Budget Implementation Act, 2017, No. 2

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

Sponsor

Bill Morneau  Liberal

Status

This bill has received Royal Assent and is, or will soon become, 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) removing the classification of the costs of drilling a discovery well as “Canadian exploration expenses”;

(b) eliminating the ability for small oil and gas companies to reclassify up to $1 million of “Canadian development expenses” as “Canadian exploration expenses”;

(c) revising the anti-avoidance rules for registered education savings plans and registered disability savings plans;

(d) eliminating the use of billed-basis accounting by designated professionals;

(e) providing enhanced tax treatment for eligible geothermal energy equipment;

(f) extending the base erosion rules to foreign branches of Canadian insurers;

(g) clarifying who has factual control of a corporation for income tax purposes;

(h) introducing an election that would allow taxpayers to mark to market their eligible derivatives;

(i) introducing a specific anti-avoidance rule that targets straddle transactions;

(j) allowing tax-deferred mergers of switch corporations into multiple mutual fund trusts and allowing tax-deferred mergers of segregated funds; and

(k) enhancing the protection of ecologically sensitive land donated to conservation charities and broadening the types of donations permitted.

It also implements other income tax measures by

(a) closing loopholes surrounding the capital gains exemption on the sale of a principal residence;

(b) providing additional authority for certain tax purposes to nurse practitioners;

(c) ensuring that qualifying farmers and fishers selling to agricultural and fisheries cooperatives are eligible for the small business deduction;

(d) extending the types of reverse takeover transactions to which the corporate acquisition of control rules apply;

(e) improving the consistency of rules applicable for expenditures in respect of scientific research and experimental development;

(f) ensuring that the taxable income of federal credit unions is allocated among provinces and territories using the same allocation formula as applicable to the taxable income of banks;

(g) ensuring the appropriate application of Canada’s international tax rules; and

(h) improving the accuracy and consistency of the income tax legislation and regulations.

Part 2 implements certain goods and services tax/harmonized sales tax (GST/HST) measures confirmed in the March 22, 2017 budget by

(a) introducing clarifications and technical improvements to the GST/HST rules applicable to certain pension plans and financial institutions;

(b) revising the GST/HST rules applicable to pension plans so that they apply to pension plans that use master trusts or master corporations;

(c) revising and modernizing the GST/HST drop shipment rules to enhance the effectiveness of these rules and introduce technical improvements;

(d) clarifying the application of the GST/HST to supplies of municipal transit services to accommodate the modern ways in which those services are provided and paid for; and

(e) introducing housekeeping amendments to improve the accuracy and consistency of the GST/HST legislation.

It also implements a GST/HST measure announced on September 8, 2017 by revising the timing requirements for GST/HST rebate applications by public service bodies.

Part 3 amends the Excise Act to ensure that beer made from concentrate on the premises where it is consumed is taxed in a manner that is consistent with other beer products.

Part 4 amends the Federal-Provincial Fiscal Arrangements Act to allow the Minister of Finance on behalf of the Government of Canada, with the approval of the Governor in Council, to enter into coordinated cannabis taxation agreements with provincial governments. It also amends that Act to make related amendments.

Part 5 enacts and amends several Acts in order to implement various measures.

Division 1 of Part 5 amends the Bretton Woods and Related Agreements Act to update and clarify certain powers of the Minister of Finance in relation to the Bretton Woods institutions.

Division 2 of Part 5 enacts the Asian Infrastructure Investment Bank Agreement Act which provides the required authority for Canada to become a member of the Asian Infrastructure Investment Bank.

Division 3 of Part 5 provides for the transfer from the Minister of Finance to the Minister of Foreign Affairs of the responsibility for three international development financing agreements entered into between Her Majesty in Right of Canada and the International Finance Corporation.

Division 4 of Part 5 amends the Canada Deposit Insurance Corporation Act to clarify the treatment of, and protections for, eligible financial contracts in a bank resolution process. It also makes consequential amendments to the Payment Clearing and Settlement Act.

Division 5 of Part 5 amends the Bank of Canada Act to specify that the Bank of Canada may make loans or advances to members of the Canadian Payments Association that are secured by real property or immovables situated in Canada and to allow such loans and advances to be secured by way of an assignment or transfer of a right, title or interest in real property or immovables situated in Canada. It also amends the Canada Deposit Insurance Corporation Act to specify that the Bank of Canada and the Canada Deposit Insurance Corporation are exempt from stays even where obligations are secured by real property or immovables.

