House of Commons Hansard #52 of the 42nd Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was women.

Topics

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

11:35 a.m.

Liberal

John Aldag Liberal Cloverdale—Langley City, BC

Mr. Speaker, as we heard this morning, Canadians have been talking about what is in the budget since the beginning of the campaign. We were elected to bring forward the many commitments included in Bill C-15. There has been a lot of discussion. Members have been talking about this over the last couple of days. Our government feels it is time to move forward with the implementation of the bill and the very important measures contained in it.

We made promises, such as the Canada child benefit, that are very important to Canadians. My constituents are looking forward to that. We need the bill in place so we can start paying those benefits to Canadians in July. Therefore, I support moving forward with the vote to get this bill in play.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

11:35 a.m.

Green

Elizabeth May Green Saanich—Gulf Islands, BC

Mr. Speaker, I am very disappointed that closure has been invoked on this bill. I did some research on the past traditions of parliament and in a 40-year period, closure was invoked 7 times. Unfortunately, under the previous government, in a four-year period, closure was invoked 100 times. I had hoped that in this new Parliament we would not see the use of closure, and I certainly hope it will be rare. I lament its use in this case because I do not see the urgency. We should be debating this properly.

Given that some measures in the bill are eagerly awaited and others could take their time, is there any one particular item that requires the risk of bringing back to this place a routine use of a measure that is an affront to democratic debate in Parliament?

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

11:35 a.m.

Liberal

John Aldag Liberal Cloverdale—Langley City, BC

Mr. Speaker, as I noted, there has been discussion on the items contained within the budget. For me, a really critical piece is the Canada child benefit. My understanding is that the legislation needs to be passed for that program to roll out.

In my riding of Cloverdale—Langley City, during the campaign and right through until today, the number one issue I keep hearing about is the cost of living for Canadians and trying to ahead, particularly families with young children. This bill would do great things for families that are struggling to make ends meet, or that want to put their kids in activities.

We need to move forward with the discussion, the vote on the bill, and the implementation of it, so we can get the funds flowing to families that need it the most.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

11:40 a.m.

Bloc

Gabriel Ste-Marie Bloc Joliette, QC

Mr. Speaker, I am pleased to have the opportunity to speak to Bill C-15, although this is the third time we have had a gag order imposed on us. I consider myself lucky to be able to speak in the House, considering the limited time we have left to debate it.

The first gag order was imposed when we were debating the bill to amend the Air Canada Public Participation Act, which was an attack on aerospace workers. In that instance, not one Bloc Québécois member was able to speak, since we did not even make it to the 34th round of debate. I therefore plan to use my time wisely.

The first point I want to raise regarding Bill C-15 has to do with tax havens. The government prides itself on having made a significant investment of $444 million to go after tax cheats and crooks who use tax havens. Unfortunately, the problem of tax havens cannot be considered part of the criminal underworld. The problem is that using tax havens is actually legal.

The changes were made by regulation. We have $200 billion in Canadian investment assets in the 10 main tax havens, including $80 billion in the largest tax haven, Barbados. It seems like the government is pulling out all the stops to fix a leaky faucet when it should be focusing on the water heater that exploded.

I would add that the government knows a thing or two about tax havens. For example, the Minister of Finance has a company that has subsidiaries in the Bahamas and in Delaware. The minister also helped draft the regulations for the insurance industry in the Bahamas, Belize, Grenada, and Turks and Caicos. These are all tax havens that might attract Canadian and Quebec insurers who want to avoid paying taxes.

The government members have a thorough understanding of how tax havens work and of this problem. They should be generous and share their knowledge with the government in order to resolve this problem.

In fact, the former associate of the Parliamentary Secretary to the Minister of Finance, whom he knows very well, also has dealings in the tax havens, in Turks and Caicos. The Liberals' vast knowledge of tax havens is nothing new. Hon. members will recall the story of former finance minister Paul Martin and his ships that are registered in the Antilles.

I call on the Liberals to use their knowledge to help the House fix the problem of tax havens. The crooks are not the problem. The problem is that the legislation and regulations were changed without the House ever addressing the issue or having a vote on the matter. I urge the government and its members to fix the problem of tax havens.

Bill C-15 contains 75 pages of amendments to the Income Tax Act and its regulations. However, it does not contain any measures to address the regulatory issue, even though there is much to be done. The government already knows that, so I urge it to take action.

Otherwise, the members of the Bloc Québécois will vote against Bill C-15 for other reasons. There is the matter of tax havens, but there are also many other problems as well. Bill C-15 is 177 pages long. We read it carefully and conducted a detailed analysis. The bill is nothing new. It repeats what was announced in the budget, which we also carefully examined.

