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

Sponsor

Bill Morneau  Liberal

Status

This bill has received Royal Assent and is now law.

Summary

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

Part 1 implements certain income tax measures proposed 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.

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

April 16th, 2018 / 12:55 p.m.
See context

Conservative

Pierre Poilievre Conservative Carleton, ON

Mr. Speaker, I like the member as well. He talks about the Liberal approach to tax fairness. In the last election, the Prime Minister said that he would go after wealthy tax cheats. It was not until after the election that we found out whom he meant. He meant pizza shop owners, farmers, and welders who own small businesses. He meant waitresses who might get a discount on a sandwich during their break at the restaurant. He meant diabetics, from whom his government attempted to take away the disability tax credit. Those were the wealthy tax cheats the Prime Minister had in mind.

That reminds us that whenever government gets big, costly, and expensive, it is always the working class that pays the bills. That is because capital and higher income people are more mobile. They have the ability to reap the benefits of big government without absorbing the cost. Of course, workers do not have the same ability. They cannot hire a fancy accountant or move their money offshore. They cannot get on a plane and just move somewhere else to work for another company around the world somewhere. As a result, when all the bills come due for big government programs, it is always working people who end up shouldering the burdens.

The solution to that is to contain government and allow people to keep more of what they earn to expand free enterprise, a system based on voluntary exchange, where one can get ahead only by offering something to someone else that is worth more to that person than it costs to pay for it. That system of voluntary exchange and free markets has lifted literally billions of people around the world out of poverty. It is the number one determinant of economic success, and it is the greatest invention for the creation of material prosperity and the defeat of poverty ever conceived by any human being.

I am sure the hon. member from the NDP would agree with that.

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 12:55 p.m.
See context

Conservative

Dan Albas Conservative Central Okanagan—Similkameen—Nicola, BC

Mr. Speaker, I certainly appreciate this member's contribution to the debate today. Absolutely, government debt is at a high when we add in the provinces. However, we also add our demographics, and it becomes incumbent upon any responsible government to make sure it is not taking on more debt than it needs, particularly since there is no war, recession, or public safety concern.

Could the member extrapolate a little on the issue of carbon pricing or carbon taxes? When the carbon tax was brought in, the cement industry in my province of British Columbia was hit extremely hard. Since Washington state and Alberta did not have a carbon tax, and Washington state still does not have one, that industry has been hit particularly hard, and now taxpayers are permanently subsidizing millions of dollars every year, which was supposed to be temporary, just to keep the cement industry going.

I would appreciate if the member could extrapolate more on how carbon taxes actually end up pushing people's behaviour in odd ways.

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 12:55 p.m.
See context

Conservative

Pierre Poilievre Conservative Carleton, ON

Mr. Speaker, the member from British Columbia is a great champion for entrepreneurship. He understands that entrepreneurship is about allowing people to produce prosperity for themselves, their families, and their communities. That is one of the points of distinction between this side and that side. As he correctly points out, governments tax industries and people into submission. As Reagan put it, “If it moves, tax it. If it keeps moving, regulate it. And if it stops moving, subsidize it.”

We see it over and over again. Let us just consider the current example of the Trans Mountain pipeline. The government has wrapped the project in so much bureaucratic red tape that the proponent has suggested that the project may no longer be economically viable and they may cancel it altogether. Now the government is saying, “It is okay. We will just take taxpayers' money to prop up what we have been holding down.” One wonders why it did not just get out of the way in the first place and let this ecologically friendly, safe, and secure project go ahead without so much burden.

Again, the government imposes taxes, regulations, and other costs until businesses finally cannot operate. Then it says that it needs to spend more money to prop up all these failing businesses. We saw it impose massive new taxes on small businesses, or at least attempt to, in the fall, before we stopped it. Simultaneously, it is saying that we need billions of dollars of corporate welfare to save businesses from collapse. Why not just get out of the way in the first place, so that enterprise can rely on investment and sales to generate its revenues and pay its bills, rather than constantly forcing businesses to hire lobbyists, suck up to politicians, and turn to government?

