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 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. The Library of Parliament has also written a full legislative summary of the 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.

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-60s:

C-60 (2023) Law Appropriation Act No. 4, 2023-24
C-60 (2017) Law Miscellaneous Statute Law Amendment Act, 2017
C-60 (2015) Removal of Serious Foreign Criminals Act
C-60 (2011) Citizen's Arrest and Self-defence Act
C-60 (2009) Keeping Canadians Safe (Protecting Borders) Act
C-60 (2008) Law An Act to amend the National Defence Act (court martial) and to make a consequential amendment to another Act

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

June 3rd, 2013 / 3:30 p.m.

NDP

Jean Crowder NDP Nanaimo—Cowichan, BC

Mr. Speaker, New Democrats oppose Bill C-60 both with regard to the process and with regard to the content. This is another example. The bill is 115 pages and will make amendments to 49 different pieces of legislation. Of course, a bill of that scope and magnitude deserves thorough examination by members of Parliament.

Because of the time allocation imposed on the bill at both second reading and report stage and because of a very unsatisfactory process when the bill was before committees, the House has not had an opportunity to study the bill in the kind of depth it should be studied.

Part of the concern is that this budget implementation bill would do a number of things. First of all, it would raise taxes on Canadians by introducing tax hikes on credit unions and small businesses in addition to hiking tariffs on thousands of products that were announced in the budget.

It would give Treasury Board sweeping powers to interfere in free collective bargaining and impose employment conditions on non-union employees at crown corporations. It would amalgamate the Department of Foreign Affairs and International Trade and the Canadian International Development Agency with no reference to the ODA Accountability Act regarding the purpose of aid.

It would amend the Investment Canada Act to dramatically reduce the number of takeovers subject to review and introduce new rules regarding foreign state-owned enterprises. It proposes an inadequate Band-Aid fix for the flawed approach to labour market opinion in the temporary foreign worker program and proposes to increase fees for visitor visas for friends and family coming to visit Canadians. It would push ahead with work on a national securities regulator instead of working consensually with the provinces, and it would remove the residency requirement for committees of directors for financial institutions such as banks and life insurance companies.

People in my riding of Nanaimo—Cowichan pay close attention to pieces of legislation before the House, and I have had a number of concerns raised. One of them that I mentioned was the amalgamation in the Department of Foreign Affairs and International Trade.

This is an example of an email sent to me by a constituent. This person said:

I am a constituent in your riding and a concerned citizen who cares about efforts to end global poverty and promote human dignity.

For the past 45 years, the Canadian International Development Agency (CIDA) has supported the work of Canadian organizations involved in international development. Thanks to this collaboration, they have made a tremendous contribution in supporting the efforts of poor communities gain access to education and healthcare, ensuring food security, and promoting human dignity.

We have seen the results of this good work and I want Canada to remain as engaged as I am.

I am asking you to ensure that CIDA's mandate of poverty reduction and promoting human rights remains central, and that sufficient resources will be allocated to fulfill that mandate.

I also want to ensure that the many Canadian organizations, which have an excellent track record in responding to the needs of the poor, will remain key partners of the Government in its actions to end global poverty.

That is just one example of the kinds of concerns that have been raised by my constituents with regard to proposed changes in the bill. That particular amalgamation of CIDA with foreign affairs is an important matter that should have an independent review and not just be rammed through in an omnibus piece of legislation.

Another one, on which I received literally over 1,000 emails, is the CBC. On Vancouver Island, CBC is a much-loved institution. For years, islanders fought for a CBC presence on Vancouver Island. Finally, a number of years ago, we ended up with CBC Victoria. In a recent survey, CBC Victoria was one of the most-listened-to radio stations in the morning. That speaks to the way people see the CBC on Vancouver Island and in my riding.

The bill threatens to make some changes. In this connection I want to refer to a letter of May 23 that was sent to the Prime Minister. It was signed by dozens of people, including academics and so on. They said:

Dear Prime Minister:

We express deep concern about a proposal on pages 108/109 in Bill C-60 that would undermine the arms-length relationship between the CBC, our national public broadcaster, and the federal government.

The Broadcasting Act states that the CBC “shall, in the pursuit of its objects and in the exercise of its powers, enjoy freedom of expression and journalistic, creative and programming independence”.

