Bill C-69

Budget Implementation Act, 2024, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on April 16, 2024

Part 1 implements certain measures in respect of the Income Tax Act and the Income Tax Regulations by
(a) denying income tax deductions for expenses incurred with respect to non-compliant short-term rentals;
(b) exempting from taxation the international shipping income of certain Canadian resident companies;
(c) exempting from taxation any income of the trusts established under the First Nations Child and Family Services, Jordan’s Principle, and Trout Class Settlement Agreement;
(d) doubling the volunteer firefighters and search and rescue volunteers tax credits;
(e) extending the eligibility for the Canada child benefit in respect of a child for six months after the child’s death;
(f) increasing the cap on labour expenditures per eligible newsroom employee from $55,000 to $85,000 and increasing, for four years, the Canadian journalism labour tax credit rate from 25% to 35%;
(g) extending eligibility for the mineral exploration tax credit by one year;
(h) providing a refundable tax credit to small and medium-sized businesses in designated provinces by returning a portion of fuel charge proceeds from the province;
(i) providing a refundable investment tax credit to qualifying businesses for investments in certain clean hydrogen projects;
(j) providing a refundable investment tax credit to qualifying businesses for certain investments in clean technology manufacturing property;
(k) amending the definition “government assistance” to exclude bona fide concessional loans with reasonable repayment terms from public authorities;
(l) implementing a number of amendments to the alternative minimum tax;
(m) increasing the home buyers’ plan withdrawal limit from $35,000 to $60,000 and deferring the repayment period by three additional years;
(n) excluding the failure to report under the mandatory disclosure rules from the application of the section 238 penalty;
(o) introducing a $10-million capital gains exemption on the sale of a business to an employee ownership trust; and
(p) implementing a number of technical amendments to correct inconsistencies and to better align the law with its intended policy objectives.
Part 2 enacts the Global Minimum Tax Act , a regime based on the rules of the Organisation for Economic Co-operation and Development (OECD). The global minimum tax regime will ensure that large multinational corporations are subject to a minimum effective tax rate of 15% on their profits wherever they do business. It sets out rules for the purposes of establishing liability for the tax and also sets out applicable reporting and filing requirements. To promote compliance with its provisions, that Act includes modern administration and enforcement provisions generally 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 tax and cohesive and efficient administration by the Canada Revenue Agency.
Part 3 amends the Excise Tax Act , the Excise Act , the Excise Act, 2001 , the Underused Housing Tax Act , the Greenhouse Gas Pollution Pricing Act and other related texts in order to implement certain measures.
Division 1 of Part 3 amends the Excise Tax Act by repealing the temporary relief for supplies of certain face masks or respirators and certain face shields from the Goods and Services Tax/Harmonized Sales Tax.
Division 2 of Part 3 amends the Excise Act , the Excise Act, 2001 and other related texts in order to implement changes to
(a) the federal excise duty framework for tobacco products by
(i) increasing the excise duty rates for tobacco products, including imposing a tax on inventories of cigarettes held by retailers and wholesalers,
(ii) changing the process by which brands of tobacco products for export are exempted from special excise duty and marking requirements,
(iii) allowing certain information to be shared for the administration or enforcement of the Tobacco and Vaping Products Act , and
(iv) requiring the filing of information returns in respect of tobacco excise stamps;
(b) the federal excise duty framework for vaping products by increasing the excise duty rates for vaping products; and
(c) the federal excise duty framework for alcohol by
(i) extending by two years the two per cent cap on the inflation adjustment on beer, spirits and wine excise duties, and
(ii) cutting by half for two years the excise duty rate on the first 15,000 hectolitres of beer brewed in Canada.
Division 3 of Part 3 amends the Underused Housing Tax Act and the Underused Housing Tax Regulations by, among other things,
(a) eliminating filing requirements for certain owners;
(b) reducing minimum penalties for failing to file a return; and
(c) introducing a new exemption for residential properties held as a place of residence or lodging for employees.
Division 4 of Part 3 amends the Greenhouse Gas Pollution Pricing Act by providing authority, in certain circumstances, for the sharing of certain information amongst federal officials and for the public disclosure of certain information by the Minister of National Revenue.
Part 4 enacts and amends several Acts in order to implement various measures.
Division 1 of Part 4 amends the Budget Implementation Act, 2022, No. 1 to delay the repeal of the Prohibition on the Purchase of Residential Property by Non-Canadians Act for two years.
Division 2 of Part 4 amends the National Housing Act to increase the in-force limits for guarantees issued by the Canada Mortgage and Housing Corporation (CMHC) in respect of mortgage-backed securities and Canada Mortgage Bonds and for mortgage default insurance provided by CMHC from the temporary $750 billion to the permanent $800 billion. It also amends the Borrowing Authority Act to avoid the double counting of liabilities related to Canada Mortgage Bonds that are guaranteed by the CMHC and have been purchased by the Minister of Finance, on behalf of the Government of Canada, in the calculation of the maximum amount of certain borrowings under that Act.
Division 3 of Part 4 authorizes the making of payments to the provinces for the fiscal year beginning on April 1, 2024 respecting a national program for providing food in schools.
Division 4 of Part 4 amends the Canada Student Loans Act and the Canada Student Financial Assistance Act to expand eligibility for student loan forgiveness to early childhood educators, dentists, dental hygienists, pharmacists, midwives, teachers, social workers, psychologists, personal support workers and physiotherapists.
