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

Bill C-74—Time Allocation MotionBudget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 10:45 a.m.
See context

NDP

Ruth Ellen Brosseau NDP Berthier—Maskinongé, QC

Mr. Speaker, sadly, the minister obviously did not hear the question from the House leader of the official opposition. There has been absolutely no consultation on allocating time on Bill C-74. This is the fifth time that the Liberals are imposing closure in three days. This is unbelievable.

I have been here for seven years, and we were used to time allocation because we had a lot under the previous government, but we have never seen a government limit debate to the point where it is doing the bare minimum. It is an insult to democracy.

The Liberals promised they would do things differently, yet they are going ahead and shutting down debate. We are 338 MPs in this House and we are here to represent our constituents. How can the Liberals justify doing time allocation on an important bill like Bill C-74?

Bill C-74—Time Allocation MotionBudget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 10:45 a.m.
See context

Ottawa Centre Ontario

Liberal

Catherine McKenna LiberalMinister of Environment and Climate Change

Mr. Speaker, Canadians elected us to deliver an ambitious agenda, and Bill C-74 is an important step in our plan to help grow our economy by focusing on the middle class and helping those working hard to join it. The budget implementation act provides the legislative framework to implement key campaign commitments that were reiterated in budget 2018.

Through this bill, we are taking the next step in our ambitious plan to grow our economy by focusing on the middle class and helping those working hard to join it. Over the last two years, Canada's economic growth has been fuelled by a stronger middle class. Canadians' hard work, combined with historic investments in people and in communities, helped to create more good jobs, almost 600,000 of them since November 2015, with more help for those who need it most, which has meant more money for people to save, invest, and spend in their communities.

Bill C-74—Time Allocation MotionBudget Implementation Act, 2018, No. 1Government Orders

May 31st, 2018 / 10:45 a.m.
See context

Conservative

Candice Bergen Conservative Portage—Lisgar, MB

Mr. Speaker, in three days debate has been shut down in this House on five major bills. It is unbelievable—well, it is actually not unbelievable, because everything the Liberals said they would do while they were campaigning has been an absolute fabrication. Coming here self-righteously and saying, “We are not going to shut down debate” was just another big, phony act. It seems like everything the Liberals do is a big, phony act.

I saw the height of it last night when the minister gave notice of this time allocation. He said there had been consultations with the opposition on Bill C-74. That is outright misleading of the House and misleading Canadians. There has not been one iota, not one syllable, of consultation. Nobody has asked anybody on this side about how much time was needed for Bill C-74.

Not only are the Liberals breaking their word; now they are misleading the House on incredibly important issues. This is the carbon tax that is going to be implemented. We do not know how much it is going to cost because they will not tell Canadians, and now they are saying they have consulted with us on Bill C-74. That is not true. Why are the Liberals misleading this House?

Bill C-74—Notice of time allocation motionBudget Implementation Act, 2018, No. 1Government Orders

May 30th, 2018 / 11:40 p.m.
See context

Conservative

Dan Albas Conservative Central Okanagan—Similkameen—Nicola, BC

Madam Speaker, it is indeed an honour to rise again and join the debate on Bill C-74.

Before I wrote my speech, I wanted to do a bit of research to remind myself exactly what the Prime Minister had promised regarding the use of omnibus bills. An interesting thing occurred.

When I googled the name of the Prime Minister and then used the word “promise”, the search screen auto-filled with a massive number of different promises from the Prime Minister. Guess what? They were all broken promises, every single one of them, because that is what the Prime Minister seems to do. He promises things he clearly has no intention of delivering on, and this is no different. Allow me to repeat this one. He said, “Stephen Harper has also used omnibus bills to prevent Parliament from properly reviewing and debating his proposals.” The Prime Minister promised his Liberal government would “bring an end to this undemocratic practice”, yet here we are. The Prime Minister is doing the complete opposite of what he promised he would do.

A constituent of mine recently suggested that the Prime Minister was basically a real-life Pinocchio. That comment troubles me. When we look Canadians sincerely in the eyes and we promise something that we have zero intention of delivering on, how do we let that go? How do we say “That's okay”?

Here is a case in point. Over in the finance committee, we were reviewing this omnibus bill as best we could. Lo and behold, what did we find buried in it? We found legislation that proposed to modify the Criminal Code so white-collar crime might more easily go unpunished. Seriously, why is that in there?

I have defended governments because of the complex state and wanting to do things. Sometimes they have to be able to change multiple pieces of legislation so an omnibus bill may be okay. For example, paying the remuneration for justices probably can be added in as a measure because I do not believe there would be time, respectful of the House, to table that. I have defended the previous government and I have given the current government a lot on that as well. However, here is the thing. The Liberal members of the finance committee had absolutely no idea this corporate crime get out of jail for free clause was in the budget implementation act.

I have a great amount of respect for my fellow members of the finance committee on the government side. We have a productive and good relationship. I am proud of that fact even though we found this questionable clause. At the same time, it concerns me greatly that the Liberal government is proposing serious changes like this. Not only do the Liberals try to hide it in a budget implementation bill, they do not even tell their own caucus about it.

Who is really calling the shots and running the government? Why would it keep its own caucus in the dark? To be fair, I am not going to say that the Liberals are soft on corporate crime or that the secret payoff is intended to help Liberal corporate insider friends, but others are saying these exact things. In the absence of information there is misinformation. When something is intentionally hidden from view, people will speculate there must be a reason it is hidden. These things undermine the integrity of our justice system when it comes to prosecuting white-collar corporate crime.

I will give the benefit of the doubt to the government here. I do not believe the intent of this proposed legislative change is to help out white-collar criminals. In fact, I am certain there are arguments to be made why some believe this measure is a good thing in helping crack down on white-collar crime. However, we will not be having that debate because this clause is not before the justice committee where it belongs. That, of course, is because someone in the Prime Minister's Office thought it was a good idea to bury this proposal in the budget implementation act instead of in a justice bill where it belongs.

Bill C-74 is a budget implementation act omnibus bill. Bill C-75 is a criminal justice reform omnibus bill of 300 pages. It makes no sense that the Liberals would put this provision in Bill C-74 unless they wanted to evade scrutiny. Not one single witness came to committee to talk about this. That is a failure, either of us as parliamentarians or because someone on the government side thought the Liberals could pull a fast one.

Before moving on, I would like to thank the members of the finance committee for the collective work we have done exposing this questionable piece of legislation. We do what we can, and we try to do a good job.

