Economic Action Plan 2014 Act, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures

This bill is from the 41st Parliament, 2nd session, which ended in August 2015.

Sponsor

Joe Oliver  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 income tax measures and related measures proposed in the February 11, 2014 budget. Most notably, it
(a) increases the maximum amount of eligible expenses for the adoption expense tax credit;
(b) expands the list of expenses eligible for the medical expense tax credit to include the cost of the design of individualized therapy plans and costs associated with service animals for people with severe diabetes;
(c) introduces the search and rescue volunteers tax credit;
(d) extends, for one year, the mineral exploration tax credit for flow-through share investors;
(e) expands the circumstances in which members of underfunded pension plans can benefit from unreduced pension-to-RRSP transfer limits;
(f) eliminates the need for individuals to apply for the GST/HST credit and allows the Minister of National Revenue to automatically determine if an individual is eligible to receive the credit;
(g) extends to 10 years the carry-forward period with respect to certain donations of ecologically sensitive land;
(h) removes, for certified cultural property acquired as part of a gifting arrangement that is a tax shelter, the exemption from the rule that deems the value of a gift to be no greater than its cost to the donor;
(i) allows the Minister of National Revenue to refuse to register, or revoke the registration of, a charity or Canadian amateur athletic association that accepts a donation from a state supporter of terrorism;
(j) reduces, for certain small and medium-sized employers, the frequency of remittances for source deductions;
(k) improves the Canada Revenue Agency’s ability to provide feedback to the Financial Transactions and Reports Analysis Centre of Canada; and
(l) requires a listing of outstanding tax measures to be tabled in Parliament.
Part 1 also implements other selected income tax measures. Most notably, it
(a) introduces transitional rules relating to the labour-sponsored venture capital corporations tax credit;
(b) requires certain financial intermediaries to report to the Canada Revenue Agency international electronic funds transfers of $10,000 or more;
(c) makes amendments relating to the introduction of the Offshore Tax Informant Program of the Canada Revenue Agency;
(d) permits the disclosure of taxpayer information to an appropriate police organization in certain circumstances if the information relates to a serious offence; and
(e) provides that the Business Development Bank of Canada and BDC Capital Inc. are not financial institutions for the purposes of the Income Tax Act’s mark-to-market rules.
Part 2 implements certain goods and services tax/harmonized sales tax (GST/HST) measures proposed in the February 11, 2014 budget by
(a) expanding the GST/HST exemption for training that is specially designed to assist individuals with a disorder or disability to include the service of designing such training;
(b) expanding the GST/HST exemption for services rendered to individuals by certain health care practitioners to include professional services rendered by acupuncturists and naturopathic doctors;
(c) adding eyewear specially designed to treat or correct a defect of vision by electronic means to the list of GST/HST zero-rated medical and assistive devices;
(d) extending to newly created members of a group the election that allows members of a closely-related group to not account for GST/HST on certain supplies between them, introducing joint and several (or solidary) liability for the parties to that election for any GST/HST liability on those supplies and adding a requirement to file that election with the Canada Revenue Agency;
(e) giving the Minister of National Revenue the discretionary authority to register a person for GST/HST purposes if the person fails to comply with the requirement to apply for registration, even after having been notified by the Canada Revenue Agency of that requirement; and
(f) improving the Canada Revenue Agency’s ability to provide feedback to the Financial Transactions and Reports Analysis Centre of Canada.
Part 2 also implements other GST/HST measures by
(a) providing a GST/HST exemption for supplies of hospital parking for patients and visitors, clarifying that the GST/HST exemption for supplies of a property, when all or substantially all of the supplies of the property by a charity are made for free, does not apply to paid parking and clarifying that paid parking provided by charities that are set up or used by municipalities, universities, public colleges, schools and hospitals to operate their parking facilities does not qualify for the special GST/HST exemption for parking supplied by charities;
(b) clarifying that reports of international electronic funds transfers made to the Canada Revenue Agency may be used for the purposes of the administration of the GST/HST;
(c) making amendments relating to the introduction of the Offshore Tax Informant Program of the Canada Revenue Agency;
(d) permitting the disclosure of confidential GST/HST information to an appropriate police organization in certain circumstances if the information relates to a serious offence; and
(e) clarifying that a person cannot claim input tax credits in respect of an amount of GST/HST that has already been recovered by the person from a supplier.
Part 3 implements excise measures proposed in the February 11, 2014 budget by
(a) adjusting the domestic rate of excise duty on tobacco products to account for inflation and eliminating the preferential excise duty treatment of tobacco products available through duty free markets;
(b) ensuring that excise tax returns are filed accurately through the addition of a new administrative monetary penalty and an amended criminal offence for the making of false statements or omissions, consistent with similar provisions in the GST/HST portion of the Excise Tax Act; and
(c) improving the Canada Revenue Agency’s ability to provide feedback to the Financial Transactions and Reports Analysis Centre of Canada.
Part 3 also implements other excise measures by
(a) permitting the disclosure of confidential information to an appropriate police organization in certain circumstances if the information relates to a serious offence; and