Division 5 of Part 4 amends the Canada Education Savings Act to, among other things,
(a) authorize the Minister responsible for that Act to open a registered education savings plan in respect of a child born after 2023 who is eligible for the payment of the Canada Learning Bond and is not the beneficiary under such a plan, so that the Minister may pay a Canada Learning Bond in respect of the child; and
(b) increase, from 20 to 30 years, the maximum age of a beneficiary under a registered education savings plan in respect of whom a Canada Learning Bond may be paid on application.
It also makes consequential amendments to the Income Tax Act .
Division 6 of Part 4 amends the Bretton Woods and Related Agreements Act to increase the maximum financial assistance that may be provided in respect of foreign states.
Division 7 of Part 4 amends the Bretton Woods and Related Agreements Act to increase the amount of the payment that the Minister of Finance may provide to the International Monetary Fund in respect of Canada’s subscriptions. It also amends the International Development (Financial Institutions) Assistance Act and the European Bank for Reconstruction and Development Agreement Act to provide for new financial instruments that the Minister of Foreign Affairs or the Minister of Finance, as the case may be, may use to provide financial assistance to the institutions referred to in those Acts.
Division 8 of Part 4 amends the International Financial Assistance Act to, among other things, provide that foreign exchange losses in relation to programs referred to in that Act must be charged to the Consolidated Revenue Fund and provide for the making of payments to Development Finance Institute Canada (DFIC) Inc. in relation to programs referred to in that Act out of the Consolidated Revenue Fund.
Division 9 of Part 4 amends the Export Development Act to lower the limit for total liabilities and obligations referred to in subsection 24(1) of that Act from $115 billion to $100 billion.
Division 10 of Part 4 amends the Financial Administration Act to broaden the application of subsection 85(2) of that Act to other Crown corporations.
Division 11 of Part 4 amends the Financial Administration Act to require certain banks and other financial institutions to disclose prescribed information for federal payments accepted for deposit.
Division 12 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to enhance the Canada Health Transfer for qualifying provinces and territories.
Division 13 of Part 4 amends the Pension Benefits Standards Act, 1985 to require that the Superintendent of Financial Institutions publish certain information relating to pension plan investments. It also amends the Pooled Registered Pension Plans Act to require that plan administrators provide specified information by written notice to certain persons when they become members of a pooled registered pension plan.
Division 14 of Part 4 amends the Canada Pension Plan to, among other things,
(a) provide for a death benefit of $5,000 in cases where no other Canada Pension Plan benefit, with the exception of the orphan’s benefit, has been paid in respect of the deceased contributor’s contributions;
(b) create a new child’s benefit for dependent children aged 18 to 24 who are in part-time attendance at school;
(c) maintain eligibility for the disabled contributor’s child’s benefit if the disabled contributor reaches the age of 65;
(d) allow for the deeming of an application for a disabled contributor’s child’s benefit on behalf of a child to have been made at an earlier date under the Canada Pension Plan ’s incapacity provisions;
(e) preclude entitlement to a survivor’s pension if an individual has received a division of unadjusted pensionable earnings in respect of their deceased separated spouse; and
(f) clarify the determination of the payee of the disabled contributor’s child’s benefit.
It also makes a consequential amendment to the Canada Pension Plan Regulations .
Division 15 of Part 4 amends the Public Sector Pension Investment Board Act to provide for the payment of certain amounts into the Consolidated Revenue Fund by the Public Sector Pension Investment Board.
Division 16 of Part 4 enacts the Consumer-Driven Banking Act , which establishes a consumer-driven framework for individuals and small businesses to safely and securely share their data with the participating entities of their choice.
It also makes related amendments to the Financial Consumer Agency of Canada Act to establish the position of Senior Deputy Commissioner for Consumer-Driven Banking who is responsible for consumer-driven banking matters and to provide for, among other things, the supervision of participating entities.
Division 17 of Part 4 amends the Bank Act to, among other things, clarify the definitions “deposit-type instrument” and “principal-protected note”.
Division 18 of Part 4 amends the Office of the Superintendent of Financial Institutions Act to increase to $100,000,000 the maximum amount that expenditures made out of the Consolidated Revenue Fund to defray the expenses arising out of the operations of the Office may exceed the Office’s total assessments and revenues.
Division 19 of Part 4 amends the Bank of Canada Act to clarify that the Bank of Canada may enter into repurchase, reverse repurchase and buy-sellback agreements.
Division 20 of Part 4 amends the Canada Business Corporations Act to
(a) harmonize fines for a corporation guilty of an offence related to the collection or sending of information regarding individuals with significant control; and
(b) set separate fines and imprisonment terms on the basis of a summary conviction or a conviction on indictment for a director, officer or shareholder of a corporation guilty of an offence related to individuals with significant control.
Division 21 of Part 4 amends Parts I to III of the Canada Labour Code to, among other things,
(a) provide that a person who is paid remuneration by an employer is presumed to be their employee unless the contrary is proved by the employer;
(b) provide that if, in any proceeding other than a prosecution, an employer alleges that a person is not their employee, the burden of proof is on the employer; and
