Bill C-30 (Historical)

Budget Implementation Act, 2021, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on April 19, 2021 and other measures

Part 1 implements certain income tax measures by
(a) providing relieving measures in connection with COVID-19 in respect of the use by an employee of an employer-provided automobile for the 2020 and 2021 taxation years;
(b) limiting the benefit of the employee stock option deduction for employees of certain employers;
(c) providing an adjustment for payments or repayments of government assistance in determining capital cost allowance for certain zero-emission vehicles;
(d) expanding the scope of the foreign affiliate dumping rules to further their objectives;
(e) providing change in use rules for multi-unit residential properties;
(f) establishing rules for advanced life deferred annuities;
(g) providing for an option to deduct repaid emergency benefit amounts in the year of benefit receipt and clarifying the tax treatment of non-resident beneficiaries;
(h) removing the time limitation for a registered disability savings plan to remain registered after the cessation of a beneficiary’s eligibility for the disability tax credit and modifying grant and bond repayment obligations;
(i) increasing the basic personal amount for certain taxpayers;
(j) providing a temporary special reading of certain rules relating to the child care expense deduction and the disability supports deduction for the 2020 and 2021 taxation years;
(k) providing flow-through share issuers with temporary additional time to incur eligible expenses to be renounced to investors under their flow-through share agreements;
(l) applying the short taxation year rule to the accelerated investment incentive for resource expenditures;
(m) introducing the Canada Recovery Hiring Program refundable tax credit to support the post-pandemic recovery;
(n) amending the employee life and health trust rules to allow for the conversion of health and welfare trusts to employee life and health trusts;
(o) expanding access to the Canada Workers Benefit by revising the applicable eligibility thresholds for the 2021 and subsequent taxation years;
(p) amending the income tax measures providing support for Canadian journalism;
(q) clarifying the definition of shared-custody parent for the purposes of the Canada Child Benefit;
(r) revising the eligibility criteria, as well as the level of subsidization, under the Canada Emergency Wage Subsidy (CEWS) and Canada Emergency Rent Subsidy (CERS), extending the CEWS and the CERS until September 25, 2021, providing authority to enable the extension of these subsidies until November 30, 2021, and ensuring that the level of CEWS benefits for furloughed employees continues to align with the benefits provided through the Employment Insurance Act until August 28, 2021;
(s) preventing the use by mutual fund trusts of a method of allocating capital gains or income to their redeeming unitholders where the use of that method inappropriately defers tax or converts ordinary income into capital gains;
(t) extending the income tax deferral available for certain patronage dividends paid in shares by an agricultural cooperative corporation to payments made before 2026;
(u) limiting transfers of pensionable service into individual pension plans;
(v) establishing rules for variable payment life annuities;
(w) preventing listed terrorist entities under the Criminal Code from qualifying as registered charities and providing for the suspension or revocation of a charity’s registration where it makes false statements for the purpose of maintaining registration;
(x) ensuring the appropriate interaction of transfer pricing rules and other rules in the Income Tax Act;
(y) preventing non-resident taxpayers from avoiding Canadian dividend withholding tax on compensation payments made under cross-border securities lending arrangements with respect to Canadian shares;
(z) allowing for the electronic delivery of requirements for information to banks and credit unions;
(aa) improving existing rules meant to prevent taxpayers from using derivative transactions to convert ordinary income into capital gains;
(bb) extending to a wider array of eligible automotive equipment and vehicles the 100% capital cost allowance write-off for business investments in certain zero-emission vehicles;
(cc) ensuring that the accelerated investment incentive for depreciable property applies properly in particular circumstances; and
(dd) providing rules for contributions to a specified multi-employer plan for older members.
It also makes related and consequential amendments to the Excise Tax Act, the Air Travellers Security Charge Act, the Excise Act, 2001, the Greenhouse Gas Pollution Pricing Act, the Income Tax Regulations and the Canada Disability Savings Regulations.
Part 2 implements certain Goods and Services Tax/Harmonized Sales Tax (GST/HST) measures by
(a) temporarily relieving supplies of certain face masks and face shields from the GST/HST;
(b) ensuring that non-resident vendors supplying digital products or services (including traditional services) to consumers in Canada be required to register for the GST/HST and to collect and remit the tax on their taxable supplies to consumers in Canada;
(c) requiring distribution platform operators and non-resident vendors to register under the normal GST/HST rules and to collect and remit the GST/HST in respect of certain supplies of goods shipped from a fulfillment warehouse or another place in Canada;
(d) applying the GST/HST on all supplies of short-term accommodation in Canada facilitated through a digital platform;
(e) expanding the eligibility for the GST rebate for new housing;
(f) expanding the definition of freight transportation service for the purposes of the GST/HST;
(g) extending the application of the drop-shipment rules for the purposes of the GST/HST;
(h) treating virtual currency as a financial instrument for the purposes of the GST/HST; and
(i) clarifying the GST/HST holding corporation rules and expanding those rules to holding partnerships and trusts.
It also makes related and consequential amendments to the New Harmonized Value-added Tax System Regulations, No. 2.
Part 3 implements certain excise measures by increasing excise duty rates on tobacco products by $4.‍00 per carton of 200 cigarettes along with corresponding increases to the excise duty rates on other tobacco products.
Part 4 enacts an Act and amends several Acts in order to implement various measures.