As you know, this statement places the CBC on a par with its counterparts in other free and democratic countries. It is what makes the CBC a public broadcaster - as opposed to a state broadcaster. Independence from governmental interference is the key distinction between the two - throughout the world.

Bill C-60 proposes to amend the Financial Administration Act to permit the government to set the mandate for and audit CBC's collective bargaining as well as give the government a veto over CBC's collective agreements. This means that the government would become the effective employer of CBC's personnel, including its journalists, producers and story editors.

Such powers would intrude into CBC's independence well beyond it employee's compensation. Conditions of work are an integral part of CBC's collective agreements with its various employee groups. Such conditions currently provide assurance of the integrity of CBC as an independent national public broadcaster, as required under the Broadcasting Act.

For example, conditions of work in the CBC's collective agreements ensure that:

Journalists cannot be pulled off assignments without good reason.

Journalists do not have to fear retribution, including loss of employment, as a result of reporting the news.

CBC is required to protect the authority of producers over the content, form and budget of a program.

Producers cannot be removed from a program without justification, and they have the right to refuse to produce a program if they do not agree with its content or form.

Were Bill C-60 to pass without amendment, any government could change such provisions in its own interest--at great cost to Canadian democracy.

The federal government already has more than ample influence over CBC through appointment of its CEO and board of directors, and the allocation of its federal grant.

We therefore urge in the strongest terms that Bill C-60 be amended to remove all references to the CBC.

As I mentioned, that is the full text of the letter that was sent to the Prime Minister on May 23.

The New Democrats did attempt to amend Bill C-60 by putting forward a motion that would have seen the references to CBC carved out of the bill, introduced as a separate bill in the House of Commons and then we would be able to have a full debate on it. Unfortunately, the Conservatives did not agreed to those amendments.

As I mentioned, I have received over 1,000 emails on this matter. These are a couple of examples.

One person wrote:

The CBC must be independent from the government. That is why I object to the government taking control of the lion's share of the CBC's budget. The Prime Minister should not have direct control of the salaries and working conditions of CBC journalists and creative staff. I do not want any politician exercising such control over our national public broadcaster. I urge you to abandon this plan.

Another person wrote:

I am writing to object to the proposal to undermine the CBC's editorial independence contained in Budget Implementation Bill C-60. No public broadcaster anywhere in the free world faces the degree of political interference that is proposed for the CBC in Bill C-60. This Bill would give the government the opportunity to turn the CBC into a political propaganda machine rather than a public broadcaster. For the sake of our country and our democracy I urge you to work to have provisions concerning the CBC removed from Bill C-60.

That is just a small sample of the emails that came in.

I also want to touch on another aspect with regard to Bill C-60 and the importance of maintaining that journalistic independence. In a column I wrote recently, I was referencing an organization called Reporters without Borders. It is responsible for issuing the press freedom index.

It indicated that Canada had fallen from 10th to 20th place. This report states that Canada is now behind Costa Rica, Namibia and Lichtenstein. The RWB has blamed the Conservative government's action and incessant attacks on the journalistic principles of anonymous sources for the slip in the ranking.

This is evidence of the kinds of concerns that have been raised by my constituents and thousands of people across Canada.

We have also seen another attack in another bill that is a private member's member before the House, Bill C-461, an act to amend the Access to Information Act and the Privacy Act (disclosure of information), and would put some further restrictions on CBC's abilities to operate independently.

Sadly, with the budget implementation bill, we have seen an effort to shut down parliamentary debate. The efforts to curb CBC's journalistic independence is just another example of the lack of transparency and accountability that the government continues to demonstrate through its various pieces of legislation that it has rammed through the House.

I encourage all members to vote against Bill C-60 and ask the government to bring back a bill and a process that allows us to fully debate such legislation that would have such far-ranging effects.

Economic Action Plan 2013 Act, No. 1Government Orders

June 3rd, 2013 / 3:40 p.m.

Liberal

Scott Brison Liberal Kings—Hants, NS

Mr. Speaker, I would like to ask my colleague about the changes in tax hikes on credit unions in rural and small town Canada. There are significant challenges faced in regions across Canada, particularly in regions that do not have either mining or energy wealth. We see a demographic trend toward smaller communities, older populations and small businesses.

