Evidence of meeting #87 for Finance in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was ministers.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Graeme Hamilton  Director General, Traveller, Commercial and Trade Policy, Canada Border Services Agency
Nicole Thomas  Executive Director, Costing, Charging and Transfer Payments, Treasury Board Secretariat
Lindy VanAmburg  Director General, Policy and Programs, Dental Care Task Force, Department of Health
Neil Leblanc  Director, Canada Pension Plan Policy and Legislation, Income Security and Social Development Branch, Department of Employment and Social Development
Colin Stacey  Director General, Air Policy, Department of Transport
Joël Girouard  Senior Privy Council Officer, Machinery of Government, Privy Council Office
Benoit Cadieux  Director, Policy Analysis and Initiatives, Skills and Employment Branch, Department of Employment and Social Development
Tamara Rudge  Director General, Surface Transportation Policy, Department of Transport
Steven Coté  Executive Director, Employment Insurance, Skills and Employment Branch, Department of Employment and Social Development
Robert Lalonde  Director, Individual Payments and On-Demand Services, Benefits and Integrated Services Branch, Service Canada, Department of Employment and Social Development
Blair Brimmell  Head of Section, Climate and Security, Security and Defence Relations, Department of Foreign Affairs, Trade and Development
Marcel Turcot  Director General, Policy, Strategy and Performance, National Research Council of Canada
Paola Mellow  Executive Director, Low Carbon Fuels Division, Department of the Environment
David Chan  Acting Director, Asylum Policy, Performance and Governance Division, Department of Citizenship and Immigration
Marie-Josée Langlois  Director General, Strategic Policy Branch, Department of Foreign Affairs, Trade and Development
Nicole Girard  Director General, Citizenship Policy, Department of Citizenship and Immigration
Michelle Mascoll  Director General, Resettlement Policy Branch, Department of Citizenship and Immigration
Vincent Millette  Director, National Air Services Policy, Department of Transport
Rachel Pereira  Director, Democratic Institutions, Privy Council Office
Samir Chhabra  Director General, Marketplace Framework Policy Branch, Department of Industry
Alexandre  Sacha) Vassiliev (Committee Clerk
Clerk of the Committee  Mr. Alexandre Roger

5:45 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

He lost his seat. That leader was clearly just visiting, because, as soon as he lost his seat and that election...the lowest vote in Liberal Party history since Confederation, I might add. Because of his lack of attendance, that Liberal leader, Michael Ignatieff, lost his seat. Do you know what? What I truly loved about that campaign was that Michael Ignatieff proved us right: He was just visiting. It took him nothing short of a few months to move out of this country again—

5:45 p.m.

Conservative

Eric Duncan Conservative Stormont—Dundas—South Glengarry, ON

If you don't show up, you lose.

5:45 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

—making truth in politics the cornerstone of what we, as Conservatives, run on.

Liberals, draw your own conclusions.

To go on with the report of the Library of Parliament on the personal use of immigration temporary residence and work permits by the then minister of immigration, using her ministerial power for her own benefit, the library writes, “The Commissioner said that did not”—as I said—“absolve the minister of responsibility, quoting from Privy Council Office guidance stating that ministers are responsible for the actions of officials under their management; but he noted that the meaning of ‘responsibility’ in this context was rather vague.”

Can you imagine the definition under a Liberal government of “responsibility” being vague? I will leave that to all those watching Parliament today and the scandals we see.

The Library, at page 4, then goes on to write, “In his 2004-2005 investigation into the Sponsorship Program”—we all remember that well—“administered by Public Works and Government Services Canada, Justice Gomery concluded that there was direct input by the then minister and his staff, as well as the chief of staff for the prime minister,”—man, these things sound familiar; I wonder what this is reminding me of today—“regarding the selection of particular activities for sponsorship supporting the Government of Canada.”

I will stop right there for a moment, so I can remind those who don't remember that the minister and the prime minister were using taxpayer dollars to funnel to advertising programs, particularly in the province of Quebec, that were run through Liberal operatives and were used for such things as financing a golf course in Shawinigan, the then prime minister's riding, currently held by the effervescent minister of industry.

5:50 p.m.

