Evidence of meeting #50 for Finance in the 43rd Parliament, 2nd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was aircraft.
A video is available from Parliament.
5:40 p.m.
Liberal
Michael McLeod Liberal Northwest Territories, NT
My next question is for the Quebec tourism organization.
I didn't get the person's name, Mr. Chairman.
5:40 p.m.
Liberal
5:40 p.m.
Liberal
Michael McLeod Liberal Northwest Territories, NT
I'll just put the question out to whoever wants to answer it.
The NWT has a very well-established and well-renowned tourism sector that makes up a significant portion of our economy. We've probably had tighter restrictions in the north to limit travel to and from our territories, from outside of the country but also from other regions of Canada.
With the budget's announcement of $1 billion in support for the tourism and events sector, including $500 million to the regional development agencies for tourism businesses and $100 million more for Destination Canada, do either of you anticipate that this funding will help your membership through the remainder of the pandemic and help prepare for the eventual reopening of our regions to tourists?
5:40 p.m.
Senior Director, Public and Governmental Affairs, Alliance de l'industrie touristique du Québec
The billion dollars set out in the budget to help the tourism sector cannot be overlooked, with $500 million being administered by the regional development agencies. We still don't know how the funding will be allocated; the details are expected to come out a bit later. The money will support tourism initiatives in every region of the country, and that's a good thing. It will be allocated on a by project project basis.
However, as I said earlier, tourism businesses are on their knees. For more than a year now, they have been running on a fraction of their normal revenues. Right now, business owners just want to stay afloat until their revenues return to normal. That is where their heads are at right now, which is why we are asking the government to extend the wage subsidy and the rent subsidy. The rent subsidy, which helps businesses cover fixed costs, has been a real lifeline. Both support programs have kept the tourism sector and tourism businesses alive.
The feedback we are getting from businesses is this: being able to pivot and develop new products and services is great, but right now, all they want is to have access to those programs so they can make it through the crisis. Once they are on the other side, they can work on offering new products and services.
Mr. Ryan, is there anything you would like to add?
5:40 p.m.
Jean-Michel Ryan
At the risk of repeating what's already been said, I would stress that businesses really need to get through the end of the crisis if they are going to bounce back.
The Destination Canada funding and other investments in the budget are certainly important, but the focus is on helping businesses prepare for the recovery. The sector has to be able to rebound, however, and private businesses, in particular, need the resources to do so, as do other organizations.
To reinvest in tourism products, services and infrastructure, businesses need a minimum amount of capital so they can access future programs. If they are not in a position to make that investment, they can't access the support programs or participate in the recovery.
That is what tourism businesses are dealing with right now.
5:40 p.m.
Liberal
The Chair Liberal Wayne Easter
That's time, Michael.
Before I go to Mr. Falk, just on that question on the wage subsidy, what percentage are you looking at in terms of subsidy? Is it comparable to what was in place? Second, how critical is the timing of that to do your planning?
That's for whoever wants to answer, Mr. Ryan or Mr. Paquet.
5:40 p.m.
Senior Director, Public and Governmental Affairs, Alliance de l'industrie touristique du Québec
Yes, we want the subsidy rates to stay the same as they are now. We are recommending that the current rates be maintained at 75% for as long as the programs are needed until the crisis is behind us. Regardless, businesses will not qualify for the supports unless they experienced a drop in revenue. Once revenues return to normal and the pandemic is behind us, the government can implement an exit strategy to wind down the programs.
5:45 p.m.
Jean-Michel Ryan
I'd like to add to what my colleague said, if I may.
We want the rates to be maintained at least for 2022. Even once the border reopens, it will take some time before international tourists return to Canada and Quebec.
Something else we are worried about is an outflow of Canadians going abroad. That would create a vacuum and make it hard for the industry to get back on an even keel. That is why, all along, we have been focused on 2022. We are recommending the programs be extended until at least 2022, to give us time to figure out how we are going to get through the crisis and come out the other side.
5:45 p.m.
Liberal
5:45 p.m.
Conservative
Ted Falk Conservative Provencher, MB
Thanks, Mr. Chair. Do I have time for a couple of questions? What do I have?
5:45 p.m.
Conservative
Ted Falk Conservative Provencher, MB
Very good. Thanks, Mr. Chair.
I'll go back to Ms. Gervais and Mr. Norejko.
You know, if I go buy a pickup truck for $60,000, I get a really nice, functional truck. If I spend $95,000, I get an awesome truck. It's at the other end of the spectrum of trucks and capabilities. Last year I had an opportunity to do some wake-surfing, which I'd never done before. I was familiar with $80,000 or $90,000 wakeboard boats and ski-boats. My friend bought a $200,000 wakeboard. I did some wake-surfing. It's awesome. If you've never done it, you should try it. But that boat isn't even considered a luxury under this new proposed tax.