Division 6 of Part 5 amends the Payment Clearing and Settlement Act in order to expand and enhance the oversight powers of the Bank of Canada by further strengthening the Bank’s ability to identify and respond to risks to financial market infrastructures in a proactive and timely manner.

Division 7 of Part 5 amends the Northern Pipeline Act to permit the Northern Pipeline Agency to annually recover from any company with a certificate of public convenience and necessity issued under that Act an amount equal to the costs incurred by that Agency with respect to that company.

Division 8 of Part 5 amends the Canada Labour Code in order to, among other things,

(a) provide employees with a right to request flexible work arrangements from their employers;

(b) provide employees with a family responsibility leave for a maximum of three days, a leave for victims of family violence for a maximum of ten days and a leave for traditional Aboriginal practices for a maximum of five days; and

(c) modify certain provisions related to work schedules, overtime, annual vacation, general holidays and bereavement leave, in order to provide greater flexibility in work arrangements.

Division 9 of Part 5 amends the Economic Action Plan 2015 Act, No. 1 to repeal the paragraph 167(1.‍2)‍(b) of the Canada Labour Code that it enacts, and to amend the related regulation-making provisions accordingly.

Division 10 of Part 5 approves and implements the Canadian Free Trade Agreement entered into by the Government of Canada and the governments of each province and territory to reduce or eliminate barriers to the free movement of persons, goods, services and investments. It also makes related amendments to the Energy Efficiency Act in order to facilitate, with respect to energy-using products or classes of energy-using products, the harmonization of requirements set out in regulations with those of a jurisdiction. Finally, it makes consequential amendments to the Financial Administration Act, the Department of Public Works and Government Services Act and the Procurement Ombudsman Regulations and it repeals the Timber Marking Act and the Agreement on Internal Trade Implementation Act.

Division 11 of Part 5 amends the Judges Act

(a) to allow for the payment of annuities, in certain circumstances, to judges and their survivors and children, other than by way of grant of the Governor in Council;

(b) to authorize the payment of salaries to the new Associate Chief Justice of the Court of Queen’s Bench of Alberta; and

(c) to change the title of “senior judge” to “chief justice” for the superior trial courts of the territories.

It also makes consequential amendments to other Acts.

Division 12 of Part 5 amends the Business Development Bank of Canada Act to increase the maximum amount of the paid-in capital of the Business Development Bank of Canada.

Division 13 of Part 5 amends the Financial Administration Act to authorize, in an increased number of cases, the entering into of contracts or other arrangements that provide for a payment if there is a sufficient balance to discharge any debt that will be due under them during the fiscal year in which they are entered into.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, provided by the Library of Parliament. You can also read the full text of the bill.

Votes

Dec. 4, 2017 Passed 3rd reading and adoption of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
Dec. 4, 2017 Passed 3rd reading and adoption of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
Dec. 4, 2017 Passed 3rd reading and adoption of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
Dec. 4, 2017 Passed 3rd reading and adoption of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
Dec. 4, 2017 Passed 3rd reading and adoption of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
Nov. 28, 2017 Passed Concurrence at report stage of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
Nov. 28, 2017 Failed Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
Nov. 28, 2017 Failed Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures (report stage amendment)
Nov. 28, 2017 Passed Tme allocation for Bill ,
Nov. 8, 2017 Passed 2nd reading of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
Nov. 8, 2017 Passed 2nd reading of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
Nov. 8, 2017 Passed 2nd reading of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
Nov. 8, 2017 Passed 2nd reading of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures
Nov. 8, 2017 Passed 2nd reading of Bill C-63, A second Act to implement certain provisions of the budget tabled in Parliament on March 22, 2017 and other measures

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 12:50 p.m.
See context

Conservative

Peter Kent Conservative Thornhill, ON

Mr. Speaker, I thank my colleague for his comments. I also want to congratulate him on his comparison between Bill C-63 and Lotto 6/49.

I am sure my colleague hears just as clearly as the official opposition the Liberal claims of all the wonderful things they are doing for the Canadian economy and for the middle class. However, at the same time, they are taking money away from diabetics. They are taking money away from people with autism. Taxes have actually gone up on 81% of the Canadian middle class. At the same time, the current Liberal government is exporting half a billion dollars to the Asian Infrastructure Investment Bank to build infrastructure in Asia, while postdating the cheques for Canadian infrastructure and having to re-profile fully $2 billion in infrastructure commitments, because it cannot get the money out the door.

