House of Commons Hansard #107 of the 36th Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was right.

Topics

Committees Of The HouseRoutine Proceedings

12:05 p.m.

Liberal

Shaughnessy Cohen Liberal Windsor—St. Clair, ON

Mr. Speaker, I have the honour to present, in both official languages, the eighth report of the Standing Committee on Justice and Human Rights. This is on the drafting of a bill to amend those sections of the Criminal Code that deal with impaired driving.

On behalf of the committee we take no great delight in making this report. This report indicates to the House that we were unable to meet a deadline of May 15 in terms of the work on this subject matter.

The committee has placed the subject matter on its agenda for the fall and we will attempt to deal with it in an expeditious manner. The level of work that we have had has been quite incredible during this term.

In addition, I have the honour to present, in both official languages, the ninth report of the Standing Committee on Justice and Human Rights.

Pursuant to Standing Order 108(2), the committee proceeded to review the present DNA provisions of the Criminal Code adopted during the 35th Parliament as Bill C-104. That report is complete.

Committees Of The HouseRoutine Proceedings

12:05 p.m.

Liberal

Ivan Grose Liberal Oshawa, ON

Mr. Speaker, I have the honour to present the 11th, 12th and 13th reports of the Standing Committee on Public Accounts, respecting chapters 35, 32 and 31 of the December 1997 report of the auditor general.

As acting chair of the committee and on behalf of government members of the committee, we wish to thank the members drawn from our colleagues across the aisle. Their spirit of co-operation and hard work has enabled us to bring five reports to this House this week. This is an example of how all members of this House can best serve all our constituents.

Pursuant to Standing Order 109 the committee requests the government to table comprehensive responses to these reports.

Criminal CodeRoutine Proceedings

12:05 p.m.

Reform

Leon Benoit Reform Lakeland, AB

moved for leave to introduce Bill C-406, an act to amend the Criminal Code (search and seizure without warrant).

Mr. Speaker, the purpose of this private member's bill is twofold. It is to amend section 139 of the Firearms Act to first of all remove the power to search and seize weapons without a warrant when there is no evidence that an offence has been committed or suspected to have been committed.

Second, when a search has taken place and if unnecessary damage has been committed restitution will be paid.

(Motions deemed adopted, bill read the first time and printed)

Supplementary Estimates (A) 1998-99Routine Proceedings

12:05 p.m.

Hull—Aylmer Québec

Liberal

Marcel Massé LiberalPresident of the Treasury Board and Minister responsible for Infrastructure

Mr. Speaker, pursuant to Standing Order 81(5) and 81(6), I wish to move a motion concerning reference of supplementary estimates to standing committees of the House.

I move:

That the Supplementary Estimates (A) for the fiscal year ending March 31, 1999, laid upon the Table earlier today, be referred to the several Standing Committees of the House as follows:

As there is a lengthy list attached to the motion, if it is agreeable to the House, I would ask that the list be printed in Hansard as if it had been read.

Supplementary Estimates (A) 1998-99Routine Proceedings

12:10 p.m.

The Deputy Speaker

Is that agreed?

Supplementary Estimates (A) 1998-99Routine Proceedings

12:10 p.m.

Some hon. members

Agreed.

To the Standing Committee on Aboriginal Affairs and Northern Development

—Indian Affairs and Northern Development, Vote 15a

To the Standing Committee on Agriculture and Agri-Food

—Agriculture and Agri-Food, Votes 1a, 10a and 11a.

To the Standing Committee on Canadian Heritage

—Canadian Heritage, Votes 1a and 5a

To the Standing Committee on Citizenship and Immigration

—Citizenship and Immigration, Vote 5a

To the Standing Committee on Environment and Sustainable Development

—Environment, Votes 1a and 10a

To the Standing Committee on Finance

—Finance, Vote L11a

To the Standing Committee on Foreign Affairs and International Trade

—Foreign Affairs and Internation Trade, Vote 5a

To the Standing Committee on Health

—Health, Votes 1a, 5a, 15a and 20a

To the Standing Committee on Human Resources Development and the Status of Persons with Disabilities

—Human Resources Development, Votes 5a and 10a

To the Standing Committee on Industry

—Industry, Votes 55a, 60a, 70a, 80a, 90a, 95a and 100a

To the Standing Committee on Justice and Human Rights

—Justice, Votes 1a and 5a —Solicitor General, Vote 10a

To the Standing Committee on National Defence and Veterans Affairs

—National Defence, Vote 10a

To the Standing Committee on Natural Resources and Government Operations

—Natural Resources, Votes 1a and 10a —Privy Council, Votes 26a and 27a —Treasury Board, Vote 1a

(Motion agreed to)

PetitionsRoutine Proceedings

May 15th, 1998 / 12:10 p.m.

