Debates of May 7th, 2013

Economic Action Plan 2013 Act, No. 1

[Pierre Poilievre, Conservative, Nepean—Carleton, ON]

Mr. Speaker, our agenda has been out in the open since we have been in government, since 2006, and the Canadian people keep electing us with increasing mandates. I note that, correspondingly, the party in the corner has been consistently reduced by the Canadian people as our and their agendas have become known by the population.

As for the issue of arm's-length independence, we on this side of the House believe that the Crown, or in this case the crowns, can only spend monies that are approved by the people's representatives here in Parliament. The other side believes that union bosses should be able to decide how tax dollars are spent, without the approval of Parliament. My point in referring to the original Bill of Rights was to underline the fact that the approach the opposition is proposing is a violation of a sacred tenet of parliamentary democracy, one we have respected and one this budget restores.

[Ryan Cleary, NDP, St. John's South—Mount Pearl, NL]

Mr. Speaker, the Conservative member began his speech with talk of kings, queens and crowns. My speech will focus on mere mortals—ordinary Newfoundlanders and Labradoreans and Canadians—the people the Conservatives have forgotten.

I had a public meeting in my riding of St. John's South—Mount Pearl just this past Sunday. At the start of the meeting, a 65-year-old woman approached me. She pulled me aside to speak privately about a problem. She is a single woman who rents an apartment, and the company that owns the apartment just raised her rent by $45 every two weeks. That is $90 a month. That is $1,080 a year. The problem is that she is retired and has a small pension, a fixed income, and she has no idea how to pay for the increase in her rent.

What is in the bill, the economic action plan 2013 act, this economic inaction plan 2013 act, for that senior in my riding? There is nothing. There is no help whatsoever.

The lady asked me not to forget her. She asked me to do something about housing and to do something for seniors, for people on fixed incomes and for low-income earners. They are having a harder and harder time getting by. I am doing that right now. I will do it at every opportunity and every chance I get to speak about the Conservative economic inaction plan, 2013.

What is in this budget for low-income earners to help keep a roof over their heads? Nothing. The Conservatives voted down a recent New Democratic bill for a national housing strategy to fix Canada's housing crisis. What does the government do? What does their budget do? The Conservatives went a step further than just voting down the NDP plan for a housing strategy. Starting next year, they will cut homelessness funding by $15 million a year. This budget does nothing for that senior in my riding, and seniors are suffering.

There was a story in the news back home in the last few days about an 82-year-old man from the Cornerbrook area of western Newfoundland. He was charged with theft for stealing food from a grocery store. The police say that this type of incident is rare, but a seniors' advocate says that this is only the beginning. The advocate I mentioned said in the news story that “more seniors will start to resort to petty crime, as many cannot afford to eat by the Canada Food Guide”.

Eat by Canada's Food Guide? They cannot afford to pay rent. They cannot afford to turn on the heat in their own homes. That is what this country has come to. That is what the Conservatives have done to our country.

What does this budget do for Newfoundland and Labrador? Of all the things in this budget, what resonates most back home? What have people been talking about? They are talking about how the price of hospital parking is going to increase, about how the poor and the sick, the most vulnerable in our society, will have to feed even more money they do not have into parking meters.

The Conservatives can cut taxes to big business. They can give industry breaks, but who pays? It is the sick and the poor. That is who pays under the Conservative government.

What is in this budget for Labrador specifically? It is the status quo, more of the same: dirt roads, poor Internet service. Who knows what goes on behind the scenes? When Peter Penashue was our representative in the federal cabinet, he pitted The Big Land against the island. Penashue actually boasted about his divisive politics, which is the worst kind of politics.

Penashue admitted to holding up infrastructure projects on the island in an attempt to move forward projects in Labrador. This is the type of politicking that goes on behind the scenes with the Conservatives, but they are also in our faces with it. This is the third omnibus bill. It includes 49 pieces of legislation from increased user fees for hospital parking to cuts to health care and damaging cuts to credit unions.

Most Canadians will not realize the ramifications of this budget because it is so big with 49 pieces of legislation and because there is so little time to debate it. It denies MPs the ability to thoroughly study the bill and its implications. New Democrats would like to send so much of this omnibus bill to various House of Commons committees so we can bring in experts and analyze the true implications. However, the Conservatives deny us that opportunity and that right because they do not want the scrutiny. They do not want Canadians to know what is happening to Canada.

The Conservatives are trying to tell Canadians that there is nothing to see in this bill. In a way that is true. There is nothing for job creation, to make life more affordable or to strengthen the services that families rely on. There is little in this budget for youth. Youth unemployment stands at more than 14%. Although the Conservatives have just announced another 5,000 paid internships in this budget, that is a drop in the bucket compared to the need. We do not hear the Conservatives speaking about the $14,000 a year those internships will pay. That is not enough for students to pay their student loans or participate in the economy. It is not enough to live on.