I wonder if my colleague could speak to the confused, dysfunctional priorities of the current Liberal government in spending Canadians' hard-earned tax dollars.

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 12:55 p.m.
See context

NDP

Robert Aubin NDP Trois-Rivières, QC

Mr. Speaker, I thank my colleague for his question. I commend him on the quality of his French, and I encourage him to speak French more often in the House.

That being said, of all the things he mentioned, I would like to focus on the investments in an Asian bank. Last week, the government announced with great fanfare the national housing strategy, which provides for an investment of $40 billion that we do not have, $20 billion of which will likely come from the federal government. However, nothing will be done until 2019, because right now we have nothing but deficits and no real money. The federal government is hoping that the provinces, the private sector, and who knows who else will also put some money in the pot.

The Liberal government is all about image. On financing the Asian infrastructure bank, the government reached new heights of absurdity and duplicity when it said that the money that it will invest in that bank will also be counted as foreign aid. I almost lost it when I heard that. I cannot imagine which objective of the 2030 agenda for sustainable development the government could possibly meet by investing in an Asian infrastructure bank.

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 12:55 p.m.
See context

La Prairie Québec

Liberal

Jean-Claude Poissant LiberalParliamentary Secretary to the Minister of Agriculture and Agri-Food

Mr. Speaker, it is a great pleasure for me to speak to this bill relating to Canada's vibrant agriculture and agrifood industry.

This highly diversified sector is a major economic driver in Canada. It generates more than $100 billion, or more than 6% of Canada's GDP, and employs one in eight Canadians.

Agriculture has shaped our nation and contributes to the health of Canadians and of the Canadian economy. We are talking about a powerful driver of job creation, growth and trade in Canada. The sector has evolved to become highly specialized, efficient and able to make remarkable progress in terms of crop yields and diversification.

We know that farmers play a key role in our economy, and that is why we want to be certain to take the appropriate actions, particularly regarding the new generation of farmers and agricultural entrepreneurs. That is also why this bill will ensure that the government does not change the tax measures aimed at helping family businesses grow, create jobs and innovate.

The Government of Canada is committed to supporting Canadian farmers by investing in the growth of the agrifood sector and in agricultural innovation.

On November 6, 2017, the Minister of Agriculture and Agri-Food, on behalf of the Minister of Finance, announced tax relief to assist farmers. Those measures included tax relief for farmers who received compensation under the Health of Animals Act for the mandatory destruction of their livestock following the outbreak of bovine tuberculosis in Alberta and Saskatchewan in 2016 and 2017. There was also the designation, for tax deferral purposes, of regions affected by flooding or drought in 2017, a measure that will help farmers renew their herds by allowing them to defer to 2018 part of the proceeds of their sales of breeding livestock in 2017.

The government also announced the continuation of the tax treatment that currently applies to cash tickets for deliveries of listed grains.

We want to see farm families succeed. That is why we are working so that all family business owners retain the ability to pass on the fruits of their hard work to the next generation.

As stated in the bill, the government plans to cut the tax rate for small businesses, from 10.5% to 9%, by January 1, 2019.

During the consultations, farmers told us about unexpected consequences. The government will not implement the measures related to conversion of income into capital gains.

Farm owners will continue to benefit from the lifetime capital gains exemption on farm property, up to $1 million.

Over the coming year, the government will continue its awareness activities regarding proposals that facilitate the intergenerational transfer of businesses, while maintaining the fairness of the tax system.

Based on comments received during the consultations, the government plans to simplify the proposals related to income distribution. We were told that the proposed measures regarding the lifetime capital gains exemption could have unexpected consequences, particularly by preventing business owners from transferring their business to their children. As a result, the revised measures regarding income distribution, which will be released later this fall, will not contain any measures to limit access to the lifetime capital gains exemption.

Moreover, the government will follow up on the proposals related to passive investments, but will also ensure that farm owners have greater flexibility to allow them to save money for professional and personal reasons, including retirement.

We know that one of the best ways of optimizing return on investment is to help the next generation pursue a career in farming. As it expands, the sector needs more and more talented, dynamic and educated young people.

