Budget Implementation Act, 2022, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures

Sponsor

Status

This bill has received Royal Assent and is, or will soon become, law.

Summary

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

Part 1 implements certain income tax measures by
(a) providing a Labour Mobility Deduction for the temporary relocation of tradespeople to a work location;
(b) allowing for the immediate expensing of eligible property by certain Canadian businesses;
(c) allowing the Children’s Special Allowance to be paid in respect of a child who is maintained by an Indigenous governing body and providing consistent tax treatment of kinship care providers and foster parents receiving financial assistance from an Indigenous governing body and those receiving such assistance from a provincial government;
(d) doubling the allowable qualifying expense limit under the Home Accessibility Tax Credit;
(e) expanding the criteria for the mental functions impairment eligibility as well as the life-sustaining therapy category eligibility for the Disability Tax Credit;
(f) providing clarity in respect of the determination of the one-time additional payment under the GST/HST tax credit for the period 2019-2020;
(g) changing the delivery of Climate Action Incentive payments from a refundable credit claimed annually to a credit that is paid quarterly;
(h) temporarily extending the period for incurring eligible expenses and other deadlines under film or video production tax credits;
(i) providing a tax incentive for specified zero-emission technology manufacturing activities;
(j) providing the Canada Revenue Agency (CRA) the discretion to accept late applications for the Canada Emergency Wage Subsidy, the Canada Emergency Rent Subsidy and the Canada Recovery Hiring Program;
(k) including postdoctoral fellowship income in the definition of “earned income” for RRSP purposes;
(l) enabling registered charities to enter into charitable partnerships with organizations other than qualified donees under certain conditions;
(m) allowing automatic and immediate revocation of the registration of an organization as a charity where that organization is listed as a terrorist entity under the Criminal Code ;
(n) enabling the CRA to use taxpayer information to assist in the collection of Canada Emergency Business Account loans; and
(o) expanding capital cost allowance deductions to include new clean energy equipment.
It also makes related and consequential amendments to the Excise Tax Act , the Children’s Special Allowances Act , the Excise Act, 2001 , the Income Tax Regulations and the Children’s Special Allowance Regulations .
Part 2 implements certain Goods and Services Tax/Harmonized Sales Tax (GST/HST) measures by
(a) ensuring that all assignment sales in respect of newly constructed or substantially renovated residential housing are taxable supplies for GST/HST purposes; and
(b) extending eligibility for the expanded hospital rebate to health care services supplied by charities or non-profit organizations with the active involvement of, or on the recommendation of, either a physician or a nurse practitioner, irrespective of their geographic location.
Part 3 amends the Excise Act, 2001 , the Excise Act and other related texts in order to implement three measures.
Division 1 of Part 3 implements a new federal excise duty framework for vaping products by, among other things,
(a) requiring that manufacturers of vaping products obtain a vaping licence from the CRA;
(b) requiring that all vaping products that are removed from the premises of a vaping licensee to be entered into the Canadian market for retail sale be affixed with an excise stamp;
(c) imposing excise duties on vaping products to be paid by vaping product licensees;
(d) providing for administration and enforcement rules related to the excise duty framework on vaping products;
(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 vaping product taxation agreement with Canada; and
(f) making related amendments to other legislative texts, including to allow for a coordinated federal/provincial-territorial vaping product taxation system and to ensure that the excise duty framework applies properly to imported vaping products.
Division 2 of Part 3 amends the excise duty exemption under the Excise Act, 2001 for wine produced in Canada and composed wholly of agricultural or plant product grown in Canada.
Division 3 of Part 3 amends the Excise Act to eliminate excise duty for beer containing no more than 0.5% alcohol by volume.
Part 4 enacts the Select Luxury Items Tax Act . That Act creates a new taxation regime for domestic sales, and importations into Canada, of certain new motor vehicles and aircraft priced over $100,000 and certain new boats priced over $250,000. It provides that the tax applies if the total price or value of the subject select luxury item at the time of sale or importation exceeds the relevant price threshold. It provides that the tax is to be calculated at the lesser of 10% of the total price of the item and 20% of the total price of the item that exceeds the relevant price threshold. To promote compliance with the new taxation regime, that Act includes modern elements of administration and enforcement aligned with those found in other taxation statutes. Finally, this Part also makes related and consequential amendments to other texts to ensure proper implementation of the new tax and to ensure a cohesive and efficient administration by the CRA.
Division 1 of Part 5 retroactively renders a provision of the contract that is set out in the schedule to An Act respecting the Canadian Pacific Railway , chapter 1 of the Statutes of Canada, 1881, to be of no force or effect. It retroactively extinguishes any obligations and liabilities of Her Majesty in right of Canada and any rights and privileges of the Canadian Pacific Railway Company arising out of or acquired under that provision.
Division 2 of Part 5 amends the Nisga’a Final Agreement Act to give force of law to the entire Nisga’a Nation Taxation Agreement during the period that that Taxation Agreement is, by its terms, in force.
Division 3 of Part 5 repeals the Safe Drinking Water for First Nations Act .
It also amends the Income Tax Act to exempt from taxation under that Act any income earned by the Safe Drinking Water Trust in accordance with the Settlement Agreement entered into on September 15, 2021 relating to long-term drinking water quality for impacted First Nations.
Division 4 of Part 5 authorizes payments to be made out of the Consolidated Revenue Fund for the purpose of addressing transit shortfalls and needs and improving housing supply and affordability.
Division 5 of Part 5 amends the Canada Deposit Insurance Corporation Act by adding the President and Chief Executive Officer of the Canada Deposit Insurance Corporation and one other member to that Corporation’s Board of Directors.
Division 6 of Part 5 amends the Federal-Provincial Fiscal Arrangements Act to authorize additional payments to the provinces and territories.
Division 7 of Part 5 amends the Borrowing Authority Act to, among other things, count previously excluded borrowings made in the spring of 2021 in the calculation of the maximum amount that may be borrowed. It also amends the Financial Administration Act to change certain reporting requirements in relation to amounts borrowed under orders made under paragraph 46.1(c) of that Act.
Division 8 of Part 5 amends the Pension Benefits Standards Act, 1985 to, among other things, permit the establishment of a solvency reserve account in the pension fund of certain defined benefit plans and require the establishment of governance policies for all pension plans.
Division 9 of Part 5 amends the Special Import Measures Act to, among other things,
(a) provide that assessments of injury are to take into account impacts on workers;
(b) require the Canadian International Trade Tribunal to make inquiries with respect to massive importations when it is acting under section 42 of that Act;
(c) require that Tribunal to initiate expiry reviews of certain orders and findings;
(d) modify the deadline for notifying the government of the country of export of properly documented complaints;
(e) modify the criteria for imposing duties in cases of massive importations;
(f) modify the criteria for initiating anti-circumvention investigations; and
(g) remove the requirement that, in order to find circumvention, the principal cause of the change in a pattern of trade must be the imposition of anti-dumping or countervailing duties.
It also amends the Canadian International Trade Tribunal Act to provide that trade unions may, with the support of domestic producers, file global safeguard complaints.
Division 10 of Part 5 amends the Trust and Loan Companies Act and the Insurance Companies Act to, among other things, modernize corporate governance communications of financial institutions.
Division 11 of Part 5 amends the Insurance Companies Act to permit property and casualty companies and marine companies to not include the value of certain debt obligations when calculating their borrowing limit.
Division 12 of Part 5 enacts the Prohibition on the Purchase of Residential Property by Non-Canadians Act . The Act prohibits the purchase of residential property in Canada by non-Canadians unless they are exempted by the Act or its regulations or the purchase is made in certain circumstances specified in the regulations.
Division 13 of Part 5 amends the Parliament of Canada Act and makes consequential and related amendments to other Acts to, among other things,
(a) change the additional annual allowances that are paid to senators who occupy certain positions so that the government’s representatives and the Opposition in the Senate are eligible for the allowances for five positions each and the three other recognized parties or parliamentary groups in the Senate with the greatest number of members are eligible for the allowances for four positions each;
(b) provide that the Leader of the Government in the Senate or Government Representative in the Senate, the Leader of the Opposition in the Senate and the Leader or Facilitator of every other recognized party or parliamentary group in the Senate are to be consulted on the appointment of certain officers and agents of Parliament; and