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1 p.m.
See context

NDP

Peter Julian NDP New Westminster—Burnaby, BC

Mr. Speaker, I will talk about the size and scope of Bill C-74. I would like to start with the size. I have been here for a few years, and a number of my colleagues have been as well, and we recall the worst years of the Harper government, when massive 300- and 400-page bricks would be dropped in the middle of the House of Commons.

Those omnibus bills, as part of the budget implementation act, were designed to hit sometimes a couple of dozen areas and various pieces of legislation. It was a deliberate tactic, which was anti-democratic and designed to hide from the Canadian public what was actually in the budget implementation act. Of course, we spoke very loudly about that, as did many Canadians, seeing it as a fundamentally anti-democratic approach to government, with 300 or 400 pages touching 24 or 25 different pieces of legislation. What it did was hide the intent of the budget in a very real way.

At that time, we were the official opposition, but the Liberals, as the third party, also rose in this House and repeatedly condemned the Harper government for putting in place anti-democratic omnibus legislation. My colleagues will recall Liberal members standing up and saying that having 300 or 400 pages of legislation that is dumped in one brick hitting 24 or 25 different pieces of legislation is fundamentally anti-democratic. It does not allow Canadians to know what is really in the budget implementation act, and it does not provide the kind of clarity and transparency that hopefully we would all seek to see in a budget implementation act, which is perhaps one of the most important pieces of legislation brought forward by Parliamentarians, who are elected by the people of this country to come together and discuss transparently and democratically the nation's business. This piece of legislation is one of the most important.

Thus, my colleagues can understand my complete dismay when the Liberals, just a couple of weeks ago, tabled their budget implementation act. We have had previous budget implementation acts of 300, 350, 400, and sometimes as many as 450 pages of legislation tackling 27, 28, even 29 different pieces of legislation.

The Liberals made commitments of sunny ways and a new approach to transparency. We all recall, back in 2015, the Prime Minister making those commitments, that the Liberals would take a completely different approach to governance, that they would have respect for democracy and bring in a different type of electoral process, putting away first past the post. The Liberals also said very clearly, many times, that they were going to do away with omnibus legislation.

However, what did the Liberals table? They tabled the largest omnibus bill in Canadian history, 556 pages, amending not just 28, 29, or 30 different acts, but 44 separate pieces of legislation. It is nearly 100 pages longer than any of the omnibus legislation we have seen in the past, which the Liberals used to criticize and attack. We are 100 pages beyond what the Conservatives used to do, 100 pages beyond the Harper record. We have the biggest, fattest, and least transparent budget implementation act in Canadian history.

There is no other way to put it. This is a profound betrayal of everything the Liberals said they stood for in 2015, every commitment they made to Canadians at that time, and every speech the Prime Minister and other Liberal MPs made in the House of Commons saying that they were going to do away with omnibus legislation. The size of this is beyond belief. We have never seen anything like it, 550 pages. It is beyond anything the Harper government imagined or was able to table. It is that much worse.

It will come as no surprise to you, Mr. Speaker, that in the coming days we will be endeavouring to put the case to you, because, as Speaker of the House of Commons, on behalf of all Canadians, you have the ability to divide or carve up this omnibus legislation and create stand-alone bills that can be voted on separately. That power, which has been given to you, Mr. Speaker, is sacrosanct and so important. When the government is refusing to heed Canadians' calls, when it is refusing to be transparent and democratic, then the Speaker of the House of Commons has the ability to intervene, and we will be asking and laying out the case in the coming days for you to do just that. It is fundamentally important.

That is the start of what is probably one of the most cynical budget implementation acts we have ever seen, cynical in its size and in its scope. Before I go into those details, let us talk about what the current situation is for the vast majority of Canadians, because this is very germane to the debate we are going to be having over the next few days. Far from having sunny days and sunny ways, as the Prime Minister likes to say, as he goes around the globe to various meetings, Canadians are actually struggling to make ends meet in a way that is perhaps unprecedented, beyond the depressions and recessions we have seen in the past. We now have a new reality that the government should have taken account of.

