 4, 2012 Failed That Bill C-45, in Clause 317, be amended by adding after line 22 on page 277 the following: “(7) Section 2 of the Act is renumbered as subsection 2(1) and is amended by adding the following: (2) For the purposes of this Act, when considering if a decision is in the public interest, the Minister shall take into account, as primary consideration, whether it would protect the public right of navigation, including the exercise, safeguard and promotion of that right.”
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 316.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 315.
Dec. 4, 2012 Failed That Bill C-45, in Clause 313, be amended by deleting lines 15 to 24 on page 274.
Dec. 4, 2012 Failed That Bill C-45, in Clause 308, be amended by replacing line 29 on page 272 with the following: “national in respect of whom there is reason to believe that he or she poses a specific and credible security threat must, before entering Canada, apply”
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 308.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 307.
Dec. 4, 2012 Failed That Bill C-45, in Clause 302, be amended by replacing lines 4 to 8 on page 271 with the following: “9. (1) Except in instances where a province is pursuing any of the legitimate objectives referred to in Article 404 of the Agreement, namely public security and safety, public order, protection of human, animal or plant life or health, protection of the environment, consumer protection, protection of the health, safety and well-being of workers, and affirmative action programs for disadvantaged groups, the Governor in Council may, by order, for the purpose of suspending benefits of equivalent effect or imposing retaliatory measures of equivalent effect in respect of a province under Article 1709 of the Agreement, do any”
Dec. 4, 2012 Failed That Bill C-45, in Clause 279, be amended (a) by replacing line 3 on page 265 with the following: “47. (1) The Minister may, following public consultation, designate any” (b) by replacing lines 8 to 15 on page 265 with the following: “specified in this Act, exercise the powers and perform the”
Dec. 4, 2012 Failed That Bill C-45, in Clause 274, be amended by adding after line 38 on page 262 the following: “(3) The council shall, within four months after the end of each year, submit to the Minister a report on the activities of the council during that year. (4) The Minister shall cause a copy of the report to be laid before each House of Parliament within 15 sitting days after the day on which the Minister receives it. (5) The Minister shall send a copy of the report to the lieutenant governor of each province immediately after a copy of the report is last laid before either House. (6) For the purpose of this section, “sitting day” means a day on which either House of Parliament sits.”
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 269.
Dec. 4, 2012 Failed That Bill C-45, in Clause 266, be amended by adding after line 6 on page 260 the following: “12.2 Within six months after the day on which regulations made under subsection 12.1(8) come into force, the impact of section 12.1 and those regulations on privacy rights must be assessed and reported to each House of Parliament.”
Dec. 4, 2012 Failed That Bill C-45, in Clause 266, be amended by adding after line 6 on page 260 the following: “(9) For greater certainty, any prescribed information given to the Agency in relation to any persons on board or expected to be on board a conveyance shall be subject to the Privacy Act.”
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 264.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 233.
Dec. 4, 2012 Failed That Bill C-45, in Clause 223, be amended by deleting lines 16 to 26 on page 239.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 219.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 206.
Dec. 4, 2012 Failed That Bill C-45, in Clause 179, be amended by adding after line 17 on page 208 the following: “(3) The exemption set out in subsection (1) applies if the person who proposes the construction of the bridge, parkway or any related work establishes, in relation to any work, undertaking or activity for the purpose of that construction, that the construction will not present a risk of net negative environmental impact.”
