Economic Action Plan 2013 Act, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures

This bill was last introduced in 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 proposed in the March 21, 2013 budget. Most notably, it
(a) allows certain adoption-related expenses incurred before a child’s adoption file is opened to be eligible for the Adoption Expense Tax Credit;
(b) introduces an additional credit for first-time claimants of the Charitable Donations Tax Credit;
(c) makes expenses for the use of safety deposit boxes non-deductible;
(d) adjusts the Dividend Tax Credit and gross-up factor applicable in respect of dividends other than eligible dividends;
(e) allows collection action for 50% of taxes, interest and penalties in dispute in respect of a tax shelter that involves a charitable donation;
(f) extends, for one year, the Mineral Exploration Tax Credit for flow-through share investors;
(g) extends, for two years, the temporary accelerated capital cost allowance for eligible manufacturing and processing machinery and equipment;
(h) clarifies that the income tax reserve for future services is not available in respect of reclamation obligations;
(i) phases out the additional deduction available to credit unions over five years;
(j) amends rules regarding the judicial authorization process for imposing a requirement on a third party to provide information or documents related to an unnamed person or persons; and
(k) repeals the rules relating to international banking centres.
Part 1 also implements other income tax measures and tax-related measures. Most notably, it
(a) amends rules relating to caseload management of the Tax Court of Canada;
(b) streamlines the process for approving tax relief for Canadian Forces members and police officers;
(c) addresses a technical issue in relation to the temporary measure that allows certain family members to open a Registered Disability Savings Plan for an adult individual who might not be able to enter into a contract; and
(d) simplifies the determination of the Canadian-source income of non-resident pilots employed by Canadian airlines.
Part 2 implements certain goods and services tax and harmonized sales tax (GST/HST) measures proposed in the March 21, 2013 budget by
(a) reducing the compliance burden for employers under the GST/HST pension plan rules;
(b) providing the Minister of National Revenue the authority to withhold GST/HST refunds claimed by a business where the business has failed to provide certain GST/HST registration information;
(c) expanding the GST/HST exemption for publicly funded homemaker services to include personal care services provided to individuals who require such assistance at home;
(d) clarifying that reports, examinations and other services that are supplied for a non-health-care-related purpose do not qualify for the GST/HST exemption for basic health care services; and
(e) ending the current GST/HST point-of-sale relief for the Governor General.
Part 2 also amends the Excise Tax Act and Excise Act, 2001 to modify the rules regarding the judicial authorization process for imposing a requirement on a third party to provide information or documents related to an unnamed person or persons.
In addition, Part 2 amends the Excise Act, 2001 to ensure that the excise duty rate applicable to manufactured tobacco other than cigarettes and tobacco sticks is consistent with that applicable to other tobacco products.
Part 3 implements various measures, including by enacting and amending several Acts.
Division 1 of Part 3 amends the Customs Tariff to extend for ten years, until December 31, 2024, provisions relating to Canada’s preferential tariff treatments for developing and least-developed countries. Also, Division 1 reduces the rate of duty under tariff treatments in respect of a number of items relating to baby clothing and certain sports and athletic equipment imported into Canada on or after April 1, 2013.
Division 2 of Part 3 amends the Trust and Loan Companies Act, the Bank Act, the Insurance Companies Act and the Cooperative Credit Associations Act to remove some residency requirements to provide flexibility for financial institutions to efficiently structure the committees of their boards of directors.
Division 3 of Part 3 amends the Federal-Provincial Fiscal Arrangements Act to renew the equalization and territorial formula financing programs until March 31, 2019 and to implement total transfer protection for the 2013-2014 fiscal year. That Act is also amended to clarify the time of calculation of the growth rate of the Canada Health Transfer for each fiscal year beginning after March 31, 2017.
Division 4 of Part 3 authorizes payments to be made out of the Consolidated Revenue Fund to certain entities or for certain purposes.
Division 5 of Part 3 amends the Canadian Securities Regulation Regime Transition Office Act to remove the statutory dissolution date of the Canadian Securities Regulation Regime Transition Office and to provide authority for the Governor in Council, on the Minister of Finance’s recommendation, to set another date for the dissolution of that Office.
Division 6 of Part 3 amends the Investment Canada Act to clarify how proposed investments in Canada by foreign state-owned enterprises and WTO investors will be assessed and to allow for the extension, when necessary, of timelines associated with national security reviews.
