Debates of Feb. 22nd, 2017

Motions for Papers

[The Speaker, Liberal, Geoff Regan]

Is it agreed?

[Some hon. members]

Agreed.

The House resumed from February 21 consideration of the motion that Bill C-23, An Act respecting the preclearance of persons and goods in Canada and the United States, be read the second time and referred to a committee, and of the amendment.

Preclearance Act, 2016

[Peter Fonseca, Liberal, Mississauga East—Cooksville, ON]

Mr. Speaker, to the people of Canada and the many travellers, I am proud to speak to this legislation that will allow Canada to move forward with ratifying the agreement on land, rail, marine, and air transport pre-clearance between the Government of Canada and the government of the United States of America.

As members of the House know, our government has made it a priority to build a strong and mutually beneficial relationship with the United States. Canada and the United States share the longest, most open, and most successful international border in history.

Bill C-23, the pre-clearance act, reflects our united efforts to maintain and develop the success of this border, wherein security and efficiency go hand in hand in expediting legitimate and vital cross-border trade and travel. Both our nations believe in the importance of encouraging economic growth and building effective trade relationships with our allies. Both our nations believe in the benefits of close collaboration with each other, and with our allies to guard against shared threats to our security. It is from this foundation that Canada and the United States have built the robust economic partnership we enjoy today.

In my time today, I will look at how pre-clearance is working at present, as well as the tremendous economic opportunities it will offer in the future. I will also address the amendment the NDP has moved with reasons for opposing this bill. The NDP amendment asks us to reject the bill because of what it refers to as the climate of uncertainty at the U.S. border, as well as the impacts on new American policies with respect to immigration, and concern about privacy rights. I disagree with those reasons, and I will express why a little later.

Travel for vacation with family or friends, or travel for business is a prime or popular experience for many Canadians and Canadian businesses. Pearson airport, in my home city of Mississauga, recorded more than 12 million travellers, both ways, between Canada and the United States in 2016. More than 400,000 flow back and forth between Canada and the United States every single day. Close to $2.5 billion in two-way trade from multiple sectors move cross-border between us every single day.

Clearly, our robust partnership is not just nice to have, it is vital for our continued security and economic growth. To this end, we must have an effective border that is at once closed to security threats and open to legitimate trade and travel. The legislation before us is a great example of how we are working to manage our borders better.

For travellers going from Canada to the United States, pre-clearance has existed in one form or another for more than 60 years. It is currently available at eight Canadian airports. Pre-clearance allows travellers to complete American customs and immigration procedures in Canada before leaving Canada. Once they land in the U.S., they forego customs lineups, reduce delays, and inefficiencies. Direct access is provided to many destinations that would otherwise require connecting flights, as some of these destinations do not have customs arrangements.

If pre-clearance did not exist, Toronto Pearson International Airport, for example, could not offer direct flights to almost half of its destinations in the United States, because those airports do not have customs and immigration facilities. The impact is substantial. With pre-clearance services at Pearson airport travellers have direct flights to 50 U.S. destinations, but would be limited to a mere 27 if these services were not available.

In addition to the substantial economic benefits, there are security benefits to be found, notably because goods and travellers are pre-cleared before they leave the country. Pre-clearance officers are able to refuse inadmissible goods and travellers before entering into the destination country, rather than turning them back after they arrive.

The NDP charges that there is some kind of threat to our sovereignty. I will mention two points. First, U.S. pre-clearance officers in Canada would continue to be bound by our laws and Constitution. Second, the agreement contains full reciprocity. The U.S. pre-clearance officers would only be allowed to carry the same arms as Canadian border officers in the same environment. The same is true for Canadian officers in the U.S., because CBSA officers do not carry firearms in airport terminals, neither would their American counterparts.

Let us also consider the effect on the trade of goods and services. Currently, goods include currency and monetary instruments for those in transit to another destination via the U.S.A. Business would be delayed or avoided because of inconvenience, or time constraints should these clearance facilities not be available at major centres at least.

Various chambers of commerce and newly proposed pre-clearance cities endorse this legislation, as does John Manley, CEO of Canadian Council of Chief Executives. They all concur that the agreement would enhance business, specifically tourism and travel industries. Bill C-23 would enable us to take full advantage of an agreement to expand pre-clearance services to Canadians, informal train and cruise ship sites on the west coast will be regularized, and the door will be open for other new Canadian venues and pre-clearance of cargo.

The expansion, real and projected, of these services is a win, not only for the people who wish to travel to the Untied States, it is also a win for our economy. The cross-border economy relies on an efficient, effective border crossing. Border delays are considered an impediment to both tourism and businesses. Pre-clearance encourages economic benefits to tourism and trade.

Our economy is attuned to cross-border accessibility. Over $400 million worth of cross-border goods and $50 billion in services were exported to the Untied States in 2015. Tourism activities in the same year included 12.5 million overnight travellers from the United States, which accounted directly for $35.5 billion of Canada's GDP. Our government committed, during our 2015 election, to remove any hassles for Canadian business people crossing the border with goods by promoting a steadier flow of goods and business travellers.

The NDP has asked, why should we not just continue with the existing legal framework for pre-clearance? The answer is simple. Without new legislation, there can be no expansion of pre-clearance. Defeating Bill C-23 would mean no facilities at the Jean Lesage Airport in Quebec City, the Billy Bishop Airport in Toronto, Montreal's Central Station for the Rocky Mountaineer, or west coast cruise ships and ferry terminals. There would be no pre-clearance of cargo, and no possibility of Canadian pre-clearance in the U.S. This would be bad for Canadian travellers and bad for the Canadian economy.

