House of Commons Hansard #156 of the 42nd Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was als.

Topics

Alleged Actions of Minister of Indigenous and Northern Affairs in ChamberPrivilegeGovernment Orders

12:10 p.m.

Conservative

Mark Strahl Conservative Chilliwack—Hope, BC

Mr. Speaker, I also witnessed this incident. We have seen it happen in the House before where members have crossed the aisle and it has caused great angst for the speaker. We have even seen that done by other members of cabinet. When this happens, Mr. Speaker, it falls to you as the guardian of this chamber. We have seen that the Liberal cabinet is increasingly upset when opposition members are simply trying to do their jobs. Threatening and intimidating another member of Parliament is completely unacceptable.

I hope that you will review the tape and come back to the House as soon as possible to rule that a violation of the opposition House leader's privileges have, indeed, occurred.

Alleged Actions of Minister of Indigenous and Northern Affairs in ChamberPrivilegeGovernment Orders

12:10 p.m.

Toronto—St. Paul's Ontario

Liberal

Carolyn Bennett LiberalMinister of Indigenous and Northern Affairs

Mr. Speaker, I do admit that yesterday during that vote I did cross the floor and point out to the opposition House leader that the premier of Yukon and Grand Chief Peter Johnston were in the gallery, right over them, and were particularly disappointed that the debate on a very important bill, Bill C-17, did not take place because of the games that were being played in the House. I—

Alleged Actions of Minister of Indigenous and Northern Affairs in ChamberPrivilegeGovernment Orders

12:10 p.m.

Some hon. members

Oh, oh!

Alleged Actions of Minister of Indigenous and Northern Affairs in ChamberPrivilegeGovernment Orders

12:10 p.m.

Liberal

The Speaker Liberal Geoff Regan

Order. There are no points of order during a question of privilege. Once she has the floor again, the minister will finish, and then I will hear from someone else.

Alleged Actions of Minister of Indigenous and Northern Affairs in ChamberPrivilegeGovernment Orders

12:10 p.m.

Liberal

Carolyn Bennett Liberal Toronto—St. Paul's, ON

Mr. Speaker, I apologize if my tone was too strong, but I do believe that the opposition House leader needed to know that the premier and the grand chief were here waiting for that debate.

Alleged Actions of Minister of Indigenous and Northern Affairs in ChamberPrivilegeGovernment Orders

12:10 p.m.

Conservative

Michelle Rempel Conservative Calgary Nose Hill, AB

Mr. Speaker, this is not a question of opinion on how things should go. The minister just admitted that she actually engaged in an intimidation tactic to try to get the opposition House leader to acquiesce to her command. In her admission that she, in her superior position, felt that somehow my colleague should not be able to undertake her role as a member of Parliament is, in fact, proof positive that this was a breach of my colleague's privilege.

I certainly hope, Mr. Speaker, that you take the minister's blatant admission that somehow, because she felt she was inconvenienced during the day, she has the right to interfere with my colleague's democratic elected right to stand up and oppose the government and that you rule in favour of my colleague that, in fact, her privilege was violated.

Alleged Actions of Minister of Indigenous and Northern Affairs in ChamberPrivilegeGovernment Orders

12:15 p.m.

Liberal

The Speaker Liberal Geoff Regan

I thank the hon. opposition House leader for her question of privilege and the other members who intervened on this subject. I will review the tape to try to determine whether or not there is a prima facie breach of privilege.

The House resumed consideration of the motion that this House approve in general the budgetary policy of the government, and of the amendment and of the amendment to the amendment.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:15 p.m.

Liberal

Raj Grewal Liberal Brampton East, ON

Mr. Speaker, it is an honour to rise in this House to speak to the government's second budget, entitled “Building the Middle Class”.

My constituents elected me to serve as part of a government that will help the middle class and those working hard to join it. To be able to represent these priorities of the residents of Brampton East in this House is a privilege.

I am lucky to be a member of the Standing Committee on Finance, which has kept me quite busy thus far. Recently the finance committee concluded a study on tax fairness for all Canadians. It studied tax evasion and tax avoidance. The committee's report contains 14 recommendation for the government on topics such as conducting a review of the voluntary disclosures program and requiring all tax advisers to register their tax products with the CRA.

