Budget Implementation Act, 2017, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures

This bill was last introduced in the 42nd Parliament, 1st Session, which ended in September 2019.

Sponsor

Bill Morneau  Liberal

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament often publishes better independent summaries.

Part 1 implements certain income tax measures proposed in the March 22, 2017 budget by
(a) eliminating the investment tax credit for child care spaces;
(b) eliminating the deduction for eligible home relocation loans;
(c) ensuring that amounts received on account of the caregiver recognition benefit under the Veterans Well-being Act are exempt from income tax;
(d) eliminating tax exemptions of allowances for members of legislative assemblies and certain municipal officers;
(e) eliminating the tax exemption for insurers of farming and fishing property;
(f) eliminating the additional deduction for gifts of medicine;
(g) replacing the existing caregiver credit, infirm dependant credit and family caregiver tax credit with the new Canada caregiver credit;
(h) eliminating the public transit tax credit;
(i) ensuring certain costs related to the use of reproductive technologies qualify for the medical expense tax credit;
(j) extending the list of medical practitioners that can certify eligibility for the disability tax credit to include nurse practitioners;
(k) extending eligibility for the tuition tax credit to fees paid for occupational skills courses at post-secondary institutions and taking into account such courses in determining whether an individual is a qualifying student under the Income Tax Act;
(l) extending, for one year, the mineral exploration tax credit for flow-through share investors;
(m) eliminating the tobacco manufacturers’ surtax;
(n) permitting employers to distribute T4 information slips electronically provided certain conditions are met; and
(o) delaying the repeal of the provisions related to the National Child Benefit supplement in the Income Tax Act.
Part 2 implements certain goods and services tax/harmonized sales tax (GST/HST) measures proposed in the March 22, 2017 budget by
(a) adding naloxone and its salts to the list of GST/HST zero-rated non-prescription drugs that are used to treat life-threatening conditions;
(b) amending the definition of “taxi business” to require, in certain circumstances, providers of ride-sharing services to register for the GST/HST and charge GST/HST in the same manner as taxi operators; and
(c) repealing the GST/HST rebate available to non-residents for the GST/HST that is payable in respect of the accommodation portion of eligible tour packages.
Part 3 implements certain excise measures proposed in the March 22, 2017 budget by
(a) adjusting excise duty rates on tobacco products to account for the elimination of the tobacco manufacturers’ surtax; and
(b) increasing the excise duty rates on alcohol products by 2% and automatically adjusting those rates annually by the Consumer Price Index starting in April 2018.
Part 4 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 4 amends the Special Import Measures Act to provide for binding and appealable rulings as to whether a particular good falls within the scope of a trade remedy measure, authorities to investigate and address the circumvention of trade remedy measures, consideration of whether a particular market situation is rendering selling prices in an exporting country unreliable for the purposes of determining normal values and the termination of a trade remedy investigation in respect of an exporter found to have an insignificant margin of dumping or amount of subsidy.
Division 2 of Part 4 enacts the Borrowing Authority Act, which allows the Minister of Finance to borrow money on behalf of Her Majesty in right of Canada with the authorization of the Governor in Council and provides for the maximum amount of certain borrowings. The Division amends the Financial Administration Act and the Hibernia Development Project Act to provide that the applicable rate of currency exchange quoted by the Bank of Canada is its daily average rate. It also amends the Financial Administration Act to allow that Minister to choose a rate of currency exchange other than one quoted by the Bank of Canada. Finally, it makes a consequential amendment to the Budget Implementation Act, 2016, No. 1.
Division 3 of Part 4 amends the Canada Deposit Insurance Corporation Act and the Bank Act to
(a) specify that one of the objects of the Canada Deposit Insurance Corporation is to act as the resolution authority for its member institutions;
(b) require Canada’s domestic systemically important banks to develop, submit and maintain resolution plans to that Corporation; and
(c) provide the Superintendent of Financial Institutions greater flexibility in setting the requirement for domestic systemically important banks to maintain a minimum capacity to absorb losses.
Division 4 of Part 4 amends the Shared Services Canada Act in order to permit the Minister responsible for Shared Services Canada to do the following, subject to any terms and conditions that that Minister specifies:
(a) delegate certain powers given to that Minister under that Act to an “appropriate Minister”, as defined in section 2 of the Financial Administration Act; and
(b) authorize in exceptional circumstances a department to obtain a particular service other than from that Minister through Shared Services Canada, including by meeting its requirement for that service internally.
Division 5 of Part 4 authorizes a payment to be made out of the Consolidated Revenue Fund to the Canadian Institute for Advanced Research to support a pan-Canadian artificial intelligence strategy.
Division 6 of Part 4 amends the Canada Student Financial Assistance Act to expand eligibility for student financial assistance under that Act to include persons registered as Indians under the Indian Act, whether or not they are Canadian citizens, permanent residents or protected persons. It also amends the Canada Education Savings Act to permit the primary caregiver’s cohabiting spouse or common-law partner to designate a trust to which is to be paid a Canada Learning Bond or an additional amount of a Canada Education Savings grant and to apply to the Minister for the waiver of certain requirements of that Act or the regulations to avoid undue hardship. It also amends that Act to provide rules for the payment of an additional amount of a Canada Education Savings grant in situations where more than one trust has been designated.
Division 7 of Part 4 amends the Parliament of Canada Act to provide for the Parliamentary Budget Officer to report directly to Parliament and to be supported by an office that is separate from the Library of Parliament and to provide for the appointment and tenure of the Parliamentary Budget Officer to be that of an officer of Parliament. It expands the Parliamentary Budget Officer’s right of access to government information, clarifies the Parliamentary Budget Officer’s mandate with respect to the provision of research, analysis and costings and establishes a new mandate with respect to the costing of platform proposals during election periods. It also makes consequential amendments to certain Acts.
This Division also amends the Parliament of Canada Act to provide that the meetings of the Board of Internal Economy of the House of Commons are open, with certain exceptions, to the public.
Division 8 of Part 4 amends the Investment Canada Act to provide for an immediate increase to $1 billion of the review threshold amount for certain investments by WTO investors that are not state-owned enterprises. In addition, it requires that the report of the Director of Investments on the administration of that Act also include Part IV.‍1.
Division 9 of Part 4 provides funding to provinces for home care services and mental health services for the fiscal year 2017–2018.
Division 10 of Part 4 amends the Judges Act to implement the Response of the Government of Canada to the Report of the 2015 Judicial Compensation and Benefits Commission. It provides for the continued statutory indexation of judicial salaries, an increase to the salaries of Federal Court prothonotaries to 80% of that of a Federal Court judge, an annual allowance for prothonotaries and reimbursement of legal costs incurred during their participation in the compensation review process. It also makes changes to the compensation of certain current and former chief justices to appropriately compensate them for their service and it makes technical amendments to ensure the correct division of annuities and enforcement of financial support orders, where necessary. Finally, it increases the number of judges of the Court of Queen’s Bench of Alberta and the Yukon Supreme Court and increases the number of judicial salaries that may be paid under paragraph 24(3)‍(a) of that Act from thirteen to sixteen and under paragraph 24(3)‍(b) from fifty to sixty-two.
