House of Commons Hansard #95 of the 38th Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was budget.

Topics

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

12:20 p.m.

Conservative

Dick Harris Conservative Cariboo—Prince George, BC

As adults. They make adult decisions. Apparently the NDP and the Liberals simply do not trust their youth, so they relegate them to a youth wing and then make their decisions come through some sort of vetting process before they get to the main decision making body of the party. We do not buy that. We think youth are important and deserve full status in our party.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

12:20 p.m.

Bloc

Yvan Loubier Bloc Saint-Hyacinthe—Bagot, QC

Mr. Speaker, I have been listening since this morning to the comments of my colleagues on both sides of the House, including members of the government, the Conservative Party and the NDP, in their questions and comments. I think that one aspect of Bill C-48 is not clear enough. Over the next few minutes, I want to shed more light on the debate so that people can understand what the current situation is.

This is not about being left-wing or right-wing, or about supporting or opposing a social measure. The Bloc Québécois members are social democrats to the core. Naturally, we support positions that lean more to the left than to the right. Overall, we use common sense and a moderate approach. At present, we are not talking about that at all.

We are talking about the fact that this is a minority government. To start, when it tabled its first budget, it did not receive the support of the House. The opposition had identified priorities that correspond to what the public we represent wants or would have wanted to see in the budget. These priorities, this consensus, were totally ignored in the budget tabled a few months ago.

The Bloc Québécois has been consistent from the start. This budget was unacceptable when it was tabled and it is still unacceptable today, even with these new measures. We cannot support a budget or an amendment to the budget, as presented in Bill C-48, when, fundamentally, we have remained consistent. We have said that this budget did not satisfy the top priorities of Quebeckers. Supporting this budget would mean betraying who we are.

As for Bill C-48 itself, we must consider the current context. We have a minority government that has not met the public's needs or listened to the opposition parties. It has acted like a majority government and has completely ignored the consensus of Quebeckers and even, in several instances, of Canadians.

Suddenly, it feels it is on the ropes. It is mired in corruption up to its neck. Everyday we learn something new from the Gomery commission, and it all adds up to the fact that a parallel group is not responsible for the corruption that occurred in connection with the sponsorship scandal, as the Minister of Transport said, but rather that this goes to the very core of the Liberal Party of Canada and even involves current ministerial aides.

The government is on the ropes. It can see power slipping away. So now it is throwing out commitments everywhere that it will not be able to keep, because it is going to be defeated this evening, with the motion of non-confidence the Conservatives have presented. So it is trying to play all sides at once.

There is one thing we need to keep in mind, however. Every time a government that is suspect, one formed by a party that is even more suspect, distributes such commitments—we are talking $1.2 billion a day for the past 18 days—this just makes it even more suspect. This government should already be in police custody. It has done enough damage to the taxpayers' money and to democracy, by investing billions of dollars uselessly in order to influence the results of the last referendum in 1995, and the 1997, 2000 and 2004 elections. Enough is enough. It should not spend, or commit to spend, one cent more. It has already done enough harm with the taxpayers' money.

Now we see the Prime Minister making commitments just about everywhere. Yet only a few weeks ago he had no leeway. When the budget was presented, let us not forget, we were told that the government would have liked to have looked after more of its priorities, but that its main priority was a balanced budget.

That is our priority too, but we are well aware that, when the first budget was presented in February, there was still considerable leeway available. The government could have looked after more priorities, such as correcting the fiscal imbalance. It could have changed the employment insurance program, as it has been asked to do for years. After two elections and commitments from the Liberal Party to improve EI, the improvements have never happened.

We knew that there was money and that the government was twisted enough to not act on the public's priorities but rather to keep some manoeuvring room secretly for itself, as it has done since 1997-98. We have a minority government continually mired in corruption, according to the ever more astounding revelations at the Gomery commission. You can check in the blues and in our public speeches. We knew there was manoeuvring room and the Prime Minister would use it when the going got tough, as it has in recent days.

There is a reason behind the $1.2 billion in commitments daily. It is not to better serve the public. A few weeks ago, he could have included it in the budget per se. He could have acted on people's priorities, served this country's most disadvantaged. He did not. Why not? Because he thought he could get out of it and because the Conservatives did not reject the budget. A few weeks later, the NDP joined in to ally officially with a government that is suspect, I repeat. When you are suspect, when you are being held for questioning, you have to stop spending. You no longer have the moral authority to make commitments of several billions of dollars, as the government has done for the past 18 days.

“Do not touch taxpayers' money”, is the message heard throughout our ridings. “Stop making commitments. You are being held for questioning, you are under suspicion.” Arguments are added daily to the public's warnings.

They talk of the sponsorships. But there is more than that. Since 1993, since this government has been in office, there have been all sorts of stories, such that we should not let it have another cent, because it is spending all over the map.

On the other side of the House, the Liberals have a tendency to forget certain events. We all remember on this side—although memories on the other side are rather faulty—the scandal over Human Resources Development Canada, for which the minister responsible at the time is now the Minister of Foreign Affairs, the member for Papineau. A billion dollars disappeared under the stewardship of this minister and could never be found. Several years later—this scandal came to light some five years ago—the money still has never been found. Where is that billion dollars?

There is also the firearms scandal. We in the Bloc Québécois are in favour of firearms control, but not at any price. This program to manage and control firearms was supposed to cost $20 million. Now it is more than $1.5 billion. Where has that $1.5 billion gone?

There are also many problems with taxes and tax treaties. Why are these problems not fixed? Once again, the government is suspect. There is a treaty with the Barbados and regulations governing corporate taxes here that, when combined, make it possible for corporations to save money. Thus the Prime Minister's family business, Canada Steamship Lines, was able to save more than $120 million in federal taxes over the last five years.

With the Prime Minister setting this example and being a suspect in the sponsorship scandal—because more and more light is being shed thanks to the revelations of the Gomery Commission—could there be any doubt that the government is not only very lax but that this slackness is also very profitable for the Prime Minister and his cronies, the large corporations involved in international shipping.

I had an opportunity to work with Mr. Jacques Léonard, president of the Conseil du Trésor in Quebec City. Together with my honourable friend from Joliette, we were on a committee to review government management. There, too, not one more cent should be entrusted to this government in view of its poor management of the public purse. When the Prime Minister used to be Minister of Finance, he liked to boast that he was one of the best managers in the world. Well, we have made some fabulous discoveries.

I will name a few. Listen up if you want to know what this government does with taxpayer dollars. While cumulative inflation was set at 9.6% from 1998 to 2003, bureaucratic spending increased by 39% during that same period. In addition, the number of public servants increased by 46,000, and payroll by 41%. In the Department of Justice alone, payroll increased by 141%, while inflation was still 9.6% during that period. The cost of political polls, which really do the public and the poorest families a lot of good, increased by 334%.