The streamlining of border procedures by Bill C-23 is preceded by the knowledge that Canada and the United States have a history of successful pre-clearance operations since 1952. U.S. pre-clearance sites in Canada, U.S. officers, and pre-clearance perimeters are subject to Canadian law, including the Canadian Charter of Rights and Freedoms, the Canadian Bill of Rights, and the Canadian Human Rights Act.

They precede in the pre-clearance tasks. Hence, that pre-clearance area is like an enclave in Canada with U.S. authorities, employing their U.S. authorized pre-clearance regulations, being governed by Canadian laws in the administration of those seeking pre-clearance, including people in transit. Canadian rights and freedoms are safely maintained in those pre-clearance areas and perimeters pre-assigned by the Governor in Council.

The act is well conceived as an instrument for pre-clearance operations, and optimally protects rights and maintains security. Pre-clearance enhances the economy by improving the flow of legitimate travel and trade, and at the same time safeguarding the integrity of our border, all under the protective arm of Canadian law and charter.

The call by the NDP to reject this bill, based on a situation in the United States and how it affects immigration and privacy rights, is not the correct course of action. It is precisely why enacting legislation like Bill C-23, with a clear legal framework governing the actions of U.S. officers, that we are able to reduce uncertainty for Canadian travellers, protect against ebbs and flows of American policy, and defend Canadians' rights as was pointed out by the Minister of Public Safety. The alternative is for Canadians to be processed by U.S. border guards on U.S. soil with none of these legal and constitutional protections.

Therefore, I urge the NDP to recognize the benefits of expanded pre-clearance. We need to pass this bill in order to realize those benefits, and the safeguards this bill contains to ensure that Canadians' rights are well protected.

[Randall Garrison, NDP, Esquimalt—Saanich—Sooke, BC]

Madam Speaker, I thank the hon. member for his comments on this, but I simply do not understand his position, and he incorrectly portrays the NDP position. We are not opposed to expanding pre-clearance, we are simply asking the question, when pre-clearance has functioned all this time, without granting what I would call extreme powers to the officials in the United States, why do we need those extra powers? Why do we need to say that American agents can detain Canadians? Why do we need to say that they can carry firearms? This has been working perfectly well without these provisions.

When the member says that they operate under Canadian law, that is simply not true. They do not apply Canadian law. They have no training in Canadian law. They know virtually nothing about the Canadian Charter of Rights and Freedoms. Simply saying that is true does not make it so.

Why do we need these new expanded powers for American officials at the border, especially at a time when gay and lesbian Canadians and Muslim Canadians are having a difficult time getting into the United States?

[Peter Fonseca, Liberal, Mississauga East—Cooksville, ON]

Madam Speaker, being from a part of our country that relies a great deal on tourism, travel, and trade, with British Columbia abutting Washington State, I talked about our history of 60 years of pre-clearance. This has been a great exercise for both nations to be able to have that travel and trade between our citizens.

We find those U.S. guards do fall under our legal system, our charter, our Bill of Rights, and our Human Rights Act. I am sure the member's experience has been one where the facilitation of being able to cross the border with ease, having that pre-clearance, has allowed for much travel and trade, and is something that we want to expand.

We find with this expansion and the reciprocity that we have with the United States, because they have already moved on their act, we want to allow that to happen so that—

[The Assistant Deputy Speaker, NDP, Carol Hughes]

It is questions and comments. It is not time to make a speech, I am sorry. I am sure that the conversation is quite interesting, but we have to allow other members to ask questions.

Questions and comments, the hon. member for Red Deer—Lacombe.

[Blaine Calkins, Conservative, Red Deer—Lacombe, AB]

Madam Speaker, I appreciate the comments from my colleague across the way. It looks like there is going to be a little co-operation in the House on this, given the fact that this legislation goes back a number of years and has crossed many different administrations.

My concern going forward is not necessarily so much in the text of the legislation, although I will have some concerns addressed in my speech in a few minutes, but the apparent disjointedness when it comes to the policies of the U.S. administration versus the new Canadian administration when it comes to marijuana legalization, when it comes to refugees and dealing with cross-border issues, and the implications of Bill C-23 being passed at this time.

We have come to this point because of confidence building measures. We are adding more destinations, more terminals, and more facilities to the list, as the member aptly points out, but at a time when the Canadian policy seems to be completely disjointed from the U.S. policy.

Can he expect, going forward, that an implementation that is based on good faith between two countries will not cause some issues?

[Peter Fonseca, Liberal, Mississauga East—Cooksville, ON]

Madam Speaker, the member is quite right. Because of our longstanding relationship with the United States, the reciprocity that is within the act that they have passed, and what we are trying to do here, there is a clear understanding of our laws and American laws, and how pre-clearance has benefited both nations.

Canadians who go through pre-clearance are covered under our laws. U.S. law enforcement understand that at the border. This is the way we can now expand on our pre-clearance. This will bring substantial benefit to Canadians to be able to travel and trade in the United States.

[James Bezan, Conservative, Selkirk—Interlake—Eastman, MB]

Madam Speaker, I will be splitting my time with the member for Red Deer—Lacombe.

It is great to speak to Bill C-23, the preclearance act, 2016. It is nice to see that the Liberals are following through on a Conservative initiative, which was to expand pre-clearance. It really is a tribute to the very productive relationship prime minister Stephen Harper had with former president Barack Obama, when they signed the beyond the border agreement. We know Bill C-23 fulfills one of the requirements of that beyond the border agreement.