Bloc

Maud Debien Bloc Laval East, QC

Mr. Speaker, pursuant to Standing Order 36, it is my pleasure to present a petition concerning nuclear disarmament.

The petitioners consider that the proliferation of nuclear armament is a threat to the health and survival of human beings and their environment. In addition, they state that Canada and the signatories of the treaty on the non-proliferation of nuclear weapons reaffirmed their commitment in May 1995 to pursue negotiations with a view to halting the nuclear arms race.

More specifically, the signatories are calling on Parliament to support the conclusion by the year 2000 of the international convention which will set out a binding timetable for the abolition of all nuclear weapons.

PetitionsRoutine Proceedings

12:10 p.m.

Reform

Eric C. Lowther Reform Calgary Centre, AB

Mr. Speaker, today I will be presenting three petitions.

The first deals with a group of Alberta residents concerned about the government's setting greenhouse gas target emissions given the lack of consensus about how effective such targets might be or how costly they will be to implement.

PetitionsRoutine Proceedings

12:10 p.m.

Reform

Eric C. Lowther Reform Calgary Centre, AB

Mr. Speaker, the second petition deals with individuals concerned about adult entertainment in the city of Kanata.

These parlours are showing up in their communities and the petitioners are concerned with the effects such parlours have on the innocence of young people and on crime in that area. They are requesting that parliament make legislative changes to enable municipalities to prohibit these establishments which degrade women and foster pornographic mentality which is harmful to their communities.

PetitionsRoutine Proceedings

12:10 p.m.

Reform

Eric C. Lowther Reform Calgary Centre, AB

Mr. Speaker, in the third petition individuals draw attention to the fact that last summer the CRTC licensed the pornographic Playboy channel while refusing to license numerous religious broadcasting services. They also point out that the CRTC has a track record of such decisions and call on parliament to review the mandate of the CRTC and direct it to administer a new policy which will encourage the licensing of religious broadcasters.

I currently have a motion, Motion No. 392, which deals with this subject.

PetitionsRoutine Proceedings

12:10 p.m.

Liberal

Paul Szabo Liberal Mississauga South, ON

Mr. Speaker, today, May 15, the international Day of the family, I am pleased to present a petition about the family. It is signed by a number of Canadians, including Canadians from my own riding of Mississauga South.

The petitioners bring to the attention of the House that managing the family home and caring for preschool children is an honourable profession which has not been recognized for its value to our society.

The petitioners also agree with the national forum on health which observed that the Income Tax Act discriminates against families that choose to provide direct parental care in the home to preschool children.

The petitioners therefore call on parliament to pursue initiatives to eliminate that discrimination in the Income Tax Act for families that choose to provide care in the home for preschool children.

Questions On The Order PaperRoutine Proceedings

12:10 p.m.

Peterborough Ontario

Liberal

Peter Adams LiberalParliamentary Secretary to Leader of the Government in the House of Commons

Mr. Speaker, the following questions will be answered today: Nos. 65, 76, 89 and 90. .[Text]

Questions On The Order PaperRoutine Proceedings

12:10 p.m.

Reform

Chuck Strahl Reform Fraser Valley, BC

What steps has the government taken to implement the recommendations contained in the Matter of Fisheries and Oceans. Special Review re: Sto:lo Fisheries Authority based on Documentation Available and Procedures Performed As at February 28, 1995 and, specifically, what action is being taken with regard to Recommendations numbered 3.01, 3.02, 4.11, 4.12, 4.23, 4.24, 4.28, 5.14, 5.16, 5.17, 5.18, 6.44, 6.45, 6.46 and 6.47?

