Bill C-43 (Historical)

Economic Action Plan 2014 Act, No. 2

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

Part 1 implements certain income tax measures proposed in the February 11, 2014 budget. Most notably, it
(a) extends the intergenerational rollover and the lifetime capital gains exemption for dispositions of property used in farming and fishing businesses;
(b) extends the tax deferral provision with respect to breeding animals to bees, and to all types of horses that are over 12 months of age, that are kept for breeding;
(c) permits income contributed to an amateur athlete trust to qualify as earned income for RRSP contribution limit purposes, with an election available to taxpayers for up to a three-year retroactive application;
(d) extends the definition “split income” to include income from a business or property that is paid or allocated to a minor child from a partnership or trust where a person related to the child is engaged in the activities of the partnership or trust to earn that income;
(e) eliminates graduated rate taxation for trusts and certain estates with an exception for cases involving testamentary trusts whose beneficiaries include individuals eligible for the Disability Tax Credit;
(f) eliminates the 60-month exemption from the non-resident trust rules;
(g) allows an individual’s estate to carry back charitable donations made as a result of the individual’s death;
(h) expands eligibility for the accelerated capital cost allowance for clean energy generation and energy conservation equipment to include water-current energy equipment and a broader range of equipment used to gasify eligible waste fuel;
(i) adjusts Canada’s foreign accrual property income rules in order to address offshore insurance swap transactions and ensure that income from the direct or indirect insurance of Canadian risks is taxed appropriately;
(j) better circumscribes the existing “investment business” definition in the foreign accrual property income regime;
(k) addresses back-to-back loan arrangements involving an intermediary; and
(l) extends the existing tax credit for interest paid on student loans to interest paid on a Canada Apprentice Loan.
Part 1 also implements other selected income tax measures. Most notably, it
(a) alleviates the tax cost to Canadian-based banks of using excess liquidity of their foreign affiliates in their Canadian operations;
(b) ensures that certain securities transactions undertaken in the course of a bank’s business of facilitating trades for arm’s length customers are not inappropriately caught by the base erosion rules;
(c) modernizes the life insurance policy exemption test;
(d) amends the foreign affiliate rules to ensure they apply appropriately to structures that include partnerships and makes generally relieving changes to certain of the base erosion rules to ensure they do not apply in unintended circumstances;
(e) amends the rules for determining the residence of international shipping corporations;
(f) provides for the appropriate taxation of taxpayers that invest in Australian trusts;
(g) amends the foreign affiliate dumping rules to ensure the rules apply in appropriate circumstances and, if applicable, provide appropriate results;
(h) excludes from the definition “non-qualifying country” in the foreign affiliate rules those countries or other jurisdictions for which the Convention on Mutual Administrative Assistance in Tax Matters is in force and effect;
(i) avoids unintended tax consequences with respect to the British Overseas Territory of the British Virgin Islands;
(j) simplifies the rules for the Canadian Film or Video Production Tax Credit regime;
(k) amends the trust loss restriction event rules to provide relief for investment trusts that meet specific conditions; and
(l) increases the maximum amount that may be claimed under the Children Fitness Tax Credit and makes the credit refundable starting in 2015.
Part 2 implements certain goods and services tax/harmonized sales tax (GST/HST) measures by
(a) ensuring that pooled registered pension plans are subject to similar GST/HST treatment as registered pension plans;
(b) implementing real property technical amendments that provide for the consistent treatment of different types of housing and ensure that the special valuation rule for subsidized housing works properly with the GST/HST place of supply rules and in the context of a GST/HST rate change;
(c) clarifying the application of GST/HST public service body rebates in relation to non-profit organizations that operate certain health care facilities; and
(d) relieving the GST/HST on services of refining precious metals supplied to a non-resident person that is not registered for GST/HST purposes.
Part 3 amends the Excise Act, 2001 to provide a refund of the inventory tax, introduced in the February 11, 2014 budget, on cigarettes that are destroyed or re-worked, in line with the refund of the excise duty that exists for tobacco products that are destroyed or re-worked.
Part 4 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 4 amends the Industrial Design Act to make that Act consistent with the Geneva (1999) Act of the Hague Agreement Concerning the International Registration of Industrial Designs and to give the Governor in Council the authority to make regulations for carrying it into effect. The amendments include provisions relating to the contents of an application for the registration of a design, requests for priority, and the term of an exclusive right for a design.
