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

12:35 p.m.

NDP

Brigitte Sansoucy NDP Saint-Hyacinthe—Bagot, QC

Mr. Speaker, our colleague spoke with pride about his last election campaign, but I am certain that the voters in his riding who voted for him voted for change and the promise of greater openness and transparency.

We agree that a budget is important. Now, the Liberals have introduced a 179-page omnibus bill. Parliamentarians are being gagged. Given that they were promised change, Canadians were not expecting such an undemocratic move.

The Liberals campaigned in Atlantic Canada and promised real employment insurance reform. However, the Atlantic regions are not among the 12 regions entitled to supplementary unemployment benefits. Can my colleague tell me whether that is what the people of Atlantic Canada were expecting in the way of employment insurance reforms?

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

12:40 p.m.

Liberal

Bobby Morrissey Liberal Egmont, PE

Mr. Speaker, of course we delivered changes to things on which we campaigned. We changed the tax rate for the middle class. We changed the child benefit, which has a significant impact for those most in need. We changed the GIS for single seniors. We changed significant parts of the employment insurance system for the better. We changed the infrastructure program. In fact, we adjusted the criteria that the former government had put in place for the provinces on the east coast as it was impossible for them to spend money and invest in their communities.

I am proud of the changes we have brought in, but we have more work to do in some areas. My hon. colleague will see that in my comments I was equally critical of my own government.

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

12:40 p.m.

Conservative

Gérard Deltell Conservative Louis-Saint-Laurent, QC

Mr. Speaker, I salute all my colleagues in the House and everyone watching us debate the budget.

We are extremely disappointed with the turn of events. The government wants to muzzle the House and parliamentarians in this very important debate. I will come back to that at the end of my speech.

First of all, this budget is totally irresponsible because it confirms that the government has lost control of public spending and it will be our children, grandchildren and great-grandchildren, who are not even born yet, who will have to pay for today's excesses.

On election day, October 19, Canadians spoke. We are democrats and therefore respect their decision. However, what was the state of public finances? The previous government, with the hon. member for Calgary Heritage at the helm, had the best economic performance in the G7. In fact, in economic matters, it won the G7 triple crown. We had the best debt-to-GDP ratio. The current government boasts that it has the best ratio, but members should not forget that we are the ones who generated it.

Second, our country bounced back from the economic crisis of 2008-10 more quickly than any other country. We also had the best job creation rate. Under the former government, Canadians had the lowest taxes in 50 years.

The Department of Finance found that in November, when the Liberals took office, there was a billion-dollar surplus. That is the situation. I am always pleased to quote the Department of Finance's well-known “Fiscal Monitor”, which I always have at my fingertips. We have tried to table it about 50 times, but the Liberals refuse to face the truth.

This is the Canada that the Liberals inherited: a Canada that had a budget surplus, a Canada that had the best debt-to-GDP ratio, and a Canada whose economic performance was recognized around the world as being the best in the G7. What is more, Canadians had the lowest taxes in 50 years. In short, everything was on track, economically speaking.

However, then the Liberals took office and started racking up deficits and debts left and right. Let us look at each of the promises that the Liberals made and broke concerning sound management.

First, let us look at tax changes. The Liberals bragged about wanting to be like Robin Hood by taking from the rich to give to the poor. They said that they wanted to make revenue-neutral tax changes.

They cannot say that anymore because those tax changes resulted in a $1.7-billion deficit. The money that they promised is money that they do not have. We too want to give money to people. We lowered taxes, but we did it in a realistic and responsible way, and we still managed to balance the books in the previous government's last budget. The Liberals were elected on the promise that they would make tax changes without going into debt, which is completely untrue since the changes that they made resulted in a $1.7-billion deficit.

The same is true for assistance for children. The Liberals are proud to say that they are thinking about families and children, that they want to bring children out of poverty, and that this will all cost nothing. However, that is not how it works. That is not reality. Their measures resulted in a $1.4-billion deficit.

They accumulated a $3-billion debt on these two commitments. That is the irresponsible management we keep hearing about. That is why we think these people have lost all control over public finances and that they are acting in an unrealistic and irresponsible way. It is all well and good to promise the moon and the stars, but you have to have the means. In this case, they do not.

What is most absurd is that the Liberal Party promised small $10-billion deficits, which have now become big $30-billion deficits. Not only was this a bad promise, but it also caused a real financial disaster. It was completely unrealistic and irresponsible.

The Liberals did not keep their promise to Canadians. The Liberal Party was elected by promising a small deficit and by saying that they would achieve a balanced budget in three years. This is completely untrue. This year, the deficit is $30 billion, and who knows if the government will even be able to balance the budget in the next four or five years. Some estimate that our deficit could hit $150 billion. That is completely unacceptable, unrealistic, and irresponsible for our future generations.

That is why, in this situation, we really have two contradictory visions, specifically the vision of a responsible government that made tough but necessary decisions, compared to the vision of the current government, which is governing as though nothing was wrong, has lost all control over public spending, and plans to compulsively run up deficits, one after the other.