Already, Canadians have been able to benefit from pre-clearance and facilitate trade, tourism, and the movement of business people back and forth across our great border. We can add an additional number of airports and railway stations beyond the eight airports we currently have in Canada where pre-clearance already takes place.

Last year alone, 12 million Canadians went through pre-clearance when travelling to the United States. This is significant. Our airlines want this. More airports and train stations want to capitalize on this. We look forward to having a fulsome debate on the legislation in the House, but also having appropriate hearings at committee to ensure the bill addresses the needs of all stakeholder groups, that all the concerns regarding some of the extra powers being granted to U.S. border agents at pre-clearance stations are addressed, such as detention authority, and that other concerns around refugees and immigration are thoroughly sought out.

At this stage, the Conservatives will be supporting the bill to get it to committee. It will hear from experts and stakeholder groups, and, ultimately, to see whether amendments are required or whether the bill addresses the concerns being raised.

Currently, Vancouver, Calgary, Edmonton, Winnipeg, Toronto, Ottawa, Montreal, and Halifax airports have already benefited for years from pre-clearance. That goes back to an agreement signed in 2001, the Agreement on Air Transport Preclearance Between the Government of Canada and the Government of the United States. The legislation was updated in 2012. Things continue to change and evolve, so now it is again time to expand, and it will happen in four different parts.

It is important to note that Québec City Jean Lesage International Airport, Billy Bishop Toronto City Airport on the island, Montreal Central Station, and the Rocky Mountaineer will be added to the legislation, all places that can utilize the pre-clearance program. We often talk to stakeholder groups at the airports and train companies to ensure any concerns they have as to costs, because they have to bear out those costs, will be more than compensated for by increasing ticket fares and ensuring they get the extra volume of business by having pre-clearance.

There are four parts to Bill C-23. Part one is United States pre-clearance officers conducting the pre-clearance of Canadian travellers here. Part two would allow Canadian officers in the U.S. to conduct pre-clearance. Part three, which I have heard concerns about from constituents in my riding, is that American border services officers will be given exemptions from criminal liability by an amendment to the Criminal Code. There are concerns around that and how they will use those powers in the pre-clearance areas that will be dedicated to the United States in Canada. Part four would make consequential amendments to the Customs Act and repeal the existing pre-clearance act.

Canadians should remember that we have a special relationship with the United States. Currently only six countries have this pre-clearance arrangement and 15 airports around the world have U.S. border guards conducting pre-clearance in those countries. Out of those 15 airports, eight of them are in Canada.

We do have a special relationship. By expanding this because of the relationship between Canada and the United States, and the negotiations between former prime minister Stephen Harper and former president Barack Obama under the beyond the border initiative, we are moving forward.

I know the Minister of Public Safety has alluded to the fact that this pre-clearance may be expanded to include cargo traffic and shipments of containers and other commodities, so we can move quicker in ensuring that our trade relationship with the United States continues to expand.

As we know, $2.4 billion of goods cross the border between Canada and the United States every day. Canada is the Americans' largest customer, buying over $338 billion worth of goods and services in 2015. That is an amazing number and we have to protect it

For my riding of Selkirk—Interlake—Eastman, Manitoba, the United States is a critical partner. It is critical from the standpoint of moving our goods and services, and of moving vehicles and transportation equipment. Winnipeg has a couple of bus companies that move their buses back and forth over the border all the time. New Flyer Industries actually builds parts of its buses in North Dakota, and parts in Winnipeg. The buses move back and forth over the border numerous times.

We have Versatile tractors and its tractors are in demand in the United States. Plus, we use a lot of minerals and natural resources, chemical products, and electronic equipment that go back and forth all the time.

We can also never forget about the food industry, the beverage industry, and the agriculture industry and how important that trade is to Manitoba and indeed all of Canada.

The pre-clearance of passengers is important to our tourism industry. Over 20,000 jobs in Manitoba are tied to the tourism industry. We are talking about a total of $1.6 billion worth of tourism in Manitoba every year, and 6% of that comes into the Interlake region. People come up for hunting, fishing, and enjoying our beautiful lakes, like Lake Winnipeg and Lake Manitoba. Those visitors come here because it is easy to come and it is affordable. Therefore, 6% of all tourism spending happens in Manitoba and 12% of the visitors come to the Interlake region where I live, and we are very proud of that. It is critical to our economy and to employment opportunities.

As I mentioned earlier, there are concerns about some portions of the bill, including the exemptions being provided to the United States border guards under the Criminal Code. There are some concerns over how Canadians who may enter into a pre-clearance area may have difficulty returning if they change their mind or get rejected by the U.S. border services. Are there proper provisions to deal with things like strip searching? Are there proper refugee protection claims, and for flagpoling, which happens at most border crossing, where permanent residents who need to leave the country to renew their permanent residency can often drive to the border and do what is called flagpoling, where they turn around, come back in, and reapply at the Canadian border office?

That may not be possible through pre-clearance facilities. It needs to be looked at by the committee, and we expect that to happen.

Ultimately, the rights of law-abiding Canadians and the safety of law-abiding Canadians have to be protected under Bill C-23. The one thing we want to see studied at committee is how Bill C-23 will come together with Liberal policies and what has recently happened, such as the legalization of marijuana, which the government is intent on doing.

Matthew Harvey received a lifetime ban from the United States because he admitted to a U.S. border guard that he had smoked pot. If he can get a lifetime ban for that, how much is that going to affect other Canadians who are now going to be facing similar questions, knowing the Liberal government wants to legalize marijuana in this country?