The new reality is that the average Canadian family now has, inflation-adjusted, the worst family debt load in any period in Canadian history. The average Canadian family is struggling under a worse debt load than it had under the Great Depression or under recessions. It is struggling under a massive debt load far beyond its annual earnings. That debt load is making it difficult for so many families in this country to make ends meet.

The average Canadian family is now surviving on temporary or part-time work. Despite the fact that the finance minister will stand in the House and say how things are rosy out there, the jobs that are being created tend to be temporary in nature. They do not allow for the family-sustaining type of employment that the NDP has always promoted and that we believe very strongly in achieving. However, that takes investments, forethought, and planning, which we do not see from the government.

When we look at the situation of the average Canadian family, as the price of housing goes up and rents go up, the homelessness and the housing prices are beyond belief. The debt load is considerable and growing. For most Canadians, temporary or part-time work, or cobbling together a series of part-time jobs, is the alternative they have economically.

That is the context of the budget, the context that the government should have paid close attention to. Instead, the Liberals tabled the largest and most fundamentally anti-democratic omnibus piece of legislation in Canadian history, 100 pages beyond anything Mr. Harper did, and they did so in such a timid way that even the scope of the budget itself has been eroded.

It is profoundly cynical as a budget implementation act because it goes far below where the budget was, which was already very timid, so we are looking at an extremely timid budget implementation act in terms of what it seeks to achieve. At the same time, it is fundamentally anti-democratic in the size of what has been dumped into this omnibus legislation.

What could have been in this budget implementation act and should have been in the budget? We talked about this a number of times. I spoke at a press conference with Jagmeet Singh, the national NDP leader, a very charismatic and energetic guy, and we gave some direction to the federal government as to what it should put in the budget. One of the most important items was tackling what is a profoundly unfair tax system. I also intervened in a letter to the finance minister with the hon. member for Nanaimo—Ladysmith, who is an extremely effective member of Parliament, and we spoke about gender equality.

When we look at what is in the budget, we see absolutely nothing that touches on the issue of tax fairness. Tens of billions of dollars is going offshore that the government refuses to cap or take action on in any way. In fact, on the current government's watch, more of these very egregious tax treaties, which are basically no-tax treaties, are being signed with notorious tax havens like Antigua, Barbuda, Grenada, and the Cook Islands. The Conservatives signed them all the time. However, the Liberals are signing even more.

The Liberals did nothing to tackle the issue of the stock options loophole, which is a nefarious loophole that in the latest year we have figures for helped 75 wealthy corporate CEOs pocket $6 million each, for a grand total cost to Canadian taxpayers of half a billion dollars. That was $6 million each, on average, for 75 of Canada's wealthiest corporate CEOs who used the stock option loophole. Jagmeet Singh and I directed our comments to the finance minister and the Prime Minister stating that it needs to end. The Liberals could have chosen to end the stock option loophole and take action on the issue of tax havens. However, they did neither. They are allowing that privilege, the transfer of wealth that we are seeing, and a growing inequality in this country, such that now a third of the Canadian population has as much wealth as two Canadian billionaires, something that came out just a few months ago and continues to reverberate with regular Canadians because they see the inequality in the tax system. They see a tax system that is built to be profoundly unequal, and of course they are reacting, because the Liberals and the Prime Minister promised in the last campaign to take action against the proliferation of tax havens and the profoundly unfair tax system that makes sure that tradespeople, small business owners, nurses, or truck drivers pay their fair share of taxes, yet someone who is running one of Canada's biggest and most profitable corporations does not have to worry about that.

