Bill C-31 (Historical)

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

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.

Economic Action Plan 2014 Act, No. 1

[François Lapointe, NDP, Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC]

Mr. Speaker, first of all, I would like to acknowledge the work of my colleague from Vancouver Kingsway. It was very interesting watching him confront the current government with the very bad decisions it has made in recent years.

I am honoured to rise in the House to speak to Bill C-31, An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures.

Canada has a poor record on key files. We accumulated a $61-billion trade deficit in 2013. Canada has had a trade deficit in excess of $45 billion for five years in a row. Canadians' debt reached record levels in 2013. People owe $1.64 for every dollar of disposable income they earn in one year. We are facing some truly worrisome situations that must absolutely be addressed. However, we feel that what the current government calls an economic action plan does not tackle the major challenges that are going to catch up to us and hurt Canadians and the economy, if we do not do something about them immediately.

The NDP's position will be to oppose the bill at every stage because there is nothing in Bill C-31 that indicates that the Conservatives are actually addressing these real problems.

This bill has 360 pages and amends 60 laws. Once again, it is an omnibus bill. It brings back bad memories of Bill C-38 in 2012.

At the time, Le Devoir ran the following headline: “A mammoth bill to change the rules without debate—The 431-page bill amends more than 60 current laws”. It seems that we are living in groundhog year. Everyone knows the movie Groundhog Day. Under the current government, we have been living groundhog day since 2011.

I would like to take a few minutes to explain the implications of an omnibus bill to the people at home. It reduces how much time the opposition parties, and the official opposition party in particular, have to analyze the issues. We do not have enough time to address the flaws in the bill. For example, this bill does not propose anything for SMEs. There is nothing solid, as far as we can tell. The bill eliminates the job creation tax credit for small businesses at a time when the unemployment rate might be up to 14% for people 25 and younger in a number of regions. It is absurd. How can the government attack a program that received support from all the regional chambers of commerce in the country? It is unbelievable and unacceptable.

We also do not have enough time with these omnibus bills to address any abuses that are hidden in these hundreds of pages. For example, this bill raises a lot of concerns over privacy protection with respect to the Foreign Account Tax Compliance Act. This is an American tax law on foreign accounts. The government is trying to deal with this in an omnibus budget bill.

However, the sharing of Canadians' information between financial institutions and the Internal Revenue Agency under this agreement, FATCA, would invade the privacy of roughly 1 million American citizens. This is hidden somewhere in the hundreds of pages of yet another omnibus bill.

That is not insignificant. There is another difficult aspect that the people at home need to understand. It is not their cup of tea to try to understand how this works in Parliament in Ottawa. The fact that the government stuffs everything in there makes it hard for the committees to do a decent job. There are decisions involving veterans and the environment hidden among these hundreds of pages.

These are important decisions that should have been and should be dealt with in separate bills that would allow the various all-party committees to invite all kinds of experts to examine the government's decisions. We could then find some better solutions, if it turns out that these are very bad decisions, as often happens. The decisions can sometimes be excellent if there is good co-operation.

We cannot do this kind of work when every single time this government tables a budget in this House, we have to deal with hundreds of pages and dozens of amendments to our laws.

One example that hits close to home for my constituents is rail safety, which once again is in a budget bill. This is a very important issue for my constituents. In the past 30 or 40 years, there have been three major train derailments in downtown Montmagny alone. These are recent events in Quebec, and dozens of people burned alive after trains carrying explosive products derailed. This is a priority for us.

Now, cabinet decisions about changing the security standards for the transportation of dangerous goods will be kept secret. Cabinet decisions on this issue will remain secret. With these changes, the public will not be informed when the Conservatives weaken safety measures, and experts will not be able to advise the minister before the changes are implemented. There are clauses in this bill to allow that.

Where were the Conservatives last summer when we witnessed the worst rail tragedy in our country's history? How can the government then hide a few lines in an omnibus bill saying that from now on, cabinet decisions on rail safety will not be transparent and public? How can the government do such a thing? It is clear that it does not have even the slightest interest in public safety.

Temporary foreign workers are a more recent problem. The bill gives the Minister of Employment and Social Development the power to impose fines on employers who break the rules of the temporary foreign worker program. This program has been in complete chaos for the past three months as a result of the government's serious mismanagement. Recently, in Rivière-du-Loup, we had a visit from the Minister of Citizenship and Immigration. Local television stations were there and recorded the whole thing. The minister promised that the moratorium would be lifted once the new procedures were put in place. The current moratorium is a cause of great concern for many small business owners who sometimes need to seek help from the temporary foreign worker program. As a result of the government's terrible mismanagement of this program, there is a moratorium in place. The abuses that led to this moratorium did not take place in Quebec City, Montmagny or Rivière-du-Loup, but elsewhere in the country.