I am proud to share that in response to the finance committee's recommendations, the government affirmed its support for all 14 recommendations. Additionally, the government shared the work that has already been done or is currently being undertaken to ensure all Canadians pay their fair share of taxes to our great nation.

Paying our fair share of taxes is an essential part of financing measures that enhance all Canadians' quality of life. When certain individuals and companies find ways to cheat the system, it is the middle class that usually picks up the tab. That is totally unacceptable and counterproductive to our country's goals. That is why making the tax system more fair is an ongoing priority of our government.

In support of this objective, budget 2017 proposes to invest additional resources to combat tax evasion and aggressive tax avoidance. Budget 2017 also proposes legislative changes to the tax rules. These changes would close tax loopholes that result in unfair tax advantages for some at the expense of others, invest additional resources to crack down on tax evasion and combat tax avoidance, make existing tax relief for individuals and families more effective and acceptable, eliminate ineffective and inefficient tax measures, and provide greater consistency in the operation of tax rules.

Going forward, we will continue to eliminate poorly targeted and inefficient tax measures and make our tax system more fair and efficient. The government is committed to taking these steps because we know and understand that fairness is essential to ensuring Canadians have confidence in their tax system.

Last year in budget 2016, our government committed to undertake a wide-ranging review of increasingly complex tax expenditures that now exist. This review of federal tax expenditures has highlighted a number of issues regarding tax planning strategies using private corporations, which can result in high-income individuals getting unfair tax advantages. A variety of tax reduction strategies are available to these individuals that are not available to other Canadians. An example of such a strategy is the use of private corporations to reduce taxes through sprinkling income to family members.

Budget 2017 sends a strong signal that the government is taking action to ensure that high-income individuals cannot use strategies involving private corporations to gain unfair tax advantages. The government will release a paper in the coming months setting out the nature of these issues as well as proposed policy responses. In addressing these issues, the government will ensure that corporations that contribute to job creation and economic growth by actively investing in their businesses continue to benefit from a highly competitive tax regime.

A fair tax system requires constant attention. Ongoing legislative adjustments are needed to ensure that rules are functioning as intended, and they do not result in some taxpayers paying less than their fair share, for example, through complicated tax planning arrangements.

To ensure the tax system operates as fairly and effectively as possible moving forward, the government will continue to study, identify, and address tax loopholes and tax planning schemes. Tax evasion and avoidance is unfair to the vast majority of Canadian individuals and businesses that play by the rules.

The measures in budget 2017 will build on previous investments to support the Canada Revenue Agency in its continued efforts to crack down on tax evasion and tax avoidance. To do this, the CRA is increasing its verification activities, hiring additional auditors and specialists with a focus on the underground economy, developing robust business intelligence infrastructure and risk assessment systems, and improving the quality of investigative work that targets criminal tax evaders.

Budget 2017 will invest an additional $523 million over five years to support these efforts. As CRA has a proven track record of meeting expectations from targeted tax compliance, budget 2017 accounts for the expected additional revenue of $2.5 billion over five years from these measures that crack down on tax evasion and combat tax avoidance.

We know that in a globalized world it is not enough to simply concentrate our efforts here at home. We need to have an international focus as well. To this end, Canada is part of a coordinated international effort to address what is known as base erosion and profit sharing or BEPS. BEPS refers to tax planning arrangements used by multinational enterprises to unfairly minimize their taxes. Canada has implemented, or is in the process of implementing, agreed international standards under the BEPS project.

This includes recently enacted legislation which requires large multinational enterprises to provide information about the international distribution of their activities. This information will enable tax authorities to better assess tax avoidance risks. We will continue to work with our international partners to ensure a coherent and consistent response in fighting tax avoidance through BEPS.

Over the past year, we have worked to build a fairer tax system that benefits the middle class. Our review of tax measures identified opportunities that make existing tax measures more effective, equitable, and accessible to all Canadians. Specifically, budget 2017 proposes to simplify and improve existing tax measures for caregivers, persons with disabilities, and students.

Right now, Canadians who are caring for loved ones face a caregiver credit system that is complex and difficult for families to navigate, so we have simplified it by introducing the Canada caregiver credit. This new non-refundable credit will provide greater support to those who need it the most and will apply to caregivers whether or not they live with the family member who is receiving the care. This measure will provide $310 million in additional tax relief over the 2016-17 to 2021-22 period and will support families struggling to take care of loved ones.