Division 11 of Part 4 amends the Employment Insurance Act to, among other things, allow for the payment of parental benefits over a longer period at a lower benefit rate, allow maternity benefits to be paid as early as the 12th week before the expected week of birth, create a benefit for family members to care for a critically ill adult and allow for benefits to care for a critically ill child to be payable to family members.
This Division also amends the Canada Labour Code to, among other things, increase the maximum length of parental leave to 63 weeks, extend the period prior to the estimated date of birth when the maternity leave may begin to 13 weeks, create a leave for a family member to care for a critically ill adult and allow for the leave related to the critical illness of a child to be taken by a family member.
Division 12 of Part 4 amends the Canadian Forces Members and Veterans Re-establishment and Compensation Act to, among other things,
(a) specify to whom career transition services may be provided under Part 1 of the Act and authorize the Governor in Council to make regulations respecting those services;
(b) create a new education and training benefit that will provide a veteran with up to $80,000 for a course of study at an educational institution or for other education or training that is approved by the Minister of Veterans Affairs;
(c) end the family caregiver relief benefit and replace it with a caregiver recognition benefit that is payable to a person designated by a veteran;
(d) authorize the Minister of Veterans Affairs to waive the requirement for an application for compensation, services or assistance under the Act in certain cases;
(e) set out to whom any amount payable under the Act is to be paid if the person who is entitled to that amount dies before receiving it; and
(f) change the name of the Act.
The Division also amends the Pension Act and the Department of Veterans Affairs Act to remove references to hospitals under the jurisdiction of the Department of Veterans Affairs as there are no longer any such hospitals.
Finally, it makes consequential amendments to other Acts.
Division 13 of Part 4 amends the Immigration and Refugee Protection Act to
(a) provide that a foreign national who is a member of a certain portion of the class of foreign nationals who are nominated by a province or territory for the purposes of that Act may be issued an invitation to make an application for permanent residence only in respect of that class;
(b) provide that a foreign national who declines an invitation to make an application in relation to an expression of interest remains eligible to be invited to make an application in relation to the same expression of interest;
(c) authorize the Minister to give a single ministerial instruction that sets out the rank, in respect of different classes, that an eligible foreign national must occupy to be invited to make an application;
(d) provide that a ministerial instruction respecting the criteria that a foreign national must meet to be eligible to be invited to make an application applies in respect of an expression of interest that is submitted before the day on which the instruction takes effect;
(e) authorize the Minister, for the purpose of facilitating the selection of a foreign national as a member of a class or a temporary resident, to disclose personal information in relation to the foreign national that is provided to the Minister by a third party or created by the Minister;
(f) set out the circumstances in which an officer under that Act may issue documents in respect of an application to foreign nationals who do not meet certain criteria or do not have the qualifications they had when they were issued an invitation to make an application; and
(g) provide that the Service Fees Act does not apply to fees for the acquisition of permanent residence status or to certain fees for services provided under the Immigration and Refugee Protection Act.
Division 14 of Part 4 amends the Employment Insurance Act to broaden the definition of “insured participant”, in Part II of that Act, as well as the support measures that may be established by the Canada Employment Insurance Commission. It also repeals certain provisions of that Act.
Division 15 of Part 4 amends the Aeronautics Act, the Navigation Protection Act, the Railway Safety Act and the Canada Shipping Act, 2001 to provide the Minister of Transport with the authority to enter into agreements respecting any matter for which a charge or fee could be prescribed under those Acts and to make related amendments.
Division 16 of Part 4 amends the Food and Drugs Act to give the Minister of Health the authority to fix user fees for services, use of facilities, regulatory processes and approvals, products, rights and privileges that are related to drugs, medical devices, food and cosmetics. It also gives that Minister the authority to remit those fees, to adjust them and to withhold or withdraw services for the non-payment of them. Finally, it exempts those fees from the Service Fees Act.
Division 17 of Part 4 amends the Canada Labour Code to, among other things,
(a) transfer to the Canada Industrial Relations Board the powers, duties and functions of appeals officers under Part II of that Act and of referees and adjudicators under Part III of that Act;
(b) provide a complaint mechanism under Part III of that Act for employer reprisals;
(c) permit the Minister of Labour to order an employer to determine, following an internal audit, whether it is in compliance with a provision of Part III of that Act and to provide the Minister with a corresponding report;
(d) permit inspectors to order an employer to cease the contravention of a provision of Part III of that Act;
(e) extend the period with respect to which a payment order to recover unpaid wages or other amounts may be issued;
(f) impose administrative fees on employers to whom payment orders are issued; and
(g) establish an administrative monetary penalty scheme to supplement existing enforcement measures under Parts II and III of that Act.
This Division also amends the Wage Earner Protection Program Act to transfer to the Canada Industrial Relations Board the powers, duties and functions of adjudicators under that Act and makes consequential amendments to other Acts.
Division 18 of Part 4 enacts the Canada Infrastructure Bank Act, which establishes the Canada Infrastructure Bank as a Crown corporation. The Bank’s purpose is to invest in, and seek to attract private sector and institutional investment to, revenue-generating infrastructure projects. The Act also provides for, among other things, the powers and functions of the Bank, its governance framework and its financial management and control, allows for the appointment of a designated Minister, and provides that the Minister of Finance may pay to the Bank up to $35 billion and approve loan guarantees. Finally, this Division makes consequential amendments to the Access to Information Act, the Financial Administration Act and the Payments in Lieu of Taxes Act.
Division 19 of Part 4 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to, among other things, expand the list of disclosure recipients to include the Department of National Defence and the Canadian Armed Forces and to include beneficial ownership information as “designated information” that can be disclosed by the Financial Transactions and Reports Analysis Centre of Canada. It also makes several technical amendments to ensure that the legislation functions as intended and to clarify certain provisions, including the definition of “client” and the application of that Act to trust companies.
Division 20 of Part 4 enacts the Invest in Canada Act. It also makes consequential and related amendments to other Acts.
Division 21 of Part 4 enacts the Service Fees Act. The Act requires responsible authorities, before certain fees are fixed, to develop fee proposals for consultation and to table them in Parliament. It also requires that performance standards be established in relation to certain fees and that responsible authorities remit those fees when the standards are not met. It adjusts certain fees on an annual basis in accordance with the Consumer Price Index. Furthermore, it requires responsible authorities and the President of the Treasury Board to report on fees. This Division also makes a related amendment to the Economic Action Plan 2014 Act, No. 1 and terminological amendments to other Acts and repeals the User Fees Act.

