Budget Implementation Act, 2018, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures

This bill is from 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 has also written a full legislative summary of the bill.

Part 1 implements certain income tax measures proposed or referenced in the February 27,2018 budget by
(a) ensuring appropriate tax treatment of amounts received under the Veterans Well-being Act;
(b) exempting from income amounts received under the Memorial Grant for First Responders;
(c) lowering the small business tax rate and making consequential adjustments to the dividend gross-up factor and dividend tax credit;
(d) reducing the business limit for the small business deduction based on passive income and restricting access to dividend refunds on the payment of eligible dividends;
(e) preventing the avoidance of tax through income sprinkling arrangements;
(f) removing the risk score requirement and increasing the level of income that can be deducted for Canadian armed forces personnel and police officers serving on designated international missions;
(g) introducing the Canada Workers Benefit;
(h) expanding the medical expense tax credit to recognize expenses incurred in respect of an animal specially trained to perform tasks for a patient with a severe mental impairment;
(i) indexing the Canada Child Benefit as of July 2018;
(j) extending, for one year, the mineral exploration tax credit for flow-through share investors;
(k) extending, by five years, the ability of a qualifying family member to be the plan holder of an individual’s Registered Disability Savings Plan;
(l) allowing transfers of property from charities to municipalities to be considered as qualifying expenditures for the purposes of reducing revocation tax;
(m) ensuring that appropriate taxpayers are eligible for the Canada Child Benefit and that information related to the Canada Child Benefit can be shared with provinces and territories for certain purposes; and
(n) extending, by five years, eligibility for Class 43.‍2.
Part 2 implements certain excise measures proposed in the February 27,2018 budget by
(a) advancing the existing inflationary adjustments for excise duty rates on tobacco products to occur on an annual basis rather than every five years; and
(b) increasing excise duty rates on tobacco products to account for inflation since the last inflationary adjustment in 2014 and by an additional $1 per carton of 200 cigarettes, along with corresponding increases to the excise duty rates on other tobacco products.
Part 3 implements a new federal excise duty framework for cannabis products proposed in the February 27,2018 budget by
(a) requiring that cannabis cultivators and manufacturers obtain a cannabis licence from the Canada Revenue Agency;
(b) requiring that all cannabis products that are removed from the premises of a cannabis licensee to be entered into the Canadian market for retail sale be affixed with an excise stamp;
(c) imposing excise duties on cannabis products to be paid by cannabis licensees;
(d) providing for administration and enforcement rules related to the excise duty framework;
(e) providing the Governor in Council with authority to provide for an additional excise duty in respect of provinces and territories that enter into a coordinated cannabis taxation agreement with Canada; and
(f) making related amendments to other legislative texts, including ensuring that any sales of cannabis products that would otherwise be considered as basic groceries are subject to the GST/HST in the same way as sales of other types of cannabis products.
Part 4 amends the Pension Act to authorize the Minister of Veterans Affairs to waive, in certain cases, the requirement for an application for an award under that Act.
It also amends the Veterans Well-being Act to, among other things,
(a) replace the earnings loss benefit, career impact allowance, supplementary retirement benefit and retirement income security benefit with the income replacement benefit;
(b) replace the disability award with pain and suffering compensation; and
(c) create additional pain and suffering compensation.
Finally, it makes consequential amendments to other Acts.
Part 5 enacts the Greenhouse Gas Pollution Pricing Act and makes the Fuel Charge Regulations.
Part 1 of that Act sets out the regime for a charge on fossil fuels. The fuel charge regime provides that a charge applies, at rates set out in Schedule 2 to that Act, to fuels that are produced, delivered or used in a listed province, brought into a listed province from another place in Canada, or imported into Canada at a location in a listed province. The fuel charge regime also provides relief from the fuel charge, through rebate and exemption certificate mechanisms, in certain circumstances. The fuel charge regime also sets out the registration requirements for persons that carry out certain activities relating to fuels subject to the charge. Part 1 of that Act also contains administrative provisions and enforcement provisions, including penalties, offences and collection provisions. Part 1 of that Act also sets out a mechanism for distributing revenues from the fuel charge. Part 1 of that Act also provides the Governor in Council with authority to make regulations for purposes of that Part, including the authority to determine which province, territory or area is a listed province for purpose of that Part.
Part 2 of that Act sets out the regime for pricing industrial greenhouse gas emissions. The industrial emissions pricing regime requires the registration of any facility that is located in a province or area that is set out in Part 2 of Schedule 1 to that Act and that either meets criteria specified by regulation or voluntarily joins the regime. The industrial emissions pricing regime requires compliance reporting with respect to any facility that is covered by the regime and the provision of compensation for any amount of a greenhouse gas that the facility emits above the applicable emissions limit during a compliance period. Part 2 of that Act also sets out an information gathering regime, administrative powers, duties and functions, enforcement tools, offences and related penalties, and a mechanism for distributing revenues from the industrial emissions pricing regime. Part 2 of that Act also provides the Governor in Council with the authority to make regulations for the purposes of that Part and the authority to make orders that amend Part 2 of Schedule 1 by adding, deleting or amending the name of a province or the description of an area.
Part 3 of that Act authorizes the Governor in Council to make regulations that provide for the application of provincial laws concerning greenhouse gas emissions to works, undertakings, lands and waters under federal jurisdiction.
Part 4 of that Act requires the Minister of the Environment to prepare an annual report on the administration of the Act and to cause it to be tabled in each House of Parliament.
Part 6 amends several Acts in order to implement various measures.
Division 1 of Part 6 amends the Financial Administration Act to establish the office of the Chief Information Officer of Canada and to provide that the President of the Treasury Board is responsible for the coordination of that Officer’s activities with those of the other deputy heads of the Treasury Board Secretariat. It also amends the Act to ensure Crown corporations with no borrowing authority are able to continue to enter into leases and to specify that leases are not considered to be transactions to borrow money for the purposes of Crown corporations’ statutory borrowing limits.
Division 2 of Part 6 amends the Canada Deposit Insurance Corporation Act in order to modernize and enhance the Canadian deposit insurance framework to ensure it continues to meet its objectives, including financial stability.
