Economic Action Plan 2013 Act No. 2

A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures

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

Sponsor

Jim Flaherty  Conservative

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament has also written a full legislative summary of the bill.

Part 1 implements certain income tax measures proposed in the March 21, 2013 budget. Most notably, it
(a) increases the lifetime capital gains exemption to $800,000 and indexes the new limit to inflation;
(b) streamlines the process for pension plan administrators to refund a contribution made to a Registered Pension Plan as a result of a reasonable error;
(c) extends the reassessment period for reportable tax avoidance transactions and tax shelters when information returns are not filed properly and on time;
(d) phases out the federal Labour-Sponsored Venture Capital Corporations tax credit;
(e) ensures that derivative transactions cannot be used to convert fully taxable ordinary income into capital gains taxed at a lower rate;
(f) ensures that the tax consequences of disposing of a property cannot be avoided by entering into transactions that are economically equivalent to a disposition of the property;
(g) ensures that the tax attributes of trusts cannot be inappropriately transferred among arm’s length persons;
(h) responds to the Sommerer decision to restore the intended tax treatment with respect to non-resident trusts;
(i) expands eligibility for the accelerated capital cost allowance for clean energy generation equipment to include a broader range of biogas production equipment and equipment used to treat gases from waste;
(j) imposes a penalty in instances where information on tax preparers and billing arrangements is missing, incomplete or inaccurate on Scientific Research and Experimental Development tax incentive program claim forms;
(k) phases out the accelerated capital cost allowance for capital assets used in new mines and certain mine expansions, and reduces the deduction rate for pre-production mine development expenses;
(l) adjusts the five-year phase-out of the additional deduction for credit unions;
(m) eliminates unintended tax benefits in respect of two types of leveraged life insurance arrangements;
(n) clarifies the restricted farm loss rules and increases the restricted farm loss deduction limit;
(o) enhances corporate anti-loss trading rules to address planning that avoids those rules;
(p) extends, in certain circumstances, the reassessment period for taxpayers who have failed to correctly report income from a specified foreign property on their annual income tax return;
(q) extends the application of Canada’s thin capitalization rules to Canadian resident trusts and non-resident entities; and
(r) introduces new administrative monetary penalties and criminal offences to deter the use, possession, sale and development of electronic suppression of sales software that is designed to falsify records for the purpose of tax evasion.
Part 1 also implements other selected income tax measures. Most notably, it
(a) implements measures announced on July 25, 2012, including measures that
(i) relate to the taxation of specified investment flow-through entities, real estate investment trusts and publicly-traded corporations, and
(ii) respond to the Lewin decision;
(b) implements measures announced on December 21, 2012, including measures that relate to
(i) the computation of adjusted taxable income for the purposes of the alternative minimum tax,
(ii) the prohibited investment and advantage rules for registered plans, and
(iii) the corporate reorganization rules; and
(c) clarifies that information may be provided to the Department of Employment and Social Development for a program for temporary foreign workers.
Part 2 implements certain goods and services tax and harmonized sales tax (GST/HST) measures proposed in the March 21, 2013 budget by
(a) introducing new administrative monetary penalties and criminal offences to deter the use, possession, sale and development of electronic suppression of sales software that is designed to falsify records for the purpose of tax evasion; and
(b) clarifying that the GST/HST provision, exempting supplies by a public sector body (PSB) of a property or a service if all or substantially all of the supplies of the property or service by the PSB are made for free, does not apply to supplies of paid parking.
Part 3 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 3 amends the Employment Insurance Act to extend and expand a temporary measure to refund a portion of employer premiums for small businesses. It also amends that Act to modify the Employment Insurance premium rate-setting mechanism, including setting the 2015 and 2016 rates and requiring that the rate be set on a seven-year break-even basis by the Canada Employment Insurance Commission beginning with the 2017 rate. The Division repeals the Canada Employment Insurance Financing Board Act and related provisions of other Acts. Lastly, it makes technical amendments to the Employment Insurance (Fishing) Regulations.
Division 2 of Part 3 amends the Trust and Loan Companies Act, the Bank Act and the Insurance Companies Act to remove the prohibition against federal and provincial Crown agents and federal and provincial government employees being directors of a federally regulated financial institution. It also amends the Office of the Superintendent of Financial Institutions Act and the Financial Consumer Agency of Canada Act to remove the obligation of certain persons to give the Minister of Finance notice of their intent to borrow money from a federally regulated financial institution or from a corporation that has deposit insurance under the Canada Deposit Insurance Corporation Act.
Division 3 of Part 3 amends the Trust and Loan Companies Act, the Bank Act, the Insurance Companies Act and the Cooperative Credit Associations Act to clarify the rules for certain indirect acquisitions of foreign financial institutions.
Division 4 of Part 3 amends the Criminal Code to update the definition “passport” in subsection 57(5) and also amends the Department of Foreign Affairs, Trade and Development Act to update the reference to the Minister in paragraph 11(1)(a).
Division 5 of Part 3 amends the Canada Labour Code to amend the definition of “danger” in subsection 122(1), to modify the refusal to work process, to remove all references to health and safety officers and to confer on the Minister of Labour their powers, duties and functions. It also makes consequential amendments to the National Energy Board Act, the Hazardous Materials Information Review Act and the Non-smokers’ Health Act.
Division 6 of Part 3 amends the Department of Human Resources and Skills Development Act to change the name of the Department to the Department of Employment and Social Development and to reflect that name change in the title of that Act and of its responsible Minister. In addition, the Division amends Part 6 of that Act to extend that Minister’s powers with respect to certain Acts, programs and activities and to allow the Minister of Labour to administer or enforce electronically the Canada Labour Code. The Division also adds the title of a Minister to the Salaries Act. Finally, it makes consequential amendments to several other Acts to reflect the name change.