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.

Votes

June 12, 2017 Passed 3rd reading and adoption of Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
June 6, 2017 Passed Concurrence at report stage of Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 6, 2017 Failed Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
June 5, 2017 Passed Time allocation for Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
May 9, 2017 Passed That the Bill be now read a second time and referred to the Standing Committee on Finance.
May 9, 2017 Failed That the motion be amended by deleting all the words after the word “That” and substituting the following: “the House decline to give second reading to Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures, since the Bill, in addition to increasing taxes and making it more difficult for struggling families to make ends meet, is an omnibus bill that fails to address the government's promise not to use them.”.
May 9, 2017 Passed That, in relation to Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures, not more than one further sitting day 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 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.

The House resumed consideration of the motion that Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures, be read the second time and referred to a committee, and of the amendment.

Budget Implementation Act, 2017, No. 1Government Orders

May 5th, 2017 / 12:40 p.m.
See context

NDP

Linda Duncan NDP Edmonton Strathcona, AB

Madam Speaker, this budget is disappointing, both for what it provides and does not provide. Counted among our critical duties as elected members is holding the government accountable for its spending.

As per Standing Order 80, the House retains the sole authority to authorize supply. In 2002, the Standing Committee on Government Operations and Estimates was established, with a clear mandate to guide and oversee the House of Commons estimates review process, either directly through the estimates documents, or indirectly by examining government operations.

As critic for public works at the time, I participated in a review to strengthen parliamentary scrutiny of estimates and supply. We examined both the format and timing of estimates and program priorities, and the need for greater support to members of this place in effective scrutiny of spending.

As the report states, “Parliament's control of the public purse is still very much at the heart of our democratic government.”

Among the challenges facing members is the lack of access to information, expertise, and the time to fully understand and review estimates and operations. We need access to clear, consistent, and reliable information and analysis. Many experts support the appointment of an independent parliamentary budget officer, mandated to assist members and the committees in their evaluations of spending.

What actions have been taken by the government to deliver on its promises of more open and accountable governance, and the creation of an independent PBO? Despite election promises, it tabled a 300-plus page omnibus budget implementation bill, amending no less than 30 bills. As well, despite promises to the contrary, this omnibus bill strikes a blow to the ability of the members of this place to deliver our responsibilities.

Bill C-44 significantly reduces the independence of the PBO, and in turn the ability of that office to serve the needs of members. Why is the PBO so important? The office was established specifically to provide independent analysis to this place and the other place, about “the state of the nation's finances”, the estimates of the government, “and trends in the [national] economy; and...to estimate the financial cost of any proposal” of a matter under federal jurisdiction.

Analyses and reports of the PBO have proven invaluable in disclosing issues on costing and spending. During the election, the Liberals espoused clear support for an independent PBO:

We will not interfere with the work of government watchdogs. [...] We will ensure that all of the officers are properly funded and accountable only to Parliament, not the government of the day.

We will ensure that the [PBO] is truly independent, properly funded, and [answerable] only--and directly--to Parliament....

While in opposition, the Liberals echoed our calls to the Harper government to act immediately to make the PBO an independent officer reporting directly to Parliament. While now in power, what have the Liberals done to the PBO? Are they making the parliamentary budget officer an independent officer reporting to Parliament? No. They are mandating the Speakers of the two Houses to scrutinize both the priorities and spending by the PBO. They are further reducing its independence.

It is another broken election promise, and a serious blow to the mandate of the PBO and to the ability of the members in this place to carry out our responsibilities to hold the government to account. An important reminder to all members of this place, including on the government side, is that holding the government accountable for spending is not just the duty of opposition members, it is the duty of all elected MPs.

We all benefit from an independent parliamentary budget officer. The government says it is open to amendments, so please strike down these measures that are reducing the independence of the parliamentary budget officer.

What is missing from the budget bill? After 18 months in office, not a single bill has been tabled by the government, let alone enacted, to protect the environment. If it so favours the return of omnibus budget bills, why not have one to restore the laws that Stephen Harper eviscerated and the Liberals promised to restore?

There has been no bill to restore the protections to navigable waters, a once critical trigger for environment assessment. There has been no bill tabled to extend to Canadians a voice in policies and approvals impacting their health or environment, a commitment that is imposed on the government under NAFTA. There has been no bill tabled to restore a credible environmental assessment process or even interim reforms, as the government glibly approves major resource project after resource project.

Finally, there has been no bill tabled to enact the rights prescribed under the United Nations Declaration on the Rights of Indigenous Peoples. The current government espouses to support those rights, including the right to free, prior, and informed consent to development on their territories that is impacting their peoples. However, again we see first nations peoples and Métis having to take the government to court, because of its approval of the Site C dam, because of its approval of pipelines, and because of its abject refusal to even review major projects and consider right to title of first nations peoples.

While there are pages of rhetoric in the budget bill on the Liberals' commitment to clean energy, there are close to zero dollars allocated to be spent on those important roles this fiscal year. We have raised this continually. They say that over 10 years, over the next decade, blah, blah, blah, they are going to commit all kinds of dollars to child care, to housing, and shifting to a cleaner energy economy. When we actually look at the pages of the budget bill where they allocate the dollars, they allocate absolutely zero for a clean energy future in this year's budget, including no monies to assist northern and first nations communities to switch from dirty polluting diesel fuel to cleaner sources of energy, something they desperately need.

The Liberals' skills development and innovation budget also makes no commitment for a just transition strategy for workers and communities for a cleaner energy economy. To the credit of the Alberta government, this is something that it is proceeding on with the workers of the province, including in the coal-fired power industry and for the oil sands industry. It is something that the Germans are pursuing with their workers.

If we are switching to different sources of development, it is very important that we also have a skills development and educational strategy, and an incentive strategy to support the workers to gain retraining or to relocate for new kinds of training. Certainly we see private entities in my own province. Electrical contractors themselves, through fees that they pay on their contracts, have set up a training program for electricians, including plug-ins for electrical cars and the installation of solar panels. We see nothing in the budget implementation bill to move forward on a strategy for a genuine and just transition towards a cleaner energy economy.

Those certainly would be measures that I would love to see added to the budget bill. The Liberals have said that they are open to amendments. Those would be very useful amendments, to lend greater credibility to their talk of balancing environmental and economic development. I look forward to questions.

The House resumed consideration of the motion that Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures, be read the second time and referred to a committee, and of the amendment.

Budget Implementation Act, 2017, No. 1Government Orders

May 5th, 2017 / 12:15 p.m.
See context

Conservative

Kelly McCauley Conservative Edmonton West, AB

Madam Speaker, I am pleased to finish my speech from yesterday regarding Bill C-44, the line of credit bill.

I started my speech yesterday with a description of what my oldest son said about the bill when I told him it was $100 billion of debt with which he and his generation would be stuck. His comment was “What the heck, Dad. Thanks for sticking us with this bill”.

Before I was cut off at the end of the day yesterday, I finished my part talking about the Liberals' propensity for how much they consulted on the budget. I would absolutely love to meet the people who said yes to higher taxes on oil and gas exploration. I will take a wild guess that it is not the energy workers whose jobs rely on the energy development projects. Canadians who said yes to higher taxes on the oil and gas industry are probably the same ones who told the Prime Minister to leave the oil in the ground.

I am not surprised the Prime Minister listened to that advice, but I am stunned that the four Liberal MPs from Alberta sit idle, while the government writes into the budget how it will use the tax system to reduce emissions and greenhouse gases, and by extension, phase out the oil sands. The government is fine for hundreds of millions of dollars in bailouts and bonuses for Bombardier to make energy-guzzling, greenhouse gas belching planes, and hundreds of millions in taxpayer dollars for its Ontario auto industry for cars running, surprisingly, on gas. However, for Alberta's energy industry it will use the tax system to phase it out, and make a special effort to tell everyone by placing it right in the budget.