[Lloyd Longfield, Liberal, Guelph, ON]

Madam Speaker, I am from Manitoba as well, which is a great place to travel to. There is a lot of back and forth travel between our countries.

Could the member comment on the advantages of having a quarantine area within our country under Canadian laws should there be any problem versus a quarantine area in the United States if there are problems and how its laws would apply in that case?

[James Bezan, Conservative, Selkirk—Interlake—Eastman, MB]

Madam Speaker, the bill will be critical to trade down the road. It is important to the movement of people between our two great nations, Canada and the United States. Everything we can do to facilitate that is in our best interest.

There is rhetoric about re-opening NAFTA, about which all of us should be concerned. However, this legislation is a signal to the Americans, a signal to the U.S. administration in Washington, that we want to continue to do business, we want to continue those close relationships between Canada and the United States in the best interests of both our countries.

[Elizabeth May, Green, Saanich—Gulf Islands, BC]

Madam Speaker, my colleague, the member for Selkirk—Interlake—Eastman, quite accurately raised the nature of the concerns. I have not heard anyone say that the bill should be defeated, as was suggested by an earlier Liberal speaker. It is a question of getting the balance right and finding ways to protect Canadians, permanent residents in Canada, who find themselves at the border.

We have heard many stories, including some from colleagues in the House, who have been turned back at the U.S. border in ways that were unreasonable and demeaning. We also know that the current approach of the new administration is to talk about extreme vetting without being able to define it. I do not think we have had anyone suggest that we would actually put every U.S. border agent through a law course to understand the Canadian Charter of Rights and Freedoms.

I wonder if my hon. colleague would agree with me that the bill could be more easily strengthened by ensuring every Canadian or current resident has the absolute right to leave the pre-clearance area if they choose to do so.

[James Bezan, Conservative, Selkirk—Interlake—Eastman, MB]

Madam Speaker, one of the questions the government will have to answer when we get the bill to committee is whether the rights of permanent residents, and all Canadians for that matter, will be protected in pre-clearance.

This is where the study will be need to really drill down on the legality on the charter rights of all Canadians, whether they are citizens, landed immigrants or permanent residents, so they can have full access to all charter rights.

This is where it comes down to the exemptions under the Criminal Code being offered to U.S. border agents. We really need to study that in more detail, but overall the bill meets the need of what Canada wants, which is more pre-clearance operations across the country so our airline companies, our railways, those who do business, those who tour around, have the opportunity to leave for more destinations. This is good for Canada and it is good for business with the United States.

[Cathy McLeod, Conservative, Kamloops—Thompson—Cariboo, BC]

Madam Speaker, I was really interested to hear that Rocky Mountaineer was one of the pre-clearance opportunities. That is important. Imagine getting on a fantastic touring train and then having to stop for clearance issues. This will make for a much more pleasant and seamless experience.

Does my colleague have anything to add about the importance of the tourist experience?

[James Bezan, Conservative, Selkirk—Interlake—Eastman, MB]

Madam Speaker, Rocky Mountaineer is a Canadian icon. It is a beautiful railway. To make it easier for Americans to come here and for Canadians to go on their spur into the United States from Canada and if we can facilitate that movement of people, will be very beneficially, not just to the company but to all tourism in the region.

A lot of people make that trip on the Rocky Mountaineer right out to Vancouver rather than going on the spur down into the United States. It is a better utilization of the entire company infrastructure, and that will benefit everyone who has any relationship with Rocky Mountaineer.

[Blaine Calkins, Conservative, Red Deer—Lacombe, AB]

Madam Speaker, my colleague from Selkirk—Interlake—Eastman mentioned all the opportunities for tourism in his great riding and he talked about hunting and fishing, but he did not mention the Crown Royal plant there. I thought that was what most people went to Gimli for, but perhaps I am giving away my secret travel plans.

All that aside, it is great to see colleagues in the House today having a bit of bipartisan co-operation on a matter as significant as this. This is an issue where most common-sense folks are looking to their parliamentarians, to their elected people, and to the government to do things to make their lives easier.

As members of Parliament we all travel a lot. Some of us travel a lot more than the everyday average Canadian does, but there are lots of Canadians who travel for purposes of work or for leisure on a daily basis. I have seen statistics somewhere that at any point in time there are half a million people in airplanes around the world. It just goes to show the sheer volume and magnitude of the importance of some of these kinds of agreements.

Of course, the arrangement between Canada and the U.S. is just astronomical. We share just under 9,000 kilometres of border with the United States. There are no other two countries in the world that share this kind of an arrangement or have this kind of opportunity. It has been mentioned by many in this House already the enormity and vastness of the trade and the like-mindedness of the cultures. Although we as Canadians like to separate ourselves and remain distinct, and we are, we have far more in common with our American cousins than we have differences, despite some of the differences that we do have.

It is important that we maintain that relationship. It is important because not only is the United States one of our closest friends and allies, it is obviously our closest neighbour and we have to continue to build that trustful relationship. The United States is our best trading and commerce partner. It is not any secret at all that north of 70% of all the goods and services that are exported from Canada go to the United States. We rely on the United States' consumer marketplace in order to keep our economy healthy and strong here at home. One of five or six jobs here in Canada actually depends on our ability to export goods and services, so this is absolutely critical and vital.

While this particular agreement does not deal specifically with cargo, this is the precursor. At a major airport, whether at the Calgary airport, here at the Ottawa airport, Toronto airport, or other major airports, when travelling to the United States, the only pre-clearance that I am aware of and have used is to pre-clear U.S. customs on Canadian soil. For Canadians watching right now and wondering what this debate is about, it is about clearing U.S. customs on Canadian soil and about Canadians clearing Canadian customs on U.S. soil at various points of departure and points of entry. That way, when we land in our respective countries, we are already there and we can just walk straight out the door of the airport or train terminal or whatever it happens to be and go about our business. That is why these agreements are so important.

