Debates of June 4th, 2002

Government Contracts

[The Speaker]

The hon. Minister of Public Works and Government Services.

[Ralph Goodale, Liberal, Minister of Public Works and Government Services]

Mr. Speaker, I do not accept the premise of the question. However I want to point out that corrective action is already in the process of being taken on a number of fronts.

Let me specifically mention one. The Prime Minister has asked the President of the Treasury Board to examine all the means by which advertising, sponsorship and polling activity by the Government of Canada can be improved in the public interest and in the spirit of what the auditor general has said.

Technology Partnerships

[James Rajotte, Canadian Alliance, Edmonton Southwest, AB]

Mr. Speaker, after months of waiting, the Minister of Industry was able to tell the House that Cascade Data Services Inc. is a subsidiary of MacDonald Dettwiler and Associates, an aerospace company that has contributed more than $50,000 to the Liberal Party since 1998.

It took my office about five minutes to obtain this information and to also find out that Cascade was not listed as a subsidiary of MDA in either its 2000 or 2001 annual reports or on its website as of this morning.

What we have not been able to determine is whether in fact this company exists. Could the Minister of Industry confirm to Canadians that this $87 million loan was made to a viable company?

[Allan Rock, Liberal, Minister of Industry]

Mr. Speaker, not a single penny of this $87 million risk sharing investment has yet been advanced and it will not be advanced until all conditions imposed by officials of Industry Canada have been satisfied, including the details to which the member refers.

The member should know as well that when the money is invested it will be on a ratio of 10:1 of private investments. As this whole project goes forward almost $1 billion of private investment is involved at a ratio of 10:1. That is the kind of investment in new, innovative technology that we need in the country. It is a good investment on behalf of the people of Canada.

[James Rajotte, Canadian Alliance, Edmonton Southwest, AB]

Mr. Speaker, the minister should get a better briefing from his officials because according to the public accounts 2000-01 report, Cascade Data Services Inc. had already received $300,000 by the end of 2000. Unfortunately we do not know how much it has received since then.

Could the minister tell the House what qualifies a company incorporated only three months before to receive an $87 million loan from the taxpayers of Canada? Could he explain what he just said to the House in light of the fact that the public accounts report of last year confirms that $300,000 went to this corporation?

[Allan Rock, Liberal, Minister of Industry]

Mr. Speaker, like all TPC applications, this application was reviewed in detail by officials and it was decided only after an examination of the prospectus that it was a good investment for the public interest.

There is broad support for our goal to make Canada among the top five nations in the world for research and development. Right now we are number 14 in OECD. We are not going to get there unless we, like other countries, provide investments in industries and in businesses that create new knowledge and bring new products to the market. This is an example of that. It is done by all civilized countries. We are not going to get left behind.

Taxation

[Yvan Loubier, Bloc, Saint-Hyacinthe—Bagot, QC]

Mr. Speaker, the former Minister of Finance recognized the fiscal imbalance in the municipal sector, but denied its existence between the provinces and the federal government.

My question for the new Minister of Finance is this: Is he prepared to meet the demands of Pauline Marois and all the opposition parties in the National Assembly, by first admitting that a dangerous fiscal imbalance exists between Ottawa and the provinces?

[John Manley, Liberal, Deputy Prime Minister]

Mr. Speaker, I would be very pleased to meet with Ms. Marois and to discuss the fiscal situation in Quebec and in the other provinces.

The provinces have the same ability to raise taxes as does the federal government. It is up to her to decide on the level of taxes and spending in the province of Quebec.

National Defence

[Leon Benoit, Canadian Alliance, Lakeland, AB]

Mr. Speaker, the Canadian military is in crisis. The defence committee, after taking more than a year to examine the operational readiness of our Canadian forces, came out with its report last week. The conclusion was that the military was in crisis and it had to be acted on immediately.

The minister has had a week to read the report. Is he prepared to act upon the first recommendation?