As members know, the Canadian Centre for Policy Alternatives has now estimated the real marginal income tax rate for Canada's biggest corporations at less than 10%. It is at 9.8% on average. There are a lot of corporations that are not paying any tax at all. However, the average tax rate is now 9.8%, which is far lower than for regular individuals, who are working hard each and every day to put food on the table, seeing an erosion of their services, and participating in a tax system that is absolutely and profoundly unfair.

That is what could have been in this budget implementation act. However, there is no sign of that at all.

We would expect that there would be provisions from the budget in the budget implementation act. This is something I would like to tackle now.

When we talk about the scope of the budget implementation act, there are two things that come to mind immediately. The first is the issue of pharmacare. I have spoken in this House many times about constituents, as have my colleagues. All of us have raised specific cases as to why it is important to have pharmacare in this country. First off, as a country we pay too much, and many Canadians are left to choose between putting food on the table or paying for their medication. Jim, whom I have cited a number of times, is outside here, just off Wellington Street, and begs every day for the $580 he needs every month to pay for the medication that keeps him alive. Because there is no pharmacare, Jim and so many others like him are forced into that awful choice.

We, the Parliamentary Budget Officer, and every expert who has analyzed this issue have said that bringing in pharmacare makes sense from a whole range of perspectives. Overall, it actually saves money for Canadians. It allows us to bring down the costs of medications. It reduces costs for some small businesses that pay up to $6 billion a year for medical plans that allow their employees to have access to medications.

Therefore, for all of those reasons, it made sense to bring in pharmacare. We certainly heard in the weeks coming up to the budget a refrain that the Liberal government was going to bring in pharmacare, so we should watch out, because this budget was going to steal the NDP's thunder. We are happy to have our ideas stolen; we just do not like to have them gawking at our ideas, because gawking does not mean they are implementing them, which is what they should be doing. They should be implementing pharmacare right now. That is what they should be doing.

We saw in the budget that instead of doing anything practical to address the issue of pharmacare, the Liberals promised a study, and that was it. There was nothing more. As a result, the scope of the budget implementation act is a mighty failure when it comes to actually putting in place programs that matter.

We then come to the issue of gender parity. My colleague from Nanaimo—Ladysmith has been a very articulate spokesperson on this issue. We raised it with the Minister of Finance and the Prime Minister prior to the budget. There were some words in the budget about moving forward on pay equity. We saw that. We read that. Yes, the government was going to implement pay equity, finally, after decades.

Then, as I madly perused the 556 pages of the most massive and most bloated omnibus legislation in Canadian history, I looked for something that indicated that the Liberals would implement pay equity, but there was nothing, not a word. The Liberals promised it in the budget, and they have already broken their promise with the budget implementation act a couple of weeks later. It is unbelievable. It was an issue that the Liberals admitted it was time to take action on. In the transfer from the budget to the budget implementation act, it is not as if they were trying to scale it down. At 556 pages, they were dumping everything they could into it, but they decided not to dump in pay equity, which was actually in the budget and could be in the budget implementation act as a respectful and democratic way of processing the commitment that was made in the budget, but there was absolutely nothing. It is another broken promise, another fail. It is appalling to me.

Therefore, looking at the scope of the budget implementation act, not only do we see all sorts of things thrown into the BIA that should not be there and that we will be requesting that you remove, Mr. Speaker, so that we can have the appropriate democratic process even though the government does not seem to want to respect that, but there are also things that should be there that are simply not. That is the real failure of this budget implementation act.

It is so cynical in its nature. Everything that the Liberals said they stood for in 2015 they no longer stand for. We all saw those promises about making Parliament work, making it more transparent and democratic. On every commitment that they made to the public in 2015, we are seeing exactly the opposite in the greatest, most bloated omnibus legislation in Canadian history, not tabled by the Harper Conservatives, as bad as they were, but tabled by this Prime Minister's Liberal government. What a failure for those Canadians who have been waiting for decades for pay equity. What a failure for those Canadians who have been waiting for decades for pharmacare so that they do not have to beg to raise enough money to pay for their medication or do not have to choose between paying the rent and paying for their medication. On behalf of all those Canadians across the country who were hoping to see a different approach from the current government, I can say we are all profoundly disappointed by this budget implementation act. As a result, we will be voting against Bill C-74.