It also amends the Patent Act to, among other things, make that Act consistent with the provisions of the Patent Law Treaty. The amendments include reducing the requirements for obtaining a filing date in relation to an application for a patent, requiring that an applicant be notified of a missed due date before an application is deemed to be abandoned, and providing that a patent may not be invalidated for non-compliance with certain requirements relating to the application on the basis of which the patent was granted.
Division 2 of Part 4 amends the Aeronautics Act to authorize the Minister of Transport to make an order, and the Governor in Council to make regulations, that prohibit the development or expansion of or any change to the operation of an aerodrome. It also amends the Act to authorize the Governor in Council to make regulations in respect of consultations by the proponents and operators of aerodromes.
Division 3 of Part 4 enacts the Canadian High Arctic Research Station Act, which establishes a new federal research organization that is to be responsible for advancing knowledge of the Canadian Arctic through scientific investigation and technology, promoting the development and dissemination of knowledge of the other circumpolar regions, strengthening Canada’s leadership on Arctic issues and ensuring a research presence in the Canadian Arctic. It also repeals the Canadian Polar Commission Act and makes consequential amendments to other Acts.
Division 4 of Part 4 amends section 207 of the Criminal Code to permit charitable or religious organizations to carry out, with the use of a computer, certain operations relating to a provincially-licensed lottery scheme.
Division 5 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to adjust the national standard for eligibility for social assistance to provide that no minimum period of residence is to be required for Canadian citizens, for permanent residents, for victims of human trafficking who hold a temporary resident permit or for protected persons.
Division 6 of Part 4 amends the Radiocommunication Act to:
(a) introduce an administrative monetary penalty regime;
(b) explicitly prohibit jammers, subject to exemptions provided by the Minister of Industry;
(c) provide for the enforcement of rules, standards and procedures established for competitive bidding systems for radio authorizations;
(d) modernize wording relating to the powers of inspectors and the requirements to obtain warrants;
(e) authorize inspectors to request information in writing and to seize non-compliant devices; and
(f) authorize the Minister of Industry to share information with domestic and foreign bodies for the purpose of regulating radiocommunication.
Division 7 of Part 4 amends the Revolving Funds Act to correct an error in the heading before section 4 by replacing the reference to the Minister of Foreign Affairs with a reference to the Minister of Citizenship and Immigration. The amendment is deemed to have come into force on July 2, 2013.
Division 8 of Part 4 amends the Royal Canadian Mint Act to eliminate the anticipation of profit by the Royal Canadian Mint with respect to the provision of goods and services to the Government of Canada.
Division 9 of Part 4 amends the Investment Canada Act to require foreign investors to provide notification whenever they acquire a Canadian business through the realization of security on a loan or other financial assistance, unless another Act applies. It also allows public disclosure of certain information related to the national security review process and makes related amendments to another Act.
Division 10 of Part 4 amends the Broadcasting Act to prohibit a person who carries on a broadcasting undertaking from charging a subscriber for providing the subscriber with a paper bill.
Division 11 of Part 4 amends the Telecommunications Act to provide the Canadian Radio-television and Telecommunications Commission (CRTC) with the authority to impose certain conditions concerning the offering and provision of services on providers of telecommunications services that are not telecommunications carriers, to prohibit providers of telecommunications services from charging subscribers for the provision of paper bills, to allow for sharing of information between the CRTC and the Competition Bureau, to provide the CRTC with the authority to impose administrative monetary penalties for violations of the Telecommunications Act, CRTC decisions and regulations, to provide the Minister of Industry with the authority to establish a registration system and update other processes relating to telecommunications apparatus in order to assess conformity with technical requirements, and to update inspection powers for ensuring compliance with that Act.
Division 12 of Part 4 amends the Business Development Bank of Canada Act to clarify the financial and management services that the Business Development Bank of Canada is authorized to provide, including financial services in respect of enterprises operating outside Canada. It also makes some changes to the governance provisions of that Act.