Division 1 of Part 4 amends the Canada Deposit Insurance Corporation Act to, among other things,
(a) specify the steps that an assessor must follow when they review a determination of the Canada Deposit Insurance Corporation with respect to the payment of compensation to certain persons;
(b) clarify that the determination of whether or not persons are entitled to compensation is to be made in accordance with the regulations;
(c) prevent a person from taking certain actions in relation to certain agreements between the person and a federal member institution by reason only of a monetary default by that institution in the performance of obligations under those agreements if the default occurs in the period between the making of an order directing the conversion of that institution’s shares or liabilities and the occurrence of the conversion;
(d) require certain federal member institutions to ensure that certain provisions of that Act — or provisions that have substantially the same effect as those provisions — apply to certain eligible financial contracts, including those contracts that are subject to the laws of a foreign state;
(e) exempt eligible financial contracts between a federal member institution and certain entities, including Her Majesty in right of Canada, from a provision of that Act that prevents certain actions from being taken in relation to those contracts; and
(f) extend periods applicable to certain restructuring transactions for financial institutions.
It also amends the Payment Clearing and Settlement Act to
(a) specify the steps that an assessor must follow when they review a determination of the Bank of Canada with respect to the payment of compensation to certain persons or entities; and
(b) clarify that systems or arrangements for the exchange of payment messages for the purpose of clearing or settlement of payment obligations may be overseen by the Bank of Canada as clearing and settlement systems.
Finally, it amends not-in-force provisions of the Canada Deposit Insurance Corporation Act, enacted by the Budget Implementation Act, 2018, No. 1, so that, under certain circumstances, an error or omission that results in a failure to meet a requirement of the schedule to the Canada Deposit Insurance Corporation Act will not prevent a deposit from being considered a separate deposit.
Division 2 of Part 4 amends the Bank of Canada Act to authorize the Bank of Canada to publish certain information about unclaimed amounts.
It also amends the Pension Benefits Standards Act, 1985 with respect to the transfer of pension plan assets relating to the pension benefit credit of any person who cannot be located to, among other things,
(a) limit the circumstances in which such assets may be transferred and specify conditions for the transfer; and
(b) specify the effects of a transfer on any claims that may be made in respect of those assets.
Finally, it amends the Trust and Loan Companies Act and the Bank Act to
(a) include amounts that are not in Canadian currency in the unclaimed amounts regime; and
(b) impose additional requirements on financial institutions in connection with their transfers of unclaimed amounts to the Bank of Canada and communications with the owners of those amounts.
Division 3 of Part 4 amends the Budget Implementation Act, 2018, No. 2 to exclude certain businesses from the application of a provision of the Bank Act that it enacts, which allows certain agreements that have been entered into with banks to be cancelled.
Division 4 of Part 4 amends the Trust and Loan Companies Act, the Bank Act and the Insurance Companies Act to extend the period during which federal financial institutions governed by those Acts may carry on business to June 30, 2025.
Division 5 of Part 4 amends the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) to
(a) provide that the entities referred to in that Act are no longer required to disclose to the principal agency or body that supervises or regulates them the fact that they do not have in their possession or control any property of a foreign national who is the subject of an order or regulation made under that Act; and
(b) change the frequency with which those entities are required to disclose to the principal agency or body that supervises or regulates them the fact that they have such property in their possession or control from once a month to once every three months.
Division 6 of Part 4 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to
(a) extend the application of Part 1 of that Act to include persons and entities engaged in the business of transporting currency or certain other financial instruments;
(b) provide that the Financial Transactions and Reports Analysis Centre make assessments to be paid by persons or entities to which Part 1 applies, based on the amount of certain expenses incurred by the Centre, and to authorize the Governor in Council to make regulations respecting those assessments;
(c) amend the definitions of designated information to include certain information associated with virtual currency transactions and widely held or publicly traded trusts that the Centre can disclose to law enforcement or other governmental bodies;
(d) change the maximum penalties for summary conviction offences;
(e) expand the list of persons or entities that are not eligible for registration with the Centre; and
(f) make other technical amendments.
Division 7 of Part 4 enacts the Retail Payment Activities Act, which establishes an oversight framework for retail payment activities. Among other things, that Act requires certain payment service providers to identify and mitigate operational risks, safeguard end-user funds and register with the Bank of Canada. That Act also provides the Minister of Finance with powers to address risks related to national security that could be posed by payment service providers. This Division also makes related amendments to the Canada Deposit Insurance Corporation Act, the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, the Financial Consumer Agency of Canada Act and the Payment Card Networks Act.
Division 8 of Part 4 amends the Pension Benefits Standards Act, 1985 to establish new requirements and grant new regulation-making powers to the Governor in Council with respect to negotiated contribution plans.
Division 9 of Part 4 amends the First Nations Fiscal Management Act to allow First Nations that are borrowing members of the First Nations Finance Authority to assign their rights to certain revenues payable by Her Majesty in right of Canada, for the purpose of securing financing for that Authority’s borrowing members.