Division 3 of Part 6 amends the Federal-Provincial Fiscal Arrangements Act to renew Fiscal Equalization Payments to the provinces and Territorial Formula Financing Payments to the territories for a five-year period beginning on April 1,2019 and ending on March 31,2024, and to authorize annual transition payments of $1,270,000 to Yukon and $1,744,000 to the Northwest Territories for that period. It also amends the Act to allow Canada Health Transfer deductions to be reimbursed when provinces and territories have taken the steps necessary to eliminate extra-billing and user fees in the delivery of public health care.
Division 4 of Part 6 amends the Bank of Canada Act to ensure that the Bank of Canada may continue to buy and sell securities issued or guaranteed by the government of the United Kingdom if that country ceases to be a member state of the European Union.
Division 5 of Part 6 amends the Currency Act to expand the objectives of the Exchange Fund Account to include providing a source of liquidity for the government of Canada. It also amends that Act to authorize the payment of funds from the Exchange Fund Account into the Consolidated Revenue Fund.
Division 6 of Part 6 amends the Bank of Canada Act to require the Bank of Canada to make adequate arrangements for the removal from circulation in Canada of its bank notes that are worn or mutilated or that are the subject of an order made under paragraph 9(1)‍(b) of the Currency Act. It also amends the Currency Act to provide, among other things, that
(a) bank notes are current if they are issued under the authority of the Bank of Canada Act;
(b) the Governor in Council may, by order, call in certain bank notes; and
(c) bank notes that are called in by order are not current.
Division 7 of Part 6 amends the Payment Clearing and Settlement Act in order to implement a framework for resolution of clearing and settlement systems and clearing houses, and to protect information related to oversight, by the Bank of Canada, of clearing and settlement systems.
Division 8 of Part 6 amends the Canadian International Trade Tribunal Act to, among other things,
(a) create the position of Vice-chairperson of the Canadian International Trade Tribunal;
(b) provide that former permanent members of the Tribunal may be re-appointed to one further term as a permanent member; and
(c) clarify the rules concerning the interim replacement of the Chairperson of the Tribunal and provide for the interim replacement of the Vice-chairperson of the Tribunal.
Division 9 of Part 6 amends the Canadian High Arctic Research Station Act to, among other things, provide that the Canadian High Arctic Research Station is to be considered an agent corporation for the purpose of the transfer of the administration of federal real property and federal immovables under the Federal Real Property and Federal Immovables Act. It also provides that the Order entitled Game Declared in Danger of Becoming Extinct is deemed to have continued in force and to have continued to apply in Nunavut, as of April 1,2014.
Division 10 of Part 6 amends the Canadian Institutes of Health Research Act in order to separate the roles of President of the Canadian Institutes of Health Research and Chairperson of the Governing Council, to merge the responsibility to establish policies and to limit delegation of certain Governing Council powers, duties and functions to its members or committees or to the President.
Division 11 of Part 6 amends the Red Tape Reduction Act to permit an administrative burden imposed by regulations to be offset by the reduction of another administrative burden imposed by another jurisdiction if the reduction is the result of regulatory cooperation agreements.
Division 12 of Part 6 provides for the transfer of certain employees and disclosure of information to the Communications Security Establishment to improve cyber security.
Division 13 of Part 6 amends the Department of Employment and Social Development Act to provide the Minister of Employment and Social Development with legislative authority respecting service delivery to the public and to make related amendments to Parts 4 and 6 of that Act.
Division 14 of Part 6 amends the Employment Insurance Act to modify the treatment of earnings received by claimants while they are in receipt of benefits.
Division 15 of Part 6 amends the Judges Act to authorize the salaries for the following new judges, namely, six judges for the Ontario Superior Court of Justice, one judge for the Saskatchewan Court of Appeal, 39 judges for the unified family courts (as of April 1,2019), one judge for the Federal Court and a new Associate Chief Justice for the Federal Court. This division also makes consequential amendments to the Federal Courts Act.
Division 16 of Part 6 amends certain Acts governing federal financial institutions and related Acts to, among other things,
(a) extend the scope of activities related to financial services in which federal financial institutions may engage, including activities related to financial technology, as well as modernize certain provisions applicable to information processing and information technology activities;
(b) permit life companies, fraternal benefit societies and insurance holding companies to make long-term investments in permitted infrastructure entities to obtain predictable returns under the Insurance Companies Act;
(c) provide prudentially regulated deposit-taking institutions, such as credit unions, with the ability to use generic bank terms under the Bank Act, subject to disclosure requirements, as well as provide the Superintendent of Financial Institutions with additional enforcement tools under the Bank Act and the Office of the Superintendent of Financial Institutions Act, and clarify existing provisions of the Bank Act; and
(d) modify sunset provisions in certain Acts governing federal financial institutions to extend by five years, after the day on which this Act receives royal assent, the period during which those institutions may carry on business.
Division 17 of Part 6 amends the Western Economic Diversification Act to remove the requirement of the Governor in Council’s approval for the Minister of Western Economic Diversification to enter into an agreement with the government of a province, or with a provincial agency, respecting the exercise of the Minister’s powers and the carrying out of the Minister’s duties and functions.
Division 18 of Part 6 amends the Parliament of Canada Act to give each House of Parliament the power to make regulations related to maternity and parental arrangements for its own members.
Division 19 of Part 6 amends the Canada Pension Plan to, among other things,
(a) eliminate age-based restrictions on the survivor’s pension;
(b) fix the amount of the death benefit at $2,500;
(c) provide a benefit to disabled retirement pension beneficiaries under the age of 65;
(d) protect retirement and survivor’s pension amounts under the additional Canada Pension Plan for individuals who are disabled;
(e) protect benefit amounts under the additional Canada Pension Plan for parents with lower earnings during child-rearing years;
(f) maintain portability between the Canada Pension Plan and the Act respecting the Québec Pension Plan; and
(g) authorize the making of regulations to support the sustainability of the additional Canada Pension Plan.
Division 20 of Part 6 amends the Criminal Code to establish a remediation agreement regime. Under this regime, the prosecutor may negotiate a remediation agreement with an organization that is alleged to have committed an offence of an economic character referred to in the schedule to Part XXII.‍1 of that Act and the proceedings related to that offence are stayed if the organization complies with the terms of the agreement.

