Evidence of meeting #6 for Transport, Infrastructure and Communities in the 41st Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was federal.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Tim Shearman  President, Canadian Automobile Association
Jeff Walker  Vice-President, Public Affairs, Canadian Automobile Association
Paul Moist  National President, Canadian Union of Public Employees
Toby Sanger  Senior Economist, Canadian Union of Public Employees

4:55 p.m.

National President, Canadian Union of Public Employees

Paul Moist

I didn't either.

4:55 p.m.

Conservative

Pierre Poilievre Conservative Nepean—Carleton, ON

You referenced it, so I'm curious if you happen to have any—

4:55 p.m.

National President, Canadian Union of Public Employees

Paul Moist

But your broad question is a good one. Canada is spending less, as a percentage of the overall wealth in the economy, than at any time in the last 50 years.

By the way, I don't ascribe that simply to the current government. There's been a crunching down of spending.

5 p.m.

Conservative

Pierre Poilievre Conservative Nepean—Carleton, ON

It's hard to believe that's the case when all levels of government have been growing their spending faster than nominal GDP over the last decade. It's hard to believe we're at an all-time low, with that having been the case.

5 p.m.

Toby Sanger Senior Economist, Canadian Union of Public Employees

In the past few years there has been an increase in total public spending as a share of GDP. That's largely because the economy has gone down in the past few years. But prior to the economic crisis, public spending as a share of the total economy had indeed dropped to the lowest rate it had been in many decades.

Now, I think there's some confusion there, because the federal government has increased its transfers. So what you may see is a lot of double-counting. The federal government may be increasing some of its spending, but a lot of that goes to the provincial governments. Then you see the provincial government also increasing spending by that amount.

There's only one taxpayer, but a lot of that, as you said, is the same amount of money. If you look at total levels of spending, it has dropped to a very low portion. That's partly because a lot of the services have been downloaded to municipal governments, and I think Paul has made this point.

5 p.m.

Conservative

Pierre Poilievre Conservative Nepean—Carleton, ON

They haven't been downloaded by the federal government. There's been nothing downloaded by the federal government in over a decade.

5 p.m.

Senior Economist, Canadian Union of Public Employees

Toby Sanger

Well, I wouldn't necessarily agree. There have been reductions in spending in a lot of different areas, which municipalities have had to pick up.

5 p.m.

Conservative

Pierre Poilievre Conservative Nepean—Carleton, ON

There hasn't been downloading from the federal government to the provinces in at least a decade.

5 p.m.

Senior Economist, Canadian Union of Public Employees

Toby Sanger

There have been reductions in spending by the federal government in various areas.

5 p.m.

Conservative

Pierre Poilievre Conservative Nepean—Carleton, ON

Like what?

5 p.m.

Senior Economist, Canadian Union of Public Employees

Toby Sanger

It might be immigrant settlement, and larger cities certainly pick that up.

5 p.m.

Conservative

Pierre Poilievre Conservative Nepean—Carleton, ON

No, that's not true. There have been no reductions.

5 p.m.

Senior Economist, Canadian Union of Public Employees

Toby Sanger

Reductions as a share of—

5 p.m.

Conservative

Pierre Poilievre Conservative Nepean—Carleton, ON

No, there have been no reductions of that kind.

5 p.m.

National President, Canadian Union of Public Employees

Paul Moist

Listen, it wasn't your government, but in 1995, in another period of time to deal with....

5 p.m.

Conservative

Pierre Poilievre Conservative Nepean—Carleton, ON

That was 15 years ago.

5 p.m.

National President, Canadian Union of Public Employees

Paul Moist

Well, the Canada Assistance Plan.... This is the first recession. We're dealing with the first recession since 1995.

5 p.m.

Conservative

The Chair Conservative Merv Tweed

Point of order, Monsieur Coderre.

5 p.m.

National President, Canadian Union of Public Employees

Paul Moist

And getting rid of the Canada Assistance Plan has had a devastating impact on municipalities.

5 p.m.

Conservative

The Chair Conservative Merv Tweed

Order, please.

Monsieur Coderre on a point of order.

5 p.m.

Liberal

Denis Coderre Liberal Bourassa, QC

Mr. Chair, I would like to feel that this is the Standing Committee on Transport, Infrastructure and Communities and not a court of justice where questions are being asked every three seconds without giving the witness a chance to answer. It might be preferable to do that at a meeting of the Standing Committee on Finance to try to see whether the witness knows his budget. With all due respect, I think we should calm down a bit here.

5 p.m.

Conservative

The Chair Conservative Merv Tweed

On the same point of order, Monsieur Poilievre.

5 p.m.

Conservative

Pierre Poilievre Conservative Nepean—Carleton, ON

Of course, the honourable member does not want the witness to talk about the enormous cuts the Liberals made in the 1990s.

In any case, I have the right to ask my questions.

5 p.m.

Liberal

Denis Coderre Liberal Bourassa, QC

In 15 years as a member, I have never raised the issue of relevancy.

In 1993, we inherited a deficit of $42 billion that was handed down to us by the Conservatives. My intervention had to do with courtesy. It did not concern the substance, but the way in which questions were being put.

5 p.m.

Conservative

The Chair Conservative Merv Tweed

Thank you.

Mr. Watson on the original point of order, and then I'm going to rule.