(b) making amendments relating to the introduction of the Offshore Tax Informant Program of the Canada Revenue Agency.
In addition, Part 3 amends the Air Travellers Security Charge Act, the Excise Act, 2001 and the Excise Tax Act to clarify that reports of international electronic funds transfers made to the Canada Revenue Agency may be used for the purposes of the administration of those Acts.
Part 4 amends the Customs Tariff. In particular, it
(a) reduces the Most-Favoured-Nation rates of duty and, if applicable, rates of duty under the other tariff treatments on tariff items related to mobile offshore drilling units used in oil and gas exploration and development that are imported on or after May 5, 2014;
(b) removes the exemption provided by tariff item 9809.00.00 and makes consequential amendments to tariff item 9833.00.00 to apply the same tariff rules to the Governor General that are applied to other public office holders; and
(c) clarifies the tariff classification of certain imported food products, effective November 29, 2013.
Part 5 enacts the Canada–United States Enhanced Tax Information Exchange Agreement Implementation Act and amends the Income Tax Act to introduce consequential information reporting requirements.
Part 6 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 6 provides for payments to compensate for deductions in certain benefits and allowances that are payable under the Canadian Forces Members and Veterans Re-establishment and Compensation Act, the War Veterans Allowance Act and the Civilian War-related Benefits Act.
Division 2 of Part 6 amends the Bank of Canada Act and the Canada Deposit Insurance Corporation Act to authorize the Bank of Canada to provide banking and custodial services to the Canada Deposit Insurance Corporation.
Division 3 of Part 6 amends the Hazardous Products Act to better regulate the sale and importation of hazardous products intended for use, handling or storage in a work place in Canada in accordance with the Regulatory Cooperation Council Joint Action Plan initiative for work place chemicals. In particular, the amendments implement the Globally Harmonized System of Classification and Labelling of Chemicals with respect to, among other things, labelling and safety data sheet requirements. It also provides for enhanced powers related to administration and enforcement. Finally, it makes amendments to the Canada Labour Code and the Hazardous Materials Information Review Act.
Division 4 of Part 6 amends the Importation of Intoxicating Liquors Act to authorize individuals to transport beer and spirits from one province to another for their personal consumption.
Division 5 of Part 6 amends the Judges Act to increase the number of judges of the Superior Court of Quebec and the Court of Queen’s Bench of Alberta.
Division 6 of Part 6 amends the Members of Parliament Retiring Allowances Act to prohibit parliamentarians from contributing to their pension and accruing pensionable service as a result of a suspension.
Division 7 of Part 6 amends the National Defence Act to recognize the historic names of the Royal Canadian Navy, the Canadian Army and the Royal Canadian Air Force while preserving the integration and the unification achieved under the Canadian Forces Reorganization Act and to provide that the designations of rank and the circumstances of their use are prescribed in regulations made by the Governor in Council.
Division 8 of Part 6 amends the Customs Act to extend to 90 days the time for making a request for a review of a seizure, ascertained forfeiture or penalty assessment and to provide that requests for a review and third-party claims can be made directly to the Minister of Public Safety and Emergency Preparedness.
Division 9 of Part 6 amends the Atlantic Canada Opportunities Agency Act to provide for the dissolution of the Atlantic Canada Opportunities Board and to repeal the requirement for the President of the Atlantic Canada Opportunities Agency to submit a comprehensive report every five years on the Agency’s activities and on the impact those activities have had on regional disparity.
Division 10 of Part 6 dissolves the Enterprise Cape Breton Corporation and authorizes, among other things, the transfer of its assets and obligations, as well as those of its subsidiaries, to either the Atlantic Canada Opportunities Agency or Her Majesty in right of Canada as represented by the Minister of Public Works and Government Services. It also provides that the employees of the Corporation and its subsidiaries are deemed to have been appointed under the Public Service Employment Act and includes provisions related to their terms and conditions of employment. Furthermore, it amends the Atlantic Canada Opportunities Agency Act to, among other things, confer on the Atlantic Canada Opportunities Agency the authority that is necessary for the administration, management, control and disposal of the assets and obligations transferred to the Agency. It also makes consequential amendments to other Acts and repeals the Enterprise Cape Breton Corporation Act.
Division 11 of Part 6 provides for the transfer of responsibility for the administration of the programs known as the “Online Works of Reference” and the “Virtual Museum of Canada” from the Minister of Canadian Heritage to the Canadian Museum of History.
Division 12 of Part 6 amends the Nordion and Theratronics Divestiture Authorization Act to remove certain restrictions on the acquisition of voting shares of Nordion.
Division 13 of Part 6 amends the Bank Act to add regulation-making powers respecting a bank’s activities in relation to derivatives and benchmarks.
Division 14 of Part 6 amends the Insurance Companies Act to broaden the Governor in Council’s authority to make regulations respecting the conversion of a mutual company into a company with common shares.
Division 15 of Part 6 amends the Motor Vehicle Safety Act to support the objectives of the Regulatory Cooperation Council to enhance the alignment of Canadian and U.S. regulations while protecting Canadians. It introduces measures to accelerate and streamline the regulatory process, reduce the administrative burden for manufacturers and importers and improve safety for Canadians through revised oversight procedures and enhanced availability of vehicle safety information.