The budget and Bill C-15 do not meet Quebec's specific needs. There is nothing for cities to help leading-edge sectors, so the budget and Bill C-15 do not support Quebec's urban areas. There is also noting for rural areas, agriculture, forestry, or the fishery. Land use, economic activity, and regional jobs are important to us. The government should have taken concrete action in that regard.

There is also nothing or very little for unemployed workers, those who have been shut out of the job market. For example, the time limit extensions and enhanced measures target oil regions and exclude Quebec. We were very unhappy and disappointed with that. The budget and Bill C-15 are particularly focused on infrastructure investments, but these investments are not well-thought-out.

There is a funding model that can be used to quickly and efficiently transfer money to Quebec and the municipalities, and that is the gas tax. During the election campaign, the government announced that it would do that. What is actually happening? Three-quarters of the funding announced will come from the old building Canada fund. Members will remember that it took 27 months, or more than two years, to create a framework agreement. People argued about the size of billboards, for example. On average it took another 15 months per project to obtain authorizations. There were discussions about the size of the flag, or they wanted this or that.

Huge investments have been announced, but they will represent a significant amount of debt. Taxpayers in every province, and also in Quebec, will have to pay down that debt. In exchange, we should at the very least have quick access to the money borrowed in order to put it to good use and launch infrastructure programs as quickly as possible.

During the election campaign, the government made a commitment to do that. In Bill C-15, in the budget, the government is going back on its word. That is very disappointing. That is one of the things that I deplore.

Once again, I was very disappointed about the money for community, social, cultural, and sports infrastructure. The money allocated for these types of infrastructure was incorporated into the propaganda funding for Canada's 150th anniversary. The amount is two times higher than the amount for the sponsorship program, and who could forget that scandal. We have to wonder about these members' memories. They are falling back into their old patterns.

The transfers and funding for health care, education, and social services in this budget are also disgraceful. These are services provided by the provinces. There are huge needs in Quebec, and this is evident in my riding and across the province. There are huge needs. These days, it is all about austerity measures. The Government of Quebec is suffocating, as are the other provinces. They have no breathing room, because that breathing room is here, in the House.

The government must restore the health transfers to at least one-quarter of funding. I remind members that in the 1970s, Ottawa funded half of health care spending. Now, we are seeing never-ending cuts, and transfers will drop as low as 18%. Health transfers need to be increased by 6% a year, so that they cover one-quarter of funding. That is the least we can do. The public is getting fewer services. Things are not going well. There are problems.

The same goes for social services and education. The government needs to play catch-up to get back to where we were in the 1990s before the brutal cuts were made.

I briefly mentioned employment insurance earlier. Extensions apply only to certain regions. These measures are not unilateral, and Quebec is being left out. That brings me to the problem of black holes.

Workers are not seasonal; jobs are. Workers do not work enough hours in the summer. They collect their benefits for a period of time, and after that, they have nothing to live on. When people rely on employment insurance for their income, they do not have enough money to save up so they can make it through the black hole. This is a great injustice that must be put right.

The same goes for the employment insurance fund. Why is it still part of the public purse? It is not separate. Over the past year, the government has siphoned $1.7 billion out of the employment insurance fund and spent that money elsewhere on other programs.

Employment insurance is not insurance anymore. It is a tax on work. Not even four out of 10 workers who lose their jobs have access to EI. It is not insurance. It is a tax. For women, only one in three workers has access to employment insurance; two out of three are excluded. For young people, it is even worse. Employment insurance is no longer really playing its role as insurance, providing people with a transition period to turn around and find new work. It is a tax on work. It is deplorable.

I am running out of speaking time, but I still have a lot to say on the innovation economy. Canada falls short when it comes to measures for business research. Quebec depends on that. We have high technology. Quebec's needs are not met in Bill C-15 and the budget. That is why we are voting against the bill.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

11:50 a.m.

Winnipeg North Manitoba

Liberal

Kevin Lamoureux LiberalParliamentary Secretary to the Leader of the Government in the House of Commons

Mr. Speaker, there is a lot in the budget implementation bill that Canadians want to see. Through the budget implementation bill, the Canada child benefit will be enhanced, and this will lift thousands of children out of poverty. For so many years, we have heard about the need to support our seniors. The proposed increase to the guaranteed income supplement will substantially support seniors on fixed incomes who need the top-up. It will be hundreds of additional dollars. These programs are going to take effect starting July 1. Bill C-15 is a progressive piece of legislation that will meet the social concerns of Canadians, along with a great deal more.

Would the member not acknowledge that a great number of Canadians will benefit from the passage of the budget implementation bill?

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

11:50 a.m.

