Bill C-47

Budget Implementation Act, 2023, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on March 28, 2023

Part 1 implements certain measures in respect of the Income Tax Act and the Income Tax Regulations by
(a) enabling the Canada Revenue Agency (CRA) to use electronic certification of tax and information returns and requiring taxpayers to file electronically in certain circumstances;
(b) doubling the maximum deduction for tradespeople’s tools from $500 to $1,000;
(c) providing that any gain on the disposition of a right to acquire Canadian housing property within a one-year period of its acquisition is treated as business income;
(d) excluding from a taxpayer’s income certain benefits for Canadian Forces members, veterans and their spouses or common-law partners;
(e) exempting from taxation any income earned by the Band Class Settlement Trust in accordance with section 24.05 of the Settlement Agreement entered into on January 18, 2023 relating to the attendance of day scholars at residential schools;
(f) providing an additional payment of the Goods and Services Tax/Harmonized Sales Tax (GST/HST) credit equal to double the amount of the regular January 2023 payment;
(g) providing for automatic, quarterly advance payments of the Canada Workers Benefit;
(h) allowing divorced and separated spouses to open joint Registered Educational Savings Plans and increasing educational assistance amounts under those plans;
(i) extending, by ‚three years, the ability of a qualifying family member to be the plan holder of an individual’s Registered Disability Savings Plan and expanding the definition of “qualifying family member” to include a sister or a brother of the individual;
(j) allowing defined contribution registered pension plans to correct contribution errors and requiring that the contributions or refunds are reported to the CRA for the purpose of correcting the RRSP deduction limit;
(k) modifying reporting requirements in respect of reportable transactions, introducing reporting requirements for notifiable transactions and providing reporting requirements with respect to uncertain tax treatments, as well as extending the reassessment periods applicable to those transactions and creating or modifying penalties for non-compliance with those requirements;
(l) allowing the CRA to share taxpayer information for the purposes of the Canadian Dental Care Plan;
(m) expanding the definition of “dividend rental arrangement” to include “specified hedging transactions” carried out in whole or in part by registered securities dealers;
(n) implementing the Model Reporting Rules for Digital Platforms developed by the Organisation for Economic Co-operation and Development;
(o) requiring annual reporting by financial institutions of the fair market value of registered retirement savings plans and registered retirement income funds;
(p) expanding the permissible borrowing by defined benefit pension plans; and
(q) implementing a number of technical amendments to correct mistakes or inconsistencies and to better align the law with its intended policy objectives.
It also makes related and consequential amendments to the Excise Tax Act , the Tax Rebate Discounting Act , the Air Travellers Security Charge Act , the Excise Act, 2001 , Part 1 of the Greenhouse Gas Pollution Pricing Act and the Electronic Filing and Provision of Information (GST/HST) Regulations .
Part 2 implements certain measures in respect of the Excise Tax Act and a related text by
(a) clarifying that the international transportation of money benefits from Goods and Services Tax/Harmonized Sales Tax (GST/HST) relief and other special rules in the same manner as a service of internationally transporting other kinds of freight;
(b) permitting a pension entity, in specific circumstances, to claim the pension entity rebate or an input tax credit, or to make the pension entity rebate election, after the end of the two-year limitation period;
(c) specifying that cryptoasset mining is generally not considered a supply for GST/HST purposes; and
(d) ensuring that payment card clearing services are excluded from the definition “financial service” under the GST/HST legislation.
Part 3 amends the Excise Act , the Excise Act, 2001 and the Air Travellers Security Charge Act in order to implement two measures.
Division 1 of Part 3 amends the Excise Act and the Excise Act, 2001 in order to temporarily cap the inflation adjustment for excise duties on beer, spirits and wine at two per cent, for one year only, as of April 1, 2023.
Division 2 of Part 3 amends the Air Travellers Security Charge Act to increase the air travellers security charge that is applicable to air travel that includes a chargeable emplanement after April 2024 and for which any payment is made after April 2024.
Part 4 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 4 amends the Bank Act to strengthen the regime for dealing with complaints against banks and authorized foreign banks by, among other things, providing for the designation of a not-for-profit body corporate to be the sole external complaints body. It also makes consequential amendments to the Financial Consumer Agency of Canada Act and related amendments to the Financial Consumer Protection Framework Regulations .
Division 2 of Part 4 amends the Pension Benefits Standards Act, 1985 to, among other things, provide for variable life benefits under a defined contribution provision of a pension plan and amends the Pooled Registered Pension Plans Act to, among other things, provide for variable life payments under pooled registered pension plans. It also makes a consequential amendment to the Canadian Human Rights Act .
Division 3 of Part 4 contains measures that are related to money laundering and to digital assets and other measures.
Subdivision A of Division 3 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to, among other things,
(a) require persons or entities referred to in section 5 of that Act to report to the Financial Transactions and Reports Analysis Centre of Canada information that is related to a disclosure made under the Special Economic Measures Act or the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) ;
(b) strengthen the registration framework for persons or entities referred in paragraphs 5(h) and (h.1) of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act , which are often referred to as money services businesses;