Dec. 4, 2012 Failed That Bill C-45, in Clause 179, be amended by adding after line 7 on page 208 the following: “(3) The exemptions set out in subsection (1) apply if the person who proposes the construction of the bridge, parkway or any related work establishes, in relation to any work, undertaking or activity for the purpose of the construction of the bridge, parkway or any related work, that the work, undertaking or activity ( a) will not impede navigation; ( b) will not cause destruction of fish or harmful alteration, disruption or destruction of fish habitat within the meaning of the Fisheries Act; and ( c) will not jeopardize the survival or recovery of a species listed in the Species at Risk Act.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 179.
Dec. 4, 2012 Failed That Bill C-45, in Clause 175, be amended by replacing lines 23 to 27 on page 204 with the following: “or any of its members in accordance with any treaty or land claims agreement or, consistent with inherent Aboriginal right, harvested by an Aboriginal organization or any of its members for traditional uses, including for food, social or ceremonial purposes;”
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 173.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 166.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 156.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 99.
Dec. 4, 2012 Failed That Bill C-45, in Clause 27, be amended by replacing line 22 on page 38 to line 11 on page 39 with the following: “scribed offshore region, and that is acquired after March 28, 2012, 10%.”
Dec. 4, 2012 Failed That Bill C-45, in Clause 27, be amended by deleting line 14 on page 38 to line 11 on page 39.
Dec. 4, 2012 Failed That Bill C-45, in Clause 27, be amended by replacing line 17 on page 35 with the following: “( a.1) 19% of the amount by which the”
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 3.
Dec. 4, 2012 Failed That Bill C-45, in Clause 62, be amended by replacing line 26 on page 134 with the following: “( b) 65% multiplied by the proportion that”
Dec. 4, 2012 Failed That Bill C-45, in Clause 9, be amended by replacing line 3 on page 15 with the following: “before 2020, or”
Dec. 4, 2012 Failed That Bill C-45, in Clause 9, be amended by deleting lines 12 and 13 on page 14.
Dec. 4, 2012 Failed That Bill C-45 be amended by deleting Clause 1.
Dec. 3, 2012 Passed That, in relation to Bill C-45, a second Act to implement certain provisions of the budget tabled in Parliament on March 29, 2012 and other measures, not more than five further hours shall be allotted to the consideration at report stage and one sitting day shall be allotted to the third reading stage of the said Bill; and at the expiry of the time provided for the consideration at report stage and at fifteen minutes before the expiry of the time provided for government business on the day allotted to the consideration of the third reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and in turn every question necessary for the disposal of the stage of the Bill then under consideration shall be put forthwith and successively without further debate or amendment.
Oct. 30, 2012 Passed That the Bill be now read a second time and referred to the Standing Committee on Finance.
Oct. 25, 2012 Passed That, in relation to Bill C-45, A second Act to implement certain provisions of the budget tabled in Parliament on March 29, 2012 and other measures, not more than four further sitting days shall be allotted to the consideration at second reading stage of the Bill; and That, 15 minutes before the expiry of the time provided for Government Orders on the fourth day allotted to the consideration at second reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and, in turn, every question necessary for the disposal of the said stage of the Bill shall be put forthwith and successively, without further debate or amendment.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 5:55 p.m.