The amendments to the Railway Safety Act and the Transportation of Dangerous Goods Act, 1992 modernize the legislation by aligning it with the Cabinet Directive on Regulatory Management.
This Division also amends the Safe Food for Canadians Act to authorize the Governor in Council to make regulations respecting activities related to specified fresh fruits and vegetables, including requiring a person who engages in certain activities to be a member of a specified entity or organization. It also repeals the Board of Arbitration.
Division 16 of Part 6 amends the Telecommunications Act to set a maximum amount that a Canadian carrier can charge to another Canadian carrier for certain roaming services.
Division 17 of Part 6 amends the Canada Labour Code to allow employees to interrupt their compassionate care leave or leave related to their child’s critical illness, death or disappearance in order to take leave because of sickness or a work-related illness or injury. It also amends the Employment Insurance Act to facilitate access to sickness benefits for claimants who are in receipt of compassionate care benefits or benefits for parents of critically ill children.
Division 18 of Part 6 amends the Canadian Food Inspection Agency Act to provide that fees fixed under that Act for the use of a facility provided by the Canadian Food Inspection Agency under the Safe Food for Canadians Act as well as fees fixed for services, products and rights and privileges provided by the Agency under that Act are exempt from the application of the User Fees Act.
Division 19 of Part 6 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to, among other things, enhance the client identification, record keeping and registration requirements for financial institutions and intermediaries, refer to online casinos, and extend the application of the Act to persons and entities that deal in virtual currencies and foreign money services businesses. Furthermore, it makes modifications in regards to the information that the Financial Transactions and Reports Analysis Centre of Canada may receive, collect or disclose, and expands the circumstances in which the Centre or the Canada Border Services Agency can disclose information received or collected under the Act. It also updates the review and appeal provisions related to cross-border currency reporting and brings Part 1.1 of the Act into force.
Division 20 of Part 6 amends the Immigration and Refugee Protection Act and the Economic Action Plan 2013 Act, No. 2 to, among other things,
(a) require certain applications to be made electronically;
(b) provide for the making of regulations regarding the establishment of a system of administrative monetary penalties for the contravention of conditions applicable to employers hiring foreign workers;
(c) provide for the termination of certain applications for permanent residence in respect of which a decision as to whether the selection criteria are met is not made before February 11, 2014; and
(d) clarify and strengthen requirements related to the expression of interest regime.
Division 21 of Part 6 amends the Public Service Labour Relations Act to clarify that an adjudicator may grant systemic remedies when it has been determined that the employer has engaged in a discriminatory practice.
It also clarifies the transitional provisions in respect of essential services that were enacted by the Economic Action Plan 2013 Act, No. 2.
Division 22 of Part 6 amends the Softwood Lumber Products Export Charge Act, 2006 to clarify how payments to provinces under section 99 of that Act are to be determined.
Division 23 of Part 6 amends the Budget Implementation Act, 2009 so that the aggregate amount of payments to provinces and territories for matters relating to the establishment of a Canadian securities regulation regime may be fixed through an appropriation Act.
Division 24 of Part 6 amends the Protection of Residential Mortgage or Hypothecary Insurance Act and the National Housing Act to provide that certain criteria established in a regulation may apply to an existing insured mortgage or hypothecary loan.
Division 25 of Part 6 amends the Trade-marks Act to, among other things, make that Act consistent with the Singapore Treaty on the Law of Trademarks and add the authority to make regulations for carrying into effect the Protocol Relating to the Madrid Agreement Concerning the International Registration of Marks. The amendments include the simplification of the requirements for obtaining a filing date in relation to an application for the registration of a trade-mark, the elimination of the requirement to declare use of a trade-mark before registration, the reduction of the term of registration of a trade-mark from 15 to 10 years, and the adoption of the classification established by the Nice Agreement Concerning the International Classification of Goods and Services for the Purposes of the Registration of Marks.
Division 26 of Part 6 amends the Trade-marks Act to repeal the power to appoint the Registrar of Trade-marks and to provide that the Registrar is the person appointed as Commissioner of Patents under subsection 4(1) of the Patent Act.
Division 27 of Part 6 amends the Old Age Security Act to prevent the payment of Old Age Security income-tested benefits for the entire period of a sponsorship undertaking by removing the current 10-year cap.
Division 28 of Part 6 enacts the New Bridge for the St. Lawrence Act, respecting the construction and operation of a new bridge in Montreal to replace the Champlain Bridge and the Nuns’ Island Bridge.
Division 29 of Part 6 enacts the Administrative Tribunals Support Service of Canada Act, which establishes the Administrative Tribunals Support Service of Canada (ATSSC) as a portion of the federal public administration. The ATSSC becomes the sole provider of resources and staff for 11 administrative tribunals and provides facilities and support services to those tribunals, including registry, administrative, research and analysis services. The Division also makes consequential amendments to the Acts establishing those tribunals and to other Acts related to those tribunals.
Division 30 of Part 6 enacts the Apprentice Loans Act, which provides for financial assistance for apprentices to help with the cost of their training. Under that Act, apprentices registered in eligible trades will be eligible for loans that will be interest-free until their training ends.