The government is resolved to help this new generation acquire the skills and support they need to obtain good, well-paid jobs, including in the Canadian agriculture sector.

The future is bright for this dynamic sector, thanks to global growth in the middle class, who want the products our world-class farmers and processors can offer. However, to continue to prosper, the sector must continue to attract young farmers, but many young people have financial barriers to overcome before they can take over the family farm or start their own farm business.

That is why the government, through Farm Credit Canada, has increased its support for young farmers though the loans available to young farmers, by doubling the amount of credit offered, from $500,000 to $1 million.

Farm Credit Canada has also reduced the minimum down payment to 20% of the value of the loan, thus encouraging the purchase and improvement of farm lands and buildings. These are key resources that will help new farmers deal with the considerable expenses required to get into agriculture.

As part of the 2016 youth employment strategy, the Government of Canada created the agricultural youth green jobs initiative, a $5.2-million investment that will help create 145 green jobs for young people in the agricultural industry.

Young farmers also play an important role in the Canadian Agricultural Partnership, a federal-provincial-territorial agreement to invest $3 billion in the advancement of this great industry over the next five years.

The partnership will focus on priorities critical to optimizing the sector's growth potential, including research, innovation, internal competitiveness and trade. The partnership is a solid foundation for the future of our great agricultural sector. It will build on our sound agricultural program, which includes the investments in science and innovation, trade, the environment, transportation and value-added industries announced in the 2017 budget. To stimulate the growth of agrifood trade, the budget set a target of $75 billion in agrifood exports by 2025.

As the House can see, the government fully understands that it is in Canada’s interest to encourage young people to opt for a career in agriculture.

The tax changes we are proposing will not increase tax rates for agricultural businesses. They will have no impact on farmers’ ability to incorporate, invest or pay family members who work on the farm.

Lastly, the government’s goal is to make sure that the next generation of farmers have the tools, resources and support they need to succeed.

The government knows that farmers play a key role in our economy, and we want them to prosper. We are committed to ensuring the vitality of Canada's agriculture and agrifood sector.

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:05 p.m.
See context

Conservative

Bernard Généreux Conservative Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC

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

I would also like to remind him that the government proposed its tax reform in July. In fact, the Liberals launched the consultation in July, when farmers were not at home, but in the fields working. Fortunately, the opposition managed to get the government to back down. If the tax reform had been implemented as proposed, no young person would ever have been able to take over the family farm, because it would have been more advantageous to sell the farm to a stranger than to one's own children.

Fortunately, I see that the government has reversed its position, thanks to the opposition, which did a tremendous job collaborating with Canada’s business community to ensure that 80% of the measures in the ridiculous tax reform were withdrawn.

I would like assurances from my colleague. The Liberals created a $250-million fund to help producers. I hope they remember that the Conservative government set almost $4 billion aside for compensation. We are talking about compensation under treaties with Europe and the Asia-Pacific region.

Do the Liberals intend to increase the $250 million earmarked for farmers?

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:05 p.m.
See context

Liberal

Jean-Claude Poissant Liberal La Prairie, QC

Mr. Speaker, I thank my colleague for his question.

We began consultations during the summer and we were also able to hear what producer organizations had to say. The goal of the exercise was to listen to producers and determine how we could help them. We are still currently holding consultations with owners who want to transfer their farms.

With regard to the $250 million, I would like to remind my colleague that the Conservatives' $4 billion or more was split between two agreements, namely the agreement with Europe and the trans-Pacific partnership, the TPP. The TPP involved access to not only the dairy sector, but also everything involving the poultry and feather industries. For the moment, the TPP has not been implemented. Our $250 million still makes sense.

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:05 p.m.
See context

NDP

Anne Minh-Thu Quach NDP Salaberry—Suroît, QC

Mr. Speaker, I am flabbergasted to hear the Parliamentary Secretary to the Minister of Agriculture talk about how the federal government is encouraging young people to get involved in agriculture, while the Liberals themselves voted against the bill introduced by our current House leader. Bill C-274 would have made it possible to transfer family businesses, especially in the agriculture and fisheries sectors. It would have made it more advantageous for farmers to transfer their land to their children than to strangers. They voted against it. They also said that they would compensate dairy farmers and cheese producers for the free trade agreements with the European Union. It took a single week for the entire $250 million to be allocated. It was done during the summer on a first-come, first-serve basis.

