Bill C-56 (Historical)

Affordable Housing and Groceries Act

An Act to amend the Excise Tax Act and the Competition Act

Part 1 amends the Excise Tax Act in order to implement a temporary enhancement to the GST New Residential Rental Property Rebate in respect of new purpose-built rental housing.
Part 2 amends the Competition Act to, among other things,
(a) establish a framework for an inquiry to be conducted into the state of competition in a market or industry;
(b) permit the Competition Tribunal to make certain orders even if none of the parties to an agreement or arrangement — a significant purpose of which is to prevent or lessen competition in any market — are competitors; and
(c) repeal the exceptions in sections 90.1 and 96 of the Act involving efficiency gains.

Financial Protection for Fresh Fruit and Vegetable Farmers Act

[Scot Davidson, Conservative, York—Simcoe, ON]

Mr. Speaker, Canada's fresh fruit and vegetable growers should be paid for the fruit and vegetables they grow, full stop. Bill C-280 will ensure that fresh fruit and vegetable suppliers are not unduly disadvantaged by the bankruptcy of a produce buyer.

The deemed trust established by this bill will also support the highly integrated produce trade between Canada and the United States. Farmers and other suppliers in Canada have been pushing for these measures for almost 20 years. The absence of a deemed trust has cost produce suppliers their farms and livelihoods and has jeopardized our domestic food security. With Bill C-280, we can finally change that.

This is a common-sense Conservative bill that has been supported by all parties in this House. I want to thank all members for that, especially the Conservative shadow minister for agriculture and agri-food, the member for Foothills; the chair of the Standing Committee on Agriculture and Agri-Food, the member for Kings—Hants; the member for Berthier-Maskinongé; and the member for Cowichan—Malahat—Langford for their support. It goes to show the cross-country support this bill has.

Bill C-280 will provide financial protection measures for those growing fruits and vegetables from coast to coast to coast. This includes asparagus in Quebec, sweet potatoes in Nova Scotia, and carrots in the soup and salad bowl of Canada, home to the Holland Marsh in my riding of York—Simcoe. Of course, this week we saw the leader of the official opposition clearly loved the Ambrosia apples in the great province of British Columbia. How about those apples?

I am also grateful to Ron Lemaire and Shannon Sommerauer from the Canadian Produce Marketing Association, Quinton Woods from the Fruit and Vegetable Growers of Canada, Fred Webber from the Fruit and Vegetable Dispute Resolution Corporation, Jody Mott from the Holland Marsh Growers' Association, and of course, my number one staff in Ottawa, Patrick Speck, who worked tirelessly on this bill with me, as well as my staff in the riding: Jennifer, Michael and Carol.

My thanks to Suzanne, my wife. I told her that it would all be worth it, all the long days and nights here in Ottawa, which I know all members can appreciate.

It is time we get this over the line. I urge members to support Bill C-280 when this is voted upon next week. I trust that legislators in that other place with the red carpet, who can be a little slow sometimes, will deal with it promptly, given the multi-party support for these measures. Like we say in York—Simcoe, “Be ready, Senators”.

Right now, Canadians are dealing with the high cost of food. With Bill C-56 and other measures, the government has been talking about stabilizing food prices. Bill C-280 is going to lower prices of fresh fruits and vegetables that Canadians need now, so we all need to get behind this.

Too often Canadians, especially rural Canadians, think we cannot work together in this place. They think we cannot get anything done and they believe that whatever is accomplished does not have any relevance to or impact on their lives. In rural communities, people band together every day. They are the foundation of what it means to be Canadian. They want to see this place work for them, they want to see the way it works for one another. I firmly believe that Bill C-280 sends a message to every produce farmer and supplier that we understand the issues they face and that we are committed to addressing them.

The hard work of passing this bill is nothing compared to the boots in the muck in the Holland Marsh, which all farmers face right across Canada, but I can tell colleagues this. We are going to get behind them with this bill. We are going to get it done. Let us get Bill C-280 passed for the farmers right across Canada.