Another troubling aspect of the budget implementation bill is the fact that it does not place Canada on a path to a balanced budget by 2019. That is another broken promise by the Prime Minister, which begs the question why the Prime Minister made that promise in the first place. Is it because he believes that a balanced budget is a good thing, or because he believes that others think it is a good thing and he will basically say anything that would help him win votes? We do not know the answer to that question. However, it is not unlike the promise “While governments grant permits for resource development, only communities can grant permission.” We all know how that broken promise is turning out, which leads to my next question.

Out of the blue, the Prime Minister promised to borrow another $4.5 billion so he can politically control the timeline of the Kinder Morgan pipeline. Where exactly is this money coming from? It is a massive amount of money, yet it is not anywhere in the budget. Further assuming that the Prime Minister actually intends to build the Trans Mountain pipeline, it will surely cost another $7 billion or more. Combined, that is over $11 billion. That is more than the modest $10-billion deficit the Prime Minister promised.

Nowhere in this budget document is that out-of-the-blue spending referred to. This is all so that the Prime Minister can buy himself out of another broken promise, while at the same time breaking other promises. It gets complicated. With so many broken promises, one begins to lose track. This is not unlike his $7-billion slush fund, which the Parliamentary Budget Officer has said contains “incomplete information and weaker spending controls”. That is $7 billion of borrowed money, with zero information on how that money will be spent, and we are going into an election next year.

Meanwhile, the Liberal government is busy ramming through changes to the Elections Act that would limit what everyone else can spend pre-writ, except of course the Liberal government itself. How does anyone support that? Basically, we have a Prime Minister who has a well-documented history of being willing to promise anything to anyone to win votes, who will be armed with the equivalent of a $7-billion Visa card going into an election.

I have sympathy for the members opposite, because we all know that when anyone dares to vote against the Prime Minister on the Liberal side, there are serious consequences, despite those promises for free votes and sunny ways.

In closing, there is no possible way I can support the budget implementation bill. To be candid, I would have a hard time supporting it even if I sat on the government side of the House, because it breaks so many of the promises the Prime Minister made to Canadians, the same Prime Minister who, once upon a time, claimed he was worried about cynicism in Canadian politics.

I can think of no previous prime minister in the past few decades, since I started closely following federal politics, who has broken more promises to Canadians than the current Prime Minister. The most troubling part is that, more often than not, it is a “do as I say, not as I do” approach, much like this omnibus bill I will be voting against. It was bad when Stephen Harper did it as prime minister, but despite the fact that the current Prime Minister said he would bring an end to what he called an “undemocratic practice”, in reality he has taken it to a whole new level. From my perspective, that is not right. I look forward to hearing the comments from all members in this place.

Bill C-74—Notice of time allocation motionBudget Implementation Act, 2018, No. 1Government Orders

May 30th, 2018 / 11:30 p.m.
See context

Liberal

Dan Ruimy Liberal Pitt Meadows—Maple Ridge, BC

Madam Speaker, it is with great pleasure that I rise in this House today to discuss Bill C-74, Budget Implementation Act, 2018, No. 1.

It is no secret that with our 2018 budget, our government has committed to putting people first and ensuring equal opportunity and fairness for all Canadians. Part of that commitment means taking steps forward to advancing equality, especially for women. This is not only the right thing to do but also the smart thing to do, because we know that equality between Canadian women and men will lead to greater prosperity for all Canadians.

We are doing this through a number of initiatives, including introducing a new employment insurance parental sharing benefit to support more equal parenting roles, as well as other initiatives to support greater participation of women in the workforce. We will also be putting forward proactive pay equity legislation to ensure that women and men in the federally regulated public and private sectors receive equal pay for work of equal value. These are just some of the budget 2018 measures aimed at promoting greater gender equality in Canada.

It should also be noted that in the spirit of putting people first, we are also taking steps to improve how our government delivers its services to all Canadians. We understand that Canadians expect services to be high quality, accessible, secure, and digitally enabled.

When it comes to the services provided by Employment and Social Development Canada, more commonly known as ESDC, we strive to meet and exceed those expectations. Since taking office, our government has listened to Canadians and worked hard to ensure that they get the best services possible. These efforts are reflected in the investments made in each of our budgets, and this budget is no different.

Budget 2018 will enable ESDC to explore modern approaches to service delivery, beginning with employment insurance. This budget committed to providing stable and predictable funding of up to $90 million over three years, starting in 2018-19, for employment insurance claims processing and service delivery for all Canadians.

Building on earlier investments, we have proposed an additional $127.7 million over three years to sustain service capacity and improve accessibility to call centre agents so that Canadians can receive timely and accurate information and assistance with their El benefits. These services and channels are vital to Canadians, and it is of the utmost importance that we support a modern service delivery system that functions smoothly and works for all.

In budget 2018, we promised to make significant new investments to bolster federal government operations. We made this promise because want to ensure that all Canadians receive the services they need and deserve, especially people from more vulnerable populations. This includes doing more to better serve indigenous peoples in Canada. That is why we committed to providing funding to help more indigenous peoples access the full range of federal social benefits, including the Canada child benefit, the Canada pension plan, and old age security. We will be accomplish this by expanding outreach efforts to indigenous communities, and by conducting pilot outreach activities for urban indigenous communities.

We also know that Canadians rely on a broad range of supports in their communities. To make sure that people get the help they need, the Government of Canada provides funding to organizations across the country that deliver social services to Canadians. We are talking about services provided to vulnerable populations such as indigenous peoples, low-income Canadians, LGBTQ2 Canadians, newcomers, seniors, and persons with disabilities.

As announced in our latest budget, we will reallocate $7.8 million over five years to increase awareness and understanding of available funding, and help organizations that serve vulnerable populations build much needed capacity.

With Bill C-74, we are also making important amendments to the Department of Employment and Social Development Act that will improve how Service Canada serves Canadians. Each year, ESDC spends more than $122 billion on programs and services for Canadians. That includes employment insurance payments, the Canada pension plan, old age security, the guaranteed income supplement, and an additional $1.9 billion dollars in grants and contributions.

Service Canada is an important partner in this work. Currently, the Department of Employment and Social Development Act provides Service Canada with the authority to deliver only ESDC programs and services. It does not provide for Service Canada to deliver other federal government programs and services or for delivery partnerships. Simply put, it just does not make sense.