Bloc

Gabriel Ste-Marie Bloc Joliette, QC

Mr. Speaker, I thank my colleague for his question.

I agree completely that there are some good things in the budget. It is not all black or all white. We always have to look at the grey areas. We believe that the most essential elements are missing, but it does contain some good measures.

We completely agree that the new family allowance will have a positive and real impact on families. We asked that it be tax-free, and it is, which is fantastic.

The same can be said of improvements to the guaranteed income supplement, a cause that has been important to the Bloc Québécois for quite some time. We have been asking for this since 2007, so we are very pleased to see it in Bill C-15.

We visited seniors all over Quebec. We moved five opposition day motions in the House. We got the Quebec National Assembly to pass two unanimous resolutions on this issue. Now it is included in the budget and Bill C-15. We are very pleased about that.

The budget contains other good measures, such as reinstating the tax credit for labour-sponsored funds, which will help innovative small businesses. It contains some good measures.

However, as for the essentials, the needs of Quebec, particularly concerning health transfers, how infrastructure investments are transferred, employment insurance, innovation, and tax havens, the Liberals have missed the boat, and that is what we are denouncing here in the House. I hope all that will be restored.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

11:50 a.m.

NDP

Brigitte Sansoucy NDP Saint-Hyacinthe—Bagot, QC

Mr. Speaker, I would like to thank my colleague for his speech.

I am glad that he mentioned that it was a privilege for him to rise in the House to speak to this issue. In my opinion, Quebeckers who thought they were voting for change by voting Liberal must be disappointed.

This government claims that it wants to be open and transparent, but the fact that it introduced an omnibus bill followed by a gag order clearly shows that nothing has changed. We are in the same boat we were in for the past 10 years while the Conservatives were in office.

I am also glad that my colleague spoke about the problem of tax havens because, by forgoing that revenue, the government is not playing its role as a distributor of wealth. We know that the gap between the rich and poor is widening. The 100 richest Canadians now hold as much wealth as the bottom 10 million combined.

Is the government failing to do as much as it could because it is forgoing this revenue?

Yes, the government is helping seniors, but it could have done a lot more. The government introduced measures to help lift seniors out of poverty, but it could have done a lot more in terms of employment insurance and support for regional economic development, particularly support for SMEs and innovation.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

11:50 a.m.

Bloc

Gabriel Ste-Marie Bloc Joliette, QC

Mr. Speaker, I would like to thank my colleague from Saint-Hyacinthe—Bagot for her question and her excellent comments. We completely agree that the government could have gone a lot farther.

Tax havens are the elephant in the room. The poor, the middle class, and even the upper middle class do not have a lot of breathing room. They are paying more and more and receiving fewer and fewer services. Money is getting tighter and tighter for some of these people, while special rules apply only to the wealthiest 1% or even 0.1%, who are ragging the puck, as they say.

That needs to change. It is not fair. The government could do a lot more. For example, Canadians who are eligible for the guaranteed income supplement should receive it automatically.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

11:55 a.m.

Liberal

Yves Robillard Liberal Marc-Aurèle-Fortin, QC

Mr. Speaker, although the budget was tabled in March, I rise today in the House to add my voice to those who have already praised it.

I would like to start by taking a moment to once again thank the people of Marc-Aurèle-Fortin, who put their trust in me. As I rise today, I am well aware that because of them, I have the privilege of representing them here in the House. Like all of my fellow MPs, I worked diligently and tirelessly in my riding to earn my seat here in the House. Of course, I did not take this long journey alone, and I had the help of many absolutely wonderful people. First and foremost, I got into politics because I am motivated by my constituents, who make me so proud and energize me. I am committed to helping them and representing them.

During my very first speech in the House, I said that my riding, Marc-Aurèle-Fortin, was enriched by its people. I was blessed to witness these riches myself when I had the pleasure of being invited back home to Laval to celebrate the noteworthy birthdays of two vivacious women in my riding. These young centenarians are living proof of the essence and spirit of Marc-Aurèle-Fortin, and their smiles are still contagious at 101 and 102 years old.

The Prime Minister and the government are committed to improving the quality of life for seniors, such as these two illustrious ladies from my riding who have seen this country grow through the years. Earlier this year, my hon. colleague, the member for Yukon, mentioned that one grades the success and efficiency of a country by how it treats its most vulnerable.

The government's budget helps build our society brick by brick. We are working on making our society one that looks after our seniors and the most vulnerable.

We should keep in mind the following Greek proverb: “A society grows great when old men plant trees whose shade they know they shall never sit in.” It is right and just. However, we can provide our mothers and fathers with the support they deserve. It is imperative that we treat our seniors with dignity and respect, as that is what everyone deserves.