There is not a word in the budget about student debt. The average student debt in this country stands at $28,000 per student. How can students participate in the economy the Conservatives like to trumpet as their success, when they begin their working lives with no work and a $28,000 anchor around their necks?

Let us move on to the Canadian Broadcasting Corporation. I worked for almost twenty years as a journalist, twelve years as a daily newspaper reporter, five years as an editor-in-chief, a columnist, and another two years as an open-line radio host. Most of those years were with private media outlets. I personally know the kinds of pressures that can be exerted on newspapers or news outlets to run or not to run a story. There are incredible pressures from advertisers, government and industry. That is why the CBC is so important. I see it as the jewel in Canada's democratic crown.

The Globe and Mail says that the Conservative government:

is taking a harder line on collective bargaining, giving itself sweeping new powers to steer independent Crown corporations in their negotiations with employees over wages and benefits. The main targets are the CBC, Canada Post and VIA Rail....Further, the bill gives the government the power to have a Treasury Board official sit in on collective bargaining negotiations at Crown corporations.

The union representing employees at the CBC warns that the new powers are a “ridiculous“ infringement on the independence of the CBC.

I agree with that statement.

I will quote from Marc-Philippe Laurin, who is the CBC branch president of the Canadian Media Guild, the union that represents most employees. He stated:

I don’t know how anybody looking at that cannot see this as turning the public broadcaster into a state broadcaster.

Can members imagine the CBC being turned into a state broadcaster, a mouthpiece for the Conservative Party? Can members imagine a crown corporation changing the terms and conditions of employment for a non-union worker at any time?

Can members imagine a day in Canada when workers and pensions are under constant attack? Can members imagine a day in Canada when post-secondary graduates are crippled by debt, and government does not care? Can members imagine a day in Canada when a government would ignore a housing crisis? Can members imagine a day when an 82-year-old man is forced to steal food for his supper? That day has arrived under the Conservative government with this new Conservative inaction plan.

[Dean Del Mastro, Conservative, Parliamentary Secretary to the Prime Minister and to the Minister of Intergovernmental Affairs]

Mr. Speaker, I do not think that the member has actually read the budget bill. That is the only conclusion I can come to.

He talked about affordable housing. This budget would make huge investments in affordable housing, including, frankly, a requirement for new affordable housing projects in which apprentices would be given an opportunity to work on that housing. This would mean that, in his own riding, the young people would be given an opportunity to learn the skills they need while they build affordable housing.

We have been proud to partner with Newfoundland and Labrador on a number of enormous projects. We have been proud to support seniors in the member's riding. However, what does the member stand and champion today? He champions more money for the CBC, while he points out that people in his own riding could use more support from the government.

Does this member understand that the resources of government are finite? If he does as he proposes and provides more to CBC while he taxes individuals and businesses more, he will be able to help the people of his riding less.

[Ryan Cleary, NDP, St. John's South—Mount Pearl, NL]

Mr. Speaker, I can tell the member what I do understand. I understand need. I understand when seniors and people on fixed incomes approach me and say that there is a housing crisis, the price of their rent is going up and they cannot afford it.

What this party on this side of the House proposed as a bill just a few months ago was a national housing strategy. That housing strategy would have brought together the three levels of government, federal, provincial and municipal, to come up with a strategy o tackle the housing crisis. How much would that bill have cost taxpayers? The answer is nothing. It would have come up with a plan to combat the housing crisis, but cost nothing.

[Wayne Marston, NDP, Hamilton East—Stoney Creek, ON]

Mr. Speaker, I want to thank the member for the concern he is expressing, particularly for the seniors in Newfoundland.

The member for Nepean—Carleton spoke here a few minutes ago about respect: his respect in this place and his respect for Canadians. However, I was troubled because that is the same member who voted repeatedly to shut down debate in this House, and shut down people's opportunity to learn about the various bills and legislation, more times than any other government in the history of our country or of this Parliament.

The member for Nepean—Carleton also talked about defending the public purse. I know my friend from Newfoundland has the same kind of concern about the public purse. I wonder if he has heard any indication at all as to where the missing $3.1 billion from the public purse has gone.

[Ryan Cleary, NDP, St. John's South—Mount Pearl, NL]

Mr. Speaker, I do not have a clue where that $3 billion has gone, but I think taxpayers have the same question. We all have the same question. However, the problem is that there is no answer.

The hon. member mentioned the speech from the member for Nepean—Carleton across the way. I have to say, when that member began his speech, and I mentioned this off the top of my speech, he spoke about kings and queens and crowns. I was sitting here listening, and thinking that it was a prime example of how the Conservative government is so out of touch with ordinary Canadians, with ordinary Newfoundlanders and Labradorians, and with people on the east and west coasts. It is absolutely out of touch.

The hon. member just mentioned shutting down debate. What we are actually debating here is the third omnibus bill. Again, an omnibus bill is massive. This particular bill has 49 pieces of legislation.