Elsewhere

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

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-74s:

C-74 (2024) Law Appropriation Act No. 2, 2024-25
C-74 (2015) Canada-Quebec Gulf of St. Lawrence Petroleum Resources Accord Implementation Act
C-74 (2005) Modernization of Investigative Techniques Act

Votes

June 6, 2018 Passed 3rd reading and adoption of Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures
June 6, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (recommittal to a committee)
June 6, 2018 Failed 3rd reading and adoption of Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (subamendment)
June 4, 2018 Passed Concurrence at report stage of Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
June 4, 2018 Failed Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (report stage amendment)
May 31, 2018 Passed Time allocation for Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures
April 23, 2018 Passed 2nd reading of Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures
April 23, 2018 Failed 2nd reading of Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures (reasoned amendment)
April 23, 2018 Passed Time allocation for Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:15 p.m.

NDP

Irene Mathyssen NDP London—Fanshawe, ON

Mr. Speaker, that is an important question. The reality is that there are many Canadians who rely on medical marijuana, and I am thinking of our veterans first and foremost and the service they gave to this country. The injuries they returned home with need to be addressed, and their service needs to be respected. Therefore, they deserve the very best with respect to medical support, and that includes medical marijuana.

One of the things we are very concerned about is the fact that indigenous people who require medical marijuana are being taxed, and those taxes very often put that medication out of reach.

More to the point, we need to look at pharmacare and how it could alleviate financial pressures, not just on those who need medical marijuana but on all Canadians. There are people across this country who cannot afford life-saving and life-improving medications. That should never happen in a country like this. When Tommy Douglas spoke of universal health care, he said the first step would be to support hospitals and doctors, and the next step to make sure that people have access to medications and support services in their homes. I ask the government to take the next step: let us have pharmacare, let us fulfill Douglas's dream, and let us make this a truly fair and supportive country.

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:20 p.m.

Conservative

Alupa Clarke Conservative Beauport—Limoilou, QC

Mr. Speaker, thank you for recognizing me. First of all, I would like to say hello to all the people of Beauport—Limoilou, many of whom are listening today, and to thank them for all their work. They are definitely listening. When I go door to door, many of them tell me that they watch CPAC.

I would like to say something about what the hon. Liberal member for Hamilton West—Ancaster—Dundas said in response to the speech of my colleague from Sherwood Park—Fort Saskatchewan. She engaged in the usual Liberal demagoguery. She asked if we believed in climate change. I really would like my constituents to listen closely, because I want to make this clear to them and to all Canadians: we, the Conservatives, believe so strongly in climate change that, in 2007, Mr. Harper held a joint press conference with Mr. Charest to announce the implementation of the new Canada ecotrust program, supported by a total investment of $1.5 billion. The aim of the program was to give each province hundreds of millions of dollars to help with their respective climate change plans. It is easy to look this up on Google by entering “ecoTrust,” “2007,” “Harper,” “Charest.” Not only did Mr. Charest commend the Conservative government’s initiative, but even Steven Guilbeault from Greenpeace at the time—and I am certain that my colleague from Mégantic—L’Érable will find this hard to believe—saluted the initiative as something unheard of.

There is a reason why greenhouse gas emissions decreased by 2% under the decade-long Conservative reign. We had a plan, a plan with bold targets that the Liberals made their own.

Now let us talk a bit about the 2018-19 budget, which continues in the same vein as the other two budgets presented so far by the hon. member for Papineau's Liberal government. I would like to begin by saying that the government has been in reaction mode for the past three years and almost never in action mode.