Our government believes that this requires more than just talk, and that is why we are opting for real measures. For example, speaking of seniors' dignity, I would remind the House that the government, under the leadership of the Prime Minister, made a commitment in budget 2016 to return the eligibility age for old age security and the guaranteed income supplement to 65 rather than leaving it at 67. The previous government had increased the eligibility age from 65 to 67. Because of this shameful and prejudicial measure, our seniors, the oldest and most vulnerable members of our society were going to be hit hard and could have lost up to $28,000.

Today, the government, under the Prime Minister's leadership, has a different and forward-looking vision, one that also puts seniors at the centre of these priorities. Instead of taking away money they earned after contributing to the community for years, our budget 2016 will return the eligibility age for old age security and the guaranteed income supplement to 65.

Our government pledged to provide seniors with a secure, dignified retirement. This measure will give Canadians thousands of dollars once they become seniors. We will also increase the guaranteed income supplement by $947 per year for the most vulnerable seniors living alone. That is nearly $1,000 that will go directly into the pockets of the most vulnerable, who were, unfortunately, the first to be forgotten in the past. This measure amounts to over $670 million per year and will improve the financial security of 900,000 seniors living alone across Canada.

Nine hundred thousand seniors in Laval, in Marc-Aurèle-Fortin, and all over Canada can count on the federal government, which cares about their well-being. This government will uphold its end of the social contract stating that people who have made a life-long, honourable contribution to society should be able to relax and enjoy their golden years without constantly worrying about ending up penniless.

My colleagues and I and everyone working every day on the Hill have been pleased to see the nice weather and the return of spring and warmer days. We cannot look out at the green lawn in front of Parliament without seeing young people gathering together and having a nice time. Those young people who come out in the nice weather to the seat of Canadian democracy are part of that contract. They look forward to working and contributing to our society. We must respect their future and respect our seniors who once upon a time were the young people spending time in front of this place. We must assure these people that they will not have to be concerned about not having enough money. We must give them hope and peace of mind in their old age. When they come back to visit their Parliament, these older men and women who used to come and play here should not come back feeling bitter about this place, but feeling joyful and grateful.

For the young people and seniors of the past, present, and future, our society has to head in that direction. That is what our government promised, and thanks to budget 2016, we can proclaim loud and clear that our government took action.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

Noon

Conservative

Dianne Lynn Watts Conservative South Surrey—White Rock, BC

Mr. Speaker, the member wants accurate information, and he knows that the previous Conservative government did not raise the age to 67. In fact, that was going to be implemented in 2020. I know he wants to ensure that is correct information.

The member mentioned very eloquently the trust of his constituents and how they and Canadians across the country have given him trust. I want to ask the member if he can comment on how his constituents feel about there having been a promise during the election of a $10-billion deficit and that it is now three times that amount with no plan for a balanced budget.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

Noon

Liberal

Yves Robillard Liberal Marc-Aurèle-Fortin, QC

Mr. Speaker, I need not answer that question because the budget is clear: we are here for our seniors.

I can assure hon. members that in my riding every senior will benefit from this very logical and well-received measure.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:05 p.m.

Conservative

The Deputy Speaker Conservative Bruce Stanton

It seems that the translation was not working there.

Could the hon. member for Marc-Aurèle-Fortin repeat the last 30 seconds of his comments?

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:05 p.m.

Liberal

Yves Robillard Liberal Marc-Aurèle-Fortin, QC

Mr. Speaker, I was saying that naturally, contrary to what members across the way think, the seniors in Marc-Aurèle-Fortin are very happy with the measures that our government is putting in place. They will benefit all seniors throughout Canada and not just those in Marc-Aurèle-Fortin.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:05 p.m.

NDP

Ruth Ellen Brosseau NDP Berthier—Maskinongé, QC

Mr. Speaker, I thank my colleague for his speech in the House today.

In his remarks, he talked about the budget and the importance of supporting seniors and young people. However, the budget tabled by the Liberal government makes no mention whatsoever of agriculture, and yet we all know how important agriculture is to the Canadian economy.

The previous Conservative government had promised funding, specifically $4.3 billion in compensation for the dairy and poultry industries in light of certain trade agreements. This compensation is really important.

However, the budget tabled by the Liberal government makes no mention whatsoever of agriculture or compensation for those industries.

I would like the member for Marc-Aurèle-Fortin to comment on that.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:05 p.m.

Liberal

Yves Robillard Liberal Marc-Aurèle-Fortin, QC

Mr. Speaker, I thank my colleague for her question.

My speech this morning was really about seniors all across Canada. This does not mean that I do not support measures for farmers and measures in other areas.