Why would the Conservative government take 49 pieces of legislation and cram them into one omnibus bill? It is because it does not want debate. The Conservatives do not really want to investigate or take a good look and they do not want Canadians to see what is really in this omnibus bill.

[Joy Smith, Conservative, Kildonan—St. Paul, MB]

Mr. Speaker, in my time today I would like to spotlight the really positive measures in economic action plan 2013.

Today's bill would ensure that Canada keeps a strong position relative to so many other countries in the world and avoids the mistakes of so many others around the world as well. It would do that by promoting jobs and growth, and supporting families and communities across the country, all while respecting taxpayer dollars. There are literally so many great and positive measures in the bill that I want to quickly run down the list for Canadians at home.

To build a strong economy and promote job growth, here are just a few of the great things in the bill: We are extending tax relief for new investments in machinery and equipment by Canadian manufacturers. We are indexing gas tax fund payments to better support job-creating infrastructure in municipalities across Canada. We are extending for one year the mineral exploration tax credit.

Our government is providing $165 million in multi-year support for genomics research through Genome Canada. To help young entrepreneurs grow their firms, our Conservative government is providing $18 million to the Canadian Youth Business Foundation. This government is also providing $5 million to Indspire for post-secondary scholarships and bursaries for first nations and Inuit students, and there is so much more good news in the budget for Canadians.

To support families and communities we are also doing so many great things, and I want to explain how that transpires. Our Conservative government is promoting adoption by enhancing the adoption expense tax credit to better recognize the costs of adopting a child. We are introducing a new first-time donor super credit for first-time claimants of the charitable donations tax credit to encourage all young Canadians to donate to charity. To better meet the health care needs of Canadians, our government is expanding tax relief for home care services.

We are removing tariffs on imports of baby clothing and certain sports equipment. This will help families all across the nation. Our government is providing $30 million in the 2013-14 budget to support the construction of new housing in Nunavut. We are investing $20 million in the Nature Conservancy of Canada to continue to conserve ecologically sensitive land. We are providing $3 million to the Pallium Foundation of Canada to support training and palliative care for front-line health care providers. As members know, we have an aging demographic in our country and this is extremely important.

Our government is committing $3 million to the Canadian National Institute for the Blind to expand library services for the blind and partially sighted. I just met with some members from that community and they are so grateful for this $3 million because it will enhance their quality of life. We are supporting veterans and their families by no longer deducting veterans' disability benefits when calculating other select benefits, and we are doing so much more.

I honestly have to ask NDP and Liberal members opposite: how can they possibly vote against these great items? How can they possibly vote against all these positive measures for Canadians? How can they oppose helping the blind get library services? How can they oppose supporting palliative care? How can they oppose helping out our veterans? Along with their constituents at home, I am waiting for the answer.

Unlike the opposition, our government understands that Canadian businesses big and small are faced with new economic challenges originating beyond our borders. That is why Canada's economic action plan would lower taxes, slash unnecessary red tape and improve conditions for new and growing businesses. The economic action plan 2013 act proposes the next wave of initiatives to preserve these gains and create high paying, value-added jobs for Canadians.

On the advice of the Canadian manufacturing industry, we are providing $1.4 billion of tax relief to the manufacturing sector through a two-year extension of the temporary accelerated capital cost allowance for new investment in machinery and equipment. This tax relief would encourage manufacturers and processors to continue to invest in machinery and equipment, making their operations more productive and globally competitive.

While the NDP would have us give tax breaks to Chinese companies, extending the temporary capital cost allowance for machinery and equipment would help keep our jobs where they belong, right here in Canada. We know it works.

Listen to the Chemistry Industry Association of Canada, which told us:

Measures like the ACCA for new manufacturing machinery and equipment can make the difference between a company investing in Canada, or taking its business--and the stable, high-paying jobs that go along with it--elsewhere.

While manufacturing and exporting are at the heart of our economic action plan, improving our infrastructure is also crucial to delivering Canadian goods and services to markets as efficiently and cost-effectively as possible. Bill C-60 also proposes to index gas tax fund payments to better support job-creating infrastructure in municipalities across Canada. This is a very important component of our new 10-year building Canada plan, unveiled in budget 2013, which would fund infrastructure like roads and bridges from coast to coast to coast.

The feedback from our municipal partners has been overwhelmingly positive. Just listen to the words of the Association of Municipalities of Ontario, which told us that indexing the gas tax fund payments:

...recognizes that all types of municipal infrastructure can contribute to public safety, better quality of life and economic growth.

...An indexed Fund is essential so that infrastructure funding grows over time to meet inflation and the rising costs of construction.

Bill C-60 also proposes to reform the temporary foreign worker program to ensure that the cost of the labour market opinion process would no longer be absorbed by taxpayers, and to better ensure that Canadians would be given the first chance at available jobs. We plan to support job creators, such as junior mineral exploration companies, by extending for one year the 15% mineral exploration tax credit for flow-through share investors. We would also clarify the rules for how we would treat proposed investments in Canada by foreign state-owned enterprises and would allow for the extension of timelines for national security reviews by modernizing the Investment Canada Act.

