Mr. Speaker, I welcome this opportunity to speak in the debate on the Speech from the Throne. The theme is: strengthening the federation and our democratic institutions.
This government is committed to pursuing a federalism of openness that recognizes the strength and the contribution of each region of our great country. We committed to respect matters of exclusive provincial jurisdiction and to ensure accountability by clarifying roles and responsibilities. We have taken historic action by restoring fiscal balance in Canada and by putting this country's fiscal arrangements back on a predictable, long term, principled track. In fact, by restoring fiscal balance, federal support for provinces and territories was brought to unprecedented levels to support quality services for Canadians.
In the Speech from the Throne, we took additional measures to advance our vision of open federalism.
We promised to introduce a bill to impose limits on use of the federal spending power for new shared-cost programs in areas of exclusive provincial jurisdiction, while allowing the provinces to opt out with reasonable compensation if they offer compatible programs.
Our approach is anchored in a desire to make Canada an even stronger federation by recognizing the strength and contribution of each region of this country, and under the Prime Minister and this government, the federation is stronger and more united than ever. A strong federation and a vibrant democracy are the foundations of our united and great country. Indeed, these two elements--federalism and democracy--are inextricably linked in the history of Canada.
Looking back at Canada's history, it becomes apparent that a federal system like democracy was a wise and prudent choice by our Fathers of Confederation, a wise formula best suited to the changing needs and the aspirations of such a diverse people stretched out across this vast land.
Indeed, history has shown that Canada is a country defined by its economic, social, geographic and cultural diversity.
In this context, our practice of federalism allows Canada to strike a balance, pursuing national goals while taking into consideration various local and regional factors, all the while continuously remaining flexible and adapting to change.
In fact, the Canadian federation's flexibility lends itself well to finding solutions to public policy questions and helps it rise to the challenges that we face to meet the demands of this diverse and ever-changing citizenry. It grants security for local interests while lending scope for carrying out the will of the nation as a whole in matters of national importance.
Our federation is a world success story. We are a model to others for effective governance, respect and recognition of diversity and pragmatic consensus.
As a federation, we will always have some regional stresses and strains, yet our great strength has been in how we address them, overcome them and build a stronger and a better Canada.
We have clearly been a success in Quebec with our recognition of the fiscal balance and our settlement of the fiscal balance.
May I say on this note that I look forward to sharing my time with my hon. new colleague from Quebec who will be speaking on this issue, in particular, from a Quebec perspective.
When our government first came into power, it was clear that Canadian federalism was not working as well as it should have been.
It was becoming stagnant and unresponsive to the changing needs of the provinces and territories and the changing needs of Canadians.
What we saw before our government came to power was an unprincipled, what I like to call chequebook federalism, an unfettered use of the federal spending power to the detriment of the federation and to Canadians. Unplanned federal surpluses were used to spend massive amounts in areas of exclusive provincial jurisdiction, often in the absence of consultation with the provinces and territories. This spending weakened the bonds of our federation. It resulted in strains between the federal government and the provinces and territories where expenditures were undertaken without adequate consultation or consensus on priorities and created resentment among the provinces.
This use of federal spending power in areas of exclusive provincial jurisdiction created new cost pressures on provincial and territorial governments, forcing them to adversely distort their taxing and spending priorities, particularly where initiatives required matching funds. Provinces were then faced with the dilemma of going into debt to help fund the new programs while still having to respond to their local demands of concerns of their citizens, and if they opted out from the program they subjected their citizens to taxation without benefit.
This spending in areas of primarily provincial jurisdiction increased uncertainty, where initiatives were introduced without long term or stable federal funding, leaving provinces facing greater budgetary challenges when the cost of the programs were fully downloaded as the federal government sought to slash spending.
Twenty one months ago, Canadians voted to change the government of Canada, because they wanted to change the direction of this country.
One thing that they wanted to see was a federalism of openness that allowed the provinces to provide the programs and services that their citizens required. The idea behind open federalism dates to well before 2006. It was born out of the idea that the federation is not static but an evolving institution that should respond to the changes and the impacts of a modern world. It was built on the idea of a strong national government working in cooperation with strong provincial and territorial governments, as envisioned in our Constitution and grounded in the British North American Act.
I am very proud of this type of federalism. It is also very different from the counterproductive and centralist federalism that had too often characterized the Liberal government's approach to federal-provincial relationships before we became government.
I am sure that we all hope, with the passage of this throne speech and our government's subsequent legislation, that this era will be well and truly behind us.
Canadians want their governments to agree and to cooperate. They do not want our federation's development to be marked by discord and confrontation.
The right hon. Prime Minister wants Canada's future to be one of vibrant optimism and renewed confidence in ourselves. The throne speech maps out that future in a way that inspires and rallies Canadians because the direction that we want to take our country reflects the priorities of Canadians, their hopes and their expectations.
The future we envision for Canadians will be made possible thanks to an open federalism that all Canadians can identify with and look upon with confidence, no matter where they live.
Open federalism means recognizing the maturation and evolution of the provinces and territories within the federation and respecting the clear and important role that they are playing in meeting their citizens' needs.
It means respecting areas of exclusive provincial jurisdiction and limiting the use of the federal spending power. My colleague from Roberval--Lac-Saint Jean will be speaking to the House shortly and he will explain how important this is, particularly for Quebec.
By providing this kind of equitable and predictable funding for shared priorities and attempting to clarify roles and responsibilities in the federation, this government is offering a solid principle based approach on which provincial governments can continue to work.
Restoring the fiscal balance to the federation and proposing limits on the use of federal spending power gives the provinces the financial flexibility and ability to respond to the needs and demands of their citizens and ensure that there are adequate programs to do just that. It gives the provinces the resources and the ability to better meet their citizens' needs by providing better schools, better roads and better health care for Canadians.
As the Canadian federation evolves, we will continue to focus on measures to strengthen national unity. In the spirit of open federalism, this government has concentrated on its national role by reinvesting in core responsibilities such as trade, defence, public safety and security. We will continue to play a leadership role to promote national interests in cooperation and collaboration with the provinces and territories.
We will also continue to insert the importance of maintaining an open, honest and respectful relationship with the provinces and territories.
We also assert that true collaboration can only occur when resources and accountability are matched with clear roles and responsibilities. Our government believes that the jurisdiction of each order of government should be respected so that all Canadians can see their needs and desires moved to fruition.
That is why our government will introduce federal legislation to place formal limits on the use of federal spending power for new cost shared programs in areas of exclusive provincial jurisdiction. This legislation will also allow provinces and territories to opt out with reasonable compensation if they offer compatible services.
By forging ahead with our vision of open federalism, we remain focused on building Canada's future prosperity by expanding the many advantages we already possess as a nation.