One thing that has been there for rural and small town Canada, even during these difficult times, is the co-operative movement and credit unions. We are told by the heads of credit unions across Canada that these changes will hurt credit unions significantly.

Does the hon. member agree that these tax hikes on credit unions will reduce capital for small businesses and entrepreneurs in rural and small town Canada and, as such, should be reconsidered and reversed by the government?

Economic Action Plan 2013 Act, No. 1Government Orders

June 3rd, 2013 / 3:40 p.m.

NDP

Jean Crowder NDP Nanaimo—Cowichan, BC

Mr. Speaker, in my riding of Nanaimo—Cowichan, there are a number of credit unions. It is an area that has been hard hit at times with changes in the resource industry. For example, in a small town called Youbou, the mill closed down a number of years ago and in Lake Cowichan, a neighbouring small town, found itself at a point where the big banks were closing down their branches.

With regard to the deductions for credit unions, it allowed them to occupy a space where big banks would love to see some of the credit unions close down so they could occupy a monopolistic space in some of the smaller towns. Therefore, it is absolutely essentially that the support we provide for credit unions stays in place so they can continue to provide the community service.

I know credit unions in Nanaimo—Cowichan are a vital part of the community. They are the ones supporting local activities, local businesses and opening the doors for businesses that might not be able to get loans and support from the larger financial institutions. It is really disappointing to see this in Bill C-60. It is an important way for many of the communities to survive financially.

Economic Action Plan 2013 Act, No. 1Government Orders

June 3rd, 2013 / 3:45 p.m.

NDP

Raymond Côté NDP Beauport—Limoilou, QC

Mr. Speaker, I would like to thank my colleague from Nanaimo—Cowichan for her speech.

She focused mainly on the interference of the President of the Treasury Board in the collective agreement negotiations of crown corporations. I fully understand her concern because it is common knowledge that, regrettably, the President of the Treasury Board tends to confuse his personal interests with the public interest. Indeed, he diverts the public interest to serve certain personal interests in a small circle in his riding. This has been obvious in recent years.

One very big problem with this is that it pushes the limits of government interference in collective agreement negotiations. Now it is plausible that this moving line could affect other business activities within crown corporations.

I would like to know whether my colleague shares these concerns and whether she thinks this could go beyond the issue of collective bargaining.

Economic Action Plan 2013 Act, No. 1Government Orders

June 3rd, 2013 / 3:45 p.m.

NDP

Jean Crowder NDP Nanaimo—Cowichan, BC

Mr. Speaker, that is a very good question.

We have seen an anti-labour agenda from the Conservative government. It has done it through the back door with private members' bills. Bill C-377 is a really good example of a bill that tried to impose the kinds of reporting requirements on the trade union movement to which other organizations were not subject.

Bill C-60 is another attempt to take a run at crown corporations and the collective bargaining process that is in place. This, again, plays into the government's agenda and people need to be concerned about what is going on.

Our country is a stronger place because of fair and free collective bargaining and we do not want processes that interfere with that.

Economic Action Plan 2013 Act, No. 1Government Orders

June 3rd, 2013 / 3:45 p.m.

Conservative

Joy Smith Conservative Kildonan—St. Paul, MB

Mr. Speaker, it is indeed my pleasure today to speak to elements of Bill C-60, an act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures.

I want to talk about some of the things that are so important in this budget, which would really make a difference, especially to my province.

The Federal-Provincial Fiscal Arrangements Act piece of Bill C-60 is extremely important to Manitoba. As members know, 40¢ on the dollar has come from the federal government basically to keep Manitoba going.

This new legislation would amend part I, part I.1 and part V.1 of the Federal-Provincial Fiscal Arrangements Act. These changes are required to implement the renewal of the equalization and territorial formula financing programs as the minister announced in December of last year at the finance ministers meeting.

New Brunswick and Manitoba would be protected because of this legislation against a year-over-year decline in their total major transfers. It would eliminate provisions that would be no longer required for the administration of the equalization and TFF programs and would clarify the provisions setting out the escalators in TFF and the Canada health transfer. This is extremely important to Manitoba.