While we remain squarely focused on jobs and growth, our government recognizes that Canadians are our country's greatest resource. As outlined earlier, we would be doing some very positive things for Canadian families in today's legislation. To help Canadians selflessly welcoming a child into their family, as I said earlier, we would adopt the adoption expense tax credit. To better help the health care needs of Canadians, we would expand tax relief for home care services. The Canadian Home Care Association said that this is:

...an important step in supporting the needs of our aging population and enabling individuals to live independently in their homes.

Through our new measures, designed to ensure everyone pays their fair share, Bill C-60 would help to keep taxes low for everyone, providing Canadian families with greater opportunities than ever before. Not only is our plan prudent; it is an effective response to global economic changes, which still persist. By staying the course, our Conservative government will continue to promote economic growth, job creation and long-term prosperity for all Canadians.

I urge all my colleagues on all sides of the House to vote in favour of Bill C-60. I outlined today all the wonderful things that are in the budget and that hit home very closely to Canadian families, to the aging population and to the municipalities, who so welcome the indexing of the gas tax. It is so important, so we can build the infrastructure within our country.

Today, I met with the electrical workers, and they are praising what we are doing in terms of the foreign workers, saying that jobs belong in Canada, and Canadians need those jobs.

[Mike Sullivan, NDP, York South—Weston, ON]

Mr. Speaker, my colleague, the member for Kildonan—St. Paul, referenced some of the money in the budget that would go to the CNIB. We welcome that. Unfortunately, there is little else in the budget for persons with disabilities. In fact, 50% of people with disabilities in our country are unemployed. That climbs to 80% when it is developmental disabilities. There is nothing to change that. There is no action by the government on ratifying the UN convention on persons with disabilities. It owes; it is 14 months late in giving a report card to the UN. There is still no indication of where that is.

On the gas tax, the member suggested that somehow this would be a big boon to municipalities. In fact, not one nickel of increase to the gas tax would flow until 2016 at the earliest, which is at least three years hence. Regarding the money that the Conservatives say is in the budget, there will be three more budgets before there would be any more money flowing in the gas tax indexing that they are crowing about.

[Joy Smith, Conservative, Kildonan—St. Paul, MB]

Mr. Speaker, we hear daily from members across the way that the budget is no good, that nothing good is happening here in Canada. In actual fact we have seen, over every community, so many jobs created. We have heard people, like the those in the Association of Manitoba Municipalities in my province, say it makes a big difference because then municipalities know for 10 years that the funding would be coming and it would allow them to do the proper planning for the huge capital projects.

I hear members opposite saying these are not good moves. Obviously we are one of the countries across the globe that other countries look up to, because we have a stable economy, Canadians are working and we have focused on one major thing. Well, we have focused on a lot of things, but the major thing is to keep our economy stable. The major thing is to keep people working and to promote economic growth. This country is in a really good position. Families are working and living well because of the economic expertise of our Prime Minister. I thank him for that.

[Wayne Easter, Liberal, Malpeque, PE]

Mr. Speaker, we know there is a cabinet shuffle coming up, and if there is one thing the Prime Minister likes it is someone who can give a good message even when it is really a bad one. When we listen to the member for Kildonan—St. Paul, her remarks almost make this draconian budget, which is an attack on the middle class, look good. The Prime Minister certainly should consider her as a replacement.

The fact of the matter is that this budget would increase taxes on middle-class Canadians by close to $2 billion every year. The Conservatives take $550 million more every year from the profits of small business owners. She talked about that, but did not mention that figure. There is the recurring payroll tax hike of another $600 million each year. She talked about some of the tariff cuts, which would reduce hockey equipment, yes, but she did not mention the tariff increases that would increase the costs for many Canadians, while not doing anything about enhancing the manufacturing base within Canada.

In her remarks, she does not mention the hidden measures that are an attack on the middle class in our country. It is easy to see why we will oppose the budget because—

[The Deputy Speaker]

Order, please. I ask all members to keep their questions and responses short.

The hon. member for Kildonan—St. Paul has only 45 seconds.

[Joy Smith, Conservative, Kildonan—St. Paul, MB]

Mr. Speaker, this is passing strange to hear, when I just explained how well economically placed our country is and how associations across the country are praising the government for the strong, stable economic environment it has placed in our country.

The main thing is that we should work together as parliamentarians. The budget obviously speaks to families in our communities. It speaks to our aging demographic. It speaks to people who need jobs. As members of Parliament in the House, partisan remarks should be left by the wayside, and we should all be working very closely to ensure that our country remains economically stable for all Canadians.