Elsewhere

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

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-31s:

C-31 (2022) Law Cost of Living Relief Act, No. 2 (Targeted Support for Households)
C-31 (2021) Reducing Barriers to Reintegration Act
C-31 (2016) Law Canada-Ukraine Free Trade Agreement Implementation Act
C-31 (2012) Law Protecting Canada's Immigration System Act

Votes

June 12, 2014 Passed That the Bill be now read a third time and do pass.
June 12, 2014 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-31, An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures, because it: ( a) has not received adequate study or amendment by Parliament; ( b) cancels the hiring credit for small business ( c) raises costs for Canadian businesses through changes to trademark law that have been opposed by dozens of chambers of commerce, businesses and legal experts; ( d) hands over private financial information of hundreds of thousands of Canadians to the US Internal Revenue Service under Foreign Account Tax Compliance Act; ( e) undermines the independence of 11 federal administrative tribunals; and ( f) fails to fully compensate for years of unjust clawback to the benefits of Canada's disabled veterans.”.
June 9, 2014 Passed That Bill C-31, An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures, {as amended}, be concurred in at report stage [with a further amendment/with further amendments] .
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 376.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 375.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 371.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 369.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 317.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 313.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 308.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 300.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 223.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 211.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 206.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 179.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 175.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 110.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 28.
June 9, 2014 Failed That Bill C-31 be amended by deleting Clause 27.
June 9, 2014 Failed That Bill C-31 be amended by deleting the short title.
June 5, 2014 Passed That, in relation to Bill C-31, An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures, not more than five further hours shall be allotted to the consideration at report stage of the Bill and five hours shall be allotted to the consideration at third reading stage of the said Bill; and that, at the expiry of the five hours provided for the consideration at report stage and the five hours provided for 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 said stages of the Bill then under consideration shall be put forthwith and successively, without further debate or amendment.
April 8, 2014 Passed That the Bill be now read a second time and referred to the Standing Committee on Finance.
April 8, 2014 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-31, An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures, because it: ( a) amends more than sixty Acts without adequate parliamentary debate and oversight; ( b) does nothing to create quality, good-paying jobs for Canadians and fails to extend the hiring credit for small business; ( c) fails to reverse devastating cuts to infrastructure and healthcare; ( d) hands over private financial information of hundreds of thousands of Canadians to the US Internal Revenue Service under the Foreign Account Tax Compliance Act; ( e) reduces transparency at the Atlantic Canada Opportunities Agency; (f) imposes tolls on the Champlain Bridge; ( g) jeopardizes the independence of eleven federal administrative tribunals; and ( h) enables the government to weaken regulations affecting rail safety and the transport of dangerous goods without notifying the public.”.
April 3, 2014 Passed That, in relation to Bill C-31, An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures, not more than three further sitting days after the day on which this Order is adopted 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 third 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 2014 Act, No. 1Government Orders

June 5th, 2014 / 7:10 p.m.

Essex Ontario

Conservative

Jeff Watson ConservativeParliamentary Secretary to the Minister of Transport

Madam Speaker, one of the important measures in Bill C-31, of course, is for the Minister of Transport to be able to issue recalls on safety. I wonder if the member would comment on whether he supports that measure.

Economic Action Plan 2014 Act, No. 1Government Orders

June 5th, 2014 / 7:10 p.m.

NDP

Sylvain Chicoine NDP Châteauguay—Saint-Constant, QC

Madam Speaker, I thank my colleague for his question. I think this is a somewhat controversial measure.

I cannot comment on the measure my colleague is talking about because I think I am getting it mixed up with another measure that is very controversial, the one that could jeopardize Canadians' privacy.

I cannot answer my colleague's question on transportation because this is an extremely controversial bill. I did not spend a lot of time looking at transportation issues. I do not know whether I would support that measure.

Economic Action Plan 2014 Act, No. 1Government Orders

June 5th, 2014 / 7:10 p.m.

NDP

Pierre Jacob NDP Brome—Missisquoi, QC

Madam Speaker, I would like to congratulate my hon. colleague on his speech and the hard work he does for veterans and in his riding.

I would like to remind him that 71 veterans with post-traumatic stress syndrome have committed suicide since 2008.