Today I simply wanted to emphasize the support that we are providing to our seniors. This measure represents an investment of over $670 million a year. It will improve the financial security of about 900,000 seniors across Canada and lift 13,000 seniors out of poverty.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:05 p.m.

Conservative

Todd Doherty Conservative Cariboo—Prince George, BC

Mr. Speaker, there is a reason why my hon. colleague across the floor does not want to answer that and wants to focus on the seniors. Again, he did not answer my hon. colleague about the agriculture.

Another string of broken promises is what we are seeing with the Liberal government. The Liberals campaigned on following through with what our Conservative government laid the ground work for, lowering small business tax to 9%, and indeed, when they got into power, they decided they would keep it at 10.5%.

My question is this. Why is the government so keyed in on punishing small business? The parliamentary budget officer just tabled a report that this would cost millions in GDP and thousands of jobs throughout Canada. The Liberals are negligent toward small business, and I am wondering why they are punishing small business owners.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:05 p.m.

Liberal

Yves Robillard Liberal Marc-Aurèle-Fortin, QC

Mr. Speaker, I thank the member for his question.

It is important to understand that not only has the Minister of Finance often talked about it, but it is also included in the budget. I would ask the members to reread the budget. Maybe then they will change their minds and support it.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:05 p.m.

Conservative

John Brassard Conservative Barrie—Innisfil, ON

Mr. Speaker, it gives me great pleasure to rise today to speak to the bill. I have spoken on the budget in the past, but the budget implementation act is something that I am going to address right now.

I will say at the onset that one of the things that came out of the last election was the fact that all Canadians have a voice in this place. Every single member, all 338 of us, we have the opportunity to use our voices to speak on behalf of our constituents.

Not being a part of the previous government, I understand that there were some procedural manoeuvres that were made, but the fact that the Liberals today have invoked closure on this debate has caused me, as the representative for Barrie—Innisfil, great concern.

As a new member of Parliament, I go back to something that the hon. member for Barrie—Springwater—Oro-Medonte said this morning, and it relates to the throne speech. I think it is worth repeating at the outset of my comments that, in the throne speech, the Liberals stated that:

In this Parliament, all members will be honoured, respected and heard, wherever they sit. For here, in these chambers, the voices of all Canadians matter.

Let us not forget, however, that Canadians have been clear and unambiguous in their desire for real change. Canadians want their government to do different things, and to do things differently....

Through careful consideration and respectful conduct, the Government can meet these challenges, and all others brought before it.

By working together in the service of all Canadians, the Government can make real change happen.

Well, what hypocrisy that today, a lot like in the medically assisted dying debate, the Liberals would invoke closure and not allow Canadians to have a voice on this and the previous bill. I am fortunate to be able to rise on behalf of my constituents, as I was not given the opportunity to speak on medically assisted dying because of that debate being closed.

I want to focus, in the short time I have, on three things. One is what I referred to, in previous comments I have made in the House, as the middle-class tax fraud, or the reduction of the middle class in terms of tax implementation; the shell game that the Liberals are playing. I want to use some very specific examples of that.

The second thing is the innovation sector. I want to speak specifically on that, given the fact that Startup Canada was here last week and I had some very productive meetings, as did my colleagues. I want to speak on behalf of the innovation sector.

The third thing, if I have time, is infrastructure.

As it relates to the middle-class tax fraud, what we are seeing in the budget is that what the Liberals give, the Liberals take back. I use the example of the child care benefit. I would classify a firefighter and a nurse with a combined income of roughly $180,000 as middle class in this country. They actually would be worse off because of the child care benefit. In fact, under the Conservative plan, that same firefighter and nurse would have received almost $240 a month, but under the current Liberal plan, they would only receive $112 a month. In fact, those we could classify as middle-class Canadians would actually be worse off. Granted, there would be some Canadians who were better off, but I think the majority of Canadians, or a large part of Canadians, would actually see less.

What is also disturbing with this shell game that the Liberals are playing with the budget is that we have heard the talking points, we have heard the Minister of Finance stand up in this House and talk about nine million Canadians and all of the rhetoric that goes with it, but there are certain facts in the budget that prove that this is a middle-class tax fraud.

The fact is that the fitness tax credit would be removed. Since 2006, Canadians have benefited to the tune of $1.13 billion in tax relief. Since 2011, there was the arts and activity tax credit, from which Canadians have benefited to the extent of $190 million; and income splitting would be gone for Canadians, at $2,000 a year. As I said earlier, what the Liberals give, the Liberals take back.

What are middle-class Canadians getting for that in this shell game? They are getting burdened with deficit and debt, not unlike my home province of Ontario. We are seeing services cut and taxes go up, and it is just an inevitability.