In terms of part I, this legislation would extend the authority to make equalization payments to provinces to March 31, 2019, fulfilling the commitment to renew the program for an additional five-year period.

In addition, the legislation sets out payments to New Brunswick and Manitoba that would ensure their total major transfers in 2013-14 would be no lower than what they were in the previous fiscal year. A change would also be made to clarify the alignment of the timing of calculations and the associated payments. The remaining changes would eliminate elements of the legislation no longer required for the administration of the program, including those related to amounts determined for previous fiscal years that expired provisions related to the 2005 offshore arrangements with Nova Scotia, Newfoundland and Labrador.

This might seem insignificant to provinces that do not have these challenges. However, for Manitoba, this is very helpful to our province. When I look at Bill C-60, it is indeed an economic action plan that would build our Canada, create more jobs and pay attention to the needs of businesses across Manitoba and our nation.

I want to talk a bit about the Canadian Youth Business Foundation.

This measure in Bill C-60 proposes to provide funding of $18 million in multi-year support for the Canadian Youth Business Foundation to enable the foundation to continue its support for young entrepreneurs between the ages of 18 and 34. These young entrepreneurs do not need a hand out, they need a hand up, and with the Canadian Youth Business Foundation, that would happen.

The Canadian Youth Business Foundation is a national not-for-profit organization that works with young entrepreneurs to help them become the business leaders of tomorrow. They get mentorship, expert advice, learning resources and start-up financing. Over the past 10 years, the foundation has worked with 5,600 new entrepreneurs helping to create 22,100 new jobs across Canadian communities, which is very exciting to our economy and the young business people who have their hopes and dreams of building their own futures here in our great nation.

There are many other things that have happened to help youth, and I want to talk about Indspire, which is a measure that also centres on youth.

Bill C-60 would provide $5 million in 2013-14 to Indspire to provide post-secondary scholarships and bursaries for students who are registered as Indians under the Indian Act and for Inuit students. A further $5 million for 2014-15 would be provided through the estimates.

Indspire has a proven record of success. It has provided scholarships to over 2,200 aboriginal students annually and has raised significant support from a range of corporate donors to help support student success. With this new investment, Indspire would be able to provide scholarships to thousands more registered first nations and Inuit youth, helping them reach their potential and strengthening aboriginal communities across the country.

What makes Bill C-60, the economic action plan 2013 act, so important is that it goes right to the essence of what Canadians are all about. It talks about needs, as I outlined at the beginning of my speech on Manitoba and the transfer payments. It outlines the need to build youth, not only young entrepreneurs but youth who would be helped in their education with these scholarships.

The economic action plan also looks at another vulnerable community in our country, and that is older people. We will have more senior citizens in two years than we have young people. There needs to be real attention paid to front-line health care providers.

I want to talk about the Pallium Foundation of Canada. This is another very good initiative. This measure proposes to provide $3 million in multi-year support to the Pallium Foundation of Canada to support training in palliative care for front-line health care providers.

With an aging demographic, when our seniors, who have built this country, come to end-of-life situations, they need to be honoured and cared for. Often they like to be cared for in their homes. The government has committed to helping ensure that Canadians receive the compassionate care they need.

The Pallium Foundation of Canada works to improve the quality of palliative care and end-of-life care for Canadians by creating educational resources for primary care professionals. These primary care professionals are the ones who take care of these very vulnerable populations.

Economic action plan 2013 proposes funding of $3 million over three years to the Pallium Foundation of Canada to support training in palliative care for front-line health care providers. This investment builds on the funding provided in budget 2011 that is being used to support the initiative called the way forward: moving towards community-integrated palliative care in Canada, which aims to help develop new community-integrated palliative care models across this country.

Having said that, we know that a lot of people are not trained in end-of-life issues. Having this front-line training for these very important front-line health care workers is of paramount importance to the well-being of the elderly person and others who are coming to end-of-life situations and are receiving palliative care. It is also important to their families to put in those supports to help them see their way through this very difficult time.

When we look at all these measures, we are cognizant of the fact that to be able to provide health care and all these things we need, we need research.

I am just starting, and I find that I only have a minute left. I have so many good things to talk about in this particular economic action plan.

I want to finish off with the importance of research. Genome Canada has been given a very big boost since our government came to power. It has provided $165 million for multi-year support for genomics research through Genome Canada. This research has been very important for health care.