We can easily Imagine the number of farmers who converged on the Hill to meet with us and tell us how unfair and poorly thought out it was and that not all dairy farmers had been compensated.

How can the member opposite believe that opposing Bill C-274 and allocating such a small amount for compensation on a first-come, first-serve basis could encourage young people to get involved in agriculture?

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:10 p.m.
See context

Liberal

Jean-Claude Poissant Liberal La Prairie, QC

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

With respect to Bill C-274, we knew that we were going to consult people on the ground before passing anything about the transfer of farms. We are currently consulting to determine what will help them the most.

As for the $250 million, we started with a first phase in which producers could apply for compensation. We received approximately 3,000 applications, but there will also be a second phase, since the $250 million has not yet been allocated in its entirety.

There is therefore more to come concerning the remainder of the $250 million.

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:10 p.m.
See context

Conservative

Kevin Sorenson Conservative Battle River—Crowfoot, AB

Mr. Speaker, it is a pleasure to stand in this place to speak today to Bill C-63, the Liberal government's budget implementation act.

The genesis of the today's debate is the move by the opposition yesterday to close down debate on the bill because the finance minister refused to answer questions during question period. Twenty-one questions were asked about his stocks to make certain that he was above reproach. He smugly refused to answer the questions, which is regrettable.

There are a number of times when Canadians, as well as members in this place, understand the direction a government takes. We understand that when the government gives us its throne speech, it is laying out what it wants to accomplish over its tenure. We know it is the same when it comes to a fiscal update or a budget.

Regrettably, Bill C-63 continues to attack our future prospects and amass more debt for future taxpayers to pay off. After the bill passes, and it will pass because the government is pushing it through, Canadians will see what the Liberals have actually done.

In the past election campaign, the Liberals told Canadians one thing and did something completely different when it came to their throne speech and their first budget. The Liberals promised there would be a small deficit of up to $10 billion a year, and we now know that was simply not true. I very much question whether they had any intention of ever living up to that promise. Not only that, but the 2017 budget, which we are debating, also has no answer to the question of when Canadians can expect the government to balance its budget. The Liberals continue to refuse to tell Canadians when their big spending will stop and when debt reduction will begin.

In the last election, Canadians did vote for the Liberal Party and for small deficits. They believed that some investment by government to that degree was all right. However, Canadians in my constituency and across this country are concerned when they see a spend, spend, spend government that gives absolutely no indication as to when it will stop. The debt is continuing to grow.

Families, small businesses, the middle class and those struggling to join it cannot perpetually operate their households in the red. They cannot perpetually, year after year, continue to spend more than they have.

Millionaires and billionaires spend. They have no problem sometimes accumulating debt if they see that it will pay off in the end. They typically borrow money and know they will have to pay off that debt. We have a millionaire Prime Minister and finance minister who are having more fun now because they are borrowing money that the future generation will have to pay off.

Families cannot operate this way. When annual economic growth is moderate or high, families know they have to save for a rainy day, but not the Liberals. The Liberals borrow money during prosperous times, and why not? It is not their money. They are borrowing money that other people will have to pay back, including my grandchildren.

Families scrimp and save because they know that things can happen that cost money. If the furnace breaks down, given the climate in this country, a new one must be purchased. That is when a family tries to find savings to pay off that furnace. Families do not borrow money to buy a new furnace with no intention of ever paying that money back, and yet the Liberal government has no plan to pay back the debt, no plan to get out of debt, no plan to stop overspending, no plan to balance the books, no plan to start paying down the accumulated national debt. The Liberal government continues to pay interest on the massive amount of money it has borrowed.

I was speaking to a Liberal member the other day who asked, why worry about the debt when interest rates are low? Interest rates are low. However, fiscal responsibility is what we expect from a government. If our mindset is “interest rates are low then why worry about it”, what happens when the rates start to turn around? Is there a panic all of a sudden? The government does not panic because it will not have to pay for it.

The Liberals came up with the so-called “new tax bracket” to tax the top 1% of income earners. We know now that it did not work. In fact, less money came in than the revenues flowing before.

After the Liberals hiked the taxes on the rich, we found out that the rich or the top 1% of the income earners, many of whom are also job creators, are actually paying a billion dollars less in taxes per year than they had been. The middle class did not receive any of the revenues from the top 1% of income earners, because there were not enough revenues raised by hiking those taxes to pay for the programs and the services that the Prime Minister said that he was going to implement.