The impetus for these things started long ago. Various administrations come and go in Canada and the United States. Sometimes there is a thickening of the border and sometimes there is a thinning of the border, but I can go back to the previous prime minister, Stephen Harper, and the agreement that he made with then president Barack Obama, in order to work on some of these initiatives in 2011. I would encourage members of Parliament who have not done so already to get a NEXUS card. I remember when Stockwell Day was here and he was the minister, he did a great job working with U.S. counterparts so that we had that trusted traveller program. That trusted traveller program is absolutely critical for anybody who travels on a regular basis. For people who do not have a NEXUS card, I can assure them that if they get one they will see the immense benefits. That is just one aspect, for those folks watching right now, where they do not need a passport per se. If they are going to the United States on a regular basis, they simply need to get that NEXUS card and for any land or air crossing they can just show their NEXUS card; it is as good as a passport for getting into the United States and getting back home to Canada. The process is sped up because they are trusted travellers going through security and through customs. It is absolutely fantastic. With these kinds of things, we have an opportunity to build upon the trust that we have between our two countries.

Now we come to Bill C-23. The current Liberal government has put this bill forward. The bill has obviously some good intentions in it. I have some concerns, but those are matters for debate. I applaud the government for moving ahead with this. It is important that we facilitate the movement of goods, services, and people back and forth across the borders.

Bill C-23 is about moving people, though, people and the stuff they have with them. This is not actually about moving massive goods and freight and cargo between the borders. This is pre-clearance of individuals and the items they have with them at that particular point in time. It is very important that folks understand what that is.

There are a couple of concerns I have with the legislation. One, as has been brought up by others, is that there seems to be, and I hope that the question that I have will be answered, a Criminal Code exemption for U.S. customs officers in Canada when it comes to basically immunity for any charges under the Criminal Code of Canada. I do not know why we would acquiesce to that request. I can only assume that request came from the U.S. administration. If it was a request that we actually had of the American administration as well, so that there would be reciprocity, so that Canada Border Services agents in the United States working at pre-clearance destinations there would have the same kinds of protection provisions, I suppose I would be okay with that. I need to know if that is actually the case or some American administrators and legislators would be making those decisions down there. I am hoping somebody on the government side can answer that question to make sure that we actually have that reciprocity.

The other concerns that I have go directly to the larger policy issues between the two administrations. We have seen a marked shift, I will call it a bromance for lack of some better terminology. The short-lived friendship between former president Barack Obama and our current Prime Minister of like-minded political ideologies is in contrast I think quite sharply now with the new administration and some of the things that we are seeing from U.S. President Donald Trump.

I am not here to debate the policies of Donald Trump, but suffice it to say that the policies of Donald Trump and the policies that are going to be put forward when it comes to immigration, when it comes to legalization of marijuana, when it comes to dealing with criminals, and so on, are going to be markedly different between the U.S. administration and the Canadian government. These are going to be issues that are going to cause friction. That friction, in most cases, manifests itself at the border. We need to make sure that we are looking after Canadian interests at that border.

I do have concerns when that fellow my colleague from Selkirk—Interlake—Eastman was talking about, Mr. Harvey, admitted or confided truthfully, and we should be truthful when we are talking to a border official, that he was a marijuana user and was put on a lifetime ban from travelling.

That seems to be a bit of a difficult conundrum. If Canada is going to pursue a policy where not only is it decriminalizing, with the legalization of marijuana, but it is going to fly completely in the face of what the U.S. administration policy is going to be there, notwithstanding several states in the United States have legalized marijuana. We are not talking about crossing into Colorado, we are talking about crossing into the United States in a pre-clearance zone in a Canadian airport.

Now imagine a Canadian citizen inside a Canadian airport inside a U.S. pre-clearance zone being basically detained by American administration authorities because he has admitted to a U.S. customs agent that he has legally, after supposedly the law is changed by the current Liberal government, which I am expecting will happen sometime in the near future, said to that U.S. customs official, “Yes, I use marijuana because it's legal in Canada now”. That is a problem because that is illegal or could be deemed illegal or a problem for that Canadian citizen in a Canadian airport in a U.S. pre-clearance area being detained for admitting to doing something that would potentially be completely legal in Canada. This is a problem. This is very much a potential problem. I think Canadians at home watching right now need to know that, whatever legal activities that we do here in Canada that might be different from the policies in the United States, Canadians, especially those still in Canada even though they might be in a U.S. pre-clearance area, should have the full protections of the Canadian Charter of Rights and Freedoms and be able to excuse themselves from that travel and not get themselves into any further predicaments.

When it comes to the issue with refugees, policies that the current federal government is going to have versus what the current administration in the United States has are markedly different. They are night and day different, from the messages that are being sent.

These kinds of issues will cause issues at the border. We are seeing already a migration of people coming across the Canadian border from the United States at non-disclosed or non-border crossing areas. That is in current violation of Canadian legislation. If we have these kinds of grievances and issues where we have differences in domestic policy that affect the thickening of our border, then we need to be sure that in Bill C-23 all the provisions that are there provide the protections that Canadians citizens are going to need.

I will close there. There are concerns about this piece of legislation. However, I do applaud the government for bringing it forward. I hope it will listen to folks at committee, go through the process, and amend the bill if it needs to be amended.