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:20 p.m.
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Liberal

Filomena Tassi Liberal Hamilton West—Ancaster—Dundas, ON

Mr. Speaker, to be fair, I know that when the Liberals ran, their platform was different from that of the opposition parties. It was different in that we committed to invest in Canadians. We made that commitment because we believed that this investment was important and worthwhile. We know what Canadians are about, and we know that this investment is going to pay off.

Those investments have paid off. In fact, over 600,000 jobs have been created since November 2015. Canada has the best balance sheet in the G7, with the lowest debt-to-GDP ratio. It is projected to soon be at the lowest point in almost 40 years.

We will index the CCB this July. That is what the budget implementation bill will do. We know that when the CCB was first introduced, nine out of 10 families benefited, raising over 300,000 children out of poverty. In the budget implementation bill, the Canada workers benefit is going to raise approximately 70,000 Canadians out of poverty. We have reduced small business tax. There are many things that our budget will do, because we want to invest in Canadians, we believe in Canadians, and we are very proud of the results.

I recognize that the opposition party took a different approach. However, in terms of the budget implementation bill, I would like to ask the hon. member about one thing in particular. I would like to hear his comments on the new gender results framework. How does the member feel about that framework? Does he believe that this is important for Canadians? Does the member see the merit in implementing it the budget implementation bill?

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:20 p.m.
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NDP

Peter Julian NDP New Westminster—Burnaby, BC

Mr. Speaker, I think the answer is quite simple. It is the actions brought forward in the budget implementation bill that will actually make a difference for Canadian women. It is not there, nor are the commitments around pay equity that were made, and these were commitments made in the budget. We are not talking about a broken Liberal promise from five years ago, 10 years ago, or 15 years ago; we are talking about a few weeks ago.

A commitment was made in the budget, but it is not contained in the budget implementation bill. For all of the Canadian women who have been fighting for pay equity and for all of them who have said that they have waited long enough, both Liberal and Conservative governments have been responsible for that broken promise.

There would have been the light of hope, when the budget came out, that the budget implementation bill would contain those provisions, but it did not. There is not a word. It is a tragically broken promise.

What makes this such a cynical budget implementation bill is that a commitment made just a few weeks ago is already being broken by the Liberal government.

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:20 p.m.
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Conservative

Harold Albrecht Conservative Kitchener—Conestoga, ON

Mr. Speaker, I could not agree more with the member on his enumeration of the many failed and broken promises of the Liberal government in relation to its platform and all of its great plans. Suddenly, all of those promises are being broken.

My question relates particularly to the carbon tax. If I am not mistaken, my colleague and his party do support a carbon tax. We know that the government knows what the carbon tax will cost, but it has not been willing to divulge that information.

I wonder if my colleague and his party have done any substantive studies on what this carbon tax will actually cost the average Canadian family.

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:25 p.m.
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NDP

Peter Julian NDP New Westminster—Burnaby, BC

Mr. Speaker, this is the problem of transparency that we have seen with both the government of the member's prime minister, Mr. Harper, and the current government. There is a lack of transparency.

That is why the provisions that are contained within this budget implementation bill are so inappropriate. It should be a stand-alone bill. Perhaps the member will be raising this as well with the Speaker. I have certainly indicated that we will be raising the idea that it should be carved off for that exact reason, so that we can do the appropriate study and have the appropriate vote around that issue.

The environment is something that I feel profoundly strongly about. We have seen failure from the current government, as we saw failure from the previous government. I think younger Canadians certainly get it, because we are seeing more and more of them saying “A pox on both the old parties. They simply do not take into consideration the intense impacts of climate change.”