Division 7 of Part 3 amends the Canada Pension Plan to ensure that the Canada Revenue Agency can accurately identify, calculate and refund overpayments made to the Canada Pension Plan and the Quebec Pension Plan in a particular year by contributors who live outside Quebec.
Division 8 of Part 3 amends the Pension Act and the War Veterans Allowance Act to ensure that veterans’ disability benefits are no longer deducted when calculating war veterans allowance.
Division 9 of Part 3 amends the Immigration and Refugee Protection Act to authorize the revocation of temporary foreign worker permits, the revocation and suspension of opinions provided by the Department of Human Resources and Skills Development with respect to an application for a work permit and the refusal to process requests for such opinions. It authorizes fees to be paid for rights and privileges conferred by means of a work permit and exempts, from the application of the User Fees Act, those fees as well as fees for the provision of services in relation to the processing of applications for a temporary resident visa, work permit, study permit or extension of an authorization to remain in Canada as a temporary resident or in relation to requests for an opinion with respect to an application for a work permit.
It also provides that decisions made by the Refugee Protection Division under the Immigration and Refugee Protection Act in respect of claims for refugee protection that were referred to that Division during a specified period are not subject to appeal to the Refugee Appeal Division if they take effect after a certain date.
Division 10 of Part 3 amends the Citizenship Act to expand the Governor in Council’s authority to make regulations respecting fees for services provided in the administration of that Act and cases in which those fees may be waived. It also exempts, from the application of the User Fees Act, fees for services provided in the administration of the Citizenship Act.
Division 11 of Part 3 amends the Nuclear Safety and Control Act to authorize the Canadian Nuclear Safety Commission to spend for its purposes the revenue it receives from the fees it charges for licences.
Division 12 of Part 3 enacts the Department of Foreign Affairs, Trade and Development Act, sets out the powers, duties and functions of the Minister of Foreign Affairs, the Minister for International Trade and the Minister for International Development and provides for the amalgamation of the Department of Foreign Affairs and International Trade and the Canadian International Development Agency.
Division 13 of Part 3 authorizes the taking of measures with respect to the reorganization and divestiture of all or any part of Ridley Terminals Inc.
Division 14 of Part 3 amends the National Capital Act and the Department of Canadian Heritage Act to transfer certain powers, duties and functions to the Minister of Canadian Heritage from the National Capital Commission. It also makes consequential amendments to the National Holocaust Monument Act to change the Minister responsible for the construction of the monument to the Minister of Canadian Heritage from the Minister responsible for the National Capital Act.
Division 15 of Part 3 amends the Salaries Act to add ministerial positions for regional development responsibilities for northern Canada, and northern and southern Ontario. It also amends the Salaries Act to replace a reference to the Solicitor General of Canada with a reference to the Minister of Public Safety and Emergency Preparedness. It also makes an amendment to the Parliament of Canada Act to provide that the maximum number of Parliamentary Secretaries who may be appointed is equal to the number of ministers for whom salaries are provided in the Salaries Act.
Division 16 of Part 3 amends the Department of Public Works and Government Services Act to remove the requirement for the Minister of Public Works and Government Services to obtain a request from a government, body or person in Canada or elsewhere in order for the Minister to do certain things for or on their behalf. It also amends that Act to specify that the Governor in Council’s approval relating to those things may be given on a general or a specific basis.
Division 17 of Part 3 amends the Financial Administration Act to give the Governor in Council the authority to direct a Crown corporation to have its negotiating mandate approved by the Treasury Board for the purpose of the Crown corporation entering into a collective agreement with a bargaining agent. It also gives the Treasury Board the authority to require that an employee under the jurisdiction of the Secretary of the Treasury Board observe the collective bargaining between the Crown corporation and the bargaining agent. It requires that a Crown corporation that is directed to have its negotiating mandate approved obtain the Treasury Board’s approval before entering into a collective agreement. It also gives the Governor in Council the authority to direct a Crown corporation to obtain the Treasury Board’s approval before the Crown corporation fixes the terms and conditions of employment of certain of its non-unionized employees. Finally, it makes consequential amendments to other Acts.
Division 18 of Part 3 amends the Keeping Canada’s Economy and Jobs Growing Act to provide for increases to the sums that may be paid out of the Consolidated Revenue Fund for municipal, regional and First Nations infrastructure through the Gas Tax Fund. It also provides that the sums may be paid on the requisition of the Minister of Indian Affairs and Northern Development.