(c) provide that the Leader of the Government in the Senate or Government Representative in the Senate, the Leader of the Opposition in the Senate and the Leader or Facilitator of every other recognized party or parliamentary group in the Senate may change the membership of the Standing Senate Committee on Internal Economy, Budgets and Administration.
Division 14 of Part 5 amends the Financial Administration Act in order to, among other things, allow the Treasury Board to provide certain services to certain entities.
Division 15 of Part 5 amends the Competition Act to enhance the Commissioner of Competition’s investigative powers, criminalize wage fixing and related agreements, increase maximum fines and administrative monetary penalties, clarify that incomplete price disclosure is a false or misleading representation, expand the definition of anti-competitive conduct, allow private access to the Competition Tribunal to remedy an abuse of dominance and improve the effectiveness of the merger notification requirements and other provisions.
Division 16 of Part 5 amends the Copyright Act to extend certain terms of copyright protection, including the general term, from 50 to 70 years after the life of the author and, in doing so, implements one of Canada’s obligations under the Canada–United States–Mexico Agreement.
Division 17 of Part 5 amends the College of Patent Agents and Trademark Agents Act to, among other things,
(a) ensure that the College has sufficient independence and flexibility to exercise its corporate functions;
(b) provide statutory immunity to certain persons involved in the regulatory activities of the College; and
(c) grant powers to the Registrar and Investigations Committee that will allow for improved efficiency in the complaints and discipline process.
Division 18 of Part 5 enacts the Civil Lunar Gateway Agreement Implementation Act to implement Canada’s obligations under the Memorandum of Understanding between the Government of Canada and the Government of the United States of America concerning Cooperation on the Civil Lunar Gateway. It provides for powers to protect confidential information provided under the Memorandum. It also makes related amendments to the Criminal Code to extend its application to activities related to the Lunar Gateway and to the Government Employees Compensation Act to address the cross-waiver of liability set out in the Memorandum.
Division 19 of Part 5 amends the Corrections and Conditional Release Act to restrict the use of detention in dry cells to cases where the institutional head has reasonable grounds to believe that an inmate has ingested contraband or that contraband is being carried in the inmate’s rectum.
Division 20 of Part 5 amends the Customs Act in order to authorize its administration and enforcement by electronic means and to provide that the importer of record of goods is jointly and severally, or solidarily, liable to pay duties on the goods under section 17 of that Act with the importer or person authorized to account for the goods, as the case may be, and the owner of the goods.
Division 21 of Part 5 amends the Criminal Code to create an offence of wilfully promoting antisemitism by condoning, denying or downplaying the Holocaust through statements communicated other than in private conversation.
Division 22 of Part 5 amends the Judges Act , the Federal Courts Act , the Tax Court of Canada Act and certain other acts to, among other things,
(a) implement the Government of Canada’s response to the report of the sixth Judicial Compensation and Benefits Commission regarding salaries and benefits and to create the office of supernumerary prothonotary of the Federal Court;
(b) increase the number of judges for certain superior courts and include the new offices of Associate Chief Justice of the Court of Queen’s Bench of New Brunswick and Associate Chief Justice of the Court of Queen’s Bench for Saskatchewan;
(c) create the offices of prothonotary and supernumerary prothonotary of the Tax Court of Canada; and
(d) replace the term “prothonotary” with “associate judge”.
Division 23 of Part 5 amends the Immigration and Refugee Protection Act to, among other things,
(a) authorize the Minister of Citizenship and Immigration to give instructions establishing categories of foreign nationals for the purposes of determining to whom an invitation to make an application for permanent residence is to be issued, as well as instructions setting out the economic goal that that Minister seeks to support in establishing the category;
(b) prevent an officer from issuing a visa or other document to a foreign national invited in respect of an established category if the foreign national is not in fact eligible to be a member of that category;
(c) require that the annual report to Parliament on the operation of that Act include a description of any instructions that establish a category of foreign nationals, the economic goal sought to be supported in establishing the category and the number of foreign nationals invited to make an application for permanent residence in respect of the category; and
(d) authorize that Minister to give instructions respecting the class of permanent residents in respect of which a foreign national must apply after being issued an invitation, if the foreign national is eligible to be a member of more than one class.
Division 24 of Part 5 amends the Old Age Security Act to correct a cross-reference in that Act to the Budget Implementation Act, 2021, No. 1 .
Division 25 of Part 5
(a) amends the Canada Emergency Response Benefit Act to set out the consequences that apply in respect of a worker who received, for a four-week period, an income support payment and who received, for any week during the four-week period, any benefit, allowance or money referred to in subparagraph 6(1)(b)(ii) or (iii) of that Act;
(b) amends the Canada Emergency Student Benefit Act to set out the consequences that apply in respect of a student who received, for a four-week period, a Canada emergency student benefit and who received, for any week during the four-week period, any benefit, allowance or money referred to in subparagraph 6(1)(b)(ii) or (iii) of that Act; and
(c) amends the Employment Insurance Act to set out the consequences that apply in respect of a claimant who received, for any week, an employment insurance emergency response benefit and who received, for that week, any payment or benefit referred to in paragraph 153.9(2)(c) or (d) of that Act.
Division 26 of Part 5 amends the Employment Insurance Act to, among other things,
(a) replace employment benefits and support measures set out in Part II of that Act with employment support measures that are intended to help insured participants and other workers — including workers in groups underrepresented in the labour market — to obtain and keep employment; and
(b) allow the Canada Employment Insurance Commission to enter into agreements to provide for the payment of contributions to organizations for the costs of measures that they implement and that are consistent with the purpose and guidelines set out in Part II of that Act.
It also makes a consequential amendment to the Income Tax Act .
Division 27 of Part 5 amends the Employment Insurance Act to specify the maximum number of weeks for which benefits may be paid in a benefit period to certain seasonal workers and to extend, until October 28, 2023, the increase in the maximum number of weeks for which those benefits may be paid. It also amends the Budget Implementation Act, 2021, No. 1 to add a transitional measure in relation to amendments to the Employment Insurance Regulations that are found in that Act.
Division 28 of Part 5 amends the Canada Pension Plan to make corrections respecting
(a) the calculation of the minimum qualifying period and the contributory period for the purposes of the post-retirement disability benefit;
(b) the determination of values for contributors who have periods excluded from their contributory periods by reason of disability; and
(c) the attribution of amounts for contributors who have periods excluded from their contributory periods because they were family allowance recipients.
Division 29 of Part 5 amends An Act to amend the Criminal Code and the Canada Labour Code to, among other things,
(a) shorten the period before which an employee begins to earn one day of medical leave of absence with pay per month;
(b) standardize the conditions related to the requirement to provide a medical certificate following a medical leave of absence, regardless of whether the leave is paid or unpaid;
(c) authorize the Governor in Council to make regulations in certain circumstances, including to modify certain provisions respecting medical leave of absence with pay;
(d) ensure that, for the purposes of medical leave of absence, an employee who changes employers due to the lease or transfer of a work, undertaking or business or due to a contract being awarded through a retendering process is deemed to be continuously employed with one employer; and
(e) provide that the provisions relating to medical leave of absence come into force no later than December 1, 2022.
Division 30 of Part 5 amends the Canada Business Corporations Act to, among other things,
(a) require certain corporations to send to the Director appointed under that Act information on individuals with significant control on an annual basis or when a change occurs;
(b) allow that Director to provide all or part of that information to an investigative body, the Financial Transactions and Reports Analysis Centre of Canada or any prescribed entity; and
(c) clarify that, for the purposes of subsection 21.1(7) of that Act, it is the securities of a corporation, not the corporation itself, that are listed and posted for trading on a designated stock exchange.
Division 31 of Part 5 amends the Special Economic Measures Act and the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) to, among other things,
(a) create regimes allowing for the forfeiture of property that has been seized or restrained under those Acts;
(b) specify that the proceeds resulting from the disposition of those properties are to be used for certain purposes; and
(c) allow for the sharing of information between certain persons in certain circumstances.
It also makes amendments to the Seized Property Management Act in relation to those forfeiture of property regimes.