Division 10 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to, among other things, increase the maximum amount of a fiscal stabilization payment that may be made to a province and to make technical changes to the calculation of fiscal stabilization payments.
Division 11 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to authorize additional payments to the provinces and territories.
Division 12 of Part 4 authorizes payments to be made out of the Consolidated Revenue Fund in relation to Canada’s COVID-19 immunization plan.
Division 13 of Part 4 authorizes payments to be made out of the Consolidated Revenue Fund in relation to infrastructure and amends the heading of Part 9 of the Keeping Canada’s Economy and Jobs Growing Act.
Division 14 of Part 4 authorizes amounts to be paid out of the Consolidated Revenue Fund, to a maximum total amount of $3,056,491,000, for annual payments to Newfoundland and Labrador in accordance with the terms and conditions of the Hibernia Dividend Backed Annuity Agreement.
Division 15 of Part 4 amends the Nova Scotia and Newfoundland and Labrador Additional Fiscal Equalization Offset Payments Act to authorize the Minister of Finance to make an additional fiscal equalization offset payment to Nova Scotia for the 2020–2021 fiscal year and to extend that Minister’s authority to make additional fiscal equalization offset payments to Nova Scotia until March 31, 2023.
Division 16 of Part 4 amends the Telecommunications Act to provide that decisions made by the Canadian Radio-television and Telecommunications Commission on whether or not to allocate funding to expand access to telecommunications services in underserved areas are not subject to review under section 12 or 62 of that Act but are subject to review by the Commission on its own initiative. It also amends that Act to provide for the exchange of information within the federal government and with provincial governments for the purpose of coordinating financial support for access to telecommunications services in underserved areas.
Division 17 of Part 4 amends the Canada Small Business Financing Act to, among other things,
(a) specify that lines of credit are loans;
(b) set a limit on the liability of the Minister of Small Business and Tourism in respect of each lender for lines of credit;
(c) remove the restriction excluding not-for-profit businesses, charitable businesses and businesses having as their principal object the furtherance of a religious purpose as eligible borrowers;
(d) increase the maximum amount of all loans that may be made in relation to a borrower under that Act; and
(e) provide that lesser maximum loan amounts may be prescribed by regulation for loans other than lines of credit, lines of credit and prescribed classes of loans.
Division 18 of Part 4 amends the Customs Act to change certain rules respecting the correction of declarations made under section 32.‍2 of that Act, the payment of interest due to Her Majesty and securities required under that Act, and to define the expression “sold for export to Canada” for the purposes of Part III of that Act.
Division 19 of Part 4 amends the Canada–United States–Mexico Agreement Implementation Act to require the concurrence of the Minister of Finance when the Minister designated for the purposes of section 16 of that Act appoints panellists and committee members and proposes the names of individuals for rosters under Chapter 10 of the Canada–United States–Mexico Agreement.
Division 20 of Part 4 amends Part 5 of the Department of Employment and Social Development Act to make certain reforms to the Social Security Tribunal, including
(a) changing the criteria for granting leave to appeal and introducing a de novo model for appeals of decisions of the Income Security Section at the Appeal Division;
(b) giving the Governor in Council the authority to prescribe the circumstances in which hearings may be held in private; and
(c) giving the Chairperson of the Social Security Tribunal the authority to make rules of procedure governing appeals.
Division 21 of Part 4 amends the definition of “previous contractor” in Part I of the Canada Labour Code in order to extend equal remuneration protection to employees who are covered by a collective agreement and who work for an employer that
(a) provides services at an airport to another employer in the air transportation industry; or
(b) provides services to another employer in another industry and at other locations that may be prescribed by regulation.
Division 22 of Part 4 amends Part III of the Canada Labour Code to establish a federal minimum wage of $15 per hour and to provide that if the minimum wage of a province or territory is higher than the federal minimum wage, the employer is to pay a minimum wage that is not less than that higher minimum wage. It also provides that, except in certain circumstances, the federal minimum wage per hour is to be adjusted upwards annually on the basis of the Consumer Price Index for Canada.
Division 23 of Part 4 amends the provisions of the Canada Labour Code respecting leave related to the death or disappearance of a child in cases in which it is probable that the child died or disappeared as a result of a crime, in order to, among other things,
(a) increase the maximum length of leave for a parent of a child who has disappeared from 52 weeks to 104 weeks;
(b) extend eligibility to parents of children who are 18 years of age or older but under 25 years of age; and
(c) limit the exception that applies in the case of a parent of a child who has died as a result of a crime if it is probable that the child was a party to the crime so that the exception applies only with respect to a child who is 14 years of age or older.
Division 24 of Part 4 authorizes the Minister of Employment and Social Development to make a one-time payment to Quebec for the purpose of offsetting some of the costs of aligning the Quebec Parental Insurance Plan with temporary measures set out in Part VIII.‍5 of the Employment Insurance Act.
Division 25 of Part 4 amends the Judges Act to provide that, if the Canadian Judicial Council recommends that a judge be removed from judicial office, the time counted towards the judge’s pension entitlements will be frozen and their pension contributions will be suspended, as of the day on which the recommendation is made. If the recommendation is rejected, the judge’s pension contributions will resume, the time counted towards their pension entitlement will include the suspension period and the judge will be required to make all the contributions that would have been required had the contributions never been suspended.