Elsewhere

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

Votes

June 10, 2013 Passed That the Bill be now read a third time and do pass.
June 10, 2013 Failed That the motion be amended by deleting all the words after the word “That” and substituting the following: “this House decline to give third reading to Bill C-60, An Act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, because it: “( a) weakens Canadians' confidence in the work of Parliament, decreases transparency and erodes the democratic process by amending 49 different pieces of legislation, many of which are not related to budgetary measures; ( b) raises taxes on Canadians by introducing tax hikes on credit unions and small businesses; ( c) gives the Treasury Board sweeping powers to interfere in collective bargaining and impose employment conditions on non-union employees; ( d) amends the Investment Canada Act to triple review thresholds and dramatically reduces the number of foreign takeovers subject to review; ( e) proposes an inadequate Band-Aid fix for the flawed approach to labour market opinions in the temporary foreign worker program; ( f) proposes to increase fees for visitor visas for friends and family coming to visit Canada; and ( g) fails to provide substantive measures to create good Canadian jobs and stimulate meaningful long-term growth and recovery.”.
June 4, 2013 Passed That Bill C-60, An Act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, {as amended}, be concurred in at report stage [with a further amendment/with further amendments] .
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 228.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 225.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 213.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 200.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 170.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 162.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 136.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 133.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 125.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 112.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 104.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 12.
June 4, 2013 Failed That Bill C-60 be amended by deleting Clause 1.
June 3, 2013 Passed That, in relation to Bill C-60, An Act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, not more than one further sitting day shall be allotted to the consideration at report stage of the Bill and one sitting day shall be allotted to the consideration at third reading stage of the said Bill; and that, 15 minutes before the expiry of the time provided for Government Orders on the day allotted to the consideration at report stage and on the day allotted to the consideration at third reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and in turn every question necessary for the disposal of the stage of the Bill then under consideration shall be put forthwith and successively without further debate or amendment.
May 7, 2013 Passed That the Bill be now read a second time and referred to the Standing Committee on Finance.
May 7, 2013 Failed That the motion be amended by deleting all the words after the word “That” and substituting the following: “the House decline to give second reading to Bill C-60, An Act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures (Economic Action Plan 2013 Act, No. 1), because it: ( a) raises taxes on middle class Canadians in order to pay for the Conservatives' wasteful spending; ( b) fails to reverse the government's decision to raise tariffs on items such as baby carriages, bicycles, household water heaters, space heaters, school supplies, ovens, coffee makers, wigs for cancer patients, and blankets; ( c) raises taxes on small business owners by $2.3 billion over the next 5 years, directly hurting 750,000 Canadians and risking Canadian jobs; ( d) raises taxes on credit unions by $75 million per year, which is an attack on rural Canadians and Canada's rural economy; ( e) adds GST/HST to certain healthcare services, including medical work that victims of crime need to establish their case in court; ( f) fails to provide a youth employment strategy to help struggling young Canadians find work; and ( g) ignores the pressing requirements of Aboriginal peoples.”.
May 2, 2013 Passed That, in relation to Bill C-60, An Act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 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.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 4:45 p.m.


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NDP

Philip Toone NDP Gaspésie—Îles-de-la-Madeleine, QC

Mr. Speaker, I would like to start by asking a question.

Today in the House, the member for Westlock—St. Paul talked about renewable hydrocarbons. The Minister of Natural Resources has also talked about the same thing recently.

Frankly, I would like to know what this creature is, given that hydrocarbons come from dinosaurs that lived millions of years ago. It seems to me that this is not a renewable energy source, unless the Conservatives are telling me that there may be dinosaurs somewhere in the Caribbean islands. I am trying to understand what this is.

They may be talking about the corn and ethanol business. Recently, we saw that when ethanol derived from corn was on the market, it created an extreme crisis for the corn market, to the point that a lot of people in the world could no longer buy basic products such as corn because it was being converted into renewable energy.

I quite simply do not understand why the Conservatives are trying to make us believe this renewable hydrocarbons story. I am having a hard time seeing where this thing exists. I would certainly like to hear more about it though, because frankly, I sometimes think it is coming out of the mouths of dinosaurs.

Bill C-60 contains very few things that will benefit people in my riding. I will even go out on a limb and say that it could hurt them.

We will talk about a few measures that are in the budget, and other measures that are not. What worries me most is what is not in the budget.

I would first like to talk about the investment that needs to be made at Fisheries and Oceans. The budget says that over the next five years, Fisheries and Oceans will be cut by another $100 million. That department has already endured cuts, very recently, of over $70 million a year. Now the Conservatives are talking about more cuts. We do not know how big those cuts will be. The Conservatives have simply announced cuts. They have not said what is going to be cut. That is the real problem with the bill we have before us. It is supposed to be Bill C-60, Economic Action Plan 2013 Act, No. 1, yet it is not a budget, or at least it is hard to believe that it is.

When I was a businessman, a budget had columns. It was a sheet with figures on it, with the money spent the previous year and the money spent during the current year. You saw how spending increased or decreased. To the Conservatives, budgets are no longer budgets; now, they are action plans. Frankly, they are works of fiction. They are books that tell a story, but do not in any way achieve the objective of managing a country in a sound and sustainable way.

I will come back to Fisheries and Oceans Canada, which is going to lose $100 million over the next five years. Nowhere in the budget, or the Conservatives’ economic action plan 2013, do I see where they are going to cut. We know the impact of the cuts, though. So much has been cut from maintenance at Fisheries and Oceans Canada that our docks are in a pitiful state. The Percé dock is closed today. The lobster industry depends on that dock. My riding also depends heavily on the tourism industry, which in turn depends heavily on the dock. We are talking about 400,000 tourists a year who visit the dock.

Last year, Bill C-38 made changes to employment insurance. In today’s budget, nothing has been changed, even though every region of Canada where there is seasonal work and people make a living from seasonal industries has called for a moratorium or a return to the starting point, and for real consultations to be held. That has not been done. The result is the bill we have before us, which makes no changes to employment insurance.

As a result, people in my region have lost weeks of employment insurance benefits and they will therefore find it harder and harder to have an income to get through the seasons and make it through the whole year.

