Possibly not matters of fact, rather than matters of legend, but that is another issue.
Canada's fiscal turnaround was nothing short of remarkable and has certainly not gone unnoticed by other countries that are looking to us as an example of what to do. It was thanks to these sacrifices made by Canadians that consumer and business confidence grew. In turn that led to stronger economic growth and job creation.
Once the fiscal situation turned around, the government put more money in the pockets of individuals and families by reducing taxes more than any other federal government in history. It also invested significantly in the priorities of Canadians, such as health care, education, infrastructure, research and innovation, national security and the environment.
The bill before us today brings those investments in a number of key priorities for Canadians, priorities that the government shares. Specifically, Bill C-48 provides the framework for further investments in important areas, such as affordable housing, post-secondary education, the environment and foreign aid.
Let me assure the House that this in no way will put us in danger of going back into the bad old days of deficits. I emphasize that this will not put this government into deficit.
The government is committed to spending $4.6 billion for these investments. These investments will be financed from fiscal resources that are in excess of $2 billion in the fiscal year 2005-06 and $2 billion in the fiscal year 2006-07. Estimates show that we will still have sufficient resources to continue to pay down the debt as well. I want to again emphasize the point that these investments will only be made in the event there are resources available above the $2 billion in each of those fiscal years.
I would like to outline the details of these proposed investments for our future.
First, with respect to affordable housing, the government recognizes that Canada's communities are the social and economic foundation of the country. Whether large metropolitan areas, cities or rural hamlets, the communities Canadians choose to live in have significant bearing on the quality of their life and social and economic opportunities open to them. However, the harsh reality is that in downtown cores and poorer neighbourhoods of many cities urban poverty problems have led to increased demand for affordable housing.
In recent years the government has made a number of investments totalling $2 billion in the area of affordable housing and homelessness. These programs are still being rolled out and in most cases the funding will continue to ramp up over the next year.
We have done the following.
In 1999 the government launched a three year national homelessness initiative. A key element of that was the supporting communities partnership initiative known by most of the people in this area as SCPI, which provided $305 million for local community groups to offer supportive services and facilities for the homeless.
This initiative was of great importance to the community from which I come as we were housing something in the order of 1,400 homeless people in the riding every night. I am pleased to say that over the years, with the assistance of SCPI and other programs, the number has declined precipitously to the point where we are now somewhere in the order of 200 to 300 people per night. I would like to think the Liberal caucus in particular had a lot to do with that initiative.
Budget 2003 provided a further three year extension to the SCPI initiative at $135 million per year. Furthermore, budget 2001 announced $680 million over five years for the affordable housing initiative to help stimulate the creation of more affordable housing. Bilateral cost sharing agreements were subsequently signed with all 13 jurisdictions in Canada. On top of that, $320 million over five years was announced in budget 2003, bringing total investments in affordable housing to $1 billion over six years.
The government continued to do more in budget 2003 when it announced a three year renewal of the government's housing renovation programs at a cost of $128 million per year. These programs support the renovation and the renewal of the existing stock of affordable housing and help low income persons with critical housing repair needs. In addition, the government currently spends $1.9 billion per year in support of existing social housing units.
The legislation builds on those previous initiatives by proposing a further $1.6 billion for further affordable housing construction. It is important to emphasize that the funding is not tied to matching funds from the provinces.
In recognition of the critical shortage of adequate housing for our first nations reserves the new funding will also include aboriginal housing. That is $1.6 billion of the $4.6 billion initiative.
The second part of the initiative is in the area of post-secondary education, which is and continues to be a priority of the Government of Canada. We need to provide students with a solid foundation that will serve them well in Canada in the future.
Since balancing the budget, the government has provided significant new funding in support of post-secondary education through increased transfer and support to provinces and territories and increased direct support to students and universities.
For example, federal transfer support for post-secondary education is provided through the Canada social transfer, a block transfer to provinces and territories which are each responsible for allocating federal support according to their respective priorities regarding post-secondary education and other social programs.
Overall, the Canada social transfer will provide $15.5 billion in the fiscal year 2005-06, including more than $8 billion in legislated cash levels and $7 billion in tax points. This will continue to grow on an annual basis as the economy grows.