Division 26 of Part 4 amends the Federal Courts Act and the Tax Court of Canada Act to increase the number of judges for the Federal Court of Appeal by one and the number of judges for the Tax Court of Canada by two. It also amends the Judges Act to authorize the salary for the new Associate Chief Justice for the Trial Division of the Supreme Court of Newfoundland and Labrador and the salaries for the following new judges: five judges for the Ontario Superior Court of Justice, two judges for the Supreme Court of British Columbia and two judges for the Court of Queen’s Bench for Saskatchewan.
Division 27 of Part 4 amends the National Research Council Act to provide the National Research Council of Canada with the authority to engage in the production of “drugs” or “devices”, as those terms are defined in the Food and Drugs Act, for the purpose of protecting or improving public health. It also amends that Act to provide authority for the incorporation of corporations and the acquisition of shares in corporations.
Division 28 of Part 4 amends the Department of Employment and Social Development Act in relation to the collection and use of Social Insurance Numbers by the Minister of Labour.
Division 29 of Part 4 amends the Canada Student Loans Act to provide that, during the period that begins on April 1, 2021 and ends on March 31, 2023, no interest is payable by a borrower on a guaranteed student loan.
It also amends the Canada Student Financial Assistance Act to provide that, during the period that begins on April 1, 2021 and ends on March 31, 2023, no interest is payable by a borrower on a student loan.
Finally, it amends the Apprentice Loans Act to provide that, during the period that begins on April 1, 2021 and ends on March 31, 2023, no interest is payable by a borrower on an apprentice loan.
Division 30 of Part 4 confirms the validity of certain regulations in relation to the cancellation or postponement of certain First Nations elections.
Division 31 of Part 4 amends the Old Age Security Act to increase the Old Age Security pension payable to individuals aged 75 and over by 10%. It also provides that any amount payable in relation to a program to provide a one-time payment of $500 to pensioners who are 75 years of age or older may be paid out of the Consolidated Revenue Fund.
Division 32 of Part 4 amends the Public Service Employment Act to, among other things,
(a) require that the establishment and review of qualification standards and the use of assessment methods in respect of appointments include an evaluation of whether there are biases or barriers that disadvantage persons belonging to any equity-seeking group;
(b) provide that audits and investigations may include the determination of whether there are biases or barriers that disadvantage persons belonging to any equity-seeking group; and
(c) give permanent residents the same preference as Canadian citizens in external advertised appointment processes.
Division 33 of Part 4 authorizes the making of payments to the provinces for early learning and child care for the fiscal year beginning on April 1, 2021.
Division 34 of Part 4 amends the Canada Recovery Benefits Act to, among other things,
(a) provide that the maximum number of two-week periods in respect of which a Canada recovery benefit is payable is 25;
(b) reduce the amount of a Canada recovery benefit for a week to $300 in certain circumstances;
(c) provide that certain persons who were paid benefits under the Employment Insurance Act are eligible to be paid a Canada recovery benefit in certain circumstances;
(d) provide that the maximum number of weeks in respect of which a Canada recovery caregiving benefit is payable is 42; and
(e) provide that the Governor in Council may, by regulation, on the recommendation of the Minister of Employment and Social Development and the Minister of Finance, amend certain provisions of that Act to replace the date of September 25, 2021 by a date not later than November 20, 2021.
It also amends the Canada Labour Code to provide that the maximum number of weeks of leave for COVID-19 related caregiving responsibilities is 42.
Finally, it repeals provisions of the Canada Recovery Benefits Regulations and the Canada Labour Standards Regulations.
Division 35 of Part 4 amends the Employment Insurance Act to, among other things,
(a) facilitate access to unemployment benefits for a period of one year by
(i) reducing the number of hours of insurable employment required to qualify for unemployment benefits to a national threshold of 420 hours,
(ii) reducing the amount of earnings from self-employment that a self-employed person is required to have to be eligible to access special unemployment benefits,
(iii) providing that only a claimant’s most recent separation from employment will be considered in determining whether they qualify for unemployment benefits,
(iv) ensuring that earnings paid to a person because of the complete severance of their relationship with their former employer do not extend the person’s benefit period, and
(v) providing for an increase in the maximum number of weeks for which regular unemployment benefits may be paid to a seasonal worker if certain conditions are met; and
(b) extend the maximum number of weeks for which benefits may be paid because of a prescribed illness, injury or quarantine from 15 to 26.
It also amends the Canada Labour Code to, among other things, extend to 27 the maximum number of weeks to which an employee is entitled for a medical leave of absence from employment.
It also amends the Employment Insurance Regulations to, among other things, ensure that, for a period of one year, earnings paid to a person because of the complete severance of their relationship with their former employer do not extend the person’s benefit period or delay payment of benefits to the person.
Finally, it amends the Employment Insurance (Fishing) Regulations to, among other things, reduce, for a period of one year, the amount of earnings that a fisher is required to have to qualify for unemployment benefits.
Division 36 of Part 4 amends the Canada Elections Act to provide that the offences related to the prohibition on making or publishing certain false statements with the intention of affecting the results of an election require that the person or the entity making or publishing the statement knows that the statement in question is false.