Can you give me any indication as to, in the aviation industry, what might be considered a luxury—at what price point?
5:45 p.m.
President and Chief Executive Officer, Canadian Owners and Pilots Association
That's a very difficult question to answer, because it really depends on what you're using the aircraft for. Most aircraft serve a purpose. They serve a business. As I mentioned, they either serve for flight training or they bring goods to northern and remote communities. To just say that an aircraft that has, say, 25 seats and is worth $2.5 million is a luxury is false. It really depends on how it's registered, what its purpose is, what the certificate of registration says and whether or not it's for hire.
There's still a lot in this proposed tax that hasn't been thought out. I know that it did say that more information was going to follow. I certainly hope that before they come up with this information they actually consult with industry so that they can determine what they're trying to get at and what they're trying to tax so that they don't penalize a portion of Canada's economy.
5:45 p.m.
Conservative
Ted Falk Conservative Provencher, MB
Thank you. I think that's the answer I was wondering about.
When it comes to boats and when it comes to automobiles, most of us have a pretty clear picture of what luxury is, but in the airplane business and the aviation community, $100,000 is kind of entry-level for a 30- or 40 year-old airplane. I don't see that as much of a luxury, so thank you for answering that.
Dr. Ahmed, thank you for your testimony on behalf of the Critical Drugs Coalition and for the work that you do.
Hindsight is a wonderful thing. In one of your answers, you talked about ventilators. Can you tell me how many ventilators are in use in Canada right now?
5:45 p.m.
Conservative
Ted Falk Conservative Provencher, MB
Okay. That's fair.
In response to COVID and treating patients in ICU, is ventilation a common practice?
5:45 p.m.
Physician, Critical Drugs Coalition
It certainly is, and I would say that at the beginning of the pandemic we were ventilating more. As we have learned how to deal with COVID-19 and the particular use of some of the therapeutics that have come up—there are all sorts of new medicines that we've found are helpful—we have been ventilating less.
Ventilators were actually, I think, one of the more success stories because we actually had some automobile factories and stuff we were able to retool to actually make ventilators. Thankfully, due to non-pharmaceutical interventions—these would be things like masking and social distancing—we were actually able to really prevent a crisis from erupting in our ICUs.
The major thing is that the reason we cancel ORs is to be able to have excess ventilators available.
5:50 p.m.
Conservative
Ted Falk Conservative Provencher, MB
Okay.
Of all the drug regimes you're using to treat COVID, which ones have you found to be most effective?
5:50 p.m.
Physician, Critical Drugs Coalition
We've actually had some really good studies done in the U.K., to answer this question.
There is a generic steroid, dexamethasone, that is being routinely used. Then there is a newer medicine. It's a biologic medicine and it's quite expensive—tocilizumab. It took me a while to learn how to say it. It's a newer biologic agent. There have been shortages of it because it's really not made in Canada. Hopefully we can get around to making that here as well at some point.
5:50 p.m.
Conservative
Ted Falk Conservative Provencher, MB
There is one other fairly common drug that some researchers have been promoting and touting, which is ivermectin Do you have an opinion on that at all?
5:50 p.m.
Physician, Critical Drugs Coalition
It hasn't really been shown to be beneficial in the research that I've seen so far. The research was mainly based on the trials out of the U.K., where because of the NHS they were able to do really cool studies where you just had hundreds of thousands of patients enrolled in different trials. That's the best evidence that we have to know that dexamethasone and tocilizumab are what really work for people.
5:50 p.m.
Liberal
May 25th, 2021 / 5:50 p.m.
Liberal
Pam Damoff Liberal Oakville North—Burlington, ON
Thanks a lot, Chair.
It's such a pleasure to join this committee. I can't begin to tell you.
My question is for the Foundation for Black Communities. Actually, there are two questions in here.
There was $100 million in the budget for the Canada communities initiative. Basically, it's funding for capacity building. I know, reading your report, that you mention capacity building as being something that Black-led organizations don't have when it comes to applying for grants. I'm just wondering if you think that's enough funding and if it will help.
There is a second part of my question. Since the pandemic began, we have sent a lot of funding through to community foundations and then they've disbursed the funding through grants. Right now they're opening up applications for the healthy communities initiative to transform public places, so if you're a registered charity or you're a non-profit residents association, you can apply.
I'm wondering if you think that when we give funding like that to the community foundations a percentage of that funding should be earmarked for Black-led organizations.