We want to make sure that Canadians can benefit from a service delivery model that is better integrated so that they can more easily access the full range of federal services available to them. We can accomplish this by allowing other departments to use the Service Canada network.

Right now, for this to happen, the government must provide authority on a case-by-case basis. This approach hinders ESDC's ability to carry out its current service delivery responsibilities and to respond to evolving partnership opportunities. The changes we are proposing in Bill C-74 will fix this. The bill proposes to give Service Canada the authority to provide services to the public on behalf of partners, including federal government institutions and other levels of government. Specifically, Bill C-74 proposes to clarify accountability between ESDC and service partners related to the management of Canadians' personal information.

The bill would also allow ESDC and service partners to recognize and use the Canada Revenue Agency's business number to manage business identity and allow ESDC to recover costs from and spend revenues on behalf of service delivery partners. For Canadians and Canadian businesses, this will mean better and more convenient access to the services they need.

The proposed amendments we are seeking through Bill C-74 would broaden the minister's mandate to provide service delivery for partners and help deliver better services to Canadians, including online services. With these changes, ESDC will be able to partner with federal institutions, provinces, territories, municipalities, and specified indigenous organizations without holding up the services that Canadians need and deserve.

I encourage all members of the House to support Bill C-74 and the much-needed amendments to the Department of Employment and Social Development Act. Let us continue to ensure that Canadians receive the kind of services they deserve: high-quality, accessible, secure, and digitally enabled.

Bill C-74—Notice of time allocation motionBudget Implementation Act, 2018, No. 1Government Orders

May 30th, 2018 / 10:50 p.m.
See context

Québec Québec

Liberal

Jean-Yves Duclos LiberalMinister of Families

Madam Speaker, I regret to inform the House that an agreement could not be reached under the provisions of Standing Orders 78(1) or 78(2) concerning the proceedings at the report stage and the third reading stage of Bill C-74, an act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures.

Pursuant to the provisions of Standing Order 78(3), I give notice that a minister of the Crown will propose at the next sitting a motion to allot a specific number of days or hours for the consideration and disposal of proceedings at the said stages.

Motions in AmendmentBudget Implementation Act, 2018, No. 1Government Orders

May 30th, 2018 / 10:45 p.m.
See context

Liberal

Linda Lapointe Liberal Rivière-des-Mille-Îles, QC

Madam Speaker, I am very pleased to speak this evening. I would like to acknowledge those watching and following the debate on the budget at such a late hour. I am sure that they will be pleased to hear me speak to Bill C-74, budget implementation act, 2018, No. 1. This bill implements certain measures from budget 2018.

I will be talking about the EI system. I want to focus on a measure that I think is very important for Canadians, the modernization of the rules around working while on claim.

We want to improve the working while on claim pilot project. The provisions of working while on claim help claimants stay connected to the labour market by encouraging them to accept available work and earn extra income, while receiving employment insurance benefits. Under the rules of the current pilot project, claimants can keep half of their benefits for every dollar earned up to a maximum of 90% of the weekly insurable earnings. This pilot project is ending at the end of August 2018.

We intend to make amendments to the Employment Insurance Act in order to make the rules for the current pilot project permanent by default. To implement this measure, we plan to spend almost $352 million over five years, beginning in 2018-19, and $80 million every year after that.

We will also put in place transitional provisions for those claimants who have chosen, under the current pilot project, to revert back to the rules of the former pilot project launched in 2005. The claimants will continue to benefit from these optional rules until August 2021, which will give them three years to adapt to the new permanent rules.

We want to include maternity and sickness benefits. These provisions already apply to parental and caregiving benefits, but they do not currently apply to maternity and sickness benefits.

Canadians who wish to stage their return to work after an illness or the birth of a child have limited flexibility to do so without jeopardizing their EI benefits. Extending the new working while on claim benefits to maternity and sickness benefits will give affected Canadians greater flexibility. They will be able to keep a good part of their EI benefits if they wish to prepare to return to work.

The measures I just mentioned benefit all employment insurance claimants, including seasonal workers.

I will now talk about support for seasonal workers. Our government is aware of seasonal workers' concerns and the difficulties that some of them are having. That is why we announced a series of measures in budget 2018 to help ensure that unemployed workers in seasonal industries have access to the supports they need when they need them most.

First, we are allocating $10 billion from existing departmental resources to provide immediate income support and training to affected workers. In that regard, we are developing agreements with key provinces, such as Quebec—where I proudly represent Rivière-des-Milles-Îles—New Brunswick, and Prince Edward Island, to provide that money. Funding will be available as soon as an agreement is signed so that seasonal workers have access to programs and support as quickly as possible.

We have already signed a $2.5-million agreement with the Government of New Brunswick. That additional funding will allow the province to offer seasonal workers seven weeks of work experience, workplace essential skills training, or general essential skills training with income support. Support will be offered to workers in the fishery, the agricultural industry, the forestry industry, and the tourism industry in the most affected areas of New Brunswick. I hope that there are people from New Brunswick listening to us this evening.

Other agreements will be announced soon.

Our government is also proposing to invest $80 million in 2018-19 and $150 million in 2019-20 and to work with the provinces in order to come up with local solutions to help seasonal workers.

We will be using the tools available to us, such as labour market development agreements. Together, we will find solutions that will help better adapt the employment insurance system to regional market conditions. Canada is vast and its regions differ from one another. It is important to be able to adjust to the different regions.

In closing, since being elected, we have set out to improve the employment insurance system to bring it more into line with the realities of today's workforce, since we want it to serve workers and employers. The legislative changes I just talked about are part of that commitment, and passing Bill C-74 is the next step toward achieving our objective.

I strongly recommend that all my colleagues in the House support this bill so that we can continue to support Canadian workers and families and, by extension, the middle class and those working hard to join it.

Motions in AmendmentBudget Implementation Act, 2018, No. 1Government Orders

May 30th, 2018 / 10:40 p.m.
See context

NDP

Pierre-Luc Dusseault NDP Sherbrooke, QC

Madam Speaker, I thought we were talking about Bill C-74. I realize that the indexation of the Canada child benefit is included in this bill. The NDP has not moved any amendments to remove that indexation, unlike the Conservatives, who want to delete every clause in the bill.

That being said, I have not been approached by a single constituent praising the merits of the Canada child benefit. What the committee heard about on a regular basis was the lack of universal affordable child care in Canada. Although Quebec has an excellent system, Canadians in the rest of the country struggle to find affordable child care. That is a recurring theme at the Standing Committee on Finance.