Questions On The Order PaperRoutine Proceedings

12:10 p.m.

Victoria B.C.

Liberal

David Anderson LiberalMinister of Fisheries and Oceans

After the 1994 report “Special Review Re: Sto:lo Fisheries Authority”, significant changes were made to the operation of the Sto:lo Fisheries Authority, SFA, as it pertains to financial accountability. In the year following the review, all funds were provided to an independent administrator and only released in accordance with proper accounting procedures. Since then the financial control has been moved from the SFA to the financial arm of Sto:lo Nation. The fiscal accountability of Sto:lo Nation has been reviewed by DFO Finance, Pacific Region which is satisfied with the accounting processes in place.

In the last two years, DFO has been more involved in the financial aspects of the agreement. DFO staff have participated in the monetary aspects of the levy, referred to as the “Contribution Fishery” in the report, and excess salmon surplus to requirements, ESSR, fishery arrangements. Active management controls including the laying off of staff to avoid overexpenditures are now routine.

Specific Recommendations:

3.01 The quarterly Progress Reports submitted to DFO by the SFA are reportedly prepared internally by the SFA and are not reviewed by the external auditor prior to submission. Given the nature and extent of the issues raised through our review, there is an opportunity to increase the reliability and accuracy of the reports by having the auditor involved in the preparation and/or review of the progress reports.

The quarterly reports are now prepared by the Sto:lo Nation's director of finance and his staff, not by Sto:lo fisheries authority staff, as was the case prior to the report. Given that the processes used are accepted by the external auditor and DFO Finance, Pacific Region, the participation of the auditor in the preparation of the quarterly reviews is not required.

3.02 SFA apparently received two letters relating to accounting matters, dated February 7, 1994, and recommendations arising from audit, dated June 27, 1994, from Mr. Robert Nicklom of Goldfinch, Nicklom and Northcott, SFA's auditor for the fiscal year 1993-94. DFO reportedly did not receive copies of the auditor's management letters. As it appears that certain recommendations made by SFA's auditor have not been implemented, there is an opportunity for DFO to more proactively monitor SFA's management and operations by receiving such management letters.

Since the submission of the report, the subsequent implementation of the independent administrator for 1995 and procedures put in place since then, no management issues have been identified in the audit.

4.11 SFA should carry out a complete evaluation of the financial controls regarding the contribution fishery. Controls that were in place should be documented and analysed in conjunction with SFA's auditor to assess the effect on the audit opinion for fiscal 1994-95. In particular, a reconciliation of the fish caught per the landing slips issued to the revenue recorded should be performed. The numerical continuity of the landing slips should also be reviewed. In addition, the controls regarding future contribution fisheries should be reviewed to ensure appropriate improvements are made.

No contribution fisheries were conducted in 1995 or 1996. In 1997, DFO was highly involved in the design and implementation of the fishery. DFO's involvement included designing the bid package, opening the bids and selecting the highest bidder, and ensuring the funds were properly dealt with. The design of the fishery was such that numerical control of landing slips was not required.

4.12 A complete analysis of a particular individual's transaction should be performed. The analysis should address such questions as:

a. Why was a deposit of $125,000 received when the invitation to bid indicated that a deposit of $150,000 was required?

b. Does the bidding process, the amended bid, the outstanding receivable and the accounting controls regarding the related revenue raise concerns regarding the management of the contribution fishery?

c. Did the individual sell the fish to a third party and, if so, was he paid for them?

d. What is the likelihood that the receivable from the individual will be collected? Should the receivable, or a portion thereof, from the individual be provided for as a doubtful or uncollectable account?

e. What effect would the non-collection of the receivable from the individual have on the First Nations' and/or STC's performance under the agreement?

There has been discussion with Sto:lo Nation and Sto:lo fisheries on the involvement of the individual in this particular interaction. The total amount of the receivable monies from this transaction was deducted from the 1995 agreement amount DFO was to pay SFA. This left the Sto:lo Nation responsible for the outstanding amount, and this has had the effect of making the Sto:lo Nation more accountable for their practices. Further, the individual has not had any further involvement with projects of this nature.