[Dave MacKenzie, Conservative, Oxford, ON]

Mr. Speaker, I am honoured to rise in the House today to speak to Bill C-60, a bill that is focused on what matters most to Canadians: jobs, growth and long-term prosperity.

Canada has experienced one of the best economic performances among the G7 countries, both during the global recession and throughout the recovery. Due to our strong economic policies, our global reputation is highly respected and admired by countries around the world. It has earned us, for the fifth year in a row, the reputation of the soundest banking system in the world from the World Economic Forum.

Bill C-60 would only enhance this strong record with decisive action in all areas that drive economic progress and prosperity. This includes connecting Canadians with available jobs, helping manufacturers and businesses succeed in the global economy, creating a new building Canada plan, investing in world-class research and innovation, and supporting families and communities.

Our government understands that, while we have a strong economic reputation, we need to remember that Canada is not immune to the instability of the global economy. We need strong leadership, and that is exactly what our government would provide with Bill C-60, as I will outline in my remaining time.

In my riding of Oxford, manufacturing is the source of employment for many residents and is one of the key engines of the Canadian economy. Since 2006, our government has supported the manufacturing industry by lowering business taxes to 15%, which allows manufacturers to keep more of their money to invest and hire more employees; investing $110 million to double support to manufacturers and other entrepreneurs through the industrial research assistance program; eliminating the job-killing corporate tax; and much more.

With Bill C-60, we would provide even more support for new investments in machinery and equipment for the manufacturing and processing sector. This would be done by extending the accelerated capital cost allowance for two years, which would increase the support for manufacturers by almost $1.4 billion. I know this support would benefit manufacturers in Oxford and across Canada.

Our government believes in keeping taxes low for all Canadians. Since 2006, we have cut taxes more than 150 times, reducing the overall tax burden to its lowest level in 50 years. That translates into a total savings of $3,200 for a typical Canadian family of four.

We would build on these already astounding savings with even more tax relief for Canadians. In Bill C-60, we would eliminate consumer tariffs on babies' clothing, sporting goods and exercise equipment. In total, this would provide $76 million in tariff relief for Canadians.

We would also introduce a temporary first-time donor's tax credit to encourage more Canadians, and those who had not donated recently, to give to charity. This would not only help a plethora of charities but also provide $25 million in annual tax relief. The savings just keep getting better and better under our government.

Youth are the future, and that is why our government believes in providing young Canadians with the information and opportunities they need to make smart education and employment decisions. Our investments in youth since 2006 have included expanding the eligibility for Canada student loans through a reduction in the expected parental contribution; investing more than $300 million per year through the youth employment strategy to help young Canadians get the skills and work experience they need to transition into the workplace; and reducing the in-study interest rate for part-time students to zero, saving them approximately $5.6 million per year.

In Bill C-60, we would support Canadian youth even more by providing funding of $18 million in multi-year support for the Canadian Youth Business Foundation. This foundation is a national not-for-profit organization that works with young entrepreneurs between the ages of 18 and 34 by helping them become the business leaders of tomorrow through mentorship, expert advice, learning resources and start-up financing. Over the past 10 years, the foundation has worked with 5,600 new entrepreneurs, helping to create 22,100 new jobs across Canadian communities.

Canadian farmers are the backbone of our country and represent an important industry in my riding of Oxford. For generations, our farmers have fed Canadians and the world while providing jobs and opportunities across Canada.

Our government has supported Canadian farmers with strong investments and programs since 2006. We have provided over $7 billion to farmers through a new suite of business risk management programs, including AgriStability, AgriInsurance, AgriInvest and AgriRecovery; over $2.3 billion toward Growing Forward 2, which invests in innovation, competitiveness and market development for Canada's agriculture sector; $370 million to the hog industry; support for debt restructuring to help sustain the industry and much more. In Bill C-60, we would be supporting farmers across Canada.

We would provide $165 million in multi-year support for genomics research through Genome Canada. This funding would enable Genome Canada to launch new large-scale research competitions over the next three years, would support continued participation by Canadian genomics researchers in national and international partnership initiatives, and would maintain Genome Canada's operations and the operations of the regional genome centres and science and technology innovation centres until the end of 2016-17.

We owe a lot of gratitude to our Canadian veterans who fought with bravery and courage for the freedom we enjoy today. We will always be indebted to them for the great sacrifices they made. Our government stands up for veterans, and that is why in Bill C-60 we are improving the war veterans allowance program. This program provides assistance to low-income veterans of the Second World War and the Korean War, as well as their survivors. Under the current program, a veteran's total calculated income includes a disability pension provided by Veterans Affairs Canada. This pension is automatically deducted from the amount of benefits available to veterans and survivors under the war veterans allowance. Amendments in Bill C-60 will no longer allow the government to take the disability pension into account when determining eligibility and in calculating benefits provided under the war veterans allowance. Under this government, veterans will be taken care of and will never be forgotten.