[Kevin Waugh, Conservative, Saskatoon—Grasswood, SK]

Madam Speaker, in Saskatchewan we have no resources right now to get a NEXUS card. You talked at length about people—

[The Assistant Deputy Speaker, NDP, Carol Hughes]

I would remind the member to address the questions to the Chair because I certainly did not talk at length.

[Kevin Waugh, Conservative, Saskatoon—Grasswood, SK]

Madam Speaker, my colleague talked about the NEXUS card and how those who are travelling should get it. It certainly would make it a lot quicker to go between Canada and the United States. However, in my province of Saskatchewan there is absolutely no place that one can get a NEXUS card, not even at the two major airports in our province in Regina and Saskatoon. Therefore, this is an issue that we have had. In our province, we export a lot of people to warmer climates in the winter, yet we cannot get a NEXUS card in our own province without going to Edmonton, Winnipeg, or Ottawa.

[Blaine Calkins, Conservative, Red Deer—Lacombe, AB]

Madam Speaker, my colleague is right that it is an issue. I am from Alberta and I am lucky that at both the Edmonton and Calgary international airports we have those NEXUS offices. Bill C-23 does add a few more places for pre-clearance. Unfortunately, Saskatchewan seems to have been overlooked from that list. My colleague from Saskatchewan has some valid points. Saskatchewan has a booming and burgeoning economy. The premier there is doing a great job expanding the economy. Economic refugees are fleeing Alberta back to Saskatchewan. We hope that the export of Saskatchewanians to warmer climates is only temporary and that they will come back home soon and keep our economy in the west churning right along. It would be nice to see the current government take a look at the legislation and perhaps add something for the good folks of Saskatchewan, who deserve these benefits.

[Kevin Lamoureux, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons]

Madam Speaker, I wonder if the member could provide some comment on just how beneficial this legislation is to all of Canada because it makes sense economically. Having a pre-clearance allows for tens of thousands of Canadians to travel without having to worry about going through customs or immigration services when they land at their destination. For example, the pre-clearances enable economic activity for many communities that would otherwise not have service flights going to the U.S. That is an opportunity to enhance Canada's economy. Also, it is a great opportunity for two-way traffic given that we have millions of Canadians and Americans who go both ways.

It is a reciprocal piece of legislation. Ultimately, both Canada and the U.S. would benefit from it. Could the member provide some comment with respect to the economic benefit of this legislation?

[Blaine Calkins, Conservative, Red Deer—Lacombe, AB]

Madam Speaker, one of the benefits of having a Liberal federal government is that our dollar is usually worth less, which means we get more tourists coming to our country. Therefore, we will have an influx of American tourism and the tourism portion of our economy will do better.

The hon. member, my colleague, is right. Notwithstanding my chiding, the reality is that we have certainty and predictability so that when we are travelling as a tourist we will able to get to our destination. Obviously, this is a good thing. Certainty and predictability are also good when we are travelling for business, and when it comes to shipping goods and cargo, which is where I think the future is going with this because both administrations and both governments are currently looking at how the same kind of pre-clearance can also be implemented when it comes to the commerce and trade, and not just people and passengers. Although this bill applies specifically to people and passengers, a variant of this bill could come forward with pre-clearance for things like trade and commerce. That is where a tremendous amount of wealth and opportunity would come. Therefore, we hope for that confidence-building with respect to Bill C-23, which I am sure will be passed in this House. It is a government bill and there is a majority government. I do not think this bill will get held up anywhere. I will stress in my comments that there may be some good ideas and concerns that will come forward from people at committee, and I hope that amendments that are in the best interests of Canada would be looked at and adopted at committee.

[Bardish Chagger, Liberal, Leader of the Government in the House of Commons and Minister of Small Business and Tourism]

Madam Speaker, I am proud to add my voice in support of this important piece of legislation.

I would first like to take a moment to remind the House that Canada and the United States have built one of the closest relationships between any two countries in the world. This partnership is essential to the well-being of all citizens. Our close trading relationship supports millions of jobs in both Canada and the U.S., and we will continue to work with the new administration.

Bill C-23 is another example of this government's firm commitment to creating jobs and promoting economic growth for Canadians.

As an MP representing a southwestern Ontario riding with many manufacturing and high-tech small and medium-sized businesses, I can attest to the importance of pre-clearance to keep travellers and cargo moving quickly and safely across the Canada-U.S. border. More than that, jobs for hard-working middle-class Canadians in my constituency and across the country depend on it.

The Waterloo region is only one of some 2,000 municipalities across Canada that rely on low-risk trade and travel to and from the United States to keep our communities growing. To be clear, we are talking about both the movement of goods and people, both of which are critical to our economy. In 2015, Canada exported over $400 billion in goods and $50 billion in services to the U.S.

Tourism is Canada's largest service export, accounting for 2% of Canada's overall GDP and employing over 600,000 Canadians. The overwhelming majority of tourists in 2016, nearly 70%, came from our neighbour to the south. Arrivals by air from the U.S. are up 17% from 2015, which is one of the many reasons that quick and effective pre-clearance is essential. Any measures that create economic and security benefits for both countries is welcomed by all Canadians, especially small business owners, including tourism operators who rely on smart, secure borders that improve the efficient flow of people and goods.

Bill C-23 will make it possible to do just that. This bill will implement the agreement on land, rail, marine, and air transport pre-clearance between the Government of Canada and the Government of the United States of America signed in March 2015, which provides for the pre-clearance in each country of travellers and goods bound for the other country.