The fact is that climate change is costing our economy billions of dollars more every year. The federal government needs to make provisions. Our national government, working with the provinces, has to put measures into place. The current government has completely failed on that. In fact, it is actually going backwards, as the previous government did.

To have that debate, we need transparency. We need to hive off those provisions of the omnibus budget bill so that we can have that debate in Parliament.

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:25 p.m.
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NDP

Christine Moore NDP Abitibi—Témiscamingue, QC

Mr. Speaker, I was very surprised to see that this budget implementation bill amends the Parliament of Canada Act. That is one of the measures that I fought for, particularly at the Procedure and House Affairs Committee. These are recommendations that I made. They seek to recognize motherhood and new parenthood as valid reasons for members to be absent from the House without penalty. Unfortunately, the government included those recommendations in an omnibus budget bill, when they have nothing to do with the budget.

Past amendments to the Parliament of Canada Act were always made in an open and transparent manner. They were never made surreptitiously. Since members must abide by the measures set out in that act, they cannot be amended in secret. To amend the Parliament of Canada Act in a way that is not open and transparent would be an insult to Canadians' intelligence.

I would like to know what my colleague thinks about the transgression that the Liberal government dared to commit in the budget, namely planning to quietly amend the Parliament of Canada Act as part of an omnibus bill.

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:25 p.m.
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NDP

Peter Julian NDP New Westminster—Burnaby, BC

Mr. Speaker, I want to thank the member for Abitibi—Témiscamingue for her intervention. I know her region well, and she is doing a great job of representing it. She is always tremendously passionate about representing her constituents effectively. The concerns she has raised in the House are issues that the people in her region care deeply about. I want to commend her for being such an excellent representative in the House.

My colleague asked a very good question: why did the Liberals cram so much into this monster bill, after criticizing the Harper Conservatives for doing the exact same thing?

What the Liberals are doing now is even worse. Certain measures that should have been included in this bill to implement the budget are missing, and several elements that are included should be removed. As my colleague suggested, this bill ought to be split up so that each element can be considered separately.

We will be back shortly to discuss the possibility of burying this monster bill and drafting fair, well-targeted legislation. That would make the House much more democratic.

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:30 p.m.
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NDP

Charlie Angus NDP Timmins—James Bay, ON

Mr. Speaker, when we talk about an economic vision for this nation, one concern for me is the Liberals' love of the mega cluster, the supercluster. If they put as much money as possible into two or three big giants, we will have a much broader economy. However, Canada is a very diverse region. Rural regions need specific economic development dollars, yet it has all been put on the desk of the Minister of Innovation. Particularly in my region of northern Ontario, we have the undermining of FedNor programs and the lack of understanding of how we build rural, blue collar, resource-based economies throughout rural parts of Canada.

What does my hon. colleague think of this Liberal vision where by picking a few winners that is going to create a more sustainable economy?

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:30 p.m.
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NDP

Peter Julian NDP New Westminster—Burnaby, BC

Mr. Speaker, very quickly, I would like to praise the member for Timmins—James Bay. He is an amazing and very articulate spokesperson for rural areas across the country and northern Ontario in particular. He speaks up effectively and is one of the leading parliamentarians in the House.

The member raises a very important question. Do we centralize all of our economic considerations around a few companies or do we look to broadening economic development right across the country?

I think members would agree that economic development needs to take place right across the country, not just in a few areas. We need a government with the leadership and the ability to understand all the regions of the country, which is not what we see from the government.

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:30 p.m.
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Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

Mr. Speaker, I will be splitting my time today with my hon. colleague from the riding of West Vancouver—Sunshine Coast—Sea to Sky Country.

It gives me great pleasure to speak to Bill C-74, the budget implementation act, 2018, No.1, which is intended to strengthen the middle class and make sure all Canadians have the skills and opportunities they need to succeed.

Budget 2018, appropriately entitled “Equality + Growth: A Strong Middle Class”, is a statement that continues to build upon the solid foundation laid out in our government's prior two budgets.