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 9, 2022 Passed 3rd reading and adoption of Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures
June 9, 2022 Failed Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures (recommittal to a committee)
June 9, 2022 Failed 3rd reading and adoption of Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures (subamendment)
June 7, 2022 Passed Concurrence at report stage of Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures
June 7, 2022 Failed Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures (report stage amendment)
June 7, 2022 Passed Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures (report stage amendment)
June 7, 2022 Failed Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures (report stage amendment)
June 7, 2022 Failed Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures (report stage amendment)
June 6, 2022 Passed Time allocation for Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures
May 10, 2022 Passed 2nd reading of Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures
May 10, 2022 Failed 2nd reading of Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures (reasoned amendment)
May 10, 2022 Failed 2nd reading of Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures (subamendment)
May 9, 2022 Passed Time allocation for Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures

Budget Implementation Act, 2022, No. 1Government Orders

June 8th, 2022 / 7:25 p.m.
See context

Bloc

Gabriel Ste-Marie Bloc Joliette, QC

Madam Speaker, there are a number of good measures in Bill C-19, and this tax credit is certainly one of them. It is important, and that is why we will be supporting Bill C‑19.

However, I would ask the government to implement this tax credit more quickly than the one they gave to teachers in last fall's budget. It is still not in effect because Bill C-8 is still before the Senate. Normally, when a bill is winding its way through Parliament, tax credits can be put in place more quickly. It appears that because the opposition parties are against Bill C‑8, they are being blamed for not granting this tax credit, which several teachers have asked me about.

I would therefore ask that the tax credit to help seniors stay in their homes be implemented more quickly than the tax credit for teachers.

I do not know if I have enough time to respond, but I would add that the situation in the long-term care facilities was carnage, a real disaster. The long-term care facilities are the poor cousin of Quebec's health care system, which brings to mind the chronic underfunding of the health care system. Obviously this goes back to the years of Jean Chrétien and Paul Martin who, in order to balance Ottawa's budget, massively cut transfers to Quebec and the provinces. The situation has never been rectified since, and we expect Ottawa to send massive transfers to the provinces to respect each one's ability to pay.

Budget Implementation Act, 2022, No. 1Government Orders

June 8th, 2022 / 7:05 p.m.
See context

Bloc

Gabriel Ste-Marie Bloc Joliette, QC

Madam Speaker, we are now at third reading of this omnibus bill.

In fact, there are all kinds of statutes stuffed into Bill C-19, with topics ranging from strip searches to justice in space. That might be helpful for addressing all the mischief Brad Spitfire could get up to, but it does not belong in a budget implementation bill. This is a half-baked omnibus bill. It is no wonder it is full of problems.

To start, the paper copy we were given was missing more than 20 pages. We were working with the wrong version for far too long. That is unacceptable, and it seriously undermines the government's credibility and our trust in it.

A lot of changes were made to this bill at the Standing Committee on Finance, and I applaud the work we did. However, it is so big that there was no way the committee could do an in-depth study of the entire bill.

I will have to criticize the government's approach once again. The government promised that it would not introduce any more omnibus bills, but only the willfully naive are buying Liberal promises these days.

Regarding our study, I am sincerely grateful for the help we got from the other House of Commons standing committees: Justice and Human Rights, Citizenship and Immigration, International Trade, and Industry and Technology. Let me add an honourable mention for the Standing Committee on Human Resources, Skills and Social Development and the Status of Persons with Disabilities and our superhero there, the member for Thérèse‑De Blainville.

Bill C‑19 put forward a lot of changes to the employment insurance system, including the EI board of appeal. The government did not do its job properly. It did not consider the consultations and the needs expressed by stakeholders, such as unions. It is rare for the employer and the union to agree that something like this was poorly done. The member for Thérèse‑De Blainville was very efficient at bringing all those people together with the finance committee and the human resources committee so parliamentarians could hear from them. Their message was clear. Better to strike the issue from the bill altogether rather than pass flawed measures.

We in the Bloc Québécois prepared for both eventualities. We introduced several amendments and asked that the section be deleted. In committee, I pressed the Parliamentary Secretary to the Deputy Prime Minister and Minister of Finance to lobby his government to have it removed.

I tabled a motion to that effect. My colleague from Thérèse‑De Blainville got the human resources committee to adopt a unanimous motion to delete it. The Conservative and NDP members also requested the same thing. The government listened to reason. It backed down and committed to tabling something a little better in the fall.

This is what we MPs are here for. It is what the House and the parliamentary committees are here for as well. We study government bills. We review them with the people they would affect. If the bill is good, we support it. If it is bad, we reject it. We work tirelessly to improve the bills.

We know the government is tired and worn out. The pandemic took its toll on us all. The Prime Minister gave an election a shot in the fall. That tired out his government, which is still a minority. We had the blockades in the winter, followed by the war in Ukraine, which has been going on for over 100 days. That has kept everyone busy.

The Prime Minister is overwhelmed and exhausted. The Minister of Finance is playing the roles of both prime minister and minister of foreign affairs, especially with respect to the war. All the work she is doing is very honourable. The problem is that she is caught up in all these fast-moving issues, so she no longer has enough time to do her job properly as finance minister.

We saw that with her budget. We saw that with the crisis facing specialized businesses that convert trucks into ambulances, armoured vans and other specialty trucks. They are affected by the semiconductor shortage, which has shut down truck manufacturers in the United States. This input shortage is hitting our businesses hard. We cannot afford to lose these good niche jobs.

In December, the finance minister promised that the shortage was over. We supported Bill C‑8 based on her assurances. She had agreed to provide us with the statistics showing that things were getting better. We believed the Liberals' promises, but we never got the statistics, and the situation of these businesses is getting worse and worse as the weeks go by. We have been pressing the minister on this issue since January, but we have still heard nothing.

The only response we received came in her fall economic update, when she committed to subsidizing semiconductor manufacturers. However, this is a far more complex market, and she has completely missed the mark. We were unable to secure a meeting with her to discuss this subject. We were also unable to get her to come to committee to talk about inflation, even though we officially invited her in January to come testify sometime before May 31. It is now June 8, and we have still heard nothing.

We know that the Minister of Finance is very busy with the war and all of the other files she manages for the Prime Minister. The only problem is that that does not leave her any time to take care of finance. The associate ministers and parliamentary secretaries have not been delegated to follow up on this or other files. It is a serious problem that will have harmful consequences for our economy.

I have another example. In Bill C‑19, the budget implementation bill, the government presents the details of its luxury tax. It is 170 pages long. We agree in principle that people who buy luxury cars, planes or boats should pay a luxury tax. That is one way to redistribute wealth. However, the tax needs to be well constructed and the situation properly assessed.

For example, this tax will have serious repercussions on the entire economy and on jobs related to the use of personal boats. When I asked the Department of Finance to show us its impact studies for this new tax, the departmental officials told me that they had not done any studies. There is nothing. This has a real boys‑in‑short‑pants feel about it. Santa Banana could have done a better job of this.