Division 13 of Part 4 amends the Northwest Territories Act — enacted by section 2 of chapter 2 of the Statutes of Canada, 2014 — to provide that, if the election period for the first general election under that Act would overlap with the election period for a federal general election, then the maximum duration of the first Legislative Assembly of the Northwest Territories under that Act may be extended until five years from the date fixed for the return of the writs at the last general election under the former Northwest Territories Act (chapter N-27 of the Revised Statutes of Canada).
Division 14 of Part 4 amends the Employment Insurance Act to allow for the refund of a portion of employer premiums paid by small businesses in 2015 and 2016. An employer is eligible for that refund if its premium is $15,000 or less for the year in question.
It also amends that Act to exclude from reconsideration under section 112 of that Act decisions of the Canada Employment Insurance Commission made under the Employment Insurance Regulations respecting the writing off of penalties owing, amounts payable or interest accrued on any penalties owing or amounts payable.
Division 15 of Part 4 amends the Canada-Chile Free Trade Agreement Implementation Act in order to implement amendments to the dispute resolution mechanism of the Canada-Chile Free Trade Agreement.
Division 16 of Part 4 amends the Canada Marine Act to provide for the power to make regulations with respect to undertakings that are situated in a port. It also authorizes those regulations to incorporate by reference documents, including the laws of a province. Finally, it authorizes port authorities to acquire federal real property or federal immovables and to lease or license any real property or immovable other than federal real property or federal immovables.
Division 17 of Part 4 amends the DNA Identification Act to, among other things,
(a) create new indices in the national DNA data bank that will contain DNA profiles from missing persons, from their relatives and from human remains to assist law enforcement agencies, as well as coroners, medical examiners and persons or organizations with similar duties or functions, to find missing persons and identify human remains;
(b) create a new index that will contain DNA profiles from victims of designated offences to assist law enforcement agencies in identifying persons alleged to have committed designated offences;
(c) create a new index that will contain DNA profiles derived from bodily substances that are voluntarily submitted by individuals to assist in either the investigations of missing persons or designated offences;
(d) establish criteria for adding and retaining DNA profiles in, and removing them from, the new indices, and transferring profiles between indices;
(e) specify which DNA profiles in the existing and new indices will be compared with each other;
(f) specify the purposes for which the Commissioner of the RCMP may communicate the results of comparisons of DNA profiles and the purposes for which that information may be subsequently communicated; and
(g) specify the uses to which the results of comparisons of DNA profiles may be put.
It also makes consequential amendments to the Access to Information Act and the Public Servants Disclosure Protection Act.
Division 18 of Part 4 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to provide that certain foreign entities that are engaged in the money-services business are included in the definition “foreign entity”.
Division 19 of Part 4 amends the Department of Employment and Social Development Act to eliminate the limit on the number of full-time and part-time members of the Social Security Tribunal.
Division 20 of Part 4 amends the Public Health Agency of Canada Act to create a new position of President as deputy head of the Public Health Agency of Canada, thereby separating the responsibilities of the Chief Public Health Officer from those of the deputy head of the Agency.
Division 21 of Part 4 amends the Economic Action Plan 2013 Act, No. 2 in order to provide that certain provisions of Division 8 of Part 3 of that Act apply to any corporation resulting from an amalgamation referred to in that Division, and to provide that certain provisions of the Blue Water Bridge Authority Act continue to apply to the Blue Water Bridge Authority after its continuance.
Division 22 of Part 4 amends several Acts to discontinue supervision of provincial central cooperative credit societies by the Office of the Superintendent of Financial Institutions, to eliminate tools for federal intervention in relation to those centrals and to provincial local cooperative credit societies, and to facilitate the entry of provincial cooperative credit societies into the federal credit union system by simplifying the process for continuation and amalgamation that applies to them.
Division 23 of Part 4 amends the Financial Administration Act to authorize Her Majesty in right of Canada to neither pay nor collect low-value amounts, except amounts owed by Crown corporations to persons other than Her Majesty in right of Canada, amounts payable to Crown corporations by such persons, amounts payable under the Air Travellers Security Charge Act, the Excise Act, 2001, the Excise Tax Act, the Income Tax Act or the Softwood Lumber Products Export Charge Act, 2006, and amounts related to the public debt or to interest on the public debt. It also provides Treasury Board with the authority to make regulations to set a low-value threshold, to specify circumstances for the accumulation of amounts and to exclude amounts, as well as regulations generally respecting the operation of the authority to neither pay nor collect low-value amounts.