It is not at all pleasant, especially given that this government's budget contains an appalling clause to abolish the Federal Balanced Budget Act. It is completely irresponsible, especially since on page 51 of the budget document, it states, “The government remains committed to returning to balanced budgets, and will do so in a responsible, realistic and transparent way.”

Two pages later in the same document, there is a statement saying that the Federal Balanced Budget Act must be repealed. They say one thing, and then two pages later, they say the exact opposite, which is so typical of the Liberals.

What is more, regarding this string of deficits, about two weeks ago, the Minister of Finance, an honourable man who had a distinguished, responsible, and exciting career in the financial world, said that we were stuck in this whole balanced budget thing.

Of course we are stuck on that. That is how to manage things properly. I am very proud to be stuck on balancing the budget. That is the Conservative Party's trademark, and we are very proud of that. Meanwhile, what are they doing on that side of the House? The Liberals are running deficits like mad one after the other, and that is totally unacceptable.

Let us talk about creating wealth. To the Conservative Party, the real creators of wealth are entrepreneurs and small and medium-sized businesses. They are the ones who create employment, wealth, and the necessary economic stimulus.

A government does not create employment. A government needs to support businesses in order to create employment, but not tell them what to do. We respect SMEs, unlike the hon. member for Papineau, the current Prime Minister of Canada, who said not so long ago that the wealthiest Canadians use small businesses to avoid paying taxes. Such behaviour is insulting to those who create employment.

When the Prime Minister said that, he might have been looking in a mirror, because the Prime Minister, the hon. member for Papineau in Quebec, filed his tax return in Ontario in order to save $6,000 in tax in Quebec. He had four numbered businesses to save on taxes. As the saying goes, “Do as I say, not as I do.”

In this case, the Prime Minister could tell us what he did and why he is contemptuous of small businesses, because he thinks that small business owners are people who want to reduce their tax bill. The Conservative Party believes that small business owners are people who risk their own money to create jobs and wealth, and we owe them respect.

What is in this budget for SMEs? Absolutely nothing. If it was simply nothing, it would not be so bad, but things are even worse. In fact, some measures directly attack small businesses. We were on a roll and had promised to reduce the corporate tax rate. Poof, no tax cut. Our government proposed tax credits to create jobs. Poof, they are abolished.

Consequently, according to the Department of Finance, these bad Liberal measures will cost SMEs another $2 billion. What I find insulting is that there is no respect for SMEs, there is no help for them, and some measures are detrimental. This Liberal attitude deserves to be condemned.

The same goes for retirement age. Yes it was bold, but it was a realistic and responsible move on the part of our government to raise the retirement age from 65 to 67. Our prime minister made that well-thought-out, responsible choice, and he gave plenty of notice. He announced it in 2011, but it would not have come into effect until 2023. People would have had enough time to adjust.

Who agreed with that measure at the time? The current Minister of Finance. In a book, he wrote: “It would also alleviate any shortages in the workforce due to the aging of the population....Phasing in the eligibility age...from 65 to 67 is a step in that direction”.

That is what the current Minister of Finance said before he became a Liberal Party of Canada flag-bearer, unfortunately.

This budget is completely unrealistic and irresponsible, and it plunges us right into a disastrous deficit spiral. It always makes me laugh when Liberals talk about the Right Honourable Paul Martin. Paul Martin hated deficits with a passion. I think it is a bit unseemly of them to mention Paul Martin.

Most of all, we strongly condemn the fact that the government is going to shut down this important debate. Earlier, one of my colleagues pointed out that this is yet another broken throne speech promise. What was it the throne speech said?

It said, “[The government] will not resort to devices like prorogation and omnibus bills to avoid scrutiny”. That is exactly what is happening today.

That is why we are going to vote against this budget.

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

12:50 p.m.

Liberal

Francis Scarpaleggia Liberal Lac-Saint-Louis, QC

Mr. Speaker, it is true that companies need to create jobs and wealth, but the government needs to build trust. The previous Conservative government did not do that.

With regard to the deficit, if the deficit that we announced was any cause for concern, then the financial markets would have reacted negatively. However, they did not react to the announcement of a deficit. Who then is right, the hon. member or the thousands of investors who invest in the financial markets and did not react to the news of a federal budget deficit?

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

12:50 p.m.

Conservative

Gérard Deltell Conservative Louis-Saint-Laurent, QC

Mr. Speaker, the reason why the markets reacted positively is that we have the best debt-to-GDP ratio, which was generated by the previous Conservative government. That is why it is too bad that the current government is squandering the financial legacy that we left. I would like to remind the government of that because it is important that we compare ourselves to the best and not just to two or three other countries.

Canada's debt-to-GDP ratio, economic recovery, and rate of job creation were the best in the G7, and Canadians had the lowest taxes in 50 years.

That is the Conservative track record and that is why the economy always did so well under the government led by the right hon. member for Calgary Heritage.

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

12:50 p.m.

NDP

Brigitte Sansoucy NDP Saint-Hyacinthe—Bagot, QC

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

He referred to the throne speech, but the change announced in that speech was in relation to the previous Conservative government, which kept introducing omnibus bills and imposing gag orders on parliamentarians. I know that my colleague was not a part of that government. As he said, we are democratic. I know how much respect he has for the workings of Parliament and this institution.

