Mr. Speaker, I will be sharing my time with the member for Humber River—Black Creek.
We are talking about Bill C-76. I had the privilege of serving on the Standing Committee on Procedure and House Affairs to participate in the debate on this bill and to better understand the review of the Canada Elections Act.
I join members in support of Bill C-76, the elections modernization act. Later on I will talk more specifically about the changes this bill makes to the rules governing political party spending.
All Canadians have concerns about the undue influence of money in the democratic process. According to existing rules, political parties must, in accordance with the Canada Elections Act, disclose the source of their money, so that the political fundraising and spending process is fairer and more transparent.
Political parties started to declare their expenses in 1974, after the Election Expenses Act was passed. Since 2004, riding associations, nomination contestants and leadership candidates have also had to disclose where the money comes from and where it is spent. Since 2007, companies and unions have been banned from making political contributions.
In 2014, contribution limits were raised for both parties and candidates, and rules were introduced around increasing spending limits if election campaigns were expected to last longer than the 37-day minimum mandated by law.
The time has now come to take the next step in addressing campaign spending limits for political parties and third parties. These changes are being made in response to the impact of fixed election dates on spending. After all, it is now much easier for political parties and third parties to plan their spending on political ads and ads about specific issues. Election campaigning can start well before the writ is dropped.
Canadians want to know elections are fair. That is why the Prime Minister mandated the Minister of Democratic Institutions to review the limits on the amounts political parties and third parties can spend during elections.
The bill before us would limit the length of the campaign, eliminate the proportional spending limit increase during the campaign, and limit pre-writ political ad spending. By limiting the writ period to 50 days, this bill will provide parties with greater certainty and enable them to better manage their spending.
Everyone here remembers the 2015 election, which lasted 78 days. Under the rules in effect at the time, for every day beyond 37 days of campaigning, the spending limits were increased by one thirty-seventh of the basic limit. In 2015, the national parties therefore had an upper limit of roughly $55 million.
No party reached that limit, but the last electoral marathon resulted in significant reimbursements. During the 78-day electoral period in 2015, reimbursements for all the political parties and candidates totalled roughly $102 million. By comparison, during the previous period in 2011, reimbursements totalled only $61 million. That is a big difference.
Taxpayers might ask the following question: what was the added value of the $41 million paid back to the political parties? They might also ask whether such high electoral spending had an undue influence on our elections. For example, does this give an advantage to the party in power? Under the current rules, the party in power can manipulate the duration of the electoral period according to the size of its financial reserves relative to the reserves of the other parties.
The bill removes the prorated increase in the spending limit for all political participants. This will help save taxpayers' money. Perhaps more importantly, this will help allay concerns over the influence money has on our elections and the perception that the prorated increase unfairly benefits the party in power.
I will now talk about the pre-writ period. Under the current rules, outside election periods, political parties are subject to limits on individual contributions but not on spending.
Establishing fixed dates for federal elections has allowed political parties and other political entities to plan their spending during the pre-writ period, so as to avoid some of the constraints associated with the election period.
This raises concerns about the undue influence of big money. We want to ensure that the voices of political parties or other political entities with the most cash flow do not drown out other voices as Canadians turn their attention to electoral issues.
For the pre-writ period, which begins June 30 in a fixed-date election year, the bill sets a $1.5-million spending limit for political parties. It also proposes spending limits for third parties during that period.
The June 30 date was chosen because Parliament is unlikely to be sitting at that time. In a fixed-date election year, the business of Parliament is likely to have been completed by June 30 at the latest in preparation for an election in mid-October. That is when campaigning really begins in earnest. That is when spending limits should apply. Voters can therefore feel certain that the voices of those with bulging coffers do not drown out the other voices. This is fair and vital to our democracy.
Canadians can be proud of the measures taken here in Canada to limit the influence of big money on our electoral process. This system continues to evolve as our democracy evolves. Establishing fixed election dates has presented new challenges in terms of maintaining fairness and transparency in our electoral system, and Bill C-76 will help us overcome those challenges.
I urge all members of the House to join me in supporting this bill.