The minister says that the reason why the government made changes to employment insurance was to help people get jobs. At the same time, however, the Conservatives have cut so much from dock maintenance in my riding that they have put people out of work. In 2013, we risk losing the tourist season in the Gaspé region, because they have cut so much from the budgets that people depend on, without consultation and without doing the groundwork.

They are making so many cuts that people are losing their jobs. There will be no tourists to support merchants who depend on the tourist industry and so there is a risk that we will lose an entire year of tourism, simply because Fisheries and Oceans Canada has not been able to do its job. The department has been unable to do its job because the cuts have been so deep that it has had a great deal of difficulty meeting its obligations.

In today’s budget, Fisheries and Oceans Canada is being cut by $100 million. What is going to be cut? I have a hard time seeing where the remaining cuts at Fisheries and Oceans Canada could be made. I congratulate the department for demonstrating creativity by inventing cuts that could be made in future, without specifying what is left to cut. It seems to me that there are no cuts left to be made at Fisheries and Oceans Canada, apart from the minister’s salary maybe.

We absolutely have to think long-term. There is no long-term vision in Canada. The Conservatives are trying to cut all government spending, and they think that that is going to create the conditions upon which an economic recovery could be based. We saw this situation in the 1980s, in the Reagan era. It is called trickle-down economics. If the government cuts taxes and is less and less involved in the economy, the invisible hand of the market will take over and solve all of our problems. In my opinion, in 2008, when the serious crisis in the banking system happened, the invisible hand of the market simply did not work.

Frankly, credit does not go to the Conservatives for the regulations that were in place at the time and that helped us to get through that serious worldwide economic crisis and be in the condition we are in now.

The Conservatives boast about the fact that Canada has one of the best economies in the world. It is difficult to boast when we compare ourselves to Greece, for example, which is in free fall. Saying we are not in free fall is not all it takes to determine that everything is fine. That is not the case.

Certain conditions must prevail in order for Canada’s economy to grow. The budget now before us will not create these conditions. Furthermore, Canada has 240,000 more young people out of work than during the previous recession in 2008.

There needs to be an action plan in place to help these 240,000 unemployed youths find jobs. Instead, we have cuts to Service Canada’s summer jobs programs that encourage young people to return to the regions to work, settle down and create vibrant communities. Cuts are being made to the summer jobs program and a new internship program is being created. However, an internship is not a job. A job is paid, permanent employment. An internship usually involves unpaid work.

The government has just spent a considerable amount of money creating unpaid job opportunities without having in place an action plan to help young people find gainful employment.

Getting back to my riding, cuts to Fisheries and Oceans Canada programs means the future of the region’s children and economy are impacted. The Gaspé is not the only region affected. All of Eastern Canada will be facing problems as a result of the cutbacks recently announced. Today’s budget does nothing to alter the course this government has embarked on, one that is bad for the economy and for the regions in particular.

The government is simply unwilling to consult with people. It is unwilling to ask Canadians how they feel about Canada’s growth and what they think our priorities should be. With their parliamentary majority, the Conservatives seem to think they can do whatever they like.

Destroying laws that protect the environment is tantamount to mortgaging the future. Ultimately people will end up paying a great deal more to repair the damage wrought by the Conservatives.

This budget will cost us dearly. Therefore, I urge members to vote against it.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 4:55 p.m.


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Liberal

Geoff Regan Liberal Halifax West, NS

Mr. Speaker, I appreciated my colleague's speech. I would like to know what he thinks the government should have included in the budget to increase job creation in his riding. What would he do to better promote job creation?

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 4:55 p.m.


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NDP

Philip Toone NDP Gaspésie—Îles-de-la-Madeleine, QC

Mr. Speaker, I thank my colleague for the question. Investment is a given. The government has powerful tools at its disposal to help industry and the economy. Regarding seasonal work in the regions, it is essential to think long term if we want to ensure sustainable regional economies. The government must invest. The only organization capable of supporting jobs in the regions is the federal government. It then follows that the government has a very important role to play in support of seasonal industries.

Let us not forget that Canada is a northern country where seasonal industries are prevalent. When the government withdraws from these industries, not only does it create long-term problems, it also empties out the regions. The people leaving have to find somewhere else to go. When they arrive in the big city, they struggle. They do not have the means to start a life in the big city as long as the federal government does not have a long-term strategy.

Regional support is being slashed while, at the same time, these people are not getting the tools they need to settle elsewhere. What is more, the cuts being made are such that well-established regional industries get even less support than before.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 4:55 p.m.


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NDP

Paulina Ayala NDP Honoré-Mercier, QC

Mr. Speaker, the opposition plays a fundamental role in the parliamentary system. According to a paper I read from the Library of Parliament:

Parliament, after all, is fundamentally about debate…and the transacting of the people's business in public.…A vigorous opposition in Parliament can be the chief bulwark against the temptation [for a majority government that wishes to do everything without debate].

In Bill C-60, the Conservatives are attempting for a second time to escape parliamentary and public scrutiny. Does my colleague agree with me that our democracy is suffering?