This government is quite fond of lavish spending. The cost of office furniture increased by 215%. Also, some $1.5 billion went to the gun registry, which we cannot mention enough. Furthermore, the Governor General enjoyed an 82% increase in her budget, while the average salary increase for low-income and middle-income workers, under collective agreements, was roughly 2% a year, for a modest increase of 8% during that period. Yet, the Governor General gets an 82% increase. A lot of good that does the public, the unemployed, young people who are victims of an underfunded education system.

It is scandalous. Not just the sponsorships, but all the waste, the mismanagement, the hidden funds, like the billion dollars at HRDC, all of it is scandalous. This lavish spending shows that the government has not had the moral authority to govern for a long time now.

We have been all the more convinced of this since hearing all the revelations at the Gomery inquiry targeting the Liberal Party and the staff of certain ministers, and even some ministers themselves who said they never saw nor heard anything about this scandal.

Today, we are being asked to respect the government and its new annual commitments of $1.2 billion. We will never do this. If the new commitments set out in Bill C-48 were significant, perhaps we would. However, such a corrupt government should no longer be managing our money or making commitments, but rather respecting the verdict that will be rendered this evening, when we defeat it. It is time for this government to step aside and stop spending our money.

I want to examine each of these commitments in turn. Some $1.6 billion is being invested over two years in affordable housing. There was no money for social housing a few months ago, no more than has been since 1993. Suddenly, there is $1.6 billion over two years for this sector, which needs two and a half times that amount each year in order to meet the needs of the public, which have increased since 1993. At that time, when the Liberals came to power, 1.3 million households in Canada needed access to social housing. Up to 50% of their income was going toward housing. At 25% of income, people are poor enough to qualify for social housing.

Now, 1.7 million households need access to social housing. At least 1% of the annual federal budget should be allocated to this sector to make up for lost time, following devastating measures, in the fight against poverty, by the former finance minister and current Prime Minister. With regard to housing, poverty is also caused by measures such as the drastic cuts to EI and federal transfers to the provinces for social programs. At one time, federal contributions were at 25% and even 50%, 25 years ago. Currently, it contributes about 11.5%

The Liberals are responsible for poverty. They did not invest in social housing. Suddenly, for fear of being defeated or being shown the door, they have committed $1.2 billion in initiatives in the last 18 days.

They promised $1.5 billion for access to post-secondary education. For years now, since 1995, the Liberals have been pillaging educational systems everywhere in Canada, not just in Quebec.

In Quebec an investment of $1 billion was needed every year for the next ten years in order to remedy the chronic underfunding this government has caused. We have been presented with $1.5 billion for the next two years for post-secondary education. Do you know what that represents for Quebec? Approximately $188 million out of the expenditures of $12.2 billion. The potential is there, but the NDP was too quick to sell its birthrate for a mess of pottage to a corrupt government. We are talking $188 million for post-secondary education out of the $12.2 billion in education spending.

That is just mocking the public. It that is all it took to get the NDP to sell its soul to the corrupt Liberal Party, it is pretty insignificant.

As I have said, it is the same thing with social housing. They say there will be $1.6 billion over two years, but it would take $2 billion a year just to make up for lost time. And even that figure is based on previous needs, but the latest figures indicate that now there are 1.7 million households in need of social housing.

If the government had wanted to govern properly and had not got so mired in all the Gomery revelations—with all the distasteful and undemocratic details we have been treated to in the past few months—it would have had sufficient leeway to meet all the priorities mentioned to us at the time of a meeting between myself, the Minister of Finance and the Conservatives. It could have started to resolve the fiscal imbalance by greatly increasing education transfer payments. Now federal transfers account for 11.5% of education costs, everywhere in Canada.

It could also have corrected the equalization formula, as we asked, instead of signing piecemeal agreements. Moreover, in the budget implementation bill they want us to swallow the agreement with Newfoundland and Labrador, and with Nova Scotia. They want us to swallow an agreement that has just clouded the issue as far as fiscal imbalance is concerned, making it worse than before.

With this agreement, they have put huge pressure on the other provinces. They have created an imbalance, which may be called a horizontal imbalance, that is, they have increased the fiscal capacity of Newfoundland and Labrador and Nova Scotia so much that it is now higher than that of Ontario. Ontario can well get angry and cry foul, like Quebec. The special agreements confuse matters rather than treat them comprehensively.

If the Prime Minister were really concerned about correcting the fiscal imbalance, he would not operate on a piecemeal basis as he did with Ontario, and as he does with the $1.2 billion commitments he has made a day over the past 18 days. He would not be concerned about sprinkling commitments here and there in order to save his skin. He would have worked responsibly during the past 10 months and presented a budget taking steps to resolve the fiscal imbalance. He would have had the support of the Bloc Québécois and probably all of the parties.

The provinces have to deal with unavoidable expenses in health care, education and support to the most disadvantaged families. They do not have enough resources. These resources are in Ottawa. The possibilities of deficit are very real.

Last year, for example, Ontario had a $10 billion deficit. This year, its deficit is $6 billion, and on it goes. Quebec faces huge pressure over taxation and a balanced budget. This could be remedied, but, for 18 days, the Prime Minister has not been concerned with correcting this fiscal imbalance any more than with remedying the employment insurance plan.

I can hardly wait to see the NDP members in the next election, which will probably be called this evening. They will go to their riding and say that they joined with a government that did not deign to do anything of any significance to resolve the EI problem. They were the defenders and attacked the government in order to have EI reformed and 60% of the population not excluded from it.

Now, they join with the Liberals, who have forced hundreds of families into the street each year since the EI reform. They have kept them on social assistance and in a state of poverty.

In closing, I congratulate the NDP on its social and moral conscience.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

12:40 p.m.

Liberal

Paul Szabo Liberal Mississauga South, ON

Mr. Speaker, the member for Saint-Hyacinthe—Bagot covered a range of items beyond the current bill. I understand his points. He represents the Bloc Québécois, the party that wants to separate Quebec from Canada. He is someone who I understand. Politically, he sees an opportunity to marry up with the Conservatives to cause some difficulties. This will be a big issue for Canadians.

However, I do not want to get into the political arguments. I want to talk about some of the issues. One thing the member talked about quite specifically, as it relates to Quebec, was post-secondary education.

Throughout his speech, he mentioned how critical he and his party were of the $4.6 billion of additional spending on environmental matters, like retrofits, low income housing, access to post-secondary education, foreign aid and the protection of workers' earnings. He highlighted post-secondary education and was very critical of the spending. He said that this was to buy votes. Then in the very next breath, he turned around and complained that it was not enough for Quebec.

The member is either for it or against it. He cannot have it both ways. If we are to have reasoned debate on some of these issues, one cannot argue all sides of the question and not let people know where one stands. It is important that the member clarify whether he does or does not support the additional spending on post-secondary education. He should make that clear. He cannot be on both sides.

The member also mentioned a matter on the question of fiscal imbalance. I know the member has been very active on this. He is the chair of that finance subcommittee. We had an opportunity to work together on it.