(c) create two new offences relating to persons or entities who engage in activities for which they are not registered under that Act and the structuring of financial transactions undertaken to avoid reporting obligations under that Act, as well as a new offence relating to reprisals by employers against employees who fulfill obligations under that Act;
(d) facilitate the sharing, between the Minister of Finance, the Office of the Superintendent of Financial Institutions and the Financial Transactions and Reports Analysis Centre of Canada, of information that relates to their respective mandates; and
(e) authorize the Minister of Finance to issue directives to persons and entities referred in section 5 of that Act in respect of risks relating to the financing of threats to the security of Canada.
Subdivision A also amends the Budget Implementation Act, 2021, No. 1 in relation to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act .
Subdivision B of Division 3 amends the Criminal Code to provide for a new warrant authorizing a peace officer or other person named in the warrant to search for and seize digital assets, including virtual currency, as well as to expand the list of offences on the basis of which an examination of information obtained by the Minister of National Revenue under various tax statutes may be authorized. The subdivision also makes related amendments to other Acts.
Division 4 of Part 4 amends the Customs Tariff to extend the expiry date of the General Preferential Tariff and Least Developed Country Tariff to December 31, 2034 and to create a new General Preferential Tariff Plus tariff treatment that will expire on the same date. The Division also aligns direct shipment requirements for tariff treatments under that Act with those that apply to free trade agreements.
Division 5 of Part 4 amends the Customs Tariff to remove Belarus and Russia from the List of Countries entitled to Most-Favoured-Nation tariff treatment.
Division 6 of Part 4 allows the Bank of Canada to apply, despite sections 27 and 27.1 of the Bank of Canada Act , any of its ascertained surplus to its retained earnings until its retained earnings are equal to zero or the ascertained surplus applied to its retained earnings is equal to the losses it incurred from the purchase of securities as part of the Government of Canada Bond Purchase Program.
Division 7 of Part 4 enacts the Canada Innovation Corporation Act . That Act continues the Canada Innovation Corporation, which was established under another Act, as a parent Crown corporation, sets out the Corporation’s purpose to maximize business investment in research and development across all sectors of the economy and in all regions of Canada to promote innovation-driven economic growth and includes transitional provisions. The Division also makes consequential and related amendments to other Acts.
Division 8 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to authorize additional payments to the provinces and territories.
Division 9 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to renew the authority to make Equalization and Territorial Formula Financing payments for another five-year period beginning on April 1, 2024 and makes a technical change to improve the accuracy of the programs. It also makes a technical change to the calculation of fiscal stabilization payments. Finally, it provides for the publication of the details of all amounts authorized to be paid under that Act.
Division 10 of Part 4 amends the Special Economic Measures Act , the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) to strengthen Canada’s ability to take economic measures against certain persons.
Division 11 of Part 4 amends the Privileges and Immunities (North Atlantic Treaty Organisation) Act to, among other things, enable the Paris Protocol to be implemented in Canada.
Division 12 of Part 4 amends the Service Fees Act to, among other things, clarify the definition “fee”, exempt certain fees from the application of that Act, make certain exceptions in that Act applicable only with the approval of the President of the Treasury Board, make certain changes to the annual adjustment provisions and provide authority for the President of the Treasury Board to amend the regulations made under section 22 of that Act by taking into account the factors established by regulations.
It also amends section 25.1 of the Canadian Food Inspection Agency Act to provide for the application of sections 16 to 18 of the Service Fees Act to low-materiality fees, within the meaning of the Service Fees Act , that are fixed under section 24 or 25 of the Canadian Food Inspection Agency Act .
Division 13 of Part 4 amends the Canada Pension Plan to allow the Minister of National Revenue to make available information to the Minister of Employment and Social Development that is necessary for the purpose of policy analysis, research or evaluation related to the administration of that Act.
Division 14 of Part 4 amends the Department of Employment and Social Development Act to grant the Minister of Employment and Social Development the authority to collect and use Social Insurance Numbers for the purposes of administering or enforcing any Act, program or activity in respect of which the administration or enforcement is the responsibility of the Minister.
Division 15 of Part 4 amends the Canada Labour Code in respect of leave related to the death or disappearance of a child to, among other things, increase the maximum length of that leave from 104 weeks to 156 weeks and to repeal paragraph 206.5(4)(b) of that Act.
Division 16 of Part 4 amends the Immigration and Refugee Protection Act to provide that a claim for refugee protection made by a person inside Canada must be made in person and, with regard to a claim made by the person other than at a port of entry, that the Minister of Citizenship and Immigration may specify the documents and information to be provided and the form and manner in which they are to be provided.
Division 17 of Part 4 amends the Immigration and Refugee Protection Act to clarify that the Minister of Citizenship and Immigration may give instructions in respect of an application to sponsor a person who applies for a visa as a Convention refugee, within the meaning of that Act, or as a person in similar circumstances.
Division 18 of Part 4 amends the College of Immigration and Citizenship Consultants Act to, among other things,
(a) provide that the College of Immigration and Citizenship Consultants may seek an order authorizing it to administer the property of any licensee of the College who is not able to perform their activities as an immigration and citizenship consultant;