Does he not find it strange that the Liberals are perpetuating the Conservative practice of imposing omnibus bills and gag orders?

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

12:50 p.m.

Conservative

Gérard Deltell Conservative Louis-Saint-Laurent, QC

Mr. Speaker, I thank my colleague from Saint-Hyacinthe—Bagot. I will not forget the name this time. I have had the great pleasure of working with her on Bill C-14.

Six months ago, Canadians had their say. We are democratic and we respect their choice. If we had been perfect, we would not be on this side of the House. Each government has its own experiences. The reality is that these people got elected by making promises, and now they are doing the complete opposite. That is the reality. These people got elected by promising that there would be a small $10-billion deficit. How big is the deficit now? It is $30 billion. They got elected by promising that they would make tax changes without any cost to the public, but those changes will cost $1.7 billion. These people were elected on a platform, but they are not following through on it.

This is insulting, and it only adds to Canadians' cynicism about politics.

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

12:55 p.m.

Conservative

Pat Kelly Conservative Calgary Rocky Ridge, AB

Mr. Speaker, I thank my colleague from Louis-Saint-Laurent for his excellent remarks. I was particularly struck in his remarks by the way he itemized the number of broken promises that this budget represents: the broken promise on a limited deficit, the broken promise to small business owners.

However, among the litany of broken promises that the member referred to, there was one that I will ask if he would care to comment on. A key promise that the Liberals made in the election was a return to a balanced budget, and that promise is completely out the window, without any plan that any of us can see for how we are going to return to a balanced budget.

We now have a structural deficit, as opposed to what most Canadians understood as being perhaps some limited borrowing for infrastructure. Would the member like to comment on the danger of structural deficit and the broken promise of a return to a balanced budget?

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

12:55 p.m.

Conservative

Gérard Deltell Conservative Louis-Saint-Laurent, QC

Mr. Speaker, to be clear, and for all the people who are listening to understand, how could they imagine someone who has $50,000 as an income spending $55,000? That person will never achieve that balance.

Year after year, spending more money than we have is irresponsible. Anyone can understand that. Every father, every mother, and every chief of family can understand that if they continue in that way, they will face a wall. If not, they will face the deficit at the end and everything will collapse.

However, this is exactly where the government is taking us. Deficits are acceptable in extreme circumstances, but it is completely unrealistic and irresponsible to run a deficit when the economy is doing well. That is living beyond our means.

This reminds me of a question I asked the Minister of Finance, taking him back to the good old days when he was a financial advisor. I asked him what he would do if he had a client who had a household income of $100,000 but spent $110,000. Would he tell his client to keep up this lifestyle and that all was well, or would he tell the client to be realistic and responsible and live within his means?

That is exactly what we are telling the government. It needs to live within its means.

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

12:55 p.m.

Liberal

Nathaniel Erskine-Smith Liberal Beaches—East York, ON

Mr. Speaker, I want to begin by briefly thanking the government for direct investments in my community of Beaches—East York specifically, with a major investment in Neighbourhood Link, now The Neighbourhood Group, which provides important employment services and settlement services in my community.

The government's first budget invests in productivity, people, and our planet. As a first budget, it follows through on many promises from October's election, from supporting veterans, to making post-secondary education more affordable, to investing in science and innovation, to restoring funding to the CBC, to increasing support for the arts, and to emphasizing data-driven government.

An essential plank of our platform was infrastructure investment. The budget proposes $3.4 billion for public transit infrastructure over the next three years, and $2.3 billion for affordable housing initiatives over the next two years.

It was especially encouraging to see $840 million recently committed to public transit in the city of Toronto. Importantly, the funds will go toward necessary maintenance and upgrades of the existing public transit system, often overlooked and unappreciated, yet critical work.

The commitment to invest in transit based on ridership figures is also important, as it commits our government to data-driven decision-making. More, there is renewed respect for local decision-making, and any unspent funds in a calendar year will be rolled into the gas tax transfer, giving municipalities the certainty of receiving the promised funds, no matter what.

I want to pause here to highlight the fact that the previous government also made significant investments in infrastructure. This is an area where there ought to be consensus in this House.

The budget also makes investments directly in families with children, and directly in seniors. These two investments are of particular note because they expand existing basic income programs. A basic income or guaranteed annual income is not a partisan idea. Those on the traditional left, who fight to end poverty, find common cause with those on the traditional right, who wish to see a less bureaucratic, more efficient administration of the welfare state.

A Canadian example of such cross-partisan advocacy can be found in our Senate. Former Conservative senator Hugh Segal has done much to raise awareness for the problem of poverty and has long called for the prescription of a basic income. Current Senator, Art Eggleton, also a long-time poverty awareness advocate, recently put forward a motion calling upon this government to establish a basic income pilot project. The Province of Ontario has heeded that call, and we should do the same.

I commend my colleague from Winnipeg Centre for bringing attention to the House, through the finance committee, the importance of a basic income. Of course, we already know the value of a basic income, a fact that our budget investments recognize through the Canada child benefit and the guaranteed income supplement.