This is about making it faster and more efficient to welcome guests to Canada and the U.S. Pre-approved passengers are cleared for entry into the United States by American border officials on Canadian soil before boarding a plane, allowing passengers to avoid long and sometimes frustrating customs lines. They can also fly directly to some airports, such as LaGuardia in New York or Reagan airport in Washington. There are even some pre-inspection sites that are already serving the rail and cruise ship businesses on Canada's west coast.

Pre-clearance is a vital border management program. It enhances border security and improves the cross-border flow of legitimate goods and travellers. It allows for border infrastructure to be used more efficiently, and it makes travelling a more pleasant experience for all. Ensuring pre-cleared, low-risk travellers and cargo move quickly and efficiently into and out of our country is crucial to sustaining and expanding jobs for middle-class Canadians.

I remind the House that our American friends already passed legislation last December, the Promoting Travel, Commerce, and National Security Act of 2016, to implement the agreement south of the border. We are taking the next necessary step to complete the joint partnership with our southern neighbours with the passage of this legislation. This bill formally reconfirms Canada's commitment to the agreement and reaffirms the unique relationship between Canada and the United States.

Central to this relationship are people-to-people connections, and so I will talk about tourism. I am thrilled to report to the House that this past year was the best the tourism sector has experienced in over a decade, and the second best year on record, with almost 20 million international tourists visiting Canada.

International tourist arrivals grew by 11.1% in 2016, the largest annual growth Canada has seen in 30 years. We have another big year ahead of us in 2017 as we celebrate Canada's 150th anniversary of Confederation.

Our government values the tourism industry, which will benefit from this bill. We are well aware that trade and tourism are critical to our economy. An open border is necessary for the success of these two areas of activity. We also recognize that tourism makes a significant contribution to the Canadian economy.

In 2015, tourism generated over $90 billion in economic activity, directly supporting over 600,000 jobs spread from coast to coast to coast across all 338 federal ridings, and was responsible for more than $17 billion in export revenue.

I can assure the House that this government is committed to promoting increased tourism to Canada. That is evident in our support for Destination Canada, our federal crown marketing corporation that is working hard to show the world the incredible experiences and destinations that Canada has to offer. Formerly known as the Canadian Tourism Commission, Destination Canada has a strong track record of working with private sector partners and governments at all levels to maximize the impacts of marketing campaigns.

Budget 2016 provided $50 million over two years to Destination Canada to seize opportunities in important markets, such as the United States. Connecting America is Destination Canada's national marketing program aimed at raising awareness of Canada as the travel destination. Together with the Canadian tourism industry, Destination Canada is engaging American travellers by inviting and motivating them to see Canada. The marketing campaign targeted to U.S. cities like Los Angeles, New York, Chicago, and Miami aims to creatively show American travellers how we are unique and different. Canada is warm and exciting with urban sophistication. Connecting America highlights the variety of unique world-class destinations and experiences that only Canada has to offer.

These efforts are already paying off. From January to December 2016, the number of international visitors who spent at least one night in Canada increased by 11% compared to the previous year. In the first nine months of 2016, tourism injected $74 million into the Canadian economy, which represents an increase of 4.3% compared to the same period in 2015.

As I noted earlier, 70% of international tourists came from the United States. Overnight trips by air travellers from the U.S. increased by 17%, and overnight trips by auto travellers increased 7% compared to 2015. This is fantastic.

These statistics underscore the importance of pre-clearance, which makes it easier for pre-approved American visitors to enter our country and to choose Canada as their top international destination. This is especially true when we realize that international travel between countries represents one of the fastest growing export sectors in the world. A billion international travellers spent $1 trillion annually outside their own borders. In 2015, international tourist arrivals grew by 4.6% to nearly 1.2 billion globally, and these tourists spent over $1.2 trillion U.S.

Also promising is the growing interest in indigenous tourism from international visitors, which can create jobs and generate economic growth for indigenous communities across the country. We are talking about authentic indigenous experiences, and we are working with the Aboriginal Tourism Association of Canada so that we do this right.

To share Canada's natural beauty with the world, we are also investing in our system of national parks, conservation areas, and national historic sites. Together with nearby communities we are working to help grow local ecotourism industries and create jobs for middle-class Canadians. Lonely Planet, The New York Times, National Geographic, Condé Nast, and more have named Canada as the place to be in their top destinations for 2017. The focus on pre-clearance will make travelling trouble-free, and will make all those who visit our country from the United States feel even more welcome.

I would like to remind members and assure the tourism industry, as my colleague the Minister of Public Safety and Emergency Preparedness has said, that U.S. border officers operating in pre-clearance sites in Canada must exercise their duties in accordance with Canadian law, in particular our Canadian Charter of Rights and Freedoms, the Canadian Bill of Rights, and the Human Rights Act.

Allow me now to turn to small and medium-sized businesses. Consider that nearly 400,000 people cross the Canada-U.S. land border every day, along with over $2 billion in goods and services even before we factor in rail, ships, and air and it becomes quite obvious why this agreement matters to Canadians. It matters particularly to SMEs, the key drivers of Canada's economic growth, which are so crucial to Canada's long-term prosperity. I would remind the House that SMEs are the backbone of the economy, employing 90% of the private sector workforce and accounting for almost 40% of the GDP. Border delays can be a significant obstacle to economic growth. Indeed, only 12% of SMEs are exporting. We can and will do better.

We can find Canadian SMEs' expertise in both the manufacturing and service sectors in every region of Canada. My riding of Waterloo is a case in point.