(b) extend immunity against proceedings for damages to directors, employees and agents and mandataries of the College, among others;
(c) authorize the College to enter into information-sharing agreements or arrangements with any entity, including federal or provincial government institutions; and
(d) expand the areas in respect of which the Governor in Council may authorize the College to make by-laws.
The Division also makes related amendments to the Citizenship Act and the Immigration and Refugee Protection Act to clarify that any person who is the subject of a notice of violation issued under either of those Acts has the right to request a review of the notice or the administrative monetary penalty set out in the notice.
Division 19 of Part 4 amends the Citizenship Act to, among other things,
(a) grant the Minister responsible for the administration and enforcement of that Act the power to collect biometric information from persons who make an application under that Act — and to use, verify, retain and disclose that information — in accordance with the regulations;
(b) authorize that Minister to administer and enforce that Act using electronic means, including by using an automated system; and
(c) grant that Minister the power to make regulations requiring persons who make an application or who provide documents, information or evidence under that Act to do so using electronic means.
Division 20 of Part 4 amends the Yukon Act to authorize the Minister of Northern Affairs to take any measures on certain public real property that the Minister considers necessary to prevent, counteract, mitigate or remedy any adverse effect on persons, property or the environment.
Subdivision A of Division 21 of Part 4 amends the Marine Liability Act to, among other things,
(a) increase the maximum liability for certain claims involving a ship of less than 300 gross tonnage;
(b) establish the maximum liability for claims involving air cushion vehicles;
(c) remove all references to the Hamburg Rules;
(d) extend the application of the International Convention on Civil Liability for Bunker Oil Pollution Damage, 2001 to non-seagoing vessels;
(e) provide for public notice requirements relating to the constitution of limitation funds under that Act;
(f) clarify that the owner of a ship is liable for economic loss related to fishing, hunting, trapping or harvesting suffered by an Indigenous group, community or people or suffered by a member of such a group, community or people; and
(g) expand the compensation regime of the Ship-source Oil Pollution Fund to include certain future losses.
Subdivision B of Division 21 amends the Canada Shipping Act, 2001 to, among other things,
(a) expand the application of Part 1 of that Act in relation to certain pleasure craft;
(b) expand the exemption powers of the Minister of Transport and the Minister of Fisheries and Oceans;
(c) allow the owner of a Canadian vessel to enter into an arrangement with a qualified person under which that person is the authorized representative of the vessel;
(d) give the Marine Technical Review Board jurisdiction to make decisions on applications for exemptions from interim orders;
(e) authorize the Governor in Council to incorporate by reference in certain regulations material that the Minister of Transport produces;
(f) broaden the Governor in Council’s power respecting fees, charges, costs or expenses to be paid in relation to the administration and enforcement of matters under that Act for which the Minister of Transport is responsible;
(g) increase the maximum amount of fines for certain offences;
(h) provide authority, in certain circumstances, for the Chief Registrar to refuse to issue a certificate of registry and for the Minister of Transport to refuse to issue a pleasure craft licence;
(i) authorize the Governor in Council to make regulations respecting emergency services;
(j) authorize the Minister of Transport to, among other things,
(i) direct a master or crew member to cease operations,
(ii) authorize the Deputy Minister of Transport to make interim orders in response to risks to marine safety or to the marine environment, and
(iii) direct a port authority or a person in charge of a port authority or place to authorize vessels to proceed to a place selected by the Minister; and
(k) permit designating as violations the contravention of certain provisions of Parts 5 and 10 of that Act and the regulations made under those Parts.
The Subdivision also makes a related amendment to the Oil Tanker Moratorium Act .
Subdivision C of Division 21 amends the Wrecked, Abandoned or Hazardous Vessels Act to, among other things, establish the Vessel Remediation Fund in the accounts of Canada and provide the Minister of Fisheries and Oceans with certain powers in relation to the detention of vessels.
Division 22 of Part 4 amends the Canada Transportation Act to, among other things,
(a) allow the Governor in Council to require air carriers to publish information respecting their performance on their Internet site;
(b) permit the sharing of information to ensure the proper functioning of the national transportation system or to increase its efficiency, while ensuring the confidentiality of that information;
(c) allow the Minister of Transport to require certain persons to provide certain information to the Minister if the Minister is of the opinion that there exists an unusual and significant disruption to the effective continued operation of the national transportation system;
(d) establish a new zone in Manitoba, Saskatchewan and Alberta, in which any interswitching that occurs is subject to the rate determined by the Canadian Transportation Agency, for a period of 18 months; and
(e) broaden the scope of the administrative monetary penalties scheme.
Division 23 of Part 4 amends the Canada Transportation Act to, among other things,
(a) broaden the authority of the Canadian Transportation Agency to set fees and charges to recover its costs;
(b) replace the current process for resolving air travel complaints with a more streamlined process designed to result in more timely decisions;
(c) impose a greater burden of proof on air carriers where it is presumed that compensation is payable to a complainant unless the air carrier proves the contrary;
(d) require air carriers to establish an internal process for dealing with air travel claims;
(e) modify the Agency’s regulation-making powers with respect to air carriers’ obligations towards passengers; and
(f) enhance the Agency’s enforcement powers with respect to the air transportation sector.
Division 24 of Part 4 amends the Customs Act to, among other things,