Our economy is strong and the future for our country and for all Canadians is bright. Our progress as a government over the last two and a half years is something of which we can all be proud.

Hard-working Canadians, including those in my riding of Vaughan—Woodbridge, are taking risks, investing in their communities and their businesses. Due to their efforts over 500,000 net new jobs have been created, an overwhelming majority of which are full time.

Our unemployment rate is below 6%, the lowest in 40 years, and thanks to the middle-class tax cut, nine million Canadians are paying less tax. Over a period of five years, that will add up to more than $20 billion in tax relief for Canadian families.

Our government has ambitiously completed historical and progressive trade deals, including CETA, which will create thousands of good middle-class jobs for Canadians, will strengthen economic relations, and will allow Canadian companies unlimited access to over 500 million consumers.

Putting the interests of the middle class at the centre of our trade discussions ensures that Canadian businesses and the Canadian economy will reap tangible benefits.

We have also put in place an infrastructure plan that invests billions in public transit so commuters in my riding of Vaughan—Woodbridge can get home sooner to their families. This we can see is real tangible progress for all Canadians.

Our vision strengthens Canada's social fabric and balances the desire for a strong economy, while introducing long-term measures for a healthy environment. This includes pan-Canadian pricing for carbon pollution, an important measure in Bill C-74. Each province will determine how to spend the money generated from carbon pricing. This is the right approach.

I do wish to stress that all the measures in Budget 2018 and laid out in Bill C-74, in my view, only further strengthen our fiscal position.

As an economist and someone with over two decades of experience in the private sector, I have seen and experienced the ups and downs of the global economy, including the 2008 global financial crisis and before that the technology bubble. I know how important it is to maintain a strong fiscal framework.

I am proud to say that our plan includes a gradual reduction in the federal debt-to-GDP ratio. According to the International Monetary Fund, Canada has the lowest net debt-to-GDP ratio in all G7 countries.

We have looked at Bill C-74 on a larger scale, so why not look at how the measures we have laid out in this bill would directly affect Canadians in their day-to-day life.

Let us examine the Canada child benefit.

In my riding of Vaughan—Woodbridge, the CCB is assisting thousands of families. The numbers speak for themselves. In one year alone, CCB payments benefited 19,400 children in my wonderful riding, with approximately 10,400 payments and an average tax-free payment of $5,400. This is approximately $59 million that is delivered tax free to families in Vaughan—Woodbridge and to 337 other ridings in Canada. This is money which will assist families with paying for their kids' sports, clothes, or can help save for their children's future.

Bill C-74 indexes the Canada child benefit beginning in July 2018, that is, two years earlier than originally planned, to help families deal with the high cost of raising children.

It is estimated that this measure will provide an additional $2.1 billion to families in Ontario alone until 2022-23. That is the kind of leadership Canadians expect from our government.

At this time, the CCB is helping lift millions of families and hundreds of thousands of children out of poverty across the country.

These measures are not only putting more money in the pockets of numerous Canadians families, but they will also positively affect business owners across the country.

In my riding of Vaughan—Woodbridge, the city of Vaughan is home to over 11,000 small and medium-size businesses, employing more than 208,000 people. I am proud to say the city of Vaughan is the largest employment area in the whole York Region.

My riding is home to many businesses, from the large, multinational companies like FedEx and Home Depot, to many family-run firms, including Vision Enterprises, Quality Cheese Inc., Decor-Rest Furniture Manufacturers, to family-run bakeries, which I frequent all too often. When I am home, my family and I enjoy visiting our favourites like Sweet Boutique, La Strada Bakery, and St. Phillips Bakery to just name a few.

With Bill C-74, we will strengthen our businesses by lowering the small business tax rate to 10% effective January 1, 2018, and to 9% effective January 1, 2019.

Once fully implemented, those hard-working small business owners will see a tax reduction of up to $7,500 annually. This measure is a cumulative tax reduction of nearly $3 billion over the next five years in the pockets of hard-working Canadians across the country.