Canada is a country founded on the belief that with hard work comes success and that with success comes a responsibility to help others. Canadians share the understanding that success as a nation is only as great as the success of our most vulnerable. They know that challenging the barriers that persist is a necessary part of moving our country forward.

Budget 2017 takes the next step in the government's long-term economic plan, understanding that in the face of unprecedented change, a confident Canadian middle class will always be the beating heart of our country and the engine of our economy.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:20 p.m.

Conservative

Marilyn Gladu Conservative Sarnia—Lambton, ON

Mr. Speaker, the member's enthusiastic speech addressed some of the minutiae of the budget, but seemed to miss the main point of the budget which is that we have racked up a huge deficit, $23 billion last year and $28 billion in the year to come. The whole point of that was to create well-paying jobs and to try to grow the economy. However, the budget 2017 figures clearly show that GDP growth is less than before we spent all of that money.

We are a year and a half into the government's mandate and really no progress has been made on many of the government's promises. The Liberals have not been able to get the infrastructure money going out the door quickly enough, so construction jobs in our country are down by 16%. They have not been able to create well-paying jobs for youth and they are telling them to get used to precarious employment. I could go on. There is no electoral reform, no home mail delivery, no action on pay equity.

The point is that the 2016 budget with all of its spending accomplished nothing. Would the member agree that the 2017 budget with even less spending will achieve less?

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:25 p.m.

Liberal

Raj Grewal Liberal Brampton East, ON

Mr. Speaker, let us look at the facts. Our government is not going to take any lessons from the Conservative Party of Canada on the economy. The Conservative Party had 10 years in government, and what did it have? Let us look at the facts. It had the lowest job growth under any prime minister who served for 10 years. It had the lowest economic growth of any prime minister who served for 10 years.

Let us see what our government has done. We have created 220,000 jobs, mostly full-time jobs, in the last six months. We have decreased unemployment from 7.1% to 6.6%, and it has continued to decline. Our investments are working. We reduced taxes on the middle class. We increased taxes on the wealthiest one per cent of Canadians.

I encourage the member opposite and the entire party to look at the facts and to go and knock on doors, because our investments in the middle class are working and are making the lives of Canadians better.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:25 p.m.

NDP

Karine Trudel NDP Jonquière, QC

Mr. Speaker, we asked the government several times, here in the House, for its definition of the middle class. We now realize that it refers to those earning $90,000 or more a year.

We have also often heard that the definition of middle class includes those who work hard. Then why is there nothing in budget 2017 for all those working hard? There is nothing at all for the forestry workers. We have been asking the government for several months to protect our forestry industry by providing a loan guarantee program. There are more than 11,000 forestry jobs in Saguenay-Lac-Saint-Jean. That represents a lot of work and good jobs. In Quebec, this industry employs 60,000 people. They are mothers and fathers who are putting food on the table.

If the middle class consists of people who work hard, why is there absolutely nothing in this budget for the forestry industry?

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:25 p.m.

Liberal

Raj Grewal Liberal Brampton East, ON

Mr. Speaker, what I never understood about the NDP is its ongoing rhetoric about the working class. Working-class families work in all different sectors, whether they be forestry, aerospace, taxi driving, or truck driving. Do members know what they are benefiting from? They are benefiting from the middle-class tax cut that we implemented last year. They are also benefiting from the Canada child benefit that we implemented last year. They would also benefit from the $7 billion that we would invest in 2017 in affordable child care spaces.

Every time the NDP had an opportunity to help the working class, what did it do? Surprise, surprise, it voted against it. Why do the New Democrats not change their own track record, follow their rhetoric about helping the middle class and helping the working class, and support this government's work of ensuring that all Canadians across the country, if they work hard, are able to achieve success?

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:25 p.m.

Conservative

Kevin Sorenson Conservative Battle River—Crowfoot, AB

Mr. Speaker, it is always an honour to stand in the House and debate the issues that governments and Canadians face, and that Canadians have to deal with.

There was great anticipation about the budget around the country. People were looking forward to a second fiscal strategy put forward by a government that failed, most people would say, with the first one. When we look at the growth rate, the job numbers, and all those, certainly there was failure. There was a hope: I think an expectancy among Canadians that they would see something in the budget that would give them a degree of optimism and hope.