(a) allow a person arriving in Canada to present themselves to the Canada Border Services Agency by a means of telecommunication, if that manner of presenting is made available at the customs office at which they are presenting themselves; and
(b) subject to the regulations, require that the operator of a commercial aircraft arriving in Canada ensure that baggage on board the aircraft is transported without delay to the nearest international baggage area.
The Division also makes a related amendment to the Quarantine Act .
Division 25 of Part 4 amends the National Research Council Act to, among other things, provide that the National Research Council of Canada may procure goods and services, including goods and services relating to construction and to research-related digital and information technology. It also establishes a new Procurement Oversight Board.
Division 26 of Part 4 amends the Patent Act to, among other things,
(a) authorize the Commissioner of Patents to grant an additional term for a patent if certain conditions are met;
(b) authorize the Governor in Council to make regulations respecting the number of days that is to be subtracted in determining the duration of an additional term; and
(c) authorize the Commissioner of Patents and the Federal Court to shorten the duration of an additional term if the duration as previously determined is longer than is authorized.
Division 27 of Part 4 amends the Food and Drugs Act to extend measures regarding therapeutic products to natural health products in order to, among other things,
(a) strengthen the safety oversight of natural health products throughout their life cycle; and
(b) promote greater confidence in the oversight of natural health products by increasing transparency.
Division 28 of Part 4 amends the Food and Drugs Act to, among other things, prohibit
(a) the sale of a cosmetic unless its safety can be established without relying on data derived from a test conducted on an animal that could cause pain, suffering or injury, whether physical or mental, to the animal, subject to certain exceptions;
(b) the conduct of a test on an animal that could cause pain, suffering or injury, whether physical or mental, to the animal if the purpose of the test is to meet a legislative requirement that relates to cosmetics; and
(c) deceptive or misleading claims, on the label of or in an advertisement for a cosmetic, with respect to testing on animals.
Division 29 of Part 4 enacts the Dental Care Measures Act .
Division 30 of Part 4 amends subsection 41(1) of the Canada Post Corporation Act , in response to the decision in R. v. Gorman , to limit the Canada Post Corporation’s authority to open mail other than letters.
Division 31 of Part 4 expresses the assent of the Parliament of Canada to the issuing by His Majesty of a Royal Proclamation under the Great Seal of Canada establishing for Canada the applicable Royal Style and Titles.
Division 32 of Part 4 amends the Public Sector Pension Investment Board Act to provide that the Public Sector Pension Investment Board may incorporate a subsidiary for the purpose of providing investment management services to the Canada Growth Fund Inc. It also amends the Fall Economic Statement Implementation Act, 2022 to increase the amount that may be paid out of the Consolidated Revenue Fund on the requisition of the Minister of Finance for the acquisition of shares of the Canada Growth Fund Inc. and to provide that the Canada Growth Fund Inc. is not an agent of His Majesty in right of Canada.
Division 33 of Part 4 amends the Office of the Superintendent of Financial Institutions Act , the Trust and Loan Companies Act , the Bank Act and the Insurance Companies Act to, among other things,
(a) expand the mandate of the Office of the Superintendent of Financial Institutions to include the supervision of federal financial institutions in order to determine whether they have adequate policies and procedures to protect themselves against threats to their integrity or security; and
(b) expand the Superintendent of Financial Institutions’ powers to issue directions to, and to take control of, a federal financial institution in certain circumstances.
It also makes a consequential amendment to the Winding-up and Restructuring Act .
Division 34 of Part 4 amends the Criminal Code to, among other things, lower the criminal rate of interest calculated in respect of an agreement or arrangement and to express that rate as an annual percentage rate. It also authorizes the Governor in Council, by regulation, to fix a limit on the total cost of borrowing under a payday loan agreement. Finally, it provides for transitional provisions.
Division 35 of Part 4 amends the Employment Insurance Act to extend, until October 26, 2024, the increase in the maximum number of weeks for which benefits may be paid in a benefit period to certain seasonal workers.
Division 36 of Part 4 amends the Canadian Environmental Protection Act, 1999 to, among other things,
(a) establish an account in the accounts of Canada to be called the Environmental Economic Instruments Fund, for the purpose of administering amounts received as contributions to certain funding programs under the responsibility of the Minister of the Environment; and
(b) replace references to “tradeable units” with references to “compliance units”.
It also makes consequential amendments to the Canada Emission Reduction Incentives Agency Act .
Division 37 of Part 4 amends the Canada Deposit Insurance Corporation Act to clarify that the Canada Deposit Insurance Corporation may administer any contract related to deposit insurance entered into by the Minister of Finance and to allow the Minister to increase the deposit insurance coverage limit until April 30, 2024.
Division 38 of Part 4 amends the Department of Employment and Social Development Act to, among other things,
(a) establish the Employment Insurance Board of Appeal to hear appeals of decisions made under the Employment Insurance Act instead of the Employment Insurance Section of the General Division of the Social Security Tribunal; and
(b) eliminate the requirement for leave to appeal decisions relating to the Employment Insurance Act to the Appeal Division of the Tribunal.
It also makes consequential amendments to other Acts.
Division 39 of Part 4 amends the Canada Elections Act to provide for a national, uniform, exclusive and complete regime applicable to registered parties and eligible parties respecting their collection, use, disclosure, retention and disposal of personal information.