What we have here is an ideological tax. It is all about the principle, and no one cares about how it will be implemented. In any case, the minister does not have time to waste on that.

This tax will be disastrous for the aerospace industry, which has been in a complete panic for almost a year now, not because the wealthy will no longer be able to afford to buy private jets, but because the tax will apply to companies and exports, even though it is not supposed to.

This whole thing is a big mess. The government gave the Department of Finance carte blanche, and it did not do its job properly. It did not feel like doing it, so it did a poor job. Because the Minister of Finance is busy dealing with the situation in Ukraine, the government is letting this slide. That is unacceptable. This measure is so poorly thought out that unions and employers, along with some members of the House, have banded together to warn us about how serious this situation is.

Canada is already the only country that has an aerospace industry but no industry strategy, not even for government procurement. Now the government is imposing poorly designed taxes that are harmful to the industry without even doing an impact study. That undermines Canada's credibility with the industry.

I would remind members that greater Montreal is the third-largest aerospace hub on the planet. Such a high value-added sector helps drive our economy. Anyone in the world would be very careful to preserve such a cluster—anyone, that is, but Ottawa. Is this all because the industry is in Quebec? That is unacceptable, and it reminds us of the repercussions of being under our neighbour's thumb.

Working with the unions and employers, we submitted several amendments to correct the poorly drafted tax measure. For instance, one amendment stated that the tax must not apply to exported aircraft. Another would have excluded businesses from the tax, which is how it is supposed to work. The Liberals and NDP voted against all those amendments. Yes, the NDP voted against what the unions were calling for. Why? It is because of their deal with the Liberals and their promise of unwavering support, to the point of compromising their principles.

The Conservatives voted with the unions on the luxury tax in Bill C-19, and the NDP and the Liberals voted against the unions. They were so quick to compromise their principles for a promise that benefits only the party that wanted it in the first place.

All of this will undermine our important aerospace industry and its unionized, well-paying jobs. This is all because the tax is ill-conceived and fails to meet its objective of taxing people who purchase luxury vehicles. Instead, the bill will tax airplane and helicopter manufacturers on aircraft that they export, over 90% of their output, or sell to businesses. This comes at a time when the industry is barely recovering from being hard hit by the pandemic. This is all because we have a finance minister who is no longer doing her job, since she is doing the Prime Minister's job and nothing is delegated. This is all because the government is not putting more effort into supporting and developing our economy.

In a normal democracy, a government like that would be overturned and replaced, but not in Canada. This government is supported by a party that is afraid of losing seats and is facing an opposition that is torn apart by extreme and polarizing ideologies. This is the price of following our neighbour's lead. It has little concern for our economic issues and has its own fish to fry.

With respect to the problems that the ill-conceived luxury tax will cause for the aerospace industry, I spoke numerous times with the finance minister, members of her team, her parliamentary secretary, her department and several other government members. That accomplished next to nothing. All we were able to get passed was an amendment that allows the government to delay implementation until after September at its discretion.

In addition, we had to wait until the report stage. My colleague from Saint-Jean and I introduced the amendment, as did the member for Elmwood—Transcona. This is the last glimmer of hope. If the government can take its head out of the sand and does its homework, we are offering it the opportunity to not implement the tax and to come back with a better bill in the fall. I urge the government to take us up on our offer.

The government is proposing a vast array of legislative changes in this mammoth bill. It has cut corners and done a poor job. The government is patting itself on the back for holding lots of consultations on everything. The only problem is that it is not taking the feedback into account. The Liberals' idea of democracy is letting everyone talk without listening to a word they say.

Luckily, we got the government to backtrack on its ill-conceived employment insurance amendment. We told it to go back and do its homework and listen to stakeholders. Unfortunately, we did not get the government to backtrack on its new tax that is 170 pages of poorly written text, but we did get one amendment passed that will create a window for changes in the fall. That will depend on whether the government sees fit though. I am very worried, as are the industry and union members. The government has not seen fit for quite some time now.

We managed to fix another of the government's egregious errors on another subject entirely in Bill C‑19. Australia took its dispute with Canada over an excise tax on wine to the World Trade Organization. Obviously, it was about wine made from grapes. However, because wine is not just grape wine to Ottawa, the tax applies to many other products too. In committee, we heard from cider and mead producers. The tax would have really hurt them and undermined a rapidly growing sector. We worked with them to propose an amendment that would exempt them from the tax. I think we made some important progress that will enable these passionate people to keep improving their quality products so that we can enjoy the fruits of their labour. I think we deserve congratulations.

More generally, let me say that I am very proud of every member of the Standing Committee on Finance. We spent many hours working constructively and collaboratively. From my perspective, we engaged in successful dialogue and made progress. I am sincerely grateful to every member of the committee, including its chair and the parliamentary secretary. I believe we made substantial improvements to Bill C‑19, and that is down to how well we worked together.

I also want to commend the work done by the other committees that studied parts of Bill C-19. I thank them for their insights. Lastly, I want to once again commend the hard work of my esteemed colleague and friend from Thérèse-De Blainville, who helped force the government to commit to redoing its homework on EI. I salute her for that.

Despite all my criticisms, Bill C-19 does include many good measures. Even though the government introduced a mammoth bill, even though it cut corners, even though we were not able to improve the bill as much as we would have liked, the fact remains that, when we weigh it all out, there are more pluses than minuses for the Quebec economy. That is why we decided to support the bill.

Budget Implementation Act, 2022, No. 1Government Orders

June 8th, 2022 / 7 p.m.
See context

Green

Elizabeth May Green Saanich—Gulf Islands, BC

Madam Speaker, I thank my hon. colleague for Elmwood—Transcona for a thoughtful discussion of what minority parliaments can do together.

I also lament the failure to provide the disability tax benefit, as does my colleague, the member for Kitchener Centre. We expected it. It should have been in the budget and it should have been in Bill C-19. I appreciate that we have made some progress for people with type 1 diabetes, but it is not nearly enough, nor is it fast enough.

The member will not be surprised that I will ask him to expand on his points about proportional representation. It is certainly timely, given the results from Ontario, where the election had the lowest voter turnout, as I understand it, in the history of that province. Barely 43% voted, which means that nearly 60% of Ontario voters did not vote.

I was taken with a column in Rabble newspaper by Karl Nerenberg on all the fetishizing and coverage by the media in just looking at the polling and kind of announcing that Doug Ford was going to win before the campaign started. Does the member feel that this played a role in reducing voter turnout?

Budget Implementation Act, 2022, No. 1Government Orders

June 8th, 2022 / 6:55 p.m.
See context

Bloc

Gabriel Ste-Marie Bloc Joliette, QC

Madam Speaker, I want to commend and congratulate my colleague on another very interesting speech. He always has something constructive to say, both here in the House and in committee.

I am concerned about the length of the budget implementation bill currently before us. Bill C-19 is a mammoth bill that amends numerous laws and deals with many issues that have nothing to do with the budget, including, for example, enforcing the justice system in space and conducting strip searches in prisons.

What does my colleague think of the fact that the government regularly resorts to such mammoth bills that lump together so many issues? Can committees and parliamentarians study all this thoroughly?

On top of that, the paper version of the bill that was given to the opposition was some 420 pages long, while the official PDF version that was posted online was over 440 pages long. Could my colleague comment on that?

Budget Implementation Act, 2022, No. 1Government Orders

June 8th, 2022 / 6:35 p.m.
See context

NDP

Daniel Blaikie NDP Elmwood—Transcona, MB

Madam Speaker, I am pleased to rise to speak during third reading of Bill C-19, which of course is the budget implementation act. I thought I might treat it as a bit of a case study, because in the debate about our electoral system we often hear that Canada needs strong majority governments in order to have decisive decision-making and action and to not end up with a hung Parliament. This is one of the main motivations for some to oppose electoral reform, and particularly forms of proportional representation, which tend to lead to more instances of minority Parliaments and minority governments.