The Acting Speaker Bruce Stanton

I would remind hon. members to address questions and comments through the Chair, and not directly to other members.

The hon. member for Winnipeg North.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 5:55 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, it is encouraging to see the New Democrats now supporting the Liberals in opposition to third reading of Bill C-45. After witnessing them vote more than a thousand times with the Conservative Party through hours and hours of committee work, I really do appreciate their coming on side with us at this stage of the game.

As the member has pointed out, there are other aspects of the bill that we need real answers to. This is just a bad bill. He tried to get unanimous support on one aspect of the bill, making reference to waterways. On my part I could talk about the electronic travel authorization that is being requested.

Does he not believe, as we in the Liberal Party do, that all in all this is just a bad bill and that the whole thing should be broken down into another legislative agenda?

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 5:55 p.m.

NDP

Pierre Dionne Labelle NDP Rivière-du-Nord, QC

Mr. Speaker, from the beginning, we have been suggesting splitting up this bill, because there is no common thread among it various components. It eliminates the commission on hazardous products. What does that have to do with the budget? We cannot help but wonder. I have no answer to that, but clearly, that commission gave workers handling hazardous products information about those products and how dangerous they are. Yet the Conservatives are eliminating that, which is completely inconceivable. Why did they throw everything into one bill?

My greatest fear is that this will set a precedent. It started with 60 laws. One day they will introduce a bill that amends 300 laws. They will pass the bill and MPs will have nothing left to say for the rest of the year because everything will have been said. I refuse to accept that kind of parliamentary process.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 5:55 p.m.

Conservative

Stephen Woodworth Conservative Kitchener Centre, ON

Mr. Speaker, it is an honour to rise today in support of Bill C-45, the Jobs and Growth Act, 2012, which includes measures to deliver job creation and economic growth.

Everyone in this chamber should realize that Canada's economic health is vital for all Canadians. We have to ensure both immediate and long-term economic growth. In introducing this bill, the government is taking a pragmatic approach to strengthening Canada's economy in the middle of global economic peril.

Opposition members have opposed the jobs and growth bill with procedural arguments, suggesting for example that there has been insufficient debate on the legislation. In reality, this bill has been debated in the House and in committee for many hours. The government invited 11 different committees to study and provide feedback to the House on the bill. The government is committed to timely and open debate on legislation.

The measures in the jobs and growth bill are reasonable in light of the economic challenges that Canada faces as a result of the global economy. I suppose that the procedural arguments proposed by the opposition are necessary only because they cannot find much of anything else to oppose in the very reasonable content of this bill.

Rather than considering the opposition's exaggerations, let us consider some facts. The fact is that in these unsteady economic times, Canada has proven to be a global economic leader. We have consistently been ranked very highly by international standards. Since July 2009 alone, over 820,000 net new jobs have been created in Canada. This is the highest level of job creation in the whole G7.

The World Economic Forum has rated our banking system the world's best. The IMF and the OECD have both projected that Canadian economic growth will be among the strongest in the G7. Canada also has the lowest debt to gross domestic product ratio in the G7. The major credit-rating agencies have affirmed Canada's AAA credit rating.

Such international acclaim is clear demonstration that the government is on the right track for economic success. It is clear that global economic uncertainty continues. Collectively, we in the House are responsible for ensuring that Canada stays on track to ensure economic success for future generations. We must support economic growth and job creation.

This bill prioritizes these two goals with targeted measures to ensure a strong economic outcome for Canada. For example, the hiring credit for small businesses is a targeted measure that will have a huge impact on job creation. In extending the hiring credit for small businesses, this bill aids Canadian small businesses, which drive the Canadian economy and are vital to stability.

A hiring credit for small businesses stimulates job growth because it alleviates the cost of hiring new employees. This creates greater economic opportunities. Last year alone, 534,000 employers took advantage of the up to $1,000 payroll credit, including many small businesses in my riding of Kitchener Centre. The hiring credit for small businesses works for Canadian business and it works for all Canadians. I am proud that our government introduced it and is now moving to extend it.

The Canadian Federation of Independent Business, which represents small businesses across our country, including Kitchener, has praised the hiring credit for small businesses. The CFIB has told us that the credit “makes it easier for them to continue to support Canada's economic recovery by creating jobs”.

This tax credit is a significant incentive for small to medium-size businesses to create new jobs, and its extension will be equally successful. All members of the House should be lining up to support a budget that contains such a measure.

Another example in the jobs and growth bill is the active steps taken to ensure that pension plans for federal public sector employees are fiscally responsible.

The solution to economic instability will not be found in raising taxes. Higher taxes would hinder the Canadian economy and kill jobs. This is not the avenue to pursue. Unfortunately, opposition members who oppose this bill repeatedly propose tax increases rather than job creation and economic growth. Economic prosperity for years to come will only occur through a low tax approach.