(c) prohibit an employer from treating an employee as if they were not their employee.
Finally, it also includes transitional provisions.
Division 22 of Part 4 amends the Canada Labour Code to, among other things, set out certain employer obligations relating to policies respecting work-related communication and clarify certain employee rights and employer obligations relating to terminations of employment. It also includes transitional provisions.
Division 23 of Part 4 amends the Employment Insurance Act to extend, until October 24, 2026, the duration of the measure that increases the maximum number of weeks for which benefits may be paid in a benefit period to certain seasonal workers.
Division 24 of Part 4 amends section 61 of An Act for the Substantive Equality of Canada’s Official Languages in order to add a reference to subsections 18(1.1) and (1.2) of the Use of French in Federally Regulated Private Businesses Act in subsection 19(1) of that Act, which An Act for the Substantive Equality of Canada’s Official Languages enacts.
Division 25 of Part 4 authorizes a corporation that is to be incorporated as a wholly owned subsidiary of the Canada Development Investment Corporation to provide loan guarantees as part of an Indigenous loan guarantee program and authorizes the payment out of the Consolidated Revenue Fund by the Minister of Finance of amounts that are required in respect of those guarantees.
Division 26 of Part 4 authorizes the payment of up to $1.3 million to entities or individuals involved in the government’s engagement in a pilot project for the creation of a Red Dress Alert.
Division 27 of Part 4 provides that the subsidiary of VIA Rail Canada Inc. incorporated with the corporate name VIA HFR - VIA TGF Inc. is, as of the date of its incorporation, an agent of His Majesty in right of Canada and may enter into contracts, agreements and other arrangements with His Majesty as though it were not such an agent.
Division 28 of Part 4 amends the Impact Assessment Act , in response to the majority opinion of the Supreme Court of Canada on the constitutionality of that Act, to, among other things,
(a) align the preamble and purpose provision with the primary objective of that Act, which is to prevent or mitigate significant adverse effects within federal jurisdiction — and significant direct or incidental adverse effects — that may be caused by the carrying out of physical activities;
(b) replace the definition “effects within federal jurisdiction” with “adverse effects within federal jurisdiction” and, in doing so,
(i) restrict the definition to non-negligible adverse changes,
(ii) limit transboundary changes to those involving the pollution of transboundary waters and the marine environment, and
(iii) include, in respect of federal works or undertakings and activities carried out on federal lands, non-negligible adverse changes to the environment or to health, social and economic conditions;
(c) ensure that the impact assessment process applies only to those physical activities that may cause adverse effects within federal jurisdiction or direct or incidental adverse effects;
(d) ensure that, in deciding if an impact assessment of a designated project is required, one factor that the Impact Assessment Agency of Canada must take into account is whether another means exists that would permit a jurisdiction to address those effects;
(e) amend the final decision-making provisions to provide for an initial determination as to whether the adverse effects within federal jurisdiction and the direct or incidental adverse effects are likely to be, to some extent, significant, and then, if so, provide for a determination as to whether those effects are justified in the public interest; and
(f) improve cooperation tools to better harmonize the impact assessment process with the processes for assessing effects that are followed by provincial and Indigenous jurisdictions.
Finally, it also includes transitional provisions.
Division 29 of Part 4 amends the Judges Act to increase the number of salaries authorized for judges of superior courts other than appeal courts. It also reduces in a corresponding manner the number of salaries authorized for judges of provincial unified family courts.
Division 30 of Part 4 amends the Tax Court of Canada Act to provide that, if a party to a proceeding under the general procedure of the Tax Court of Canada is not an individual, that party must be represented by counsel, except under special circumstances.
Division 31 of Part 4 amends the Food and Drugs Act to, among other things, authorize the Minister of Health to
(a) establish rules for the purpose of preventing, managing or controlling the risk of injury to health from the use of therapeutic products, other than the intended use, or the risk of adverse effects on human beings, animals or the environment from the use of a drug intended for an animal;
(b) exempt any food, therapeutic product, person or activity from the application of certain provisions of that Act or its regulations; and
(c) deem, on the basis of decisions of, information or documents produced by, a foreign regulatory authority, that certain requirements of that Act or its regulations are met in respect of a therapeutic product or food.
Finally, it also includes a transitional provision.
Division 32 of Part 4 amends the Tobacco and Vaping Products Act to authorize the provision of customs information to the Minister responsible for that Act for the purpose of the administration and enforcement of that Act and to authorize that Minister to disclose information to other federal ministers for certain purposes.
Division 33 of Part 4 amends the Criminal Code to broaden the criminal interest rate offence to prohibit a person from offering to enter into an agreement or arrangement to receive interest at a criminal rate and from advertising an offer to enter into an agreement or arrangement that provides for the receipt of interest at a criminal rate. It also repeals the provision that requires the consent of the Attorney General prior to commencing proceedings related to the offence.
Division 34 of Part 4 contains measures that are related to money laundering, terrorist financing and sanctions evasion and other measures.
Subdivision A of Division 34 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to, among other things,