I know that the finance minister and the Prime Minister have stood up and said that now is the time to invest in infrastructure, and saddle on some burden and debt. There is never a good time for that. In fact, when I was in Washington recently at the National Governors Association conference, some of the top economists in that country were talking about a pending recession.

They were saying that we are actually six years into what is normally a five-year cycle for recession. When that happens, and when we are being crippled with debt, it is going to be awfully difficult, if we do enter into that recession—and this is why governments need to plan ahead—to do what we need to do to take care of the most vulnerable in our country, including many within the middle class.

Last week, as I mentioned earlier, Startup Canada was in town. Many of us in this chamber actually met with them. I had the opportunity to meet with the person I would consider is one of the brightest micro-entrepreneurs in this country, Chad Ballantyne, and his wife, Sandra. They talked a lot about the innovation agenda.

I asked Chad, if he had a couple of minutes to speak to Canadians, what he would say to them. Chad wrote me a long email, and I would like to share some of what Chad said. He said:

[The] Prime Minister...charged his leadership to “develop an Innovation Agenda that includes: expanding effective support for incubators, accelerators… These investments will target key growth sectors where Canada has the ability to attract investment or grow export-oriented companies.”

Startup Canada would merit a seat at the table when the advisory council for the innovation agenda is established. Startup Canada, with its vision of an innovation nation, has in place the only nationwide network to support, nurture, and educate entrepreneurs as they launch and build their companies.

Startup communities, like ours in Barrie, Ontario, are the connective tissue bringing together the entire entrepreneurship community, ensuring the healthy functioning and optimization of an economic and social ecosystem supporting every entrepreneur.

Startup also feels that an innovation agenda should include the entire startup ecosystem and ensure that it does not become too narrowly focused. The agenda proposes pouring investment into a handful of clusters. This is too narrow a focus, and limits the investment opportunity to only later-stage enterprises and R and D tech sectors, and ignores the early-stage startups in service-based companies, which are the foundation of our economic engine in Canada.

There is little, if any, funding for these communities in this budget, and companies that are post R and D, despite their sector focus, recommend to fund innovation throughout the entire ecosystem and support the more than 150,000 people who are a part of micro-entrepreneurs, the startup communities in this country.

Last, on the issue of infrastructure, I know a lot has been said with respect to infrastructure. I said this earlier, when I was speaking on the budget, and we heard it earlier today from the Bloc Québécois member. The easiest way to make sure that infrastructure money flows out that door is to do something with the gas tax, either double it or triple it.

The Liberals have put billions toward infrastructure. One of the things they said during the campaign was that infrastructure was not effectively a Liberal issue, a Conservative issue, or an NDP issue; it was a Canadian issue. The purest, fairest, and simplest way, in order to ensure that communities across this country get what they need in terms of infrastructure with criteria that are already in place, is to make sure we use the gas tax formula as a means to do it.

Over the last couple of weeks and months, we have been seeing a lot of announcements by the Liberal Party in Liberal-held ridings. We need to make sure the money gets to communities that need it. It does not matter whether it is Cariboo—Prince George, Nanaimo—Ladysmith, or Barrie—Innisfil; there is a need across this country, and using the gas tax formula to provide infrastructure funding, to me as a former city councillor, is the purest and only way to ensure fairness and transferability in that system.

In the past, the member for Spadina—Fort York has said that municipalities have used the gas tax funding to decrease taxes in their municipalities. I have not seen any evidence of that at all.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:20 p.m.

Winnipeg North Manitoba

Liberal

Kevin Lamoureux LiberalParliamentary Secretary to the Leader of the Government in the House of Commons

Mr. Speaker, in addressing the budget, the member brought up the really important issue of investing in Canada's infrastructure. He made reference to his previous role as a councillor. I agree it is important to recognize that Canada has a great deal of infrastructure that needs to be worked on and improved. That is why we will find that not only does the budget have the largest amount of money being allocated toward infrastructure but we are looking at investing today in Canada's infrastructure.

The member understands the importance of getting the money to the different communities. I am sure he would agree that by investing in Canada's infrastructure we are, in essence, building a healthier and more robust economy, because often infrastructure feeds into economic activity in creating opportunities for Canada's middle class and beyond.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:20 p.m.

Conservative

John Brassard Conservative Barrie—Innisfil, ON

Mr. Speaker, when we look at the budget and the deficit that is being created, a lot of it goes to ongoing programs. Again, it comes back to the shell game.

As a former city councillor, I can speak to the infrastructure deficit. I was chair of the infrastructure committee, so I know full well what the infrastructure deficit was in the city of Barrie, and it kept growing every year. There is no question that an infrastructure investment is required. In fact, the previous government made significant infrastructure investments.