I just want my colleague to know that the lack of universal, affordable, high-quality child care is hindering our country's economic development and limiting women's participation in the workforce. That is a recurring theme, but the government is still doing nothing to address the issue.

Motions in AmendmentBudget Implementation Act, 2018, No. 1Government Orders

May 30th, 2018 / 10:30 p.m.
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NDP

Pierre-Luc Dusseault NDP Sherbrooke, QC

Madam Speaker, I am pleased to rise tonight to speak to Bill C-74 at report stage. We have proposed a number of amendments, perhaps a more reasonable number than our Conservative colleagues did. I will go over our amendments, which seek to delete clauses 69, 73, 95, 97, 310, 316, 317, 324, and 329.

I would like to start by briefly describing the committee study of Bill C-74. The committee was given very little time to study this bill. We had to debate a 550-page bill at top speed, so we were unable to go into the details as thoroughly as every committee would surely have liked. The Liberal majority on the Standing Committee on Finance imposed time constraints on us, the same way it limits the amount of time we get to debate bills in the House.

Even so, we were able to come up with quite a few amendments that we hoped would go some way to improving the Liberal government's bill, which was clearly too timid. We had a few small victories, I will admit, but I will come back to those later. To sum up, during this study, we heard some interesting debates and some harsh criticism about certain aspects of the bill.

Again, we experienced something that happens far too often in committee, especially on the Standing Committee on Finance, where we are often asked to start studying a bill before it has actually been passed in the House, or, in the case of Bill C-74, before the House has even voted on it at second reading. It is almost as if the outcome were known in advance.

Other than that I think that we did constructive work. That is our main job as a constructive, progressive opposition, contrary to the other opposition parties that see their role differently. We on this side are a very constructive opposition.

The first amendment that we tried to make to the bill had to do with tax changes. We all heard about the Minister of Finance's reform. Well, the bottom line ended up in the minister's reform bill. We tried to make reasonable amendments to the implementation of the changes for the 2019 tax year, since the bill proposes tax measures will apply retroactively effective January 1, 2018. The NDP reasonably pointed out that it was not reasonable public policy to adopt retroactive tax measures. If the bill gets royal assent in June or July, it will have come into effect six months before it was passed. That is unacceptable. We tried to rectify the situation, but much to our party's chagrin, the Liberals opposed our efforts.

Medical cannabis is another important element of Bill C-74; it would establish an excise tax on cannabis products. Many witnesses that spoke to this issue were furious with the Liberal government, which has clearly indicated in this bill that it wants to tax medical cannabis. It did not even try to hide the fact that this flaw in the bill means that cannabis will be more expensive for patients with a prescription when the bill comes into force.

The government refused to change the bill and to listen to reason. It is adamant that medical cannabis will be taxed. It could have chosen to create two separate regimes: one for recreational cannabis, which could be included in the same tax or excise regime for spirits, alcohol, and tobacco; and another for medical cannabis. Sadly, it refused.

The Liberals should have created a distinction for medical cannabis used by private users. Unfortunately, they refused to do so.

More than 10,000 Canadians wrote to the Standing Committee on Finance to criticize the Liberal government's approach. The bill only provides for exemption from excise duties and GST/HST if the cannabis has a drug identification number. This is not currently a reality, because it costs millions of dollars to get a medical drug approved in Canada. It is extremely long, tedious, and costly. Obviously that is a long way off.

We asked a number of questions and proposed amendments regarding all the changes to veterans' pensions. We are not completely convinced that the new veterans' pension plan proposed in Bill C-74 will be better than the current one. We asked the government to prove that these changes would truly benefit the majority of veterans, through an independent review conducted over the next few years. The government rejected this amendment.

We also proposed amendments on the whole issue of the carbon tax. Almost half of the bill has to do with this tax. We asked for more transparency in how the regime is enforced and about ensuring that industries pay for their pollution. We also asked for limits on the exemptions available to certain industries.

We did achieve one small victory that I want to mention. Under the bill, farmers would not have to pay the tax on fuel for farm machinery. In committee, we and some of the witnesses argued that fishers should also be eligible for an exemption for fuel used by their fishing boats. The Liberals rejected our amendment, then proposed a nearly identical one to do pretty much the same thing but with a few extra details. Maybe we can count that as a small victory.

We also sounded a very loud alarm about financial technology. That is why, at report stage today, we moved motions to delete clauses 310, 316, 317, 324, and 329 to get rid of all clauses related to financial technology.

The bill would enable banks to share and sell personal information about consumers, about their clients, to financial technology companies, such as those that sell insurance. We know that is happening more and more in the market. If this bill passes, banks will be able to buy what are known as financial technology companies, which sell insurance.

One of the most vocal opponents was the Canadian Association of Mutual Insurance Companies, which wanted to speak to this topic but was flatly denied that opportunity by the Minister of Finance. The association pointed out that this would jeopardize the long-standing separation between banks and insurance in Canada. We are worried that this could be the thin edge of the wedge. The committee did not have enough time to make sure these provisions are enough to protect the separation between banks and insurance companies.

We also asked a number of questions about enhancing the Canada pension plan, which we think could really use it, considering the whole issue of attribution of earnings. I may come back to that during questions and comments.

We also strongly denounced the government's lack of rigour in passing the last part of the bill, which we finally studied at 9:45 p.m. We had only 15 minutes left to complete the study and we were examining major changes to the Criminal Code at the Standing Committee on Finance. In 15 minutes, and with just one witness, we had to decide whether the changes were appropriate or not. Asking the Standing Committee on Finance to approve such important changes to the Criminal Code is proof of the government's complete lack of rigour. Many people were critical of that.

I am pleased to have had the opportunity to tell the members of the House what happened at committee. We remain strongly opposed to most of the clauses in Bill C-74.

Speaker's RulingBudget Implementation Act, 2018, No. 1Government Orders

May 30th, 2018 / 9:05 p.m.
See context

Conservative

The Deputy Speaker Conservative Bruce Stanton

There are 409 motions in amendment standing on the Notice Paper for the report stage of Bill C-74. Motions Nos. 1 to 409 will be grouped for debate and voted upon according to the voting pattern available at the table.

I will now put Motions Nos. 1 to 409 to the House.

The House proceeded to the consideration of Bill C-74, An Act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures, as reported (with amendment) from the committee.