(a) permit information sharing between reporting entities for the purpose of detecting and deterring money laundering, terrorist financing and sanctions evasion;
(b) authorize, subject to certain conditions, the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) to disclose certain information to provincial and territorial civil forfeiture offices and to the Department of Citizenship and Immigration;
(c) authorize FINTRAC to publicize additional information pertaining to violations of that Act; and
(d) extend the application of that Act to cheque cashing businesses.
It also makes consequential amendments to the Personal Information Protection and Electronic Documents Act and the Cross-border Currency and Monetary Instruments Reporting Regulations .
Subdivision B of Division 34 amends the Income Tax Act and the Excise Tax Act to allow provincial or superior court judges, a judge of a superior court of criminal jurisdiction or a judge as defined in section 552 of the Criminal Code to grant on application by a Canada Revenue Agency official the authorization to use device or investigative technique, or procedure or otherwise do any thing provided in a warrant, for purposes of tax investigations.
Subdivision C of Division 34 amends the Criminal Code to provide for an order to keep an account open or active and for a production order to require the production of documents or data that are in a person’s possession or control on dates specified in an order that fall within the 60-day period after the day on which it is made.
Division 35 of Part 4 amends the Criminal Code to, among other things,
(a) create new offences in respect of motor vehicle theft, including an offence concerning the possession or the distribution of an electronic device suitable for committing theft of a motor vehicle, and in respect of criminal organizations; and
(b) add, as an aggravating factor, evidence that an offender involved a person under the age of 18 years in the commission of an offence.
It also makes consequential amendments to other Acts.
Division 36 of Part 4 amends the Radiocommunication Act to, among other things, prohibit the manufacture, import, distribution, lease, offer for sale, sale or possession of certain devices specified by the Minister of Industry. It also amends that Act to establish as an offence or a violation the contravention of that prohibition.
Division 37 of Part 4 amends the Telecommunications Act to, among other things, require telecommunications service providers to provide their subscribers with a self-service mechanism that allows them to cancel their contract for telecommunications services or modify their telecommunications service plan and to inform those subscribers before the expiry of their fixed-term contract, as well as in other specified circumstances, of other service plans that those providers offer. It also amends that Act to prohibit the charging of certain fees.
Division 38 of Part 4 amends the Corrections and Conditional Release Act to, among other things,
(a) provide that the Correctional Service of Canada is responsible for implementing any arrangement — approved by the Minister of Public Safety and Emergency Preparedness — entered into by the Commissioner of Corrections and the Canada Border Services Agency with respect to the support that the Service may provide to the Agency to assist in the exercise of certain powers or the performance of certain duties and functions;
(b) control the access of the inmates of a penitentiary to a designated immigrant station adjacent to the penitentiary and the access of the immigration detainees of a designated immigrant station to a penitentiary adjacent to the station; and
(c) provide that, in exigent circumstances, staff members of the Service may provide additional support to detention enforcement officers of the Agency to assist them in the exercise of certain powers or the performance of certain duties and functions.
It also amends the Immigration and Refugee Protection Act to define the term “immigrant station”, to provide that an area of a penitentiary may be an immigrant station only if it is designated under the Corrections and Conditional Release Act and to set out the circumstances under which a person detained under that Act may be detained in a designated immigrant station.
Finally, it provides for the repeal of those amendments on a specified date and includes a transitional provision.
Division 39 of Part 4 contains measures related to public debt and the borrowing of money.
Subdivision A of Division 39 amends the Financial Administration Act to clarify that certain regulations and directions do not apply to contracts related to the borrowing of money entered into by the Minister of Finance.
Subdivision B of Division 39 amends the Borrowing Authority Act to increase the maximum amount of certain borrowings.
Division 40 of Part 4 amends the Trust and Loan Companies Act , the Bank Act and the Insurance Companies Act to require certain financial institutions to make available information respecting diversity among directors and members of senior management.
Division 41 of Part 4 amends the Trust and Loan Companies Act , the Bank Act and the Insurance Companies Act to extend the period during which federal financial institutions governed by those Acts may carry on business.
Division 42 of Part 4 amends the Federal Courts Act to provide that the Federal Court has jurisdiction to hear applications for judicial review of decisions of the Social Security Tribunal on the extension of time to make a request for review or reconsideration under the Canada Disability Benefit Act . It also amends the Tax Court of Canada Act and the Department of Employment and Social Development Act to, among other things, provide the Tribunal with jurisdiction to hear appeals of decisions made under the Canada Disability Benefit Act and require that matters related to income raised in those appeals be referred to the Tax Court of Canada.
Division 43 of Part 4 amends the Controlled Drugs and Substances Act to repeal provisions related to the ministerial power to exempt supervised consumption sites from the application of that Act. It also amends that Act to allow for the making of regulations respecting authorizations for supervised consumption and drug checking services and includes transitional provisions.