Budget Implementation Act, 2021, No. 1

[Richard Cannings, NDP, South Okanagan—West Kootenay, BC]

Madam Speaker, I would like to thank the member for Elgin—Middlesex—London for bringing up all the programs that have helped Canadians and businesses get through these difficult times. I thank her for hinting that the government brought in largely NDP programs.

While the Conservatives support these programs that have helped the country survive over the last year, they are constantly asking who will pay for them. The NDP members think that it should be the super-wealthy who pay, the people who have made billions and billions of dollars over the last year through this pandemic.

Therefore, I would ask her again. Who do the Conservatives think should pay for this? I would ask the member not to say that she will rely on trickle-down economics.

[Karen Vecchio, Conservative, Elgin—Middlesex—London, ON]

Madam Speaker, people do look at who will pay for this? Honestly, it is called tax reform. We need to look at the whole taxation system. I know that some great people are looking at this. There are inequalities across the board. I will not disagree with the member on that. However, what we are seeing are bits and pieces. We know there are so many loopholes and we need to look at those. We need to look at the bigger picture.

[Andréanne Larouche, Bloc, Shefford, QC]

Madam Speaker, I thank my colleague from Elgin—Middlesex—London. It was an honour to work with her at the Standing Committee on Status of Women last session. I know she will take a keen interest in women's issues and, of course, a she-covery.

She spoke at length about support programs. Many women-owned businesses are smaller. They are very small businesses that have a hard time meeting the eligibility criteria for the various programs. Many of these businesses are in sectors that might take longer to recover from the crisis. We see lots of women in the cultural sector, in tourism and even in the restaurant industry.

Does my colleague agree that supporting these women during the recovery is important and that the programs should be extended, at least for them, until the crisis is over?

[Karen Vecchio, Conservative, Elgin—Middlesex—London, ON]

Madam Speaker, I really have enjoyed working with my colleague from Shefford over the last number of years. There has been a huge economic impact to women especially through COVID, but it is just on the economics. As a mother, a daughter and a grandmother, I look at not just the economics but the mental side to this and the supports that are needed.

I have said many times that many people are being crushed right now. As a mom, as a daughter, I am trying to ensure my parents are taken care of as well as my children and that is very difficult. Right now, we need those social supports to ensure our mental health is taken care of. On the economics side, we need to ensure there is the flexibility. Flexibility is extremely important. We need to find a balance between work and children and parents. We need to reinvest in that.

[Paul Manly, Green, Nanaimo—Ladysmith, BC]

Madam Speaker, the member's speech covered a lot of ground and a lot of programs that were needed to help people. I appreciate hearing her talk about the social programs we need to help people at this time. I know a lot of small businesses in my community are having a hard time. They are disappointed with the amount of money that came in for tourism dollars, because a lot of small businesses rely on tourism.

One of my concerns again is about the profiteering that has happened during this pandemic. We now know some 47 billionaires have a quarter of a trillion dollars of the Canadian wealth. They have gained $78 billion during this pandemic and they need to pay their fair share. Does the hon. member think they should pay their fair share as well?

[Karen Vecchio, Conservative, Elgin—Middlesex—London, ON]

Madam Speaker, at the end of the day, if people make more, they pay more. That is very common. We already see that in the grading system of the tax system, but it should still continue to be reviewed.

[Kody Blois, Liberal, Kings—Hants, NS]

Madam Speaker, it is great to see some of my colleagues having a good laugh, some good discourse and a level of levity, despite the challenging circumstances.

I am very pleased to have the chance to speak to Bill C-30, which is the budget implementation act. I had the chance a couple weeks ago to speak to the budget writ large, and I am going to use my time here today to highlight some investments that may not be the headlines, but which I think are extremely important to what the budget represents in terms of major proposed programs.

I will start with the continuation of the emergency measures. Nova Scotia was not under lockdown two weeks ago. We had not suffered from the third wave that other jurisdictions in the country had. Right now we have over 1,000 cases in the province, which seems relatively small, but per capita it is quite significant.

These measures really matter. The government, by continuing the emergency wage subsidy, the rent subsidy and the Canada response benefit, the suite of programs, until September, with the ability to extend it under the legislation, illustrates that this is extremely important. I think I would be remiss if I did not start from that basis. Our government is committed to getting Canadians, individuals and businesses through the pandemic, and that is extremely important.

I want to talk about biomanufacturing investments. The budget would allocate $2.2 billion toward these types of initiatives. We know that coming into the pandemic. I think all parliamentarians, and indeed all Canadians and countries around the world, on the other side of the pandemic, are going to be asking themselves what the key industries we will need to make sure we have domestic capacity. Whether it is for an event like COVID or some other type of event, the country needs to have that capacity.

For me, one industry would be agriculture, but of course, biomanufacturing is important. Our government has made investments throughout the pandemic. We are committing to making sure this does not happen again.

I look at companies in my own riding. For example, in Windsor, Nova Scotia, there is BioVectra, which has its base in Prince Edward Island, but which also has a presence in my riding of Kings—Hants. I think of BioMedica. These are the companies we can build, and we can continue to nurture that local expertise to make sure we have the capacity in our country in the days ahead.

Long-term health care was something I heard a lot about during the height of the pandemic, particularly when the reports from the Canadian Armed Forces were presented on the conditions in Quebec and Ontario. We need to be able to create national standards. We need to do better in this domain.