It is in reaction mode when it comes to the softwood lumber crisis, although we do not hear much about it because the softwood lumber rates are still pretty attractive. However, the fact remains that this is a crisis and that, right now, industrial producers in the U.S. are collecting billions of dollars that they will eventually recover, as they do in every softwood lumber crisis.

The Liberal government is in reaction mode when it comes to NAFTA. They will say that they are not the ones who put Mr. Trump in office, but this is yet another major issue that has been taking up their time in the past year, and they are still in reaction mode. They are also in reaction mode when it comes to the imminent tariffs on aluminum and steel.

The Liberals are in reaction mode when it comes to almost every major issue in Canada. They are in reaction mode when it comes to natural resources development, for example with regard to Kinder Morgan’s Trans Mountain pipeline. Once again they were in reaction mode, because Kinder Morgan said that it would walk if the government could not assume responsibility and tell British Columbia in no uncertain terms that this was a matter of federal jurisdiction.

All of this shows that the Prime Minister is not the great diplomat he pretends to be across the globe, and in celebrity news and other media. He is such a poor diplomat that he was unable to avoid the softwood lumber crisis with Obama. He is such a poor diplomat that he has supposedly had a wonderful relationship with Mr. Trump for the past year and a half. He speaks to him on the telephone I do not know how many times a month, but that did not prevent Mr. Trump from taking deliberate action against Canada, as we saw today with the tariffs on steel and aluminum.

I would like to make a comparison. We, the Conservatives, were a government of action. We negotiated 46 free-trade agreements. We sent Canadian troops to Kandahar to demonstrate our willingness to co-operate with NATO and the G7 and to make a show of military force. We invested hugely in national defence, increasing our investments from 0.8% to almost 1.2% of the GDP following the dark days of Jean Chrétien’s Liberal government. We settled the softwood lumber issue in 2007, during the last crisis. We implemented the national shipbuilding strategy, investing more than $30 billion to renew our military fleet, to renew the Canadian Coast Guard’s exploration fleet in the Canadian Arctic, and to renew the fleet of icebreakers. The first of these icebreakers, the majestic Diefenbaker, will soon be under construction.

Let us not forget that we also told Mr. Putin to get out of Ukraine. There is no doubt that we were a government of action.

When the budget was tabled, several journalists said that it was more of a political platform than a budget. I find that interesting. In their opinion, the political platform contained no concrete fiscal measures to prepare Canada for tomorrow, for the next 10 years, or for the next century, as our founding fathers intended in 1867. Rather, it contained proposals, in particular concerning social housing. The NDP must be very happy. The Liberals promised billions of dollars if the provinces gave their assent. That was a promise.

The Liberals also made proposals concerning pharmacare. Once again, they were conditional on studies demonstrating the usefulness of such a plan. That, too, was a promise. The promises go on page after page in the budget, and it is obvious that it is a political platform. That is why the Liberals used the word “woman” more than 400 times, 30 times on each page. That is just demagoguery and totally abusive.

I would like to quote a very interesting CBC journalist, Chris Hall. Since he works at the CBC, the Liberals will surely believe him. He said that the government recently spent $233,000 to organize round table discussions to find out whether Canadians understood the message, and not the content, of their budget. I will quote Mr. Hall:

In particular, the report said the findings suggest middle-class Canadians—the very demographic the Liberals have been courting since their election with both policy initiatives and political messaging—don't feel their lives are getting better.

They are correct in thinking that their lives are not getting better. Even Chris Hall concluded, in light of these studies, that the 2018-19 budget is not a document that provides guidelines, includes concrete measures, or outlines actual achievements in progress. It is a political document that proposes ideologies.

The budget also contains a number of disappointments and shortcomings, precisely because it does not contain any actions. It does not respond to the fiscal reforms enacted by U.S. President Trump that give American companies an undue competitive advantage.

The 2018-19 federal budget does not address the tariffs on aluminum and steel either, although we all saw them coming. It does not specify what measures will be taken to implement carbon pricing. Most of all, it does not say how much it will cost every single Canadian. You would think it would at least do that. Some analysts say that it will cost approximately $2,500 per Canadian per year.

This budget is full of proposals but has no concrete measures, and it perpetuates broken promises. Instead of $10-billion deficits for two consecutive years, we have $19-billion deficits accumulating year over year until 2045. This year, we were supposed to have a deficit of $6 billion, but it has reached almost $20 billion. The Liberals also broke their promise to balance the budget. This is the first time that the federal government has not had a concrete plan to balance the budget.

We were supposed to run up deficits in order to invest in the largest infrastructure program in history, because with the Liberals everything is historic. Only $7 billion of the $180 billion of this program has been injected into the Canadian economy.

This is a very disappointing budget and, unfortunately, dear people of Beauport—Limoilou, taxes keep going up and the Liberal carbon tax is just the start.

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:30 p.m.

Liberal

Mark Gerretsen Liberal Kingston and the Islands, ON

Mr. Speaker, unfortunately I could not agree less with the member's comments, specifically with respect to the government always taking a reactionary approach to things. As a matter of fact, our signature policies are the exact opposite. They are policies that are taking a proactive approach to things, such as what we are doing with our environment and how we are going to protect the environment for future generations. We have made sure that the Canada child benefit is indexed moving forward. We have made sure that the worker credit is available to those who are on social assistance and want to get back into the workforce.

When it comes to things like that, would the member not agree that there are at least a couple of things in this budget that are progressive and forward-looking?