By 2021, Canada will be $102 billion further into debt, which is an average of $4,000 per taxpayer that needs to be paid back. The Liberals promised that this deluge of spending would lead to unprecedented levels of of economic growth. Just one year ago, they were musing about a multiplier effect of three to four times the size of the investment. It turns out they were wrong, and we got 1.7% growth.

The Globe and Mail noted that the bulk of the Liberal deficit spending had not been about infrastructure. It is borrowing for groceries more than the mortgage. The question is whether the Liberals, who have repeatedly moved the goal post, will be able to live within this constraint.

What are those billions actually going toward? Innovation? I wonder if the government knows what innovation means, if it actually has a definition, or if it is just like the middle class. The Liberals do not know what it is, they cannot define it, but it sounds pretty good so they will repeat it a few hundred times and hope something happens.

The budget is innovative though, truly the most innovative budget ever. To prove it to us, the word “innovation” appears more than 200 times in the budget. Unfortunately, simply repeating something does not make it true. We need a plan. We need tangible goals and outcomes and a real means of achieving growth.

The Liberals have announced initiatives thousands of times, indeed over 4,200 times since winning the election in 2015. However, as the parliamentary budget officer noted, even though the government has a penchant for announcing funding, it has completely failed to ensure the money gets out the door. This year alone, over $2 billion in infrastructure funding was allowed to lapse because the government was simply incapable of writing the cheque.

The government will stand and respond breathlessly that at least it is doing something, and demand of us, the opposition, some policy options to counter its own. We have provided those ideas. My Alberta colleagues and I provided very specific recommendations in our Alberta jobs task force report that was submitted to the finance minister. We consulted with over 5,000 Alberta families, small businesses, and stakeholders affected by the economic downturn. By the way, in case anyone is wondering, none of those we consulted said to jack up taxes on the gas and oil industry and phase out the oil sands.

We advised the government of these options provided to us in the jobs task force, which include: reduce the tax burden on Canadians by stopping the carbon tax; honour the promise to lower the small business tax; support families in need by reversing the punishing new mortgage rules; and enhance Canada's fiscal strength by developing and communicating a clear path back to a balanced budget. These are good, meaningful, and broadly supported recommendations that would help not only Albertans but Canadians. It is too bad the government is all to happy to ignore them.

Instead, the government will take as much as it can from Canadians to fund buzzwords, undefined ideas, palatial renovations to ministers' offices, limousines for cabinet ministers, and vacations for the Prime Minister to billionaire island.

Two years ago, the government promised to table budgets with modest deficits. It bragged and boasted that its costed plan meant it could keep its promise to Canadians, and also manage our finances. Once this promise became inconvenient, it was taken out back and “dealt with”, like Tony Soprano cutting off loose ends and handling “problems”.

By the time budget 2016 was tabled, the Liberal promise to balance the budget by 2019 disappeared entirely. The new reality of deficits well into the 2050s is now treated like Lord Voldemort, something really bad and evil that we know is out there but we do not mention it by name.

What are we getting for $102 billion in debt and higher taxes? What are our children receiving for a mortgaged future? Buzzwords about superclusters, rampant announcements for items well into the future, but misleading treated as action today and nothing but bafflegab. “What the heck, Dad”, indeed.

The House resumed from May 4 consideration of the motion that Bill C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures, be read the second time and referred to a committee, and of the amendment.

Budget Implementation Act, 2017, No. 1Government Orders

May 4th, 2017 / 5:25 p.m.
See context

Conservative

Kelly McCauley Conservative Edmonton West, AB

Mr. Speaker, I know my time will be short, so maybe I will make up for it by yelling like our friend across the way, the member for Winnipeg North.

I would like to rise to speak to Bill C-44, budget 2017, otherwise known as the line of credit bill. Before I get to my reactions to the bill, I want to share with the House someone else's reaction to the bill.

After the budget came out, I was at home, on a Saturday, because I am here on a Friday, and I was grousing about this huge deficit and debt that the government is adding for future Canadians to pay. I was grousing to my wife about the extra $100 billion. My oldest son—who is in Grade 12, a strong libertarian, a strong Conservative, who is entering the real world next year—was in the room, playing on his computer. Normally, we could set a bomb off and it would not distract him from his video game, but he heard “$100 billion”, looked over at me, and yelled, “Dad, what the heck?”—actually, it was not “heck”; it was a different word, but members get the idea. He said, “Thanks for sticking us with the bill”.

That is what we are doing here. We are sticking future generations with the bill for the present government's inability to act responsibly today. There is a disconnect between the government's perception of its budget and reality. From its spin, we would never realize what a train wreck its financial plan is. The government is raising taxes, taking away family tax credits, shamelessly adding a tax on a tax by adding GST to the tune of about $200 million to the carbon tax in Alberta and British Columbia, and even with all these added taxes, it is still saddling us with over $100 billion in debt over the next four years.

What do we get for selling out our children and our grandchildren? We get 1.7% projected growth. There is no need to check Hansard or the translation. Members heard me correctly. I said 1.7% growth.

I am disappointed in the unsustainably high deficits, the tax increases, the continuous movement of the financial goal posts just to cynically meet the Liberals' needs on a given day and the stunning lack of new ideas from the government.

The government has not even been around for two years. This is only its second budget, and we are already hearing about how lacklustre it is and how disappointing it is that the government is unable to offer anything new. Do not take my word for it. Here are some quotes from our friends in the media.

Stephen Gordon, in the National Post, wrote, “With this federal budget, the Liberals have let the middle class down, again”.

If Mr. Gordon is watching on CPAC, I will tell him that he forgot to mention that they are also letting down those working to join the middle class.

Andrew Coyne said, “No money, no ideas, but a wealth of bafflegab and buzzwords from the Liberals”.

Paul Wells, of the Toronto Star, says, “It's a mystery how the Liberals are encouraging innovation and helping the middle class.... It would be nice if [the] budget offered real gains because so far the [Prime Minister's] government's handling of both issues is pretty much a mess.”

To put this into perspective, there are more recorded examples of Pravda criticizing the Soviet government than there are of the Toronto Star criticizing the Liberals.

The media are correct. The budget does not offer anything new or meaningful to help Canadians get a job, save for the future, or grow the economy. Instead, the budget spends more, borrows more, delivers on very little, and provides no hope for those in the middle class and those working to join it.

The government likes to brag about how often it consults Canadians. I would love to meet those who rely on the public transit tax credit in order to afford the bus passes, who actually told the finance minister to go ahead and end this tax credit. I would love to meet the young Canadians who use Uber because it is an affordable alternative to a car, who told the finance minister to go ahead and tax this service. I would love to meet the small business owners who enthusiastically support the government's broken promise to lower the small business tax. I would absolutely love to meet the people who said yes to higher oil and gas exploration taxes.

Budget Implementation Act, 2017, No. 1Government Orders

May 4th, 2017 / 4:50 p.m.
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NDP

Pierre-Luc Dusseault NDP Sherbrooke, QC

Mr. Speaker, unfortunately for my colleague, people have more than two options at the polls. The fact is that they added $150 billion to the national debt during their time in power, and it was not the end of the world.