We know some of the problems Canadians are facing. They are facing high household debt. Their hope was that perhaps there would be something in the budget that would help in that regard. We know they are facing skills and training deficiencies, and perhaps there would be something in that regard. We know that Canadians are not saving to the degree they should be, and perhaps there would be something in the budget that would help them. The day after the presentation of the budget, I think all of us would agree there is great disappointment out there. For Canadians, there is no increased hope, no increased optimism, and no increased drive because of things they find in the budget.

What do we know about the budget? We know there is a $23 billion deficit from last year. It was originally projected to be higher, but because the Liberals were unable to get much of their money out of the door, it is a little lower. We know the budget is again written in red ink. It takes Canadians deeper and deeper into national debt. It will increase our debt service charges. It will increase revenues that will go only to service debt, which the government continues to pile up.

Being involved somewhat in former budgets, I can say that we put in place strategies to bring us back to balanced budgets. When the world went into a global recession, Canada was the last to enter into that recession and we were the first to leave it. Why was that? It was because we had a strategy to come back to balanced budget. We understood the importance of keeping our economic house in order, of taking fiscal responsibility for our country. We understood that Canadians expected that of us.

It seems that, even with this budget, Liberals do not seem to care if the federal books are balanced anytime soon. They have gone beyond “budgets will balance themselves”, a quote our Prime Minister gave Canadians, to a frame of mind that is not even concerned about the debts that are being amassed and left to our children and grandchildren to pay off.

I want to be clear. In our 10 years in government, in the first two years we paid down national debt. We took surpluses and paid down just under $40 billion to our national debt. When the entire world went into the worst downturn and recession since the Great Depression, many countries were in massive trouble. We saw that their currency was failing, that their banks were failing, and that their whole plans were failing. We know about Greece and many of those countries, like Iceland and others. There were massive problems. However, Canadians knew they had people at the rudder who understood economies and knew what they had to do.

Although we were opposed to debt and deficit spending, we realized that in the worst recession since the Great Depression we would invest to kick-start the economy, and we did, as every G7 country did. We make no apologies for that. The largest infrastructure spending, the largest infrastructure program in Canadian history, was brought forward by a Conservative government to kick-start the economy. Therefore, the question should be asked, and it is fair to ask because we will ask it of the Liberals. Did that strategy work? The answer is obviously an unequivocal yes. It did work.

We saw that Canada was the first to leave that recession. Out of all the G7 countries, Canada was the very first to leave that recession and come back to growth. We saw that those investments were in long-term infrastructure that would be around for decades, that would help grow economies, and it worked. We know that we came back to our surplus and balanced budget, as we had promised. In fact, some would say it was a year earlier than we had promised. We paid down that $40 billion and went on to watch our economy grow.

I listen to questions being posed by Liberals here, and many of them are new, as the Liberals had 30 seats before and they have 160 now. The Liberals have a majority government, but many of them are first-time MPs. They say we ran up a big deficit; we ran up debt. The answer is yes, we did, but we had the plan to come back.

The Liberals had a plan to come back. They spent, went into deficit and massive debt, but they had a plan to be back to a balanced budget in 2019. However, now our parliamentary budget officer is saying that it is going to be 2030 or 2035. It will be 30 years down the road before we see any kind of plan that can feasibly bring us back to balanced budgets.

We cannot do that. We cannot fall into that trap. We cannot become a country that has that type of massive debt, and we must do what we can. I think in the next election, the very first main plank in coming back to balanced budgets will happen, and I am very optimistic going into that.

On jobs, our focus as a government during the recession was how we would hold on to the jobs we had and how we would create new ones. We invested in innovation and skills development. We invested in making sure we had the best labour force in the world.

However, we did something more than that. We said we had to make sure our tax regime was such that we could be competitive around the world, first of all. We need to sell our goods into a global market, and we have to be certain that we could be competitive. There is no use trying to have a job, make a gadget, and try to sell it if it was be so over-priced that nobody would be willing to buy it. Therefore, we made sure that our taxes kept going down. In fact, we lowered our taxes more than 160 times. We had the lowest tax rate among the G7 countries. Bloomberg said that we were the second best place in the world to do business. That is why we came out of the recession early.