Division 7 of Part 3 authorizes Her Majesty in right of Canada to hold, dispose of or otherwise deal with the Dominion Coal Blocks in any manner.
Division 8 of Part 3 authorizes the amalgamation of four Crown corporations that own or operate international bridges and gives the resulting amalgamated corporation certain powers. It also makes consequential amendments and repeals certain Acts.
Division 9 of Part 3 amends the Financial Administration Act to provide that agent corporations designated by the Minister of Finance may, subject to any terms and conditions of the designation, pledge any securities or cash that they hold, or give deposits, as security for the payment or performance of obligations arising out of derivatives that they enter into or guarantee for the management of financial risks.
Division 10 of Part 3 amends the National Research Council Act to reduce the number of members of the National Research Council of Canada and to create the position of Chairperson of the Council.
Division 11 of Part 3 amends the Veterans Review and Appeal Board Act to reduce the permanent number of members of the Veterans Review and Appeal Board.
Division 12 of Part 3 amends the Canada Pension Plan Investment Board Act to allow for the appointment of up to three directors who are not residents of Canada.
Division 13 of Part 3 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to extend to the whole Act the protection for communications that are subject to solicitor-client privilege and to provide that information disclosed by the Financial Transactions and Reports Analysis Centre of Canada under subsection 65(1) of that Act may be used by a law enforcement agency referred to in that subsection only as evidence of a contravention of Part 1 of that Act.
Division 14 of Part 3 enacts the Mackenzie Gas Project Impacts Fund Act, which establishes the Mackenzie Gas Project Impacts Fund. The Division also repeals the Mackenzie Gas Project Impacts Act.
Division 15 of Part 3 amends the Conflict of Interest Act to allow the Governor in Council to designate a person or class of persons as public office holders and to designate a person who is a public office holder or a class of persons who are public office holders as reporting public office holders, for the purposes of that Act.
Division 16 of Part 3 amends the Immigration and Refugee Protection Act to establish a new regime that provides that a foreign national who wishes to apply for permanent residence as a member of a certain economic class may do so only if they have submitted an expression of interest to the Minister and have subsequently been issued an invitation to apply.
Division 17 of Part 3 modernizes the collective bargaining and recourse systems provided by the Public Service Labour Relations Act regime. It amends the dispute resolution process for collective bargaining by removing the choice of dispute resolution method and substituting conciliation, which involves the possibility of the use of a strike as the method by which the parties may resolve impasses. In those cases where 80% or more of the positions in a bargaining unit are considered necessary for providing an essential service, the dispute resolution mechanism is to be arbitration. The collective bargaining process is further streamlined through amendments to the provision dealing with essential services. The employer has the exclusive right to determine that a service is essential and the numbers of positions that will be required to provide that service. Bargaining agents are to be consulted as part of the essential services process. The collective bargaining process is also amended by extending the timeframe within which a notice to bargain collectively may be given before the expiry of a collective agreement or arbitral award.
In addition, the Division amends the factors that arbitration boards and public interest commissions must take into account when making awards or reports, respectively. It also amends the processes for the making of those awards and reports and removes the compensation analysis and research function from the mandate of the Public Service Labour Relations Board.
The Division streamlines the recourse process set out for grievances and complaints in Part 2 of the Public Service Labour Relations Act and for staffing complaints under the Public Service Employment Act.
The Division also establishes a single forum for employees to challenge decisions relating to discrimination in the public service. Grievances and complaints are to be heard by the Public Service Labour Relations Board under the grievance process set out in the Public Service Labour Relations Act. The process for the review of those grievances or complaints is to be the same as the one that currently exists under the Canadian Human Rights Act. However, grievances and complaints related specifically to staffing complaints are to be heard by the Public Service Staffing Tribunal. Grievances relating to discrimination are required to be submitted within one year or any longer period that the Public Service Labour Relations Board considers appropriate, to reflect what currently exists under the Canadian Human Rights Act.
Furthermore, the Division amends the grievance recourse process in several ways. With the sole exception of grievances relating to issues of discrimination, employees included in a bargaining unit may only present or refer an individual grievance to adjudication if they have the approval of and are represented by their bargaining agent. Also, the process as it relates to policy grievances is streamlined, including by defining more clearly an adjudicator’s remedial power when dealing with a policy grievance.
In addition, the Division provides for a clearer apportionment of the expenses of adjudication relating to the interpretation of a collective agreement. They are to be borne in equal parts by the employer and the bargaining agent. If a grievance relates to a deputy head’s direct authority, such as with respect to discipline, termination of employment or demotion, the expenses are to be borne in equal parts by the deputy head and the bargaining agent. The expenses of adjudication for employees who are not represented by a bargaining agent are to be borne by the Public Service Labour Relations Board.
Finally, the Division amends the recourse process for staffing complaints under the Public Service Employment Act by ensuring that the right to complain is triggered only in situations when more than one employee participates in an exercise to select employees that are to be laid off. And, candidates who are found not to meet the qualifications set by a deputy head may only complain with respect to their own assessment.
Division 18 of Part 3 establishes the Public Service Labour Relations and Employment Board to replace the Public Service Labour Relations Board and the Public Service Staffing Tribunal. The new Board will deal with matters that were previously dealt with by those former Boards under the Public Service Labour Relations Act and the Public Service Employment Act, respectively, which will permit proceedings under those Acts to be consolidated.
Division 19 of Part 3 adds declaratory provisions to the Supreme Court Act, respecting the criteria for appointing judges to the Supreme Court of Canada.