As I said, in December, in my first speech in this House, our Canada child benefit is effectively a basic income for kids and families in need. It will provide a base amount of $6,400 every year for every child under the age of six, and $5,400 every year for every child between the ages of six to 17. It is targeted to those families who actually need the help. The more a family earns, the less it gets. In other words, it is fair. As implemented, it will raise hundreds of thousands of children, an estimated 300,000, out of poverty.

Now, there remains room for improvement. For example, the Canada child benefit should be indexed to inflation immediately. It should account for the total number of family members, not only children. As we continue to improve data collection in the future, we should assess whether we can account for differences in living costs between geographic regions within our country.

Still, when 25% of children in Toronto live in poverty, and well over 30% of children in the Crescent Town community in my riding, the Canada child benefit will make a real difference for many.

The guaranteed income supplement for seniors is another iteration of the same idea, with a different target group. The budget will increase GIS by 10%, or up to $950 more per year. It is estimated that it will mean increased benefits for 900,000 Canadians.

Both programs, the GIS and the CCB, are comprised of a single non-taxable benefit geared to income. As basic income guarantees, they are programs we should continue to build upon. A 2011 National Council of Welfare report tells us that the cost of poverty is greater than the cost of ending poverty. The answer is a basic income guarantee, or programs built on that idea.

As an aside, the cost of poverty is on full display in first nation communities, where we have underinvested in education, infrastructure, and overall support for years. We are witnessing the real costs of turning a blind eye to poverty, isolation, and a lack of opportunities. The budget commits over $5 billion to first nation communities over the remainder of our mandate. The investment is an important one, but more resources are required to close the gap.

Finally, the budget invests in clean technologies and sets funds aside for a low-carbon fund. Unfortunately, we are not currently on target to meet our 2° Celsius target.

I have sat in this House since December, wondering how members of the official opposition, committed as they are to free markets, ignore the consensus of economists who have identified carbon pricing as the market-based solution to fighting climate change. We need federal leadership on a carbon price. I am hopeful that a low-carbon fund will be used to provide incentives for provinces to increase their targets. We need to be more ambitious if we are going to meet our commitments in Paris.

My own view is that we should propose a carbon price based on federal privacy legislation. The federal framework, a minimum national carbon price, would apply unless provinces have substantially similar rules, in which case provincial rules would govern.

B.C. has a model for the rest of the country, as it is truly revenue neutral. All funds taken in through the carbon tax are repaid to citizens, lowering the taxes of the majority of the population. A federal framework should start at B.C.'s current level of $30 per tonne, as proposed by the citizens climate coalition.

Federal action is also required when one looks at the industry exemption that provinces have introduced into their own carbon pricing regimes. Provinces are rightly concerned that a carbon price will lead to increased costs on inputs for Canadian companies and could put certain industries at a competitive disadvantage with international goods. The federal government can resolve this dilemma. Border carbon tax adjustments can be applied on goods from countries without equivalent carbon pricing policies to protect Canadian industries, or at least to ensure a level playing field.

Carbon pricing is necessary, but it is not sufficient. Our focus should also be on innovation. On the World Economic Forum's ranking of performance of countries' innovation, Canada ranks only 22nd. Our clean-tech industry specifically has lost 40% of its global market share over the last decade. Many necessary innovations are coming, such as affordable electric cars, but they are not coming fast enough based purely on market forces.

Government has a role to play, and our innovation agenda will help. We will invest $1 billion to support clean tech in industries over the next four years, over $60 million to support deployment of alternative fuels for transportation, $130 million per year for clean-tech research, and additional millions to support new research chairs in clean and sustainable technology.

We must also focus on improving energy efficiency. Billions will be invested in improving municipal waste water systems, $570 million will go toward efficiency retrofits to existing social housing. While new builds can and should be subject to the passive house or net-zero standards, guidelines for retrofits and renovations need to be improved and better standardized.

The budget is not perfect. There is a glaring hole in the health agenda, which I hope will be rectified as a new health accord is negotiated with the provinces. I am a believer in the national seniors strategy, as proposed by the Canadian Medical Association, for example. However, in sum, it is a budget that is worthy of our support. It will improve the lives of millions of Canadians, and that is fundamentally what we are here to do.

There is a letter that was written by 350 economists that was released today. Given that it is important to our financial system, I would like to read an excerpt from it: “The existence of tax havens does not add to overall global wealth or well-being; they serve no useful economic purpose.” They serve to increase income inequality. Their “secrecy...fuels corruption and undermines countries' ability to collect their fair share of taxes.” They distort the “working of the global economy. [...] They also threaten the rule of law [...] There is no economic justification for allowing the continuation of tax havens [...]”.

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

1:05 p.m.

Conservative

Robert Sopuck Conservative Dauphin—Swan River—Neepawa, MB

Mr. Speaker, I listened with great interest to my colleague's speech, along with the other speeches from the Liberals and the NDP.

One of the things that stands out starkly with all the speeches is the consistency. All that those two parties want to do is to spend money. Everything is about spending money. Take the issue of electric cars. I just looked it up, and the subsidy for electric cars in Ontario is $14,000 per vehicle. For both parties, it is all about spending.

The previous Conservative speaker for Louis-Saint-Laurent spent a great deal of his time talking about small and medium-sized enterprises, which is what Canada needs to create wealth in order to provide the social services that this country needs.