4.23 SFA should assess their requirements to pay GST and, as recommended by their auditor, should review the accounting treatment of GST paid. After determining the extent of refund available, a GST return and/or refund claim should be filed in accordance with the Excise Tax Act.

4.24 The DFO should consider the position they will take with respect to amending past progress reports to properly account for GST that may have been included as allowable costs.

The GST was applied for and received in the 1994 agreement. Since then GST has been applied for on an annual basis.

4.28 SFA should review their policy with respect to accounting for capital assets particularly with respect to the treatment of disposals of capital assets. If necessary, progress reports should be revised for any accounting errors.

The accounting of capital assets including disposal is done in accordance with acceptable accounting procedures.

5.14 Insurance coverage should be reviewed to ensure that SFA is only insuring boats to which they have title. Excess insurance should be canceled and inquiries should be made as to the possibility of a refund. In addition, the existence and possible disposal of any excess boats should be reviewed.

Insurance coverage is now only on vessels operated by the SFA.

5.16 SFA should implement a system to monitor the personal use of cellular phones and vehicules. The level of use should be reviewed for any potential abuses. In addition, SFA should review the requirement, if any, to issue T4 slips for taxable benefits.

Managers within Sto:lo Fisheries are now provided a budget to work within. One of their responsibilities is to ensure that equipment is operated in accordance with acceptable procedures, including limiting the personal use of equipment. There have been instances where managers have limited the use of equipment due to abuses. The costs are deemed, by AFS staff who review the reports, to be within an acceptable range.

5.17 DFO should review their position with respect to SFA assets used for non-SFA business, such as travel to and from work.

DFO has reviewed the level of assets support including use for non-SFA business and has concluded this should be left to the discretion of the SFA managers who are accountable for their budgets.

5.18 DFO should request the travel expense claim forms for honoraria described in the general ledger as relating to CA-104.

A flat rate is now paid for honoraria—$75.00 per half day or conference call or $150.00 per day plus mileage at government approved rates. The authorization for this payment is the minutes of meetings. Minutes are provided by the independent chairman of the planning committee. Given the controls that are already in place, it is not necessary for DFO to view travel expense claims.

6.44 Generally the financial controls in place at SFA warrant improvement as various accounting errors appear to go undetected, notwithstanding the fact that SFA was apparently informed of the nature of many of the errors in February 1994.

6.45 We recommend taht a thorough review of financial controls take place with a view to detecting and preventing future errors from taking place. Controls currently in place such as inter-company and bank reconciliations do not appear to be performed on an accurate basis as evidence by the undetected errors.

6.46 The involvement of the external auditor in the preparation of the progress reports may result in the earlier detection of accounting errors and a greater assurance level regarding the reliability of the progress reports.

6.47 Additional training and education of in-house accounting personnel may also alleviate some of the problems that are currently being experienced.

Since the accounting regime and reporting relationships have been changed significantly, these recommendations have been addressed.

Questions On The Order PaperRoutine Proceedings

12:10 p.m.

Reform

Keith Martin Reform Esquimalt—Juan de Fuca, BC

Will the Minister of National Revenue explain what taxation guidelines apply to tobacco `sticks' in comparison to taxation guidelines of cigarettes?

Questions On The Order PaperRoutine Proceedings

12:10 p.m.

Vancouver South—Burnaby B.C.

Liberal

Herb Dhaliwal LiberalMinister of National Revenue

Tobacco sticks are provided for in the federal Excise Act which was amended in 1991 to include the new rate of excise duty and the definition for tobacco sticks. At the time it was acknowledged that partially-made cigarettes, requiring some preparation prior to smoking, did not fit into any existing category. Tobacco sticks can only be made by a licensed tobacco manufacturer under the same regulatory requirements as cigarettes.

At the federal level, cigarettes and tobacco sticks attract both excise duties and excise taxes. On the total sale price of a carton of 200 cigarettes, excise duties represent $5.50, while on a carton of 200 tobacco sticks, excises duties represent $3.67. As a result of the increased taxes announced on February 13, 1998, excise taxes on cigarettes and tobacco sticks vary from $2.25 to $5.35 for a carton of cigarettes and from $1.85 to $2.93 for a carton of tobacco sticks, depending in which province the tobacco products are offered for sale. This situation is due to the fact that the federal excise tax rate is linked to the provincial tax rate for tobacco products. For example, in Quebec, a carton of 200 cigarettes would attract $7.75 in federal duties and taxes compared to $5.52 for 200 tobacco sticks. In Alberta the duty and tax is $10.85 on a carton of cigarettes and $6.60 on tobacco sticks.