Elsewhere

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

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-4s:

C-4 (2021) Law An Act to amend the Criminal Code (conversion therapy)
C-4 (2020) Law COVID-19 Response Measures Act
C-4 (2020) Law Canada–United States–Mexico Agreement Implementation Act
C-4 (2016) Law An Act to amend the Canada Labour Code, the Parliamentary Employment and Staff Relations Act, the Public Service Labour Relations Act and the Income Tax Act
C-4 (2011) Preventing Human Smugglers from Abusing Canada's Immigration System Act
C-4 (2010) Sébastien's Law (Protecting the Public from Violent Young Offenders)

Votes

Dec. 9, 2013 Passed That the Bill be now read a third time and do pass.
Dec. 3, 2013 Passed That Bill C-4, A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, {as amended}, be concurred in at report stage [with a further amendment/with further amendments] .
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 471.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 365.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 294.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 288.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 282.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 276.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 272.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 256.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 239.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 204.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 176.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 159.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 131.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 126.
Dec. 3, 2013 Failed That Bill C-4 be amended by deleting Clause 1.
Dec. 3, 2013 Passed That, in relation to Bill C-4, A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, not more than one further sitting day shall be allotted to the consideration at report stage of the Bill and one sitting day shall be allotted to the consideration at third reading stage of the said Bill; and That, 15 minutes before the expiry of the time provided for Government Orders on the day allotted to the consideration at report stage and on the day allotted to the consideration at third reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and in turn every question necessary for the disposal of the stage of the Bill then under consideration shall be put forthwith and successively without further debate or amendment.
Oct. 29, 2013 Passed That the Bill be now read a second time and referred to the Standing Committee on Finance.
Oct. 29, 2013 Failed That the motion be amended by deleting all the words after the word “That” and substituting the following: “this House decline to give second reading to Bill C-4, A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, because it: ( a) decreases transparency and erodes democratic process by amending 70 different pieces of legislation, many of which are not related to budgetary measures; ( b) dismantles health and safety protections for Canadian workers, affecting their right to refuse unsafe work; ( c) increases the likelihood of strikes by eliminating binding arbitration as an option for public sector workers; and ( d) eliminates the independent Canada Employment Insurance Financing Board, allowing the government to continue playing politics with employment insurance rate setting.”.
Oct. 24, 2013 Passed That, in relation to Bill C-4, A second act to implement certain provisions of the budget tabled in Parliament on March 21, 2013 and other measures, not more than four further sitting days shall be allotted to the consideration at second reading stage of the Bill; and That, 15 minutes before the expiry of the time provided for Government Orders on the fourth day allotted to the consideration at second reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and, in turn, every question necessary for the disposal of the said stage of the Bill shall be put forthwith and successively, without further debate or amendment.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:25 p.m.