Since 2015, the Liberals have cancelled tax credits, raised CPP, and raised EI premiums. At the same time, the price of everything else for the average Canadian continues to rise, such as transportation, fuel, groceries, and rent. Very soon, all Canadians will be suffering under a new carbon tax. We have seen that in the throne speech. We have seen that in budgets. That carbon tax will not be used to reduce carbon emissions. Rather, it will be spent by the Liberals in Ottawa on their friends and pet projects.

What about jobs? The former government understood that we needed trade agreements and lower taxes. When we lower taxes, jobs are created.

The Liberals talk about their job creation achievements. To look at their record, 11 out of 12 jobs that are created are not in the private sector. They are in the public sector. More people work for both the federal and provincial government. It is unsustainable.

In Alberta, a lot of the new jobs came up in the public sector. Revenues from the private sector pay for jobs in the public sector. Revenues from public sector jobs do not create more jobs.

Still the Liberals say that there has been a two-third reduction this year in unemployment numbers. It is shameful. They do not talk about the fact that fewer people out there are looking for work. Statistics show that two-thirds of the unemployed in Canada have given up looking for a new job.

The Liberals are putting Canada second in the long-term goals of what our country should look at and investing in the wrong places. A good example of this is the decision by the Liberal government to invest in the Asian Infrastructure Investment Bank. This system makes sure that taxpayers and their money take all of the risk when it comes to building infrastructure in Canada. The millionaire owner of a construction firm building an infrastructure will escape losing money if a bridge fails to generate revenues, because it is the taxpayer who will be on that hook.

What is worse is that the Liberal plan includes creating well-paying, middle-class jobs in foreign countries. That is the shameful part. It is not money invested here in Canada for jobs, but money invested in China and Pakistan and other nations in this infrastructure bank. That is where the jobs will be found and that is where the benefits will be created. The goal of this bank is not to create jobs here in Canada for middle-class Canadians.

It is easy to sign a cheque. The prime minister loves the signing. The government members may believe in an “A” for announcement, but if job creation is one of their goals, they get a “D“ for delivery. Although they make the announcement, jobs are not happening in the country. This is where it will come back to bite us.

In Alberta, the Liberals have managed to complete 20-some out of 174 announced infrastructure projects. This is from a government that campaigned on infrastructure. That is shameful.

I see that I am out of time. I would have encouraged the government to say that we need more trade, we need lower taxes, we need to create jobs, we need to make certain that we live within our means, and that has not happened with the Liberal government.

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:20 p.m.
See context

Liberal

Nathaniel Erskine-Smith Liberal Beaches—East York, ON

Mr. Speaker, it was interesting to note that the parliamentary budget office released a report in October, the fiscal sustainability report, and noted that federal finances are actually sustainable in the long term, contrary to what the member has indicated.

The member mentioned the carbon tax coming into force. It is revenue neutral at the federal level, and the provinces will do what they will with the funds. B.C. will do something different from what Manitoba will do, which will do something different from what Nova Scotia do, perhaps.

Does the member not believe in market mechanisms, such as a carbon tax? Does he not believe in climate change? If he does believe in climate change, what does he propose as an alternative?

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:20 p.m.
See context

Conservative

Kevin Sorenson Conservative Battle River—Crowfoot, AB

Mr. Speaker, I do not believe in carbon tax. I do not believe that by taxing the average Canadian we are going to see much less emissions.

As far as climate change, I know that man-made climate change here in our country accounts for about 1.6% of emissions. The question is not whether we believe in climate change. The question should really be around how much money we are going to throw at 1.6% man-created emissions in our country.

I agree that we need to do what we can to make certain we have a clean environment, to lower emissions. However, it is not a carbon tax. I have seniors on fixed incomes walking into my office and asking which bills not to pay. We have seen the carbon tax and how it has affected our gas prices in Alberta. We live in a large, vast country where we must move goods and services across our country.

Fuel and heating oil is an absolute in this country. The government is attacking the very people who need it the most and who do not have it. Those are the ones who will feel a disproportionate hurt on their lifestyle because of what the government has done with its big tax plan.

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:20 p.m.
See context

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

Mr. Speaker, ultimately budgets are about choices. In his speech, the member alluded to the decision to send nearly half a billion dollars to the Asian Infrastructure Investment Bank, but there is more.