Anyway, my question is about the government's choices. By passing an NDP motion, the Liberals agreed to put limits on stock options for CEOs, but that is nowhere in the budget. It could have kept that promise in Bill C-44, the budget implementation bill. It could have followed through on the commitment it made when it passed our motion on March 8. Unfortunately, there was no mention of it in the budget tabled on March 22. Now Bill C-44 makes no mention of that commitment either.

What the Liberals did do was get rid of the public transit tax credit. People in our ridings use that tax credit. People come to see me, and they tell me that they use it. Sometimes it is the only tax credit they can use because they are not in a position to make charitable or political donations. They do not have access to other tax credits; this is one of the few they can use. Now the government is taking their tax credit away. It just so happens to be leaving generous tax credits for CEOs in place.

What does the member think of the Liberal government's policy choices?

Budget Implementation Act, 2017, No. 1Government Orders

May 4th, 2017 / 4:10 p.m.
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Conservative

Rachael Thomas Conservative Lethbridge, AB

Mr. Speaker, I do appreciate the opportunity to speak to Bill C-44, the budget implementation bill.

When the federal government releases its annual budget, it is far more than simply numbers on a page. It is actually a declaration of intent, a vision statement of sorts; and so it is important for us to take time to learn about what exactly the government plans to do on behalf of Canadians, or perhaps it is in hindrance of Canadians.

On March 22, the Liberal government put forward budget 2017. In this 278 page document, the Liberals outlined their plan to spend the money of taxpayers.

We all know that I am a Conservative member of Parliament in this place. I believe governments should be as small as possible. I believe business owners should be provided with freedom to innovate and create jobs, and I believe in freedom of choice and the fact that it should be protected. Naturally, I look at the budget through a different lens than my counterparts do. As the member of Parliament for Lethbridge and as a Conservative, I was thoroughly disappointed by the budget.

The bottom line is this. The Liberals are hiking taxes, stalling on infrastructure spending, and doing little to help seniors, and they have zero plans in place for helping the rising generation. I have not even mentioned the fact that the Liberals are incurring a deficit load of $28.9 billion in this budget, which is a far cry from the $10 billion that they promised during the election. This would leave future generations with the task of paying for their reckless spending.

To be fair, there are a few measures in the budget that I would like to draw upon, and of course, many of them have to do with former Conservative initiatives that are now being expanded. One would be the caregiver tax credit that rolls three different Conservative tax credits into one. The Liberals continued also with the Conservatives' trend of providing greater access and flexibility to student loans to ensure adult learners have the resources they need to access training to improve their work prospects.

The budget would also provide new flexibility to mothers on maternity leave, and different flexibility for people on employment insurance to return to school. I do believe these are excellent or noteworthy changes. Unfortunately, however, these positives were overshadowed by an entire host of negatives.

With increased taxes on public transit, Uber, beer, wine, tobacco, home heating, and gasoline, life gets a lot more expensive for Canadians with budget 2017. These new taxes would make life less affordable and disproportionately affect those with low or fixed incomes.

Let us take a closer look. Budget 2017 would eliminate the public transit tax credit, which many of my constituents have told me would have a negative impact on them. Getting rid of this tax credit disproportionately affects those with disabilities and those on a fixed income, particularly seniors.

Furthermore, the Liberals decided to increase taxes on those who offer insurance to farmers and fishing properties, thus driving up the cost of insurance for those who are farming families in my community.

Budget 2017 would also increase taxes on tourists who visit Canada on a tour package, thereby driving up the cost of visiting our great country. It is a mystery to me why we would want to do that. This would result in job losses in the tourism sector, especially in regions such as Yukon and the Maritimes, who can afford it the least.

As already mentioned, courtesy of the Liberal government, every Canadian who enjoys a glass of wine, a bottle of beer, a cigarette, or taking Uber would now pay even more.

The Liberals have justified an astronomically high deficit by saying that much of the money will go toward infrastructure projects, which are meant to boost the economy, they would argue. However, since the Liberal government took office, 94% of approved projects have not yet broken ground. This is a huge problem. This means jobs are not being created, and it means that the economy is not being stimulated in the way the Liberals promised.

Budget 2017 contains no new infrastructure spending beyond what was announced in the 2016 fall economic update. As for Lethbridge, as the member of Parliament, I was really hoping to see greater funds become available for infrastructure projects within a medium-sized centre such as ours. However, that was not the case. Instead, we were left out in the cold. Why might that be? It is because the Liberals made all the money available to Liberal-friendly big cities like Toronto, Montreal, and Vancouver. There is zero new funding for small and medium cities like ours.

When it comes to helping seniors, budget 2017 is far more harmful than it is helpful. The Liberals scrapped the public transit credit, eliminated the family caregiver tax credit, and increased the cost of living by putting in place a carbon tax. To top it all off, the Prime Minister continues to refuse to put a minister for seniors in place. Right now in Canada, one in six people are seniors. They deserve more.

However, they are not the only ones. Canada's youth are put in a significant place of disadvantage with the budget. Instead of raising taxes, the Prime Minister really should have focused on job creation and policies that would lead to that. In the last year, Canadians aged 15 to 24 lost 42,000 full-time jobs. To make matters worse, the best solution the finance minister has to offer the younger generation is that they simply need to get used to what he calls “job churn”. This is absolutely unacceptable. We need to take this generation much more seriously.

Since being elected in 2015, I have had a chance to travel from coast to coast across the country, and I have talked to young people in each province as I have gone along. The biggest concern I hear over and over again is that they want to find meaningful employment after they graduate from university or college. Many youth have called upon the federal government to provide a tax incentive to employers who hire young people. Such an approach would allow the free market to reward job creation and, unlike government job programs, would result in long-term, well-paying jobs for these young people. I believe that budget 2017 was a missed opportunity to advocate for the rising generation.

Sadly, with this budget the Liberals are mortgaging the future of our great country, and it is our children who will ultimately have to foot the bill. It is extremely concerning to me that budget 2017 puts Liberals on track to spend $100 billion more than they will collect through tax revenue in the life of this government. This is like taking a $100 billion mortgage out, which our children and our grandchildren would be responsible for paying back. This is hard to justify, when our children and our grandchildren would see little to no benefit for this money.

In short, I will be voting against Bill C-44, the budget implementation bill. I cannot in good faith look my constituents in the eye and tell them that this budget is in fact in their best interest. Neither can the party opposite. The truth is that the Liberals have a spending problem. When it comes to spending my constituents' money, they cannot help themselves. They find that fun, and I am not okay with that. I am not okay with their raising taxes so they can pay their corporate cronies who come begging for government bailouts. The Liberals call it advancing innovation, but we know it is actually corporate welfare. The Liberals are taking from the poor and giving it to the rich. I believe that is absolutely, fundamentally wrong.

It is no surprise that the Prime Minister and his cabinet ministers keep getting caught holding swanky cash for access fundraisers with the business elite of Canada, or that the rich Bay Street business types and the Liberal-friendly think tanks are the ones that are benefiting from the Liberal government's policies.

Canada's economic future is looking a little uncertain. There are factors beyond our control, such as the unpredictable American government, that further advanced this uncertainty. This is why it is even more important than ever that we get our own house, our own country, in order first and foremost.