Main Estimates 2018-19Points of OrderRoutine Proceedings

May 30th, 2018 / 5:10 p.m.
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NDP

Daniel Blaikie NDP Elmwood—Transcona, MB

Mr. Speaker, thank you, and I thank my colleagues who have called for order in the chamber.

How do we know this is what the government has done? We know because on the one hand, the item “Making Employment Insurance more Responsive and Effective” appears in the main estimates annex for the budget implementation vote, seeking a little over $130 million in spending authority to implement the changes the budget tells us require legislative changes to implement.

However, we do not just glean this from the budget document. More important, the legislative changes contemplated in the budget document are currently in Bill C-74, the budget implementation act, 2018, No. 1, and that bill is currently before the House.

In the Department of Finance's briefing binder for the clause by clause review of that bill, we read, “Amendments are proposed to the Employment Insurance Act (EI Act) to make permanent the default rules of the current Working While on Claim pilot project.” This is essentially exactly what we are told the money is for in the proposed appropriation act. It then goes on to say, “Transitional provisions are proposed to allow claimants to revert to the rules of a previous pilot project on an optional basis.” Again this is the same language for which we are being told the money is being appropriated. Again, for the sake of time, Mr. Speaker, you can check out those documents on your own, but I think I have quoted enough to give you an idea.

These changes in the budget implementation act are clearly meant to authorize the program changes for which the government is seeking appropriations under the item “Making Employment Insurance more Responsive and Effective”. The budget implementation act is still before the House and has yet to go to the Senate. In other words, it is some ways away from being passed, even if the government acts on its propensity for time allocation in order to pass the budget implementation act through the House once it returns from committee, which it now has. Forgive me for the notes, having prepared them a little in advance. It will nevertheless have to pass through the other place.

We cannot prejudge how quickly the bill will pass in the other place. Nor do I think the possible use of time allocation would be a basis on which to say that the proposed allocation for this item would be in order. The cart is clearly before the horse in this case, and the vote ought therefore be ruled out of order.

It is likewise with the item “Ensuring Security and Prosperity in the Digital Age”. Under the rubric of Treasury Board vote 40, the government is seeking to appropriate a little over $100 million across eight different departments, including $43 million for the Communications Security Establishment. From the budget document, on page 203, we learn:

Canada's plan for security in the digital age starts with a strong federal cyber governance system to protect Canadians and their sensitive personal information. To that end, the Government proposes to commit $155.2 million over five years, and $44.5 million per year ongoing. to the Communications Security Establishment to create a new Canadian Centre for Cyber Security.

In order to establish the Canadian Centre for Cyber Security, the Government will introduce legislation to allow various Government cyber security functions to consolidate into the new Centre. Federal responsibility to investigate potential criminal activities will remain with the RCMP.

It is clear legislative changes to establish the new Canadian centre for cybersecurity are integral to the purpose for which the government is seeking to appropriate funds under the Treasury Board vote 40 item, “Ensuring Security and Prosperity in the Digital Age”.

It is also clear that the government has chosen to seek spending authority for this initiative without first obtaining the requisite legislative authority. The evidence that it has is undisputable, as the legislative measures required to establish the Canadian centre for cybersecurity are also in the budget implementation act, 2018 No. 1 currently before the House.

The Department of Finance's briefing binder for the clause by clause review of the bill reiterates verbatim the passages from the budget I just quoted, so I will spare you, Mr. Speaker, quoting from that document because the two are in fact exactly the same.

Once again, the budget implementation bill is currently before the House. It has not passed. It may not even be close to passing, though the timeline here is irrelevant.

To quote Speaker Jerome from March 21, 1977, the matters touch:

... very fundamentally upon the right of parliament to function, the right to examine the spending program and to control the spending program through parliamentary votes, which is perhaps the most fundamental aspect of the work of parliament.

In conjunction with that is the legislative role. It is clear that some statement ought to be attempted to separate those powers which the House possesses by way of supply and those powers which the House possesses by way of legislation. That is not a task that I look forward to with particular relish. It is an important task..

Clearly, the government is seeking to appropriate funds without first having established the legislative authority for the appropriation. It cannot assign funds to an entity that does not yet exist. This is a principle that at least some government departments seem to understand.

The government's pension for life initiative for veterans is announced in the budget, including an estimate of the cost. However, no request to appropriate funds was made in the estimates, and the departmental plan clearly states that legislative changes must be made before the department can include the expenditure in its financial plan. Presumably, the request for funding will come through a supplementary estimates after Parliament has passed the appropriate legislation.

There are other examples that are more vague. I was prepared to offer some detail, but I will try to go through it in a more rapid fashion. I will simply mention these examples.

The first one is the new intellectual property strategy. That is an item under vote 40. The language in the budget document very clearly contemplates the possibility of legislation as part of the program. The item “Modernizing Canada’s Regulatory Frameworks” also contemplates the possibility of legislation in order to realize the program for which it is requesting an appropriation of funds. The item “A New Process for Federal Election Leaders’ Debate” also very clearly contemplates the possibility of legislation in order to achieve the program purposes for which the government is seeking an appropriation of funds. The item “Stabilizing and Future Transformation of the Federal Government’s Pay Administration (Phoenix)” also contemplates legislative changes for the purpose for which it is requesting those funds.

What do all of these examples have in common? In all of these cases, the government is seeking an appropriation of funds under the main estimates. In all of these cases, the information we have, which is not always presented in the estimates but in the budget document instead, the government explicitly contemplates changes to legislation as an integral part of fulfilling the purpose for which it is seeking spending authority. In some cases, it seems more likely than in others that legislation would, strictly speaking, be required in order to spend the money toward accomplishing the program goal.

However, I humbly submit that while this level of uncertainty with respect to required legislative authority is perfectly acceptable in the budget, it is not acceptable in the estimates. Had these programs gone through the Treasury Board process, as items usually do before their inclusion in the estimates, we would have the necessary level of detail with respect to the programs contemplated in order to assess their legislative requirements. It is because of the novel mechanism of vote 40 that Parliament cannot make this assessment, a situation that undermines its ability to provide proper oversight of government spending and subverts the established supply processes of this place.

Some members may want to interject at this point and say, “But wait, vote 40 is structured in such a way as to prevent expenditures for which an appropriate legal mandate does not exist.” The problem with that defence is the question of who decides whether the appropriate legal mandate for certain expenditures exist.

Under the normal process, parliamentarians would be able to review appropriations and match them up with existing authorities prior to approving the estimates. If there were a dispute about proper authorities, Parliament would simply be able to withhold the funding until the problem was rectified.