Division 24 of Part 4 amends the Immigration and Refugee Protection Act to, among other things,
(a) replace references to an opinion provided by the Department of Employment and Social Development, with respect to an application for a work permit, with references to an “assessment”;
(b) authorize the Minister of Citizenship and Immigration or the Minister of Employment and Social Development to publish on a list the name and address of an employer who, among other things, has been convicted of certain offences; and
(c) authorize the Governor in Council to make regulations
(i) regarding the publication and removal of the names and addresses of employers,
(ii) regarding the power to require documents from any individual or entity for inspection in order to verify compliance with regulatory conditions,
(iii) requiring an employer to provide prescribed information in relation to a foreign national’s authorization to work in Canada for the employer,
(iv) governing fees to be paid for rights and privileges in relation to an assessment provided by the Department of Employment and Social Development with respect to an application for a work permit,
(v) governing fees to be paid in respect of the compliance regime that applies to employers in relation to their employment of certain foreign nationals,
(vi) regarding the collection, retention, use, disclosure and disposal of Social Insurance Numbers, and
(vii) regarding the disclosure of information for the purposes of cooperation between the Government of Canada and the government of a province.
Division 25 of Part 4 amends the Judges Act and the Federal Courts Act to implement the Government’s Response to the Report of the Special Advisor on Federal Court Prothonotaries’ Compensation with respect to the salary and benefits of the prothonotaries of the Federal Court.
Division 26 of Part 4 amends the Canadian Payments Act to make changes to the governance structure of the Canadian Payments Association and to add new obligations in respect of accountability, including by
(a) changing the composition of the Board of the Directors of the Association and the procedures for selecting the directors of the Board;
(b) establishing a Member Advisory Council;
(c) expanding the power of the Minister of Finance to issue directives to the Association; and
(d) adding new obligations in respect of the preparation of annual reports and corporate plans.
Division 27 of Part 4 amends the Payment Clearing and Settlement Act to expand and enhance the oversight powers of the Bank of Canada with respect to systems for the clearing and settlement of payment obligations and other financial transactions, so that the Bank is better able to identify risks related to financial market infrastructure and to respond in a timely and proactive manner. It also makes minor consequential amendments to other Acts.
Division 28 of Part 4 enacts the Extractive Sector Transparency Measures Act in order to impose the following obligations on entities that are engaged in the commercial development of oil, gas or minerals for the purpose of implementing Canada’s international commitments in the fight against corruption:
(a) the obligation to report to the responsible Minister certain payments made to payees; and
(b) the obligation to make reported information accessible to the public.
For the purpose of verifying compliance, the Act provides for an inspection regime and gives a power to the responsible Minister to require an entity to provide certain information. Finally, the Act provides for certain offences relating to the obligations under the Act.
Division 29 of Part 4 amends the Jobs and Economic Growth Act to provide that Canadian Nuclear Laboratories Ltd. (CNL) is an agent of Her Majesty in right of Canada, effective as of the date of CNL’s incorporation, and to provide that CNL will cease to be an agent on the day on which Atomic Energy of Canada Limited disposes of CNL’s shares. The Division also amends that Act to provide that the Public Service Superannuation Act will apply for a transitional period of three years to persons who are employees of CNL on that day.
Division 30 of Part 4 repeals a provision of the Economic Action Plan 2013 Act, No. 2 that amended a provision of the Public Service Labour Relations Act. It also amends provisions of the Economic Action Plan 2013 Act, No. 2 that amended the Public Service Employment Act in respect of the staffing complaint process.
It also makes a technical correction to a coordinating amendment in the Economic Action Plan 2013 Act, No. 2.
Division 31 of Part 4 transfers the pensionable service that is to the credit of certain Royal Canadian Mounted Police pension contributors under the Royal Canadian Mounted Police Superannuation Act to the Public Service Superannuation Act and deems those contributors to be Group 1 contributors under the Public Service Superannuation Act. It also amends the Royal Canadian Mounted Police Superannuation Act to repeal provisions relating to members of the Royal Canadian Mounted Police not holding a rank.