We have a decision right outside these Parliament buildings to spend more than $5 million on a temporary ice rink. There was a decision made to cover the Canada Post headquarters in a $500,000 building wrap. It was also judged necessary to spend over $200,000 on the budget cover.

I look at the situation that exists in my home province of British Columbia, where one in five children are growing up in households mired in poverty. I think about the missed opportunities when the government is prepared to spend that kind of money on some of these frivolous projects.

Could the member elaborate on what that says about the Liberal government's true intentions, and about the missed opportunities to really help Canadians who desperately need it?

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:25 p.m.
See context

Conservative

Kevin Sorenson Conservative Battle River—Crowfoot, AB

Mr. Speaker, my colleague spoke about a couple of areas that he believed were massive wastes of money. Certainly I would agree.

I have individuals in my constituency coming up to me and saying, “Kevin, tell me it isn't so, $5.9 million on a hockey rink on the front lawn of our Parliament building. Tell me it isn't so. How long is the rink going to be up?” It is going to be up three or four weeks. They ask, “How long did it take to build?” It was months. They want to know, “How many people are going to skate on this rink?”

My constituency is predominantly a rural riding, and $1 million is a lot of money to help some smaller community with a rink that is going to be there for decades and decades. Again, we have a government that loves the photo op, that loves the idea of something new and innovative, a rink on Parliament Hill.

We had $200,000 budget covers, smiley, glossy budget covers. It does not dress it up. Something this ugly cannot be dressed up. The budget was so bad. It could be asked if that $200,000 did its job; the answer is no.

The OECD came out in the past few weeks, warning the developed world of high household debt. I think this goes back to expectations of our government. Canada is at the top of the list, above the United States, China, Korea, United Kingdom, Malaysia, Thailand, Hong Kong, Japan, Singapore, France, Germany, the whole list.

The household debt of Canadians is scary. There is nothing that addresses this issue in our budget. This has always been a fear in Canada. It is time the government awoke to the true threats in our economy. It is time it wakes up, but it just keeps hitting the snooze button.

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:25 p.m.
See context

Conservative

Bev Shipley Conservative Lambton—Kent—Middlesex, ON

Mr. Speaker, it is hard to follow a seasoned parliamentarian, who was actually the second-in-command to the minister of finance in the Conservative government, which, through the worst recession, paid down $40 billion and then came out of it faster than any other nation, not by coincidence but by management, and actually gave the government across the road a surplus. That is quite amazing.

However, we cannot forget the election. The group across the way campaigned by saying they were going to have a little $10-billion deficit, which is how they described it, and Canadians bought into it. That is democracy, folks. That $10-billion deficit is now over $20 billion. I mentioned that to folks in my rural riding of Lambton—Kent—Middlesex, which does not often deal with billions of dollars.

Let me provide an example of the Liberal government being irresponsible, disrespectful, and incompetent. Let us say I am a small business guy who has a project, I want to increase my business, and I go to the bank with my business plan, saying I need $1 million. After I make my plea, my lender tells me I have the money for my project. Eight weeks later I go back to the bank, saying I am going to start the project, everything is in order, but I now need $2 million. The bank wants to talk about the changes and I say there actually are no changes, it is just that I did not know what I was talking about in the first place and I now want to increase what I previously asked for by 100%. In the real world, that does not happen. When I walk out through the door of the bank, it would hit me in back.

What happens when the Liberal government has a budget that in incompetent in terms of its projections and irresponsible in terms of what it has done to taxpayers? The banker is now every taxpayer in Canada. That is only the tip of the iceberg. We now have a Minister of Finance and a Prime Minister who are in an elite group. I actually get a kick out of it. Do members remember when they said they were going to take that little deficit from the top wealthiest 1% and spread it among the working class? I think they call it the middle class. We, in our places, actually work. They said it would save taxpayers $2 billion. That worked out well. They took that off the top, did not get the revenues they wanted, and shafted taxpayers for about $3 billion. That is the irresponsibility and incompetence of the Liberal government, which says one thing and does not actually know what it is going to do.

Earlier, my colleague mentioned another great investment, the Asian infrastructure bank, in which we are going to spend $480 million, though we are not sure. We are going to send it to Asia. Liberals have this love affair with China, so I am assuming it is going to possibly go to Beijing, where it can build its infrastructure with Canadian tax dollars.