One aspect is very important to the question of fiscal imbalance, and that is the issue of tax points. The member knows of what I speak. He also knows that it is very difficult to somehow explain that the value of transfers to the provinces is a combination of cash transfers as well as tax points which have an economic value and a true cash value.

One thing we found out, and I have not heard how the member reacted, was when Ontario calculated the transfers, with regard to the health and social transfer, it calculated it only on the basis of cash only, not on the tax points.

As a result of his work, in terms of the economic equity issue, in his opinion does the issue of tax points have to be included in determining the effective transfers to the provinces?

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

12:45 p.m.

Bloc

Yvan Loubier Bloc Saint-Hyacinthe—Bagot, QC

Mr. Speaker, I have a great deal of respect for my Liberal colleague. I was attacking the government, and not specific individuals. I repeat that I have a great deal of respect for him.

He did not want to get into the political arguments, but he has done just that by saying that I was clearly a separatist and that, to me, this is an excellent opportunity to encourage Quebec's separation from Canada. I will simply and very calmly give him the following answer, since this matter is extremely important to me.

Under other circumstances, we would not have acted and we would have remained seated and silent. Unfortunately, the machinations of this government— which used public funds, 22% of which come from Quebec—are disgraceful and anti-democratic. The members of the Liberal government distorted the democratic process in 1995 by organizing the Montreal love-in. They used public funds, which flowed through the sponsorship program, or other tricks to simultaneously steal the 1995 referendum and a part of our soul from us.

We had clear democratic rules in Quebec. The yes side had $5 million, just like the no side, and we fought it out democratically in a battle of ideas. These people came and upset everything in the name of so-called Canadian unity. Whether federalists or sovereignists, Quebeckers had accepted these democratic rules. Then these people spoiled everything with their dirty money. They did the same thing in the elections of 1997 and 2000. Insofar as the 2004 election was concerned, we do not know yet, but there was still probably dirty money in the Liberal party's coffers.

So now we are accused of taking advantage of this opportunity to ride the sponsorship scandal. In fact, it is previously undecided Quebeckers who are deciding whether to get the hell out of this corrupt regime. It made me sick at heart to think that the Liberals had used my money as a taxpayer and that of my sovereignist neighbour—50% of Quebeckers are sovereignists. They used the taxes we pay to beat us in the last referendum. They subverted democracy and flouted Quebec's political party funding legislation and the Referendum Act. That really makes me sick.

Quebec's motto is Je me souviens . I can guarantee you that we will remember not only after the government is defeated this evening but also when the time comes some day to count up the people who are still undecided. Sovereignty will not be achieved just because of a tax question or a corruption issue. People in Quebec who are still undecided must understand that we send $40 billion in taxes to this bloody federal government. And then we take it in the ear when this money that belongs to us is allocated.

My hon. friend spoke about having it both ways. It must be understood that it is not his money or Liberal party money but the money of Quebec taxpayers. We send the federal government $40 billion in taxes and have to get down on bended knee to receive some of it back in order to reach a consensus on various matters and achieve Quebec's priorities.

That will be added to the arguments. If the Liberals thought that they were saving Canadian unity by subverting democracy and using dirty money, they were badly mistaken. The past is coming back to haunt them now.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

12:45 p.m.

Conservative

Pierre Poilievre Conservative Nepean—Carleton, ON

Mr. Speaker, the hon. member spoke about Liberal waste and Liberal corruption. We know this is a corrupt, wasteful government. I want to identify what I consider to be the number one article of waste in the Liberal government's agenda, and I would like to find out what the hon. member thinks of my thesis on this.

I believe the number one article of waste in the Liberal government's agenda is its attempt to create a government day care bureaucracy.

The supporters of a government day care bureaucracy, even in the CAW and in other organizations that have advocated a national government-run day care bureaucracy, believe it will cost between $6 billion and $10 billion per year to bring in the day care bureaucracy. At the same time as costing about 10 times what the Liberals claim it will cost, they will be taking choices away from women and families.

It is a paternalistic system and the women in my constituency have told me that they will not have the minister stand and tell them how to raise their kids. The women in my riding believe in their right to choose how to raise their own children instead of having the government take money out of their pockets and then spend it on raising other people's kids.

I want it on the record in the House, for all my constituents in my suburban Ontario riding to know, that I will fight until my dying day to stop that day care bureaucracy. It takes choices from women and families and it will waste billions. I invite the hon. member's comments.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

12:50 p.m.

Bloc

Yvan Loubier Bloc Saint-Hyacinthe—Bagot, QC

Mr. Speaker, I thank my colleague for his question. I can state right at the start that I do not share his opinions on public child care facilities.

We put such facilities in place five years ago in Quebec.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

12:50 p.m.

An hon. member

Oh, oh!

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

12:50 p.m.

Bloc

Yvan Loubier Bloc Saint-Hyacinthe—Bagot, QC

Pay close attention, this is important. We put public child care facilities in place. This kind of debate took place in Quebec at the start, but I can assure you that now people are very pleased to have child care for what was initially five dollars a day and now is seven dollars. People are very pleased, because it works. We were also very pleased in Quebec to be able to act as an inspiration for the rest of Canada. But during those five years of operating with our original idea, we bore all the costs ourselves. We also assumed the tax deductions and federal tax credits to which the parents would normally have been entitled. Because of the low cost, the five dollars and then seven dollars a day, we could not draw as much benefit from tax credits and federal tax exemptions, and we have never been compensated for that.

The child care system works. My party and I support it and are very pleased with it. We have focussed on the bureaucratic expenses which have risen considerably. Had their growth been limited only to inflation in these sectors—and not been 10, even 30 times greater in certain cases—we could have saved $5 billion annually. We could have applied these savings to increasing the number of public child care spaces.

What we are particularly opposed to is the laissez faire attitude, particularly where bureaucratic expenses are concerned. I have listed some of these already. Opinion polls, up 334% in five years, which makes no sense. Office furnishings, 215%, another aberration. These are luxuries to which we object strongly.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

12:50 p.m.

NDP

Jack Layton NDP Toronto—Danforth, ON

Mr. Speaker, it gives me great pleasure to speak on this very important debate and I will be splitting my time with the member for Winnipeg North.

The voters in the last election sent a very clear message. They were not happy with continued majority Liberal governments. They wanted better; they wanted a new direction. It was the decision of a great number of Canadians that New Democrats should be sent to the House of Commons in order to attempt to achieve some of the goals that Canadians had in mind for people, their families and the environment.

When people vote for the New Democratic Party, they expect us to come here to work and not to play political games, and engage in the kind of political back and forth name calling and brinkmanship that has been going on in this House of Commons for quite some time. We of course looked for an opportunity to make a difference on behalf of the Canadians who voted for us, and Canadians more broadly, around the issues that they felt were most important.

We took a look at this budget when it was first presented and the first thing we noticed was that there was a very large tax cut being given to the large corporate sector. This was never promised in the election. Canadians did not vote for such an initiative. Yet ,there it was in the budget.