Economic Action Plan 2014 Act, No. 2

[Pierre Lemieux, Conservative, Glengarry—Prescott—Russell, ON]

Mr. Speaker, let me just remind my colleague that when we take the Conservatives and how we have implemented transfers to provinces, we have significantly increased the amount of federal funding that we transfer to provinces. I will give an example from here in Ontario. When we were first elected in 2006, the federal government was transferring approximately $11.9 billion to Ontario every year. That amount has now climbed to close to $20 billion. This has been an increase for Ontario of almost 75% to 80%.

He is asking what the tax implications would be. If the provincial government spends that money wisely, then it, too, could lower taxes for Canadians. This is what Canadians want. Certainly when I am in my riding, Canadians have had it with high municipal taxes, provincial taxes, and federal taxes. I am proud to be part of a government and of a party that is focused on lowering taxes for Canadians.

[Ted Hsu, Liberal, Kingston and the Islands, ON]

Mr. Speaker, I would like to ask a question of a senior MP on the Conservative side, so I am glad to have this opportunity. It is a question that I asked earlier in the day and I did not get an answer. It is about the legislation, and in particular, the Industrial Design Act. I have to ask this question because this bill is an omnibus bill, so it contains things that were not in the budget.

In budget 2014, it said that there would be legislation to implement treaties. In proposed subsection 7(e) of the new Industrial Design Act, it says that a design is registerable if the design is not contrary to public morality or order. That is new.

Would this be implementing a treaty or something else that the Conservative government is trying to do?

[Pierre Lemieux, Conservative, Glengarry—Prescott—Russell, ON]

Mr. Speaker, I thank the opposition member for his very narrow question on the budget. I think it is important that Canadians look at the budget in its entirety and what it would do for them and for our economy.

As I pointed out, this is a good budget for Canadians. This is a good budget for our Canadian economy. As Conservatives, we have a very strong track record, in terms of creating jobs or putting in place the policies that allow the creation of jobs. We have a very strong record on lowering taxes for Canadians.

While I appreciate the question, the fact that it is so narrow makes me wonder why he is ignoring all of the other very positive measures that are contained within the budget, those types of benefits that Canadians want and ask for, that we promised to deliver and that we are indeed delivering.

[Bernard Trottier, Conservative, Parliamentary Secretary to the Minister of Public Works and Government Services]

Mr. Speaker, I think there are a lot of things for families in the budget. There are also a lot of things for small businesses.

I know the parliamentary secretary is very engaged on the agriculture file. Maybe he would talk about some of the tax relief for small businesses, including for farms. I know in the budget there is an extension of the lifetime capital gains exemption for farming properties, for example, and some of the other small businesses.

Would he comment on that and the host of measures for farming and other small businesses?

[Pierre Lemieux, Conservative, Glengarry—Prescott—Russell, ON]

Mr. Speaker, certainly, I have been in contact with farmers within my riding. It is a very agricultural region.

There are several measures contained within the budget. One was just mentioned, which is the extension of the capital gains exemption, which of course is financially advantageous to parents who sell their farms to their children. This is advantageous for getting youth and young people involved in farming, which is one of the challenges that our farm sector faces today.

I also spoke about the small business tax credit that is related to EI. Many of our farms are, indeed, small businesses. They employ less than 15 people. They will benefit from that tax credit regarding EI.

Last, in wrapping up, I will mention that we have lowered taxes and the tax burden on small businesses. I believe, if I remember correctly, that the budget contains wording about small businesses now paying about 30% less or the cost of doing business with the government is about 30% less for—

[The Acting Speaker, Barry Devolin]

Order, please.

Resuming debate, there are three minutes remaining this afternoon for the hon. parliamentary secretary for public safety.

[Roxanne James, Conservative, Parliamentary Secretary to the Minister of Public Safety and Emergency Preparedness]

Mr. Speaker, I would be pleased to speak for those three minutes.

Our Conservative government's proposal for a missing persons index is being brought forward as part of the economic action plan 2014. Every year in Canada, approximately 60,000 Canadian men, women, and children are reported missing. While 85% of those missing are found within a week, the tragic reality is that some 100 new missing person cases go unsolved each and every year. This means that there are thousands of families across Canada who wait in the dark for years, wondering if their family member will ever come home. In other cases, knowing that their loved one has been murdered, they wait in vain for closure and for justice to be delivered to whomever has harmed their loved one.