I know that the folks across the aisle met last week, as I did, with members of the municipal governments in the Federation of Canadian Municipalities who come from rural areas. Rural infrastructure is important, with our vast amount of roads, bridges, and rail that need to be looked after. I do not know what the number is, but what is amazing is not the amount of money that has gone out but the amount of money that has not gone out. We have talked a lot about infrastructure. The new infrastructure plan is a bit like the new housing strategy. When is it going to take effect?

We hear that housing is really important. We hear that we have desperation in public housing, and we need to deal with it quickly. That is what the municipalities talk about. The years 2020 to 2021 meet the urgency panic button. This is 2017. That is four years down the road, by the way. I suspect it will make a good election platform in the next election in the fall of 2019.

Similarly, with respect to infrastructure, most of that has been moved past 2019 into 2020. That happens to be after the election, so it will make another good election platform, I guess. What is happening in our rural municipalities across this country and in Lambton—Kent—Middlesex is a lack of actual dollars to partner with our municipalities that need a partner. In Ontario, our third partner has sort of disappeared in the red tape of Ontario, much like where the Liberal government has taken Canada.

We are now worrying about where we will get the money for the infrastructure, because it is not flowing. They talk about it, but when we talk about something, and I go back to my earlier discussion about businesses going to the bank, we actually have to manage it. We need to have a business plan on how to put it out.

In my riding of Lambton—Kent—Middlesex, agriculture is the main industry. It is the driver of the economy in Ontario, and I might say the driver of the economy, quite honestly, in this great country of Canada. The Liberals came out with what they called the new growing forward 2 agriculture program, and they added a couple of things to it, such as a public trust and money to actually help processors, because we need to vertically integrate this great industry of agriculture from top to bottom, and in this case, from the bottom up. I agree with those.

As a country based in agriculture, we need to make sure that we grow the safest and best products. Just ask anyone in international trade about our agricultural products. We always provide quality. We need to make sure that we have public trust on our side so that people understand what great products we produce in Canada. Because we are great producers, we export a lot. We also process much of the product we have. Where is the money to help do this? The Liberals added two or three components to the Canada agriculture program, but where is the money for it. The Liberals said they would have to shift some around, which means everyone is going to get less, or it will be just like infrastructure, with spending in the earlier part, and maybe even housing. They are just going to talk about it, but they are not going to put any money into it. They might talk about the money going into it in five years. By then, Canadians will be hopeful that they are no longer in government and that the Conservatives will be able to do it.

My time is running out. All I can say to the folks in Lambton—Kent—Middlesex, and across this great country, is that Bill C-63 is a disaster, and I will simply not be supporting it.

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:35 p.m.
See context

Liberal

Sean Fraser Liberal Central Nova, NS

Mr. Speaker, I would like to start by correcting the record on a few fronts. Although I enjoyed the hon. member opposite's opinions, they were not necessarily based on fact. I note that as part of the national housing strategy, there is money actually being spent today that was allocated in budget 2016. It is going to things like the Antigonish Affordable Housing Society in my riding. With respect to infrastructure, projects are being built today in my community, putting people to work. The accounting issue he mentioned, the gap of $2 billion, is merely how funds are allocated, because they are paid out when funds come in.

He also indicated that during the last government, they managed their way out of a recession. He said that they were the best in the G7. Going into the last election, in 2015, we were the only G7 country that was facing a recession again. Was it the $55-billion deficit they ran in 2008-09? Was it the $150 billion over 10 years?

If he is going to use those facts, will he at least acknowledge that the deficits being run under our government are leading to unprecedented growth and to job creation that we have not seen in a decade?

Report StageBudget Implementation Act, 2017, No. 2Government Orders

November 28th, 2017 / 1:35 p.m.
See context

Conservative

Bev Shipley Conservative Lambton—Kent—Middlesex, ON

Mr. Speaker, 94% of announced infrastructure projects have failed to start. That is really moving forward.

Let us talk about jobs. We actually talked about jobs in committee this morning. We talked about a number of things. One of them was Phoenix. The shipbuilding procurement program was another.

In my riding of Lambton—Kent—Middlesex, what is the driving indicator? It is small and medium-sized businesses. Is that not interesting? It is one job in 11. Eleven jobs out of 12 are not private. They are in the government. Who drives the industry?

Across the aisle, they always talk about how important small businesses are for job creation. They give one of 11 the credit for saving the jobs of the other 11.