Liberal

Terry Beech Liberal Burnaby North—Seymour, BC

I have a point of order, Mr. Chair.

I just wanted to take this chance to ask for clarification and allow my colleague to get a sip of water and collect his voice.

We have been listening for almost two hours and four minutes or something like that. I'm seeking clarification. Is he speaking for or against the amendment?

5:50 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

I appreciate MP Beech's intervention.

5:50 p.m.

Liberal

The Chair Liberal Peter Fonseca

The amendment again, I'll just read it out.

5:50 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

Yes, please do. Could I ask you to read out the whole motion?

5:50 p.m.

Liberal

The Chair Liberal Peter Fonseca

It's the subamendment that MP Blaikie has put forward, and I think that the majority of the members are in agreement with it,

That the Minister of Finance be invited to appear for two hours on the bill and that this appearance be scheduled on or before May 18th, 2023.

5:50 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

I thank you, Mr. Chair.

I think we previously were debating a subamendment by Mr. Genuis on adding the Minister of Public Safety to this, and I know that we weren't successful in getting that amendment to the motion through, unfortunately, but it would have been, given the circumstances in the House these last few days, a good time. Again, it goes to the issue of ministerial accountability.

There are probably other ministers who should be added to this list, but—

5:50 p.m.

NDP

Daniel Blaikie NDP Elmwood—Transcona, MB

Just on that same point of order, Mr. Chair, I am curious to know if Mr. Perkins in his remarks will speak to the question of deficit financing in the Mulroney government and how that relates to ministerial responsibility as well.

Thank you.

5:50 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

I'd be thrilled to.

Would MP Blaikie like me to go now? Could I do that at the end of this Library of Parliament...? Then I'll explain—

5:50 p.m.

Conservative

Eric Duncan Conservative Stormont—Dundas—South Glengarry, ON

We're only in 1991.

5:50 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

—how $468 billion of deficit financing from Pierre Trudeau resulted in what we saw later on.

5:50 p.m.

NDP

Daniel Blaikie NDP Elmwood—Transcona, MB

I would say certainly don't skip over the part where MP Sgro at the time also used ministerial permits to aid and abet the sex trafficking industry, which I think was another scandal that came up while Minister Sgro was the immigration minister, which I'm sure you're coming to.

5:50 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

She had to resign—didn't she?

5:50 p.m.

NDP

Daniel Blaikie NDP Elmwood—Transcona, MB

After that, if you could provide some reflections on the state of deficit financing in the Mulroney government, I'm sure members of the committee will be glad to hear it.

5:50 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

MP Blaikie, thank you for that reminder. I don't believe it's in the Library of Parliament report, but perhaps it's another element that somebody could take on in the library in updating this fine document.

5:50 p.m.

Conservative

Eric Duncan Conservative Stormont—Dundas—South Glengarry, ON

Maybe the analysts.

5:50 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

MP Blaikie, maybe you can enlighten us on that particular scandal when you come to speak next. I would appreciate hearing about it.

I have trouble—

5:50 p.m.

NDP

Daniel Blaikie NDP Elmwood—Transcona, MB

Perhaps right after we vote on my subamendment.

5:50 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

If I spoke to every scandal, particularly during the last eight years, we would be here for quite a while. I can't believe, as MP Beech said, that it's been two hours already. Time flies when you're having fun.

The peanut gallery here is saying, for those who can't hear, that at least one of us is having fun.

Now where was I?

Yes, it was Justice Gomery. Let me just reiterate for those watching that on the Gomery inquiry on the sponsorship scandal, it said:

Justice John Gomery concluded that there was direct input by the then minister and his staff, as well as the chief of staff for the prime minister, regarding the selection of particular activities for sponsorship support by the Government of Canada.

I think in fact one Liberal operator went to jail over this.

Justice Gomery determined that this constituted "inappropriate political encroachment into the administrative domain”. Moreover, the deputy minister at the time was not kept informed of interactions between the minister's office and bureaucrats in charge of the program.

Justice Gomery recommended that the government prepare a code of conduct for ministerial staff, which would include provisions that “exempt staff have no authority to give direction to public servants and that Ministers are fully responsible and accountable for the actions of exempt staff. Justice Gomery also recommended that, to help them understand their role, “all exempt staff should be required to attend a training program to learn the most important aspects of public administration.”