My specific question to my colleague across the way is this. Why does the Liberal Party never talk about creating a business climate for investment that will create the wealth, as a first step to creating a prosperous and healthy society?

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

May 10th, 2016 / 1:05 p.m.

Liberal

Nathaniel Erskine-Smith Liberal Beaches—East York, ON

Mr. Speaker, I thank the member for the question, but I am not sure he understands what it means to build a prosperous society and encourage investment in our communities.

It requires a commitment to protect our environment. It requires a commitment to affordable post-secondary education. It requires a commitment to innovation. It requires a commitment to lowering taxes for the middle class. It requires a commitment to making sure that everyone in the community feels included and does not fundamentally live in poverty.

I encourage the member to support the budget if he truly believes in encouraging business to invest in our community.

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

1:05 p.m.

NDP

Niki Ashton NDP Churchill—Keewatinook Aski, MB

Mr. Speaker, I appreciate the comments made by the member across with regard to the budget.

We on this side have expressed our deep concern that in fact the budget, while yes, it does have some positive components, does not actually get at dealing with the growing inequality in our country. One of the ways in which nowhere near enough ground is covered is the changes to EI. Right now many Canadians are hurting as a result of the downturn in the extractive sector. People in Alberta and Saskatchewan in particular as a result are hurting.

While this budget does include 12 regions in expanding the length of time where people can receive a benefit, it actually excludes areas like Edmonton and southern Saskatchewan where we know people desperately need that same kind of treatment.

Why does this budget not actually reflect the immediate needs of people in these parts of the country?

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

1:05 p.m.

Liberal

Nathaniel Erskine-Smith Liberal Beaches—East York, ON

Mr. Speaker, I agree that we could do more to ensure that people have support when they lose their jobs. Even when we look at the cities that do have coverage, the coverage for individuals is simply not adequate, which is why I spoke to the importance of a basic income guarantee.

I do not think our current EI system is fundamentally sufficient. When we look at the coverage it provides, the experts say it is insufficient. When we look at the administration of the system, it really does not provide the service that we should expect as Canadians.

I would encourage my government to do more and to expand the programs we do have, GIS, Canada child benefit, that prove a basic income support program works.

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

1:05 p.m.

Liberal

Wayne Long Liberal Saint John—Rothesay, NB

Mr. Speaker, what is happening across the aisle, across the House? It is like me running my hockey team, ruining my hockey team, and then blaming the person who took if over.

We see what 10 years of regressive policies have done. We have seen what trickle-down economics have done: seven straight deficits, two recessions, and bad policy after bad policy

What the Liberals are doing is governing for the many, not the few. We have progressive policies that will make a difference in the lives of many people.

The members opposite talked about the cutback of the sports credit and the arts credit. There are people in my riding who cannot afford to pay for hockey. That is why our policies are for the many, not the few. I ask my colleague about the Canada child benefit and how that will redistribute wealth among people who need it, and how it will affect his riding.

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

1:10 p.m.

Liberal

Nathaniel Erskine-Smith Liberal Beaches—East York, ON

Mr. Speaker, the Canada child benefit consolidates existing child benefits and it ensures that folks who make $500,000 a year do not receive a government benefit. They do not need it. They should not have it. It should go to folks who do need the help.

This benefit, targeted as it is, means-tested as it is, will bring over 300,000 kids out of poverty. It will address income inequality in a serious way.

To my colleague's point with respect to boutique tax credits, the economic consensus on these is that they do not encourage these activities. They are effectively a handout to folks who do not need a handout and government revenue can be distributed more efficiently and more fairly.

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

1:10 p.m.

Conservative

Alex Nuttall Conservative Barrie—Springwater—Oro-Medonte, ON

Mr. Speaker, I find it interesting to hear the member across talking about $500,000-income families, yet a Prime Minister who is a millionaire, and earns over $300,000 a year, gets two taxpayer-funded nannies. What about the families who cannot afford the day care, and therefore cannot go to their jobs?

I stand today to address the House regarding the first budget presented by the government. This is a budget that was set to either meet the promises made by the Liberal Party or to show that the expectations set by the government are not in line with reality. Each promise to Canadians was broken, one after another.

From ballooning deficits to increases in taxes that they must have forgotten to mention to families, to an infrastructure spending plan of $10 billion that did not result in the budget, to a bold plan for the Canadian economy that included tax cuts for small businesses that were not given, the government has failed Canadians.

It is incredible what three months will do in politics, from the time the government delivered a positive, enthusiastic throne speech, to the delivery of its first budget, which is riddled with debt and broken promises, and void of hope and opportunity.

The throne speech said:

The Government will undertake these and other initiatives while pursuing a fiscal plan that is responsible, transparent and suited to challenging economic times.

This is a government that delivered a $20-billion to $30-billion deficit, depending on whether we believe the parliamentary budget officer or the government. It raised taxes, failed small businesses, and left families with children in arts and recreation activities without. This is a budget that has left the country wondering what happened to the optimism, to the opportunity that the Liberal Party promised to Canadians. What happened to the responsible transparent fiscal plan that was promised just three months earlier in this very House, with the throne speech?