This is why DNA can play a vital role. DNA analysis is one of the most powerful tools that police have at their disposal when they investigate crime. Unfortunately, as it stands today, our national DNA data bank has limited use in the investigations of missing persons. Under current and existing laws, using DNA for national identification purposes is strictly governed by the DNA Identification Act. Through the national DNA data bank, police can only access two different indices. These are the convicted offenders index, which contains court-ordered DNA profiles of individuals convicted of a designated offence, and the crime scene index, which contains DNA profiles from biological material found at crime scenes of designated offences.

This information is critical to police investigations, and the national DNA data bank has been highly effective in helping to bring criminals to justice, exonerating the innocent, and linking crime-related incidents together. However, the act does not allow DNA to be added, retained, or matched to support missing persons or unidentified human remains investigations. In other words, there is no mechanism by which DNA, on a national basis, could be used to help advance missing person cases and hopefully bring that closure to grieving families.

For several years, Canadian families have called for changes to the system. They have advocated for a system in which DNA analysis could be used to link missing persons to unidentified human remains to help reveal their identity and their location. With Bill C-43, we will move ahead with these changes to help bring closure to these families and help our police with their criminal investigations.

We would amend the DNA Identification Act to create a new humanitarian application of the national DNA data bank. This would include creating three new indices. As I just mentioned, we would create the DNA-based missing persons index, which would contain the DNA profiles of biological material found on personal effects of missing persons. This index would be used to help find missing persons and identify previously unidentified human remains by comparing these profiles with profiles contained in all of the other indices.

[The Acting Speaker, Barry Devolin]

I must interrupt at this point. The hon. parliamentary secretary will have seven minutes remaining in her speech when this matter returns before the House.

It being 1:30 p.m., the House will now proceed to the consideration of private members' business as listed on today's order paper.

The House resumed from October 31 consideration of the motion that Bill C-43, A second Act to implement certain provisions of the budget tabled in Parliament on February 11, 2014 and other measures, be read the second time and referred to a committee, and of the amendment.

[The Speaker, Andrew Scheer]

There are seven minutes left for the hon. member for Random—Burin—St. George's.

[Judy Foote, Liberal, Random—Burin—St. George's, NL]

Mr. Speaker, I rise today to speak to the budget implementation bill no. 2. I only wish I could say that I am pleased to speak to this particular bill. However, Bill C-43 does nothing to address many of the challenges facing my constituents in Random—Burin—St. George's and Canadians in general.

This omnibus bill is clearly the product of a tired, void-of-ideas government that has completely lost touch with the people it is meant to serve. Once again, the Conservatives have introduced omnibus legislation full of changes that simply do not belong in a budget bill. At 460 pages, with over 400 separate clauses, Bill C-43 represents an abuse of power. To use a single omnibus budget bill to limit debate on a host of unrelated measures is undemocratic. If the government does not recognize this, it really is time to put it out to pasture.

Using a single omnibus budget bill to limit debate prevents members of Parliament from doing their jobs and properly scrutinizing legislation. Since forming government in 2006, in its rush to push through legislation, and by ignoring input from other parties, the Conservatives have cemented a disturbing number of preventable errors in law. By my count, Bill C-43 attempts to fix no fewer than 10 of those sloppy mistakes, including many from previous omnibus budget bills.

The government has proven time and time again that it is not interested in input from anyone outside the Conservative caucus and the Prime Minister's Office, even if it means that Canadians would be negatively impacted.

Take for instance the so-called EI tax credit proposed in Bill C-43. This flawed measure actually discourages job creation and economic growth. This measure in particular is bad for employers, bad for workers and those seeking work, and bad for the Canadian economy as a whole.

In a recent report, the Parliamentary Budget Officer said that the Conservatives' EI plan would cost $550 million over two years and would create only 800 net new jobs. This translates to a cost of almost $700,000 to taxpayers for each new job created under the Conservative program. Canadians deserve a plan for jobs and growth. The Parliamentary Budget Officer has confirmed that the Conservatives' EI plan provides neither.