My view is that the process around this budget bill, without being a perfect process and without the bill being a perfect bill, was actually a decent process, so I want to talk a bit about some of the improvements that were made to the bill during the course of it and some of the ways that it suggests we can make progress on other issues in this Parliament through members of various parties working together, and not only members of the same party working together. I think this process, in fact, showed that members can be nimble in terms of whom they are working with on particular issues and still get outcomes that make sense for Canadians and that benefit a lot of Canadians. We do not need one party having 100% of the power here in Parliament in order to make substantial progress for Canadians.

The first example I would point to is related to changes to the disability tax credit. We heard a fair bit of testimony at committee on this point. A Conservative colleague of mine on the committee brought forward an amendment, and the way this happens, as I am sure members will know but folks listening at home may not, is that parties will typically submit their amendments independently. Sometimes there are pleasant surprises when we receive the package. In this case, it was an identical amendment.

I was happy to work with Conservative colleagues and my Bloc colleague on the committee to pass an amendment that would change the disability tax credit requirements. A person has to show that they spend 14 hours a week tending to their condition, as somebody with type 1 diabetes does, whether that is injecting themselves with insulin, going to the pharmacy to get insulin, monitoring their blood sugar or doing other things that folks living with type 1 diabetes have to do. Then they often have to prove this every year, despite the fact that type 1 diabetes is not a condition that simply goes away and despite the fact that the requirements of the condition do not simply go away. Nevertheless, people have had to constantly show they have it, again and again.

This is reminiscent of some of the stories we have heard over the years out of Veterans Affairs Canada about veteran amputees who have to demonstrate every so often that, in fact, their leg is still missing and they are still an amputee and continue to require the same help. Folks with type 1 diabetes were having to continually show this.

We were able to bring forward an amendment, pass it at committee and even overcome some procedural wrangling, after the amendment was initially ruled out of order. We were happy to overrule the chair at committee on that point and very pleased that the Speaker saw fit to uphold the will of the committee in respect of that amendment when it came back to the House.

What that means concretely for people who are living with type 1 diabetes is that they will no longer have to do all of the paperwork, with the bother and expense that comes with it, in order to qualify for the disability tax credit. Once they have qualified as having type 1 diabetes, that will be sufficient to qualify them in the future.

I think that was a really hopeful exercise, and not just hopeful for Parliament in general, but also hopeful because we know that when it comes to Canadians living with disabilities, there has not been enough meaningful action on the part of the current government to serve that community. We saw that last June, when the government presented a bill for a Canada disability benefit that had absolutely no details about what the benefit would be, how much it would be, what the eligibility criteria would be and how it might impact other benefits that people living with a disability already receive. There was a lot more work to do, and since the new Parliament was elected in the fall, an ongoing priority of the NDP has been to call on the government to present new legislation and better legislation that would actually tell Canadians living with disabilities what the government has in mind and would provide far better ongoing income support for people living with disabilities.

Why is that important? It is because under the current federal programs and under provincial programs across the country, people living with disabilities have been consistently legislated into poverty to the extent that someone with a disability has to rely on existing disability pensions of various kinds across the country, none of which provide an income that brings them to the poverty line. This means that as soon as they have to rely on those things, people know they are going to be living a life of poverty with all of the challenges that come with that. Those are challenges of poverty over and above the challenges people living with disabilities already face.

With the great work from my colleague, the NDP disability critic in this Parliament, to press the government to bring legislation forward, we finally got wind on the Notice Paper that legislation was coming. It was an exciting moment. We had hoped to get more detail, just as we had hoped that certain changes to the disability tax credit in this legislation might have meant that finally the government would act on the long-standing call by people living with type 1 diabetes to make their lives easier and make their access to the disability tax credit available.

That was a disappointment, initially. However, by working together across party lines, we were able to remedy that, similar to the tabling of the Canada disability legislation. I almost said the “new” legislation, but I think I would have misspoken because it is pretty much the same legislation and has the same problems, therefore. It does not spell out what the program is supposed to look like. It does not let Canadians living with disabilities know what kind of financial help there is and the extent of financial support they could hope to receive from the federal government.

I would go further and say that part of the problem with legislation like this, and there are a couple, is it essentially just empowers cabinet to design a program and fund that program by statute, without having to return to Parliament. There is a procedural question, which I think may be less interesting to a lot of Canadians, but that procedural question is important to the extent that Parliament is a place that is meant to provide oversight on government spending. This bill would empower the government to create a program without having any idea what the price tag is, when it should be quite clear with Parliament on how the program is going to be designed. Parliamentarians should be able to authorize a new program like that knowing those things. That is a problem.

The other problem with setting up that program in legislation without actually legislating it is that a future government and a future cabinet that does not agree with the program or that wants to change it would not have to come back to this place. There would be no legislative process. This would also mean that the time it normally takes for a bill to go through the House of Commons and through the Senate would not be there. That is the time civil society often uses to mobilize in order to influence the content of legislation and government policy. It is an opportunity lost. It would make it very easy for a future government to undo whatever the current government does. If it finally gets around to creating a program for the Canada disability benefit, it would be far too easy for it to be undone.

Our experience at committee with the initial disappointment around the disability tax credit shows that a minority Parliament can come together and can have a positive influence on government policy and legislation. It can get things done for people that a majority government clearly would not have done because it was not in the Liberals' proposal.

I would also point to the example of employment insurance reform, something the government promised in its election campaign in 2015. We have had two elections since. The government has been in power now for coming on seven years, yet we have not seen any meaningful EI reform. We have to bracket a lot of what happened in the pandemic, because there were substantial changes to the EI program during the pandemic, but the speed with which those reforms occurred shows that it is possible to make meaningful reform quickly. Also, the nature of many of those reforms shows that what workers have been asking for in their EI program is in fact possible. This is not pie-in-the-sky stuff. Most of what they have been asking for are things the government did through the EI program during the pandemic.

As the pandemic recedes somewhat, at least for the moment, certainly the Liberals are of that view when they are talking about their financial support programs, less so when they are talking about public health restrictions. As the pandemic recedes somewhat, the government is going back to its regular inaction on the employment insurance file.

The Liberals finally did try to do something important but relatively minor in the grand scheme of systemic employment insurance reform: They presented a proposal to change the EI appeal board and undo some of the damage that was done by the Harper government to the EI appeal board. They fell flat on their face. It was not well received, even by the very people the Liberals sought to please with those reforms. They were lambasted for it, and they themselves sought to remove that part of the budget bill.

New Democrats were pleased to support that removal, for two reasons. One was that we agreed that those reforms were misguided and did not represent what I would dare to call a consensus among EI stakeholders about how the system, and particularly the appeal board, has to change. However, we were glad to support the reforms on a condition, which was satisfied, which was that the minister declare publicly that they would bring legislation back in the fall in order to make better changes to the EI appeal board system that people would actually welcome. Having secured that commitment, we were happy to support the removal of those appeal board changes that were quite ill-conceived.

However, it does raise a question of trust in the government. After being in government for well over six and a half years and having not really made any major reforms to EI except those that were forced by pandemic circumstances, when they finally came out of the gate to do something, how could they get it so terribly wrong? I take some solace in the fact that we have a minority Parliament, that Canadians did not entrust the Liberals with a majority of seats here in the House of Commons, that they do not have 100% of the power in this place and that negotiation is possible, because I think it is leading to better outcomes.