Last week, the Minister of Veterans Affairs showed no interest in listening to Ms. Migneault, who lives in my riding, Brome—Missisquoi. In fact, he ran away from her.

I would like to ask him why Bill C-31 does not include measures to help the men and women who have to live with the after-effects of being in combat.

Economic Action Plan 2014 Act, No. 1Government Orders

June 5th, 2014 / 7:15 p.m.

NDP

Sylvain Chicoine NDP Châteauguay—Saint-Constant, QC

Madam Speaker, I have a quick answer for my colleague.

Since 2006, the government has been balancing the budget at veterans' expense.

Economic Action Plan 2014 Act, No. 1Government Orders

June 5th, 2014 / 7:15 p.m.

NDP

Glenn Thibeault NDP Sudbury, ON

Madam Speaker, I am truly honoured to once again be able to rise in this House to speak and of course debate, while representing the great folks of my riding of Sudbury, representing their voice and the voice of the New Democratic Party here in the House of Commons.

We are debating Bill C-31, an act to implement certain provisions of the budget tabled in Parliament on February 11, 2014, and other measures. I believe that this is act 1 of many acts to follow.

What we have is a budget bill that is over 350 pages long. It is not a play. We are not debating a play. This is not act 1 and act 2. What I can really say is that there will not be a happy ending for many Canadians when this budget bill passes.

I would first like to talk a little about the hiring credit for small businesses. Just last year, 560,000 small businesses in this country used that hiring credit. Now, when we think about the 2.4 million small businesses in this country, that is a significant amount of small businesses that are using that.

Let us not forget that in this country, the real job creators are small and medium-sized enterprises, the economic engine of our country. It is not Bay Street but Main Street that is actually creating the jobs.

If we are actually cutting the hiring credit for small businesses, when we know there are 2.4 million businesses in this country and 1 million of those businesses offer employment to more than 1 employee, we really should have thought about this before the government actually removed this credit from the budget.

The cost of this program was approximately $235 million. That is a significant amount of change. Let us not diminish that. However, when we look at the corporate tax cuts that the government has made over the last few years, from 22% down to 15%, that cost is approximately $1.3 billion.

We heard from the former finance minister—bless his soul, a very good man—that this became money that the corporations are sitting on, and they are not creating the jobs that we want and that we need in this country. On one hand, we have small businesses that are creating the jobs, creating one-third the growth of the GDP in this country, and then on the other hand we have the corporations that are sitting on the money that they are saving in the corporate tax rates, not creating jobs.

We keep giving the large corporations the breaks, and we are doing nothing to help the small business and medium-sized enterprise in this country. That is shameful.

The government has an opportunity to actually put that small business hiring tax credit back in place. Let us make sure that more than 560,000 of these small businesses in this country utilize that hiring tax credit, because right now not only are they losing that hiring tax credit, but they are getting hit and hit hard by the government's inaction on merchant fees. It is $4.2 billion per year that our small and medium-sized enterprises have to spend just to accept credit card payments in this country.

What we are not saying is that the credit card companies and the banks cannot recoup their costs and make a profit. However, do they have to do it so much so that small businesses are now saying that one more increase will break their backs, or that they are shutting their doors, or that they are not hiring people, or that they cannot expand their business?

I have the 2013 state of industry report from the Canadian Convenience Stores Association, which was just released. This is what it is saying in its statistics: last year, all of the convenience stores across this country lost $254 million. They lost money, but they also had to spend $832 million just to accept credit card payments. That means they cannot hire more employees.

A total of 61% of all convenience stores across the country say that they cannot hire more employees. They cannot pay down debt as quickly. That is 51% of all of these businesses. They cannot invest in equipment and expansion, which also has a ripple effect in our communities.

They cannot increase the employees' wages and benefits. They cannot increase donations to charity. As a former executive director of the United Way in Sudbury, I can attest that the small and medium enterprises in my community, and I am sure right across the country, are the businesses that invest in our charities. They invest in our communities. If we can keep more money in their pockets by addressing this merchant fee, they would continue to address and invest in their own communities.

They have to increase prices. Small and medium-sized business owners from coast to coast to coast, whether they are the Canadian Convenience Stores Association, the Retail Council of Canada, or independent business owners, will say that if we do not do something now in relation to merchant fees, we are going to be in trouble, because they are going to stop investing. They are going to stop hiring people, and we need them to hire people. We need to continue to grow our economy by supporting our small and medium-sized enterprises.

So far what we have seen from the government is the elimination of a hiring tax credit and doing nothing on the merchant fees. It created a voluntary code that is still full of loopholes.

The CFIB and others continue to push the government to act. Even the Competition Bureau asked the Competition Tribunal to investigate some of the anti-competitive practices that are in place in this country when it comes to Visa and Mastercard. The Competition Tribunal investigated. We were expecting a decision in December 2012. It came out in July 2013, and what did it do? It punted that decision back to Parliament. The Competition Tribunal is saying that this is a decision Parliament needs to act on. Instead, we have not heard an iota of any type of change on these requests from the tribunal to make sure that we can support our small and medium-sized enterprises.