The budget points Canada into very dangerous economic waters. My job as a member of Parliament in this place is to defend the taxpayers, and this budget fails to respect their investment in this great country, the country we call Canada. Therefore, I will be voting against Bill C-44, the budget implementation bill.

Budget Implementation Act, 2017, No. 1Government Orders

May 4th, 2017 / 3:40 p.m.
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Liberal

Neil Ellis Liberal Bay of Quinte, ON

Mr. Speaker, it is a pleasure to rise today to speak to Bill C-44, the budget implementation act.

I would first like to thank the hon. member for Fleetwood—Port Kells for sharing his time with me. He was a teenager when Canada celebrated its 100th birthday and I was a day away from my fifth birthday, so I can learn from the member and all that he has done for his great riding.

Bill C-44, the budget implementation act, and its unprecedented investments in infrastructure represent more than $180 billion over 12 years. Infrastructure, quite simply, is the providence of the most basic and necessary foundations of all our lives. There is a direct correlation between the condition of our travel and trade corridors, our roads, trade corridors, energy transmission, utility or public transit services, and our ability to thrive, excel, and innovate.

Budget 2016 sets the focus for the first phase of our government's plan to recapitalize and modernize our existing infrastructure assets. By keeping our foundational systems in the best possible repair, we are making it easier for Canadians to navigate their larger life ambitions, whether that is to protect and study our country's diverse environments, to develop our key resources, to build, manage, or expand on existing services, or to connect with friends and family in this immense and beautiful country we live in.

That is why I am so proud that budget 2017 ensures that our infrastructure, as a national foundation for the diverse and vibrant lives that Canadians lead, is strong. Budget 2016 initiated upgrades to long-neglected critical infrastructure. It also enabled us to sign bilateral agreements with all provinces and territories, as well as partner with indigenous and municipal stakeholders to plan and deliver infrastructure projects. Phase one of Canada's new infrastructure plan included $11.9 billion over five years that started in 2016.

Since November 2015, we have approved over 2,000 projects for a combined investment of over $21 billion. As part of the fall economic update, we are investing $81 billion over the next 11 years, starting in 2017-18. We have also proposed the creation of the Canada infrastructure bank, an arm's-length crown corporation, which would allow us to attract and mobilize private capital funding from world-leading institutional investors.

Funds held by the bank would be released to our provincial, territorial, and municipal partners after successful and innovative financial negotiations in order to supplement our wider public investment toward infrastructure projects. In doing so, our government is encouraging an innovative process of delivering key investments for our most vital sectors, including $3.4 billion for public transit, $5 billion for investments in water, waste-water, and green infrastructure that supports a clean growth economy, and $3.4 billion for social infrastructure that promotes affordable housing

As for public transit, we all know that when it is easier to reach our destinations, it increases our productivity in our workplaces and also the enjoyment of our leisure time. This is why budget 2017 has enabled us to approve 744 public transit projects for federal funding.

I am thrilled that my local riding, the Bay of Quinte, has received over $1.4 million for transit in the city of Belleville, $169,000 for Quinte West, and $22,000 for Prince Edward County, respectively. I was proud to read in today's paper that transit in the city of Belleville is up about 10% this year already. It proves that these investments build our economy and create better lives for the people who live there.

This federal funding will enable upgrades and expansion of existing transit services across the Bay of Quinte region. These investments will generate feasibility studies on existing transit usage, modernization of vehicle storage facilities, creation of additional bus shelters, and expansion of coverage as well as the transit services offered. Across Canada, 132 transit systems will receive similar funding to help build and connect public transit across our communities. By offering more reliable, accessible, and connected public transit options, we are allowing our communities to lessen their ecological footprint, but simultaneously take larger steps toward improving the ways we live, move, and work.

I will now turn to the clean water and waste-water fund. We all know that when we can trust our sources of water or the practices associated with processing all the residential, commercial, and industrial forms of waste that we make, we are able to rest easier knowing that our health and safety are not in question. This is why budget 2017 has set aside funding to expand 219 waste-water systems and to rehabilitate another 328. Few of us like to think of what exactly is hidden, treated, and recycled through these systems, but none of us can ignore the importance of these crucial arteries of infrastructure. Without proper sewer, air venting, and water intake mechanisms in place, we are unable to deal practically or safely with the most basic aspects of human life.

Notable projects include the Bragg Creek flood mitigation in Alberta, and the sanitary servicing to reduce phosphorus to Lake Simcoe-Royal Oak, Bay, Cottage in Barrie, Ontario. This reminds us all that our rural, remote, and urban communities need clean water for their residents, for their agriculture, commercial, and industrial processes, and especially for emergency services like firefighting. These projects and others can encourage efficient water use and assist the key gatekeepers of our rivers, streams, and watersheds and waterways to provide safe water intake and treatment for all Canadians.

Regarding green technologies, all across Canada other projects that generate the use or development of clean and sustainable products or services have also received funding as part of our wider initiative to build safe, inclusive, and sustainable communities. With the support of a low-carbon green economy, projects like upgrades to the Red Rock waste system treatment plant in Red Rock, Ontario, illustrate the success of budget 2017 in supporting the acceleration and adaptability of our communities, whether urban, rural, or remote.

These projects are just a few of the strong examples of our plan to encourage intergovernmental stewardship of existing resources or energies and use of emerging technologies, and draw from multi-faceted expertise of Canadians going forward. We know that in order to generate and share the very best practices, ideas, and innovations in products, culture, or agricultural fare and connect with our fellow Canadians, whether locally or over long distances, we must ensure that our infrastructure is greener, accessible, and technologically equipped to offer the highest levels of service to our citizens, residents, and visitors. We owe this as much to ourselves as we do to our future generations. The stronger our infrastructure is, the stronger our own capacity to shape our future becomes.

The House resumed consideration of the motion that C-44, An Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures, be read the second time and referred to a committee, and of the amendment.

Business of the HouseOral Questions

May 4th, 2017 / 3:15 p.m.
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Waterloo Ontario

Liberal

Bardish Chagger LiberalLeader of the Government in the House of Commons and Minister of Small Business and Tourism

Mr. Speaker, Bill C-44, Budget Implementation Act, 2017, No. 1, is currently before the House.

Tomorrow morning, we will consider the Senate amendments to Bill C-4 on unions, and then move on to Bill C-44 after question period.

Next week, we have the pleasure of having two allotted days, one on Monday and one on Thursday.

Ideally, I would like to finish debate on the budget legislation next Tuesday in order to send the bill to committee for in-depth study. Bill C-4 will be considered on Wednesday, with the hope of sending it back to the Senate that day.

I do my best to provide a calendar that is as accurate as possible so that all members can prepare. From time to time, things need to change. As members know, we have had some important conversations in this place. We will always ensure that members have the ability to have those important conversations. That is why I would ask that we all continue working better together.

FinanceOral Questions

May 4th, 2017 / 2:40 p.m.
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Waterloo Ontario

Liberal

Bardish Chagger LiberalLeader of the Government in the House of Commons and Minister of Small Business and Tourism

Mr. Speaker, we thank the parliamentary budget officer for his analysis of the provisions of Bill C-44. We look forward to working with him and others to improve the bill to ensure we accomplish the objective of having an effective and independent parliamentary budget officer.