Report Stage

[Charlie Angus, NDP, Timmins—James Bay, ON]

Madam Speaker, that is a double ouch. The Conservatives certainly have a raw wound there. I was talking only about the member who moved out of his home in Ottawa and moved into Stornoway, which is a fact. That is a 19-room mansion funded by taxpayers.

I was just saying that I had a job; I had many jobs. When I ran my own business, I had to go to dentists to try to get a deal on dental care for my children. The member who lives in Stornoway has never had to do that. He has lived pretty damn well off the taxpayer. He is telling senior citizens in 2023 that they have no right to dental care; he said he will do anything, including jumping up and down all night long in Parliament, to stop this from happening.

He should tell his chef in the morning to give him some eggs, some yogourt, some granola and some green tea to calm him, so he is not just a rage bucket. That way, he can actually show up in Parliament to do some work.

[Julie Vignola, Bloc, Beauport—Limoilou, QC]

Madam Speaker, Bill C‑47 included $2 billion in health transfers that were already voted on in Bill C‑46, to be sure, but that were still there.

The NDP joined forces with the Liberals to remove that $2 billion even though the needs are growing not only because of the current fires, but also because of the growing and aging population.

Does my colleague regret having removed that $2 billion from Bill C‑47?

[Charlie Angus, NDP, Timmins—James Bay, ON]

Madam Speaker, I certainly think the New Democrats would be more than willing to do a workshop for the Bloc on the years that we have spent, time and time again, fighting for senior citizens and fighting for health care, because it is the right thing to do. We will continue to do that.

As for the member's comments on the fires, yes, we are very concerned about the fires in Abitibi. They are having a huge impact in my region. We are very concerned about Sept-Îles. This is why we need to be seen to be delivering for the Canadian people, and I look forward to working with the Bloc and maybe helping them understand how much work we have done on health care as a party. In fact, we are the party that brought in national health care, and we will continue to defend it.

[Julie Vignola, Bloc, Beauport—Limoilou, QC]

Madam Speaker, allow me to begin my comments by talking a little about the situation in Quebec and Canada. My thoughts are with everyone affected by the fires, whether in Halifax, northern Ontario, or in Quebec in Abitibi, Témiscamingue or the north shore, where I have family and friends who are either out of their homes as a preventive measure, or unable to leave their village because the road is blocked by the fire. I send my love to my sister, my cousin and my niece.

We are here today to discuss Bill C‑47. It includes some interesting elements, including the creation of a real EI board of appeal. People who feel cheated will be able to assert their rights. That is a good thing. The air passenger protection system is also being improved. I attended a meeting on the topic in January, and most of the proposals we put forward were accepted, which better protects users. That is also a good thing.

However, several elements are missing. There is no increase for seniors aged 65 to 74. An increase of the tax credit from $5,000 to $6,500 is good. However, people who paid taxes for their entire lives still find themselves with rates that are similar to people who are single, without being able to put money into RRSPs or other forms of tax credits. Seniors' pensions are essentially a social program and, constitutionally, are the jurisdiction of Quebec and the provinces. The way things are going, seniors have a better chance of seeing Quebec repatriate all its pension powers for seniors than seeing Canada improve their situation based on current economic realities.

There is little in this budget related to housing. The supplementary estimates (A) include $973 million, but this one includes almost nothing. In terms of health, the population of Quebec and the Canadian provinces is aging, but is also growing across all age groups. That means that health care costs are higher. The government, with its wires crossed somewhat, had left $2 billion in health transfers in Bill C‑47, which were already voted in Bill C‑46. We thought the government had reconsidered its position, that it was acknowledging that the needs are actually greater, that it would increase health transfers and that that would help everyone. In the end, in a dramatic twist, the Liberals joined with the NDP to remove that $2 billion in health transfers, although the needs are still there.

Now let us now talk about employment insurance. This government has been promising EI reform since 2015. The only thing that has been done so far is a pilot project for seasonal workers, which is a good thing. Their benefits are being extended. Apart from extending the pilot projects, though, nothing else in this budget is new, as I said. The pandemic left a huge hole in the employment insurance fund. The act states that the fund may not run either a deficit or a surplus over an average period of seven years. This means that workers and employers will have to make up for the pandemic-related deficit through their EI contributions. It is important to note that the government does not contribute a penny to the EI fund. Only workers and employers contribute to it.

Over the next few years, there will be surpluses in the EI fund, as was the case before the pandemic, and those surpluses will be used to get rid of the debt brought about by the pandemic. The government could have solved the problem by using the consolidated revenue fund to keep a surplus in the EI fund. It chose not to do so and to make workers and employers pay down the deficit.

The surpluses generated over the next seven years will be used to cover the deficit created by the pandemic. That means that the government has no real intention of reforming the program for the next seven years, in other words, as long as the pandemic deficit is not eliminated.

Employment insurance is also a social program. Just like seniors' pensions, constitutionally, it is a program that should belong to the Canadian provinces and Quebec. At this time, Quebec repatriating its powers and putting in place a modern program is more likely than Canada even beginning to think about maybe continuing to reflect.

There are also surprises in this budget. Among other things, we learn that $80 billion will be allocated over 10 years to a fund for the green transition. That is good news, except that the fund will be distributed to organizations that are not required to report to Parliament. The eligibility criteria for obtaining funds include investments in the oil industry to create green energy, so oil and gas will be burned to create green energy.

By the way, the energy transition does not mean shifting from fossil fuels that produce a lot of greenhouse gases to fossil fuels that produce just a bit less greenhouse gases. The energy transition means shifting to renewable energy. The last I heard, there was no shortage of wind in Quebec and Canada. That is just one renewable energy that can be used. The technology is increasingly reliable.

There is another little surprise in the budget. While 56% of Canadians and 70% of Quebeckers say they are opposed to the monarchy, something was included at the very end of the bill, in clause 510, which is under division 31 of part 4, on page 325. It is recognition of the appointment of Charles III as Canada's monarch, the official head of state of Canada. It is an attempt to slip this by the 56% of Canadians and 70% of Quebeckers who are opposed to the monarchy. Some would say that Bloc members are sovereigntists who no longer want the monarchy. That would mean that 56% of Canadians and 70% of Quebeckers are also sovereigntists. The will of the people—a majority of them in this case, as I said—ought to be respected.