Economic Action Plan 2013 Act, No. 1Government Orders

June 3rd, 2013 / 3:55 p.m.

NDP

Linda Duncan NDP Edmonton Strathcona, AB

Mr. Speaker, I would like to thank the hon. member for her speech on the bill.

I would like to speak to the comment at the tail end of her speech about the importance of research. Although I have the utmost respect for the member, I am a little stunned that she would say that the bill shows support for important research, yet the government killed support to the Experimental Lakes Area, which was once one of its most important investments. It only gave it a couple of million dollars a year. It was not as though it was a huge investment. However, it was a show of support for an internationally acclaimed initiative that helped to develop the standards for controlling mercury from coal-fired power plants, for controlling phosphorous in detergents and for dealing with acid rain.

I am wondering if the member could address the fact that while she claims the government is deeply interested in research, it would turn around and do this and deep-six one of the most important research institutions in the history of this country.

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June 3rd, 2013 / 3:55 p.m.

Conservative

Joy Smith Conservative Kildonan—St. Paul, MB

Mr. Speaker, I thank that member, who I too have deep respect for, because I think her heart is definitely in the right place with respect to her constituents.

When I talk about the research, I am talking about the $165 million in multi-year support for genomics research through Genome Canada.

Having said that, there was another question asked about the Experimental Lakes Area. I know that there is a lot of opportunity for private entities to also take care of this research and take it over so that it is not shut down. It is expanding and reaching out to offer private entities the opportunity to come in and help with this kind of research.

On the health care aspect, the funding will enable Genome Canada to launch new large-scale research competitions. As I said in my speech, with an aging population, we need more research on cancer care and on a lot of the health care initiatives and challenges we have right now in our country. There will be more of them as we progress. Therefore, it is a matter of making this very important choice of expanding on the research in health care areas that are going to be very important for Canadians.

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June 3rd, 2013 / 4 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, I want to continue with health care, because we all know that Canadians see health care as one of those issues that add to our identity. It provides a certain level of comfort in the minds of all of us. We are very proud of the health care system we have in Canada.

There is also a great deal of concern in regard to a health care accord. A health care accord provides long-term security in terms of financing health care. We all recognize that to have a national health care program, we need to provide that commitment in terms of cash resources for the provinces.

I am wondering if the member for Kildonan—St. Paul would provide comment in regard to her thoughts on the financing and leadership role the federal government should play in health care delivery.

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June 3rd, 2013 / 4 p.m.

Conservative

Joy Smith Conservative Kildonan—St. Paul, MB

Mr. Speaker, I thank my colleague from Winnipeg for his very insightful question, because indeed, health care is of paramount importance. We are looking at so many aspects of health care right now through our government, not only in Manitoba but all across our nation.

Looking at the funding, the health care transfer payments have been increased exponentially across our nation this year so that the provinces can make their decisions about actual health care delivery.

Under the auspices of the federal government, we look at several aspects. The accord is one aspect. I know that the Senate has done an in-depth study on the health accord. I know that in committee, we are just about to finish a very good report on technological innovation. We are moving forward in terms of having all partners being part of the health care solution: the patient, the families, everybody.

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June 3rd, 2013 / 4 p.m.

NDP

Irene Mathyssen NDP London—Fanshawe, ON

Mr. Speaker, I rise today to speak to this so-called budget bill. This Conservative omnibus bill goes far beyond any legitimate budget implementation. It contains an entirely new department of foreign affairs act and would amend nearly 50 pieces of legislation. This is the Conservatives third attempt to avoid public scrutiny and proper parliamentary consideration of their proposals.

By tabling such an unwieldy and wide-ranging bill, with such a short timeframe for deliberations, the government is not only trying to deny both Parliament and the public the chance to study the implications of these sweeping changes but is undermining democracy.

It is interesting to note that the Conservatives claim that this legislation would lead to growth in the Canadian economy. In fact, the Parliamentary Budget Officer estimates that this last year's trifecta of budget bills and fiscal upgrades would lead to a loss of 67,000 jobs. The PBO predicts that the unemployment rate will remain stagnant at over 7%.