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5 p.m.


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NDP

Philip Toone NDP Gaspésie—Îles-de-la-Madeleine, QC

Mr. Speaker, we are going through a period in which the government appears to be circumventing the idea of building consensus in the country. It disregards the parliamentary tools at its disposal to assist it in building consensus. On the contrary, it constantly seeks to oppose. The government does not want to discuss. Once again, there is very little debate about a bill as important as Bill C-60, which will amend 59 laws. Previously, there was very little debate on Bills C-38 and C-45, which amended more than 70 laws.

The same thing happened to a number of bills introduced during the 41st Parliament, or ever since the Conservatives have held a majority. They do not want to take the time to listen to the public's concerns and needs. They disregard them. This is a highly ideological government, which does not listen to the people and has difficulty justifying itself.

We cannot continue this way. We absolutely need a government that listens, that responds to needs, that has a long-term vision and that can promote sustainable economic growth. The goal was not to introduce bills full of ad hoc measures, to turn back time in order to eliminate protections previously put in place or to deregulate industries to the point where the invisible hand of the market reigns supreme.

We have seen the consequences of this kind of thinking, which was at the root of the economic crisis of 2008. We do not want to see that happen again. We want something sustainable. We have no lessons to learn from the present government.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5 p.m.


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Conservative

Daryl Kramp Conservative Prince Edward—Hastings, ON

Mr. Speaker, I am honoured to be able to stand here today and speak to Canada's economic action plan 2013.

I think in the House we can all agree that there are a multitude of elements involved when a person, business or family works towards a common set of goals of success and prosperity. Of course, the individual has a lot to do with the outcomes in terms of the choices we make, our determination and how hard we are willing to work toward the objective.

Admittedly, we share responsibility. The government and all members here share responsibility in helping our citizens achieve those goals. We can provide either stepping stones or barriers. I am very proud to say that our government is providing the stepping stones by putting Canadians and the economy first. It is certainly evident in our latest budget, economic action plan 2013.

Undeniably, a firm base for any healthy economy is a thriving manufacturing and small business environment coupled with job-creating initiatives. Economic action plan 2013 includes our government's plan to make the largest federal investment in job-creating infrastructure in Canadian history, totalling $70 billion over a decade. This investment would help build and repair roads, bridges, subways, rail and more, certainly in communities in Prince Edward—Hastings and across this wonderful country.

There would be a new tax break for new manufacturing machinery and equipment with the accelerated capital cost write-off, which would provide the manufacturing and processing businesses in Ontario alone approximately $560 million in tax relief to grow their companies and create jobs.

Our government has extended and expanded the hiring credit for small businesses for another year, which would see many small businesses in Ontario and across Canada save another $225 million in 2013. I can tell the House that as a small businessman myself with 38 years of experience, in my riding of Prince Edward—Hastings, small businesses are one of the key components of the local economic engine. I can assure the House that this particular initiative would go a long way to helping those businesses grow, prosper and ultimately create more jobs.

We are increasing the lifetime capital gains exemption to $800,000 from $750,000 and indexing it going forward. We are indexing it the same way we indexed the gas tax. This would provide small businesses in Ontario approximately an additional $39 million in tax relief to grow their companies and create more jobs.

I live right next to Trenton Air Base, one of the most significant air transport capitals, not only in Canada, but in the world. We are investing almost $1 billion in the strategic aerospace and defence initiative to enhance the competitiveness of Canada's economically important aerospace and defence industry. We have created the aerospace technology demonstration programs, which would support large-scale technology projects with commercial potential in Ontario and across Canada. We have CAE in Montreal, now with simulators around the world.

The northern regions of my riding had a very active forestry industry, which certainly suffered some severe challenges when the economic downturn hit and the housing boom in the States went off. Therefore, I am pleased that we would be providing $92 million to help the forestry sector in Ontario and across Canada to continue to innovate new products and to expand into new markets.

We would provide $920 million to renew the Federal Economic Development Agency for Southern Ontario. Since its creation in 2009, FedDev has supported over 340 projects and has played an important role in building a stronger economy in southern Ontario. FedDev has been instrumental in the success of so many projects in Prince Edward—Hastings and across the regions of southern Ontario.

I am very pleased as well to support the eastern Ontario development program, which would be renewed as well. It would continue to promote job creation and business development in all the rural areas of eastern Ontario. As part of the renewal of FedDev, I am very pleased that $200 million would be invested in a new advanced manufacturing fund to help Ontario's manufacturing industry innovate and become much more competitive.

Another ingredient required to maintain economic health is ensuring Canadians get the skills training and the employment-seeking assistance they need. I am fortunate. I have Loyalist College, the brand new skills development centre, which will play a pivotal role in developing skills in my area. Job-seekers know that if they have the right skills and education, they are well on their way to finding a good job. I am proud to say that our government firmly recognizes that, too.