What I am talking about is not politicizing the fact that these infrastructure investments need to be made in communities. There is only one way to not politicize that, and that is to use the gas tax formula.

For example, the City of Barrie receives $1.8 million a year in gas tax money. If we doubled or even tripled that, it could improve the transit system in my city by being able to purchase six buses. It does not politicize the process. It gets the money to where it needs to go so that all of Canada can benefit from infrastructure investments, not just Liberal ridings.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:20 p.m.

Conservative

John Barlow Conservative Foothills, AB

Mr. Speaker, I want to thank my colleague for the hard work he is doing in terms of industry and innovation.

In his speech he talked about another program that is being impacted by the budget bill. That is the children's fitness tax credit. I remember when the previous government brought in that tax credit in 2006. It was a huge benefit to my wife and me. We had a child in hockey, a daughter in volleyball, and another daughter in dance. I know how much that children's fitness tax credit meant to us as a low middle-income family.

As I was going around my riding this past election telling constituents that not only would we protect the children's fitness tax credit but we would double it to $1,000 per child, the feedback I got was overwhelming. It was absolutely phenomenal how many people were in support of that, how many people took advantage of it, and how important they felt it was to ensure that their kids remained healthy and active and could participate in some of these programs.

This is a program that benefited every single Canadian family with children. I would like to ask my colleague what he feels the impact is going to be on Canadian families and our children by eliminating the children's fitness tax credit.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:20 p.m.

Conservative

John Brassard Conservative Barrie—Innisfil, ON

Mr. Speaker, my family is the epitome of a middle-class family. I have four kids and a beautiful wife. All of them have been active in sports. We have, as a middle-class family, used that fitness tax credit to our advantage. In the overall scheme of things, it may not have been much, maybe a $150 tax credit, but multiply that by four children and that meant $600 in tax relief for my family.

As I said in my presentation, the fitness tax credit since 2006 has benefited Canadian families to the tune of $1.13 billion. That is $1.13 billion that those families have been able to use to put their kids in sports.

From a fitness and health standpoint, we as members of Parliament should be encouraging families, not discouraging them by taking away these types of credits to put their kids into physical activities, because that physical activity helps in the overall health and wellness of the children of our country.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:25 p.m.

Liberal

Bobby Morrissey Liberal Egmont, PE

Mr. Speaker, it is indeed an honour and a pleasure for me to rise in the House today as the newly elected member of Parliament for Egmont to speak to Bill C-15.

Before I get to my comments on the budget, I want to acknowledge the situation that is occurring in our sister province of Alberta, primarily the community of Fort McMurray. After all, the oil industry of Alberta and Saskatchewan is the single biggest employer in my riding. We depend on this part of Canada for a lot of the jobs that are created there.

I want to acknowledge as well that islanders will be there to support the community of Fort McMurray in its time of need. We are a generous society; Canadians in general are generous, and we all reach out to those in Fort McMurray.

For the last number of weeks, since the budget was introduced, I have listened intently to the debate in the House and to questions in question period. I have listened to opposition members rail on at length with their comments on the government's deficit budget. Listening to their newfound concerns and their degree of anxiety over the deficit budget, I chose to take a look at the fiscal track record of former governments over the past number of years.

It is interesting to look back at the fiscal situation over a number of years in this country. In particular, I looked back to 1994-95, which was the first year of a new Liberal administration, following nine years of a Conservative government in this country. In 1994-95, the debt-to-GDP ratio was near 70%, after nine years of Conservative rule. By 2006, at the end of roughly 12 years of a Liberal administration, the debt-to-GDP ratio had been reduced to below 30%. Shortly after, the debt-to-GDP ratio under a new Conservative government began to climb, and climbed to over 30%, the number where it is today. When I compared the fiscal situation that was inherited by a Liberal government in 1993-94 and the fiscal track record of the previous Conservative government, we can see how the debt-to-GDP ratio ballooned under that particular government.

I wanted to look more specifically at the past years of the former Conservative government, now the opposition. In 2006-07, the government inherited a surplus of $13.8 billion, adjusted to $16.2 billion. In 2007-08, the surplus was at $9.6 billion, but by 2008-09, the Conservative government began to run a deficit of $5.8 billion in 2008-09. In 2009-10, it was $55.6 billion, adjusted to $61.27 billion. In 2010-11, it was $33 billion, adjusted to $36 billion. In 2011-12, it was $26 billion to $27 billion. In 2012-13, it was $18 billion. In 2013-14, it was $5 billion.

Obviously, the comments now coming from the opposition party, which was the government at the time, clearly show that the government they were a part of had no problem running deficits in this country, in fact sizeable deficits. I am told, but I could be corrected, that the deficit accumulated over that period of time was one of the largest this country incurred in any particular period.