Alleged Duplication of Private Member's Bill—Speaker's Ruling

[The Speaker, Greg Fergus]

I am now ready to rule on the point of order raised on Thursday, September 21, by the member for Bay of Quinte concerning Bill C-339 and Bill C-56.

Bill C-339, an act to amend the Competition Act (efficiencies defence), standing in the name of the member for Bay of Quinte, received first reading on June 8 and was added to the order of precedence on September 20. Bill C-56, an act to amend the Excise Tax Act and the Competition Act, received first reading on Thursday, September 21, and is currently being debated in the House at second reading.

In his intervention, the member for Bay of Quinte noted that the government had presented a bill which contains the same provisions as his private member's bill. The member sought assurance from the Chair that, if required, he would have recourse to replace his bill with another item according to the provisions of the Standing Orders.

The parliamentary secretary to the government House leader countered that it would be premature to consider the matter until the Subcommittee on Private Members’ Business and the Standing Committee on Procedure and House Affairs had completed their work pursuant to Standing Order 91.1 and presented a report to the House.

Bill C‑339 contains only two clauses, which are identical to clauses 9 and 10 of Bill C‑56. Bill C-339 seeks to repeal the provision of the Competition Act setting out the “efficiencies defence”, which prevents the Competition Tribunal from making an order if it finds that the likely gains in efficiency will be greater than the effects of any lessening of competition resulting from a merger.

Bill C-56 aims to repeal the exception brought about by mergers involving efficiency gains, while also establishing a framework to conduct an inquiry, permitting the Competition Tribunal to make certain orders, as well as amending the Excise Tax Act.

It is my understanding that the Subcommittee on Private Members’ Business held a meeting on Thursday, October 5, to determine whether the bills added to the order of precedence on September 20 should remain votable or not. While the subcommittee and the Standing Committee on Procedure and House Affairs have not yet made a final recommendation to the House concerning Bill C-339, the official process has not yet run its course. It would therefore be premature for the Chair to make any determination on this matter at this time.

There is an opportunity to resolve the concern raised through the Subcommittee on Private Members' Business and the Standing Committee on Procedure and House Affairs, which are the designated bodies for considering items added to the order of precedence. I trust that the usual process will be followed in accordance with the rules and practices of the House. If a procedural issue remains after that process is complete, the Chair is open to considering the matter.

I thank all members for their patience and attention.

Business of the House

[Karina Gould, Liberal, Leader of the Government in the House of Commons]

Mr. Speaker, I think the hon. member will be very happy with my answer.

I hope that happiness will result in him supporting Bill C‑56 and not just giving a speech about it. The bill is good for Quebeckers and Canadians.

Tomorrow, we will begin second reading debate of Bill C-38, which deals with new registration entitlements. I am sure my colleague is very interested to hear that, on Monday, we will debate Bill C-56, the affordable housing and groceries act. On Tuesday and Wednesday, we will call Bill C-57, the Canada-Ukraine free trade agreement implementation act, which was introduced earlier this week.

Thursday, we will proceed with report stage and third reading of Bill C-34, concerning the Investment Canada Act. I assume that my hon. colleague is very happy with this news, and I look forward to hearing his speech on Monday.

[Luc Berthold, Conservative, Mégantic—L'Érable, QC]

Mr. Speaker, I have to admit you are putting a little pressure on me to produce a Thursday question that lives up to this House's reputation.

During Oral Questions, there were a lot of questions about Bill C‑56 and comments by government ministers about the Conservative Party's decision to support or oppose it. They urged us to support it. I would note that the government has not put Bill C‑56 on the House's agenda since October 5. I actually have an excellent speech ready about my position on Bill C‑56.

I would therefore like to ask the Leader of the Government if a discussion of Bill C‑56 is planned for next week's House business so that I can finally deliver my speech.