Meanwhile, Canadians had hoped that the budget would address affordable housing, significant action to achieve our Kyoto targets and reduce pollution so there would be clean air for people to breathe, and putting Canada on the international stage and to a position of honouring its commitments on foreign aid. Many other issues such as post-secondary education funding so that tuition fees which are rising through the roof and student debt which has reached completely unacceptable levels were not addressed.

We looked at the budget and saw that many of those commitments, many of those aspirations that Canadians had but had not been realized in the budget, represented a problem in that budget document. We had promises broken to Canadians, on the one hand, and on the other hand, we had very expensive initiatives that were never promised, namely, corporate tax cuts to the friends of the government. So, faced with that budget, we were unable to support it.

We did notice that the Conservative Party felt that it was a terrific budget and were happy to sit on its hands and not vote against it. As a result, it was going to move forward on that basis.

Then, as a result of the unfolding political games here in Parliament that have left so many people quite disgusted at what goes on in this place, the Conservatives decided that they would no longer support the budget that they initially thought was terrific.

We sat down and asked, as a caucus, “How can we offer to improve this budget to the point where it might actually deliver on some of the needs that Canadians are facing?” We consulted very broadly in this process. We talked to the NGOs, we talked to Canadians, and we talked to representatives of provincial governments, municipal governments, and the labour movement.

We decided to offer some initiatives, that if they were put into the budget at the same time as removing the overly generous, very large corporate tax cuts to big business, we could create a new balanced budget. It would be balanced in terms of its fiscal content and it would also be balanced in terms of its approach to dealing with the issues. Canadians could at least have on the table a budget that really represented their values, their perspectives, and the issues that faced them in their daily lives.

Furthermore, we suggested to the Liberal Party at the time, and to the Prime Minister, that if the government was willing to move in an expeditious fashion to actually adopt these changes to the budget, so that there could be some results from the deliberations over the last 10 months that have largely been unproductive in this House, this would represent a real contribution to Canadian political life and, more important, to the lives of Canadians themselves and to their families.

Canadians could then look forward to their children perhaps actually achieving post-secondary education and training for the jobs of the 21st century instead of having to decide, as many of them are right now, that they cannot afford to carry on with post-secondary education or pursue training that they need because they simply cannot afford it and it would be too much of a burden on their families.

It is hard to imagine a more tragic circumstance than young people who have worked hard through high school, achieved the grades that are needed to be admitted to university or college, and then to have to realize that they simply cannot afford to make use of the opportunity that should be there for every young Canadian.

That was very important as part of our proposals. Our first proposal was that there should be a fund created that would allow for greater affordability of post-secondary education, with a specific focus on tuition fee reduction as a very important goal.

Second, we turned to the issue of affordable housing. I must admit that I was completely shocked when I read the budget document and saw that not one penny through the five years of that budget plan was being added to deal with the crisis of homelessness and affordable housing in this country.

Our party, Canadians, municipal organizations, NGOs and homeless people themselves have been calling for action to build affordable housing for years. I remember when two blocks from my home Eugene Upper perished and froze to death because we did not have enough affordable housing in our communities for people such as Eugene Upper to put a roof over their heads. It was absolutely shocking.

There have been many announcements made of large sums of money that were ostensibly to be spent. Most of that money has never flowed to the very people who are in need of housing. It has sat in accounts. It has been announced time and time again in press conferences and press releases where politicians in a self-satisfied way beat their chests about their level of concern. Yet, year after year goes by as homelessness increases and people die in the streets of a rich country such as Canada because we have no national affordable housing program to speak of.

It was the finance minister in the mid-1990s who annihilated the affordable housing construction program that in fact had won international recognition as the best housing program in the world. That was a housing program that was created at the time when the member for Ottawa Centre was the housing critic of the New Democratic Party and in a minority Parliament.

As a result of working for the interests of Canadians in that context we saw a minority Parliament working. I am very proud to be part of a caucus that is once again attempting to do exactly the same thing around affordable housing.

Third, we turned to the issue of the environment. The fact is that our communities need some of that huge federal surplus which comes to the federal government in part from a gas tax of 10¢ a litre, also GST on top of all of that from gasoline sale, and that never makes its way back into the communities to be invested on cleaning the environment.

In my experience in the municipal world and as past president of the Canadian Federation of Municipalities, we pushed hard against an intransigence on the part of this government for many years. Finally, we got the beginnings of some movement in this budget, 1.5¢ out of the 10¢.

We felt that was insufficient and that in a balanced budget context it was possible to do more. We proposed that an additional 1¢ would be delivered directly to those communities, so they could move on things like public transit which is so vital to reducing the number of smog days. In my home city of Toronto we are not on our first smog day of the season. There were smog days in February and then again in the month of May. When smog happens, it sends people to hospitals.

Fourth, we put a focus on international aid. Canada made a commitment to respond to the international needs of so many who are living at a dollar a day, billions of people globally. We have such great affluence that 0.7% of GDP should be directed to these purposes.

Our proposal to add a half a billion dollars in the next two years for that objective will move Canada on a trajectory toward achieving that goal. There is more to do. As we listen to Stephen Lewis and so many other eloquent speakers talk about the needs globally and what a Canadian dollar could do to save lives, we felt it was important to put that initiative as part of the revised better budget that would focus on people's needs.

Last is the intervention to create $100 million fund that will help workers when they are faced with bankruptcies in their workplace. It is an absolute injustice that workers who have put all their work over so many years, their lives in many cases, into the profitability of a business would be left behind.

It is with a great deal of pride but also considerable humility that our party try to engage in this process in a positive way. We now have a better balanced budget for families and for the environment. Our goal is to have it passed.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1 p.m.

Conservative

Andrew Scheer Conservative Regina—Qu'Appelle, SK

Mr. Speaker, I listened with great interest to the leader of the socialist party, waxing eloquent of his new deficit spending deal with the Liberal Party. I would like to ask him a specific question about agriculture. That member, before the flip-flop occurred, when the original budget was presented, asked how Conservative members of Parliament could support that budge. He said:

How can the member from Saskatchewan stand and support a budget that gives nothing for farmers when they are living on the edge?...How will that help any of the farmers living on the edge. They are producing food for us and the world virtually for free? In fact, they lose money.

He chastized us for not defeating the budget by voting against it. Then he cuts a deal with the Liberals, the corrupt ad scamming government, and still does nothing for farmers. He sold out his support without a dime in that deal for Saskatchewan's farmers, a group of people who are on the edge, who need some assistance. Why has he left them out in the cold after chastizing us for not defeating the budget? Now he comes in and props it up without doing anything that he said he would do.

He has done nothing to secure an equalization deal for Saskatchewan, a deal that would see billions of dollars remain in Saskatchewan instead of being clawed back from natural resource revenues, money that could be reinvested for farm safety net programs. We know the NDP in Saskatchewan does not fund programs such as CAIS like other provinces do. Its excuse is that it does not have the revenues. The Conservative Party urges the government to have an equalization deal, to get those dollars back to Saskatchewan so they can be put into those agricultural safety nets. There is not a word on this in the new Liberal-NDP coalition budget.