It is now June 12. The minister obviously did not keep the formal commitment that he made in Rivière-du-Loup when he said that this problem would be resolved when the new procedures were implemented during the first week of June. The summer season, tourist season, is now upon us, and restaurants will have difficulty finding staff. They are wondering how they will find people to clean, wait tables and do dishes. We still have not received an answer.

It seems that the only solution the Conservatives are putting forward for the moment to improve the state of this program is a blacklist of employers who abuse the program. Believe it or not, there are only four companies on that list and they were all added since April 2014. They were added in a panic when the administrative nightmare began, as though the Conservatives were trying to save face at the last minute. It is unbelievable.

What intelligent and constructive measures could the Conservatives have included in this budget? They could have done away with the cuts to tax credits for credit union and labour-sponsored funds. These are extremely useful tools for the economic development of our regions. The Conservatives are attacking our regions with these cuts. They could have simplified the process whereby rural communities request and receive funding for infrastructure projects. Municipal officials have been waiting for nearly two years now to find out what the terms and conditions are for receiving funding under the new Building Canada fund. The government announced $14 billion two years ago, but municipal officials still do not know what it takes to receive funding for their municipalities. They do not know anything about the documentation, the terms or the standards. It has been nearly two years. This is an absolute farce. These issues should have been resolved immediately after the budget was tabled. The list goes on and on.

The NDP will not support this budget because it does not address the real problems and it contains no real solutions.

[Raymond Côté, NDP, Beauport—Limoilou, QC]

Mr. Speaker, I take my hat off to the hon. member for Montmagny—L'Islet—Kamouraska—Rivière-du-Loup for having touched on so many different subjects in 10 minutes. That was quite a feat.

At the beginning of his speech, he echoed what our esteemed colleague from Vancouver Kingsway said about international trade and the dramatic increase in our trade deficit. I know that there are a number of businesses in my colleague's riding that export to the United States and elsewhere. They are suffering because of this situation.

In a speech last October, the former senior deputy governor of the Bank of Canada talked about one aspect of the issue:

If Canada’s exports had grown in tandem with those of the U.S. and global economies...[Canada's] goods exports would have been $71 billion higher [than they were in 2002].

Could my colleague talk about this disaster, for which the Conservative government is largely responsible?

[François Lapointe, NDP, Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC]

Mr. Speaker, a number of innovative medium-sized businesses in my riding have patents and are exporters.

They have told me about the problems they are having with exporting, problems that are partly related to the sluggish American market. However, some of the decisions made here have made it difficult to maintain exports. Nearly all of them have told me that, in the past four years, we have fallen way behind in research and development. All of these elements are related.

We cannot think of our country as strong and maintain our export levels if we are not among the most innovative countries. If we make the same watch as a Chinese or Japanese company, that is not very appealing to Germans. We have to create different things.

All of these bad decisions have been made over the past seven years. The fact that the deficit has been over $45 billion per year is no accident, nor is our poor trade performance over the past five years.

How can the members on the other side of the House stand up and brag about what amazing economists they are in light of these failures?

[Alain Giguère, NDP, Marc-Aurèle-Fortin, QC]

Mr. Speaker, earlier, the minister talked about paradoxes. We might talk about the paradox of a government that is more interested in image than the economy.

It runs ads on a job creation and job training program, when that program never existed. It is the same problem with immigrant workers. The government says it will monitor the situation and create a blacklist, but there are only four names on the list and none of these companies have been penalized. It takes some nerve. Then this government claims it wants to get things done.

Could my colleague say a few words about this government that never lives up to its promises?

[François Lapointe, NDP, Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC]

Mr. Speaker, there are also some clauses in the budget implementation bill on veterans.

Along the same lines as what my colleague said, $4 million was recently spent on advertising to remind Canadians about how important veterans are. I saw that ad three times. The best way to show Canadians how important veterans are would have been to spend $4 million on services for veterans, not advertising.

This is a perfect example of what my colleague was talking about, and unfortunately these examples are piling up. The government is putting its image ahead of good results.

The House resumed consideration of the motion that Bill C-31, An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures, be read the third time and passed, and of the amendment.

[Jay Aspin, Conservative, Nipissing—Timiskaming, ON]

Mr. Speaker, I am very pleased to speak this evening to Bill C-31, the economic action plan 2014 act. However, before I do, I would like to contextualize this legislation.

During the global recession, our government made the difficult but necessary decision to engage in deficit spending, making record investments from coast to coast to coast in infrastructure projects supporting jobs and putting Canadians to work.