Our government is committed to providing greater independence to the parliamentary budget officer, and this is the overriding intent of the legislation recently introduced in the House of Commons. We believe that it should be an officer who reports to Parliament, unlike the previous government, which felt that he should report to the Library of Parliament.

FinanceOral Questions

May 4th, 2017 / 2:40 p.m.
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Conservative

Gérard Deltell Conservative Louis-Saint-Laurent, QC

Mr. Speaker, the parliamentary budget officer is concerned, and rightfully so. The government is using Bill C-44 to try to take away his power. As the parliamentary budget officer himself said, this will undermine his independence and political impartiality. Why? Because, from now on, the parliamentary budget officer will have to report to the Speaker of the House, and he will have to submit his game plan for the year. I really like you, Mr. Speaker, but you should have nothing to do with the work of the parliamentary budget officer.

Why is the Liberal government stooping so low?

Budget Implementation Act, 2017, No. 1Government Orders

May 4th, 2017 / 1:35 p.m.
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NDP

Richard Cannings NDP South Okanagan—West Kootenay, BC

Mr. Speaker, I appreciate the opportunity to rise to debate Bill C-44, the budget 2017 implementation bill.

Back in the days when I taught zoology at UBC and comparative anatomy labs at Memorial University, we talked a lot about form and function. Today I would like to begin by talking about the form of this bill and move on to its function, its contents, and what that means in regard to government priorities.

As others have commented, the most obvious thing about this bill is its sheer size. It is almost 300 pages long. It amends more than 30 separate acts and even incorporates Bill C-43 within it, which was already on the Order Paper. Many of these components have nothing to do with the implementation of the budget. For instance, the bill includes major changes to the powers of the parliamentary budget officer, which I will talk more about later.

This bill is the very definition of an omnibus bill. Many Canadians will remember quite clearly what the Liberals said about omnibus bills in the previous Parliament. They and the New Democrats pointed out that omnibus bills were clearly designed to pass disparate pieces of legislation without providing opportunity for proper debate or committee study. The Liberals loudly complained that one of the Conservative budget bills was 175 pages long. That was a micro-bill compared to this one.

The Liberals were so outraged by the omnibus bills of the Conservative government that they put clear promises in their 2015 election platform, saying, “We will not resort to legislative tricks to avoid scrutiny” and “We will change the House of Commons Standing Orders to bring an end to this undemocratic practice”, yet they could not resist doing the same thing with budget 2017, and in a very egregious way. The Liberals have broken a growing number of election promises, but this broken promise, one that puts them in the same camp as the Conservatives when it comes to eroding Canadian democracy, must be one of their most disappointing acts for many of their supporters.

Now I would like to move from form to function and some of the consequences of Bill C-44.

One of the main themes of the last federal election was the struggle to reduce income inequality in Canada, an inequality that has been steadily increasing for the past 20 years or more. The NDP has led this battle for years, and in the last election the Liberals agreed with us in principle and said they would, as we have heard so often since, support the middle class and those trying to join it. In the last budget, the Liberals disappointed most Canadians in the middle class by doing absolutely nothing for those making less than $45,000 a year, instead bringing in income tax changes that gave tax relief primarily to those making $150,000 to $200,000 a year.

The Liberals promised that they would plug the loopholes that allowed CEOs to pay taxes at half the rate of middle-class Canadians, but did nothing in last year's budget and, I am sorry to say, did nothing in this budget as well. Bill C-44 has no provisions to close this loophole, which costs the government almost $800 million each year and leaves that money in the pockets of the wealthy Canadians who least need it.

Who do the Liberals choose to squeeze money out of instead? It is transit riders, the middle class and those seeking to join the middle class who take buses and trains to work every day. Under Bill C-44, they would lose their public transit tax credit so that the government could pocket $225 million in savings. Wealthy CEOs get to keep $800 million, while bus riders have to cough up $225 million. Budgets are about choices, and this is the unfortunate choice the Liberals have made.

On top of that, we in the NDP were hoping that the Liberal government would take concrete steps to shut down offshore tax havens, where the wealthiest of Canadians and corporations that have pocketed billions of dollars in tax cuts move their profits to avoid paying their fair share of taxes. However, neither Bill C-44 nor any other legislation before us addresses this critical step in reducing income inequality in Canada.

As I mentioned at the start, one of the features of Bill C-44 is a section that would change the role and powers of the parliamentary budget officer. This has no place in a budget implementation bill. Maybe the Liberals thought they could slip it in because of the word “budget” in the title of this important office. The parliamentary budget officer must be independent and neutral, but Bill C-44 would degrade that independence in several ways.

First, it requires the parliamentary budget office to submit an annual work plan to both the Speaker of the House and the Speaker of the Senate. This requirement could only benefit the government, as the PBO would not be able to undertake any study unless it had been approved in the annual work plan.

Second, only committees—committees dominated by government MPs—would be allowed to request that the PBO estimate the cost of any proposal that relates to a matter over which Parliament has jurisdiction. At present, individual MPs can request the PBO to undertake these analyses, but if Bill C-44 becomes law, they could only request cost analyses on proposals that relate to a bill, a motion, or an amendment that they themselves had made.

Again, this bill would greatly restrict the independence of the PBO and restrict the abilities of individual MPs to study the costs of government proposals. It was this type of independent initiative that exposed the true costs of the F-35 fighter jets to Canadians, and it was this independent action that showed that the so-called middle-class tax cuts of this Liberal government only benefited the wealthy in our country.

Another point of disappointment in the budget is the change that would index the excise duty on wine to the consumer price index beginning in 2018. My riding, I must admit, produces the best wine in Canada, and the wine industry plays a large role in the economy there and in other wine regions of the country.

Canadian wine producers are very concerned that this duty will now rise automatically every year, despite already being almost twice as large as the duties levied by other countries. For instance, the duty is 63¢ per litre in Canada versus 38¢ in the United States, while Germany has no excise tax on wine at all.

This automatic increase will exacerbate those differences and undermine the growth of the wine industry in Canada, impacting the entire economic value chain from farm gate to retail.

I would like to end on a positive note by mentioning a few measures that I am happy to see in the budget.

One is the promise to spend about $40 million to support projects and activities that increase the use of wood as a greener substitute material in infrastructure projects. Using wood as a primary material in large buildings is a technology for which Canada is already a world leader. One of the leading companies in Canada in the construction of these buildings is Structurlam in my home town of Penticton. Structurlam sources a lot of wood for its glulam beams and cross-laminated timber panels from the Kalesnikoff mill near Castlegar on the other side of my riding.

Expanding this part of the forest industry in Canada would give it a much-needed boost in these troubled times as mills across this country face trade sanctions through the softwood lumber dispute. We have heard a lot recently about efforts to diversify our foreign markets, but here is an opportunity to build the domestic market as well, and to build it quickly. Unfortunately, this spending is not scheduled to start until next year, when it might come too late.

Another way that the government could move forward on this file is by adopting my private member's bill, Bill C-354, which directs the government to consider the use wood in building projects. Government procurement is a powerful force that would immediately boost the forest industry across this country.