An investment in Canada's public infrastructure creates jobs and economic growth and provides a high quality of life for families in every city and community across the country. Canada's economic prosperity is supported by a network of highways and roads, waste water infrastructure, transit systems and recreation and cultural facilities. This network reaches into every community and touches every Canadian. In recognition of the importance of efficient prosperity and quality of life, our government has made significant investments since 2006 to build roads, bridges, subways, rail and much more.

In Bill C-60, we are continuing this support through the community improvement fund. This fund includes $21.8 billion over 10 years through the gas tax fund payments. Currently at $2 billion per year, we are proposing that these payments be indexed at 2% per year starting in 2014-15, with increases applied in $100-million increments. The list of existing eligible investment categories would be expanded to include highways, local and regional airports, short-line rail, short-sea shipping, disaster mitigation, broadband and connectivity, brownfield redevelopment, culture, tourism, sports and recreation. The fund would also include $10.4 billion over 10 years under the incremental GST rebate for municipalities to provide communities with additional resources for the maintenance and operation of existing public infrastructure and facilities.

Canada's gas tax fund would provide predictable and long-term funding for Canadian municipalities to help them build and revitalize their public infrastructure assets.

I am proud of the investments our government is making with Bill C-60. I and the residents of Oxford look forward to the speedy passage of Bill C-60, and I encourage all parliamentarians to seize this opportunity of unity in Parliament and give Canadians what they deserve, and in many cases, what they desperately need.

[Mike Sullivan, NDP, York South—Weston, ON]

Mr. Speaker, I thank my colleague for his comments. However, he has not dealt with one of the biggest issues facing us, and that is the lack of democratic action on this bill. We are not permitted to discuss it in the House of Commons beyond the end of today, and we have been told that there will be only five days of debate in committee. With five days for 50 bills at two hours a day, that is about 10 minutes for each bill to be studied in committee.

I am wondering if the member would comment on the democratic deficit we seem to have encouraged, at this Conservative government's urging, by limiting debate on things he claims are very important, such as the increase in the gas tax. As I pointed out earlier, it will not take effect until there have been three more budgets, and those three more budgets will probably not be studied in any great detail, because the government is so fond of limiting debate.

[Dave MacKenzie, Conservative, Oxford, ON]

Mr. Speaker, what my colleague forgets is that this is going to a number of committees, and there will be debate at those committees, so it is not being limited.

The member went on about the municipalities and the money. I would remind him of what the Federation of Canadian Municipalities said about budget 2013:

Today's budget delivers significant gains for Canada's cities and communities. We applaud the government for choosing to continue moving our communities forward even as it meets its immediate fiscal challenges.... By maintaining and extending unprecedented investments in our cities' infrastructure, it will spur growth and job creation....

I do not know why the other side would not get behind this budget and get it passed in a hurry.

[Judy Sgro, Liberal, York West, ON]

Mr. Speaker, I could not help but comment on all the smoke-and-mirrors talk about what the future is going to be. I would hope that things were just as rosy as the picture the government is painting, but the reality tells us that it is not the way previous commitments and suggestions have been.

On infrastructure, as far as what cities require, they had no way to say anything else, because if they had said anything else, FCM and the cities would have been muzzled, the same way our scientists, researchers and many anti-poverty groups have been muzzled. As far as what FCM said in response, what else would Conservatives expect them to say?

[Dave MacKenzie, Conservative, Oxford, ON]

Mr. Speaker, I guess doing publications and papers and so on is muzzling. I would say to my hon. colleague across the floor that this is a good budget. The Federation of Canadian Municipalities knows the difference between this government and the former government.

Workers in this country know the difference. They know about the $48-billion EI surplus taken out of their funds. Municipalities in Ontario and across the country remember the $25 billion the Liberals took out of social transfers.

This is a good government. The municipalities in the Federation of Canadian Municipalities recognize this.

[Jeff Watson, Conservative, Essex, ON]

Mr. Speaker, my colleague from Oxford knows very well the importance of the auto industry, with Toyota in his riding and with the supporting parts sector growing as well. I wonder if the member would comment on both the renewal of the auto innovation fund and the advanced manufacturing fund. What could that mean across southern Ontario and for the Canadian economy?

[Dave MacKenzie, Conservative, Oxford, ON]

Mr. Speaker, we not only have a Toyota plant in my riding, we have a General Motors CAMI plant in my riding.

Both of those funds are essential to the Canadian auto industry as we move forward. We compete around the world, but we also compete with our American neighbours. Keeping the Canadian auto industry strong is important to ridings, not just for the auto plants but for all the supplier industries across Ontario that supply these plants. Our government recognizes the importance of manufacturing, and certainly, my riding is a beneficiary of those things.

[Judy Sgro, Liberal, York West, ON]

Mr. Speaker, if we would just let loose a bit, we could really have quite an interesting debate on the budget in this House. We could really talk back and forth with one another about what we think should be in there versus all the fantasy comments being made.