When campaigning throughout the election, the Liberal Party frequently mentioned its tax increases to the top 1%, with the supposed corresponding tax cuts to the middle class. What it did not mention were two very important details. First is that the Liberal government was going to introduce a middle-class tax cut that benefited those in the top 10% of earners in Canada more than anybody else. Second is that the Liberal government would cancel tax cuts for families and children. These are tax cuts used by families to support healthy living and to fight obesity. They were used by moms and dads for hockey, soccer, basketball, volleyball, swimming, and many other activities.

My wife and I used the child fitness tax credit for mommy-and-me classes after my son was born and my wife was on maternity leave. They provided a financial incentive for new parents. Those are the same new parents that the government promised and vowed to support, only to remove their benefits just six months later.

The arts tax credit was used to introduce children and teenagers to the arts community, to grow the arts community from the grassroots. It was used by arts companies to develop day camps and other activities throughout the summer and March break weeks. These were credits that not only helped children hone in on already blossoming talents, but to discover new ones, new interests, new skills, new ideas that they never knew they had.

If that was not enough, the Liberals not only cut credits to families but they failed to deliver on the infrastructure dollars for municipalities, which they promised. The entire election, the Liberal leader campaigned across Canada on a small $10-billion deficit for investment in Canada's infrastructure, a large one of $10 billion. Not only did the deficit go up, but the investment shrank to less than half of what was promised to Canadians.

If we believe that the Liberals are going to create jobs through investing in infrastructure, our economy is going to receive less than 50% of the amount that we were promised. At the same time, the deficit is two to three times higher, again depending on who one believes, the parliamentary budget officer or the government, and that, my fellow Canadians, is about as close to a plan as the Liberal government has gotten for our economy.

Liberals love to talk about a plan in the House during question period, especially the Minister of Innovation, Science and Economic Development. In fact, the minister talks about the Liberal plan all the time.

On February 1, the minister told the House that the government had a plan. On February 3, he said, “We have a plan”. On February 18, he said, “We have a plan”. On February 23, does anybody know what he said? He said, “We have a plan”. On February 25, he said, “We have a plan”. On March 7 and 8, he said, “We have a plan”. Therefore, it is obviously surprising that in the budget there was no mention of an existing plan, not one to create jobs, not one to help families that are ailing, and not one to expand our economy.

It says on page 109 of the budget document that, the government will create “a bold new plan” over the coming years. That means no plan exists. It was merely a plan to create a plan. How could the minister consistently lead the House to believe that he had a plan for the economy when all he had was a timeline to create a plan?

His mandate letter reiterates what the Prime Minister said in southern Ontario about transitioning away from manufacturing. Since December 2015, I can honestly say that this government has followed through on that promise. Over 51,000 jobs have been lost in the manufacturing sector and it leaves us asking if this is according to plan. Obviously, one would hope not, but it leaves us with the next question, which is, exactly what is this plan?

While the minister did not provide a detailed copy of the plan to committee, we are left with only the little language provided in the budget document that a plan will be created over the coming years. In the meantime, the minister, the Prime Minister, and the government are spending tax dollars on projects without an overarching strategy.

The minister announced $9.7 million in Waterloo region a few weeks back. These funds were outlined in the budget as part of an automotive innovation fund. Obviously, we on this side of the House were excited to see the implementation of a new strategy, which the government failed to outline in the committee or the budget, about how it would create jobs. Again, we asked the minister, “How many jobs will be created with this $10-million investment?” The answer was zero direct jobs and perhaps five to 10 indirect jobs. Therefore, the answer is that either $9.7 million equals zero jobs or $1 million of investment equals one job.

These are the results that one can expect to attain when the government is not following a plan, when it is floundering, and when it has no idea how to grow the economy. The Canadian people deserve better than a great marketing plan, better than endless clichés and speeches, better than half-truths and broken promises. The Canadian people deserve the opportunity for success and the hope of a better life.

It is amazing that the Liberal government is so focused on its political fortunes that it is willing to risk the fortunes of Canadians. The Liberal Party was the party that promised great respect for the House, yet now it shamefully mocks the idea of greater debate. It was the party that promised small deficits and gave us large ones. It promised great investment in infrastructure and delivered less than 50%. It promised help for the middle class and cut support for recreation and arts activities. It promised great debate and has constrained the House to 19 hours on a $20-billion to $30-billion deficit budget.

This is a government so unconcerned about the public purse that it does not even support an hour of debate for every $1 billion it goes into deficit. This budget has left Canadians with so many more questions and so few answers, questions such as, what happened to the small $10-billion deficit? What happened to the tax cuts for small business? What happened to the plan for the economy? What happened to the additional $10 billion a year in infrastructure spending?

This is a government that never added up its commitments, never found a group it could not pander to, and never intended to keep its promises.

Today I stand and plead with the government to stop stifling debate, subverting democracy, and disrespecting millions of Canadians who voted for it.

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

1:20 p.m.

Liberal

David McGuinty Liberal Ottawa South, ON

Mr. Speaker, even if I tried, I could not be nearly as negative as the member has just been. It has been my experience, with more than 12 budgets in the House, that when a member says there is absolutely nothing of value in an opposing party's budget, then the credibility of the speech is seriously eroded.