Conservative

Joyce Bateman Conservative Winnipeg South Centre, MB

Mr. Speaker, there are two points to this query I would like to address.

First is the much maligned omnibus bill. My husband and I have always run our family's budget as an omnibus bill. If we do not have money left over at the end of the year, we know we have failed. That is what we are trying to do. We are trying to be as responsible as average Canadians are with their finances.

Regarding deficit reduction, I have some very specific facts. I would remind the hon. member that his party maligned the Conservative government of Canada when, at the very start of its tenure in government, before the economic crisis, I might add, we paid down $37 billion of debt, which gave us the flexibility to respond to what was required when the crisis hit, and it made us the most successful country in the G7.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:30 p.m.

Okanagan—Coquihalla B.C.

Conservative

Dan Albas ConservativeParliamentary Secretary to the President of the Treasury Board

I, too, was quite interested in the member's speech, Mr. Speaker. I certainly appreciate her enunciating some of the principles that are in the economic action plan for this year.

It seems that the opposition members, regardless of what is in a particular budget, will say either that the government is not doing enough, or, as in this case, that the government is trying to do too much.

We live in a much different world. We had the financial crisis and the subsequent great recession, the largest recession we have seen in North American history since the Great Depression. I hope members appreciate that this member is trying to bring out some of the points that are important to helping to bring us forward.

Would the member enunciate some of the policies she is in support of in the bill that matter to her riding?

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:30 p.m.

Conservative

Joyce Bateman Conservative Winnipeg South Centre, MB

Mr. Speaker, certainly in my riding, and I share this with a lot of my colleagues, the backbone of Winnipeg South Centre is all the wonderful families in the area. Many of those families are running small and medium-sized businesses, which are the backbone of job creation for our Canada.

I am so very pleased that we are not only in the process of creating jobs but are in the process, with Bill C-4, of ensuring that those small business entrepreneurs, whether they own a phenomenal Italian grocery store or a Subway, would reduce, with this proposal, their costs of EI. More important, or equally important, the workers at all of their stores and all of their enterprises would pay less for the next three years.

We are ensuring that there will be stability. We are ensuring that there will be the ability for families to spend money on other things too.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:30 p.m.

NDP

Francine Raynault NDP Joliette, QC

Mr. Speaker, I have here an ad that you might find interesting. I will read it to you.

For sale: Charming Parliament with river views, located in a hard-working country populated by responsible citizens with a still partly intact international reputation. Note to buyer: some renovations are needed.

That is basically what the Conservatives are saying with Bill C-4. They are sending the message to Canadians, and to the world, that this House is now useless, since the decisions of its members are no longer subject to debate. Need I remind the government that debate and information are essential to the survival of democracy?

Let us face the facts and ask ourselves this question: what is the difference between a dictatorship and a democracy? Information, checks and balances, and meaningful representation are some of the necessary components of a democracy. I may be repeating myself, but just as we did with the three budget bills, we are opposing Bill C-4, because of both its content and the process used by the Conservatives.

Bill C-4 contains a wide range of complex measures that deserve further study, which we do not have the time to do here, because we are once again under a time allocation motion. Introducing bills of this magnitude with such a broad scope and allocating so little time to consider them undermine the work of Parliament by preventing members from thoroughly studying the bill and its implications.

We will then be criticized for voting against Bill C-4. Once again, the Conservatives are trying to keep Canadians in the dark and change a large number of laws without holding actual consultations.