It is a very convincing argument, if somebody on the other side is actually listening to it and believing it. Again, that is what governments do. I have been there. We stand up and promote our budgets and say that they are the best thing since sliced bread. We all do it. However, our job on this side at the moment is to ensure that we show its flaws.

I am happy to be standing here and speaking. This will be the 10th budget I have been asked to evaluate and vote on since I was elected to the House, so I have been around long enough to have seen them from all sides. In that time, I have seen both good and bad fiscal plans. Again, I have to say that I think budget 2013 is probably the most disappointing because of the federal fiscal strategy we are being asked to consider. It is not a strategy I think Canadians would really want us to support.

Let us have a bit of history. In 2006, the Conservative government came to power by making outlandish guarantees, and the Canadian public, or 39% of it anyway, bought those outlandish guarantees. In fact, the Conservatives promised to leave any notion of Conservative fiscal tendencies buried in a sea of red ink. At the time, the Prime Minister made the absurd commitment that he would somehow reduce taxes while also making radical spending increases, and we all know that this does not work. Of course, what did the Prime Minister do? He increased spending, a move that erased the $14-billion surplus the Conservatives inherited from the Liberals when they came into power. What did they do with that? They immediately turned around and invested it. Some people would say that they used that $14 billion of taxpayer money to buy the votes for the next election. Whatever happened, they got $14 billion and spent it very quickly. I can only imagine that Brian Mulroney would have loved to have had something like $14 billion to spend on all the things he wanted to try to achieve with a majority government.

Unfortunately, once the Prime Minister had recklessly spent the cupboard bare, he started increasing income taxes, payroll taxes. Then the Conservatives found new and creative ways to levy hefty fees and tariffs on everyday essentials, such as cancer wigs, household appliances, home heating oil and even blankets. Then, of course, what came? It was a severe rollback of vital income supports and social systems that low-income Canadians rely on each day for survival. The current government slashed support for seniors; attacked middle-class families; and advanced policies that all but slam the door on anyone who is sick, elderly, underemployed or generally working class.

However, this is not the first time Canada's finances have been run into the ground at the hands of the so-called Conservative Party. The last time a Conservative government actually balanced a federal budget in Canada was 101 years ago, in 1912. I know that the Conservatives would like to rewrite history, but they cannot erase everything. That is clearly in the history books. The last time any Conservative government ever balanced a budget was 101 years ago. When we hear all this wonderful pie-in-the-sky stuff, we have to keep that in mind. That Prime Minister was Robert Borden. He too inherited a surplus from a good Liberal predecessor, Sir Wilfrid Laurier. Just as the current government did, Borden managed to maintain it for only one year before dropping into deficit. It sounds as if our current Prime Minister is following the Borden example through excessive spending and reckless budgeting.

Between 2006 and 2008, the Conservatives put Canada back into the red, well before, not after, there was any recession. Well before, we were already in debt. Despite their rolling promises of restraint and prudence, they have not balanced the books since.

Now in budget 2013, the Conservatives promise that they will eliminate the deficit by 2015. Of course, they have made that promise before, and they just cannot seem to hit their targets. So far, the Conservatives have missed every target, but they expect us to believe that on the eve of the next federal election, somehow they are going to have fixed up the mess and will have balanced the budget.

I think a closer look at the financial plan would provide every reason for all of us as parliamentarians, and all of us as taxpayers, to be very suspicious of the pie-in-the-sky numbers that the Conservatives are talking about.

It has been said by my colleague from Wascana that the Conservative playbook contains seven simple tricks.

They inflate revenues by basing their fiscal planning on optimistic projections of economic growth. They ignore the reality, as they have before, that their numbers have never been correct. Time and time again their forecasts have been proven to be wrong, as both the IMF and the Bank of Canada have done once again in the past month.

They also create the illusion of financial flexibility. Conservatives have lowballed the reserves that should be in place to serve as fiscal shock absorbers against future economic setbacks. They have no contingency plan other than spending on the national credit card.

When a government department does not use all of its budget, the excess money lapses back to the treasury. The Conservatives are counting on very large lapses over the next several years. In other words, they are making big announcements, hoping that everything will go the way they want it to go.

While cracking down on those who do not pay their taxes is an absolute necessity, and for that we give them two points of credit, the Conservatives claim of a balanced budget depends heavily upon quickly collecting billions in unpaid taxes. That seems highly improbable, given that they are also chopping millions of dollars from the same agency that is supposed to be going after the cheaters.

For big programs like infrastructure, the government claims to be increasing investments. We talked about that a bit earlier. However, any increases are actually years away, and our cities and FCM know that. It is a trick called “back-end loading”. In reality, the build Canada infrastructure budget has been slashed, not increased by $1.5 billion, in each of the next two years.