While the Minister of Finance claims that EI cuts for small businesses would produce thousands of new jobs, the numbers prove otherwise. The reality is that the government's changes to EI would encourage businesses to stay small and would actually punish them if they grew and were successful. For instance, the Conservative changes to EI would offer up to $2,234.04 to small businesses for firing a worker but only up to $190.52 for hiring a worker. Furthermore, there is no requirement for job creation. Regardless of whether a small business hired new workers, remained the same size, or even fired workers, so long as a business pays less than $15,000 in EI payroll taxes, it would qualify. This may be a tax credit, but it is certainly not a job credit.

There are currently over 6,000 Newfoundlanders and Labradorians who had a job this time last year but who are now out of work. My constituents in Random—Burin—St. George's, and people throughout the province, face unemployment rates well above the national average.

For young workers, job creation is even more important. Youth aged 20 to 24 in Newfoundland and Labrador face higher unemployment rates than their peers throughout the country. At a time when many are struggling with high debt loads, youth unemployment is high and many young workers are forced to leave the province to seek work.

The Conservative government continues to compound the problem. What we need in Newfoundland and Labrador are more jobs, not fewer. Canadians from coast to coast to coast deserve a government with a plan to encourage job creation, not a government that is committed to limiting growth. As the Liberal leader said, Canadians from coast to coast to coast are generally worried about their future.

For the first time in our country's recent history, people are concerned that the next generation will struggle more than the present generation. Unfortunately, out of necessity, it has become common practice for adult children to live with their parents to make ends meet, and in doing so they have made it difficult, in some cases, for their parents to make ends meet. Such a practice was rarely heard of but is now more the norm than the exception.

That is why the Liberals are committed to helping create the right conditions for investment and economic prosperity, which will foster those badly needed jobs. Our proposed EI holiday on new hires would reward employers for creating new jobs instead of rewarding employers for firing workers. The Liberal plan has been applauded by job creators throughout the country, such as Restaurants Canada, Canadian Manufacturers & Exporters, and the Canadian Federation of Independent Business. Yet the Conservative government refuses to consider a proposal that would be helpful, preferring instead to forge ahead with a proposal that is fraught with problems. Unfortunately, this is nothing new.

Since taking office, the Conservatives have also shown little respect for Canada's democratic institutions. The government has often refused to work in partnership with the provinces and territories to help solve many of the challenges it currently faces.

Last week, we heard that the government is unwilling to listen to its provincial partners in terms of amending the Federal-Provincial Fiscal Arrangements Act. According to an official, only Ontario was consulted about these changes, in spite of the fact that Newfoundland and Labrador would be affected by these changes. It and eight other provinces had absolutely no say. The Conservative government did not just ignore input from Newfoundland and Labrador, it ignored Newfoundland and Labrador altogether.

This amendment was not one the provinces asked for. In fact, the same official has confirmed that there had been absolutely no demands from any province for this change, none whatsoever. It is puzzling that the Conservative government is committed to pushing through a change that no province asked for and no province seems to want, while ignoring calls for policies and programs that would provide real benefits to Canadians.

In some cases, Bill C-43 would not add support. What it would do is add taxes.

Many of my constituents of Random--Burin--St. George's, as in other ridings, are seniors, who are often living on fixed incomes. For the government to add GST and HST to some services provided by non-profit health care facilities, such as residential services provided at an old age home, is simply wrong. At a time when the rate of poverty among Canadian seniors is rising, and the Organisation for Economic Co-operation and Development is warning that current pension supports may be insufficient, adding to their financial burden is just not right.

Now I will speak about what is not in the budget.

In a 460-page document, with over 400 separate clauses, there is not a single mention of veterans. After years of ignoring the needs of Canadian veterans and their families, the Conservative government had an opportunity to finally act. Instead, it chose to remain silent.

In June, the Standing Committee on Veterans Affairs outlined a series of measures that would make a difference in the lives of veterans and their families, but without further legislation, the Department of Veterans Affairs can only act on the recommendations that do not require any new money. This leaves it unable to implement many of the recommendations supported even by the government's own committee members.

In its response to the committee report, the government stated:

The more complex recommendations require further inter-departmental work, budgetary analysis, and coordination with a wide range of federal departments, as well as with the Veterans Ombudsman and Veterans' groups.

They will be dealt with at a later date.