When the Conservatives introduce over 70 legislative amendments in a document of 300 pages, and many of these changes have nothing to do with the budget, it is only reasonable to ask questions. At this stage, we have the obligation to ask questions. I will not dwell on the details of this bill because that would be virtually useless, given the short time allotted to us. Indeed, I wonder whether the members opposite have had time to read the bill that they are voting for as a block.

The process that is being used here is rather worrisome. For example, what about the concentration of power this bills bestows? Many provisions of this bill grant more power to the minister, who will do what he likes in any case. This is a strong trend that we have seen with the amendments to the Labour Code and with health and safety issues. The minister makes the decisions, but who is he to make those decisions alone?

Among other things, this bill will make it more complicated to refuse to work in dangerous conditions. Canadians should not have to work in conditions that pose a threat to their health. This type of decision is easy to make for a minister who works in a comfortable office. He should go work as a logger for awhile and see what kinds of hazards some Canadians face at work. Personally, I am well acquainted with those hazards.

We also see this trend at the National Research Council of Canada, where the government unilaterally eliminated the positions of many world renowned and experienced researchers. Do not worry. The Conservatives will compensate for it by appointing a stronger and more arbitrary president.

I seriously wonder how the Conservatives can run a country without science. On what information are they basing their policies, when there is no consultation, no science, no census and no debate?

Unilateralism has no place in a democracy, and Canadians are well aware of that. They know better. Let us suppose that the Conservatives truly believe that they are omniscient and that they do not need to hear the opinions of others, even experts.

What will happen once the bad guys take power? That is not just hypothetical. Imagine the situation. Canadians would find themselves in a very bad position.

Now imagine that all Canadians believed in a polluter pay principle for the Mackenzie gas project. What will they think of the fact that the Conservatives have now done a 180 on a position they themselves advocated? That is troubling.

According to the Parliamentary Budget Officer, budget implementation bills from 2012 to now will cost over 67,000 Canadian jobs and shrink the GDP by .57%. Is that the kind of economic progress the government wants for this country? It is not what my constituents and I want.

Workers have the right to work in safe and healthy workplaces. People have the right to economic policies that meet their expectations. That includes a healthy environment, secure and well-paid jobs, respect for veterans, an effective fight against tax evasion, and more.

The Conservatives say that they have created a million jobs, but how many of those jobs are part-time, minimum-wage jobs? We will not fall for that. The government cannot solve all of those problems and many others with a wave of a magic wand. The House is here for another purpose: debate.

When I visit people in my riding, they ask why there are so many closure motions. I tell them that the government makes those decisions and that we always vote against closure. We always lose those votes though. We have to make use of the privilege we have of being in the House. Elected representatives have to be allowed to talk about all of the issues and bills that come up in the House.

Omnibus bills are catch-all bills that the government puts all kinds of things into and calls it a day. The opposition's votes are basically wasted because the Conservatives have a majority.

I believe that people in my riding and across Canada want to hear their members of Parliament debate bills here in the House and in committee.

When we come back to the House at the end of January, we will have to debate bills. I hope that this is the last time the government will impose closure until October 2015.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:40 p.m.

Conservative

Harold Albrecht Conservative Kitchener—Conestoga, ON

Mr. Speaker, I heard a rhetorical question in my colleague's remarks when she asked how many of the jobs that have been created are part time. There was an implication that most of the jobs that have been created are somehow part time. I would like to remind my colleague that Canada has created over one million net new jobs, 90% of them are full-time jobs and 85% are in the private sector.

It is important that, when we are sharing information in this House with Canadians who may be watching, we get the information accurate. I would like to confirm the fact that 90% of these jobs are full-time jobs and 85% are in the private sector.

I would like to ask my colleague why she would be opposed to the government's record of job creation.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:40 p.m.

NDP

Francine Raynault NDP Joliette, QC

Mr. Speaker, of course I am not opposed to job creation.

The question I asked earlier in my speech is one that I hear from people in my riding. The Conservatives are telling us that they have created jobs, but my constituents do not see them.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:40 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, I would like to focus a question on the budget. However, I would also quickly make reference to the fact that we are not happy, and I have said this before, that there is so much legislation brought forward through this particular bill.

Having said that, I want to emphasize what I believe is a serious problem, something the leader of the Liberal Party has done time and time again with regard to the issues facing the middle class today.

I would challenge the member to reflect, as many of us have, on the impact it is having, in terms of things such as young people. Today we have more and more young people living at home with their parents. It is an affordability issue. They are not able to go to university and rent apartments, as they have in the past. We have more young adults living at home because of the economic circumstances.