Surely when we are looking at this 350-page budget document that would change everything from veterans to FATCA to all the other things that are in there, could we not have put one small regulation in place to prevent the anti-competitive practices being used by Visa and Mastercard and some of the banks and help our small businesses continue to grow? That could have been a simple change, but it did not happen.

One of the other things we were hoping to see in this budget implementation act was on OBSI. OBSI, the Ombudsman for Banking Services and Investments, provides a great service to all Canadians, both consumers and businesses alike. What we have seen are the slowly diminishing powers of OBSI. Again, one quick regulation could have shut the door and stopped some of the banks from leaving. Instead, the Conservative have left it open. By leaving it open, we are going against the recommendation of the crazy, left-wing IMF and the World Bank that a single dispute mechanism for all consumers, small businesses, and all businesses in this country is the way to go. Instead, what we have seen is the Conservative government allowing banks to leave and choose their own law firms to be their ombudsmen for their consumers.

While OBSI is at an arm's length from the financial institutions, we are now allowing the banks to hire their own law firms to act on behalf of consumers who are having a problem with the banks. Again, that is like putting the fox in charge of the henhouse. That cannot happen, but it does.

Unfortunately, we have seen the Conservative government choose not to put that regulation into an omnibus budget bill. It has 350 pages and it has really closed the door on ensuring that small businesses get the support they need to continue to grow our economy.

As I said at the beginning of my speech, this is act no. 1. Act no. 2 is coming, and there really is no happy ending for this.

Economic Action Plan 2014 Act, No. 1Government Orders

June 5th, 2014 / 7:25 p.m.

Etobicoke—Lakeshore Ontario

Conservative

Bernard Trottier ConservativeParliamentary Secretary to the Minister of Public Works and Government Services

Mr. Speaker, I listened attentively to that rant from across the way. I have to compliment the member on the timbre of his voice. He has a perfect face for radio, as they say.

He mentioned in his speech that the government has not done anything for small business. I speak to owners of small businesses all the time in my riding and across the country, and they really admire the things we have done since 2006, in the past three budgets in particular.

We eliminated the corporate surtax in 2008, which is a big deal to small businesses. It was a big part of what they were paying. It reduced the small business tax rate. However, the really important thing for them is succession. Small businesses have been built up with sweat and tears, and raising the lifetime capital gains is a really important measure for them. They have built up capital. That is their future, and they want to hand it off to future generations. Raising the limit to $800,000 is something they are very thankful for.

The comments about government not doing anything for small business I really do not agree with. Owners of small businesses do not agree with it either. Maybe the member would comment on that, please.

Economic Action Plan 2014 Act, No. 1Government Orders

June 5th, 2014 / 7:25 p.m.

NDP

Glenn Thibeault NDP Sudbury, ON

Mr. Speaker, I agree that elevating capital gains was important for owners of small and medium-sized businesses. It was something that this side of the House supported. However, the problem is that if we are cutting out a hiring tax credit, if we are making sure that they have to pay more on merchant fees, if we are putting forward a bill that is really not going to reduce any of the red tape, there is not going to be anything to be a successor of.

Really, what the government needs to do is listen to the CFIB, the Retail Council of Canada, the Canadian Convenience Stores Association, and Restaurants Canada. All of them are saying on the merchant fee file that these guys are not doing anything. It is costing them $4.2 billion per year, and rather than act on that, the government wants to put it down on paper and never act. Unfortunately, it will actually cost them more than it is right now and what it should be.

Economic Action Plan 2014 Act, No. 1Government Orders

June 5th, 2014 / 7:25 p.m.

NDP

Matthew Kellway NDP Beaches—East York, ON

Mr. Speaker, I would like to thank my colleague for his speech and for being such a fine champion of small business in this country.

My riding of Beaches—East York is in Toronto. Often we conflate Toronto with Bay Street when we think about business, but of course, Toronto is a big place. I think a confederation of neighbourhoods is what Jane Jacobs once called it. In all of those neighbourhoods, there are small businesses, and the success of small business is, in fact, the success of the neighbourhoods of the communities we live in. We notice in our neighbourhoods when a small business does not succeed. There are empty storefronts and so on and so forth.

Another spinoff, obviously, of the success of small business is the issue of youth employment. Toronto is facing about 18% youth unemployment, and small business is an obvious employment opportunity for young people. It is a great place to get started in the labour market. I was wondering if my colleague could comment on the connection between youth unemployment and the success of small business in Canada.

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June 5th, 2014 / 7:25 p.m.

NDP

Glenn Thibeault NDP Sudbury, ON

Mr. Speaker, recently I was at the chamber in Victoria, British Columbia talking about a lot of the things we want to hear about from small businesses. One thing I took from that, besides many of the recommendations, was their congratulations to the NDP for having an urban affairs critic. I wanted to make sure that I passed that along to my hon. colleague.