Yes, it is the domain and the jurisdiction of the provinces, but the federal government has shown leadership on health care initiatives, and it is really important that there is $3 billion in the budget to help support those standards. This is on top of the fall economic statement, which had a billion dollars allocated directly to the provinces. Of course, my colleagues and others have talked at great length about the programs that have been put in place, such as the safe restart program, to help support provinces. I wanted to highlight that for Canadians who might be watching here today and, indeed, my own constituents.

We know that the cost of the pandemic has been significant, and our government, from day one, has said we will be there with individuals and small businesses. The deficit is about $355 billion this year alone because of that support, which we determined as a government was a better path than the economic scarring that would come of not intervening in a positive way.

It is important that this budget helps create and drive economic growth to make the spending we have taken on during the pandemic sustainable over time, so I want to take an opportunity, and hopefully my colleagues will listen with intent, to talk about some of the important measures in the budget that I think need to be highlighted.

I wrote in September 2020 about regulatory modernization and regulatory reform. This is an important element for small business and businesses across the board. I tip my cap to my predecessor, Scott Brison, who was president of the Treasury Board during the last Parliament. He served with great honour and respect in Kings—Hants for 22 years, and I consider him a mentor and a friend.

He took a great leadership role in the last Parliament on regulatory reform, and we are committing to build on that success in this budget with $6.1 million dollars allocated to continue efforts on that front at the federal level. I think that is extremely important.

Regarding interprovincial barriers to trade, estimates suggest that we could be losing somewhere between $50 billion and $130 billion to our economy every year because of internal barriers to trade. We would be allocating $21 million over the next three years toward trying to reduce those barriers and have co-operation between provinces and territories on harmonization of standards. We have a lot to gain in efficiencies and economic outcomes by working within Canada, and of course this is building on the success our government has already had in the last Parliament.

I talk about this a lot, but it bears repeating. We have an emerging wine sector in Kings—Hants. We have world-class wines. We know that the excise exemption that was created under the late Jim Flaherty in 2007 when he was the finance minister has been important to the success of our 100% Canadian wine industry. I am very pleased to see our government has committed $101 million over the next two years to help support the industry.

Of course, that is on the heels of the existing excise exemption being deemed not trade compliant. I look forward to working with the Minister of Agriculture and my colleagues to help keep driving those initiatives to support the sector in the days ahead. The ability to create interprovincial trade would allow small businesses in my riding of Kings—Hants to take advantage of that.

It is very difficult for consumers in Ontario or Quebec to enjoy some of our wines. I would encourage my colleagues to look at some of the many vineyards we have in the area. I am happy to provide recommendations. We need to be able to break down those barriers. I am proud our federal government got rid of any type of barriers at the federal level. I hope my provincial or territorial colleagues who might be watching can also take some leadership in easing and facilitating trade across provincial and territorial boundaries.

I do not think the Canada Small Business Financing Act has warranted a lot of conversation in this House, but I want to highlight some of the elements that are there. We know, particularly in rural communities, the importance of small businesses and what they mean with respect to providing jobs and opportunities for people in our communities. We are committing to expanding the loan eligibility under the Small Business Financing Act and increasing the maximum loan amount to $500,000 for non-real property loans.

We are also opening up opportunities for non-profits and charities. I have spoken at great length about the important role our volunteer sector plays, particularly in rural Canada. I am very pleased to see it will have access to financing under this mechanism as well, and a new line of credit option.

We will help reduce credit card merchant fees. How many of us are paying cash right now? Not a whole lot of people. I am the type who still likes to have a bit of cash in my wallet, but more and more people are using credit or debit cards. Our government is committed to help reduce the merchant fees associated with online or credit card transactions. I see this as a very positive step. I know there are restaurants and many different retail businesses that will welcome this type of thinking.

I also want to talk about the $1.9 billion for what is the national trade corridors fund. I sit on the agriculture committee, and I consider myself an advocate in this House for agriculture-related issues. This national corridors trade fund is crucial to helping make sure we have important links to get our many wonderful Canadian agriculture products to export markets. I am very pleased to see this.

Also, there is additional money, over $500 million, for the borders to improve trade and travel. I think about the chicken producers who talk about spent fowl at the border. This money could go to support those types of mechanisms to protect our supply-managed industry, which I know is so important to so many members in this House and, indeed, to many Canadians.

I will finish with three quick points.

One is around significant investments in the aerospace industry. In Kings—Hants, Halifax Stanfield International Airport is just outside my riding boundary, but we have thousands of jobs in my riding that are tied to the aviation industry writ large. I am very pleased to see those types of investments in the budget.

I often talk about my riding in the context of agriculture, but in the same sense we are a coastal community. We are home to the highest tides in the world. The $300 million over the next two years for small craft harbours is extremely important.

Finally, there are historic investments for indigenous communities. I have three indigenous communities in my riding I am proud to represent. I am also proud that our government is continuing on its legacy and good work around reconciliation.

[Glen Motz, Conservative, Medicine Hat—Cardston—Warner, AB]

Madam Speaker, I am curious to know what my colleague's take is on the amount of debt and deficit that would occur with this budget, not only in this current year, but in the couple years to follow.

If we are paying $40 billion or more a year just on interest to service our debt, that will have a negative impact on the sustainability of some of our social structures and programs moving forward and on maintaining them in the years to come. I would appreciate his opinion on that.