Budget Implementation Act, 2024, No. 1

[James Bezan, Conservative, Selkirk—Interlake—Eastman, MB]

Mr. Speaker, the member over there knows well that no one has fought more and harder for Ukraine than I have. I was one of the first of 13 to be banned from Russia because I have taken a strong stand in support of Ukraine for a long time. I will take no lessons from the member.

When we did not support the free trade agreement, it was because we already had a free trade agreement in place. It was better than the current free trade agreement, in which the Liberals actually stuck a carbon tax. We know that the Liberals also supported sending over turbines to pump Russian gas into Europe to help fund Putin's war machine. We will never take lessons from the Liberals on how to not stand up for Ukraine.

[An hon. member]

Oh, oh!

[The Speaker, Greg Fergus]

I think there could be a lot more decorum, and people should not be taking the floor unless they are recognized by the Speaker. The hon. member had asked a question. The other hon. member was responding.

The hon. member for Nunavut has the floor.

[Lori Idlout, NDP, Nunavut, NU]

Uqaqtittiji, I know the member talked about the importance of the military in other places, and I appreciate that. He might appreciate my question about how much more investment needs to be made for Canadians so that they can participate in Arctic sovereignty and Arctic security. Does the member agree that, for example, investing in Canadian Rangers would be much better for keeping Canada secure?

[James Bezan, Conservative, Selkirk—Interlake—Eastman, MB]

Mr. Speaker, the member knows my mother was born in Chesterfield Inlet and raised in Pangnirtung, so I have a lot of connections to the Arctic. I really do firmly believe that the Canadian Armed Forces have a major role to play in expansion of the Canadian Rangers to make sure that they are better financed, as well as able to do a greater job in carrying out exercises to establish our control and sovereignty over the entire Arctic.

We also know that we could be making more investments in dual-purpose infrastructure for both the Canadian Armed Forces and local populations. That is everything from runways to ports and from telecommunications to broadband. We need to do more of that to make sure that those collaborations will work for all Canadians, especially those in the high Arctic.

[Marc Dalton, Conservative, Pitt Meadows—Maple Ridge, BC]

Mr. Speaker, I want to thank the member for his work on the defence file. On defence, could he comment on the fact that the Liberals are saying they are going to increase the amount of expenditure over the next five years, but they are actually cutting back this year? It is as though they are putting everything down the road and saying they are really increasing, but they are actually decreasing. I know the forces are suffering because of this.

[James Bezan, Conservative, Selkirk—Interlake—Eastman, MB]

Mr. Speaker, I appreciate the question. The Liberals are cutting $2.7 billion from the budget over the next three years. That is having an impact, and we are starting to see it in the issues around readiness and training. We are now deploying our troops to the NATO enhanced forward position in Latvia that we are running, and they are not taking their pretraining before they go and deploy. That predeployment training is critical to being able to make sure that we are the leaders in the theatre of NATO allies that are also stationed at the same base in Latvia. When we go over there and have them play catch-up, again, it is a national embarrassment. Therefore, we need to make sure that we are making the investments that are required. A case in point is that one of the first things the Liberals cut was uniforms for women in the Canadian Armed Forces; they did not think these uniforms were necessary. It is a shame.

[Earl Dreeshen, Conservative, Red Deer—Mountain View, AB]

Mr. Speaker, it is an honour to speak on behalf of the great people of Red Deer—Mountain View. I plan on speaking to some of the issues that are important to the families and the businesses in my riding, particularly housing; agriculture; food supply; global issues, such as energy and food security; and, of course, debt financing.

Food and shelter have long been considered some of the bare necessities for human beings to survive, yet these two critical needs to sustain the health and well-being of Canadians have been and continue to be put at risk by the NDP-Liberal government's reckless handling of governmental affairs. While it upsets me greatly that we are unable to have amicable, maybe even friendly discussions about these issues and how the government fails to address them in the budget implementation act, we just do not have this luxury. It is necessary to be blunt.