In relation to the question about youth unemployment and small business, part of the proposal we are putting forward is a hiring tax credit for youth that would give small businesses $4,000, especially in those areas that have higher youth unemployment, like my riding of Sudbury, unfortunately. I was shocked to learn when I was recently in Victoria with the member for Victoria that there is a 14% unemployment rate for youth between 18 and 25. Across the country, that is happening in too many cities.

New Democrats have a proposal. If the government wants to take it, we would be more than happy, but I do not think it will do that, because we have not seen it act on anything substantive to help small business in a very long time. This is something that would be a win-win: we will help employ our youth, and we will make sure that the small businesses get the employees they need so urgently.

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June 5th, 2014 / 7:30 p.m.

NDP

Djaouida Sellah NDP Saint-Bruno—Saint-Hubert, QC

Mr. Speaker, I cannot say I am happy to speak about another omnibus bill.

Bill C-31, An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures, is once again an omnibus bill that contains a number of measures in other bills.

As Canadians are well aware, these omnibus bills include provisions that have absolutely nothing to do with financial or budgetary measures. These mammoth bills make huge changes in our society by means of provisions that are hidden in bills so that the government can impose its ideological views by leaving Canadians in the dark.

The opposition, which may reject some initiatives but approve of others, is deliberately placed in such a position that it must oppose all of the initiatives, even the ones it approves of. Then the Conservatives accuse us of voting against a particular provision.

However, Canadians are not buying it. They know that the Conservative government forces mammoth bills through in order to hide its mistakes and incompetence and bring in measures that are solely in its own interest and not in the interest of Canadians.

In addition to the problem of a catch-all bill, this kind of process makes it impossible to consider the bill in depth. What democracy. We in the NDP are opposed to this bill for these reasons, but especially because of its content.

Serious questions were raised in committee about the implementation of this legislation. We sincerely hoped that the Conservatives would set aside partisanship and carefully examine the amendments put forward by the NDP. Since this bill has more than 350 clauses, I can only mention some of them.

The bill would enable the government to amend and repeal a wide range of regulations on rail safety without informing the public. The regulations in question deal with technical standards, worker training, hours of work, maintenance and performance, for example. These amendments would not be open to public debate. They could be made secretly by cabinet and have an impact on the transportation of dangerous goods.

I would like to point out that there are railways that pass through my riding, Saint-Bruno—Saint-Hubert. My constituents are very concerned about the transportation of dangerous goods. The government should pay attention to those who are involved and take their concerns into consideration. It is extremely worrisome to think that amendments that could threaten the safety of a community could be adopted without the residents being informed.

I would also like to talk about the Champlain Bridge. Over the past few weeks, we have received hundreds of petitions against bringing in toll charges on the Champlain Bridge.

On the one hand, the Conservative government does not want to listen to the public; it does not understand that nobody wants the new toll, not even the municipalities involved. On the other hand, this shows once again that the only thing the Conservatives have done since they came to power has been to tax households; there is no relief for families. Bringing in a toll proves once again that the government is incapable of listening to Canadians and incapable of giving them a break.

That is why the NDP and the members on the south shore, including myself, will not just stand idly by.

My constituents, as well as all those who are affected by the new toll, are worried. We live in a democratic country where the government was elected by the people. The people do not want this legislation and they do not want the toll. The government must hear what they are saying and listen to reason.

Lastly, this bill has serious consequences for small and medium-sized businesses, which are the lifeblood of our economy. The Conservatives often attack us and say that the NDP never supports the economic measures they propose. This is why: we cannot support a bill that fails to renew the hiring credit for small and medium-sized businesses. Bad laws hurt Canadians’ ability to grow their business, create jobs and build a better future for themselves.

I will finish by reading a quote:

When the bill was rammed through the House with closure, it really did not present a lot of opportunity for meaningful public debate. We had begun to hear…from provincial and territorial governments, from many academics and experts and from many individual Canadians…

The electoral process…affect[s] all Canadians. The interests of all Canadians must be served, not the interests of politicians, not partisan interests or political self-interest.

The person who said these words and who was railing against the Liberals' schemes with omnibus bills is now our Prime Minister. Omnibus bills have become his Trojan horse, which stops us from doing our work as parliamentarians.

I rise in the House this evening to oppose this bill and the process that gave rise to it. It is shameful for our democracy. Canadians deserve better. They deserve investment, innovation, economic development, and quality employment for the middle class. They deserve realistic support and community infrastructure. They deserve help in saving and investing for their retirement. They deserve to have their lives made a little more affordable with measures to reduce household debt, and they deserve to be provided with the services they need.

This budget unfortunately does none of that. That is why New Democrats will not support it.

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June 5th, 2014 / 7:35 p.m.

Conservative

Mark Adler Conservative York Centre, ON

Mr. Speaker, I would like to ask my hon. friend how she can explain her hypocrisy.