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:30 p.m.

Conservative

Alupa Clarke Conservative Beauport—Limoilou, QC

Mr. Speaker, it is quite funny. The hon. member spoke about the Canada child benefit and the income tax for workers. The CBC report I spoke about previously said that at the round tables, Canadians said they do not know how much that helped them, and they do not even know that this is going on right now.

People I meet in my riding, Beauport—Limoilou, say they are aware that the Canada child benefit is a way to buy votes, and that is it. That is the basic thing the Liberals are doing with that. It is hard for people to make the choice. Of course, it is a lot of money, but they know that it is a lot of money that their kids will have to pay in 30 years, so it is a poison gift. That is all it is about.

Most of the Liberals' measures are not in action but in reaction, and when they are in action, as some surely are, it is a poison gift for the future. How can the government be proud of those kinds of measures, when that is the case?

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:30 p.m.

Québec debout

Gabriel Ste-Marie Québec debout Joliette, QC

Mr. Speaker, I would like to ask my colleague to speak about his reaction to the budget implementation bill, as it concerns the demands of Quebeckers.

The forestry industry needs help, for example, with the spruce budworm. The budget and this bill mention around $75 million to fight this pest. However, when we take a close look at this document, we see that most of this money is going to the Maritimes. Is this a gift to the Irving family from the Liberals? We have to wonder. There is not one cent for Quebec even though the infestation has affected an area in Quebec that is larger than all of New Brunswick. That says a lot.

One thing Quebec has been calling for for a long time is to increase transfers for health care, social services, and education. That is what Quebeckers want, and that is what the provincial government and all the members of Quebec's National Assembly want. However, once again, no money was set aside for that in the last budget. I am also reminded of Davie shipyard, which employs hundreds of workers near my colleague's riding. The announcements about Davie are still vague. It may get a few crumbs later, but we are talking about a multi-billion-dollar project to renew the Canadian fleet over the next few years. That work is again mostly concentrated in Nova Scotia, in the Maritimes, even though there are 40 or so Liberal MPs from Quebec. I would like to hear my colleague's thoughts on this subject.

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:35 p.m.

Conservative

Alupa Clarke Conservative Beauport—Limoilou, QC

Mr. Speaker, I thank my colleague for his questions. Questions like these are why I have been urging him to join the Conservatives for three years, along with the member for Rosemont—La Petite-Patrie, though I am not too sure about him, since his socialism is a little too intense. I think he may be too deeply entrenched in socialism.

About Davie, it takes political leadership. In 2015, one month before the election, we awarded the contract for the Asterix. It was the crowning achievement of Canada's largest shipyard, which is located in Lévis. Social transfers are also very important. The Conservative government provided health and education transfers with no strings attached. We fixed the fiscal imbalance by giving $800 million to Quebec. Charest acknowledged that in no uncertain terms.

First and foremost, as we have been proving since 1867, and as the history books will surely show, we are a Conservative political government when we form government. We support decentralization and respect the spirit and the letter of the Constitution, the British North America Act, our greatest constitutional document. We respect provincial and federal areas of jurisdiction. That is what is so great about the Conservatives.

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:35 p.m.

The Deputy Speaker Bruce Stanton

Before we resume debate, it is my duty pursuant to Standing Order 38 to inform the House that the question to be raised tonight at the time of adjournment is as follows: the hon. member for Sherwood Park—Fort Saskatchewan, Foreign Affairs.

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:35 p.m.

NDP

Alexandre Boulerice NDP Rosemont—La Petite-Patrie, QC

Mr. Speaker, I am pleased to rise to talk about the budget implementation bill.

What I have to say might come as a surprise to my colleagues opposite. I want to talk about something I like in this bill. That might come as a surprise because it is something I rarely do, but this is an issue that is important to me. This bill allocates a significant and much-appreciated amount of money to scientific research, which was a priority for many people in my riding and the greater Montreal area. I am pleased to see that a portion of the money to be invested in research centres, in university centres, will be going to basic research. That is something important that we, the NDP, along with other political parties, have advocated for for years. This is an investment in the future that will help us better understand our world; that is something worth talking about.

Okay, I am done with the praise. Now for the criticism. I have been generous. Although there are investments in scientific research, there is unfortunately very little for the university sector. There are a few crumbs for student debt and tuition fees. I want to talk about universities because, unfortunately, very few people do. So many students finish school with huge debts of $20,000, $30,000, $40,000, even $50,000. Consider a young couple trying to start a new life with a burden like this. Our bold young heroes go to the Caisse populaire hoping to be able to buy a house or a condo. It seems odd that they would ask for a mortgage when they already have such a huge debt. Once again, it would have been nice if the Liberals had kept their election promise and looked at the issue of student debt. Unfortunately, they did not, and our students will continue to suffer. We find that deplorable.

Now I will address health care. No one will be surprised, because I mentioned it yesterday. I also asked my colleague from London about this earlier, and I will reiterate that I do not understand why the Liberal government decided to tax medical cannabis. Medical marijuana helps people, and it used to be exempt from tax. For reasons neither I or anyone else can understand, the Liberal government decided to put a tax on it. This will have a major impact on these people. Often, it is the only medication that helps them control their pain. Some of them have had serious operations and others are cancer survivors. Earlier, my colleague pointed out that, in some cases, marijuana can help our veterans get through certain illnesses or post-traumatic shock. Now, people may have to choose between taking their medication and buying their groceries because they may not be able to pay the additional cost due to the Liberal government’s tax. I would like some answers.

