The member opposite says I am blaming it on the provinces. I am not. I am just outlining the facts. I know members in the Conservative Party, and I will get to some of their platform in a minute in my remarks, do not want to talk about the facts because when the facts are outlined, then this government comes through in shining colours. The other side does not want to hear that.
Relating to health reform, was the pesticide legislation. It also assists in health care, more from the preventive side. We have done a lot for children and families. In my previous responsibilities we had the national crime prevention strategy. When we deal with children at a young age, from the preventive side, we save the health care system all kinds of dollars. As a government, we have carried that out very extensively. We have been there and have put in place programs for children and families.
Let me get to some of the specifics on the dollar amounts so the opposition is reminded of the facts.
In the 2003 health accord, the Government of Canada committed $34.8 billion in funding for health care over, five years beginning in 2003-04. This included: $9.5 billion in increased cash transfers to the provinces and the territories; $2.5 billion to immediately relieve existing pressures in the system; $16 billion for health reform; and $1.5 billion for a diagnostic and medical equipment fund, as well as funding for other initiatives to assist in approving access to health care services.
In December 2003 the National Health Council was established to improve accountability in the health care system by monitoring and making public reports on the health accord and its progress. That was a very important step. It only had its first meeting on January 29 of this year.
I congratulate the previous minister of health, Allan Rock, on his proposal for a report card. It absolutely amazes me, with the massive amount of dollars that we spend on health care, that no one can tell us specifically where those dollars have gone.
Yes, we admit we have a problem but we are working on it. We are not just complaining about it like those on the other side. However, when we have a problem, we have to figure out where that problem is. The report card and the accountability approach is all about that: finding out where those dollars are going. Are we making a better job of health care in urban Canada than we are in rural Canada? Is Prince Edward Island doing better or worse than say the province of Alberta in terms of its health care system and how it expends the dollars. It is important we know that so we can make the appropriate decisions. In part the National Health Council is all about that.
The government in budget 2003 created a $1.5 billion medical diagnostic equipment fund for provinces and territories to acquire equipment. That was on top of the $1 billion equipment fund set up in the year 2000. Almost all provinces have made announcements on their share of the fund. So far the money has gone toward the purchase of at least 20 MRI machines and 4 CT scanners. More than $6 million has also been used to expand picture archives and communication systems which can improve access in rural and remote areas.
That point reminds me of when we travelled to a riding not far from Ottawa where there was an announcement on rural health care. They were using technology to do a scan of an individual in the north. There was a nurse in the north and the doctor and medical staff were here, not far out of Ottawa. It shows what can be done remotely to improve the health care system by using some of this technology and doing it more efficiently, which is a great step forward.
I already mentioned the meeting with first ministers, which was held on February 2. Under the chairmanship of the Prime Minister, our government committed a further $2 billion in health care funding for the provinces and territories. At that meeting, first ministers agreed they would report annually to Canadians, using comparable indicators on enhancements to diagnostic and medical equipment and services.
Clearly, the government is committed to health care. It is committed to increasing spending. It is committed to better prevention measures. It is committed through and through, and it is following through on what it has said it would do.
Let me go back to the opposition motion. It makes the claim that health expenditures by the federal government are not sufficient. The real story that Canadians want resolved is not how much money is spent, but more crucially, how it is determined where the money allocated for health care goes.
As I have already outlined, the record of the Government of Canada is clear. Transfers to the provinces in terms of health care and equalization have been increasing steadily over the past number of years.
In 1995 we had to come in with a very difficult budget which meant cutbacks in a number of areas. We made the hard decisions when they needed to be made, and that is why we could have a health care budget a while ago. That is why the Prime Minister was able to provide an additional $2 billion in spending. Because of the hard decisions we made in 1995 to get the house in order, we were able to steadily increase spending in the health care area.
The decline in health care spending in the mid to late 1990s was necessary, as were all federal expenditure reductions in order to achieve what the previous Conservative government created, which was a massive mess and a massive crippling deficit. Every federal department was affected. All expenditure programs were hit severely with reductions at that time. We have made progress since then.
The deficit has been eliminated. The allocations have been more wisely spent. We have been able to increase those allocations. Nationally, health care transfers have and will continue to increase. In 2001-02 the CHST transfers were $34.4 billion. In 2004-05 the transfers will be approximately $40 billion. I know members on the other side have trouble with the math, but that is an increase of just about $6 billion.
Let me speak for a moment of my own province of Prince Edward Island. On a per capita basis, Prince Edward Island benefits the most from all federal transfers. The amount per person is $2,849. Transfers in terms of the CHST have been and will continue to increase. In 1999-2000 the CHST transfers to PEI were $133 million. In 2004-05 they will have increased to $175 million, an increase of almost $40 million. That represents a substantial increase in expenditures under CHST in five years.
The premier and I had a dispute this week because the province wants to propose a health tax. PEI does not need a health tax. We need the government in PEI to manage its finances appropriately as we have done federally.
According to the federal Department of Finance, federal transfers to PEI represent 37% of the province's revenues. That is pretty substantial. I am pleased we have been able to do that.
For the benefit of the hon. member from Alberta who has been heckling now and then, the citizens of Prince Edward Island deserve a proper health care system every bit as much as the province of Alberta. That is the benefit of being in Canada. The federal government is trying to create equality for all Canadians. We have managed our finances and now we are able to do that.