Where are we today? Our party was honest and frank with Canadians during the election. We indicated that given the deteriorating fiscal situation, it was unlikely that in government we would be able to run a surplus. We indicated that given the fiscal situation at the time and the information our party had, we would anticipate a deficit in the $10-billion range in order to implement the programs that we wanted to implement.

My colleague the member of Parliament for Cumberland—Colchester gave me some good research material which indicates that with the drop in the price of oil per barrel, the federal treasury has lost in the vicinity of $18 billion since late last summer until now.

As a government we could have done a number of things. We could have reined in spending to do away with that deficit, but that would have forced us to abandon a number of the programs that we campaigned on, that we believed in, and that we felt this country needed.

I firmly believe that the government's fundamental role is to address the needs of the most vulnerable. For too many years this area has been neglected and significant effort will need to be made to address these matters. Over the last 30 years, Canadians at the top 0.1% have seen their income rise by about 155% and some 90% of Canadians have seen their income rise by only 33% over the same time frame. Clearly something had to change.

The platform that I was most proud to run on as a candidate in the last election and a key part of the budget that I am proud to support and defend is our position on the child benefit. The child benefit is simpler, fairer, tax-free, and targeted to those who need it the most, low-income and middle-income families. It is also much more generous than the former program. I can relate to one family in my riding that would benefit significantly by this program. There are 5,111 children enrolled in the school system in Egmont. The average family will benefit by $2,300. There are 4,150 families in my riding of Egmont. This adds up to $9.545 million for my constituency alone, which is a small constituency.

What had an impact on me the most during the election campaign was the financial distress that single seniors were feeling. As a candidate, that really had an impact on me. I was surprised at the extent of the financial hardship faced by single seniors, the majority of whom are women.

Our commitment to not only increase the GIS by 10% but to restore the age of eligibility to 65 is a significant component of our budget. I want to quote a fact. According to researchers at Laval University, the Conservative plan would have increased the number of 65-year-olds and 66-year-olds living below the poverty line from 6% to 17%. We in the Liberal Party felt that was unacceptable. We feel that we owe this segment of our population a reasonable living.

I am proud of these two significant changes that would be brought about by the passage of the budget. When the budget is implemented, people will see the benefits.

I want to close on another area where we have seen significant reform. At the same time, I will be a bit critical of my own government. This has to do the changes we have made to the employment insurance system. As a government, we should always target changes to address the most vulnerable in society. On this measure, we did not meet the needs of the short-term seasonal workers in my riding by extending their benefit period. We did it for some parts of the country, which I applaud. We made a lot of significant improvements to the system. However, on this one area, I feel we have a lot more work to do. I look forward to continuing the work on those issues in the coming sessions of Parliament and budgets.

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

12:35 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

Mr. Speaker, I would like to clear up a few rather disingenuous comments made by my colleague with respect to past history.

The truth is that the Mulroney government inherited a massive deficit from the Liberal government. The deficits it ran were solely due to interest payments. It actually had a balanced operations budget. When the Liberals took over after that, they continued massive spending only until they hit a debt wall. They then balanced the budget on the backs of massive health care cuts to Canadians and to our military. Therefore, that is not a record on which I would run. Our previous government then balanced the budget, including the increases to health care.

The member across the way made a comment about the election campaign and his government being “honest and frank” about the finances. The Liberals then broke their promise with respect to the deficit. The $3 billion home health care promise was broken. There is no money in the budget for that. They broke their promise that their tax cuts would be revenue neutral. They broke their promise on cutting taxes for small business.

How is that honest and frank?

Second ReadingBudget Implementation Act, 2016, No. 1.Government Orders

May 10th, 2016 / 12:35 p.m.

Liberal

Bobby Morrissey Liberal Egmont, PE

Mr. Speaker, we were the only party that was candid during the elections. Given the fiscal situation we could see at the time, we were unlikely to balance the budget. In fact, we indicated that we would run a deficit that could exceed the $10 billion range, while the other two mainline parties, the Conservatives and the NDP, said they would balance the budget. Therefore, one would have to ask this question. In order to be at a balanced budget today, given what happened dramatically in the fall, and continues today with the decline in oil prices, in which areas would a Conservative or NDP government make cuts?

We have made it clear that we would invest in Canadians. We have brought in measures, such as a tax cut to the middle class, the child tax benefit, and an increase in seniors pension, all of which are investments in Canadians.

Small businesses need customers with money in their pockets to spend. That is the most important part for a small business. It has to make a profit before it pays taxes. To make a profit, it needs to have customers with money in their pockets and the ability to spend. That is what is most important for small business.