Our investments worked. While the global recession was difficult for many Canadian families, the effects never reached the severity experienced abroad, such as in the United States and Europe.

More important, our investments helped the domestic economy keep moving so that when the recovery began, Canada was much better positioned to rebound, and recover Canada did, the best recovery in the G7. We have led in job creation with over one million net new jobs. We have led in growth of disposal income. We have led the world in debt-to-GDP ratio.

However, this success does not change the fact that we created a deficit. Our government understands very well that long-term deficits, which increase the debt-to-GDP ratio, are toxic for the economy. The more debt a country takes on, the more hesitant businesses become to invest and create jobs. This is because uncertainty is created in the economy and everyone, especially businesses, knows that at some point the debt will have to be paid, and it often takes the form of spending cuts and/or increased taxes.

These cuts and taxes become more severe the larger the debt gets and the longer governments delay to make the necessary decisions. Therefore, once the recovery began, instead of irresponsibly spending money we did not have, our government immediately began passing budget after budget to completely eliminate our deficit, make government lean, spend strategically and responsibly, and create an environment conducive to investment and economic growth.

We have been successful, but members do not need to take my word for it. Canada's number one record in the G7, rock-solid credit rating and international leadership in fiscal responsibility speaks for itself.

On February 11, our dear friend and colleague, one of Canada's longest serving finance ministers, the late Hon. Jim Flaherty, introduced economic action plan 2014. This budget is very important. Since its introduction, I am very pleased to say that our budget is indeed balanced.

However, a balanced budget does not mean that we start spending every extra penny on shiny baubles, which is the strength of economic action plan 2014. It continues to reduce government spending where possible, decreasing the cost to taxpayers without reducing transfers to the provinces or health care transfers.

I want to stress that we balanced the budget without drastic or draconian cuts to important services and funds on which the provinces and Canadians rely on. We instead reduced the size of government and reined in unnecessary spending.

Moreover, the economic action plan continues to focus on this government's number one priority: jobs and the economy. There are still many Canadians looking for work and trying their best to support their families. They are relying on our government to continue creating the right conditions for business to invest and create jobs.

This implementation act, the first economic action plan act, focuses on reducing barriers to employment in both the demand and supply side. Hiring Canadians should not be an administrative burden for businesses. We are reducing unnecessary regulations on job creators and incentivizing them to grow and hire.

Just the same, a lack of education or training should not be a barrier to employment, and that is why we are helping Canadians access trade skills training.

I would like to use my remaining time to highlight a few particular measures in the first economic action plan act that will help further grow our economy, create jobs and improve Canada's prosperity and standard of living.

First, as part of our government's ongoing efforts to refine the immigration system to make sure it works in Canada's best interests, $11 million will be spent over the next two years, and $3.5 million every year afterwards will be invested to provide a more robust labour market option process. This will further help government ensure that Canadians are given the first chance at jobs.

Bill C-31 would help facilitate this by eliminating a backlog of immigrant investor program and entrepreneur program applicants. The elimination of this backlog would help businesses quickly adapt to changing labour markets in Canada by having more efficient access to the most qualified candidates, and enable them to remain productive and profitable and generate jobs and revenue for the Canadian economy.

Second, our government would continue to remove unnecessary regulations on businesses in order to foster an environment more conducive to investment and economic growth. Regulations on businesses are necessary to ensure that they play by the rules, treat their employees well, follow industry standards, and pay their share of taxes.

However, overregulation suffocates businesses as more and more resources are diverted to deal with unnecessary or inefficient administrative obligations. Ultimately, businesses waste money on administration that could have been invested in growing their business and subsequently hiring more Canadians.

Bill C-31 would reduce red tape on more than 50,000 employers. Specifically, the threshold at which small and medium-sized businesses would have to provide remittances for source deductions would be increased. This would further decrease the tax compliance burden on SMEs.

Third, with the resurgence of trade skills, our government would reduce the barrier to employment in well-paying industries by making training more affordable to Canadians. Apprentices registered in the Red Seal trades would be provided with access to interest-free loans of up to $4,000 per period of technical training.

This measure, like the Canada jobs grant incentive, is part of our government's strategy to connect Canadians with jobs and increase incentives to additional education or training. A more educated and skilled work force would improve the productivity of our economy, make us more competitive, make Canadian goods wanted around the world, and grow economic well-being at home.

Our government will continue investing in the development of our natural resources, particularly in the mining sector. Countries around the world are making the transition to advanced economies, and they are investing in infrastructure and are hungry for energy and raw materials, all of which we Canadians have in abundance.

Bill C-31 would extend the mineral exploration tax credit of 15% for another full year. This tax credit is relied upon by junior mining companies, exploration companies that are making key discoveries and appraisals of new and existing deposits. This is a very important measure to mining firms in my riding of Nipissing—Timiskaming in northern Ontario, close to the Ring of Fire, one of the world's largest mineral reserves.