The middle class has been hit very hard over the last number of years. I wonder if the member would provide comment in terms of how the middle class has been disadvantaged over the years of the Conservative government.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:40 p.m.

NDP

Francine Raynault NDP Joliette, QC

Mr. Speaker, is there still a middle class? Its income has been dropping from year to year and these people are getting fewer and fewer services. It is true that young people are living with their parents for longer. However, I remember knowing people who lived with their parents because it suited both them and their parents.

However, it is true that we need to create jobs with good salaries and good work conditions, and we do not want people to work in dangerous conditions. Our young people need work.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:40 p.m.

NDP

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

Mr. Speaker, I thank my colleague for her very relevant speech.

We are debating a bill today under time allocation. With this bill, the government will eliminate the Canada Employment Insurance Financing Board and give the Minister of Finance the power to set the premium rate. This Conservative government is once again trying to centralize things and give more power to the ministers.

Could my colleague talk about power being centralized and dialogue being cut short, and also about how they talk here in the House?

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:45 p.m.

NDP

Francine Raynault NDP Joliette, QC

Mr. Speaker, I would like to thank my colleague for her question.

I am speechless about employment insurance. We should be working for the people who pay into employment insurance. Very few people are receiving employment insurance benefits anymore because it is getting harder and harder to meet the eligibility conditions and requirements.

I hope that people are not having a harder time qualifying for employment insurance just so the government can pay down the deficit, as we have seen with the Conservatives and the Liberals.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:45 p.m.

Conservative

David Wilks Conservative Kootenay—Columbia, BC

Mr. Speaker, I am glad to rise today with regard to Bill C-4, because there is a part of it that pertains specifically to my riding of Kootenay—Columbia. That is under division 7, clauses 239 to 248, which deal with the Dominion Coal Blocks. I am sure my friend from the Green Party will be listening intently to that.

I want to provide some context with respect to the Dominion Coal Blocks, which most members are probably not familiar with, and how we got to where we are and why we are proposing a divesting of them.

Back in 1897, the Dominion Coal Blocks were created through the Crow’s Nest Pass Act, which allowed for the railways to come in from Alberta to British Columbia. However, they had to provide something back to the federal government in return. They provided a fairly large swath of land in southeastern British Columbia, which gave the rail lines the opportunity to come in. Those lands were acquired by the federal government in 1905. As a result, they were largely underutilized and have supported limited forestry operations and recreational activities since that time.

We know the Dominion Coal Blocks have a huge potential regarding metallurgical coal, which in common terms is the steel-making coal, used vastly around the world for a number of things.

There are two lots in discussion here, those being lot 73 and lot 82.

Lot 73 is located between Sparwood, British Columbia, and Hosmer, British Columbia, to the east. It is a section of land of approximately 2,000 hectares. It contains a very rich resource of metallurgical coal. Some would argue it has as much as 75 million tonnes of metallurgical coal. Others would say it is even higher.

Lot 82, which is located south of Fernie, British Columbia, in what is referred to as the Flathead Valley, poses a bit of a different issue, not only for the federal government but for the Province of British Columbia and municipal and regional governments.

I am glad to see the federal government has considered splitting lot 82. It is a sizeable lot of 18,000 hectares. The southern part of lot 82, which goes into the Flathead Valley, will be protected from natural resource extraction, which I think is a great move by our government, because what it does do is protect the integrity of the Flathead Valley, one of the most precious resources in all of Canada if not North America for its water and forestry resources, as well as a number of wildlife. The greatest habitat of grizzly bear in all of North America is within the Flathead range.

On the other hand, the other part of lot 82 would allow an opportunity for natural resource extraction, should there be an availability for it. That is a great opportunity as well.

This bill being moved forward would give the federal government the opportunity to divest itself of both lots 73 and 82. It is a great opportunity not only for the federal government but also for the extraction industry to move forward with some great opportunities with respect to metallurgical coal.

I will list some of the opportunities available not only through the Dominion Coal Blocks but also through the great resource we have in the southeast corner of British Columbia, of which many members may not be aware. In the southeast corner of British Columbia there are five coal mines. On average we export 27 million tonnes of metallurgical coal per year around the world. We are the second largest exporter of metallurgical coal in the world and the largest exporter in North America. To provide some context, the average price for metallurgical coal is around $150 a tonne. Each car of coal is worth about $15,000, which equates to about $11,200,000 worth of metallurgical coal being extracted out of the Elk Valley per day.