Housing

[Francis Scarpaleggia, Liberal, Lac-Saint-Louis, QC]

Mr. Speaker, we know that there is a housing crisis in Canada. Our government is on the front lines fighting this crisis. We introduced Bill C‑56, which will eliminate the GST on the construction of housing and speed up residential construction across Canada. However, as we speak, the bill is still being debated in the House, which is causing delays in getting help to Canadians.

Can the Minister of Employment and Workforce Development remind the House how this bill will help Canadians who have been hard hit by the housing crisis?

Opposition Motion—Fiscal Plan

[Kevin Lamoureux, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons]

Mr. Speaker, I wonder whether the member could provide some clarity to Canadians. When the Conservatives talk about austerity and cutbacks, one of the issues they like to bring up in the House is that of housing. As a government, we are investing literally hundreds of millions of dollars in housing. In fact, we have Bill C-56 before the House now, which would allow for literally hundreds of thousands of new purpose-built rentals to enter Canadian markets over the coming years. On the one hand they say that we should not spend money, and on the other hand they say that we need to do something about the housing crisis.

Not only are we spending money, but we are also working with other levels of government. Does the member believe that the federal government should be spending money to ensure there is housing for Canadians into the future, or does she oppose that expenditure too?

[Kevin Lamoureux, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons]

Mr. Speaker, the Conservatives, at times, just want to put their heads in the sand and stick with their slogans and bumper stickers, quite frankly. The member talks about inflation. Back in June of 2022, inflation in Canada was at around 8%. In the United States, it was at 9%. Today it is 4% and 3%, or just under 4%. Let us put it that way.

The Conservatives will go around Canada and say that Canada is broken. Does that mean the whole world is broken? The Conservatives are so extreme. They like to get those slogans on the bumper stickers.

Does the member not believe she is misleading Canadians when she tries to give this false impression? Yes, inflation is hurting. That is the reason we bring forward good legislation, such as Bill C-56, which is legislation the Conservatives is filibustering. Why?

[Kevin Lamoureux, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons]

Mr. Speaker, the member started off by being critical of the amount of debt that the Government of Canada has acquired. They understand very clearly that most of the debt that was accrued was during the pandemic. Billions and billions of dollars were spent to support small businesses, individual Canadians, seniors, people with disabilities and so forth; the Conservative Party supported a lot of that. With hindsight, the Conservatives are saying we should not have spent the billions of dollars that they supported at the time. That is one issue.

Actions speak louder than words. The member says he is concerned about inflation. The government is also concerned about inflation; that is the reason we brought forward Bill C-56, which would provide literally hundreds of thousands of new homes in the years ahead for rental properties. The Conservatives' response is to filibuster the legislation. They will not even let the legislation pass. Why is the Conservative Party so out of touch with the reality of what Canadians are facing today?

Grocery Industry

[François-Philippe Champagne, Liberal, Minister of Innovation]

Mr. Speaker, I can assure members that there was nothing nice about my meeting with the five grocery CEOs in Canada. I expressed the frustration of 40 million Canadians who are struggling to put food on the table, and I asked them, on behalf of all Canadians, to do their part to stabilize prices in Canada.

If all the members of Parliament want to do something to help Canadians, they can vote for Bill C-56. It is that simple: more competition, lower consolidation and more food on the table for Canadians.

Housing

[Peter Fragiskatos, Liberal, Parliamentary Secretary to the Minister of Housing]

Mr. Speaker, the housing crisis, as we know, is underpinned ultimately by a crisis in supply or the lack thereof. What the government is doing is partnering with municipalities across the country. For federal dollars, municipalities have the chance to build more. In London, for example, 2,000 more units of housing will be built in exchange for a $74-million investment.

What we have also done is to put forward Bill C-56, which, if members look at it, is a serious bill that would remove the cost of taxes, of GST specifically, for rental construction. The Conservatives have nothing to say on that.

Finance

[François-Philippe Champagne, Liberal, Minister of Innovation]

Mr. Speaker, it seems the Conservatives once again failed to look at what we presented. We presented an action plan to stabilize prices in Canada. The first thing the plan will do is ensure that Canada's grocers are accountable to Canadians, something that the Conservatives would never have considered. We also helped consumer groups, another thing that the Conservatives would never have considered.