While we are on the topic of medication, there is something missing in the budget. I want to talk for a few minutes about what is missing in the budget. A government has to make choices. We can talk about what is in the budget, but often what is missing in the budget is more important and has a greater impact on people’s lives. Take pharmacare, for example. I was talking about medical marijuana just now, but pharmacare would make a major change in the quality of life and purchasing power of Canadians across the country. Prescription drugs are too expensive, and that places a considerable burden on our elderly, who are often low earners. How is it that we are not covered for dental or vision care? How is it that we do not have a universal public drug insurance plan?

As my colleague mentioned earlier, Tommy Douglas, former premier of Saskatchewan, was clear. According to him, the first step is to ensure that everyone has access to medicare with hospitals, doctors, and nurses. The second step is to make sure that people have access to home care and are able to afford their medications. We have not yet accomplished the second step, but we hope that we will soon because it has a major impact on people's quality of life and their ability to take care of themselves. We are the only country in the world with a public health care system that does not also have a public pharmacare program. The two must go hand in hand.

It is really the combination of the two that is truly effective. We want a universal public pharmacare program in co-operation with the provinces. It is true that the Government of Quebec already offers such a program, but it is flawed, and some people still have to pay for drug coverage in group insurance plans, which is extremely expensive. With regard to the labour market, this is always an issue that comes up in collective bargaining because increased drug costs is what puts the biggest strain on the health care system. If our health care spending seems out of control, it is mainly because we do not have a good universal public pharmacare program.

My colleague from Joliette referred to the fact that the Liberal government keeps making cuts to health care transfers, a trend that began under the previous government. Absolutely nothing has changed in that regard.

According to our estimates, over a 10-year period, the federal government cut health care transfers by $31 billion compared to what the provinces were previously getting under the federal-provincial agreement that was negotiated. Reducing the annual growth of federal health transfers has had a major impact on our hospitals, on our ability to take care of people, and on emergency room wait times, which can reach up to 20 hours or even 24 hours. We think that could have been changed, but there is nothing about it in the most recent Liberal budget.

There are certain things missing from the bill that could make a huge difference in people's lives.

One example is a public child care program. We have one in Quebec. It used to be even better, but it is still pretty good. More spaces would be nice. If there were a federal Canada-wide program, that would help the Quebec program as well as Canadians in the other provinces, who currently have nothing. Those people receive a cheque, which, granted, is a little better than before, but it covers only two or three days' worth of private child care. Children usually need to go to day care 20 days per month. When child care costs between $40 and $60 a day, people start to wonder whether they should go to work for minimum wage or stay at home. This leads to lost productivity. This is also unfair to women, given that, still today, they are often the ones who have the responsibility—I almost said the burden, but it is not a burden to look after one's children, it is fun—of caring for their families.

According to one study by an economist by the name of Mr. Fortin, when Quebec created its child care program, roughly 70,000 women returned to the workforce. This social measure has a very positive impact on women and on productivity, since it means more people in the workforce. It makes a difference.

Let us now talk about social housing. Housing is the biggest expense for every family. People in Toronto, Vancouver, or Montreal spend 40% to 50% of their income on housing. That plunges them into poverty.

The Liberals made fine promises on that and then announced billions of dollars. Sadly, those billions of dollars will not be available until after the next federal election, and in some cases they are allocated for after the 2023 federal election. The housing crisis is real. Families have real needs. While some parents skip meals because their housing is too expensive and they do not have enough money to put food on the table, the Liberal government is putting things off until later.

What can the government do to fund a good social housing program? It can tackle tax havens, tax evasion, and tax loopholes for CEOs who earn tens of millions of dollars annually. Again, this budget is truly a dismal failure.

The Liberal government signs new agreements with tax havens and does absolutely nothing but tell us how much it is spending, which in the end is inaccurate. We lose $8 billion to $15 billion a year to tax evasion and our agreements with tax havens. We do not need to wait for the United Nations, the OECD, or the G7 to take action. We can take this on ourselves because we have bilateral tax agreements with some tax havens and certain countries. Bilateral means that there are only two players, namely Canada and another country.

Why are we unable to sit down and renegotiate these agreements? Losing billions of dollars in taxes makes no sense. We need that money for our universities, our hospitals, and social housing. It would make a difference in people's lives.

I hope that the Liberals will eventually understand this.

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:45 p.m.

Conservative

Colin Carrie Conservative Oshawa, ON

Mr. Speaker, I want to thank my colleague for his passionate speech, because he really hits on some of the important things that are not in this budget.

I would like to commend the Prime Minister, though. Let us talk about his successes. Because people on the other side say this is a progressive budget, let us talk about what he is doing progressively.

He is progressively killing our traditional job markets. Let us look at our energy sector. We know that the Prime Minister says that he wants to phase out the energy sector, and he is doing that quite successfully. He says he wants to transition away from manufacturing. Today, we heard about the tariffs from Mr. Trump, which are going to affect a lot of manufacturing, specifically in Ontario and Quebec. There is no deal on softwood lumber. He is successfully killing that industry. In our mining industry, because of his red tape and environmental changes, he is successfully killing those jobs and investments. Our fishing industry, because of the oceans protection plan, is being killed.

