Mr. Speaker, I have a couple of comments with respect to the remarks made by the hon. member.
As we stated earlier, the Progressive Conservative Party will be supporting this legislation. However, we believe it is incumbent on the government to react to a number of the initiatives put forth in the auditor general's report, as I outlined earlier.
I am very pleased that the Minister of Industry stated: “I am pleased that the auditor general noted that we have made considerable progress toward increasing productivity and reducing the overall cost of the program. The auditor general's report will be a very useful tool as we review the SBLA”.
However, there is one principal issue which has to be addressed and that is the issue of incrementality. The hon. member mentioned different criteria in terms of where the access to capital would be provided to certain types of small businesses. Then he went on to another aspect of it and said that loans would also be given to companies and ventures where loans would not otherwise be given.
Is it the member's understanding of the legislation that its original intent was to provide incremental loans of a smaller nature, not to compete with the larger amounts of money?
As the auditor general pointed out in his report, 30% to 40% of the loans approved by the SBLA would have been approved anyway.
I think it is incumbent on this government to actually ensure the incrementality type loans, loans for start-up ventures or for expansions that do not tie up the small business person's personal guarantee.
That is supported by the 88,000 members of the Canadian Federation of Independent Business. Is that the intent? Do they want to approve other loans?