Debates of May 7th, 2001

Public Works

[Alfonso Gagliano, Liberal, Minister of Public Works and Government Services]

Mr. Speaker, this contract was given so we could improve our program. As a matter of fact, besides this study there was also an internal audit. Since then we show guidelines. All the agencies recompeted. For the year 2001-02 we will have a better program because of this work.

Transportation

[David Pratt, Liberal, Nepean—Carleton, ON]

Mr. Speaker, my question is for the Parliamentary Secretary to the Minister of Labour. Many of my local Liberal colleagues in the national capital region, especially the hon. member for Ottawa—Vanier and me, have been very concerned about the tremendous inconvenience and dislocation caused by the two month old Para Transpo strike.

Could the parliamentary secretary tell the House what the federal government is doing to help end this strike and restore vital services to the users of Para Transpo?

[Judi Longfield, Liberal, Parliamentary Secretary to Minister of Labour]

Mr. Speaker, I am pleased to advise my colleague that the employer has agreed to submit this dispute to binding arbitration.

The union executive has already announced that it will recommend to its membership that this dispute be settled by binding arbitration, and the union will actually vote on it this evening.

I am sure that all hon. members join me in encouraging the resumption of normal Para Transpo operations as quickly as possible.

Government Loans

[Pat Martin, NDP, Winnipeg Centre, MB]

Mr. Speaker, less than one year after we gave Buhler Versatile Inc. a $32 million unsecured interest free loan to build farm tractors in Winnipeg, it now says it is moving the plant to Fargo, North Dakota, and there is nothing in the loan contract to stop it.

Even worse, it is now revealed that the purchase price of the plant was only $28.5 million. We gave them $32 million, 115% of the total value.

John Buhler is breaking his side of the bargain to build tractors in this country. I want to know what the Minister of Industry will do to cancel this loan agreement and to recoup every penny of taxpayer money from this bogus loan?

[Brian Tobin, Liberal, Minister of Industry]

Mr. Speaker, I would be very happy to table a letter for my hon. NDP colleague from the NDP government of the province of Manitoba, both from the premier of the province and from the minister of industry, asking the national government to approve this transfer without delay, and that we did.

[Pat Martin, NDP, Winnipeg Centre, MB]

Mr. Speaker, we all went to bat to try to get a buyer for this plant. I wrote letters personally on behalf of it and so did Lloyd Axworthy to get that loan through. We did not know they would write such a sloppy loan that this company could leave the country with our money.

Worse than that, it was revealed yesterday that John Buhler moved all the assets out of the company into a holding company and now has a secured loan against all the assets. Even if the company goes bankrupt or leaves the country, we cannot go after the assets of the company.

Again, what will the minister do? Will he unleash all the legal resources in his department to get—

[The Speaker]

The hon. the Minister of Industry.

[Brian Tobin, Liberal, Minister of Industry]

Mr. Speaker, the member is quite right. He and members of the New Democratic Party and members of the government of the province of Manitoba all asked that the matter be handled in exactly the way in which it was handled.

There was no new loan made. What happened was a new buyer took on the obligation of handling an existing loan. That is all that happened. By the way, it was done at the request of the hon. member and his friends in the province of Manitoba.

Business Development Bank Of Canada

[Joe Clark, Progressive Conservative, Calgary Centre, AB]

Mr. Speaker, I have a question for the Minister of Industry. Why is the Business Development Bank suddenly so concerned about the role of Jean Carle in the Grand-Mère file that it now claims the document which proves his involvement is a forgery?

Will the minister tell the House whether the bank employees who have allegedly sworn affidavits to that effect did so voluntarily, and will he advise why this new alleged forgery is not going to the RCMP?

[Brian Tobin, Liberal, Minister of Industry]

Mr. Speaker, it is clear now that the Leader of the Opposition had a brilliant week last week and for the previous two weeks and managed to steal away the front pages from the leader of the Conservative Party and had a better night Saturday night at the press gallery dinner. We are back to the same old tricks from the leader of the Conservative Party.

[Joe Clark, Progressive Conservative, Calgary Centre, AB]

Mr. Speaker, my question for the Deputy Prime Minister is about the company known as 161341 Canada Incorporated, the company in which the Prime Minister held a one-third interest.

The certified copy of the registered deed of sale shows that on July 27, 1988, 161341 Canada Incorporated paid Consolidated Bathurst the sum of $1 for 21 parcels of land. Those are the golf course lands.

Could the Deputy Prime Minister confirm that the price the Prime Minister's company paid was $1?

[Herb Gray, Liberal, Deputy Prime Minister]

Mr. Speaker, I will have to take the question as notice. I cannot confirm the allegations of the hon. member.

I also point out that his question does not seem to have anything to do with the business of the government.

Heritage Canada

[Cheryl Gallant, Canadian Alliance, Renfrew—Nipissing—Pembroke, ON]

Mr. Speaker, the auditor general has identified a lack of accountability for $700 million in grants and contributions of taxpayer money that Canadian Heritage currently spends.

How could the government justify spending an additional $563 million by that department when it cannot account for what it currently spends?