Having a strong appreciation for the volume and location of deposits in the Ring of Fire will play a key role when we begin developing the resources; excavation will be more efficient, and we will be able to generate more goods for export.

Northern Ontario and Canada will greatly benefit from the development of the Ring of Fire. I am pleased with this measure.

Bill C-31 would continue to build on our government's success of balancing the budget, making responsible and strategic investments to keep the economy on track, cultivating an environment conducive to job creation, and focusing on connecting Canadians with the skills and training they need to participate in the market.

I encourage the members opposite to support these important measures and help empower Canadian businesses and workers.

[Marjolaine Boutin-Sweet, NDP, Hochelaga, QC]

Mr. Speaker, according to the announcement about the new Building Canada fund, there was $6 billion left over from the 2007 plan even though Canada has a major infrastructure deficit.

How is it possible that $6 billion was left over from the 2007 budget?

[Jay Aspin, Conservative, Nipissing—Timiskaming, ON]

Mr. Speaker, there the New Democrats go again, picking apart situations piecemeal.

As I have said, this budget, with the measures that I have talked about—refining the immigration system, red tape reduction, training incentives, the Red Seal program, creating incentives for mineral exploration—are all positive measures that will grow our economy.

The member for Vancouver Kingsway listed a lot of metrics. How about these metrics? Over one million net new jobs have been created in Canada; for the sixth year, the World Economic Forum has ranked Canada's banking system as the soundest in the world; Canada has leapt from sixth to second place in Bloomberg's ranking of the most attractive countries for business to grow; Canada has the lowest overall tax rate on new business investment in the G7; Canada is the only country in the G7 to have a rock-solid AAA rating; and Canada's net debt-to-GDP ratio remains the lowest in the G7 by far.

These are overall macro measures that show we are among the best in the world in terms of economic recovery.

[Gerald Keddy, Conservative, Parliamentary Secretary to the Minister of National Revenue and for the Atlantic Canada Opportunities Agency]

Mr. Speaker, after listening to opposition members speak on the budget tonight, I am sure the hon. member would agree that they left out a lot of information, and he just had an opportunity to list some of those items. They talk about our trade deficit, but they forget to talk about the fact that they have never supported expanding trade anywhere around the world. Of the 38 countries we have signed trade agreements with, they have not supported one single agreement, not ever.

The hon. member mentioned that he is from an area that is very dependent upon resource exploitation, and on mining in particular. My question to him is quite simple. There is a lot of noise coming from across the way, but it is a basic question. How can Canadians expect to sell those resources to develop our economy if we do not have trade agreements in place with countries around the world so that we can trade with those countries on fair terms?

[Jay Aspin, Conservative, Nipissing—Timiskaming, ON]

Mr. Speaker, my riding is in a mining region in northern Ontario, and the businesses in my area rely on trade throughout the world. They participate in mining activity in South America, the Philippines, and Africa. Without that, my particular area would not grow, and Canada would not have grown into the prosperous nation it is today.

We are expanding that trade by signing trade agreements with the European Union, Korea, and Honduras. These agreements are all very positive for the prosperity of Canadians, unlike the party opposite, the no-trade party.

[The Deputy Speaker, Joe Comartin]

Resuming debate. The hon. member for York Centre will have about two minutes before time expires.

[Mark Adler, Conservative, York Centre, ON]

Mr. Speaker, I always welcome an opportunity to talk about our economy and the great success we have achieved, notwithstanding going through the worst recession since the Great Depression in 2008-09.

Canadians are not known for their bragging or beating of their chests, but if we listen to the opposition we would get the impression that our economy is the video recorder version of the Betamax. The opposition would say that Ted Williams was an awful baseball player because he missed the ball 66% of the time that he was at bat. Those members would also say that Wayne Gretzky, who did not score a goal 85% of the time that he shot the puck, was a horrible hockey player because the guy only scored 15% of the time. They would ask what all the hype was about.

Canada is the envy of the world.

It is my pleasure to rise in the House this evening and speak to Bill C-31.

Our government's fiscal management speaks for itself. We have identified the issues that matter most to Canadians. We have once again addressed these issues in a focused and surgically precise budget. This budget will keep our government on track to balance in 2015 as promised to the Canadian people. Our government keeps our promises.

[The Deputy Speaker, Joe Comartin]

Order. The time for debate on this legislation has expired. The member for York Centre will have eight minutes when we resume debate.

The House resumed from June 11 consideration of the motion that Bill C-31, An Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures, be read the third time and passed, and of the amendment.