Will the do-nothing Conservatives at least vote for Bill C-56 to help Canadians for once?

Opposition Motion—Fiscal Plan

[Arielle Kayabaga, Liberal, London West, ON]

Madam Speaker, I will be sharing my time with the member for Davenport.

I am thankful for this opportunity to take part in today's conversation and debate.

To say Canadians are living in a turbulent world would be an understatement. Right now, it is clear the rising cost of living is one of Canada's most significant economic challenges, and the last three years have been hard. Canadians, like most people around the world, have been unable to avoid the financial pain caused by the last few years, but despite all these challenges, the Canadian economy represents resilience and stability amid the tumult.

In so many ways, we are faring much better than our international peers. Our government is tireless in its drive to build an economy with stable prices, consistent growth and abundant good-paying jobs for middle-class Canadians, and we have impressive results to show for it.

There are currently more than a million additional Canadians employed today than before the pandemic. Both the International Monetary Fund and the Organisation for Economic Co-operation and Development predict that Canada will see the strongest economic growth in the G7 next year. Despite the global economic headwinds and slowing growth across the world's economies, Canadian growth in July was 3.3% above its pandemic levels. DBRS Morningstar also recently confirmed Canada's AAA credit rating.

Our excellent credit rating proves how responsible our plan is. Through a number of measures that I will describe in detail in a few moments, we have strengthened the social safety net that millions of Canadians rely on. We have implemented these measures while ensuring that Canada maintains the lowest deficit and lowest net debt-to-GDP ratio in the G7. Looking ahead, we will continue to focus on fiscal restraint. The government is strongly committed to reducing the federal debt-to-GDP ratio to ensure that the country's finances remain viable.

It is my pleasure to walk members through some of the powerful steps our government has taken since 2015 to support Canadians and address the cost of living concerns. These actions are having a real impact in terms of putting more money into the pockets of Canadians across the country. Our government has given Canadians a boost through the Canada child benefit, tax cuts for the middle class, a commitment to implement a new dental care plan and affordable early learning and child care right across the country, with six provinces and territories already providing regulated child care for an average of just $10 a day or less, significantly ahead of schedule.

Our affordable Canada-wide early learning and child care system has a record labour force participation rate; earlier this year, this was 85.7% for working-age women. It is also helping to grow the economy and to make life more affordable for families from coast to coast to coast.

The result is that in 2020-21, the most recent years for which we have data from Statistics Canada, close to 2.3 million fewer Canadians were living in poverty compared to 2015. In other words, in 2021, 7.4% of Canadians were living in poverty, a 14.5% decrease compared to 2015. Our government remains committed to reaching its goal of a 50% reduction in poverty by 2030 based on 2015 levels.

I would remind the official opposition that even the central plank of our climate plan, the federal carbon pricing system, is giving Canadian households more money back in climate action incentive payments than they pay in. Since 2019, there has been a price on carbon pollution, a measure that survived two federal elections and that was upheld by the Supreme Court. In April 2023, the price increased to $65 per tonne. The money collected goes straight back into Canadians' pockets, as 90% of fuel charges are returned directly to households through climate action incentive payments. In the provinces where the federal system applies, a family of four can now receive up to $1,500 per year under our plan.

The global economic environment has driven up the cost of far too many necessities, everything from housing to groceries. We know the urgency around affordability is even greater now, and we are responding to it.

In budget 2023, we announced targeted relief for Canadians that was carefully designed to avoid exacerbating inflation. These measures included a one-time grocery rebate for 11 million low- and modest-income Canadians and families; it provided, for example, up to $467 for eligible couples with two children. We also increased the Canada student grants and raised the interest-free Canada student loan limit for the current school year to help post-secondary students pay for their education and pursue their dreams. Budget 2023 also announced a crackdown on predatory lending and hidden junk fees.