What does the member have to say to farmers in Saskatchewan who he has left in the cold, his betrayal of them by not standing up for them and not trying to negotiate a single new cent for them?

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:05 p.m.

NDP

Jack Layton NDP Toronto—Danforth, ON

Mr. Speaker, it is interesting to hear the hon. member speak about this. That budget was being supported by the Conservatives only weeks ago. Frankly, it is difficult to warrant investing a lot of time in a response to those allegations, as unfounded as they are.

First, our party decided to go to work to address some issues, unlike the Conservative Party opposite. We brought proposals to improve investment across the country in key areas. Having spent many years working with the municipal organizations in Saskatchewan, the idea of having gas tax, and more gas tax as a result of our NDP proposals in the budget, is something they have sought for years. We are not just talking about SUMA. We are talking also about SARM. Perhaps the hon. member should spend a little more time getting to know these organizations.

We are talking about municipalities that are looking for some of the gas tax in order to invest in their infrastructure and that is of great assistance to farmers. I have spoken with farming families in Saskatchewan as well as their organizations, and the failed investment in infrastructure is one of the key issues. In addition, if this budget fails as a result of the actions of the member's party, then the funding, albeit inadequate I will grant that, available to assist farmers would disappear. At least there is something in the budget and by having the budget pass, there will be some benefits flowing in response, for example, for the BSE situation.

It is very interesting to hear members of the Conservative Party attempt to champion the farmers when they have never supported agricultural safety nets. In fact, we have heard many allegations on their part that these are too generous.

We are calling for concrete action that will benefit people across the country. We need investments in post-secondary education, in affordable housing, in getting the gas tax back to communities and in international assistance so Canada can play its full role.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:05 p.m.

NDP

Judy Wasylycia-Leis NDP Winnipeg North, MB

Mr. Speaker, it is a pleasure for me to participate in the debate on what I have called over the last number of days, the NDP budget bill. I am not trying to boast, but simply to put on record the good work of our leader, the member for Toronto—Danforth. I also want to acknowledge the work of our House leader, the member for Vancouver East.

These two individuals devoted an incredible amount of time over the last couple of weeks trying to improve a budget that was failing Canadians. They put hours of effort into convincing the Liberal government that its budget needed to shift priorities and ensure that fundamental issues of significance to the life and well-being of Canadians were added in the budget. It is as simple as that. We did not support the original budget. Why? Because on a number of these key issues, which I think Conservatives are concerned about as well, there was nothing in the last federal budget. There was nothing for housing or education, two of the most pressing issues facing our country today.

We did not support the last Liberal budget on February 23 because it failed Canadians and took away valuable money. I would agree with members opposite that we have to be careful and responsible with our dollars. We have to ensure a fiscal balance and that we do not run another deficit. We absolutely agree with that and we did it responsibly.

We went to the government with concerns about the $4.6 billion that it put against corporate tax cuts. That followed a corporate tax cut of millions of dollars over the last five years, bringing the corporate tax rate from 28% down to 21%. The last budget proposed another drop from 21% to 19%. We said that the government should take that money and direct it toward where it would make a difference in terms of creating jobs and improving the health and well-being of Canadians, as opposed to putting it into another deep, dark hole where we would not see more investment in Canada or increased productivity and where we would not see the riches, the wealth and the cash in which it is swimming distributed to Canadians.

The member for Nepean is getting a little agitated at our presence in the House today, and I hope he is agitated. I hope he is getting a lesson from some of the women in his caucus about his patronizing, chauvinist remarks when it comes to day care and women. I for one am offended by his remarks. I will stand in the House and do whatever I can to talk about how the Conservatives are insulting working women who are trying to juggle work and family responsibilities.

Excuse me if my voice is a little hoarse. I have been spending a lot of time talking about this over the last number of days. In fact, when I went home to my riding in Winnipeg North, I was inundated with calls from people who wanted to know about this budget. They wanted to know when it would come into effect. They asked that we ensure it happen. They pleaded with us to make it a reality for Canadians. It is the moment in the life of this Parliament when we have a decision to make that will truly make a difference for Canadians.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:10 p.m.

Conservative

Joy Smith Conservative Kildonan—St. Paul, MB

Mr. Speaker, I rise on a point of order. The hon. member from the NDP caucus across the way made mention that the Conservatives were not supportive of day care. She made some quite insulting comments on the record.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:10 p.m.

The Acting Speaker (Mr. Marcel Proulx)

May I remind the hon. member that we are now in debate. The hon. member for Winnipeg North has the floor. If she wishes, she may ask questions or make comments when she is done, but I am afraid this is not a point of order.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:10 p.m.

NDP

Judy Wasylycia-Leis NDP Winnipeg North, MB

Mr. Speaker, I would be glad to take on that point of order at the first opportunity I have. I hope in the meantime the member for Kildonan--St. Paul will read the comments made by her colleague from Nepean.

I will get back to the issues at hand, the importance of getting this budget passed. The budget bill came about as a result of hard work by the NDP in cooperation with the Liberals. I tell the Bloc that this does not mean we condone or sweep under the carpet all the news we are learning about corruption and the sponsorship scandal. We know there will be an election on corruption. That is self-evident. We have a chance in the House at this moment to make a difference for Canadians. We have a chance to get a budget through that means something to the lives of working people and their families.

If my colleagues in the Conservative Party and the Bloc Party had been truly listening at our finance committee hearings and understood what was going on in those prebudget consultations, they would have agreed with us. They heard what we heard. We heard that if there were anything the government could do at this moment to grow the economy, to help reduce the debt, to ensure that we could thrive and be competitive in this world economy, it would be to put money into education, lower tuition and stop the patchwork band-aid of programs, like the millennium scholarship fund and the learning fund. We heard that the government should start to put something meaningful in place for students and help families send their children to post-secondary education.

We heard that not just from social justice organizations or student movements. We heard it from the business community, from corporations and from chambers of commerce. We heard it from every group that appeared before committee. They said nothing made more sense than to invest in education.

Through this time of cooperation between the NDP and the Liberals, we have managed to allocate $1.5 billion for education to help lower tuition costs, to help families send their sons and daughters to university. That is Parliament at work. That is serving Canada. That is why we are all here. That is also why New Democrats are determined to ignore the games being played by the Conservatives and others in the House and to put our noses to the grindstone and get this budget through. It is vital not just to families right now, but it is vital to the future of our country.

It is also important to understand that people are sick and tired of these games. They are sick and tired of all the different moves to try to help the Conservatives bring down the government. All those members see right now is power and the need to grab on to it. They are turning their backs on all those Canadians they came here to represent. They are turning their backs on families who want to send their children to university. They are turning their backs on families who cannot access affordable housing. They are turning their backs on people who need access to public transit. They are turning their backs on people who would like help in ensuring that their homes are made energy fit. They are turning their backs on billions of people around the globe who live in abject poverty, the millions who earn maybe $2 a week. They are turning their backs on Canada's responsibility to share a bit of our wealth to ensure that we do our part in diminishing world-wide poverty.