I will quickly end my speech. To answer the Leader of the Opposition's question, a sovereign and independent Quebec will not need health transfers, equalization payments, housing transfers or infrastructure transfers. That is because Quebec will get to keep all the taxes it collects. It will also keep the revenues from customs duties. It will be the sole manager of monies paid by workers and employers into the employment insurance fund and the pension fund for seniors. It will be the sole manager of monies generated by this new country that Quebec could and must become. Quebec's independence will allow us to manage our own future so we can fully represent Quebeckers' aspirations for future generations, unlike this budget, which does not do so.

[Mark Gerretsen, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons (Senate)]

Madam Speaker, I certainly agree with one part of the member's speech, and that is her plea to electrify our grid through the use of more renewable energies. She spoke specifically about wind, indicating there was a lot of opportunity for that, but one critical part to that energy infrastructure change and revolution is our capacity on storage and our ability to store energy in the future.

Could the member speak to other opportunities for us to continue to build upon the transition we are going through?

[Julie Vignola, Bloc, Beauport—Limoilou, QC]

Madam Speaker, technology is advancing rapidly.

Solar, wind and hydro are types of energy that can be considered renewable. We need them. Increasing GHGs in various ways will not help minimize environmental damage.

By the way, the best energy is always the energy we do not use. Reducing our own consumption across the board will also change people's habits and make a difference.

[Lisa Marie Barron, NDP, Nanaimo—Ladysmith, BC]

Madam Speaker, as we are all experiencing it today, there is smoke in the skies. We are clearly in a climate crisis. Instead of us moving forward in a direction to begin implementing sound solutions to address this climate crisis and the horrendous impacts we are all experiencing as a result, the Conservatives are playing games with stalling tactics, ensuring these are not being implemented.

Could my colleague share her thoughts on the importance of us putting into place sound solutions to address the climate crisis and to not see hold-ups and unnecessary parliamentary games to keep us from moving forward in a positive direction?

[Julie Vignola, Bloc, Beauport—Limoilou, QC]

Madam Speaker, in response to my colleague, I would like to remind her of the opposition's role in democracy.

When I arrived in the House, someone told me that my role as a member of the opposition was not to enable the government to function, but to obstruct it at all costs. Personally, I see the opposition's role as being much more constructive.

No single party or individual can see all sides of an issue. It is just not possible for a government to introduce a perfect bill. It is important to consult all the parties and come to an agreement, to have a consensus.

The expression “political games” is wrong; we are not playing games here. This is about every aspect of people's future. This is serious. We have to work together, find consensus and represent the entire population, the people we all represent.

[Frank Caputo, Conservative, Kamloops—Thompson—Cariboo, BC]

Madam Speaker, it is always a pleasure to rise on behalf of the people from Kamloops—Thompson—Cariboo.

Before I get going, I want to give a quick shout-out to my nephew, who had his 21st birthday yesterday, Noah Bradley.

My colleague from the Bloc spoke about finding consensus. I would like to hear her opinion on whether the way to finding consensus is through cutting debate, as the Liberals have done so often in this Parliament.

[Julie Vignola, Bloc, Beauport—Limoilou, QC]

Madam Speaker, I wish my colleague's nephew a happy birthday.

I know the Remparts beat the Kamloops team and really enjoyed their stay in Kamloops.

With respect to consensus, time allocation is not the best way to reach it. We have to find other approaches, maybe different ways of talking to each other, to make that happen.

[Joël Godin, Conservative, Portneuf—Jacques-Cartier, QC]

Madam Speaker, first allow me to spare a thought for the people affected by forest fires across Canada. I am thinking of them and channelling my energy toward helping them get through this extremely difficult and tragic situation. I thank the firefighters, members of the military and all volunteers contributing to their well-being.

Today, I am rising in the House to speak to Bill C-47. On March 28, the Liberal government tabled an irresponsible budget that increases both the debt and inflation. The government chose to throw money at everything. It is an obvious ploy. The government is making self-serving decisions to stay in power by using public money to buy the support of the New Democratic Party.

In the highlights of the Parliamentary Budget Officer's report of April 13, Yves Giroux stated:

Budget 2023 does not provide an assessment of program effectiveness that the Government launched in last year's budget under its comprehensive Strategic Policy Review, nor in my view does it identify opportunities to save and reallocate resources to adapt government programs and operations to a new post-pandemic reality.

Take the Canada dental benefit, for example. I support this benefit. It is a very exciting social program, but it has to be considered within the current context. The truth is that this government is throwing so much money around that it is going to trigger a recession. Before offering people the chance to invest in their teeth, how about ensuring that they have food to eat first?

The government is free to rebut this comment with the grocery rebate proposed in its budget, but let us be realistic. A one-time payment will only help some people, and not for long.

In a column entitled “A doubled-edged rebate”, published on March 30 in La Presse, Sylvain Charlebois reminded us that this budget, like last year's, contained no section on agriculture or food. I would point out that Dr. Charlebois is senior director of the Agri-Food Analytics Lab at Dalhousie University. He has credibility. I encourage the Liberals to consult him for ideas. Dr. Charlebois says this:

For Canadians, the grocery rebate will be limited in scope and duration, an offshoot of the politicization of food inflation. The PR spin is real, whereas tax changes that could have a substantial impact are not. However, the prospect of injecting $2.5 billion more into the economy is causing a lot of concern. Such an action could worsen the food inflation problem.

Yes, it is a double-edged rebate indeed.