In addition to the Canada social transfer, the Government of Canada provides about $5 billion annually in direct support for post-secondary education. That, among other things, helps families save for their children's education.
The bill provides additional funding to complement the initiatives already taken by the government. Specifically, it provides $1.5 billion to increase accessibility to post-secondary education with a substantial portion to support students from low income families as well as training money to support labour market agreements. That is building on the $1.6 billion for affordable housing. We add a further $1.5 billion for initiatives in education and labour market training.
The third initiative is on the environment. As we know, the government is very much aware that a sustainable economy depends on a sound environment and healthy communities. To that end, we have made significant investments in the environment and in sustainable infrastructure in Canadian communities. Bill C-48 builds on those initiatives, proposing $900 million for environmental investment.
The objective of the government's issues is to have the most impact where it matters most, in places where Canadians live, work and play. Canada depends upon the cities and communities to attract the best talent and compete for investment as vibrant centres of commerce, learning and culture.
That is why, building on the current financial support for infrastructure programs and the full rebate of the GST, the government has delivered on its commitment to share a portion of the revenues from the federal gas tax with municipalities to assist with their sustainable infrastructure needs, such as public transit, water, waste water treatment and community energy systems.
I might mention that for my city of Toronto, the GST rebate is in the order of about $50 million annually and that continues year after year. Again, it is a significant sum of money.
This is a perfect example of different levels of government working together to achieve a common goal. Bill C-48 enhances the government's commitment, focusing primarily on public transit.
As members know, individual Canadians produce greenhouse gases through day to day activities, such as driving vehicles and heating or cooling homes, anything that involves energy use. Certainly, there are things that all citizens can do to play a key role in addressing climate change, particularly in their homes. That is why the bill also proposes to provide funding for low income energy refit programs.
Having talked to others in the corridors and around Parliament Hill, I know this is a particular aspect that has gained a lot of attention among certain members of the community.
Even before introducing the bill, the government had promoted actions by Canadians to reduce greenhouse gases through a range of information and incentive programs, such as the EnerGuide for houses retrofit Incentive program. This evaluation service provides homeowners with independent expert advice on the different systems of a home and information on energy efficient improvements that can increase comfort and reduce energy bills.
The government's goal is to quadruple the number of houses retrofitted under the EnerGuide for houses retrofit incentive program over the next five years. Indeed the proposal in the bill complements this plan.
I must say it is more than mildly curious that members opposite at one level oppose these initiatives and then say in the next breath that if they form the government, they will of course adopt these initiatives.
The next initiative is in the area of foreign aid. As a nation composed of people from every part of the globe, Canadians have a keen sense of the world beyond their borders. Indeed Canada as a G-7 member has a responsibility to contribute to making the world safer and protecting the vulnerable in times of strife.
If members want to see the new face of Canada, I would invite them to my riding. I do not think there is a racial, ethnic or religious group that is not represented in the riding. They are Canada's future.
Canada's recently released international policy statement sets out a vision for Canada and its role in the world. The new international policy framework delivers on the government's commitment to invest in our international role. We have made substantial progress in delivering on Canada's 2002 pledge at Monterrey to double international assistance by 2010-11. In addition, Canada will strengthen the partnership with Africa through debt relief and aid to foster private sector development and key investments to address the serious health issues afflicting that continent.
Bill C-48 forms an integral part of the government's foreign policy by proposing an additional $500 million in international assistance. That new funding, combined with our proposed new approach for foreign aid, will better ensure that money goes to where it is most effective and do the most good.
Those who have been following this debate will notice that adds up to $4.5 billion over the next two years. There is a minor discrepancy between the $4.5 billion in the bill and the $4.6 billion that has been committed to this initiative. The final initiative has to do with an agreement to invest a further $100 million from within the fiscal framework to assist in the protection of workers' earnings in the event of employer bankruptcy.
That is in sum the $4.6 billion committed over the next two years. I would like to reiterate that the proposals contained in the bill are merely a natural extension of everything the government stands for. We are proud of the contribution we have made in securing Canada's social foundations. We are proud of the contribution we have made to the securing of our fiscal foundations. We believe that Canadians are proud of what we have worked so hard to accomplish together.
I would urge all members to support the bill.