We sat down with employers and business and asked what it would take to have them hold the jobs they had or create new ones. They were very clear. They said not to do things like raise payroll taxes or increase their level of taxation. Therefore, with what I thought was agreement of all parties, we said we would lower the small business tax rate from 12% to 11%, and we did, and then from 11% to 9% phased in over three or four years. We were committed to that. In fact, all parties were committed to that. However, right after the current Liberal government was elected, it made sure that was one promise it would not keep. The Liberals would say to our small business sector, “Why would we ever lower taxes?”

We consulted with Canadians. We consulted with businesses. We hoped to save jobs and secure economic growth during that difficult time. This is why we incurred budgetary deficits. It is also why we created opportunities for young Canadians and saved jobs during an economic recession.

There was a very fragile economic recovery that followed the recession around the world. Too many nations had a difficult time recovering from the recession. It was painfully slow. However, our government immediately pursued getting back to balanced budgets, showing Canadians and the world confidence in our dollar, showing Canadians and the world that we were getting our fiscal house in order, and our dollar reflected that.

Canadians understood that the difficult economic times were over. By 2015, we had brought forward a surplus in the federal budget. Canada was ready to confront another global crisis.

Governments normally only go into deficit if there is a crisis confronting their nation. Governments with budgetary surpluses or balanced budgets have the ability to combat something new. I really fear that with the level of debt we are seeing the Liberal government piling on Canadians, we would not have the capacity to react effectively if there is another massive crisis or global downturn.

In the last budget, the Liberal government said it would be investing in infrastructure. I think all Canadians know the story. During the election the Liberals promised that there would be an itsy-bitsy deficit of $10 billion. The Prime Minister said, “We can do a lot with $10 billion. It sounds big, but we can do a lot with $10 billion.” Then when he came to power, we found that the $10 billion had grown to nearly $30 billion. That was the concern then.

That money was supposed to raise growth. It was also supposed to get the jobs market and the building sector going. It has been a failure all around. The government has had a hard time getting the money out, and the growth has not been there. In fact, there has been less growth. Growth is happening in the United States and all around the world, but it is certainly not happening very quickly here in Canada, in spite of all the measures that the Liberals took in their 2016 budget.

Why would Canadians have hope in this budget? What is in the budget that they could find some hope in? Well, we can listen to the media. I am not one to encourage people to do that too often, but even the media recognize that the budget is probably one of the weakest budgets ever. I spoke to a former Liberal member of Parliament yesterday; he said that this is the most nondescript budget that he has ever seen. That was coming from the Liberals' own benches.

Where should Canada be? Canada should be in its third year of budgetary surplus. This year the Government of Canada should have a surplus of tax dollars to spend without borrowing. The interest payments on Canada's national debt should be decreasing, but the budget book shows us that the interest Canada will have to pay is increasing. We know that when we service debt to the degree that the Liberals will have to service debt down the road, that money is not going to go anywhere else. That money is not going to social programs. That money is not going back into education or health care. The Liberals seem to feel that they will just print more money or that they will just go deeper into deficit.

There are consequences to the actions we take. I warn the Liberal government that there are massive consequences to not having a plan to come back to balanced budgets. There are consequences to increasing deficits and national debt. This generation may not face those consequences, but for our children and grandchildren it will be difficult.

The 42nd Parliament should be in a position now to pay down Canada's national debt. Instead, the Liberals are not spending money to create jobs or grow Canada's economy. They are actually adding to the national debt instead of paying it down. They are leaving their debt for future generations.

The Liberal government has even failed to achieve the economic and employment objectives presented in its last year's budget. Budget 2017 needed to include no further tax hikes on Canadian families, businesses, seniors, or students, but instead needed immediate measures to encourage companies to hire young Canadians and to address the youth unemployment crisis. It should have included a credible plan to return to a balanced budget by 2019, as promised to Canadians. This budget has failed Canadians. The Liberals have failed Canadians with their second budget. There are no new job creation incentives. There are only more education opportunities.

Young students I know are coming out universities and colleges hoping for a job, but the government says, “We'll see if we can get you to take more education after that.”

There is no plan to balance the budget.