The government gives with one hand, but it claws back double or more from the pockets of honest Canadian citizens through the excise tax, the carbon tax and the carbon tax 2.0. It is injecting money into the economy, which is causing inflation. In our capitalist system, businesses aim to make a profit. That aim is perfectly legitimate. It is a matter of survival for them. If they cannot turn a profit, they will close their doors and thousands of Canadians will lose their jobs.

In that context, the responsible thing for the government to do would have been to reduce federal spending and collaborate with the Bank of Canada.

That is the way to stop inflation and give some breathing room to Canadians who are increasingly struggling.

There is a major lack of vision here. Maybe the government's vision is restricted by its blinders, leading it to focus exclusively on what is really important to it: the Liberal-NDP coalition keeping it in power.

The Parliamentary Budget Officer has shown that the carbon tax will cost the average family between $400 and $847 in 2023, even after the rebate. I urge everyone to take a look at the Canadian Debt Clock created by the MEI, the Montreal Economic Institute. It shows that the federal debt in Canada now exceeds $1.299 trillion and will soon reach $1.3 trillion. That is huge. It breaks down to $44,000 of debt per taxpayer. Based on data provided by the Department of Finance in its March 28, 2023, budget, the MEI estimates that, by March 31, 2024, the Canadian debt will have increased by $42.6 billion, the equivalent of $116 million per day, $81,000 per minute or $1,350 per second.

I have heard members of the government, I think including the member for Saint-Maurice—Champlain, when he was minister of foreign affairs, say that now is the time to borrow, that interest rates are low and will stay low. What a peculiar basis for managing a government's public funds.

To illustrate the government's incompetence, just last fall, in the economic statement, it forecast a deficit of $36.4 billion for 2022-23, and deficits of $30 billion in 2023-24 and $25 billion in 2024-25. The fact is that, in this budget, the government now forecasts a deficit of $40.1 billion for 2023-24. That is almost $10 billion more but, for the Liberals, $1 billion, $10 billion or $100 billion is nothing because they can just print more money.

As I noted earlier, the national debt will soon reach $1.3 trillion. Do my colleagues know that the debt ceiling is set at $1.8 trillion? Is the government racing to reach that target? I hope not.

The Conservative Party, to which I am proud to belong, had some very specific asks for the government concerning budget 2023: end the war on work by reducing taxes for workers; end the inflationary deficits that are driving up the cost of goods; and eliminate barriers to building housing for Canadians. The simple truth is that none of the Conservative Party's three demands have been met. None of them have been included in the bill.

That is why the Conservatives will not be supporting this anti-worker, pro-inflation budget that raises taxes. At least, we will not be supporting it unless and until our demands are met. This way of doing things is unacceptable. It is irresponsible, and I hope that, thanks to the actions of the opposition, the government will listen to reason and change course.

The House resumed consideration of Bill C-47, An Act to implement certain provisions of the budget tabled in Parliament on March 28, 2023, as reported (with amendments) from the committee, and of the motions in Group No. 1.

Budget Implementation Act, 2023, No. 1

[Jean-Denis Garon, Bloc, Mirabel, QC]

Mr. Speaker, my regards to you and to all our valiant colleagues who are here with us.

This is a debate at report stage on the budget, specifically Bill C‑47. It is the month of June. The Stanley Cup finals are going on. It is hot out, we still do not have a budget and we have a minority government. As we have seen all this week and today, there is a blockage in Parliament. Everything is delayed, everything is moving slowly. These blockages clearly have an impact on government policies, Quebeckers and Canadians.

In a minority government, we would expect the government to use methods that foster a consensus and the advancement of the work of Parliament. We would expect the government to propose a budget that we could agree on, one that could achieve a consensus, especially since there is great potential for blockage here on the part of the official opposition.

The Conservatives have many faults, including being against women's right to control their own bodies, being against environmental policies and being pro-oil, but they do have one good quality, and that is that they are predictable. We know that they will block everything.

We expected the government to have the foresight to propose a budget that we could work on. Instead, the government did exactly what it had promised it would never do. It is something the Harper government did time after time, namely present an omnibus bill, a colossal bill that is basically impossible to rework and that is almost designed to be delayed.

It almost seems like the government has no respect for the House and is looking for trouble. This bill amends 59 acts, in addition to the Income Tax Regulations. Anything and everything is in there. There is even a royal provision in the budget to recognize Charles III as sovereign. After all that, the government members are surprised that it is being blocked. They are surprised to see the Conservatives propose 900 amendments. They will say that everyone else is being unreasonable, when they are the ones who tabled an omnibus bill. They will ultimately invoke closure. The NDP will get into bed with the Liberals and support closure as usual. After that, they will accuse the other parties of picking fights.

As a responsible opposition party, all we ask is to debate and be able to do our work on each element of the budget bill.

For example, we wanted to be responsible and work intelligently on the royal provision. There is an appointment in the bill. Charles III is to be appointed head of state in a sovereign country. We thought we would do what we do for all appointments of all commissioners and officers of Parliament. We thought we would call His Majesty and have him come to committee. We wanted to give him a chance and see if he is competent to be head of state. There is no one more sporting than us. We are square dealers.

We therefore asked the clerk of the Standing Committee on Finance to contact Rideau Hall and ask them to invite His Majesty. This is, after all, part of his kingdom. We were told that they do not have his phone number. We were surprised to see that the Governor General did not serve much purpose. Honestly, I was surprised. I did not expect that. Then we went back to the clerk to see if he could contact Buckingham Palace and ask them to have His Majesty come testify. An email was sent to Buckingham Palace. The response we received from Buckingham Palace was that His Majesty is a bit old-fashioned and only opens snail mail, so the invitation would have to be mailed to him. I do not know if mail addressed to His Majesty can be sent postage free. That should be checked. Nevertheless, he was supposed to be invited by mail.