In my own city of London, the unemployment rate sits at more than 9%, with little hope of improvement in the near future. Families are suffering. Small and medium businesses are suffering. The community is facing real hardship, and the Conservative government is without any meaningful remedies. We hear a great deal of high talk from the Conservatives, and we certainly see their expensive action plan commercials, but we have not seen any creative or innovative ideas when it comes to economic stimulus and relief for communities such as mine.

Bill C-60 contains nothing to make these economic conditions more manageable for families. There are no job creation measures, yet there are tax hikes on everything from hospital parking to credit unions. Those tax hikes for individuals will cost Canadians over $8 billion. Additionally, the Conservatives are raising tariffs on over 1,200 goods by $333 million but are doing nothing to ease record levels of household debt.

The Caledon Institute, in its budget analysis, notes that good jobs have disappeared in Canada. We know that. I am going to quote from the institute report:

The decline of manufacturing has meant the loss in the past 10 years of more than 700,000 better-paying jobs that typically came with decent benefits and pensions. Its demise has contributed to the hollowing out of the middle class not only in Canada but throughout the developed world.

The only government response to problems in the manufacturing sector has been austerity, cuts to programs and belt tightening. Sadly, these austerity measures have not worked. Around the world, austerity has only led to deeper recession, and here in Canada, the unnecessary focus on the deficit has resulted in a sluggish economy.

An article in The Economist said that the government's plan, which relies on spending restraint and unusually high revenue growth, is seen by many as wishful thinking.

Carol Goar, writing in the Toronto Star, said:

Since he [the Minister of Finance] began chopping programs and expenditures, the economy has drooped, the job market has sagged, consumers have pulled back and the corporate sector has hunkered down, sitting on its earnings. The same formula has delivered worse results in Europe.

The federal government has the opportunity to avoid the disastrous consequences of austerity to jump-start the economy and make a long-term investment in our social, economic and environmental future. Instead, the Conservative budget plan offers a host of proposals that will only weaken families, workers, the environment and seniors.

Seniors are often vulnerable to even the best of economic climates. This legislation would do nothing to address the retirement security of those who face a loss of their savings.

In a previous budget bill, the government made changes to old age security and GIS and raised the age of eligibility for OAS and GIS from 65 to 67. The receipt of GIS and OAS has a critical impact on poor seniors in this country. By raising the age of eligibility, the government is callously denying those who are struggling at hard, physically demanding jobs and those trying to manage on provincial support programs any hope of a dignified retirement at age 65.

In this budget, Conservatives offer only a vague and unexplained reference to low-cost and secure pension options. Instead of raising the GIS to ensure every senior is lifted out of poverty, or opening up the CPP/QPP to allow seniors to increase their savings, the Conservative budget would implement the kinds of policies that are of no real value to the retirees of this country. The Conservatives' pooled registered pension plan does little to help with pension savings for the vast majority of Canadians.

Although numerous organizations, from the United Nations to Statistics Canada, have released reports emphasizing the need to address affordable housing and poverty issues for seniors, this budget makes no mention of either of those. In point of fact, the Conservative government has absolutely no interest in the lack of affordable housing in Canada, and even less interest in the fact that more than 250,000 seniors live in poverty.

By contrast, the budget bill before us has several measures to improve the government's ability to catch CPP/QPP overpayments and ensure the government is able to recover that money. While the recovery of inappropriate payments is a good thing, we need look no further than the controversy surrounding certain senators. I am concerned that, on the other hand, the government is failing to ensure that Canadians have access to money owed to them. The Social Security Tribunal set up by the government is not only rife with partisan appointments, but many fear the reduced number of tribunal members will make it painfully slow in its decision making, leaving poor people waiting and waiting.

The Conservatives seem to have the attitude that the taxpayers are out to cheat the government, and that must end. I believe that the government should be serving the taxpayer and that our priority should be to ensure that Canadians are receiving the benefits and services they require and have earned. It is a good thing to ensure that overpayments are recovered, but not without ensuring that those who are slipping through the cracks are caught and helped as well.