There is another example that is a little outside the scope of this bill, but it is an important one when we are talking about the pandemic. Early on in this Parliament, one of the first things that the finance committee did was to deal with Bill C-2, which established the new pandemic benefit regime that has now expired. It was instituted in December and was effectively the pandemic support regime that saw us through the omicron wave, with some notable changes by order in council right after the legislation passed, because as New Democrats said at the time, the reason we voted against that legislation was that we thought it would be inadequate to the task. I want to zero in on an important change that was made to those programs, particularly the wage subsidy program that was conceived in that bill.

Working with members of the Bloc and the Conservative Party, we were able to pass an amendment that said that companies that were receiving wage subsidy money under the authority of Bill C-2 would not be allowed to pay dividends to shareholders while accepting money from the government that presumably they needed because they did not have enough revenue to stay afloat. Clearly, if they were making big dividend payments to their shareholders, they did have the money, so that was an appropriate reform. It was the kind of thing that New Democrats had called for at the inception of the wage subsidy program that the government would not agree to initially, but we finally found a way, again working across party lines. That is not always an easy thing to do, but it is always a worthwhile thing to try to do. This was again an example of Parliament being able to correct course for a government that had got off on the wrong foot.

It really matters and it serves Canadians well that we are in a Parliament that does not have a majority government. I do hope that is something Canadians will consider in the next election. I also hope that they will consider electoral reform when organizations like Fair Vote approach them to talk about it. I will remind some of my Conservative colleagues—and we have gone into it a little over the budget debate—that reform is the want of folks around here, and it is not a bad thing. Conservatives will know that they had more share of the popular vote than the Liberals, who are in power, but they got far fewer seats.

We just saw, in the Ontario election, the New Democrats get about 30 seats to the Liberals' eight, approximately, despite having roughly an equal share of the popular vote. We saw the Ford government form a majority with a very small amount of support when we consider how low turnout was and how the way we vote under the first-past-the-post system can generate very distorted electoral outcomes.

I raise all these things to contribute to the debate on this bill, but I also hope to contribute to a larger debate about how we elect Parliaments that select governments here in Canada and show that we have been doing good work in this Parliament. We have been correcting course for the government when it got it wrong on the first go, and that has been made possible by virtue of having a minority Parliament. It is exactly because we do not have a majority government that these corrections and some of the good things that came out of the committee process have been possible.

One of the things I hope we may yet make progress on, which I will be looking to colleagues in other parties for support on, is the call for a low-income CERB repayment amnesty. This is something that has come up at the finance committee. It heard compelling testimony, and there is an important moral dimension to this issue. We are talking about people whose incomes are already below the poverty line. CTV did a piece on this last week, but it is not new. It has been a running story and has had various permutations through the pandemic, with the CRA sending letters to Canadians already in very difficult financial straits even before the current round of inflation hit us. It is all the more so now that people are struggling with the cost of groceries. The cost of housing has been an issue—let us not kid ourselves—for a long time. The rate of acceleration of the problem got worse during the pandemic, but the problem was getting worse even before the pandemic.

People who applied in good faith for help and were told to apply, in some cases, by their very own Liberal MP are now getting letters saying that they have to pay the money back, that they did not qualify and were not eligible. In some cases, they are people who applied for employment insurance and would have preferred just to get EI, but were told no, they could only get CERB. Then they got the CERB cheque and figured that was what they were entitled to. They applied for EI, were told no, and got the CERB. CERB sent them the cheque; they did not ask for it, so they thought it must be okay. They spent the money because they had lost their jobs and were trying to get through a global pandemic, which I think we can all agree was not an easy thing to do no matter what people's incomes were, let alone if they had just lost their jobs, and now the government is asking them for that money back. They do not have the money, and the efforts to collect that money, particularly from people who are already below the poverty line, are not going to bear fruit.

There is the moral dimension in terms of the anxiety and the financial harm that it is causing, but there is also a very real financial dimension. We heard a bit about that at committee. The government is planning to spend around $260 million chasing after a CERB debt that is a function of how it publicized its own program and encouraged people, and in some cases forced people, into the CERB system as opposed to the employment insurance system. For the $260 million that the government is going to spend over the next three or four years chasing that debt, how much is it actually going to get back? I think it is unlikely that it is going to get back $260 million.

I would love to know. I would love to have the government tell us how much it thinks it is actually going to get back. I have asked the question. I asked it at committee and I asked in a number of different fora and I cannot get an answer. It is shocking to me that the government would decide to invest $260 million to collect a debt that it does not know the value of, let alone the likelihood of succeeding. When we talk about investing over a quarter of a billion dollars in collecting a debt, we would want to be darn sure we are actually going to get that money back. Even if it makes its money back and calls it a wash—spend $260 million and get $260 million, which I think is very unlikely—it would not be worth it. It would not be worth it because the time and expense that it is spending chasing after low-income Canadians who are already in dire straits, particularly in this context of inflation, is time and expense that it could spend chasing tax evaders who are hiding their money out of the country and using other means to not pay their fair share. It would get a better return.

There is a good financial argument for a low-income CERB repayment amnesty, and I hope that in the context of this Parliament that I have been talking about, we will find support among enough other parties to convince the government to do the right thing, which is to not chase that debt and try to wring it out of low-income Canadians but instead divert the CRA's resources to chasing the people who are really getting away with something, people who are not paying their fair share and who have the resources to pay it back.

(The House resumed at 6:30 p.m.)

The House resumed consideration of the motion that Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures, be read the third time and passed, and of the amendment.

Budget Implementation Act, 2022, No. 1Government Orders

June 8th, 2022 / 5 p.m.
See context

Conservative

Dan Albas Conservative Central Okanagan—Similkameen—Nicola, BC

Mr. Speaker, it is an honour to stand in this place on behalf of the good people of Central Okanagan—Similkameen—Nicola.

Today, I am going to be speaking to Bill C-19, but I will also be speaking to some of the points that I am sure the Liberal government may not want to hear. Part of democracy means everyone having a say before a decision is made. As the previous speaker said, there are a number of things where the Liberals accuse us of having blind spots. I would simply say that the same goes for the Liberals. That is why it is important for debates to happen, for those ideas, and for the people at home to be able to make up their own minds. That is something I hope to do today.

One of the biggest challenges I believe Canada has right now is not debates over spending too much or not spending enough; it is credibility. There used to be a time when both Liberal and Conservative finance ministers spent considerable time and effort to come to this chamber and say that they had a path to balance. In our history, we have gone through world wars and pandemics. We have had cases where we have even survived Liberal government “spendathons” backed by the NDP, which put Canadian taxpayers on the hook for billions of dollars of debt that took decades to be straightened out, and a lot of pain.

When a finance minister comes to this place and says that the government has a path to balance or a balanced budget, that means a couple of things. Number one, it means that people know that the government has credibility when it lets out a bond and takes money from domestic lenders or from outside of Canada. It also says that the power of the government is in a very strong state, so if it decides to go with an infrastructure spending program or if it feels there is a hole in the safety net, depending on the needs of the day, there would be money for that, and taxpayers, both today and tomorrow, are going to be respected in those transactions.

When I go door knocking and speak to seniors or middle-aged people in my riding of Central Okanagan—Similkameen—Nicola, one thing I hear a lot is that they are very concerned that their children and grandchildren do not have the same opportunities they did at that period in their lives, and that in order to get a good job they need more and more education, which comes at great cost. Even if they get that great education, it is not always easy to find the work they need in their area of specialty. Now, there is a lot of work, and I appreciate meeting people who are doing whatever they can to get the skills they need so they can raise a family. However, people are feeling hurt. In all age categories, there is the cost-of-living crisis we are in right now. We have not seen groceries jump 10% since we had another divisive, big tax-and-spend Liberal prime minister in office. It almost plays to a T that we are somewhat repeating history. We have a big-spending government that makes bad choices and hits a debt crisis or oil shocks, and suddenly interest rates go up, inflation starts soaring and everyone is in a load of pain.