We come here with good faith, goodwill, in an attempt to make Parliament work. We believe not only do we require a budget that addresses the needs of Canadians, but we have to restore people's faith in this place. They are turning away from us. If an election is called in a short while, all those folks who have been watching this place or who have been hearing about it will have a hard time going to the polls. They do not see their hopes and dreams being represented in this place. They do not see their way of interacting with people, which is on a basis of cooperation and decency reflected in this place. Canadians are sick to death of what is happening here. We have an obligation to stop the games, get down to business and pass this budget.

I urge all members in the House to put aside their political agendas right now, leave them for a while, get this place working again. I urge all members to help us get this budget bill through. It is exactly what the Conservatives want. It would allocate resources from the surplus on an upfront, transparent basis.

I want to remind the Conservatives that this is exactly what they have been calling for in the finance subcommittee dealing with the fiscal imbalance and the need to have more accurate forecasting. They have said, just like we have ensured in this bill, that moneys from the surplus are to be specifically assigned to projects so that Canadians know and have a say and Parliament knows and has a say.

We have made a difference. It is the path to follow for the future. I urge all members in the House to support this bill and get on with working for Canadians.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:15 p.m.

Conservative

Joy Smith Conservative Kildonan—St. Paul, MB

Mr. Speaker, I listened to the speech today and was quite astounded at some of the comments made.

I think it is quite clear that members on this side of the House want to give child care dollars to parents and let parents make their own decisions about what they want to do in terms of care for their children.

It is going to cost $6 billion in tax dollars to implement the program that is suggested here. As a member of Parliament and a parent who has raised six children, I will say that I like to make my own decisions about my children. People in my riding are saying that they want to make their own decisions for their children.

Why does the member want to take the decision making away from parents? Why does the member not want child care dollars to go to parents to let them, not the state, make their own decisions?

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:20 p.m.

NDP

Judy Wasylycia-Leis NDP Winnipeg North, MB

Mr. Speaker, first I have to tell the member for Kildonan—St. Paul that under the designs for a national child care program all parents and families have freedom of choice. Parents have freedom of choice to ensure that they can provide for their kids in a quality setting while they make a living to support their families.

It is absolutely ludicrous for those Conservatives to suggest that if we just gave the money to families, these day care centres, with quality, trained professionals, with good programming and with nutritious food, would miraculously spring into place and parents would be able to access day care at a reasonable cost.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:20 p.m.

An hon. member

That is fantasyland.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:20 p.m.

NDP

Judy Wasylycia-Leis NDP Winnipeg North, MB

Absolutely, that is fantasyland.

The member should talk to the Manitoba Child Care Association, which has been leading this fight for more than 10 years, and probably for 20 years, trying to get a non-profit, publicly administered, quality child care system from one end of this country to the other.

Finally, let me calm down a bit to say that this is an important issue, just as education, housing and support for environmental projects are important to Canadians. All of this will be lost unless members over there can get their heads around supporting Bill C-48, which is the mechanism for accessing some surplus dollars to meet the priority needs of Canadians, and Bill C-43, which provides money for child care on a very sensible, reasonable basis that is clearly in tune with Canadian families.

All of that will be lost if those members decide to keep obstructing the House in the interests of their political ambition and their search for power as they turn their backs on the Canadians they claim to represent.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:20 p.m.

Etobicoke North Ontario

Liberal

Roy Cullen LiberalParliamentary Secretary to the Minister of Public Safety and Emergency Preparedness

Mr. Speaker, I listened to the comments by the member for Winnipeg North. I know she is a longstanding member of the finance committee and well versed in financial matters.

I must say that when my party cobbled together this deal with the NDP, initially I was surprised, but then I thought that it was a good thing, for three main reasons. First, it builds on some of the investments the government is already making in some of these social policy areas. Second, it gives us a chance to pass the budget. I think it is a very good budget and Canadians want this budget. For example, we want to see money start to move to municipalities and communities. Third, it basically exposes more clearly that the Conservative Party is in bed with the separatists, which we in the House and in committees have known for some time now; it exposes it more clearly for Canadians.

I have a question for the member for Winnipeg North. One of the things coming out of this deal was that the corporate tax cuts were reversed or put off in some other fashion. I personally do not see corporate tax cuts as a means to an end in themselves, but I wonder if the member could comment on whether she thinks all tax cuts are bad or whether she sees any kind of positive relationship between cutting taxes and jobs and productivity.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:20 p.m.

NDP

Judy Wasylycia-Leis NDP Winnipeg North, MB

Mr. Speaker, I appreciate the comments from my colleague on the Liberal benches and I want to say that I am glad we were able to cooperate and come up with this better balanced budget.

I do take a little bit of umbrage with the member's comments, as well as those made previously by the parliamentary secretary, that these were items that were there and the Liberals are building on them. In fact, in terms of the February budget, there was nothing for education or for housing. We have been able to move the agenda and shift the government toward the priorities of Canadians.

On the question of corporate tax cuts, I think it is very important to remind the member that we are not talking about all tax cuts. We are not talking about the NDP's position on tax cuts. I can get into a long debate about that any time the hon. member wants. We are talking about this government's decision to suddenly insert into the February budget a $4.6 billion cost by reducing the corporate tax rate despite the Prime Minister saying in the last election that there would be no new tax cuts until programs had been restored and investments were made in key areas.

All we have done is make the Prime Minister keep his word. We have tried to keep the Liberals honest. We are fulfilling the very commitments that Canadians heard in the last election. We look forward to continuing to have this cooperation.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:25 p.m.

Yukon Yukon

Liberal

Larry Bagnell LiberalParliamentary Secretary to the Minister of Natural Resources

Mr. Speaker, it has been fascinating to listen to some of the comments, questions and answers, especially from the Conservatives opposite when they talked about their leader's flip-flop on this budget. What was very interesting was their talk about the $5 billion for day care, when they said that the CAW predicted it would be $6 billion and then said that the Liberals are wrong by 10 times our projection, or in other words, $5 billion is really going to cost $6 billion and we are 10 times out. And with that kind of math, people expect that party to run the government? It would be very interesting.

I want to pick up in my speech on where the parliamentary secretary started to set the groundwork for this budget, where it is coming in and why we are able to make this type of investment in Canadians, in their education, health care and environment, in agriculture, in equalization and in all the areas where we are able to invest. Of course that is because of the tremendous work we have done over the years to cut down the very large deficit we had, which has put us in the situation where we can make these types of investments.

That confidence of the financial sectors in Canada continues today. I want to quote from today's London Free Press . Sherry Cooper, chief economist for BMO Nesbitt Burns, is one of the key economists in Canada and said today:

--Canada has no recession in sight over the next few years and will be a growth leader among Group of Seven countries.