I would also like to highlight here the pension income splitting that the Conservatives introduced in a previous budget. The Caledon Institute of Social Policy stated:

The Budget also pats itself on the back for the pension income splitting provision, a very expensive ($920 million) and regressive tax break introduced in 2007 that favours wealthy senior couples. A senior couple with a modest private pension of $20,000 a year will realize a grand total of $310 in federal income tax savings as a result of income splitting. For a couple with $30,000 in pension income, the savings increase to $802. However, a well-to-do couple with $100,000 in pension income will see a tax reduction of $7,280 — more than nine times that of a couple with $30,000 in pension income, and more than 23 times that of a couple with $20,000 in private pension income.

And what of single seniors? There are many single women and men who are unable to benefit at all. I would also like to highlight that seniors are still living in poverty in this country. Those particularly affected are single senior women who tend to have significantly less pension savings. We can and should do more for those living out their senior years making the tough choices between housing, food and medication. It is shameful that this budget would do nothing to address the poverty faced by seniors in Canada.

In fact, the priorities of the Conservative government seem out of touch with the priorities of many Canadians. The Canadian Centre for Policy Alternatives provides a good example of how exactly to remedy the lack of good public policy. It calls on the Conservatives to address poverty in a meaningful way by prioritizing improvements in the incomes of all low-income and middle-income households, better public pensions, higher minimum wages, the widespread adoption of living wage policies; and improving support for the ill, the unemployed, the young and the old.

This is a travesty of a budget. That is the best I can say of it. It borders on neglect for those who need support the most.

As members can see, there is a good deal more to this budget bill than just budget making. It would go far beyond anything that is legitimate, and I have to question it. I have to say that it is deceptive, it lacks transparency and I hope in 2015 Canadians will hold the Conservative government to account.

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June 3rd, 2013 / 4:10 p.m.

Conservative

Harold Albrecht Conservative Kitchener—Conestoga, ON

Mr. Speaker, in a way, it is not surprising to hear the negativity from the other side when we consider that opposition members go to the States and talk down our economy.

I am very much aware of the fact that the city the member comes from is experiencing one of the highest unemployment rates in history. I would think that the member would be concerned about creating jobs, especially for young people. Yet, Liberals are saying they are going to oppose the budget when it offers all kinds of opportunity for job creation.

I want to quote Mike Holmes with relation to Skills Canada. He stated:

Actually, (I’m) very satisfied. I mean, to hear the $47 billion go into infrastructure which, one, we need--we need to fix the bridges, the roads--two, to help the young get into the trades, a $15,000 per person tax benefit. I mean, this is a move in the right direction. We’re going to encourage the young to get into the trades and we have jobs for them to do. In the long run they’re all going to be working for many years and the government is going to be receiving tax dollars. This is a win-win.

My question, very simply, is this. Why would opposition members, especially this member from a high unemployment area, continue to work against the very thing our government has been trying to do: encourage youth to get into the skills trades and find meaningful employment?

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June 3rd, 2013 / 4:10 p.m.

NDP

Irene Mathyssen NDP London—Fanshawe, ON

Mr. Speaker, you may have noted that when I began my speech, I spoke about talk, talk, talk, with no action. We are not seeing anything that is tangible and real.

Yes, of course, there is unemployment in my town, thanks very much to the lack of action of the government. When Electro-Motive Diesel and Caterpillar threatened workers with a 50% reduction in pensions, wages and benefits, the government sat on its hands. Yes, there is unemployment because the government continues to sit on its hands.

About a month ago, I visited one of the employers in my riding, Great Lakes Copper. It is managing. It does remarkable work and has a very strong workforce of about 300 people. It pays decent wages and provides benefits. However, it told me that the government allows the dumping of cheap copper into the Canadian market. There is no support or help for entities like Great Lakes Copper, and no practical training either. Within that particular manufacturing facility, multiple skills are required, and the government has provided nothing with regard to the multi-skilled levels for companies like Great Lakes Copper. Conservatives can talk, and they do talk, but I want to see some action.

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June 3rd, 2013 / 4:15 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, it was just over a year ago when we heard that the Conservative government was going to increase the age of retirement from 65 to 67. The member made reference to poverty and many seniors are in a poverty situation. When one looks at the budget we are talking about today, the fact that there is really—

Economic Action Plan 2013 Act, No. 1Government Orders

June 3rd, 2013 / 4:15 p.m.

The Deputy Speaker

On a point of order, the member for Kitchener—Conestoga.