The pain people are feeling right now, where they cannot fill up their gas tanks or purchase the same amount of groceries they could just a few months ago, is pain enough, but young people are also feeling that the system does not work for them anymore because they cannot buy a home. They have given up on that. They are just trying to scrape by and do what little they can. Instead of putting their money into something that brings them equity, they are seeing their credit card bills go up to pay for those groceries and to have those little luxuries because they do not have a home. That is a real shame, and I think all of us here recognize that. This is not a partisan issue, when we recognize that a whole generation feels like it is not part of the economy. That is on all of us, and we have to work together to try to find ways to deal with that.

We will have debates in this place. I do not want to say that I have all the answers, but I will say that part of it comes with credibility. People need to know that their government is working for them, that it is not thinking for them but thinking of them. In question period, when I ask questions of the Minister of Finance, I do not get the sense that she is thinking of Canadians; I think she is thinking for them. She may be well intentioned, but I would also say, and I have been very open with this criticism, that it is a bad decision by the Prime Minister to give so much responsibility to a single individual: to be Deputy Prime Minister, which is an honour, I am sure, and to also be finance minister.

Being a finance minister is a full-time job. I remember seeing Minister Flaherty and how hard he would work. It was good and meaningful work. However, to add to that, by a Prime Minister who seems to be more about the jet-set life and seems to be more about playing a Prime Minister on TV than being a Prime Minister in this place, putting so much responsibility onto one individual, that is not fair to her and it is not fair to this place.

In my experience on the finance committee, we saw large sections of the budget bill just cut. The EI component, which is an incredibly important part, was cut. Why? Everyone agreed the government had botched it. There is so much in this budget bill. There are other things the Liberals have botched, but unfortunately the government members just nod and say they lost something and just keep going on like nothing has happened. That is the problem. The finance minister is too busy, the Prime Minister is too busy doing his own thing, and there is not a focused government in place.

Credibility is so important that when the finance minister says something, it can move markets. Having credibility is so important in a Minister of Finance and in a Prime Minister. Yesterday, Yves Giroux, the Parliamentary Budget Officer who works for all of us in this place, was at a Senate committee, the national finance committee. In response to being asked about whether the government's fiscal position and its numbers were credible, this is what he had to say: “I personally don't believe it is credible that there will be that level of spending restraint in the period 2024 to 2027, given all the expenditures that remain to be implemented by the government over that period of time.” When asked if these planned savings in that time frame were still feasible, he said, “If we were to believe the government's numbers, that would mean that in 2024 to 2027, operating and capital spending would grow by 0.3% per year, which is a level of growth that we have not seen in a long, long time.”

What did I say about moving markets? Actually, the Royal Bank of Canada just put out its macroeconomic outlook, and it said that the bank expects GDP to go down to 1.9% in 2023, which is a marked drop. What we have is very optimistic numbers that are not meeting the test of time. We have inflation shooting up. We have growth dropping down. People are tightening up their wallets so they can pay for filling up their tank, let alone anything else. This is not a good situation. For our Parliamentary Budget Officer to be saying that he cannot trust the numbers and that those numbers seem overly optimistic, that is a big alarm bell.

The Liberals are not credible on their budget implementation act. The minister is too busy. There is so much happening, and the Liberal government tries to portray a rosy outlook, that everything is good.

Even today, when the finance minister rose in this chamber, she did not want to talk about inflation, but she said to look over there, that employment is at an all-time high and unemployment is at an all-time low. The Liberals were trying to take credit for baby boomers, who, as we have known for well over a decade, eventually would retire, starting in 2016, and leave en masse. The Liberals are trying to take credit for something the baby boomers are doing themselves, something we all know as the demographics are changing.

This is where the Liberals are at. They are again trying to point away, telling us to look at a number because they do not want us looking at these other numbers. RBC is questioning the economy, and the Parliamentary Budget Officer is questioning the assumptions in the budget. It is up to parliamentarians to ask if what the Liberals are saying is credible. Are they treating government as a serious responsibility or are they going by the seat of their pants? It is sad for me to say that, because I would want any government in power to be credible, especially at times when there is crisis or tumult or trouble.

What else does “credible” mean? It means being credible on the small things and not just on the big macroeconomic level. Never have I seen, and many of my constituents have told me they have not, so much spent by any government in the history of Canada, or at least in their lifetime, with so little to show for it.

Economist Tyler Cowen has been speaking about this a lot in the United States, and it is a great concept for us to look at. It is called “state capacity”. In my mind, state capacity is having a military that can blow things up, having hospitals that can handle a pandemic, and having the ability to do everything in between. It is having a Service Canada office that can get us passports in a timely manner. It is having a military that can replace a 50-year-old Browning pistol without having to go through multiple procurements. This is something the Minister of National Defence is going to have to wrestle with.

I know the Liberals do not want to talk about health care transfers. They talk about how they are doing all these other things. However, premiers unanimously say that the one thing they ask for from the federal government is to supply them with more health care transfers. Given what we have seen in our health care system, we can see why they are asking for that. I personally believe that our health care system needs to change. A lot of those arguments need to happen at the provincial level, because a one-size-fits-all, Ottawa-knows-best policy is not good for this country. There is a reason provinces have the responsibility for health care.

If the Liberals do not want to give health care transfers, then maybe they could stick to their promises from 2019, and again in 2021, when they said they would hire and bring in all these doctors and nurses. In British Columbia, it is critical. There are places like Merritt and northern parts of the province that need to shut down the only emergency clinics they have because they do not have health care professionals.

If there is one thing the government can do, it is to just own up to its own commitment. It made the commitment, and if it cannot keep it, it should stand in this chamber and tell us that it cannot do that, and why. Was it a bad idea to begin with, or was it just being used as a way to get votes?

Yesterday I was on a show, and an esteemed Liberal colleague was also on it. He accused Conservatives of using a gimmick. He said that our motion to take the GST off home heating, electricity, gasoline and diesel was just a gimmick. For so long, groceries have been exempt from the GST, because they are life-sustaining. I do not think any political party disagrees that we should not be applying GST to foodstuff, which allows families to feed themselves. I think that is a consensus and I do not see anyone ever changing that.

We are telling the government, during this period of time, to just stop. It is getting windfall monies from oil and other commodities going up and it is getting all sorts of money coming in from inflation. In 2017, the government made all user fees by the Government of Canada go along with inflation, with the CPI, and what happened? That is inflationary policy. The government has never had so much money.

A little bit of work on the health care front would be helpful. A little bit of help by supporting common-sense, pragmatic suggestions, like suspending the GST, would go so far, yet the NDP-Liberals voted against that. Those members will say that we have all of these programs, like CPP and the Canada child benefit, which are all indexed to inflation. That means it is going to come down the road, and it is not here now at the time of the emergency.

The government has the money to do this, but the Liberals just do not want to use a Conservative suggestion, and that is wrong. It should not be based on who proposes an idea to decide whether or not it has merit. It should be whether the idea itself has merit. That is a problem in this chamber. I would hope that members in caucus would speak to it when they hear a good idea, and whether it comes from the NDP, the Bloc, the Liberals, the Conservatives or the independents, that they would take it to their caucus and try to work with it.

I will continue to go through a couple of things quickly. Let us take capacity. In the port of Vancouver, we know we that we have supply chain issues from the COVID pandemic. We can look at what happened in Shanghai. All those ports were shut down, with thousands of boats waiting to take products to other countries.

The port of Vancouver was rated recently by the World Bank in a survey as being one of the worst in the developed world. The Minister of Transport needs to get out to Vancouver and start looking at how to fix this. He cannot just say that it is someone else's responsibility. Yes, there is an independent authority, and I am sure it is trying its best, but at some point the government has to be accountable. If we want to deal with inflation, we should expect that our ports are able to run. Again, the survey did not call out many of the other ports in the United States. We should at least be at the same level as those other ones.