I am pleased that the Liberal government is keeping at least one of its election promises, albeit a year late, which is to phase out subsidies for the fossil fuel industry. In 2014, the Pembina Institute estimated that more than $1 billion in fossil fuel subsidies still exist in our tax framework, so I am happy to see that budget 2017 will exclude producing wells from the Canada exploration expenses tax deduction.

In conclusion, I will simply say that budget 2017 represents yet another lost opportunity for the Liberal government to turn the corner on rising inequality in Canada.

Budget Implementation Act, 2017, No. 1Government Orders

May 4th, 2017 / 1:25 p.m.
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NDP

Rachel Blaney NDP North Island—Powell River, BC

Mr. Speaker, I will be splitting my time with the member for South Okanagan—West Kootenay. I look forward to his impressive speech.

Today I rise to speak to Bill C-44, the budget implementation act. The bill is deeply flawed in my opinion. By the end of my speech, it will be very clear why I will not be supporting the bill. In its 290 pages, it amends over 30 separate acts. Despite all of this, it does very little for the middle and working class.

Once again the Liberals have put the interests of their friends ahead of those of the vast majority of Canadians. On the one hand, they are eliminating the public transit tax credit and on the other, they are facilitating the purchase of public infrastructure by private investors.

Last week I had the honour of having a conversation at a small business in my riding called Townsite Brewing. It is a great microbrewery in Powell River. Its innovation, dedication to the community, and obviously the great beer it makes have been a real builder in their local economy. Sadly, the 2017 budget is not working for it. It has asked me to raise this important issue, and I hope the minister will hear its calls. The federal budget would raise the excise tax for beer, wine, and liquor by 2%. Then it would tie it to the consumer price index. This means that the price will rise for the consumer every year after that. That is simply not good for business.

There are a number of really good reasons for the government to stop this.

There are hundreds of small brewing companies in communities across Canada, employing people, using local ingredients, innovating with new styles of beer, and investing in their business to sell great beer and participate in a very competitive market. This is truly amazing when we look at the history of beer monopolies of the past. Consumers now have more choice. This industry creates great local jobs. For Townsite Brewing, it creates 16 meaningful positions in the community.

Across Canada, small communities have worked very hard to diversify their economies, and this hits these communities particularly hard. Brewing is one of the few remaining industries that is domestic. Eighty-five per cent of the beer sold in Canada is made right in Canada. Not too many food industries can make this claim like the beer industry can. Should the government not support the growth of this share to 90% or 100%, rather than discouraging growth by imposing higher and higher taxes on these products? The entire brewing community and its customers are united in wanting to see the government make the decision to repeal this tax before it becomes law by the end of June.

In my riding of North Island—Powell River, this tax would also impact the wine and liquor industries the riding has.

As I mentioned earlier, the bill would amend more than 30 pieces of legislation. I found it very interesting when a member across the ways said “I don't support omnibus bills” while supporting this omnibus bill. Almost one-third of the changes are nowhere to be found in the budget.

During the last election campaign the Liberals promised to abolish the use of omnibus bills because the practice was undemocratic. The omnibus bill should have been split to allow Parliament to conduct in-depth reviews of the changes affecting the parliamentary budget officer and the creation of the Canadian infrastructure bank. The bill clearly shows that the Liberals put the interests of their friends ahead of those of the vast majority of Canadians. They are totally forgetting that people across the country desperately need infrastructure in their communities. Therefore, by creating the infrastructure bank, the government is giving a green light for privatization of our public infrastructure.

As Mark Hancock, the national president of CUPE said, “If you’re an infrastructure bankroller or a billionaire tax dodger, today is a good day. For working Canadians, not so much”.

Bill C-44 is mute with regard to the number of details that would have to be clarified in future legislation. Some provisions suggest that the infrastructure bank will be entitled to use the Access to Information Act to withhold important information from the Attorney General of Canada and the parliamentary budget officer under the guise of sensitive commercial information. Canadians expect accountability. It should therefore be established by the means of a true bill and an exhaustive review by Parliament, not through an omnibus bill.

When it comes to accountability, Canadians can count on the parliamentary budget officer, as he plays a fundamental role in Canadian democracy and his work depends on his neutrality and independence.

However, it appears that the Liberals want to make his job much more difficult. The parliamentary budget officer would be required to produce an annual work plan, which would be approved by the Speakers of the House of Commons and the Senate, as well as the government member who chairs the finance committee. This is the only officer of Parliament who would be required to seek approval for his work plan.

The PBO analyzed the legislative framework applicable to the parliamentary budget officers in 17 other countries, notably Australia, Great Britain, Austria, Belgium, and so on. According to his research, it is most unusual to require political approval for a work plan. Such a procedure would only benefit the government because the PBO could not undertake a study on his own unless it had been included in his annual work plan.

In addition to submitting an annual work plan, the PBO would have to provide his research results to the Speakers of the Senate and the House one business day before it would be made public. How is that accountability?

Furthermore, from now on, only committees and not individual MPs and senators, as is currently the case, would be able to request the PBO to estimate the financial cost of any proposal that related to a matter of which Parliament had jurisdiction. Any request for research from individual MPs or senators would have to relate to a proposal, bill, motion, or amendment they have made. It is this type of individual request that led the PBO to research the cost of the F-35s and the Liberal tax cuts that only benefited the wealthiest. Adopting these changes will reduce my ability to hold the government to account. It will lessen transparency to Canadians.

This budget fundamentally betrays the commitment to creating a more accountable and transparent government.

This bill also has a huge impact on veterans. I am happy to see there is an investment for additional support for veterans' social reintegration and transitioning. I am pleased to see the creation of an education and training benefit, for example. However, I am deeply disappointed there is no mention of re-establishing lifelong pensions for injured veterans, yet another broken promise by the Liberals.

Overall there is little movement and most promises for veterans have had to wait for the next year's budget. Veterans have waited long enough. David Flannigan, Dominion president of the Royal Canadian Legion, agrees. He said, “Bottom line, this budget doesn’t do enough for our Veterans and their families...How long do Veterans have to wait?”

This budget did very little for the military as well. Our military has become extremely good at finding efficiency in everything it has done over the last decade. There comes a point when we simply have to feed the people who need it. It is time to invest in our women and men in uniform. The New Democrats believe our troops should have the support, training, and equipment they need to do the difficult and dangerous work they are asked to do every day. Only with a well-trained and well-equipped military can Canada continue to play an independent role in the world in promoting peace and security. This budget did not provide the resources for the military to do this. I know we are all waiting for the national defence review to see if more is coming. Most important, the military is waiting.

Seniors issues are not a central part of the budget. Yesterday's CBC headline was “'We're so far behind': Canada unprepared for housing needs of rising senior population”. This was in reference to the census figures. Canadians need a long-term plan, something in which the government does not seem to want to invest.

There has been an investment of some money for drug costs, but it is still not providing seniors with the real help they need. They are making decisions between eating, buying their medication, or paying their housing costs. That is shameful in a country like this. A national seniors strategy is needed now.

Bill C-44 makes our government less accountable and sells public infrastructure that Canadian taxpayers have built to Liberal insiders. When a housing crisis is happening in the country, when our seniors, veterans, and military need help, I can confidently say that the budget bill offers Canadians a series of misguided priorities.