Of course, every budget has its challenges, and every party has its designs on how it best sees fit to spend scarce resources on behalf of Canadians.

I would like to ask the member if he could perhaps take off the cap of negativity and speak in a positive way and help our government. That is his job as a member of the opposition, as it is the job of a member of the government caucus, to improve things here. Could he help us understand how he sees opportunities for us to improve the way we are allocating those scarce resources, particularly when it comes to innovation? For example, with IRAP investments, startups, and venture capital, we would be investing massively in all these areas, both in the infrastructure and other sectors. Could he give us some positive assistance in improving things for the Canadian economy?

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

1:20 p.m.

Conservative

Alex Nuttall Conservative Barrie—Springwater—Oro-Medonte, ON

Mr. Speaker, nothing makes me more positive or happy than to give the member an idea of what I think would make me positive and happy in terms of return on investment. If the government would invest some money that actually creates jobs, not money that does not create jobs, I would be very happy.

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

1:20 p.m.

NDP

Don Davies NDP Vancouver Kingsway, BC

Mr. Speaker, it is well known that one of the primary responsibilities, if not the primary responsibility, of members of the House, the reason we are sent here in a parliamentary democracy to represent our constituents, is to scrutinize the spending of the government. The government, as the executive, has the ability to plan a budget and to authorize its spending, and it is the job of every single member of the House, from all parties, to carefully scrutinize that spending. That is our prime function as parliamentarians.

However, the government has imposed closure on debate after only two days, only 19 hours. For those who may be watching this debate, we can get about four MPs speaking per hour. That means about one in five MPs in the House will have an opportunity to represent their constituents on the budget. Eighty per cent of MPs in the House will not have a chance to stand in the House and make their views, and more importantly the views of their constituents, known about the budget.

I wonder if my hon. colleague could comment on whether he thinks this is part of a democratic process, to have a government eliminate the ability of 80% of MPs to stand and have their views known on the budget.

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

1:25 p.m.

Conservative

Alex Nuttall Conservative Barrie—Springwater—Oro-Medonte, ON

Mr. Speaker, members on all sides of the House, whether sitting in the government benches or opposition benches, were excited by some of the language that I quoted earlier from the throne speech, in terms of respect for members of Parliament, giving them opportunities, not silencing them. However, today, just four months after the throne speech was adopted, the government is doing exactly that. It is silencing MPs. It is preventing them from being heard. Unfortunately, that does not agree with my vision and idea of democracy.

Therefore, I share the member's concerns, and obviously will continue to request the government to open up debate.

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

1:25 p.m.

Conservative

Todd Doherty Conservative Cariboo—Prince George, BC

Mr. Speaker, we have heard a number of comments from the government on promises it is keeping, on openness and transparency. My hon. colleague expressed his dismay with some of the language we are hearing.

Very similar to this debate, not a week ago debate was limited on something that was probably the most transformative and important piece of legislation that the government and this sitting will ever see, physician-assisted dying. The government is again forcing closure on this.

For the purpose of being on the record once more, I would ask my colleague to please express his concerns, which are the same as ours, about the government's non-open and non-transparent ways.

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

1:25 p.m.

Conservative

Alex Nuttall Conservative Barrie—Springwater—Oro-Medonte, ON

Mr. Speaker, when we all stand in the House, we are heard often. I would like to leave it up to the Prime Minister's words, for Canadians to judge. Here is what the throne speech said:

Canada succeeds in large part because here, diverse perspectives and different opinions are celebrated, not silenced.

Parliament shall be no exception.

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....

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

I will let Canadians decide whether closing debate aligns with those principles within the throne speech.

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

1:25 p.m.

Liberal

Denis Paradis Liberal Brome—Missisquoi, QC

Mr. Speaker, I have a few comments about the budget.

First of all, a budget must reflect the needs and concerns of our fellow citizens. The budget before us reflects those needs and concerns. As MPs, we are all conduits of the needs and concerns of our fellow citizens.

I would like to say a few words about my riding. There are three regions in my riding: Magog and Sherbrooke; Cowansville, Bromont, and Sutton in the centre; and Bedford, Farnham, and Lake Champlain heading toward Montreal. Of course, each region has its own unique characteristics. Around Magog, it is all about landscapes, seniors, tourism, and culture. In the centre, we have industrial parks, innovation, and new technology. Around Bedford, Farnham, and Lake Champlain, we have agri-tourism, agriculture, and the rural sector.

Before getting into why the measures in this budget matter to the three regions in my riding, I would like to talk about the main reason I came back to politics. I have been away for the past 10 years. I was here before that. As I said many times during the election campaign, I decided to come back because of two lakes. We want the water in those lakes to be as clean as possible for future generations. I am talking about Lake Champlain and Lake Memphremagog. As you may know, when it gets hot in the summer, the water in Lake Champlain is less like water and more like pea soup. The people of my region, particularly those living in Bedford, draw their drinking water from Lake Champlain. I am fed up with this situation.