[Kody Blois, Liberal, Kings—Hants, NS]

Madam Speaker, I think any conversation about fiscal prudence in government is an important conversation. However, what I would say to my hon. colleague is that when we look at the budget annex, the debt-to-GDP ratio over the next five to six years is expected to decline. When we look at the cost to service the debt right now, despite the fact that we have taken on a lot of debt, of course, important debt to support Canadians, it is actually lower than what it was pre-pandemic.

I look at this plan and, yes, there is a significant amount of spending, but it is focused on jobs and on the creation of opportunities for Canadians. Ultimately, it is a fiscally prudent plan, and one that I look forward to supporting and talking to my constituents about in the days ahead.

[Luc Desilets, Bloc, Rivière-des-Mille-Îles, QC]

Madam Speaker, I just want to remind our colleague that, even though the budget was positive, we voted against it. However, we will be supporting this Bill C‑30.

We voted against the budget for two reasons. First, the health funding it contains is not enough. We want recurrent funding, and we want it to go up from 22% to 35%. Second, as my colleagues mentioned earlier in their speeches, we want the government to increase old age pensions.

I have a question for my colleague. We are all familiar with page 733 of this brick of a budget, which says that Netflix is not subject to the Netflix act. Would the member please share his thoughts on that?

[Kody Blois, Liberal, Kings—Hants, NS]

Madam Speaker, I would say to my hon. colleague that I am quite disappointed that the Bloc will not be supporting the budget. There are a lot of very important investments that matter to Quebec and, of course, to his constituents as well. Although it does not come as a surprise, it does come as a disappointment.

The member referenced the brick, which I call an important document that has many great ideas for Canadians. Of course, if we are going to put out a vision that matters for the days ahead and for the future, it has to be comprehensive, and that is why it is quite substantive.

The member had a question that referenced page 833, but I was lost in the interpretation. I am happy to follow up with the member about Netflix and digital giants. I know that our government is focused on closing the gap in that regard, but perhaps I can follow up with my colleague offline to get to his question.

[Randall Garrison, NDP, Esquimalt—Saanich—Sooke, BC]

Madam Speaker, I thank the member for Kings—Hants for his speech, and I would like to let him know that two of my best friends have just decided to retire to his riding. However, it may not be altogether good news for him, because they are not only personal friends, they are political friends and terrific organizers.

My question has to do with tourism. I heard the member talk about all the great things in the budget, but in the bill, we see we would start phasing-out support for small businesses, and phasing-out and cutting back on the CERB.

In my riding, we are about to lose our second season for international tourism, and it seems way too early to cut those supports, which people need to survive in the tourism industry. I wonder if the member finds the same thing in his riding, and that the phasing-out of the tourism support is coming just a bit too early.

[Kody Blois, Liberal, Kings—Hants, NS]

Madam Speaker, I will have to connect with the member offline to see who those political friends are. I will watch with interest, and maybe I will try to swing them into my camp, no matter how hard that could be.

The member raises an important question around tourism. I talked about the highest tides in the world in the area that is Kings—Hants. Many people from around the world want to come here.

There are a couple things that I would point the hon. colleague to. First, there is $500 million specifically for regional development agencies to support tourism operators. Also, the member's question was around the emergency supports, and yes, there is a declining amount starting in July, but the intention is to carry them on until September. At the end of the day, our government's approach, since day one, has been to adopt them as the health information comes out.

We do not know where we are going to be in September. Certainly, the vaccinations are on a good track. My hope is that by September we can be opening up and starting to relax some of the regulations that we have in place. All this to say that we have the flexibility in the legislation to be able to meet the needs of businesses, and we will do just that.

[Brian Masse, NDP, Windsor West, ON]

Madam Speaker, I am pleased to speak on Bill C-30.

Before I start, I want to acknowledge and thank the voters for putting together a minority Parliament. I came here during the majority government in 2002. I have experienced majority governments for the Liberals and the Conservatives, as well as minority governments. I have found that this Parliament, at least, has been much more flexible and cooperative in many respects than the previous government, which had a large majority. At that time we heard that a lot of the things being proposed in this budget were unattainable for Canadians, such as child care and increases to employment insurance.

I am proud of the member for New Westminster—Burnaby and others at the finance committee. With all of the presentations that have taken place, they have consistently come forward, arguing for better programs, investments and choices than we currently have. I became a New Democrat a little bit before Jack Layton, but when we got with Jack, we were more into proposition than opposition.

We are proud to have influenced this economic situation and challenges for Canadians, in bringing the Liberals to some action on items that we had been told could never be done. We were told there were not the finances for them or that they were bad for the economy and all sorts of different things.

During the majority government we had before, very little got done. A lot of things were put off. I think now we see much more activism in the base of Parliament. At times there is high drama, but definitely, as a minority Parliament, we have gotten more accomplished than we did in the previous government where getting any of these things done was often mocked. I point to the increased supports for small businesses, the wage subsidy and the CERB, all of which were basically left out of the initial response to the pandemic, including student debt. I could not say how many times I have stood in this chamber and argued that interest should not be applied to student debt because it is an investment. Interest would bring on further debt. Debt also delays family experiences because people have to put off life decisions. As opposed to paying down the interest on loans from the banks, that money could be going to investments for people's futures and also to our communities.