We, as parliamentarians, ought not to have that luxury when this past spring saw the percentage of first-time users of food banks rise sharply to 61%, compared with 43% last fall, according to the Salvation Army's Canadian poverty and socio-economic analysis. We should not have the luxury to sit around and act as if the current government's handling of these challenges has been sufficient when, according to the Grain Growers of Canada, Canada's national voice for grain farmers, the average grain farm will pay 30% more after the capital gains tax changes. As well, we should not have any luxury to tolerate the continued endangerment and mortgaging of Canadian lives as our nation continues to face a drought of family doctors and our government continues to erect barriers for health care providers.

The budget implementation act fails to address these three concerns and, frankly, many more. It is bizarre that we as a government can, on the one hand, muse about the struggles everyday Canadians face in being able to afford to eat and, on the other, pass legislation that would effectively make it harder for Canadian farmers to grow food for us domestically.

Here is a scenario that might resonate with a typical grocery shopper. We all know how the price of fruit works. As fruit goes out of season, the price increases because of how difficult it is to source supply. It is a question of supply, not necessarily a question of demand, as I am sure cherries and peaches are popular fruits for most.

Other foods that are also universally popular and never a question of demand are meats and grains, which are essential to a healthy diet for people around the world. While inflation has, without a doubt, played a significant role in the cost of food and groceries, we must look to pull on the lever of domestic supply in our fight against this cost of living crisis. However, this lever has continued to be neglected and ignored by our current government.

We have a carbon tax that, without a doubt, penalizes our farmers for working hard to feed Canadians. According to the Grain Farmers of Ontario, it is estimated that up to $2.7 billion of carbon tax will be paid by Ontario grains and oilseeds farmers by 2030. Most grain farms are family owned. I have already mentioned how the average grain farm will be forced to pay nearly 30% more in taxes as a result of the proposed capital gains tax changes. These, of course, were removed from the current budget implementation act for what could only be described as political purposes.

I myself am a fourth-generation farmer, and I can wholeheartedly say that this proposed change would target the retirement plans of farmers, make it more difficult for farms to change hands between generations and threaten the security and long-term viability of family farms across this country. We will need more farmers here in Canada if we are to have any hope of combatting the cost of food for everyday Canadians.

RBC found that, by 2033, 40% of Canadian farm operators will retire; however, 66% of producers do not have a succession plan in place. Certainly, what is happening now is not making it any easier. Our farmers, and those who grow our food, are in need of certainty about their futures, not more penalties on their hard work or more uncertainty about their retirement.

When we challenge our farmers, who are an essential component of what makes up the backbone of this country, with more taxes and uncertainty, it does not bode well for the future of domestic food production and agriculture in this country. Once again, this budget fails to respond to these growing challenges and leaves much to be desired.

This budget fails Canadians by missing the mark entirely in addressing food security here in Canada. I say this because I know that many will cite worldwide disruptions of supply chains and global trade. They will point to the invasion of Ukraine and the conflicts of the Middle East, but for years I have been involved as part of Canada's delegation to the Organization for Security and Co-operation in Europe, the OSCE, and I am very aware of the current situation there, along with the consequences on global food supply.

The OSCE deals not only with food security, but also energy security and, of course, the discussion about security within the continent of Europe. Even after saying these things and affirming statements of how food insecurity is a global issue, I want to remind us all here today that to act as if things in Canada are all right and that agriculture in Canada is not impacted by global affairs is reckless and short-sighted behaviour. In fact, it is unfortunate that I have to point this out, but this behaviour has become par for the course after nine years of the NDP-Liberal government.

When our allies face an energy crisis and are in need of alternate sources of oil and natural gas, they can count on us for words of affirmation and emotional appeals of support, but when they come to ask for our own oil and natural gas, both of which we have an abundance of, the answer has been that there is “no business case”. When farmers and food growers here in Canada are allowed to do more of what they do best, which is to provide us with the means to feed both ourselves and the world, we not only help ourselves, but also help our allies in need. We cannot responsibly prioritize helping others when we cannot help ourselves.

Canadians want to help their neighbours. Canadians want to be known as the breadbasket for our allies, but only if they are in a position where they must not choose between that and feeding their families or keeping a roof over their heads. Canada stands ready to work hard and to be rewarded. Canadians do not need more government tools. They need fewer government barriers. A food production renaissance in this country would fundamentally shift our approach to tackling the cost of living crisis we face after 12 years of reckless, unabated government spending.

Whether one is a banker on Bay Street, a construction worker maintaining critical infrastructure, a police officer protecting our streets or a nurse coming off a 12-hour night shift, we are all Canadians, and we all need to eat. Empowering our farmers by removing unfair and unjust penalties and continuing to support community initiatives, such as 4-H Canada, would nurture our next generation of food growers and prioritize common sense over ideology. That is what we need to get this country back on track so that young students are able to focus on studying for their next quiz instead of having to worry about what to eat.

I cannot in good conscience support this budget implementation act knowing that there is so much this budget fails to address. The $61 billion in new spending is not the answer we need to bring down inflation and lower interest rates. Canada will have to spend $54.1 billion to service our national debt, which is more than we are currently sending to provinces for health care. Instead of printing more money to help Canadians scrape by, we need to start producing more of what that money buys.