Why do complex recommendations to support veterans require additional scrutiny, when the Conservatives maintain that many of the other measures proposed in the bill do not? Surely amending the Federal-Provincial Fiscal Arrangements Act is a complex measure. Yet without consulting with the provinces, the government saw fit to include it. Why will the government not give veterans the same priority? Bill C-43 was an opportunity to implement these recommendations. However, it has proven to be yet another opportunity wasted under the Conservative government. Sadly, Canadian veterans and their families will have to wait another year in the hope that the Conservative government will finally follow through.

This also would have been an opportune time to restore and enhance search and rescue capabilities; support Canadians with mental health issues, including PTSD; and address many more priority items.

Unlike the Conservatives and their flawed budget implementation bill, the Liberals are committed to growing Canada's economy and helping to create jobs by investing in infrastructure, education, environmental initiatives, our culture, and science and technology. We believe that government must not only create the right conditions for economic growth but must also ensure that growth is sustainable and will help struggling families.

[Elizabeth May, Green, Saanich—Gulf Islands, BC]

Mr. Speaker, as a representative and as the leader of the Green Party, I am getting very few occasions to speak to this omnibus budget bill. With time allocation, it looks as though I will be denied any opportunity to give a 10-minute presentation on all the things that are wrong with this omnibus bill.

Permit me to thank my hon. colleague for allowing me to ask her to confirm that this is in fact an omnibus bill that we have not, as many Conservatives members have said in this place, had for an abundant amount of time to study. It is not the budget that was tabled in the spring. It is an entirely different piece of legislation, encompassing changes to many different pieces of legislation, many of which have nothing at all to do with the budget.

In the guise of a budgetary bill, measures that should properly go to committees for study, even measures we might support, like the creation of the Cambridge Bay research station, will only go to a committee of finance for inadequate study. I ask if my hon. colleague would not agree that this bill should never have been presented as an omnibus budget bill.

[Judy Foote, Liberal, Random—Burin—St. George's, NL]

Mr. Speaker, I thank my hon. colleague for her question, recognizing again the limited amount of time she has to speak to this bill itself.

She is absolutely right, in fact, that there is so much contained in this omnibus budget bill that it really does not give parliamentarians the opportunity they need to act on behalf of the people they represent. We do not get to scrutinize the legislation. Everything gets rolled into one bill, and by the time we get to read the bill and look at the impact it would have on Canadians from coast to coast to coast, we are limited in terms of the amount of time we get to discuss it. These omnibus bills that are put forward by the Conservative Party on a regular basis are not fair, not only to the parliamentarians who represent Canadians but to Canadians in general, because they need an opportunity to hear what is being said and proposed.

At the end of the day, we end up voting on a bill that we have had little time to digest. Canadians have no idea what is involved in it. Then we are asked to vote. Maybe some things are good in it, but there are lots of things that are bad in it. We cannot vote for the good, because we cannot possibly vote for the bad.

[Hélène LeBlanc, NDP, LaSalle—Émard, QC]

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

Our economic situation is becoming increasingly difficult, and there are huge disparities between the different regions in Canada. Could she explain why this type of bill, this so-called budget implementation bill, only increases the disparities between the different regions in Canada?

I would also like her to explain how this bill, like many of the government's previous bills, continues to widen the gap between rich and poor and between men and women. I would like to hear more from her about the fact that these bills only widen the gap between rich and poor rather than ensuring that wealth is fairly distributed in Canada.

[Judy Foote, Liberal, Random—Burin—St. George's, NL]

Mr. Speaker, anyone looking at what is being proposed in this particular bill would have to agree that it is not fair. It does not matter where they live in the country. The fact that the government did not even consult with the provinces, with the exception of one province, Ontario, in terms of fiscal financial arrangements clearly points again to the fact that the Conservatives have no respect or consideration for the impact legislation they propose will have on Canadians, no matter what region of the country they live in, their walk of life, or their income.

We are finding that we have a budget on which input is limited. It is only input from the Conservative caucus or from the Prime Minister's Office that is considered. We are members of Parliament who represent Canadians throughout this country. We can bring valuable input to the table. Yet the current government chooses to put measures in place that will have a negative impact on women, children, seniors, and veterans, and the Conservatives are not listening to how they could improve things for people from coast to coast to coast.