Evidence of meeting #213 for Finance in the 42nd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was newspapers.
A recording is available from Parliament.
Chief Economist, Canadian Chamber of Commerce
Carbon pricing with regulations pancaked on top of it is going to be detrimental to our economy.
Liberal
The Chair Liberal Wayne Easter
Peter, you're done.
Do you want to expand on what you mean by pancaking on top of it?
Chief Economist, Canadian Chamber of Commerce
It's an either-or for businesses in a lot of ways. Either you try to reduce emissions by regulating, which is not the approach that we think is the right one, or you do it with the flexibility that is available on a market mechanism. Doing both of them together reduces that flexibility.
Conservative
Pierre Poilievre Conservative Carleton, ON
Thank you very much.
I'd like to start with Ms. Waterous.
I grew up in Calgary and I can tell you that having a direct link that is car-free between Calgary and Banff would be an incredible accomplishment. It would be great for the local businesses in Banff and for the local residents there. It's hard to imagine a solution that accomplishes both more commercial business for the vendors in Banff and less pollution and traffic at the same time, but you seem to have found the solution that does both.
Congratulations to you and your family for putting your money where your mouth is and stepping up and leading. I think it's great for the environment and for the economy at the same time.
Is there anything the government needs to be doing differently so that this initiative can succeed?
Managing Partner, Norquay Ski Resort
First of all, thank you very much for your praise. I appreciate that and my family appreciates that.
We are now doing a lot of consultation. We're starting our consultation at the grassroots and working our way up. We've been working a lot within the town council and the local Parks Canada community and Parks Canada in Ottawa, as well as the provincial government and various other agencies, and most importantly, the people who live in our community and in the Bow Valley.
At this point, I assume the federal government support is really going to be funnelled through Parks Canada. We are hopeful that will continue on a very positive path. So far, I would say that they have given us a lot of constructive feedback on how to proceed and we have been very happy with the support we've had from them.
The only disappointment we've had is that it takes a very long time. We were very keen to progress and to do it as fast as we can, so that all Canadians benefit. We think it's something that will benefit not just those who live in the Bow Valley or in Alberta, but all of the 4.2 million people who come to Banff National Park every year. As I'm sure you know, the visitation is going up, not down, so it's an issue that's not going to go away.
Managing Partner, Norquay Ski Resort
We want people to know that when they come to Banff National Park, it's different. They're in a national park and they move around differently because of that.
That's what we're trying to do.
Conservative
Pierre Poilievre Conservative Carleton, ON
Right. It's a typical Alberta mentality that if you see a problem, you roll up your sleeves and fix it. I like that. We need to have more of it and hopefully we can get governments to move faster to keep up with your pace.
Mr. Lee, you're in the housing business. In Toronto and Vancouver we have a housing affordability crisis. Do you believe that governmental restrictions, development charges, zoning obstacles and other red tape are part of the reason that housing is so inaccessible to people of limited means in those two markets?
Chief Executive Officer, Canadian Home Builders' Association
Absolutely. Development taxes are a huge part of why housing is so expensive. Regulation and red tape slow things down, further adding to those costs. Regulation, red tape and zoning restrictions that have resulted in a lack of supply are probably the biggest thing that's driven up prices in both of those markets because of good old simple supply and demand. Those are all part of the equation.
Conservative
Pierre Poilievre Conservative Carleton, ON
Right. We had this looney-tune here the other day from the UN who refused to—
Conservative
Pierre Poilievre Conservative Carleton, ON
Okay, I will restrain. I will use those comments only outside of the committee.
She refused to acknowledge that zoning restrictions are the leading obstacle to low-income people and minorities getting access to good job opportunities in major metropolitan centres, so it is good to see someone who represents the industry confirming that those restrictions are in fact a leading cause. We need to speak out strongly against snob zoning and other obstacles that keep people from jobs and keep them living in poverty.
On the issue of tax reform, Mr. Stratton, you correctly pointed out that our tax system is too complicated and cumbersome, and I think that the chamber has called for a review of the tax system.
I always like to know the destination before I head down a path. Does the chamber have an ideal solution or an end for our complexity, or is the chamber only proposing a means to that end right now by calling for a review or a commission?
Chief Economist, Canadian Chamber of Commerce
We are calling for a means to an end, but we have some ideas as to what needs to be looked at according to principles of fairness, competitiveness, efficiency and neutrality.
One of the areas to look at for competitiveness is adjusting the tax mix. Obviously, there are a lot of different types of tax revenues: personal income tax, corporate tax, excise taxes and sales taxes. There are other countries that do it differently. We need to look at how we can help grow our economy and spur investment by potentially adjusting that, for simplification itself. Our tax system is half a century old; it was created before humankind walked on the moon and we're talking about applying it to a new digital economy.