Under vote 40, the funding would already be approved. Therefore, if the government goes ahead and spends money on a new program and reports on that in a supplementary estimates, and note I say “report” and not “request approval”, and a member suspects that the program requires new statutory authority, what is the member to do? The spending has been pre-approved and the money has been spent. Parliament cannot simply take it back.

The point here is that Parliament should be the arbiter of whether expenditures are within the legal mandate of the departments or organizations doing the spending. That is what our oversight role for government spending requires, and it is our right as the ultimate guardian of the public purse.

There you have it, Mr. Speaker. There are at least two items under vote 40 that are clearly out of order because they put the cart before the horse by requesting appropriations for measures that do not currently have the appropriate legal mandate. We know that because the legislative changes are currently before the House. The point is perhaps most succinctly put in Beauchesne's fifth edition, citation 486, where is says:

If a Vote in the Estimates relates to a bill not yet passed by Parliament, then the authorizing bill must become law before the authorization of the relevant Vote in the Estimates by an Appropriation Act.

The point was also clearly stated by Speaker Sauvé on June 21, 1982, when she said:

As I said in my ruling of June 12, 1981, an item that seeks to establish a new program in the absence of other legislative authority and the funds to put it into operation runs counter to the rulings of the Chair since 1974, which hold that legislation is required to authorize new programs, particularly matters of major substance.

This point was made again by Speaker Fraser on March 20, 1991, when he said:

It appears common ground in the arguments that have been made, first, that statutes ought not to be amended by means of items in the estimates; second, that authority to act in cases where statutory provisions already exist should be sought by the passage of amending legislation and only then the money to finance that action should be sought through appropriation acts...In both instances authority is sought, first, to implement the Senate committee report which recommended the allowances and, second, to pay the allowances. The very wording of the votes confirms that there is no existing statutory authority under which the allowances could be paid. If the statutory authority existed there would be no need to seek approval for implementation in this fashion. The type of authority sought here is akin to approval in principle and, as was made clear in the ruling of both Speakers Lamoureux and Jerome, should be sought through legislation other than appropriation bills.

That vote 40 does permit the establishment of new programs is clear in its wording. It does authorize the creation of new grants, and it said so. I do not have that wording because I have been trying to be brief, but I have referred to that wording in the past in other arguments. The caveat that they must conform to existing legal mandates is cold comfort to a Parliament that will have already authorized the disbursement of funds and finds out only after the fact how it was actually spent. Effectively, Parliament will have lost the power to decide for itself whether the government has acted within its legal mandate or whether legislative changes are required to authorize the new initiatives.

Beyond those two items, there are a number of others where it is unclear whether legislative changes would be required to legitimize expenditures that vote 40 seeks to authorize. Once again, in these cases, Parliament should get to judge once the program is adequately developed. This is ordinarily the case through the supply process as we know it, but the mechanism of vote 40 subverts that process and Parliament's power of oversight along with it.

Canada's constitutional monarchy is largely based on the British model, which developed largely through Parliament's efforts to limit or appropriate royal prerogative power. The most significant way in which it achieved that goal was by gaining control over public expenditures and the power to raise revenue. The creep of power does not always come by way of conniving maniacs. Sometimes it comes a little more gently with the sense of entitlement typical of those accustomed to power. Parliament is—

Extension of Sitting HoursGovernment Orders

May 29th, 2018 / 7:40 p.m.
See context

Liberal

Mark Gerretsen Liberal Kingston and the Islands, ON

Mr. Speaker, it is a pleasure to rise today to contribute to the debate on government Motion No. 22, which is an important motion. It addresses the manner in which the House will continue to work between now and when we eventually reach the summer break. It is important because it will allow us to make additional progress in advancing the agenda that Canadians have elected us to do in this place.

Motion No. 22 will also position the House to build on the good work that has already been accomplished by the committees and the work that the committees have put forward. I want to highlight that this is not just work that government members on the committees are doing; this is work that all parties and individuals on committees have been contributing to in order to get the legislation back to this place so it can be voted on before the summer break. That is really important.

A lot of the debate today has focused around government legislation, that it is only about what the government wants. Through my participation at committees and the work I have been able to do, I have seen that quite often committees have the ability to work really well together, to collaborate together, to work on a less hyper-partisan level than we seem to experience in this place, and quite often do come to compromises. I know that happens for me and my colleagues at the defence committee. We should all take great pride in that.

The problem is that if we do not have this motion, if we do not extend the sitting hours, we will be put into a situation where all the work we have done basically gets put on the table until the fall. That is why it is so important to do this.

I would like to highlight some of that important work the committees have done. Before I get to that, it is important to stress the fact that during the 2015 election, the governing party now, the Liberal Party at the time, of which I am a part of, made a commitment to strengthen parliamentary committees. In doing so, we were committing a new government's respect for the fundamental roles that parliamentarians played on committees in order to hold government to account.

This commitment included in the mandate letter of the government House leader that under the government, the parliamentary committees would be be freer and better equipped with legislation. One of the things out of a whole host of things that committees do differently now is the chairs are elected freely by the members. They are not appointed by the government. It is done with a secret ballot that allows members to freely express who they are putting forward as their selection for chair.

One of the other changes to committee recently was with respect to the addition of putting parliamentary secretaries on committees, but not in a voting capacity, in a capacity that they could be there to contribute when necessary. On the defence committee, parliamentary secretaries do not play a very active role, but they are there so they can stay informed about what the committee is doing. By not having a vote, it removes any potential interference that one might see coming from the minister's office into the committee.

The Standing Orders that enabled all this were passed in June 2017. In my opinion, and I think in the opinion of the majority of the people in the House, they have given committees the ability to genuinely act in a more open, transparent, and free manner.

I would like to quickly highlight some of the important legislation that is currently before Parliament that runs the risk of not being voted on and to be completed and enacted before the end of this session.

The first one I would like to speak to is Bill C-59, which was before the Standing Committee on Public Safety and National Security. The bill, the national security act, 2017, began in November 2017 and extended to clause-by-clause review in April 2018. This committee literally spent five or six months working on this legislation.

For anybody to suggest that the government somehow does not want committees to have full participation and input is absolutely ridiculous, when we consider the Standing Committee on Public Safety and National Security spent up to six months on the legislation.

Bill C-59 fulfill's the government's commitment to keep Canadians safe, while safeguarding the rights and freedoms of Canadians.