Waterloo's world-class ecosystem has companies manufacturing everything from lab equipment and supplies to stainless steel tubing and carpets. It has the many incredible companies housed at Communitech and the Accelerator Centre, and numerous high-tech firms specializing in everything from drones to digital imaging and semi-conductors. That is before we even talk about the city's three outstanding post-secondary institutions: Conestoga College, Wilfrid Laurier University, and my alma mater, the University of Waterloo. As well, we have the Institute for Quantum Computing, the Perimeter Institute for Theoretical Physics, and the Waterloo Centre for Automotive Research.

Waterloo's close proximity to the Canada-U.S. border makes it just one of many cities and towns dotted along the 49th parallel where the vast majority of Canadians now live and work. All of the small and medium-sized businesses, including tourism operators, in those communities would be better off with a seamless border for pre-approved cargo and travellers.

Increased access to global markets can help innovative Canadian firms to grow and expand into new markets. Our government recognized this in budget 2016 by providing $4 million over two years to renew the Canadian technology accelerator initiative. The program supports Canadian information and communications technologies like life sciences and clean technology firms by providing mentorship, introductions to potential clients and partners, as well as desk space in business accelerators abroad. The program has nine locations, including seven in the United States, to enable firms to more easily export their services and products. I visited the CTA in Boston and have seen first-hand the amazing support the CTAs provide to our Canadian firms expanding in the U.S. markets. Small and medium-sized businesses are major contributors to our balance of trade. In 2013, they were responsible for $106 billion or 25% of the total value of exports. Exporting is vital to the health and verve of Canadian businesses and in particular SMEs. It is worth noting that even though only a small proportion of small firms export, of those that do, roughly 90% export to the United States.

Our government is working hard every day to make sure that businesses have the resources they need to grow and compete successfully in export markets. This includes the CanExport program. CanExport is providing $50 million to help Canadian SMEs take advantage of global opportunities. I should point out that a majority of the CanExport projects approved to date are smaller firms that are less than 15 years old, have less than 20 employees, and less than $2.5 million in annual revenue. CanExport has already approved over 600 projects. It is a central element to the international trade and investment strategy, which I have been working on with the Minister of International Trade.

To help promising small firms grow larger, budget 2016 launched the accelerated growth service to help them scale up and further their global competitiveness. Businesses can access coordinated services tailored to their needs from Innovation, Science and Economic Development Canada, the Business Development Bank of Canada, Export Development Canada, the National Research Council's industrial research assistance program, Global Affairs Canada, the Canadian Trade Commissioner Service, and the regional development agencies. High-potential firms are given more time to focus on their businesses, while an assigned consultant provides strategic advice on how to navigate the government supports available to them and helps them design a business development plan, including for SMEs that want to scale up through exports. We have already engaged 100 firms in the pilot year of the AGS, and we expect to assist an additional 300 firms in the second year of the program.

Only two weeks ago, the Prime Minister announced the creation of the Canada-United States council for advancement of women entrepreneurs and business leaders with the U.S. President. One of many benefits of the council would be greater support for women exporters.

Bill C-23 is another instrument that would build on these initiatives and help exporters get their goods to market more efficiently and securely. Every hour saved in delays at the border increases productivity that benefits Canadian workers and business owners alike. The passage of this bill would be an incentive and would support more Canadian firms wishing to scale up to further their global competitiveness.

The Prime Minister wants our country to take advantage of opportunities to grow our businesses by strengthening the long-standing friendship and enormously successful trading relationship between Canada and the United States.

The implementation of Bill C-23 is the next step. Pre-clearance would reduce congestion at ports of entry and eliminate uncertain, unnecessary, and costly delays at the border. Congestion, excessive paperwork, and uncertainty cost small businesses and tourism operators valuable time and money. In a just-in-time delivery world, pre-clearance would be a time and money saver for small businesses, and it would be a solution. It would also provide privileged access to the U.S. market for Canadian companies, creating new opportunities for firms to expand and export.

Pre-clearance would also make air travel more efficient, enabling 12 million Canadian passengers to avoid lengthy customs lines in the U.S. each year. This would also increase the competitiveness of Canadian airports internationally.

Maybe most important in today's environment, pre-clearance would enable us to determine which people and cargo pose a risk to our shared security space. This would enable both countries to proactively address threats from outside the continent while continuing to ensure that legitimate trade and travel move freely at our borders. This would help to make sure that our society remains open to legitimate immigrants and refugees from around the globe. This is particularly important to me this year, as we celebrate the 35th anniversary of our Canadian Charter of Rights and Freedoms.

There are so many persuasive arguments for supporting this legislation. It would be good for small businesses and the tourism industry. It would be equally good for security, reducing Canadians' risks from external threats. Ultimately, it would be good for Canadian travellers, whose time is precious and who would no longer be needlessly tied up at the border when they have better places to be.

I am confident that Bill C-23 would help ensure that citizens of both Canada and the United States would continue to benefit from an open but secure border that protects our shared economy, shared values, and shared way of life. That would be enormously good for Canadians overall.

Making sure that Canada remains open and that Canadian goods, services, people, and knowledge can reach U.S. markets securely and swiftly will enable us to provide jobs, prosperity, and opportunities for all Canadians.

[Larry Maguire, Conservative, Brandon—Souris, MB]

Madam Speaker, the Conservatives agree with Bill C-23. There is $2.5 billion worth of trade going back and forth across our borders every day, and we know that this would expedite the movement of persons back and forth across those borders.

The Conservative government opened some pilot projects to move in this direction. I wonder if the minister could expand on how this would impact cargo shipments and if the government is looking at more influence on the cargo side, above and beyond what we have already looked at in the pilot projects.