Our actions have made an impact. In budget 2023, our government has continued to tackle affordability issues for Canadians. Just last month, we introduced Bill C-56, which would implement powerful measures to foster more competition in the economy, including the grocery sector. The government met with the leaders of Canada's largest grocery chains after calling on the industry to take immediate action to stabilize food prices. Each of the top five major grocery chains have since committed to an initial series of price-stabilizing steps that will be implemented in the coming days and weeks.

We know that we have to boost Canada's housing supply to address the cost of living challenges that Canadians are facing, and we have been doing that. New commitments in Bill C-56 would remove the GST on new purpose-built rental housing. This is one of the many steps that the government is advancing to help get more homes built in a fast way. I hope that all hon. members here today will support the swift passage of Bill C-56, the affordable housing and groceries act, to help us improve the financial footing of all Canadians.

We have recently announced several agreements under the government's ambitious $4-billion housing accelerator fund, which my community has already benefited from. The cuts in red tape fix outdated local policies, such as zoning policies, and ensures that more homes are built in our cities in a fast way. Our agreements include one with the City of London, Ontario, which is my city; the fund will provide $74 million to increase the city's housing supply.

Last month, the Prime Minister also announced the government's housing accelerator fund agreement with the City of Vaughan, to fast-track over 1,700 new housing units and incentivize thousands of additional homes over the next three years. This work in Vaughan, for example, will help spur the construction of more than 40,000 homes over the next decade and help meet the demand in one of Canada's fastest-growing cities. We expect many more agreements to come soon.

In conclusion, we have been dogged in our quest for real, concrete solutions to Canada's affordability challenges, and we will not let up. We have made much progress, while maintaining a robust economy and fiscal responsibility. We have had Canadians' backs all along, and we will continue to do more for them. We also know that more work is needed, and Canadians can stay tuned for more from our government.

Canadians can rest assured that our government has the strong plan to help navigate the stormy economic world, and we will continue to have their backs.

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Mr. Speaker, I hate to inform the member, but it was Brian Mulroney, a Progressive Conservative, who brought in the GST. I am okay with that. Today, I look at the GST as a progressive tax that can make a positive difference. When we think of Bill C-56, that is one of the ways to ensure that literally hundreds of thousands of additional purpose-built rentals are constructed. It is as a result of GST rebate. It is a tool.

Where I really disagree with the member is with regard to inflation. This government does not look at inflation, in any form, as a positive thing. Inflation is hurting people in a very real and tangible way. That is why we brought in the grocery rebate. That is why we continue to take actions to try to minimize the impact of inflation.

I am happy to say that since June 2022, when inflation was just over 8%, today, it is at 3.8%. Hopefully we will continue to bring it down to make life easier for Canadians.

[Kevin Lamoureux, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons]

Mr. Speaker, let me start by providing a comment reflecting on what is happening in our communities from coast to coast to coast.

We do not necessarily need to be lectured by Conservatives on the issues of inflation and interest rates. We understand, as we are often told by the Prime Minister and others, that when we look at what is happening in our constituencies, it is important that we bring those concerns to Ottawa, as opposed to trying to tell our constituents what Ottawa is doing for them.

If we look at the most recent budget that was passed by the House, we will find that it is very much a reflection of what is happening in communities from coast to coast to coast. People need to understand that, yes, we are very much concerned about the interest rates and the impact they are having on Canadians in a very real and tangible way.

Last weekend, the President of the Treasury Board came to Winnipeg to meet with some of my constituents who are primarily entrepreneurs. We talked about the impact of interest rates. We talked about homeowners, and so forth. We also talked about the rates of inflation. We are all concerned about that. That is one of the reasons why we brought forward legislation, such as Bill C-56. That is one of the reasons we brought in the inflation or grocery rebate, affecting 11 million Canadians, last spring, which came into effect in the summertime.

The budget and the type of legislation we are bringing forward are a reflection of what we are hearing from our communities. Therefore, one needs not lecture us on what is happening in and outside of the Ottawa bubble. We are very much aware of it.