As such, we are providing up to $15,000 per person, in Ontario, with combined federal-provincial-territorial and employer funding to help them get the skills they need for in-demand jobs. That is right; we are helping them to develop the skills for a job that is waiting for them. We know how important education is, especially, in high-demand fields. We will be encouraging students to undertake education in these high-demand fields, including the skilled trades, science, technology, engineering and mathematics.

Our government is also investing $70 million to support an additional 5,000 paid internships for recent post-secondary graduates in Ontario and across Canada. These young people are our future. We are helping them along and providing the initiative for them to get a job.

My riding of Prince Edward—Hastings includes a first nations reserve, Mohawks of the Bay of Quinte—Tyendinaga Mohawk Territory, a very proud and successful local aboriginal group.

I am proud that we are helping first nations students with post-secondary education, by providing $10 million to grant scholarships and bursaries to help them attend a post-secondary education. We realize the importance of engaging first nations youth. They are going to play a tremendous role in our country.

Finally, another very important key to having a robust economy is to limit government's interference in Canadians' wallets.

Winston Churchill once said:

For a nation to try to tax itself into prosperity is like a man standing in a bucket and trying to lift himself up by the handle.

It just does not happen.

Our government gets that, unlike the opposition, unfortunately, the tax-and-spend Liberals and the “speNDP”. There is just no end of spending. The solution is very simple with them. Just spend more, spend more, spend more. Unfortunately, we have to find a balance, and we have done that.

Right from the get-go, our government has been dedicated to freeing up Canadians' paycheques by lowering taxes. In economic action plan 2013, our government eliminated tariffs on important items for families, including baby clothing, sports equipment, skates, hockey sticks, golf clubs, and more.

In fact, our Conservative government has cut taxes over 150 times and is saving the average family over $3,000 a year. That can buy a lot of groceries or clothes for the kids, or even allow families that vacation that they have waited for and that they have deserved for so long.

Our government does not put obstacles in the way of Canadians, obstacles like red tape or increased taxes. Our red tape commission said every time we bring in a regulation, we have to get rid of one. That is common sense.

So, yes, we are providing stepping stones to help Canadians achieve the happy and successful lives they want to have.

I am thankful for the opportunity today to talk on economic action plan 2013. I am proud of the initiatives in it. I have had many extensive pre-budget consultations across our riding, with so many different groups. I know our government worked closely with recommendations from the stakeholders, the businesses, the community leaders, the experts in so many fields, to achieve the best use of taxpayer dollars. We have created a budget that will strengthen our economy and solidify our economic recovery.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5:10 p.m.


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NDP

Mike Sullivan NDP York South—Weston, ON

Mr. Speaker, I note that my colleague opposite would like to suggest that the Conservatives are somehow being generous to first nations when, in fact, there is an alarming 30% funding gap that exists between first nations on reserve and other Canadians whose educations are provided for by the provinces.

So, number one, nothing has been done about that.

Number two, with respect to public funding of post-secondary education, my understanding is the waiting list is so long that people cannot even get on it because there is just not enough funding. My understanding is there are something like 10,000 students waiting on a waiting list in order to get into post-secondary education. Ten million dollars would barely touch that, if at all.

How will the government actually work to create a level playing field between first nations and other members of Canadian society?

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5:10 p.m.


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Conservative

Daryl Kramp Conservative Prince Edward—Hastings, ON

Mr. Speaker, the hon. member's question takes me back. I sat on government operations and public accounts when I first came here nine years ago. The situation with regard to first nations aboriginal education was absolutely horrendous. For five to six years after, we spent more and more money and we did not improve the result.

We then formulated a working group to go forward. We said we had to get more bang from the buck, we have to create more jobs and we have to train our first nations people. We have a strategy now in place, and of course it has been agreed upon by the first nations people themselves, who are part of the solution on the advisory council. The dollar is going forward. The member is incorrect. We are spending more on first nations education than we ever have in the history of this country.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5:10 p.m.


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Liberal

John McCallum Liberal Markham—Unionville, ON

Mr. Speaker, I congratulate my hon. friend for his speech, but I could not help but notice that he, like other Conservatives, speaks all the time about the taxes that the government cut, but not a peep on the taxes that the government increased.

The 2013 budget document itself says that the tax increases are bigger than the tax cuts, so there is a net tax increase imposed on Canadians. In budget 2012, what do we see? Tax increases bigger than tax cuts, a net tax increase. This is getting a bit repetitive, but it is the same thing in budget 2011 and the same thing in budget 2010. In all of the last four years, the Conservatives have raised taxes by more than they have cut taxes, thereby imposing net tax hikes on Canadians.

My question is, how can this member possibly say that his is the party of lower taxes, when indeed, over the last four years in each and every year, the Conservatives have increased the net tax load facing Canadians?

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5:15 p.m.


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Conservative

Daryl Kramp Conservative Prince Edward—Hastings, ON

Mr. Speaker, the reality is, that just is not true. The hon. member should look at the amount of taxation that has been cut across this country. I know him well. I respect him as a person. Regrettably, every now and then his orientation gets him in little challenging moments.