Could the member point out in the budget where there is anything to improve the ability of Canadian sectors to compete?

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:45 p.m.

NDP

Alexandre Boulerice NDP Rosemont—La Petite-Patrie, QC

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

I would first like to clarify something. The NDP believes that the energy sector includes more than just the oil industry. There are others. This industry is indeed important, but there are other things we could invest in, such as renewable energies. There is almost nothing in the budget for this.

All of a sudden, the government seems to have $12 billion to $15 billion to buy a 65-year-old pipeline that is leaking everywhere. We do not understand why. Furthermore, it seems prepared to take on all of the risks associated with this project, which the private sector deemed too risky. The government bought just the pipeline for $4.5 billion, but Kinder Morgan said that it would cost $7.4 billion to complete the expansion. We are already at more than $12 billion.

The government could have done some amazing things, like invest in renewable energies and create exciting, green jobs for the future. Unfortunately, the Liberals are still living in the past.

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:45 p.m.

Green

Elizabeth May Green Saanich—Gulf Islands, BC

Mr. Speaker, I thank my colleague for his speech. I completely agree with him about medications and cannabis. I proposed amendments in committee to eliminate taxes on essential medications, but they were unfortunately rejected.

I want to add something about the major campaign to combat climate change, since there are some things missing from the budget, especially with respect to energy efficiency. For example, there is no program like the eco-energy innovation initiative.

I used to be such a fan of what was put forward by previous governments. The 2005 budget, which came forward when the current Minister of Public Safety was the minister of finance, was full of great climate action pieces that are completely missing now. I wonder if my colleague has any thoughts about why those are missing in action.

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 4:50 p.m.

NDP

Alexandre Boulerice NDP Rosemont—La Petite-Patrie, QC

Mr. Speaker, I thank my colleague for her attempt to make amendments to help people who need medical marijuana. Once again, she came up against the Liberal government. My colleague is quite right in pointing out the lack of investments and tax credits for energy efficiency, particularly regarding homes.

I recently attended the summit for a just energy transition, which was held in Montreal and hosted by some environmental groups and unions. The Conseil du patronat du Québec and some major investors were also in attendance. One sector that can really make a difference and change things is the building and construction industry. We often hear about transportation, but other things can be done too, including in agriculture and in building and construction.

We used to have a good tax credit for energy efficient retrofits that worked really well and helped Canadians save money. It was also helping to reduce our greenhouse gas emissions and lower people's electricity bills. It was a win-win-win situation. Unfortunately, it disappeared, and we do not understand why the Liberal government is not bringing it back. It was not a very expensive measure, but it helped reduce our energy use considerably and it improved people's lives because it helped them save a little money. It would have been nice to see that in the budget.

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May 31st, 2018 / 4:50 p.m.

Conservative

Marilyn Gladu Conservative Sarnia—Lambton, ON

Mr. Speaker, it is a pleasure to be here to speak to this budget implementation bill. My speech today will be called “promises, priorities and plans”. When we put a budget together, we should consider the amount of money we will need to keep all the promises we have made. Of course, there is not an endless amount of money in the world so there is a need to prioritize those promises we have made to ensure we hit the important ones and put those first.

Then it is important to have plans. We all know that without plans, we may spend a lot of money and not really accomplish anything, which we have seen an incredible amount of from the Liberal government.

With respect to promises, one of the early promises made by the government, which we hear repeatedly, was that it would run very small deficits, a small deficit of $10 billion in the first year, coming to balance in the fourth year. However, we have seen double that deficit in the first year, double the deficit in the second year, and triple that deficit in this budget. There is no end in sight with respect to balancing the budget. It is certainly not going to be in the fourth year of the mandate. Now it looks like it may not be until 2045. This is promise was broken into about 1.5 trillion pieces.

The other thing is that a lot of promises were made that were extremely important to rural communities across Canada. The first one was the restoration of home mail delivery, which for people who are living in very rural places, especially those who are elderly, is a very important service.

Even more important than that was the promise about infrastructure money. Members can remember that we were going to spend infrastructure money to create jobs and get the economy going, and that money was going to be spent on roads and bridges in municipalities. This is a critical thing in ridings like Sarnia—Lambton, where we have a lot of roads and bridges that need to be fixed, and the municipality certainly does not have the money to fix them. I was disappointed with the last budget when the government took $15 billion from those municipalities and put it into the infrastructure bank. Of course we have seen nothing come out of that whole situation.

Then there was the Asian Infrastructure Bank to which the government gave another half a billion of taxpayer dollars to build roads and bridges in Asia, which is not helping the rural community at all. Thus was another broken promise.

One of the most disturbing promises broken by the government was that of openness, transparency, and a higher ethical standard. Every time we ask questions about what is in this budget, such as the carbon tax that is outlined heavily in the budget, the government refuses to say how much it will cost the average Canadian taxpayer. The average Canadian taxpayer wants to know. If it is not a bad number, then why is it afraid to say it? Obviously, if it does not want to tell Canadians, it is because it is bad news.

Beyond not telling them how much it will cost, it will not even tell us what it will accomplish. The environment minister has been asked multiple times at committee, and here in the House, what kind of a greenhouse gas reduction she expects from this, and she has no answer. There is a huge amount of money being spent in the budget in this area. There is a huge amount of tax that will be paid by Canadians, yet there is no openness and transparency from the government with respect to those issues.