Together with mayors from the Lake Champlain region, including Jacques Landry of Venise-en-Québec, Réal Pelletier of Saint-Armand, Renée Rouleau of Saint-Georges-de-Clarenceville, Réal Ryan of Noyan, and Yves Lévesque of Bedford, I will meet with the International Joint Commission to see what kind of solutions can be implemented to fix the problem with the water in Lake Champlain.

I also want to take this opportunity to thank my colleague, the Minister of Foreign Affairs, who has visited Lake Champlain. Perhaps that contributed to the decision to invest $19.5 million over five years in four transboundary basins. This is water that we share with our American neighbours.

Here is what must be done. We need to stop conducting studies that only serve to find other problems. Let us come up with solutions and implement them so that future generations can have clean water.

The first region is Magog. It is so beautiful, with its incredible scenery and Lake Memphrémagog. I do not need to remind everyone how beautiful it is. That area of my riding has a lot of seniors. I must say, I am extremely proud of the measures in the budget that will help seniors. They include a 10% increase in the guaranteed income supplement for single seniors. That is the increase to the guaranteed income supplement top-up benefit that I mentioned earlier. There is also the elimination of the provision in the Old Age Security Act that raises the eligibility age to 67. These measures regarding the guaranteed income supplement top-up will benefit 900,000 people in Canada. This is an extremely important measure.

Tourism is also extremely important, not only for the eastern part of my riding, which includes the Magog area, but also for the two other regions in my riding. The budget allocates $50 million over two years to Destination Canada to strengthen marketing initiatives in important international markets, such as the United States, our neighbours.

Tourism and culture go hand in hand. My riding is home to one of the counties with the most artists and people working in culture per square kilometre. I almost said “per square inch”, but of course I meant “per square kilometre”.

The budget also allocates $105.9 million over five years to our national museums.

I am very proud, because there are two important museums in Brome—Missisquoi: the Missisquoi Historical Society and the Brome County Historical Society. These two museums will benefit from the additional money allocated in the budget.

In the middle, there is Bromont and Cowansville. This is a bit more of an industrial area. Bromont has a high-tech park, with General Electric and IBM. There is also a young company, Fabritec Group, which now has almost 500 employees and will soon have 1,500. It exports quite a bit to the United States. This is what the budget also does: it restores confidence in innovation and helps set us apart on the world stage through the use of new technologies.

As we have said many times, it is important to remove the gag order on researchers. The previous government muzzled researchers, so it is important to give them their voice back. It is important to strengthen innovation networks and clusters, and to strengthen Canada's network of incubators.

For the middle class, there is the Canada child benefit. We have heard a lot about this in the House. We are making post-secondary education more affordable by enhancing grants. We are increasing investments in green jobs and summer jobs. In the budget, we doubled the funding for student summer jobs.

I will quickly talk about the other region, which includes Bedford, Farnham, and Lac Champlain. I have talked about it a lot. It is a more rural area with all the vitality of rural life. I want to take this opportunity to say hello to the people in my riding who think that our budget in the House today restores confidence in Quebec's economy and restores people's confidence in investing.

Speaking of agriculture, I want to say a few words about the experimental farm in Frelighsburg. I will take the opportunity to congratulate Jean Lévesque, who was just elected mayor of Frelighsburg. The experimental farm was closed down by the Conservatives two or three years ago. The agricultural research we do in Quebec and Canada is important. In the budget, we invested in agricultural research. I told people back home that I would work hard, again, to ensure that the Frelighsburg experimental farm is reopened as soon as possible.

In closing, I want to say that a connected Canada is important to a riding like mine. It is important to have high-speed Internet. I have said it before and I will say it again, it is hard to believe that high-speed Internet is not available to all our small communities from coast to coast to coast. I was here in the House when Brian Tobin was industry minister. At the time, he promised to connect Canada from coast to coast to coast. We are far from it. Canada needs Internet connection.

A week ago, I was in Noyan, a small community in my riding where, together with Développement innovations Haut-Richelieu I was pleased to announce that the entire village of Noyan, the entire population and every house, was connected. The budget promises $500 million over five years to ensure that broadband service is provided to rural communities across the country.

In closing, I want to say again how proud I am to be the member for Brome—Missisquoi and how proud I am to be a member of the Liberal Party of Canada.

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

1:35 p.m.

Conservative

Harold Albrecht Conservative Kitchener—Conestoga, ON

Mr. Speaker, I have had the privilege of visiting the area my colleague represents. It is indeed a very beautiful area. However, I am afraid he is confusing the beauty of that area with the beauty in this budget, because there is none.

We were asked earlier if we could be positive about something in this budget. I would ask my colleague this. Is he not concerned that the agriculture sector was not mentioned once in the throne speech, and that the budget is virtually silent on it?

Also, there is the broken promise for the tax rate cut for small and medium-size businesses that was promised in the election. I remember sitting with my colleagues in other parties and they all promised this tax reduction for small business, but it is not in the budget.

Finally, there is nothing in the budget to fulfill the platform promise of the Liberal government that it would invest $3 billion in home care and palliative care. It is critically important at this time when we are discussing physician-assisted suicide.

However, the biggest disappointment is on page 234. Debt charges alone between this year and 2020 will rise from $25.7 billion to $35.5 billion. That is $10 billion more just to pay the interest. Is my colleague not concerned?