In the search for Freeland, I will add on a personal note that it is because of the six degrees of separation rule. It is interesting that this parliamentary report quotes from the Gomery inquiry because the author for the Gomery inquiry, or who helped to write the report, was a fellow named Ian Sadinsky, a good friend of mine, actually, who actually was—and it comes around—Barbara McDougall's speech writer when she was a minister.

5:50 p.m.

An hon. member

Really.

5:50 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

It's just a coincidence.

5:55 p.m.

Conservative

Damien Kurek Conservative Battle River—Crowfoot, AB

The connections....

5:55 p.m.

Conservative

Rick Perkins Conservative South Shore—St. Margarets, NS

The connections are amazing.

For the interpreters, the last paragraph is on page 4:

As ministerial staff often act on behalf of their minister and serve as a buffer between the department and the minister, they wield considerable influence, if not de facto authority. While they are not to direct public servants, there is a lack of clarity about what constitutes appropriate interactions with public servants. These examples demonstrate how this lack of clarity has led to disputes over the proper role of ministerial staff and what it means for a minister to be responsible and accountable for the actions when controversy arises. Apart from the brief advice provided in the Privy Council Office's Accountable Government guide noted above, the role of ministerial staff remains relatively undefined.

The next section here is on the standards of ethical conduct, but maybe I'll come back to that in a moment to try to answer MP Blaikie's question. I don't want him to forget that he asked it, and I want people to understand the context of that.

People who are watching may have seen these graphics on social media that show that the current government has added more to the public debt than all other governments combined. That's why we'd like the minister responsible for the finance department to show up per our request and be here. She needs to be accountable for the fact that she has played a major role, she and her predecessor Bill Morneau, or, as the Prime Minister calls him, a "random Liberal". In certain respects, it may be something that's whispered at the Liberal Party convention this weekend, "Bill no more", as someone affectionately called him. The two finance ministers combined, along with their boss—the one thing that links both of them—have added more to the public debt than all other prime ministers.

To MP Blaikie's comments, how does that fare? We have a national debt at the end of this five-year fiscal framework of somewhere between $1.3 trillion or $1.4 trillion. As I said, if, during the rest of this mandate, this government doesn't spend a dollar more on new programs....

I should add, and I know I tend to digress sometimes, but these ideas come into my head. The minister of industry—I am the shadow minister for industry—as we know, recently made a commitment of $14 billion to Volkswagen. The amount of $778 million used to be an astronomical sum when we talked about it, but they will spend $778 million of taxpayers' money assisting Volkswagen in building this EV battery plant. Then we'll spend $13 billion in subsidizing Volkswagen's operations.

Now, I have to tell you that I've looked a lot through these budget documents, and I know the $778 million is included in the SIF program, as it's called. I sometimes refer to it as the “sieve program”, but the SIF program is a program where this government chooses to subsidize large, multinational companies from other countries. In fact, Volkswagen's revenue last year was the same as the Government of Canada's revenue, $413 billion, so they are in desperate need of Canadian taxpayer money, clearly. That $413 billion that we spend.... I've looked through this, and I've looked through the fall economic statement last year, which promised a balanced budget. All of these documents that are tabled with all these glossy pictures don't have any reference to $13 billion of government spending. I think I've figured out why.

They figured out why, and I'm being asked why. Apparently the estimate.... We'll see the contracts on Monday through a parliamentary order. We had to put a parliamentary order through the industry committee in order to see the contracts, but with the parliamentary order, we'll get a look at the contracts.

According to the Volkswagen deal, apparently it will take five or six years to build this plant. This government, with its tendency to spend money it doesn't have, has created a new way of doing that, because the $13 billion doesn't kick in until the year after this fiscal framework. This amount is then spread over 10 years, from 2027 onwards, I think, or 2028 onwards, to 10 years after. That is when they've assigned taxpayers to spend the money, far outside this fiscal framework.

I think the minister needs to come here and explain to us why she allowed her colleague to make a commitment that ranges to 15 years out from now, far outside the fiscal framework, and the minister of industry