How should we interpret that? First, we have a head of state who cannot open emails. Do we really need to invite him to committee to know that he cannot deliver results? Would we hire an ethics commissioner or a privacy commissioner who could not open emails? Maybe we should have sent him a homing pigeon. Government do not work that way.

We have to wonder. Does a refusal to come pay a short visit to parliamentarians not show contempt for Canada, its institutions and its Parliament? I see that as contempt.

I cannot believe that, in order to send an invitation to His Majesty, we have to send him a letter on papyrus and wait for the letter and his response to travel across the Atlantic Ocean. I thought it seemed obvious. Even His Majesty is embarrassed about the budget and ashamed to be associated with it. I think members can understand why. The reason is that the things that are most important to Quebeckers and Canadians have been left out of the budget. Even the King is embarrassed.

Take, for example, employment insurance. The government was supposed to have learned from the crisis. During the COVID-19 crisis, the government went from one temporary measure to another. That is because we have an EI system where 60% of people who lose their jobs are not eligible. It is not right that six out of 10 people are not eligible. What is more, women and young people are particularly affected because many of them hold non-standard jobs. They have a hard time qualifying. It also has more of an impact on those who are vulnerable because of the new realities of work, or what is referred to as the sharing economy, which is a way of artificially turning a salaried employee into a non-salaried employee so that they do not have access to all the benefits that a social safety net could provide.

The Liberals have been promising to reform EI since 2015. They promised not once, not twice, but three times. It was supposed to happen in August. Then we saw the actuarial forecasts in the budget. We realized that not only was a reform off the table, but they were going to pick $25 billion from the pockets of SMEs and workers through a payroll tax to pay off the EI fund deficit that built up during COVID‑19, even though all the other pandemic measures implemented were funded by the entire population.

That is why His Majesty is embarrassed to come. He no longer wants to have anything to do with the Liberals. It could be that His Majesty is embarrassed over the environmental policies. We are giving away $20 billion to $30 billion in dirty oil subsidies, allegedly for carbon capture, even though the problem is immediate.

The government tells us that the environment is important. On May 31, the Minister of Environment and Climate Change boasted to the New Economy Canada conference that there was a plan for transitioning to the green economy.

That same day, the Minister of Labour told an audience of business people, “Don't tell me a green energy future doesn't include oil and gas.”

What colour is oil? It is not the colour of the chairs here in the House of Commons. It is definitely not green. The environment is being completely neglected.

Here we have the government creating its much-touted green fund, the $16‑billion Canada growth fund. This fund will be managed by PSP Investments, a company that does not report to Parliament and will not be accountable. The only mandate it has ever had is financial performance. Through no fault of its own, this company has absolutely no expertise in this area. At the moment, it sees carbon capture as the green development model. That technology is not yet up and running, but we are being promised that it will exist in 30 years' time. However, the problem is here now. There is even talk of using small modular nuclear reactors to extract more oil by using less oil to export more. That is what PSP Investments is all about.

In the budget, there is nothing for seniors who dealt with the crisis and were hit hard by it. Even before the crisis, their purchasing power had declined.

There is nothing for our regions either, nor for discount regional flights. I am thinking about Abitibi, the Gaspé and the north shore. We know that for regional development, for economic development, we need regional flights. It is very important. There is absolutely nothing in the budget. It is always promises, promises.

The budget includes changes to the equalization system that deny Quebec of $400 million in short order. Let us talk about equalization. We are still in this mode where the Liberals are not meeting their commitments. That being said, they are doing some things. It is not all bad, but they are not getting results where it counts.

They will tell us that we should support this because the best is yet to come, but we know all about Liberal promises. We knew about them in 2015, 2016, 2017, 2018, 2019, 2020, 2021 and 2022. We still know about those Liberal promises, but we no longer believe them. That is why we are going to do what King Charles III would do if we were in our shoes: We are going to vote against the budget.

[Bernard Généreux, Conservative, Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC]

Mr. Speaker, if I am not mistaken, my colleague is an economist and has taught economics.

As recently as February of this year, the Minister of Finance said that higher deficits would add fuel to the fire of inflation. That statement from the finance minister is the exact opposite of what she proposed in the last budget.

Does my colleague think that makes sense? Does he believe that the government has failed in its duty to manage the country properly by adding fuel to the fire of inflation, with such high interest rates and skyrocketing inflation?

[Jean-Denis Garon, Bloc, Mirabel, QC]

Mr. Speaker, what is happening is that the government has developed a habit of overspending given the flexibility that it has.

The Parliamentary Budget Officer has shown that, to maintain its debt-to-GDP ratio, the government has roughly $40 billion in fiscal flexibility. However, the government has developed a bad habit of using its fiscal advantage to take over areas of provincial jurisdiction. We saw this in the case of child care and the infamous dental plan. The government has encroached on many areas of jurisdiction.

I believe my colleague will agree with me in part. I think the government could be more fiscally responsible if it took better care of its own areas of jurisdiction and let the provinces do their work as they should.

I think there is some confusion in Ottawa at the moment. All the Liberals want to do is stick their noses into just about everything, in order to win votes. It is highly unproductive.

I am sure my Conservative colleague will agree with my take on the situation.