Under a future Conservative government, we would axe the tax on farmers, build more homes for families to eat their suppers in, fix the budget to allocate modern supports for those who grow our food and stop the crime against hard-working Canadians, who want nothing more than to raise responsible citizens and make Canada the greatest place to live on earth.

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

Mr. Speaker, we have a great respect for the fine work that our farmers do day in and day out, 365 days a year. Let there be no doubt about that, whether they are addressing the needs created in drought situations or promoting trade.

Earlier this year, I was with the Minister of Agriculture when we opened up one of the greatest economic opportunities for the future of agri-foods by opening up an office in Manila, a trade office for 40 Asian countries. I wonder if the member would recognize that we not only have budget measures to support farmers but also other initiatives. Does the member support the Indo-Pacific Agriculture and Agri-Food Office opening in Manila?

[Earl Dreeshen, Conservative, Red Deer—Mountain View, AB]

Mr. Speaker, I have been on the international trade committee for a number of years, and I have had opportunities to go around the world to see just how well thought of Canada is in the trading world. The fact that the government continues to deal with some of those things and keep that going can be appreciated because it is important that we continue to do the great work that was done by the Conservatives when we were last in power. It is so critical. In agriculture, it really becomes one of the most important parts because, yes, we grow a lot of grain, but if we are going to be successful, we have to make sure that it gets to world markets.

[Louise Chabot, Bloc, Thérèse-De Blainville, QC]

Mr. Speaker, I had the pleasure of visiting Red Deer once because my son was working there.

My colleague mentioned that grain and wheat crops are important in his region, but the same can be said of the oil industry too.

I imagine that my colleague agrees that we need to stand up and fight climate change. With that in mind, what measures does he think should be included in a budget to ensure a just transition?

[Earl Dreeshen, Conservative, Red Deer—Mountain View, AB]

Mr. Speaker, I do agree with the member that oil is important, but it is not just important in my province. It is important for Canada and for the world since we are able to produce this oil and gas most efficiently and with the least emissions around the world. The drops of oil and molecules of natural gas should be moved, and we should be finding markets for them because we will continue to need them. It does not matter if we are going to be putting in windmills, solar panels or geothermal. All of those types of operations for renewables require a massive amount of hydrocarbons to build them. We need the rare earth minerals to put them together.

We have this concept that says we will ignore how all of these other sources of energy come to be, and we will just talk about the fact that there seems to be a pretty good whipping boy in Canada to go after oil and gas. The last drop of oil and gas in this earth should come out of Canada.

[Lori Idlout, NDP, Nunavut, NU]

Uqaqtittiji, I know the member thinks there are not enough investments for farmers. Whatever he thinks there is for farmers, there is far less for hunters in the north. We know that the rates of poverty are much higher in the Arctic.

I wonder if the member agrees that, whatever investments are made for farmers, there must be comparable investments for hunters so they can provide for their families, communities and Canadians as well.

[Earl Dreeshen, Conservative, Red Deer—Mountain View, AB]

Mr. Speaker, it is critical because harvesting, whether it comes off of land where we grow or the animals on the earth as part of tradition or just that we need to eat, is important. When the government talks about agriculture, it should deal with that part as well. I know that people compartmentalize and say that hunting is different than the other part, but to me, it is critical, especially for the north.

[Scott Aitchison, Conservative, Parry Sound—Muskoka, ON]

Mr. Speaker, it is always a treat to rise in the House. I will just share a few thoughts about this budget, particularly as it relates to the housing portfolio. I would note that the housing section of the budget this year was significant. Unlike other years, housing was at the very beginning of the budget. I find it interesting because the government has talked a lot about housing for some time.

We certainly all recall the 2017 launch of the Liberals' national housing strategy. We saw lots of pictures and videos of the Prime Minister with some of his MP colleagues and workers in front of a big housing project. At the time, the Prime Minister announced $40 billion, and gradually the Liberals came up with new numbers that brought it up to $70 billion, not all of which was really new money. However, it was lots of fanfare and lots of talk.

In fact, the Prime Minister, at the time, described the national housing strategy as being a life-changing, “transformational” national housing strategy. That was announced with lots of fanfare, and then the Liberals slowly rolled it out. We found out a few years later, from a report from the Auditor General on the specific piece of it that was about homelessness, that the department was not even tracking the spending. The government did not really know whether it was having any impact. As the Auditor General and maybe anybody else with any sense would know, if one is not tracking what they are doing, then they do not know if the money they are spending is actually having any impact or they are just throwing money out the window. The department was not really tracking it, which I guess probably does not come as a huge surprise with the government. The Liberals really are a lot better at the photo ops than they are at the follow-through, so they did not really know if that was working or not.