Those things aren't aligned, so if we actually go through it and look at what can be simplified, that will have an impact not only on all Canadians, but specifically on small businesses, which might not have a dedicated tax department to do their taxes each year, and on individual Canadians, too, who also don't have a dedicated tax department.
Liberal
The Chair Liberal Wayne Easter
We'll have to leave it there.
We'll go to Mr. McLeod for the last block of questions.
Liberal
Michael McLeod Liberal Northwest Territories, NT
Thank you, Mr. Chair.
Thank you to everybody who has presented here today.
I have a couple of questions. The first one is for News Media Canada.
I represent the Northwest Territories, and media has always been very important to us because a lot of our communities are quite isolated and continue to be very isolated. Listening to the radio to catch up on what's going on in the rest of the country is something we did all the time, and reading a newspaper when it came in, even though most of the time it was a week late. We'd still read it from beginning to end.
However, in the last while, we're starting to see a decline in the services, in the provision of media, both radio and print. I can remember the day when every community had a radio station, but I think over 50% of them have now shut down. These are just small, local radio stations. As well, I watch as the newspapers really work hard to stay afloat in the Northwest Territories. Every indigenous newspaper has shut down, so we don't have that service anymore.
You talked about representing or having 700 members, which is very impressive. I don't know whether you have any indigenous newspapers that belong to your organization, but I want to ask your opinion on this anyway. Based on what's in the budget, could you tell us if there is any indication that this will help indigenous newspapers or newspaper companies face some of the same challenges that you're facing?
Chair, News Media Canada
Yes, absolutely. In fact, 25% of the salary of a journalist can make the difference, especially in a small operation, between existing or not existing.
Indigenous publications are usually very small operations. Actually, at the Winnipeg Free Press, we publish one. It's owned by an indigenous person, but we publish it through the Winnipeg Free Press. It's a one-person operation. If the Winnipeg Free Press wasn't publishing it, I don't think it would be published at all.
To give you an idea of how this helps in small operations, we have one community newspaper that literally some months loses $1,000, and some months makes $100. It's that type of thing. A subsidy that puts $10,000 a year into that newspaper would be the difference between life and death. I think a lot of indigenous newspapers would be the same way.
Liberal
Michael McLeod Liberal Northwest Territories, NT
My next question is for the Canadian Chamber of Commerce.
I hear lots from the NWT Chamber of Commerce, and also from the Chamber of Mines, and they're pretty clear on some of the work that they would like to see done for the Northwest Territories. We still need a lot of transportation infrastructure. We still need to sort out some of the land tenure with indigenous governments. Isolation is a huge issue, including communication.
In our budget, there was $1.7 billion for high-speed Internet for rural, remote and northern communities. Have you heard from your members, or do you expect that to be something that will help us in the business world to improve things in the north specifically?
Chief Economist, Canadian Chamber of Commerce
Yes, absolutely. Actually, just a couple of weeks ago, we had a round table with our local chambers from rural and remote communities in Canada. They're fully behind that, the need for access to broadband Internet, in addition to help for their rural economy, help with financial literacy, with infrastructure, and with skills attraction and retention. Those were the main issues that came out during that round table.
Liberal
Michael McLeod Liberal Northwest Territories, NT
I just have one quick question.
I didn't hear you mention the mineral exploration tax credit. I know that companies in my riding, especially those in the mining industry, have said for a long time that if we improve the infrastructure, they won't need any of these things that resemble a subsidy. What does it really do for our industry to come to areas that are very expensive to explore? How does that help?
Chief Economist, Canadian Chamber of Commerce
A comprehensive review of the tax system could have a similar incentive, too, toward reducing the cost of business around being able to go to those remote communities. There have been a lot of boutique tax credits and cutting and pasting over the years, and if we just look at how to improve competitiveness with the tax system writ large, with rates, that could certainly help with investment in all areas.
Liberal
The Chair Liberal Wayne Easter
We are going to have to end it there.
Thank you, on behalf of the committee, for all the time you put into preparing your presentations and for coming here and answering our questions today. As you can detect around here, there are a number of different opinions.
We will suspend while the next panel comes up.
Liberal
The Chair Liberal Wayne Easter
We'll reconvene.
As everyone knows, we're dealing with the budget implementation act, or Bill C-97, and witnesses related to that subject.
Welcome to the witnesses. I believe we have six separate presentations on this panel, so if you could, please hold your presentations to about five minutes.
We'll start with the Canadian Construction Association. Mary Van Buren is the president.
Welcome, Mary.