Look at the shemozzle at Pearson airport. It is terrible what people are having to go through. Blacklock's Reporter did a story on this today. The government decided it did not want to hire people back as aggressively and now we are at this particular stage. Yes, the mask mandates, and as I like to say “my way or the highway” mandate for travel are causing all sorts of issues. However, the Liberals are not showing up when it counts. They are not putting their hands on the wheel like we would expect a minister of the Crown to do.

I want to talk about productivity. Recently there were some comments from Bill Morneau, the former minister of finance. I am going to read what he said:

So much time and energy was spent on finding ways to redistribute Canada's wealth that there was little attention given to the importance of increasing our collective prosperity — let alone developing a disciplined way of thinking and acting on the problem," Morneau said in prepared remarks.

That says what this government has done on productivity. In its own budget, the government is saying that in Canada, it expects investment levels to remain low because people do not see us as a credible place to invest. The NDP wants to add all sorts of new taxes, and this government actually put a retroactive tax last year on the banks. We can have arguments about that, but when the government does those kinds of things, it sends out a chill on investment.

To conclude, this government needs to get serious, and this government needs to focus. It has not done that, but I hope it does.

I move:

That the motion be amended by deleting all the words after the word “That” and substituting the following:

Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022, and other measures, be not now read a third time, but be referred back to the Standing Committee on Finance for the purpose of reconsidering the clauses in Division 15 of Part 5, amending the Competition Act, with the view to incorporate the consultation measures industry has been asking for.

I would appreciate hearing what members have to say and answering a few questions.

Budget Implementation Act, 2022, No. 1Government Orders

June 8th, 2022 / 4:55 p.m.
See context

Bloc

Alexis Brunelle-Duceppe Bloc Lac-Saint-Jean, QC

Mr. Speaker, our colleague from Winnipeg North always gives lengthy responses, and I like that. I like his passion, and of course it is always a pleasure to ask him questions in the House.

My colleague talked about what is in Bill C‑19. I am going to ask him about what is not in it.

What is not in Bill C‑19 are the health transfers to the provinces and Quebec. These transfers have been requested by all provincial premiers and the Premier of Quebec, all the opposition parties in the House of Commons and all the parties in the Quebec National Assembly. The only ones saying no to health transfers are the Liberals.

My question is very simple. If someone is alone in thinking they are right, could it be because they are wrong?

The House resumed consideration of the motion that Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures, be read the third time and passed.

Budget Implementation Act, 2022, No. 1Government Orders

June 8th, 2022 / 4:30 p.m.
See context

Brome—Missisquoi Québec

Liberal

Pascale St-Onge LiberalMinister responsible for the Economic Development Agency of Canada for the Regions of Quebec

Concurrence in Vote 1—Department of JusticeMain Estimates, 2022-23Government Orders

June 7th, 2022 / 6:35 p.m.
See context

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Mr. Speaker, if the member opposite is having a difficult time following the logic here, I would suggest that she leave the chamber or not listen, as opposed to interrupting.

This is in fact very relevant. We have the opposition focusing their attention on an issue, but the government of the day is focused on the issues that are facing Canadians. Whether it is today or during the budget debate or debate on Bill C-19, we are have been consistent on these types of issues. It is the official opposition that has not been consistent. The opposition has not been focused on these important budgetary measures because it has been focused on other issues to try to stir the pot.

I am using the issue of the mandates as a tangible example. The wannabe leader of the Conservative Party was out saying, “Let us end the mandates”, and the minions within the chamber who are supporting that leader are espousing the same policy. To say that this issue is not relevant is ridiculous, because those are the types of issues they were talking about during the budget debate. Even when the Province of Quebec still had a curfew in place, the Conservatives were focused on ending mandates.

The member for Carleton made reference to the Bank of Canada and its governor. It was very discouraging. When we talk about issues of inflation and what is happening in our economy today and the person who is likely the new leader of the Conservative Party is going around diminishing the value and the importance of the Bank of Canada and its governor, we should all be concerned. That person has not won yet, and maybe he will not win, but he is definitely supported by a majority of the members opposite in the Conservative Party, and these are important budgetary-type issues, because the Bank of Canada does play an important role. It is supposed to be arm's length.

The Conservatives are more interested in playing political games than in dealing with the issues. We have indicated very clearly that we are going to deal with the real issues that Canadians are facing day in and day out. When Conservatives talk about inflation, they try to give the impression that the sky is falling and that Canada is going straight downhill. They put their collective heads in the sand, not recognizing what is happening in the world.

Conservatives talk about inflation. The Prime Minister and every member of the Liberal caucus are all concerned about inflation, and we all understand the reality of what is happening in our environment that goes beyond our borders. It is affecting our inflation rate. If we could stop the war in Europe, we would do that. We do not have that kind of influence. We do have a great deal of influence in working with our allied countries. However, to deny the impact of what is taking place in Europe in the illegal Russian war that is happening to Ukraine is highly irresponsible. That war is having an impact on inflation.

To try to click our heels and think that mandates and the coronavirus would be gone and we would have nothing more to worry about would again be irresponsible. We just have to take a look at what is happening internationally.

Even today some members will say that someone can be on a boat for 24 hours but that cannot be done on a plane. Have members ever been a boat, compared to a plane? There is a big difference between being in a fuselage, where there are 220 people or whatever number of people, and being on a ferry between, let us say, Vancouver Island and the city of Vancouver.

We within the government benches continue to review and look at the situation, listen to what science is telling us and work with health experts. That is what is dictating our policies. Remember, the Conservatives have been saying to end mandates for months now.

Budget Implementation Act, 2022, No. 1Government Orders

June 7th, 2022 / 3:20 p.m.
See context

Liberal

The Speaker Liberal Anthony Rota

It being 3:20 p.m., pursuant to an order made on Thursday, November 25, 2022, the House will now proceed to the taking of the deferred recorded division at the report stage of Bill C-19.

The question is on Motion No. 1. A vote on this motion also applies to Motion No. 2.

The House resumed from June 6 consideration of Bill C-19, An Act to implement certain provisions of the budget tabled in Parliament on April 7, 2022 and other measures, as reported (with amendment) from the committee, and of the motions in Group No. 1.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

June 7th, 2022 / 12:35 p.m.
See context

Bloc

Yves Perron Bloc Berthier—Maskinongé, QC

Madam Speaker, I thank my colleague for his speech. I have a great deal of respect for him.

I am disappointed because today the Conservative Party has an omnibus motion for us after they slammed Bill C‑19 for being an appalling mammoth of a bill, and that was echoed by the Bloc Québécois. Now they present us with this motion in a sort of giant lump. There is so much in there that I am surprised it does not say “build more pipelines” somewhere. It is mind-boggling.

There are a bunch of issues we agree on, such as fertilizer and the real estate market. It really upsets me that we cannot vote on those issues because they are all lumped together with many other things, such as scrapping the carbon tax, for example.

Here is my question for the member: Does he really expect to get support for this motion, or is this just a ploy to make all the other parties look like the bad guys?

Budget Implementation Act, 2022, No. 1Government Orders

June 6th, 2022 / 6:15 p.m.
See context

NDP

Taylor Bachrach NDP Skeena—Bulkley Valley, BC

Madam Speaker, my colleague noted the tax on luxury goods, which is included in Bill C-19. While this is something we certainly support the direction of, I cannot help but note the theme where the government makes symbolic but largely insignificant moves on things like wealth inequality or housing affordability, yet it refuses to pull the larger levers that would make an actual difference on these important issues.

Does my colleague agree this is a troubling theme we see from the government?