And next year, Canada will lead the pack, tied for first place with the United States, Cooper said.

"Unlike the U.S., Canada has not had an economic recession in 14 years and no recession is in sight for the remainder of the decade," Cooper said.

Next year, Canada will be neck-and-neck with the U.S. with a three-per-cent growth pace....

The Quebec economy is expected to grow at annual rates of 2.6 per cent this year and 2.9 per cent in 2006....

Growth in the developing world will provide strong support for commodity prices, driven by China's huge demand for pulp, cement, coal, iron ore, steel and aluminum.

"This will translate into higher prices. Quebec and Canada's top export to China is pulp--and prices there are likely to edge upward from already high levels," Cooper told Montreal-area business officials.

Cooper noted Canada will be the only country among the G7 industrial powers--which include the United States, Japan, Germany, France, Britain and Italy--to have current account and budget surpluses in the coming years.

This management of the economy is why it gives me great pride today to be able to express support for this budget that builds so strongly on supporting the priorities of Canadians from coast to coast to coast.

In fact, I have been greatly anticipating today's debate, because I believe it will bring to light the shocking degree to which the priorities of the official opposition are out of step with those of Canadians.

After all, we are talking today about measures that reinforce and complement a budget that Canadians want to see passed as soon as possible.

They want to see it passed because it delivers on their priorities without compromising the extraordinary fiscal progress that has underpinned Canada's remarkable economic turnaround. They want it passed because it will create wealth, expand economic opportunities and strengthen our social foundations so that Canadians can share in the promise of our society. They want it passed because they are justifiably baffled by the daily dithering and flip-flopping as to where the official opposition actually stands with respect to this budget.

So without further ado, I would like to proceed with today's debate in the hope that the members of the official opposition will gain some insight into the importance of the issues at hand and maybe even come to some sort of conclusion they would be willing to share with the Canadian public about whether or not they support the measures in question.

As my colleagues have so eloquently explained, this bill provides increased support for a number of measures for which there is a great deal of public support, such as affordable housing construction and post-secondary education. However, I would like to dedicate my time today specifically to the provisions of this bill that provide for environmental initiatives such as public transit and the creation of a low income housing energy retrofit program.

As hon. members are no doubt aware, budget 2005 confirmed our commitment to transfer $5 billion to cities and communities. The bill before us today would provide $900 million for environmental initiatives, the bulk of which will be aimed at public transit in our cities and communities. It is money that can be used to invest in public transit systems that reduce pollution and gridlock and, in doing so, will help achieve our Kyoto targets and reduce the health care costs associated with pollution.

As I just mentioned, the bill would also dedicate a portion of the funding to support a new low income housing energy retrofit program that will benefit low income families and communities in a number of ways. First, these retrofits will greatly reduce the heating fuel requirements for thousands of low income Canadians across Canada. In doing so, it will leave these families with more disposable income that can be dedicated to other priorities.

At the same time, these retrofits will reduce emissions at the community level, again helping us reach our Kyoto targets and reducing the health costs associated with air pollution.

I know the Leader of the Opposition has characterized the bill as disgraceful, at least the week after he said that he was supporting it, so he clearly has not changed his mind about the importance of increased funding for the important public services provided by municipalities.

Where do other Canadians stand on this issue? Unlike the official opposition, the Federation of Canadian Municipalities was unequivocal in its analysis. It said:

This money will go directly toward meeting the needs of communities: fixing our streets and bridges, upgrading water treatment plants, improving and expanding public transit, and providing much needed services to people. We applaud the Government for recognizing the challenges Canadian cities and communities face and for taking action to help us meet these challenges.

Canadians and their representatives in the government understand first and foremost that their quality of life is not a means to an end. It is an end in itself. Canadians also understand very clearly that the bill represents an opportunity to improve our quality of life that cannot and must not be passed by.

Because the bill is a bill that addresses some of the highest priorities of Canadians, priorities like affordable housing, post-secondary education, the environment and foreign aid, make no mistake that these are the priorities of Canadians. I therefore urge hon. members to vote in favour of the bill.

I would like to talk about a number of other areas related to the environment that we have been promoting because it has not been talked about in great detail in the debate and it certainly is one of the priorities for Canadians.

We have put forward innovative initiatives in cooperation with business, the environment sector and individual Canadians to deal with the critical challenges facing us related to greenhouse gases, smog and the environment. Nowhere is this more prevalent than in my riding in the north where we see dramatic effects already of greenhouse gases and global warming.

I was at a conference speaking to some of the many initiatives that Canada has already taken. We had already committed $3.5 billion to global warming and the environment before the budget was introduced. The member who spoke before me suggested that it was still a philosophy. I had to set him right and I invited him to come to the northern part of Canada where it has a much greater and quicker effect so that he could see where the ice roads were melting at the detriment of our economy. That is the only way to get major shipments into many areas of the north. He will see where ice bridges are coming in much later and leaving much earlier. He will see where some of our first nation administration buildings were collapsing or shifting and had to be rebuilt or moved because of the melting of the permafrost. He will see the changes in our species and the critical effects on species that some northerners who still live a traditional lifestyle depend on.

That is why it was so important in the budget and through other mechanisms to support the environment. We put forth a climate fund. The climate fund is not just a direction that we should do this, this and this. It is not a rules based, punitive type of action. It is a fund where people and organizations can come forward with creative solutions.

Many Canadian environmental organizations and businesses have been very creative and they came forward with ways to save energy and thus reduce greenhouse gases. Energy consumption, of course, is the biggest producer of greenhouse gases. This is very innovative approach and will be a key part of our plan.

Another section of the plan is the partnership fund. Some of the provinces have some very innovative ideas and they want to work in partnership with us. Under the partnership fund the provinces and the territories can come together with us and move forward on some mega projects that will help the environment.

Another major section of this strategy is the auto emissions agreement, a tremendous agreement that we spent years negotiating with the auto industry. California, which is the only other area in the world that has done anything major, its auto emissions strategy is now up for possible court challenges and may never come fully into play. However, in our system, because it is voluntary and has been agreed to, it will be a major assistance to reducing smog, increasing the health of Canadians, reducing greenhouse gases and improving our climate.

Because of the government's, and in particular the Minister of Natural Resources and the Minister of the Environment, very effective negotiations and partnership with industry, we have the large emitters regulations. As members know, the large final emitters produce the biggest chunk of greenhouse gases in Canada and the attendant smog that has an effect on the health of Canadians.

We have worked for years to understand them individually and to come up with the types of regulations that will not harm them but will, because of the increased energy efficiency, allow them, as some of them have already done, to become more effective and more productive. Some would have suggested, although not those in the official opposition, that we just have one size fits all. However, economically, that could force some of those companies out of business because some have different processes, different indices and different ways of creating greenhouse gases, some which can be controlled. That is why this is a very sophisticated, realistic and competitive part of our plan.