First of all, she talked about supporting the hiring credit for small business. In 2011, when she had the opportunity to support that hiring credit for small business, she chose to vote against it. In 2012, the hiring credit for small business was in the economic action plan. Now she claims to be for it, but then she voted against it. Now she is claiming she is for it again.

I mean, this is kind of like a John Kerry scenario. She voted against it before she voted in favour of it.

Can the member explain her hypocrisy to the House and I am sure her interested fellow NDP colleagues?

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June 5th, 2014 / 7:40 p.m.

NDP

Djaouida Sellah NDP Saint-Bruno—Saint-Hubert, QC

Mr. Speaker, I sincerely thank my distinguished colleague for his question. It allows me to expand on this once more by saying that this government is presenting us with mammoth bills in which it stuffs everything, even bills to amend the Criminal Code.

How can we vote in good conscience on things that we have not even had the time to debate or to suggest amendments for? This is what they like to do and what I was denouncing at the start of my speech. We are being forced to vote against measures that could be good for Canadians, but unfortunately, everything is in the same bag, in the form of an omnibus bill. Then afterwards, they like to accuse us of being hypocrites. We are not hypocrites, we are responsible and we are showing our leadership.

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June 5th, 2014 / 7:40 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, the budget implementation bill is one aspect of the overall budget wherein we saw significant cuts to the CBC. A good number of jobs will be lost, but more importantly, concern has been raised with respect to the overall impact the cuts will have on the CBC's future. I for one believe in CBC TV and radio and the value they bring to our society as a whole.

The question I have for the member is this. With respect to the CBC and the budget implementation bill, what we see in the bill is to the detriment of the CBC. Canadians want us to come to the table and advocate on this issue, yet the government has invoked time allocation. On an important bill such as this, there are rarely serious time constraints. I have had the opportunity to speak to the bill myself, but there will be many members who will not be afforded the opportunity to speak to it because of time allocation.

This is a budget bill and budgets are all about priorities, but through the imposition of time allocation, the government is preventing members of Parliament from contributing to the debate on setting priorities for Canadians.

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June 5th, 2014 / 7:40 p.m.

NDP

Djaouida Sellah NDP Saint-Bruno—Saint-Hubert, QC

Mr. Speaker, I would like to thank my Liberal colleague for his pertinent question.

Like all Canadians, we have gotten used to how the Conservatives operate. The more secretive they are on that side, the more we are transparent and tell the truth, on ours. Every time we asked about the CBC, the Minister of Heritage told us that it was all in the CBC's hands, not the government's. We were there, it is on the record. Once again, we are seeing a lack of leadership from this government when the time comes to take a stance in support of Canadians, no matter what the issue.

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June 5th, 2014 / 7:40 p.m.

NDP

Romeo Saganash NDP Abitibi—Baie-James—Nunavik—Eeyou, QC

Mr. Speaker, I have only four minutes left to speak during this debate, and that is because of the time allocation motion that the Conservatives moved and voted for today.

That leaves very little time for people like me, who live in the far north and come from a remote area, to discuss the measures included in this proposed budget, as well as the ones that were not included. Clearly, I am very puzzled by the fact that I cannot talk about the things that directly impact the people of my riding, Abitibi—Baie-James—Nunavik—Eeyou.

I will use the four minutes I have left to debunk some of the Conservative myths surrounding jobs and the economy.

When the Conservatives came to power in 2006, and I just happened to choose this example, there was a $26-billion trade surplus in terms of international trade. Now, listen to this. The Conservatives turned that surplus into a $62-billion trade deficit.

The Conservatives are saying that they are very good negotiators. They are signing all these free trade agreements with countries around the globe. However, in actual fact, they are proving that they are not as good at negotiating as they would have us believe.

I would also like to address the matter of the budget deficit. It is important to think about that because, on the other side of the House, the Conservatives are bragging that they are good managers and that they know how to manage the economy. Nevertheless, the public debt has increased by over $100 billion over the past six years. We must remind the Canadians who are watching this evening of that. The Conservatives are responsible for the largest budget deficit in Canadian history.

It is important to keep that in mind because, on this side of the House at least, we are tired of hearing the Conservatives talk about this subject. I know that they do not like facts. However, the facts certainly contradict what they are saying.

Our youth is another example that I could give in the House tonight. The youth unemployment rate is double the national rate at almost 14%.

How can the Conservatives brag about doing such a great job of managing the economy and the country when they cannot even find jobs for our young people, the future of this country? The Conservatives cannot do it.

Let us talk about this economic recovery they are still bragging about today. An additional 300,00 Canadians have become unemployed since the recession and 400,000 jobs have been lost in the manufacturing industry since this Prime Minister took office. They call that an economic recovery?

I think that we need to speak out about the fact that the Conservatives are not capable of doing the work. This Conservative government is tired and corrupt. It is no longer capable of defending its record. It is important to point that out.

I will end by saying—