According to the parliamentary budget officer, budget 2016 did not meet employment targets because infrastructure investments were delayed, and there were many other reasons. The Liberals get an F. They get an A for announcements, always—Liberals are great at that—but when it comes to delivery, they are looking at a D or an F, because Canadians end up paying the costs.

In Alberta, the new Building Canada funding that was promised to municipalities was withheld by the NDP provincial government. Five rural municipalities have been told to wait or have been left behind altogether. I will even give it to the Liberals in that I think when they sent that infrastructure money to the province, they expected the province would send it out to where the priorities were, but the provincial NDP party said, “No, we're putting it into our general revenues, and then we will pick the priorities sometime down the road.” I think even the Liberals would shake their heads at that one.

No wonder there is no growth. No wonder there is no incentive. No wonder there are no kick-starts in Alberta. The province has the latitude to use the large majority of those infrastructure dollars as it sees fit, but the funds did not go where they were expected to go. It is a massive loss of opportunity for those municipalities, and in some cases the rural municipalities seem to be having the majority of the problems in that respect.

The Liberals also failed to grow the economy with their budget. The economy grew by 1.4% in 2016, which is 0.5% lower than what they had anticipated and claimed it would be in their 2016 budget. They believed it would grow by over 1.8%. They would kick all this money into it and see this massive growth. The previous Conservative government had economic growth of 1.8%, so the Liberals thought they could at least count on that with these extra massive spending measures. When we were investing in infrastructure, the Liberals claimed that we were not investing enough, that we were not spending enough money. They spent a lot more and they realized a lot less growth in the economy. They got less bang for the buck. They had less success. They had lower results. That is the record of the Liberal government.

What did the Liberals do with the $30 billion? What did they accomplish? Well, it is not in jobs and it is not in new revenues coming in.

I want to conclude with two things.

First, I want to talk a bit about our neighbours to the south, the United States. I want to talk about our relationship with them. I think the Liberals backed off on a lot of measures and I think they would have put it to Canadians even more than they have with this budget if it were not for the Trump administration and the knowledge that the U.S. is going to very quickly lower its corporate tax rate.

When we came into power, we lowered our corporate tax rate from 22% to 15%. That created jobs. Our business sector said, “We will create jobs”, and it did, coming out of that recession. Now the Americans are talking about taking it down from 35% to 15%.

We need to be very concerned about businesses making the trip back to the United States, businesses settling down again in the United States. We need to have a plan.

When we lowered that tax rate, we saw head offices and companies, especially in manufacturing, coming into Ontario and across Canada. We need to be cautious. The Americans are here and they are going to compete, and we need to be certain that we are competing at an equal level. We cannot compete at an equal level if we continue to raise the tax burden on them. We cannot increase our manufacturing sector and our business sector if we increase EI and CPP and say, “Here are some extra taxes for you to pay.” Then there is the carbon tax and things like that.

The Americans are competitive. We had better be competitive. The Liberal government's budget nickels-and-dimes Canadians, but it really hits business.

Mr. Speaker, I see my time is up. I thank you for the opportunity to speak, and I look forward to some questions.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:45 p.m.

Spadina—Fort York Ontario

Liberal

Adam Vaughan LiberalParliamentary Secretary to the Minister of Families

Mr. Speaker, I listened with interest and respect. I recognize the member opposite's focus is on one part of the debt, that being the government debt, the public debt. However, the infrastructure deficit in this country is close to $600 billion. It impacts competitiveness. It impacts the ability of businesses to get products to and from their market. It impacts the ability of people to get to and from work, and students to get to and from school to get training for the jobs they need.

This budget makes unprecedented, historic investments in municipal infrastructure. We hear it from mayor after mayor across this country. In light of the fact that our other partners in government, at the local level in particular, are celebrating this budget, does the member opposite not recognize that the investments in infrastructure are what is producing the GDP growth in this country to a great extent, in spite of very tough headwinds coming out of the resource sector, and that this is critical to the future of this country? If we do not have the infrastructure, we cannot build an economy. We cannot balance the books without good infrastructure.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:50 p.m.

Conservative

Kevin Sorenson Conservative Battle River—Crowfoot, AB

Mr. Speaker, infrastructure is very important. That is why we brought forward the Building Canada fund when we were in government. We brought forward a number of infrastructure programs that were the largest at that time.