The government has also indicated its intent to review the tax differential existing between the two products.

Questions On The Order PaperRoutine Proceedings

12:10 p.m.

Reform

Val Meredith Reform South Surrey—White Rock—Langley, BC

Could the Minister responsible for Revenue Canada Customs list the total revenue for the PACE/CANPASS program at each of the British Columbia border crossings for 1996-97 and 1997-98?

Questions On The Order PaperRoutine Proceedings

12:10 p.m.

Vancouver South—Burnaby B.C.

Liberal

Herb Dhaliwal LiberalMinister of National Revenue

The total fees collected by Revenue Canada for the CANPASS/PACE lanes at Pacific Highway, Huntingdon, Boundary Bay and Douglas are $694,139.18 for the 1996-97 fiscal year and $729,269.98 for the 1997-98 fiscal year. All of these revenues are tabulated and summarized at the CANPASS processing center situated in Douglas. A breakdown of the revenues collected by individual border crossings in British Columbia is not available.

Questions On The Order PaperRoutine Proceedings

12:10 p.m.

Reform

Val Meredith Reform South Surrey—White Rock—Langley, BC

Could the Minister responsible for Revenue Canada Customs, list the total cost of administering the PACE/CANPASS program at each of the British Columbia border crossings for 1996-97 and 1997-98?

Questions On The Order PaperRoutine Proceedings

12:10 p.m.

Vancouver South—Burnaby B.C.

Liberal

Herb Dhaliwal LiberalMinister of National Revenue

The administration cost for the CANPASS/PACE program at each of the British Columbia border crossings has been estimated at $219,000 per year for the CANPASS/PACE lanes at Pacific Highway, Huntingdon, and Boundary Bay, and $279,000 per year for the CANPASS/PACE lane at Douglas. To arrive at these figures the total cost for the program including the centralized processing of membership applications and the associated headquarters administrative costs were apportioned to the four sites. The estimated costs are the same for both the 1996-97 and 1997-98 fiscal years.

Questions Passed As Orders For ReturnsRoutine Proceedings

12:10 p.m.

Peterborough Ontario

Liberal

Peter Adams LiberalParliamentary Secretary to Leader of the Government in the House of Commons

Mr. Speaker, if Question No. 68 could be made an order for return, that return would be tabled immediately.

Questions Passed As Orders For ReturnsRoutine Proceedings

12:10 p.m.

The Deputy Speaker

It is agreed?

Questions Passed As Orders For ReturnsRoutine Proceedings

12:10 p.m.

Some hon. members

Agreed. .[Text]

Questions Passed As Orders For ReturnsRoutine Proceedings

12:10 p.m.

Liberal

Guy St-Julien Liberal Abitibi, QC

With respect to the new RCMP detachment building in Rouyn-Noranda, designed to house one secretary, at a cost of over $1,000,000: ( a ) was that project covered under the heading “Other”, on page 55 of the 1997-98 Estimates; and ( b ) what are the other controlled capital projects with costs of between $400,000 and $3,000,000?

Return tabled.

Questions Passed As Orders For ReturnsRoutine Proceedings

12:15 p.m.

Progressive Conservative

Peter MacKay Progressive Conservative Pictou—Antigonish—Guysborough, NS

Mr. Speaker, I was really straining my ears today hoping that we might get an answer to Question No. 21.

Yesterday the parliamentary secretary indicated that the government would be providing an answer to Question No. 21 some day but that it was taking a long time because the government had to canvass all the different departments.

The question is fairly simple. It is a question about ministers who visited Drummondville and Trois-Rivières during the time that there was Liberal illegal fundraising going on.

Clearly it would not take seven months to canvass the diaries of 30 ministers to find out where they were during that time period.

Again I would ask the hon. parliamentary secretary please, not in a timely fashion and not in due course, but that we get an answer to this question that has been on the Order Paper now for over seven months.