However, Canadians know the truth of all that because, despite the fanfare and the announcements made in 2017, tent cities are not just in the large cities in this country. They are everywhere. They are in smaller towns all across the country. Homelessness is worse now than it has been since we started tracking homelessness. Then, as well, we also know the results of the national housing strategy and the transformational program. Since the government took office nine years ago, house prices and rents have doubled in this country. Thanks to the excessive borrowing, there were going to be little, wee deficits. We remember that it was a $10-billion deficit. Deficits were going to be very, very small. Former prime minister Harper warned us that maybe that that was not true and, sure enough, he was correct. The deficits have been massive. Of course, out-of-control spending and out-of-control borrowing lead to higher interest rates and higher inflation, and that is what we have seen with the government.

We fast forward it to today, when we have the borrowing and the excessive spending and, on top of that, the extra taxes. We have talked a lot about the various different tax schemes these guys have come up with to fund their spending. Ottawa does not have a revenue problem; it has a spending problem.

Therefore, they came up with the carbon tax, which the Liberals have been insisting all this time is really good, that it is going to reduce carbon emissions and that it is good for people. The Liberals keep saying that eight out of 10 people get more more money back. Do they know what? The lid is finally off. We have finally seen the hidden reports of the Minister of Environment that, in fact, the carbon tax is going to cost the economy $25 billion to $30 billion. We know that it is a tax on a tax on a tax on a tax.

I bring it back to housing. Carbon tax applies to every stage of building a home. Whether it is the materials that are produced to build the home or the truck that is used to deliver the materials to the site, the carbon tax adds on to that and, of course, there is tax on top of the carbon tax. Governments make more money on housing than anybody else does. In this country, the average cost of government on every single home is about 33%. That is more than the builders make on houses. However, it is not just the federal level or the provincial level. It is the local level. Of course, the Liberals finally caught on to the fact that housing was actually in a crisis.

I asked the previous minister if he would call this situation a “crisis.” He was afraid to use that word and would not use that word. In the summer of 2023, he was booted out, and a new minister was put in who is very good at using the word “crisis”, who is quick on his feet, who is a great debater, who is really good with the YIMBY language and who is generally a nice guy, too. I really like him.

However, at the same time, he has come up with even more programs. The one I find particularly bizarre is the housing accelerator fund. All the Liberals like to talk about it. They are really proud of the housing accelerator fund because it is designed to speed up the building permit process in cities. The idea is that they would go around, city to city, and they would have these agreements with the cities to speed up their processes to make it easier to build.

I have asked to see those agreements. There are about 100 or so cities, and I cannot see them. For whatever reason, they are a secret. However, I have been able to dig into some of the municipal planning reports that have gone to their councils. I will use Toronto as an example, just because Toronto is where the crisis is almost as acute as anywhere in the country. Vancouver is the worst, and I would say Toronto is next.

The City of Toronto, in its housing accelerator application, agreed to a couple of different things to try to speed up the process. It was all in the reports. We do not know, of course, if any of these things have actually been done, except for one. We know that one thing that the minister really pushed was the concept of permitting fourplexes, four units, without having to get any special permission on any residential zone. Whatever kind of homes people live in, in the city of Toronto, they could turn it into four units, without going for a special permit, a rezoning or any kind of public hearing. People could do that.

The minister pushed that in almost all of these agreements. It is almost as though he thought it was some kind of a silver bullet to solve the problem. As it turns out, the City of Toronto has already permitted this for about a year. In that time, there have been 74 applications to transform buildings into fourplexes. We know it is really not a silver bullet, but it was one of the big pushes.

At the same time as we have a housing supply crisis, we also have a housing affordability crisis. Again, it is because of not only the cost of materials but also the cost of local governments. Local governments charge so many fees. There are building permit fees, connection fees, permit fees and development charges. A lot of people do not understand these development charges. A cheque has to be cut just for the privilege of having that piece of property that someone might be able to one day build a house on.

That is not to mention the long, painful delays to get approvals. It takes, on average, in Canada, 249 days to get a building permit. In the United States, it takes, on average, 80 days. It is insane. Time is money. We could ask any builder, and they would tell us that time is money. That makes it more expensive.

We have this situation where the City of Toronto, one of the most expensive cities in the country to build in, got $471 million from the Liberal government. It is so proud of this money, yet in the same time it got that money, it increased its development charges by 20%. It is not $97,000 for the privilege of building on a new lot, it is $117,000 now. I just do not understand, in a housing affordability crisis, why the government is borrowing money. Keep in mind that this is $4 billion of borrowed money, when the deficit is $40 billion, that it is going to give to cities that then turn around and make it more expensive to build.

I am sure the Speaker cannot believe it. The Speaker is smiling because he cannot believe it. It is insane. This is what former Liberal finance minister John Manley referred to as driving with one's foot on the gas and the brake at the same time. The Liberal government is giving money to cities, which makes it more expensive. The Liberals are proud of this and think it is going to be some kind of a magical solution to what is literally a crisis in this country.

It is a shame. There are too many Canadians suffering with a photo-op government that does not deliver the results, and Canadians are paying the price.