Members might remember the bill that was introduced by the previous government, Bill C-51, which ended up with massive public outcry and complaints about its infringement upon the rights and freedoms of individuals. During the election, a commitment was made to ensure new legislation would come forward. Now we have seen upward of five to six months of committee deliberation on that work. It is important to note that the committee adopted over 40 amendments to bring greater clarity, transparency, and accountability to the bill.

Another bill before the same committee is Bill C-71, an act to amend certain acts and regulations in relation to firearms. We know this is another thing about which Canadians are extremely concerned. Bill C-71 would enhance background checks on those seeking to obtain firearms. It would make background checks in the existing licensing system more effective. It would also standardize best practices among retailers to maintain adequate inventory and sales records that would be accessible to police officers.

Bill C-71 would also ensure that a classification of firearms would be done in an impartial, professional, and accurate manner, consisting of resorting to a system in which Parliament would define the classes of authorities, but leave would it to experts within the RCMP to determine firearms classification specifically. The most important part of that would be leaving the political influence out of it.

As we can see, Bill C-71 is an important bill that would contribute to public safety. That is why it is so critical to ensure it has an opportunity to come back to the House to be voted on before we break for the summer.

The biggest bill, and in my opinion the most important bill that would do the most for Canadians, is Bill C-74, the budget implementation act. This bill would affect every Canadian from coast to coast. It would increase the opportunities for people to have a fair chance at success, in particular those who are struggling.

The budget implementation act would specifically introduce things like a Canada workers benefit to assist low-income workers. It would index the Canada child benefit to help nine out of 10 Canadian families. It would lower the taxes on small business. It would put in better supports for veterans. It is absolutely critical to have the bill work its way through the finance committee and the deliberations it has with Canadians throughout the country, so it can come back to the House and we can vote on it in a timely fashion.

I have so many more examples of other legislation before committee right now. However, for all of these reasons, it is so important we pass the motion now to allow us to sit later into the evenings so we can ensure we complete the work Canadians have put us here to do.

I want to take two more minutes to speak specifically to the amendments that have come forward today. I know there has been a lot of discussion about the proportion of time being spent on government business versus the proportion of time being spent on opposition motions and opposition days. This is not about proportioning of government versus opposition. This is about ensuring we can put more items on the agenda. That is why it is important to ensure we sit later into the evenings so we can do exactly that. The items I am speaking about are ones that have been collaborated on in committees by all members of all parties of the House.

That is why I personally cannot support the amendments. I do not think that they are particularly good amendments, because they are not going after what we need to do, which is to examine more pieces of legislation, as opposed to proportionally growing the amount of time that each political party gets, which is unfortunately the partisan nature that this debate has been put into.

With that, I see that we are approaching the end of the debate on this matter. I would like to leave an opportunity for people to ask questions. I am happy to entertain those at this time.

Extension of Sitting HoursGovernment Orders

May 29th, 2018 / 6:45 p.m.
See context

Liberal

Hedy Fry Liberal Vancouver Centre, BC

Mr. Speaker, I have been listening with interest to the discussion and debate in the House on this particular motion, Motion No. 22, and I am rising to support the motion.

I have been in this place for a very long time and I have watched political gamesmanship come and go. I have watched, when we were in opposition, all these little games being played occasionally. However, I think what we are talking about right now is that there are still some important government bills that need to be finished. Let us just pick one.

Let us look at Bill C-74, the Budget Implementation Act, 2018, No. 1. I understand and I heard very clearly the debate from the hon. member that this is not going to be fair, that the government had a long time, and that it could have done a lot of things. This may or may not be true; that is not the issue. The point is that there are some things in our budget implementation bill that must come to pass in a certain period of time.

Let us look, for instance, at the Canada child benefit, which is being indexed starting in July this summer, and what will happen if we do not finish the debate on it or if we do not get it passed. If we do not get that done, middle-class families will not get the benefit of the indexation.

There is the workers benefit plan. If we do not get this debate done, workers will not be able to take advantage of that extra $500 that they may get, especially if they are making $15,000 a year. That could help them out over the rest of the time.

One could argue about how many angels dance on the head of a pin, who said what, when they said it, and what this is all going to mean if it is or is not fair. At the end of the day, who is it supposed to be fair to? It is supposed to be fair to our constituents. It is supposed to be fair to Canadians. Canadians need to get the benefit of some of the things that are happening in these bills.

Let us look at the issue of pollution. In this House today, we are talking a lot about the environment and pollution, etc. The indexing of carbon needs to start. It needs to move forward. There are 67 nations in the world that have a carbon price, so let us get moving on this. Let us start getting money in and money out, and getting that money back into provinces so that they can start moving. Then we could get the greenhouse gas emissions down, and some other things could come about from the indexing of carbon.

Let us look at Norway. For me, this is the finest example of what a carbon tax could do. Norway started a carbon tax way back, with their former prime minister Gro Harlem Brundtland. All of the oil companies decided that they hated it, but they paid it, and that moved them forward to start doing technology and changing to clean technology in terms of oil and bringing down their greenhouse gases. I think they are the fifth-largest oil producer in the world, but they are number one in terms of environmental sustainability and they are no longer paying a tax.

I hear sometimes from across the way, especially from the hon. members of the official opposition, that this measure is going to kill the economy. Norway has the highest per capita income in the world. All of the Norwegians are enjoying the benefits. The money is going into social programs. It is going into making sure that Norway is a better place for quality of life. When we look at some of these things, we see that we have to get moving.

British Columbia has had a carbon tax, I think for about 10 or 12 or 15 years. Now British Columbia is the number one performing economy in Canada. British Columbia is actually creating more jobs, and we are seeing better employment in British Columbia than in anywhere else across the country. Let us get moving on some of these things.

The point is that we need to move forward with the initiatives that we need to finish before we rise. We all want to go back to our ridings and enjoy the summer, spending time with our families and our constituents. Our constituents need us to roll up our sleeves and get moving here. Let us forget whatever gamesmanship we want to play and who said what and where and when, and who is right or wrong, and let us just get this done for Canadians.

Let us just move forward and do it. I do not understand why this is so difficult to comprehend. When we look at all the people who are waiting for these bills to move forward, we see it is really time to start talking about how to do things to change it.

Let us talk about, for instance, Bill C-65, which addresses harassment and violence in the workplace. Let us get this done, get it moving, so that we can diminish the amount of harassment and violence in the workplace. We know that this is important. If we do not get this done before we rise, and we wait until we come back in the fall, what will happen is that it will continue for an extra three months.