The problem that we have with some of the issues in this budget is that they do not get rid of the problems for the future, but just kick them down the road a little bit. The increased benefits for seniors are a good example: They are divided between people who are 65 and people who are 75, and division is not what we need now with COVID-19.

I look at what this arbitrary age division would mean for my constituency in Windsor, Tecumseh, Essex, and all the regions around us, as we have a significant senior population. We have a lot of people with health issues. The ecosystem that we are a part of includes the pollutants drifting from the United States as well as from our own industrial base, and means that the risks to people's health are much higher than elsewhere. We have scientific evidence of this. One of the reasons I got involved in politics at the federal level was the Gilbertson and Brophy report, in which the Chrétien government at that time tried to hide a government study showing higher rates of cancer, thyroid issues, respiratory issues and all kinds of issues for infants. All of those different things came to light.

What I am suggesting is that the age factor for seniors really makes no difference. The risk factors are almost the same. The government is dividing those people. I do not know why, when what we are having to invest is pennies in the overall scheme of things. That money, for the most part, goes to paying for rent and food. It goes into the local economy. It allows people to live with dignity. It often goes for medications. We still do not see a pharmacare element to this bill, which is unfortunate. When we look at the investments we also do not see dental care, which is really crucial.

That is why New Democrats are continuing to present the government with options they can look at. The U.S. administration under President Biden brought in a wealth tax. Many other countries have done that as well. There are, quite frankly, winners and losers under COVID-19 for a lot of different reasons. Part of that is public policy.

For good reasons different businesses have had to close or amend their business practices. It has been very challenging for them, through no fault of their own or anybody else, but to prevent the spread of COVID they have lost their regular income. That is why these employment subsidies are important. Other businesses have emerged from this and have really done quite well. We do not hear about insurance companies having problems because business is very lucrative right now.

We can see from the work done at the industry committee that the telco giants have done exceptionally well during this time. I will give some credit to them: There have been improved incentives for consumers, but the volume of products that have gone out has risen exponentially, as have their profits and their responsibility to help offset some things right now.

There is no petroleum monitoring agency in this budget. Gas pricing, the hosing of consumers and the lack of accountability are still significant problems in Canada because we do not publish the rack pricing the United States gets. There is less accountability for that in Canada. A petroleum monitoring agency was supposed to be brought in by the Paul Martin regime, but it was never fulfilled. A motion passed in the House of Commons that it was supposed to be established. It was created, then it was defunded, and then when the Conservatives took power it was off the books. It languished and was in the works for a long time. It took us years to even try to get it. That was an oversight of a basic thing. As a result, people pay more out of pocket.

There are still significant public subsidies for the oil and gas industry. In one of my first speeches on this issue, about a decade ago, I listed 17 different ways an oil and gas company could get a subsidy from the federal government at the time. Some of that has been reduced a little, but it is still not anywhere near where it should be. It is interesting that the U.S. taxes worldwide profits and Canada does not. The current administration in the U.S. is going to be introducing higher corporate taxes. If we do more subsidization, the profit margins will be higher here, so we will be sending dollars to Washington, so to speak.

We have to look at these things. There is no doubt about tax havens, as we have seen in the news again today. How ridiculous is this? How many times do people have to suffer through the inappropriate taxation policies we have now? People who can afford accountants and lawyers, and who squirrel money away, are seen as clever and capable. They get away with it, whereas in Windsor and Essex region the working class cannot afford those types of services to hide money and to pay less than other people. That is where there should be a significant improvement in this budget.

New Democrats have called for not only an investment in people, but also in green transportation infrastructure. In my area, the auto sector is significant and we fail to see much improvement in this budget. There are some vague references, but no measures to get results. There is still no Canadian national auto strategy. Last week, Ford Motor Company announced more funding for battery and electric vehicle production in Detroit and the surrounding area, which has eclipsed my area and the entire country. Detroit and the surrounding region have almost tripled or quadrupled all of Canada's investments in green auto infrastructure and strategies for battery and electric vehicle manufacturing and production. This is important, because a transition is taking place. If we look at jobs in the production of parts and all of the different components, we are losing more of that market share. What is unfortunate about that is we are also losing out on the growth of the industry beyond the auto sector by having that innovation take place.

Canadians are also worried about the passing on of debt, and how to finance it. That is why New Democrats have provided some solutions, such as a significant luxury tax, not just for boats and cars but for other things as well. Right now, real estate speculators for foreign investors are sitting on empty land and are getting away with using our tax haven system. That is a problem. As we look at this budget implementation act part one, keeping in mind that part two has to be done in the fall, Canadians can count on New Democrats to try to make things work here in this chamber.

[Kristina Michaud, Bloc, Avignon—La Mitis—Matane—Matapédia, QC]

Mr. Speaker, I thank my colleague for his speech, which I greatly appreciated. It reminded me of a headline I read yesterday in Le Devoir that said Ottawa sees the offshore oil industry as a net-zero partner.

Reading that, I felt my eyebrows go up, because I often say in the House that I see the environment and the economy as being complementary. This headline would have us believe that net-zero emissions and the oil industry could be complementary, which is an opinion I do not share. When I think of reducing greenhouse gas emissions, the oil industry is not the first thing that comes to mind.

Does my colleague think that what the budget promises, especially in terms of funding, is enough to meet our greenhouse gas emission reduction targets?