What the Dominion Coal Blocks would do is extend the life of the opportunity for coal extraction within the Elk Valley. The opportunity for any coal company to come along and potentially extract coal, especially from lot 73, is huge.

What I do appreciate, not only from the federal government but also from the provincial government, is that the inclusion of first nations has been paramount in the discussions with regard to the Dominion Coal Blocks and they have been included from the get-go. The Ktunaxa Nation has been a partner in this right from the onset. They understand the value of natural resource extraction, and they have also become a partner with Teck Resources with regard to the opportunity for profit sharing.

I think there are some great synergies that we can see here, with the federal government, with the provincial government and with municipal governments in the areas, where we have satisfied the opportunities for the environment in the Flathead Valley. We have satisfied the opportunity to work diligently and closely with first nations, and we have satisfied the opportunity to divest of some land we have held since 1905. It is time to divest and allow natural resource extraction to continue on in the Elk Valley. Also the federal government would have the opportunity to sell off some land that, for the most part, it would not be able to utilize.

I just want to come back to clause 241 within C-4, which says:

Nothing in the Crow’s Nest Pass Act, in the agreement mentioned in that Act or in any covenant in the instrument conveying the Dominion Coal Blocks to His Majesty in right of Canada operates so as to limit the power of Her Majesty in right of Canada to hold, dispose of or otherwise deal with the Dominion Coal Blocks, or any part of the Dominion Coal Blocks or any interest in them, in any manner and on any conditions that Her Majesty in right of Canada considers appropriate.

I think that is a great way to explain to people that this government has dealt with this in a very efficient manner, a very fair manner, and everyone at the table seems to be happy with how we are going to move forward.

In closing, I just want to say that the coal industry in Canada is a vibrant industry, especially in southeastern British Columbia, and that Dominion Coal Blocks would bring a lot to this, extending the life of many of the mines in the Elk Valley. We are looking forward to the day when we can say the Dominion Coal Blocks would be used for natural extraction, especially in lot 73, and in lot 82, we can say we preserved the environment.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:50 p.m.

NDP

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

Mr. Speaker, I listened closely to the speech made by the member opposite, who is from British Columbia. He did a fine job of detailing the issues surrounding our natural resources. He spoke about coal and other resources.

I fully agree that there are resources available; however, we must have the means to develop them in a responsible and scientific manner.

Bill C-4 is an attack on the National Research Council of Canada because it eliminates nearly half of the agency's positions and gives more authority to the president, who was chosen by the government.

Does my colleague think that firing hundreds of scientists and researchers will help develop the natural resources in his riding?

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:55 p.m.

Conservative

David Wilks Conservative Kootenay—Columbia, BC

Mr. Speaker, I must say, with regard to the coal extraction in the Elk Valley, in the southeast corner of British Columbia, that we use science to the utmost to ensure that we properly extract, to ensure that waste rock is put away in an environmental manner and to ensure that all wildlife is protected.

I believe that, in the southeast corner of British Columbia, we are an example of how a lot of the natural resource extraction around Canada, around the world, could better be utilized.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:55 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, I believe it is important that every so often we re-emphasize exactly what Bill C-4 would do. It is a Conservative majority government that has made the decision to bring in vast amounts of legislation through the back door of a budget bill, independent pieces of legislation that should stand alone. That, ultimately, has been an assault on democracy here inside the chamber. We are not being provided the opportunity to debate many aspects of the legislation.

The member just made reference to one very minor issue, but an important one. At the end of the day, there are so many other issues that will not be voted on separately, that will not even be debated because of this majority government mentality of sneaking legislation through the back door of a budget bill. I wonder if the member might want to reflect on all the lost discussions and debates that will not take place because of the majority government's attitude, which is disrespectful for the process here in the House of Commons.

Report StageEconomic Action Plan 2013 Act No. 2Government Orders

December 3rd, 2013 / 1:55 p.m.

Conservative

David Wilks Conservative Kootenay—Columbia, BC

Mr. Speaker, I did not quite hear a question in there. However, I am sure that if the member had read the bill, especially in regard to the Dominion Coal Blocks, he would see that it has everything to do with the budget, because what we would do is divest a property we have held since 1905. We are about to create some synergies for the federal government, and that is what it is all about.