This bill not only takes the current economic climate into consideration but it is also forward-thinking. It would provide opportunities for Canadians to invest in the future. For example, in 2007, the government introduced the registered disability savings plan to help Canadians with disabilities and their families save money for long-term financial security. After much consultation, the jobs and growth act would improve upon the existing registered disability savings plan. The changes would allow more Canadians with disabilities to take advantage of the RDSP by allowing qualifying members to open an account for those who do not have a legal representative. There would be another change. As it stands, regardless of the amount withdrawn, a beneficiary is penalized for making a withdrawal from an RDSP account. Canada disability savings grants or Canada disability savings bonds received in the preceding 10 years are simply clawed back. This is unfair. This bill would provide for proportional repayment based on the amount withdrawn, a very sensible solution and one that every member in the House should support.

The bill would ensure the efficient implementation of the policies and measures introduced in the economic action plan passed in the House to support the economic future of all Canadians. Much of the content found in this bill would simply bring technical clarification to existing measures that have already passed in the House. For instance, this bill would deliver the necessary tax framework for pooled registered pension plans, which create an opportunity for all Canadians to participate in a structured pension plan for the first time ever. This is another way that the jobs and growth act would effectively support families and communities to provide for their long-term economic future.

Responsible resource development measures are yet another way in which the bill responds to our very real economic peril. Responsible resource development maximizes the potential of our resource sector, thus creating high-value jobs while enhancing environmental protection. Tighter, more effective regulation of development necessary to a growing population is essential for a growing economy. Environmental regulation should provide a clear framework to ensure measurable environmental outcomes, not requirements that have the effect of obstructing development without improving environmental outcomes. That is one of the goals of this bill.

It has been observed that a wise man will make more opportunities than he finds. During these times of economic uncertainty, it is important to be aggressive in creating initiatives to strengthen the economy. In this jobs and growth act, the government is being proactive about creating economic opportunities. The act's promotion of interprovincial trade, improvements of the legislative framework governing Canada's financial institutions, facilitating cross-border travel, the removal of red tape and the reduction of fees for Canadian grain farmers are just a few more examples of proactive measures that have the potential to really stimulate economic growth.

I very confidently support the jobs and growth act which would deliver job creation and economic growth. The targeted measures included in this act would ensure long-term economic strength to the benefit of my constituents in Kitchener Centre and all Canadians.

I call on all members of the House to join together in supporting these measures, join in leading Canadians safely through the stormy seas of global economic uncertainty that surrounds us.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:05 p.m.

NDP

Matthew Dubé NDP Chambly—Borduas, QC

Mr. Speaker, I am hearing a lot of talk about delays as though they were a bad thing. However, no one is talking about the reason for these delays. They are forgetting to say that constructive work is being done behind the scenes.

We rarely, if ever, hear our Conservative colleagues talk about the fact that these waterways, these rivers and lakes, are like a body with different connecting parts. I am thinking of the Richelieu River, which is the heart of my riding. Many rivers that are no longer protected connect to it.

What is more, the Montreal-Portland pipeline passes under the river. Signs to that effect are placed along the length of the river. This infrastructure has been there since 1960. Given that the environmental regulations that the member opposite seems to think serve only to cause delays did not exist at the time, we now have aging infrastructure that could leak oil and gas into the bottom of the river when the flow of oil is reversed.

I would like to know how the members opposite can have such a lack of understanding of the consequences, impacts and domino effect that the absence of these protections will have on our waterways.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:10 p.m.

Conservative

Stephen Woodworth Conservative Kitchener Centre, ON

Mr. Speaker, I think the member raises a good question, and it really does highlight the difference between this side and the other side.

We are not interested here in delay for the sake of delay. We are interested here in trying to improve environmental outcomes. For example, the government recently demonstrated its commitment to strengthening environmental protection by refusing consent to the Cenovus Energy project at Canadian Forces Base Suffield National Wildlife area in Alberta simply because it was not justified in the circumstances. There is no automatic green light when there are environmental issues.

On the other hand, we have the case of an aerial cable that was built by the Renfrew Hydro Electric Commission, and it required approval under the Navigable Waters Protection Act because it crossed over the Bonnechere River. It met all the standards for transmission lines over navigable waters, but it still took six months to approve that project with no measurable environmental outcome whatsoever.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:10 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, I find it interesting how the member tries to rewrite history to a certain degree.