Despite false claims to the contrary, the government is increasing taxes in dozens of nefarious ways, on everything from hospital parking fees to blankets. The two biggest types of Conservative tax hikes are higher tariffs on imported goods and higher employment insurance payroll taxes. Again, this would hurt our small businesses in Canada that we need to be promoting.

Then there is the one that they are forever planning: using all these tricks to concoct the false illusion of a balanced budget by 2015. The Conservatives will claim to have met their fiscal objective just before an election, and before proof to the contrary can become available we will be back into another election.

We all know that people struggle with their day-to-day expenses, from diapers to Kleenex, to formula and healthy food. The cost of raising a family is growing in Canada. We all know seniors who rely upon that monthly OAS/GIS cheque to keep their lights on and food on the table. This is in our rich Canada. We all know of someone who is desperately looking for work so they can keep their family in their home. These are the people who budget 2013 has forgotten: working-class Canadians who do not fit into the Conservative plan.

The Conservatives are trying to trick Canadians into thinking they have the experience necessary to champion the economy, but in reality they are little more than professional grifters with a billion-dollar publicly funded advertising budget that is constantly telling us how well we are doing with the economic action plan that is paid for by them. It might be time for the Prime Minister to admit that while there are solutions, he is not thinking of them.

The budget includes a bail-in regime that would allow banks to generate capital by dipping into the savings of their account holders. The budget increases taxes and tariffs on middle-income Canadians and businesses, and the budget abdicates federal responsibility for a range of important scientific, social and economic programs.

I think budget 2013 betrays the trust of Canadians and shows just how devoid of compassion and trust they are.

[Ted Menzies, Conservative, Minister of State (Finance)]

Mr. Speaker, I feel obliged after listening to this hon. member's speech to clarify a few inaccuracies.

First, at the tail end of her speech she talked about the bail-in clause that is in the budget. I would like anyone who is listening to this to totally disregard that statement. Obviously there is a misunderstanding. I would be happy to explain to the hon. member that there is no way on earth that the banks can touch the assets of Canadian depositors. I would think she knows that. There is $100,000 that is guaranteed by the Canada Deposit Insurance Corporation. I would like to reassure Canadians that does not happen. The bail-in we are talking about would use our own contingency capital.

However, I would like to ask the hon. member if she feels she has a better understanding of economics than the top 15 economists who have continually agreed with our budget projections?

[Judy Sgro, Liberal, York West, ON]

Mr. Speaker, it is important to attempt to clarify what my hon. colleague means by the bail-in regime so that Canadians do not get concerned and pull out all of their money. There is a $100,000 guarantee in protection and all of that, but I do think it is important because it is in the budget. He should make sure it is very clear to Canadians exactly what he means on that point so we do not have Canadians panicking.

I have to say that my hon. colleague, for whom I have the utmost respect, truly believes everything he writes and says, and his ideology fits right into it. The issue is that we have had many economists say how wonderful every one of those budgets has been, and every one of them has failed to meet the point. The Conservatives have never met their budget. They project and project.

We can always find people who believe in our pie-in-the-sky dreams and hope it will go that way, but the reality is that the Conservatives have never met any of their targets yet.

[Matthew Dubé, NDP, Chambly—Borduas, QC]

Mr. Speaker, I agree with my colleague's assessment of the Conservatives' economic incompetence. The last time they eliminated the deficit was 100 years ago.

However, I do no think that the Liberals can brag about eliminating the deficit by raiding the employment insurance fund or reducing transfers and placing a heavier burden on the provinces.

In a federation, the provinces and their situation are part of achieving a zero deficit. I feel—as does the future NDP government, I hazard to say—that if the government transfers the entire debt load to the provinces, it has not achieved its goal.

I would like to give my colleague the opportunity to set the record straight. The Conservatives have failed, but if we look at the impact the Liberals' so-called zero deficit had on the real world, they have no right to boast.

[Judy Sgro, Liberal, York West, ON]

Mr. Speaker, when the Liberals were elected in 1993, we had an over $42 billion deficit left to us by the Conservative government. We were at a point where we were being chastised by third world countries about what had happened to Canada. There was no choice but to take very hard, swift action to try to get Canada back into the zone where it was supposed to be.

Paul Martin and Jean Chrétien had the courage to make the kinds of cuts that had to be made to bring everything into line, and for two or three years everybody had to suffer a little bit. However, where were we 13 years later? We ended up with a $14 billion surplus, investments going into health care, a 10-year health accord, Kyoto, the Kelowna agreement, all kinds of things moving our country forward in the way it was supposed to.

That was a tough decision to make, but the Liberals clearly had the foresight and the courage to do that. I really question the kind of budgeting there would have been if we would have had the NDP in charge at that time.

[Ben Lobb, Conservative, Huron—Bruce, ON]

Mr. Speaker, sometimes when I hear my Liberal colleagues give a speech in the House about their record from 20 years ago, it almost reminds me of some of the dinners we have attended for former sport athletes who are well passed their prime, talking about the good old days. However, the good old days are a long way away.