Our government initiated extensive consultations to make sure that entrepreneurs can continue to invest in and grow their business, but also to ensure that all Canadians are paying their fair share of taxes and that the economy is working for everyone.

I know this is crucially important for the many successful private business owners in my riding of Vaughan—Woodbridge who are involved in various industries, from advanced manufacturing, high tech, construction, and the food and beverage sector. I have met with many of these hard-working large, medium, and small business owners, some employing 10 workers and others employing thousands. I am incredibly proud of their hard work and to be their voice in Ottawa.

Our government will ensure that business owners can continue to invest in their businesses and also increase flexibility for owners to build a cushion of savings for personal circumstances, such as maternity leave or retirement.

However, we will restrict tax deferments for passive investments in private corporations. Once a private corporation has amassed significant passive investments, it will no longer be subject to the small business tax rate. This measure will affect less than 3%, or about 50,000, of Canadian-controlled private corporations.

As I noted in my introduction, our government is committed to helping all Canadians succeed, and we are putting money in the pockets of those who need it most.

In budget 2018, our government makes a significant investment in boosting the earnings of low-income workers with a near $1 billion investment in the Canada workers benefit. The investment will lift 70,000 Canadians out of poverty and, as important, encourage more people to join the workforce.

With the legislative changes that will automatically enrol Canadians, an estimated 300,000 additional low-income workers will receive the new CWB for the 2019 tax year. For example, an individual in my riding who is earning $20,000 annually, which is not a large sum for a lot of people, and some people make that stretch a long way, will receive an additional $500 from this measure, where previously no boost was received.

As the son of parents who immigrated to Canada with nothing but the desire to work and create a better future for their family, I know that the Canada workers benefit will improve the living conditions of thousands of Canadian workers.

I have touched merely upon a few things that Bill C-74 introduces. The indexation of the Canada child benefit, the Canada workers benefit, and support for small businesses are all measures that will benefit millions of Canadian workers and Canadian businesses from coast to coast to coast.

These measures will lift tens of thousands out of poverty, help families in raising their kids, encourage more folks to enter the labour force, and allow business owners to invest more money to grow their businesses. These are real, tangible, positive outcomes that will better the lives of Canadian families, business owners, and our economy. I am proud of budget 2018 and what is in Bill C-74.

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:40 p.m.
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NDP

Peter Julian NDP New Westminster—Burnaby, BC

Mr. Speaker, the Liberals always committed to pushing back against omnibus legislation. The member will recall from previous Parliaments that the Conservatives introduced 300- or 400-page pieces of omnibus legislation. The Liberals always decried that, said it was inappropriate, that we should not have all of these measures dumped into one bill. Certainly during the election campaign in 2015, we all recall that the Prime Minister committing to showing more transparency in Parliament, avoiding the egregious type of omnibus legislation we had under the Conservatives. However, lo and behold, we now have the largest omnibus bill in Canadian history, with 556 pages amending more than 44 pieces of legislation. It is bigger, fatter, more bloated than any omnibus legislation we have had before.

How does the member feel about the betrayal of a solemn commitment made during the election campaign by the Prime Minister on behalf of all Liberal candidates, saying that the Liberals will not do this anti-democratic, non-transparent dumping of omnibus legislation, and then having the Liberals do the worst omnibus bill ever?

Budget Implementation Act, 2018, No. 1Government Orders

April 16th, 2018 / 1:40 p.m.
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Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

Mr. Speaker, the measures contained in Bill C-74 are real. They impact people in my community and communities across this country, whether it is the indexation of the CCB, implementing the Canada workers benefit, whether it is putting a price on carbon. I could go on and on. Whether it is encouraging women to enter the labour force in greater numbers, closing the wage gap, all of these measures, many of them contained in Bill C-74, are real measures which impact real people every day. They are working hard and trying to save for their families and their future. I am proud to be part of a government that has put forth these measures as making a real difference in people's lives, not some theoretical justification.