A couple of years after Paul Martin left the Prime Minister's Office, we were into this huge global crisis, and he is trying to take credit for Canada being a global economic leader.

The reality of the situation is that the banking industry is a world leader because Prime Minister Chrétien and his cabinet resisted bank mergers during the 1990s.

In terms of converting a trade surplus and a budget surplus into deficits, Paul Martin had the surpluses and the Prime Minister converted them into huge deficits.

This particular bill has very little to do with the actual budget. It is only a small portion of it that is actually critically important to the budget. My question to the member is: Why did the government choose to have such a huge budget bill when in fact most of it is irrelevant to the actual passage of the budget itself?

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:10 p.m.

Conservative

Stephen Woodworth Conservative Kitchener Centre, ON

Mr. Speaker, my friend accuses me of rewriting history, but I happened to be around in the 1988 to 1992 election period when, in fact, the Liberal Party expressed its strong opposition to the GST. Talk about rewriting history. As soon as Mr. Chrétien was elected, he immediately reneged on that promise and the Liberal Party was gung-ho for the GST. It took a Conservative government to at least reduce the rate from 7% to 6% to 5%.

My colleague's comments make it clear that he did not get the point of my 10 minutes of talking about the fact that this budget implementation bill is necessary to stimulate jobs and growth. We need to be able to turn; we need to pivot on a dime, because of the economic crisis all around us. That means we have to have responsible resource development, we have to have investments in the knowledge economy and we have to have exactly what this budget implementation bill provides.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:10 p.m.

NDP

Élaine Michaud NDP Portneuf—Jacques-Cartier, QC

Mr. Speaker, I rise in the House today once again to express my strong opposition to Bill C-45, the second omnibus budget bill that the Conservatives have introduced since the beginning of this Parliament.

I am deeply disappointed that, for the 31st time, the Conservatives have decided to silence a number of members. They will not have the opportunity that I have right now to speak out against this bill, which is going to have a major impact on their constituents. All the same, I am pleased to have a chance to defend the interests of the constituents of Portneuf—Jacques-Cartier who are opposed to Bill C-45.

The government claims that this bill does nothing but implement measures already set out in the budget that was adopted last March and that it contains no surprises. We all know that this statement is totally false and that it is simply an attempt to mislead Canadians. This massive bill, with its more than 400 pages, contains many measures that were never announced when the budget was tabled and places even more power in the hands of Conservative ministers, something that we all want to prevent.

Right from the start, the NDP has deplored the fact that Bill C-45 is another attempt by the Conservatives to undermine hundreds of pieces of legislation without consulting with anyone and without having to account to anyone. The Conservatives are once again doing exactly the same thing they did the last time they introduced a budget bill, when they ripped holes in the Fisheries Act without consulting with fishers’ communities, when they made huge cuts to the employment insurance system, as if it belonged to them, without consulting the businesses or the workers that contribute to it, and when they made cuts to old age security and to health care transfers to the provinces. It is unbelievable that the same thing is happening again here in the House.

Despite our opposition and the opposition of thousands of Canadians throughout the country, the Conservatives are refusing to listen to reason and are forcing us to swallow a bill that will drastically affect the quality of our environment and the quality of Canadians’ lives today and well into the future. Even worse, the Conservatives are trying to hide the truth from Canadians by rushing the bill through as quickly as possible, without allowing members to give serious consideration to all the impacts that Bill C-45 will have on Canadians.

In the speech I gave in the House on this subject a few weeks ago, I mainly talked about matters of procedure and the anti-democratic nature of this bill. Since then, unfortunately, nothing has changed. We have seen this since the beginning of their mandate: the Conservatives have absolutely no scruples when it comes to limiting their opponents’ speaking time and flouting the democratic principles that have been at the heart of our parliamentary system since Confederation.