At the end of the day, we look at not only what is happening around us, but what the Conservative Party is saying, particularly in the motion it presented today. Today, it wants to give the impression that there is this huge debt that has been acquired over the last number of years, and there is a huge debt. It is a huge debt that, in good part, was supported by the Conservative Party when we were borrowing money to help Canadians through the worldwide pandemic, and I underline the word “worldwide”.

Yes, we borrowed extensively, billions of dollars, in order to have the backs of Canadians. We spent that money, most of it supported by the Conservative Party, on things such as small businesses.

Yesterday, I heard a Conservative member talk about small businesses being so important to Canadians and Canada as a nation. I have talked about small businesses as the backbone of our country when it comes to economic development. During the pandemic, this government spent billions of dollars supporting small businesses, preventing them from going bankrupt in many ways.

We supported Canadians, who were no longer in a position to work, through programs such as CERB. Millions of Canadians were supported by billions of dollars, which did increase the debt. However, the Prime Minister, this government and many members of this chamber supported spending that money. It is like the leader of the Conservative Party giving a child a chocolate bar and then condemning the child for eating it.

However, at the end of the day, it was important for the government to spend that money to support Canadians and small businesses, not to mention the billions of dollars that were there to support our seniors through one-time payments for those on GIS and OAS or individuals with disabilities.

The Conservatives talk about this huge debt. In part, they supported us at the time and now they criticize us for it. They need to be more transparent and honest with Canadians about that when they criticize the government for spending money. Are they now saying, retroactively, that we should not have supported Canadians, that we should not have supported small businesses and others? That is what it sure sounds like. Today, in a question that I put forward to the leader of the Conservative Party, I challenged him on that point.

It is interesting when we look at the waffling of the Conservative Party. The best example is the previous speaker, the seconder on the motion. After I posed a very straightforward question for him, the member spent so much time, as many members of the Conservative Party have, criticizing the price on pollution, or as they call it “the carbon tax”. Like their apparent flip-flop on the need to support Canadians during the pandemic, the member failed to acknowledge that he supported a price on pollution, or the carbon tax, and he was not alone. Every member of the Conservative Party who ran in the last federal election supported it. When I pointed that out, he replied that he personally did not support it. It would appear that the first thing we need to ask every Conservative candidate is whether he or she personally supports this.

Imagine how many statements are made in an election platform and somehow the Conservative caucus believes that it is not responsible for that platform, that it can just opt out, much like it is opting out of the price on pollution. It makes one wonder about the Conservatives.

The Conservatives like to talk as if they know things about finances. Today it is about budgets and deficits, even though, compared to the G7 countries, Canada is doing exceptionally well.

I still remember when the leader of the Conservative Party was telling Canadians to invest in cryptocurrency, which is incredible. He still has not apologized for that. If people had followed his advice, they would have lost thousands, depending on how much they invested, 60%-plus of their investment.

We need to ensure that we put things into proper perspective. Yes, let us be concerned about inflation and interest rates. Let us take actions like bringing in Bill C-56.

I would suggest that the Conservative Party get behind legislation such as Bill C-56 and vote for it. It will ensure that more homes are built. It will ensure more stability in grocery prices. Actions speak louder than words.

[Rachel Bendayan, Liberal, Outremont, QC]

Mr. Speaker, I certainly appreciate the members opposite raising important issues local to their own communities. I have to say that I am hearing very similar things in my community. I know that the banks are working very hard to find solutions for their customers.

The news this morning that inflation is falling is certainly welcomed by our government not only in that we need to stabilize inflation to ensure that we stabilize prices, but also that we need to make sure that the Bank of Canada continues to work on interest rates and ensure that Canadians are well served by our institutions.

I think the elements of BillC-56, as I pointed out in my speech, are important to help Canadians who are struggling to find homes and to help Canadians who are facing higher prices at the grocery store. I certainly hope the member opposite will support that bill.