Another part of our plan, which, I have to admit, we have done a terrible job in this House of promoting, is the many energy efficiency programs that we already have in place.

We have some of the leading scientists in the world related to different types of renewable energies and reducing energy efficiencies to our housing programs, to solar energy, to biodiesel, to ethanol and to wind energy. All these programs, including part of our $3.5 billion in investments, are in place and are moving along. They are being taken up at a faster rate by Canadians. They have been very successful and have removed thousands of tonnes of greenhouse gas, even before this budget, which of course adds some huge increase and promotion to our effort.

Over and above all those existing programs, we are adding new renewable energy programs to enhance other renewable energies. As members know, we had already increased by four times our wind energy subsidy to enhance that but now we are also going to invest in other renewable energies in this new program.

Another area that we are looking at is Canadian carbon sinks. This is another opportunity waiting to happen, an opportunity to help Canada do its part in its leadership role. We will be having the world meeting in Montreal shortly. To increase that leadership role, there is potential with these carbon sinks.

Whether it is in agriculture and the methods of agriculture that will leave greenhouse gasses in the earth for a longer time just by improving our processes or whether it is in forestry where there is lots of innovative research, we have some of the leading researchers. Canadian government scientists are some of the leading scientists in the world and are respected around the world for some of the work they are doing in how to manage the forests and improve them as greenhouse gas sequestration.

How long can we manage the forests? How long can we keep the carbon there and how long can the forests provide economies for rural Canadians living near those areas?

A majority of first nations people live near the boreal forest. They can play an important part in managing that to improve their economies. Through the economic opportunities available through the sequestration of greenhouse gases, they can have revenues in times when it is hard to have revenues, especially in the very far north where the forests, on their own and unmanaged, are not overly productive.

We could look at ways of preserving forests and providing compensation to capture greenhouse gases as opposed to totally eliminating the forests, which sometimes takes hundreds of years to grow the farther north we go, and would not be economic from that perspective.

Another very dramatic contribution that we are making is to cut our emissions by one-third. For the Government of Canada to make a commitment like that to limit our greenhouse gases by one-third of what we now produce is a major commitment. Of course we cannot expect others to follow if we do not lead. We are asking far more of ourselves than of anyone else in the Kyoto plan.

The fact that we are asking of ourselves and of Canadians through the one tonne challenge is the reason we will have the moral authority to ask the rest of the world, the developing countries that have not yet gained as much from greenhouse gas emissions, such as China and India, to make huge contributions to them as developing countries in the first round. When we show our leadership then we will have the moral authority to ask them to come in on the second round with the major contributions that they can make.

It is not that we are not helping them already, as I am sure a few members of the House know. We are already dealing in clean coal technologies, another one of the areas in which we are performing a leadership function.

By helping China, which burns incredible amounts of coal and the greenhouse gases negatively affect Canadians, as they do everyone else in the world, with clean coal technologies to reduce it greenhouse gas reduction, helps us, and there is a lot more potential for that in the future.

With the investment in coal scrubbing, we can take out all the nitrous oxides, the sulphur dioxide and the mercury and we can sequester carbon dioxide, another project in which we are involved.

Another area where we have major investments of over $10 million is the sequestration of CO

2

in mining properties in Alberta where we produce oil and gas. I am sure some members of the opposition from that area of the country would be quite interested in these very successful projects that are providing leadership in the world. We take carbon dioxide and store it underground. It also helps the petroleum industry to extract more oil and gas from those areas.

In conclusion, over and above probably the best received budget in Canadian history, starting of course with the approval of the leader of the official opposition, I am also proud of the amendments we have made because they are all areas that are important to us.

Everyone will agree that we have invested in foreign aid, housing, education, environment and public transit in the past. In a minority government it is good that we have come to an agreement to accelerate these contributions, which are important to Canadians and important to us, a bit faster than we had expected. This was the task put upon us by the people of Canada when they asked us to join with at least one other party in putting together a budget. I am very proud to support the budget that is so well received in the public.

I call upon all the parties in the House to join me in supporting economic development, the poor, education, health care, foreign aid, and the cities of Canada and municipal infrastructure that will make Canada even more the best country in the world in which to live.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:45 p.m.

Conservative

Dick Harris Conservative Cariboo—Prince George, BC

Mr. Speaker, I realize my colleague from Wild Rose has an excellent question and I will defer to him.

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:45 p.m.

Conservative

Myron Thompson Conservative Wild Rose, AB

Mr. Speaker, I had a difficult time following the last speech. There was one thing I did catch. It was consistent with the throne speech, very consistent with the budget speech and now consistent once again. The word “agriculture” was used for about one-tenth of a second or so. It was slightly mentioned.

This wonderful new budget agreement that the government has come into with the leadership of the NDP talks about a lot of wonderful things, but agriculture is not mentioned once again. It is the same old story, agriculture is never mentioned and never solved.

I have heard that $6 billion has gone to the farmers. I have news for those members. The money has not gone to the farmers. That is all a bunch of nonsense. These are big announcements that have been going on for a long time since I have been here. The money is not getting out to the farmers, or does this member not know how many people have gone broke and gone under and had to sell out because of the lack of funding? The funding just does not get out there.

I received a call a few minutes ago from a lady who said she had received her CAIS money after many dollars were spent getting accountants to help her. It was $322.19. She had been waiting since 2003.

These NDP members are talking about a $1.5 billion injection into education. Are they gullible enough to believe that it will actually happen? The government has not kept its word on anything. They make these big, flowery announcements and they do not pan out. It is time that Canadians woke up.

On the topic of this babysitting stuff or national day care, I would like this member to know that I have several communities in my riding with probably a population of 200 people. We have thousands and thousands of rural people who do not have access to day care anywhere. However, they will be expected to pay for it. They will be expected to fork over the taxes so the big city people can have their day cares. They receive no help in return for staying home with their children. There is no reward for that. They get taxed more than the people who go out and work.

It is becoming an absolutely one sided farce. I am really tired of it. I have said hardly anything in the last few days on this. I am getting tired of hearing these wonderful things this government is doing when it has failed. The government has failed the people in my riding. Every farmer can tell the government that it has failed dismally.

I do not know why in the world this outfit over there would shine up with the NDP that wants to throw more money around like crazy and not even mention once again agriculture, the people who are hurting on our land. When will the government wake up and start doing what is right for the people of Canada?

An Act to Authorize the Minister of Finance to Make Certain PaymentsGovernment Orders

1:45 p.m.

Liberal

Larry Bagnell Liberal Yukon, YT

Mr. Speaker, I spent about 20 minutes explaining what the government is doing that is right for the people of Canada. However, I always enjoy the member opposite. I know he is very committed to his work and very passionate, and he says what is on his mind.

In fact, I am delighted that he made the point that I have been trying to make for the last few weeks in the House concerning the consistency of this budget and the throne speech and our platform. In our platform and in our throne speech we talked about help for seniors.