Bill C-45 is no exception to these new rules that the Conservatives want to impose on Parliament. The NDP has repeatedly asked this government to split this massive bill, so we can examine it in detail in committee and propose the amendments that are needed to make this bill acceptable, but of course the Conservatives have refused. Yes, a few committees were assigned to examine certain aspects of this bill, but given how little time the government allowed them to do their job, they were unable to hold reasonable and reasoned debates, and the vast majority of the witnesses who were called to appear were chosen by the Conservative government. We can all agree, therefore, that this process was neither very serious nor objective.

Obviously, the committee review was simply an attempt by the government to create an appearance of transparency and to silence the opposition, and nothing more. However, when we do exactly what this government is hoping Canadians will not do, and analyze Bill C-45 carefully, we can clearly see that a genuine examination of the provisions of this bill and the actual amendments is called for, because too many of these measures may well have disastrous consequences for the environment and our country's economy.

I am thinking, for example, of the changes made to the Navigable Waters Protection Act, which will become the Navigation Protection Act. Already, we have a good idea of what this government wants to do with it: forget about the fish, the environment, the flora and fauna, and focus on boats and navigation. That is all that counts. Once it is passed, Bill C-45 will eliminate the idea of protecting waterways from the act, and will no longer automatically require an environmental assessment when infrastructure is constructed on virtually all of the waterways in Canada. Once more, this shows what contempt the Conservatives have for protecting our environment.

If Bill C-45 passes as is, only 3 oceans, 97 lakes and 62 rivers in all of Canada will be protected and over 90% of those are in Conservative ridings. That raises some questions.

We must also remember that the provinces and municipalities will now be forced to protect waterways in their jurisdiction, even though they do not have the resources to do so. Of course, the government did not allocate additional resources—logistical or financial—to help the municipalities and provinces carry out this new task, now that the federal government is downloading its responsibilities.

Such measures could be catastrophic for a riding like mine, Portneuf—Jacques-Cartier, which has 2,258 lakes, rivers and streams. There is Jacques-Cartier River, which some may recall is currently contaminated with TCE. This government still refuses to acknowledge the crown's responsibility in the matter. There is also Sainte-Anne River, which crosses my riding on the Portneuf side; and Lac Saint-Augustin, one of the most polluted lakes in Canada that now, thanks to this government, will be even less protected than it was to begin with. There is Lac Simon, near Saint-Raymond-de-Portneuf; Rivière Montmorency, a rather large river in the region; Rivière aux Pommes, which goes through Neuville and the riding of Portneuf; and there are many more. I could name 2,258.

All these waterways play a vital role in my region's economy, which depends on industries such as tourism and recreational fishing.

We often hear the Conservatives say they are strong advocates for hunters, for obvious reasons, appalling reasons that I will not bother to repeat here in the House. However, we never hear them speak out on behalf of fishers. Recreational fishers come to my riding of Portneuf—Jacques-Cartier to take advantage of our ZECs, controlled harvesting zones. These people help drive the economy in my region. They come to enjoy the beautiful landscapes and natural resources that Portneuf—Jacques-Cartier is famous for. With this bill, there is nothing left. Developers can build a dam or a bridge anywhere they like, to the detriment of all the industries that depend on these waterways, but too bad. The bill introduced by the Conservatives does not contain any measures to do anything at all, apart from the fact that the provinces and municipalities can seek their own recourse.

How can the government justify its decision to stop protecting lakes and rivers in my region and across Canada to my constituents and to all Canadians? It is absolutely inconceivable.

Bill C-45 poses another major problem. I am talking about the changes to support measures for businesses conducting scientific research and experimental development. Many of my colleagues have already talked about this issue. I am glad they did, because this is a crucial part of the budget that needs to be changed.