The government promised not to use omnibus bills, and here we are again with this huge budget bill. So many things have been snuck into this bill that if we did not really read all the pages, we might not be aware of them. My colleagues to the left have already talked about the medicinal marijuana issue and the taxes associated with that. However, more so, there is language in the budget bill that suggests that if people had a drug information number, they would be exempt. The fact remains that there is no drug exemption number for any medicinal marijuana because of the variability of all the components. Therefore, that is just another misrepresentation in the budget bill.

With respect to the taxes on cigarettes' portion of the bill, there is an escalating tax that continues to go up in perpetuity, without any parliamentary vote and without Canadians being able to talk about that. This is the same kind of deceptive tax that was put on beer and wine. It is fine for the government to put a sin tax on something when it wants to, but when it wants to hide a tax in there that continues to go up and generates revenue for the government, and it sneaks it onto page 324, Canadians may never get to that.

Therefore, there is no openness and no transparency in omnibus bills.

As members know, I am a passionate advocate for palliative care, so I was very excited when the government said it would spend $3 billion on home and palliative care in the 2016 budget. Then the government updated the 2017 budget and said that it would spend $6 billion over 10 years. It was a little more paced out, but at least it was something. I was really disappointed to see the word “palliative” removed from the 2018 budget. It was taken out altogether, even though the government supported my private member's bill, Bill C-277, on consistent access for palliative care for all Canadians. Surely, if we want there to be consistent access, we know we will have to plan something to back up that promise and put money in the budget. I was very disappointed there was nothing in the budget on that.

I will go to priorities.

One would think that in a country with one person out of six being a senior, maybe seniors would be a priority, but no. The Liberal government took position of minister for seniors away, and there is relatively nothing in budget 2018 that will help seniors, many of whom really struggle to afford to live and pay for many of the things they need, such as cataract surgery, perhaps hearing aids or dentures. I certainly heard this when I went door to door. A priority has been missed.

Then there is the agriculture sector. Agriculture is hugely important in Canada. Everyone can agree that we need to eat. This is one of our largest industries. What is the government doing? First, it is loading all kinds of bureaucracy on the Canadian agriculture industry that does not apply to other people. It has taken away pesticides without any replacement. Those very pesticides are used by countries that then import their food to Canada, putting us at a competitive disadvantage. Most recently, it decided it would not allow the sale of premixed feed that contains antibiotic. This product has been sold safely for quite a number of years. Again, it is a burden on our industry that is not on other industries outside of the country that ship products into Canada.

There is very little support for research in agriculture, very little support for the industry overall, and total betrayal when it comes to the agreement that was made with respect to the TPP, that farmers would be compensated for the quota they had to give up. That is gone. They still have to give up the quota, but they do not get the compensation. It is another broken promise for the agriculture industry.

Regarding health care, the government's priorities are really screwed up. The government putting $80 million in a budget to get people to stop smoking tobacco is a wonderful thing. However, to then put $800 million in the budget to get people to start smoking marijuana just does not seem like the right message from a health point of view, especially when we consider the danger to children.

Then there is the $7-billion slush fund. I am not sure what kind of priority that is backing up in an election year, but I can only guess. That is a disappointment as well.

Then there are plans. We do not see any plans. We have talked about how there is no climate change plan and no answers on the carbon tax. What about NAFTA? The Liberals have known for over a year that tariffs could be put on the steel industry. There is no plan and no money in the budget to address that whatsoever.

What about this $4.5-billion pipeline? Members can hear that my voice is a bit hoarse from having a $4.5-billion pipeline that is 65 years old being shoved down my throat. Where was the plan for that in the budget? It is missing.

Overall, when we look at this budget, we can see that when it comes to promises, priorities, and plans, the Liberals have broken their promises, their priorities are definitely screwed up, and they have no plan to achieve anything. That is a super disappointment.

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 5 p.m.

Conservative

John Barlow Conservative Foothills, AB

Mr. Speaker, the member for Sarnia—Lambton touched on many things in this budget. She has experience in the workforce in corporate Canada. Can members imagine any company or business preparing a budget, with a substantial piece of it going toward, say, a carbon tax, which is 200 pages of this omnibus bill, having done zero analysis on what the impact a carbon tax would have Canadian businesses, Canadian farmers, Canadian agribusinesses, and Canadian families? Can anyone imagine a business having a huge part of that budget with no financial implications of what the impact of that would be?

Could my colleague talk about what she is hearing from her constituents about their concerns with the carbon tax and having no idea what the impact this carbon tax is going to have on them moving forward?

Budget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 5 p.m.

Conservative

Marilyn Gladu Conservative Sarnia—Lambton, ON

Mr. Speaker, what I am hearing from the small businesses in Sarnia—Lambton is that they are being pushed right to the brink. Many of them are going under. The Liberal government has done nothing but load burden onto them, with extra CPP and carbon taxes, with the Ontario Liberals under the Wynne government helping them out with a $15 minimum wage, etc. They are pushed to the max.

However, I am right on the border between Canada and the U.S. People can move their business across the states where there is no carbon tax. They can move their business across to the states where Trump is busy getting rid of the bureaucratic regulations that are so arduous for small business.

Definitely, anybody who wants to stay in business has to stay competitive. The Liberal government does not seem to understand that and it has not helped any Canadian businesses accomplish that.