[Sheila Copps, Liberal, Minister of Canadian Heritage]

Mr. Speaker, I am frankly extremely disappointed that the hon. member, who last Tuesday or Wednesday was standing in the House looking for almost a half a billion dollars in assistance for a particular project in her constituency, has the gall to state only two days later that there should be no money for culture in Canada. If she continues to pursue that agenda I do not think there will be any seats left standing in her party.

[Cheryl Gallant, Canadian Alliance, Renfrew—Nipissing—Pembroke, ON]

Mr. Speaker, obviously the minister has chosen to ignore the auditor general's report. Will the minister delay the spending of the announced funds until her department cleans up its act?

[Sheila Copps, Liberal, Minister of Canadian Heritage]

Mr. Speaker, one of the things I have to say is that the reaction across the country to the announcement made last week by the Prime Minister was absolutely fantastic.

I know that Alliance Party members have been busy with other things, but in case they have not had a chance I would like to recall the statement made by the Edmonton Arts Council executive director that the government was able to support groups that were doing good art and the statement made by Bob McPhee, general director of the Calgary Opera Association, that its number one mandate was to give culture the resources so that it could—

[The Speaker]

The hon. member for Rosemont—Petite—Patrie.

Acid Rain

[Bernard Bigras, Bloc, Rosemont—Petite-Patrie, QC]

Mr. Speaker, a study by the Quebec department of natural resources revealed this weekend that acid rainfall is the cause of the premature decline of Quebec maple stands. The Minister of the Environment is still refusing to implement the Kyoto protocol, which would lead to a reduction in both greenhouse gases and sulphuric acid emissions.

Does the minister not realize that, because of his own inaction, he is responsible for an environmental problem in the decline of Quebec maple stands and an economic problem in the negative growth of the maple products industry in Quebec?

[David Anderson, Liberal, Minister of the Environment]

Mr. Speaker, the hon. member has correctly identified the question of acid rain as being of continuing importance. It is true that many advances were made in the eighties, in the early eighties in particular. It is also true that the problem continues.

We have the acid rain strategy as a result. We are working with our American partners to reduce acid rain emissions and we hope that will be successful.

In addition, he is incorrect in stating that the government is not pursuing the Kyoto agreement and its commitments under that agreement. As the Prime Minister said in the House on a number of occasions, that is precisely what we are doing. We are following through on our Kyoto agreement commitments.

[Bernard Bigras, Bloc, Rosemont—Petite-Patrie, QC]

Mr. Speaker, Quebec cut its acid emissions by 65% 10 years ago but more than half the acid rainfall in Quebec comes from the use of fuel oil and coal in Ontario and the U.S.

Is the statement by the American vice-president in favour of the construction of coal, natural gas and fuel oil fired generating stations, together with the Prime Minister's open attitude to the non-renewable energy needs of the Americans not cause for Quebec maple producers to fear the worst?

[David Anderson, Liberal, Minister of the Environment]

Mr. Speaker, in December I signed an agreement with my counterpart in the United States to reduce by 50% the emissions related to ozone impacted pollution at low level. This will have a dramatic impact upon acid rain emissions in exactly the area and from the sources the hon. member has outlined.

I do not understand why he does not pay attention to the ongoing process with our partners in the provinces and of course in the United States to reduce emissions because the problem, as he has correctly pointed out, is very serious.

National Defence

[Leon Benoit, Canadian Alliance, Lakeland, AB]

Mr. Speaker, the 1999-2000 military housing inventory obtained under access to information shows the need for $300 million to upgrade military housing just to a minimum standard. This is at a time when there is a need to replace billions of dollars of equipment and when we have to increase personnel numbers just to meet the commitments already made.

I would like to ask the minister a very direct and basic question. Where will he get the money to replace this housing so that men and women serving in the military have housing that at least meets the minimum standard?

[Art Eggleton, Liberal, Minister of National Defence]

Mr. Speaker, we want decent and affordable housing for our troops and for their families. Since the quality of life report of the Standing Committee on National Defence and Veterans Affairs was issued three years ago we have spent some $250 million on upgrading the housing.

This year we will spend a further $57 million and we will keep providing the allocations that are necessary until all of that housing is up to a top standard. Furthermore, we are increasing our budget in terms of our equipment expenditures. We are either replacing or upgrading just about every major piece of equipment in our inventory.

[Leon Benoit, Canadian Alliance, Lakeland, AB]

Mr. Speaker, we need $300 million now, just to increase the housing improvement to a minimum standard.

The minister knows that with the current budget we cannot replace the equipment needed and increase the numbers to the level promised, to the 60,000 promised, and at the same time fix housing to the minimum standard.

Will the minister continue to run dilapidated equipment and to leave personnel below the promised level? Will he leave the substandard housing or will he continue to increase rents to men and women serving so that they can pay for the improvements necessary to increase the housing just to the minimum standard?

[Art Eggleton, Liberal, Minister of National Defence]

Mr. Speaker, we take responsibility for upgrading this housing. The hon. member seems to have forgotten that we have already spent some $250 million to do that. We are spending more this year and we are committed to doing the job.