When we look at the overall tax reduction, the transfers that have been increased to provinces, the increased programs that have been put out there, the bottom line is, yes, we have more money coming in, but what if we did not have a growing economy?

The economy has been growing very well. Naturally, it generates more tax. It generates more income tax when people do well, when they make more money and businesses prosper. To suggest there is no reason for taxes to have a receivable that is a gain would mean we would simply have an economy that is going the other way.

Under the Conservative government we have an economy that grows, hence more taxes coming in. That is a simple equation the hon. member could understand.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5:15 p.m.


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NDP

Élaine Michaud NDP Portneuf—Jacques-Cartier, QC

Mr. Speaker, today I join my NDP colleagues in opposing Bill C-60, the Conservatives' latest budget implementation bill.

As has unfortunately become a trend in the House, we once again have an omnibus bill that is smaller than previous ones in terms of pages, but is just as devastating.

Bill C-60 amends nearly 50 Canadian laws and even creates a new one: the Department of Foreign Affairs, Trade and Development Act.

Bill C-60 also proposes a number of complex measures that require extensive study in committee or in the House, particularly with respect to the temporary foreign worker program, but the Conservatives are trying to rush them through after abuse was revealed as a result of their poor management of the program and the excessive flexibility.

It is completely unacceptable that the Conservatives are trying to hide their poor decisions from the Canadian public and prevent members from examining the bill, hence avoiding the oversight that all MPs should be providing, whether they are on the government or opposition side. These parliamentarians were sent here by their constituents to represent them and be their voice in the House. They should be able to carefully examine the budget implementation bill without having the Conservative government impose time restrictions as soon as it can.

Although previous omnibus bills were heavily criticized and thousands of Canadians voiced their disapproval, including many from my riding of Portneuf—Jacques-Cartier, the Conservatives keep persisting. They are doing everything possible to avoid an extensive study in committee, because they know very well that a close study of their bill would highlight the budget's many flaws and their gross incompetence at managing public finances.

As we already know, the Parliamentary Secretary to the Minister of Finance has already suggested limiting the time allotted for studying this bill in committee. The practice in the House, that is, limiting the time allowed for debate, is being reflected in committee. In committee, we find the Conservatives have the same attitude and the same bad faith, as they are still limiting parliamentarians’ opportunities to do their work and represent their constituents properly.

The Conservatives are trying to make Canadians believe that they are the only ones equipped to manage Canada’s economy properly, but if we take a look at their record to date, obviously this makes no sense, and Canadians across the country are well aware of it.

It is not just NDP members or members of the other opposition parties that are making these kinds of comments. Last weekend when I was walking around in my riding, the subject that was brought up most frequently by the constituents I met was the $3.1 billion that mysteriously disappeared under this government’s watch. Frankly, that has shocked and horrified people.

That is why we should be able to take a closer look at the bills this government is introducing, whether they have a direct impact on the economy or not. The Conservatives put on a great show, but if you scratch the surface a little, their façade falls apart quite quickly. The Conservatives do not have the abilities they are bragging about.

Instead of bringing in a budget with concrete measures to create jobs and stimulate the economy, the government is doing exactly the opposite. In fact, according to the Parliamentary Budget Officer, the Conservative government’s 2013 budget is more likely to eliminate thousands of jobs, reduce direct program spending and significantly diminish growth in Canada’s gross domestic product.

Canada's economic recovery is already happening more slowly than anticipated. The Minister of Finance even had to revise his predictions, before being quickly chastised by the Prime Minister, who is only thinking about the 2015 election, as though he had blinders on. On reading this budget, it is obvious that the Conservatives are only thinking about the 2015 election and that they forget that the cuts they make now will have a drastic impact on Canadians.

I do not even need to go back to my riding to hear this. I just have to walk around Parliament Hill. Since all parliamentarians use taxis, if you just take a few minutes to talk with the drivers, you quickly realize that the cuts that the Conservatives have been making ever since they came into power are having a major impact.

Taxi drivers already have fewer hours and fewer clients. Their income is lower, as is their chance of contributing to the economy. The same thing is happening in the restaurant business and in all the other small businesses in the national capital region. The situation in Ottawa will be matched in other cities throughout Canada. All those lost jobs mean lower incomes for families, who will have fewer and fewer opportunities to contribute to the economy.

The equation is very simple. This government is already finding it difficult to reduce its spending. Consequently, it will be cutting the delivery of essential services to Canadians. Despite it all, the Conservatives are unable to replenish their coffers because they are giving huge tax credits and all kinds of gifts to their friends in big oil companies, the gas industry and the big banks. Then they end up with deficits. We know that this government has record deficits. This charade that the Conservatives put on every day is absolutely pointless. Canadians are becoming increasingly aware of what they are doing.

For the past few weeks, people have been talking about how the 2013 budget will increase Canadians’ tax burden by raising taxes on just about everything that exists, such as safety deposit boxes, baby strollers, bicycles, wigs for people who have cancer, parking at hospitals, and I could go on. The list is so long that I would squander my entire speech listing all the tax hikes in this budget.