We passed Bill C-66, on which all of us came together. That was a shining example, in my opinion, of how well we can work when we care and when we put Canadians first. Let us look at the expunging of the records of LGBTQ2+ Canadians who were convicted of offences involving consensual sexual activity. The bill was introduced on the same day the Prime Minister delivered his apology. Everyone in this House came together. We moved forward, and those affected are going to be able to get compensation. We can do things when we want to.

Sometimes I think the politics get in the way of getting the work done. Let us all agree that we need to get this done. Working later hours means that we can get to some of these important pieces of legislation that must be passed for the benefit of Canadians. This is what I am getting to. If we have these extended sittings, one can actually discuss and debate the bills and do what we need to do with these bills. The motion would give us time for that extra debate on those bills.

At least before we rise for the summer, we would be able to say to Canadians that we worked hard; some of us did not like it or think it was fair or the the right thing to do, but we were putting them first. I think we sometimes forget to do that in this place. We forget who we are serving and why we should be serving them in a very efficient and effective manner. Tricks and tactics are cute. Everyone gets a “gotcha” and “my strategy is better than yours”, but sometimes we have to put that aside for the benefit of the people who elected us.

Let us think of what we need to get going on and agree on in terms of British Columbia and New Brunswick, which are facing flooding. We know that in British Columbia, there are chances of fires over this very hot summer, which may be another thing we have to deal with. Therefore, let us put in place some kind of process so we can move forward and get help to them.

On Bill C-74, the budget implementation bill, we have seen amendments come from the standing committee. Let us deal with those amendments. Let us look at this and talk about how we get going. We are talking about the Canada child benefit, which is the biggest one I can think of for the middle class. I know that families are waiting for this to give them the extra money they need to help their children. Time is of the essence when we are looking at putting money in people's pockets. Not only that, but once we index it with this bill, it is going to assist indigenous communities. Many do not know that they are eligible or that they need to apply. They need to know how to apply for this money, and it is important for them.

As I said, the new workers benefit, the CWB, will allow Canadians to take home more money while they work, and it will encourage Canadians to enter the labour market. Some of the other pieces in the budget implementation bill will help to create a work-life balance for people in this House and women and men who are working and trying to bring up their children. They are worried that they do not have the time for anything, that they are neither fish nor fowl, they are neither workers nor parents.

Let us move forward and be generous with our time in terms of helping Canadians. We can look at some of the work to do in this House that will not only help middle-class Canadians but also move the economy forward, get people working, and get more jobs going in the summer. I am not being condescending, but we all know that sometimes, for our constituents, a month, two months, or a year is what they need to get moving to live the quality of life they want. Let us get moving on some of these things.

We can look at the Minister of Democratic Reform. I do not necessarily agree or disagree with any of the arguments that have been made, but at the end of the day, we need time to move forward, with the election coming up.

I know that some members have said that we did not do it, and so now what? Who are we punishing when we do not do it and say we could have done it and should have done it, and now we are running late? At the end of the day, getting work done is not about saying “woulda, coulda, shoulda” and that we have a timeline. Let us just put aside some of the scoring of points we try to do in this place. It would really help Canadians in feeling that they can trust their politicians, that politicians sometimes care about them more than about scoring points and creating tactics and “gotcha” moments in the House.

We can look at tax reform in Bill C-74, for instance. We are talking about the fact that small and medium-sized businesses can use the corporate tax savings to help themselves get about $7,500 a year so they can expand their businesses. In so doing, they can create more jobs. It would help people come summer and moving on into the fall. They can bring new capital investments. Those are some of the things we are talking about.

We also know there are loopholes for large private corporations and that they use the loopholes to avoid paying taxes. Let us fix that. Let us get some of these things moving. It may be the unintended tax advantage they are looking for. Let us fix it. Let us move on and get some of these things done.

I will go back to carbon pricing. Right now, everyone is debating carbon pricing and what is happening with carbon, greenhouse gas emissions, and the Paris agreement. Let us get it moving. Every time we delay things here in the House, we are making Canadians lag behind. We are putting things on hold, when we know that time is of the essence. Again, I am not necessarily disagreeing with people who say that we had an opportunity to do it but we did not and that we are not giving the opposition enough time to get their pieces on the table.

Right now we have legislation on the table that has to be passed for the benefit of Canadians. I will reiterate. Let us put aside all the tactics we are employing in the House, all the gamesmanship, and come together, as we have shown we can. We did it with the LGBTQ2+ issue. Let us show that we can come together for the benefit of Canadians, because that is what we were elected to do.

There will always be enough time for gamesmanship and pointing fingers. However, the environment, the economy, and jobs are very important things. Look at the changes we are proposing in terms of making Parliament more open and transparent. We have promised to give the Canadian public a bigger say when looking at projects and when planning, and so on. We can get better input from them. Let us get that going. The summer gives Canadians an opportunity to start thinking about these things and having input.

Let us talk about parliamentary committees. I remember being in opposition when the parliamentary committee system was run by the parliamentary secretary, and we had to do what the parliamentary secretary said. They got the agenda going and nobody listened to anyone. We said we were going to change it. We came in, and we did. Parliamentary secretaries sit on committees, because they need to hear what is going on so they can go back to the minister and say what people are debating. However, they have no vote. They cannot run the show anymore. It is now far more democratic in parliamentary committees.

Having chaired a committee myself, I can say that now everyone is busy debating the issues and people are agreeing on so many things. I look to my seatmate here, who is chair of the finance committee. The finance committee is doing yeoman's work. It is changing things and making amendments that are making a difference, and it is all because Parliament is working a whole lot better.

I could go on, but I am not going to. I just want to make a plea. We have made our points in the debate in the House that the government is dragging its feet or not dragging its feet. Members have made their points. Let us now get on with the work. Let us roll up our sleeves and work the extra hours. Let Canadians see that we are committed to them, to the work we need to do, and to the reason we were elected, and let us just get things done.

FinanceCommittees of the HouseRoutine Proceedings

May 28th, 2018 / 3:05 p.m.
See context

Liberal

Wayne Easter Liberal Malpeque, PE

Mr. Speaker, I have the honour to present, in both official languages, the 23rd report of the Standing Committee on Finance in relation to Bill C-74, an act to implement certain provisions of the budget tabled in Parliament on February 27, 2018 and other measures. The committee has studied the bill and has decided to report the bill back to the House with amendments.