So, quite simply, they decide to eliminate these measures and they also get rid of eligible investment costs. What they are really doing is cutting $500 million from this program and increasing taxes for businesses. The Conservatives will never present it to us this way, but this is exactly what they are doing. They are creating an increase for the small and large businesses that drive the economy. This is hardly very consistent with their message that they are champions of the Canadian economy. It is obvious that they are not.

Technology, productivity and innovation are essential elements that allow our businesses to compete on the international marketplace, and to compete with emerging countries, which will be setting up good R&D programs for their businesses.

Our businesses will simply leave and it is the manufacturing sector, which is still very significant in the Portneuf—Jacques-Cartier area, that will be directly affected by this ill-considered decision.

I would like to end quickly by saying that unless the bill is amended to reflect the priorities of Canadians, I will have to oppose it. I am going to take advantage of the fact that I still have some speaking time left to seek the unanimous consent of the House to move the following motion.

That, notwithstanding any Standing Order or usual practice of the House, Bill C-45, in clause 321, be amended by adding after line 13 on page 291, the following:

(2.1) as the addition of the navigable waters listed is deemed to be in the public interest, the governor in council may make regulations adding these to the schedule, as soon as practicable after the day this act is assented to, by indicating, with regard to lakes, their approximate location by latitude and longitude and, with regard to rivers, their approximate upstream and downstream points, with the description of the water body and, in the event that more than one water body bears the same name as listed hereinafter, it selects the one to be added to the schedule:

The list includes Raymond Lake, Salt Lake, Reindeer Lake, St. Augustin Lake, Creek Lake, Rat Lake, Kasba Lake, Aurora Lake, Anderson River, Tadek Lake, Morell Lake, Larocque Lake, Campbell Lake, Newland Lake and Thomas Lake.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:20 p.m.

The Acting Speaker Bruce Stanton

Does the hon. member for Portneuf—Jacques-Cartier have the unanimous consent of the House to propose this motion?

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:20 p.m.

Some hon. members

Agreed.

No.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:20 p.m.

The Acting Speaker Bruce Stanton

There is no consent.

Before we go to questions and comments, just a reminder to all hon. members that we have five minutes for questions and comments. I note there are many members who wish to pose questions to the member who just spoke, so I would ask members to keep their questions and responses succinct so more members will have the opportunity to participate in the question and comment period.

The hon. member for Winnipeg North.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:25 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, within this massive, unprecedented budget bill one aspect proposes to establish electronic travel authorizations. That means if individuals are from a country where a visiting visa is no longer required, or they are not American citizens, they would have to tap into the Internet to get pre-approved before coming to Canada. Very little debate, if any, has actually occurred in the House on that issue.

Does the member agree with the Liberal Party that this is one of the reasons why we need separate pieces of legislation as opposed to one massive bill of this nature in order for us to provide due diligence?

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:25 p.m.

NDP

Élaine Michaud NDP Portneuf—Jacques-Cartier, QC

Mr. Speaker, I thank my Liberal colleague for his question. He often speaks in this House, and so I am not surprised that he has a question.

As I have said on many occasions and as a number of my colleagues have also said, omnibus bills are undemocratic and do not allow us to focus on each element that we want to discuss.

This subject seems to stir emotions. I hope that my Conservative colleagues are reacting because they believe that omnibus bills are totally unacceptable.

Jobs and Growth Act, 2012Government Orders

December 3rd, 2012 / 6:25 p.m.

NDP

Raymond Côté NDP Beauport—Limoilou, QC

Mr. Speaker, the common cowardice of the person in a position of strength who abuses their power is the privilege of the government. For the umpteenth time, the government is unfortunately invoking closure. Let it take advantage of its position of strength. The immorality of this gesture will weigh heavily on it.

I really liked the speech by the member for Portneuf—Jacques-Cartier on this subject, as is often the case. The bill is quite lengthy and covers a lot of ground. In some ways, it is a draft.

I would like her to expand a bit on the problems with an omnibus bill that makes changes to many things, without any prior review and without respect for the people of Canada.