I hear such nonsense from the other side of the House. The Conservatives talk about the carbon tax of $20 billion or $21 billion, sometimes $19 billion—we do not really know anymore. Someone in the Prime Minister’s Office must get his numbers mixed up sometimes. We do not have a carbon tax in our platform, but the government is accusing us of wanting to impose it. The measures in this budget are mind-boggling; the government failed to meet the public's expectations. I am almost speechless at its talent for hiding the truth from Canadians by controlling debate in the House, by limiting the time available for study of a bill in committee and by hiding tax measures that would be unacceptable to most Canadians in the countless pages of the budget.

I am frankly overwhelmed by the hypocrisy shown by this government, especially when I read the budget. The NDP cannot but vote against most of the measures put forward, but we must show some good faith: there are a few good things in the budget. Some money has been and will potentially be set aside for the repair of federal infrastructure, such as wharves. I am thinking that the Percé wharf may benefit, as may the wharf in Portneuf, in my riding, which is the longest deep-water wharf in Canada and one that is badly in need of repair. These funds may help my community, if, of course, political issues do not block access to funds that are critically important, both to my region and that of my colleague from Gaspésie—Îles-de-la-Madeleine.

Despite these positive steps, most of the measures in the budget oblige us to vote against it. The Conservatives have the upper hand, saying that the NDP votes against all the measures that the Conservatives put forward, but when they wrap them in such an appalling package, we as the opposition have no choice but to speak up to defend the real priorities of Canadians and do the job for which we were sent to this House.

Let us take a look at all the measures taken by the Conservative government: withdrawing from the Kyoto protocol; crippling our environmental legislation; eliminating protection for thousands of lakes and rivers throughout Canada, several hundred, perhaps even several thousand, of which are in my own riding; increasing the retirement age to 67; and reforming employment insurance. I was talking about a case in my riding where experienced employees were threatened by Service Canada with losing their benefits if they did not give up their current seasonal jobs and take full-time jobs somewhere else. They are trying to hollow out the seasonal industries and shut down entire sectors of our economy.

When these kinds of decisions are made so dogmatically and by keeping people in the dark, it is obvious that Canadians will be better served by the NDP in 2015.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5:25 p.m.


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Conservative

Kevin Sorenson Conservative Crowfoot, AB

Mr. Speaker, I listened with great interest to my colleague across the way. She serves on the committee that I chair, where she is a new addition, and we appreciate her being there, although I am troubled by some of the comments she gave in her speech. She used words like “appalling” when she talked about the strategic plan this government has. She used some pretty tough language.

Canada has the best job creation in the G7. The International Monetary Fund and the OECD are projecting that Canada will have the strongest growth of all the industrialized countries over the next number of years. For the eighth straight year, the World Economic Forum has said that Canada's banking system is the most sound and on the firmest foundation around the world. We see many countries where financial institutions in the banking sector are faltering, and it is driving the whole economy into a turmoil with uncertainty.

Canada has a Triple-A rating. Why do you use words such as “appalling” and “no strategy”? This shows that the strategy we have is working.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5:25 p.m.


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The Acting Speaker Barry Devolin

Before I go to the member, I just remind all hon. members to direct their comments and questions to the Chair, rather than to their colleagues.

The hon. member for Portneuf—Jacques-Cartier.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5:25 p.m.


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NDP

Élaine Michaud NDP Portneuf—Jacques-Cartier, QC

Mr. Speaker, I thank my colleague for his question and his kind comments about the good work I do on the committee. I thank him for welcoming me when I arrived.

To get back to the question, the jobs created by the government—the ones that have really been created, since jobs are also being lost—are precarious and are often part-time jobs. They are not of the same quality of the jobs that existed before, and that is very unfortunate. Obviously, the Conservatives do not really have much of a strategy.

I was just talking about a case in my riding relating to employment insurance. That case is a perfect example of what I am describing. Some sectors of the economy are being undermined to try to replace some Canadians who had a job where their expertise was being put to use. That was very beneficial to the company they were working for.

Today, Service Canada is threatening that these people will lose their benefits if they do not change industries. These are the situations I am describing. It all goes to show that the Conservatives basically do not have a strategy.

Economic Action Plan 2013 Act, No. 1Government Orders

May 6th, 2013 / 5:25 p.m.


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Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, the current government spends more on political spin than any other government in the history of Canada. It is truly amazing.

The previous questioner asked about Canada's greatest banking industry. We have the greatest banking here in Canada, compared to anywhere else in the world, because of former prime minister Jean Chrétien. The government takes credit for wanting to balance a budget. It is projecting to be able to do that after the next federal election. It was Paul Martin who had the last balanced budget. When it talks about taxes, the current government has had net tax increases for the last four consecutive years.

What I will concede to the Conservatives is their ability to spin. They spend endless tax dollars on spin. Does the member believe that the current government is abusive when it comes to tax dollars and putting political spin on things that are just not true?