Mr. Speaker, I am pleased to address Bill C-18, an act respecting equalization and authorizing the Minister of Finance to make certain payments related to health.
I listened very carefully to the parliamentary secretary's comments on introducing Bill C-18. What we heard essentially was a bit of a historical account and a somewhat clinical recitation about equalization payments and the Canada health and social transfer which is a critically important part of the Canadian fiscal regime. In a way the parliamentary secretary's comments are significant not for what was included but for what was omitted.
He expressed concern and sounded ever so committed to the federal government keeping its fiscal and moral commitment to Canadians to ensure that regardless of which province people happen to live in they will be entitled to a roughly comparable level of service in the vital areas of health, education, child care and so on.
What the parliamentary secretary failed to say despite this show of concern is that the government has been so unwilling to see it as a priority to ensure not just that equalization payments continue but that there be a fair formula for equalization payments. The government has been dragging its feet and the current regime expires at the end of March. It has had five years to negotiate a renewal agreement that would be more fair and more effective.
What we are dealing with here is a stop-gap measure. We are dealing with a bill that is necessitated because the government has not seen it as enough of a priority to work in good faith with the provinces to put in place the new formula for equalization which is desperately needed and long overdue.
We know that the provinces have been working hard and in good faith to put forward a new formula. We heard from the parliamentary secretary about how the old formula works. What he did not say is that a very specific proposal has been brokered and worked on over a period of years that is based on a 10 provinces agreement and a 10 provinces formula.
The federal government has not been willing to come to an agreement about that new improved formula. Why? Despite the expression of concern about the inadequacy and deterioration of services across this country as a result of federal policies over the last 10 years, it seems content to continue using the same formula because it saves the government money. It needs to find ways to save money no matter whether it comes out of the hides of Canadians who are the most vulnerable in this country or wherever the government can find it because we know what the government's priorities are.
When the government decides that a corporate tax cut of $4.4 billion comes first, then no wonder it is avoiding entering into a good faith agreement with the provinces that would allow the equalization funds to be more adequate and more fair.
So much for the notion that the Prime Minister can claim that it is a new, different and better government. What we see by the introduction of this bill today is simply an admission of failure. It is a revelation of how vacuous the Prime Minister's claim is that he is a Prime Minister that has a much improved working relationship with our premiers.
There is more to having an improved working relationship with our premiers than going to a football game with the boys. There is no question it is a good photo op and it is smart to come out of the starting gate saying that he is getting together with the premiers so they can just get along better.
I would not presume to speak for any premier. However, I think one could say without fear of contradiction that the vast majority of the premiers would be a lot more impressed with the supposed commitment of the new Prime Minister to work in better harmony and good faith with them if the government had moved to endorse the 10 province formula. That formula was worked on over a very long period of time. If it could be in place so that it took effect April 1 we would not need this stop-gap legislation.
Let us make no mistake about it. It is not going to be missed on Canadians why this stop-gap legislation is needed. It is needed because when it comes to the fiscal regime and equalization, the new Prime Minister and the new finance minister have behaved no differently, no more responsibly, no more in response to the need for change by the provinces than the old regime, the previous finance minister and the old prime minister. And I do not mean old in years, I mean old in terms of chronology.
I want to refer to the second part of the bill which is to deal with the $2 billion that we hear trumpeted as a great achievement of the new Prime Minister. Let us not be that easily taken in by the notion that the $2 billion desperately needed for health care was an option and the Prime Minister might have said, “We are not going to do that after all because we do not have enough money”.
We have heard all the posturing from the new Prime Minister, the new finance minister and the other cheerleaders for the new regime. They are saying that they have to be fiscally responsible, that they may not have that $2 billion that was absolutely recommended as the rock bottom measure. That was the first measure needed to begin to make up for the money that was lost, that was clawed back by the federal government, that was held back from the health and social transfer over the last several years.
There was not an option, not unless the new government, the new Prime Minister and the new finance minister wanted to engage in a massive kamikaze effort here. It is clear that health care is the number one priority of Canadians. It is clear that the loss of those dollars at the insistence of the former finance minister, who now happens to be the Prime Minister, has very severely eroded the quality of health care, particularly in have not provinces like my own, Nova Scotia, and in the other six have not provinces. It has made it very clear that the provinces have to carry the load. They have to bear the burden of the elimination of much of the federal funding for health care over the last several years.
It is not surprising that the premier of Nova Scotia has said that the $2 billion clearly is not sufficient to deal with the horrendous waiting lists for specialist services and diagnostic services. It is not sufficient to deal with the log-jam at emergency hospital rooms. It is not sufficient to deal with the damage done over the last nine years because of the former finance minister's budgets.
What is absolutely clear is that even with the $2 billion granted, it does not begin to close the Romanow gap. When the Romanow report on the future of Canada's health care was presented, it was absolutely clear that there was a need for changes to the equalization formulas. There was a need to address many of the other aspects of the health care system which had been badly damaged by the government's misplaced priorities.
In conclusion, there is no indication whatsoever with Bill C-18 that the government is seriously committed to creating a fairer, more effective equalization regime. There is no indication that the government will begin to do what is needed to put in place the kind of health care system that Romanow recommended, that was put before the Canadian people. Health care remains the number one priority for Canadians.