Mr. Speaker, it is my privilege to rise to speak in support of Bill C-476, tabled by the member for Outremont and leader of the official opposition.
Bill C-476, once enacted, would create an independent Office of the Parliamentary Budget Officer, separating it from the Library of Parliament where it is now; broaden the PBO's mandate and access to relevant information; require annual reports to the House of Commons and Senate; create a streamlined non-partisan process for appointment; and finally, ensure that the PBO is capable of understanding and working in both official languages.
Why are these proposed changes to the legislated mandate for the PBO so critical? The government created the PBO to support its once widely touted new transparent, accountable and open government. In fact, the Conservatives' 2006 electoral platform committed to create an independent parliamentary budget office authority to provide objective analysis directly to Parliament about the state of the nation's finances and trends in the national economy. As stated by the finance minister in 2006:
Canadians deserve to know the true state of their economy and to live within a budget which is based on accurate, open and honest figures. We must put an end once and for all to the previous government's habit of getting it wrong. Governments cannot be held to account if Parliament and Canadians do not know the real state of public finances.
The Prime Minister, in speaking of the PBO in 2006, stated, “Such a body would ensure that the government is genuinely accountable for taxpayers’ dollars and that we maintain fiscal discipline at the federal level.”
Now flash forward to 2013, where the selfsame Minister of Finance has had quite a change of heart now that the rigorous analysis that he once so enthusiastically supported has now exposed many problems. The finance minister made an accusatory comment about the PBO to the effect that he was wandering off from his mandate of reporting to Parliament on “how the government is doing in its budgeting”.
We note, as my colleague said, the comments by the member for Edmonton—St. Albert, that he is deeply chagrined and in fact has left the Conservative Party because it has strayed from its principles of openness and transparency and the members have morphed into what they formerly criticized.
Indeed, despite these early endorsements for open government and a strong role for the PBO, seven years later we witness case after case where the government has refused PBO requests for information necessary to delivery his statutory mandate including: estimated costs for the Afghan war, estimated costs for the F-35 fighter jets, the estimated deficit, sustainability of the OAS program and estimated impacts of cuts to the federal service on continued delivery of front-line services.
The mandate and services of the PBO have been found invaluable to the ability of MPs to do their job scrutinizing government estimates and spending. The PBO mandate appears to be quite clear to most, with the apparent exception of the very government that created the office. What is the mandate? The PBO was created in 2006 with the enactment of the Financial Accountability Act. This mandate is clearly prescribed in law “to provide objective analysis to the Senate and House of Commons about the estimates of the government, the state of the nation’s finances and trends in the national economy”. The PBO is also mandated to undertake research and assist committees in their review and analysis of estimates. Clearly, to deliver this mandate, the PBO must have ready and open access to financial and economic data.
Accessibility to all information has regrettably become a matter of ongoing contention for the former PBO. He was ultimately forced to seek a court ruling due to access denials. The court referral related to requests from the leader of the official opposition seeking the PBO's analysis of the effect of cuts to the federal public service on front-line services. Here is what the court ruled vis-à-vis the mandate of the PBO:
The Parliament of Canada has, by statute, mandated its budget officer to, among other things, “estimate the financial cost of any proposal that relates to a matter over which Parliament has jurisdiction” when requested to do so by any member of the House of Commons or any Senator.... In order to give effect to that mandate, subject to certain exceptions, section 79.3... the Parliamentary Budget Officer by request to the deputy head of a department, or delegate, is entitled to “…free and timely access to any financial or economic data in the possession of the department that are required for the performance of his or her mandate.”
In the course of my role on the government operations committee, we undertook, as well, a review of how members of Parliament could begin to do a more effective job of review of estimates and spending. In doing so, we heard from a number of experts.
One of the worldwide experts that has stated support for a strong parliamentary budget officer is the OECD. Our report noted that the OECD found that the best practices for budget transparency required that parliamentarians had the opportunity and the resources to effectively examine any fiscal report they deem necessary.
Our community heard from, among others, Dr. Joachim Wehner. Dr. Wehner is associate professor of public policy at the London School of Economic and Political Science. He testified that in order to improve scrutiny of estimates and supply:
The first...is to protect and enhance the role of the Parliamentary Budget Officer.... Internationally, the Parliamentary Budget Officer of Canada is very highly regarded, and it's certainly a major change...in the degree the parliament in Canada has access to an independent, highly professional research capacity.
He added, though, that based upon his experience with similar officers in other jurisdictions, the role of the PBO could have been further strengthened if made a full officer of Parliament, with total access to all relevant information.
Also, Canadian expert Dr. David Good, professor of the School of Public Administration, University of Victoria, testified to our committee:
First, I would make the Parliamentary Budget Officer a full agent of Parliament to assist parliamentarians and committees. I think the role and mandate of the Parliamentary Budget Officer needs to be clarified and strengthened by making the office legislatively separate and independent of the Library of Parliament, thereby operating as a full agent of Parliament.
Accessibility to all information, regrettably, became a matter of ongoing contention for the current PBO. He was ultimately, as I mentioned, forced to seek a court ruling. That court ruling was related to a request from the leader of the official opposition.
I can personally attest to the value of the reporting and analysis provided by the parliamentary budget officer. My participation in the parliamentary study on scrutiny of estimates and supply, and subsequent examination of government priorities and spending, has opened my eyes to the disconnect between the information the government is willing to reveal and the information parliamentarians actually require to make informed decisions on spending taxpayers' hard-earned dollars.
As elected members of Parliament, we are meant to be stewards of the public purse. We can choose to make informed decisions. A strengthened mandate for the parliamentary budget officer, as provided in Bill C-476, could offer that window.
I encourage all members of this House to vote in support of the member for Outremont's bill, Bill C-476, create an independent Office of the Parliamentary Budget Officer, broaden his mandate, require annual reports and create streamlined, non-partisan processes for appointments.