[John McCallum, Liberal, Minister of National Defence]

Mr. Speaker, that is a very interesting question coming from across the aisle when back in 1995 the then leader of the opposition stated in the House of Commons, “I do not intend to dispute in any way the need for defence cuts”.

That was said by the member's leader. I think he should check with his boss to find out what his party's policy is.

Official Languages

[Benoît Sauvageau, Bloc, Repentigny, QC]

Mr. Speaker, according to the Commissioner of Official Languages, the government is exhibiting laxity as far as official language skill requirements and monitoring are concerned at the senior public service level.

Does the minister responsible for official languages agree with the commissioner that all senior public service positions should be bilingual?

[Lucienne Robillard, Liberal, President of the Treasury Board]

Mr. Speaker, it is very clear that we do require our senior executives to be bilingual, which is why we even have a skill upgrading program to help them attain a certain level.

We are pleased that the commissioner herself has reported that there have been some positive developments over the past two years. She emphasized the efforts made by the public service specifically to attain this high standard.

Airport Security

[Bev Desjarlais, NDP, Churchill, MB]

Mr. Speaker, on May 10 the U.S. congress rejected a plan to double the U.S. security fees at airports. On May 14 the European parliament passed legislation to have security costs come from general revenues and not from airports or air travellers.

Canada's air security tax is the highest in the world and threatens our $54 billion tourism industry. Summer tourists are crucial to that industry. Is the new minister accepting responsibility for the losses to tourism or will he end this harmful tax immediately?

[John Manley, Liberal, Deputy Prime Minister]

Mr. Speaker, I am sure the hon. member agrees with the principle that those who use services should pay for them. Certainly it is of interest to me to determine if the revenues meet the expenditures and that is something we will monitor very closely. However in the meantime the principle of user pay applies to this sector.

Leadership Campaigns

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

Mr. Speaker, now that the Prime Minister has ordered all leadership campaigns to shut down so that ministers can concentrate on government business, would he tell the House whether he has also shut down his own leadership defence fund?

[The Speaker]

I am afraid that question does not appear to have anything to do with the administration of the Government of Canada and accordingly is out of order, much as the Prime Minister might want to reply. However, if the question is out of order, it is hard to imagine how the reply could be in order.

National Defence

[Leon Benoit, Canadian Alliance, Lakeland, AB]

Mr. Speaker, it is pretty disappointing that the new Minister of National Defence, in his response to the very first question and a serious question about the crisis in the military, gave a cutesy, flippant response that was not appropriate. This issue is too serious.

I would like to ask the minister this. Is he going to respond to the committee report and is he going to respond to that first recommendation?

[John McCallum, Liberal, Minister of National Defence]

Mr. Speaker, I hope the hon. member is not referring to his own leader as cutesy and flippant. My point is that whereas the government committed $5 billion of additional defence spending to the military in the years to 2006, his own current Leader of the Opposition, writing in his so-called taxpayers' budget, called for a $1 billion cut in defence spending. Where do they stand?

The House resumed from June 3 consideration of the motion that Bill C-15B, an act to amend the Criminal Code (cruelty to animals and firearms) and the Firearms Act, be read the third time and passed, and of the amendment and of the amendment to the amendment.

An Act to amend the Criminal Code (cruelty to animals and firearms) and the Firearms Act

[The Speaker]

It being 3 p.m., pursuant to order made on Monday, June 3, the House will now proceed to the taking of the deferred recorded division on the subamendment.

Call in the members.

(The House divided on the amendment to the amendment, which was negatived on the following division:)

[The Speaker]

I declare the amendment lost.

The next question is on the amendment to the amendment.

[Marlene Catterall, Liberal, Ottawa West—Nepean, ON]

Mr. Speaker, I think if you seek it you would find consent that the vote on the immediately previous motion be applied to the motion now before the House.

[The Speaker]

Is it agreed?

[Some hon. members]

Agreed.

[Dale Johnston, Canadian Alliance, Wetaskiwin, AB]

Mr. Speaker, the member for Calgary West will be voting with the party on the amendment.