Yes, the Liberal government has piled on more infrastructure funding—or should I say announcements? The announcements have been made, but the funding is not happening. The announcements have been made, but the shovels are not in the ground. The announcements have been made, and remade in some cases, but people are not being hired to fill the jobs for that infrastructure.

Do we have an infrastructure deficit in this country? I think we do. We have an aged and growing infrastructure deficit, unquestionably, but in all fairness, we have to make sure that it is not only the federal government that is providing for infrastructure; we have to make sure that we are also including the private sector in the infrastructure deficit. The private sector needs to be involved to add funding and provide efficiencies so that projects can be completed on time and on budget.

I do not know if the current government has a plan on its infrastructure, other than being Santa Claus. I am not certain there is a strategy on how it wants to do it, unless it is a political one. However, I do not see a lot of money being put into a driving economy where there would be that growth that we need. My home province of Alberta is a prime example. Ontario has its manufacturing sector, but Alberta is a driving economy that needs to be kick-started again.

We have problems with the provincial government there. We need something that will get people working again. There are over 100,000 oilfield workers out of work. That is totally unacceptable, yet we see infrastructure dollars going here, there, and everywhere. In fact, in the oil sector we see some of the incentives for exploratory drilling being taken away.

In a downturn, we should incentivize jobs and job creation. However, the Liberals take them away. I am not going to go into this long list of the bad things that they have done in this budget, but I can say that when we are not including infrastructure dollars or helping create exploration in the oil sector, we cannot expect to get new jobs in that sector. Maybe that—

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:50 p.m.

Liberal

The Assistant Deputy Speaker Liberal Anthony Rota

Questions and comments. The hon. member for Cowichan—Malahat—Langford.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:50 p.m.

NDP

Alistair MacGregor NDP Cowichan—Malahat—Langford, BC

Mr. Speaker, during the member's speech, he alluded to the fact that the Liberals are masters of the long promise. When we get past the flowery language and all the hope and optimism contained in that language and we look at the real numbers, a lot of this funding is back-ended and would be contingent on the Liberals being re-elected in 2019. We can see right now that the Liberals are building a budget today for the 2019 election, and we still have another two and a half years to go.

My specific question for the hon. member is regarding a good program that was set up by the previous Conservative government, the eco-energy retrofit program. The Liberals love to talk about how the environment and the economy go hand in hand. It seems to me that if there was one program that lived up to that phrase, it was the eco-energy retrofit program, a program that, during its course of action, helped 640,000 Canadians. The number of dollars invested in it had incredible spinoff effects in local economies, in builders, and so on, and we reduced our energy consumption. It seems to me that if we are trying to get serious about protecting our environment and reducing our energy use and putting people to work, such a program would be a natural fit.

I would like to hear the member's comments on having some hope sometime in the future of getting that program started and on how useful it was to Canadians.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:55 p.m.

Conservative

Kevin Sorenson Conservative Battle River—Crowfoot, AB

Mr. Speaker, the member's question is a good one. It is twofold. First, he correctly observed that many of the promises in this budget are back-loaded. They are loaded down the road. We will see very little benefit in the very short to medium term, but we will see this investment in the long term.

I was speaking to our member who is our defence critic, the member for Selkirk—Interlake—Eastman, and he said that for some of the defence spending, although the Liberals announced a big amount, when we look at the small print, it will be over 30 years. I have been here when we have done budgets, and if we did something over five years, members would say, “That is not for this year, that is over five years”.

The Liberals have said two things. First, for much of their budget today, we would see benefits just before the next federal election. It was announced today, and it will be re-announced maybe in 2018 and again in 2019, just before the federal election. Again, the Liberals back-load these things. They make promises so far down the road that we may not be here 30 years down the road. That is the Liberal plan.

On the program my friend from the New Democratic Party talked about, the eco-energy retrofit program, it was a program to encourage Canadians to have upgrades in their homes or other places, and the government would help with some of those costs. I had, and I am sure other members had too, constituents, seniors, who said that maybe they could get a new furnace or better windows and really save some money and save some energy. In my riding, they were more concerned about saving money in their pocketbooks than about the energy thing, but we all want to save where we can. When we start hitting people in the pocketbook, that is when they really are incentivized to do something.

Again, we see nothing, really, in this budget. In fact, I heard one Liberal member say that the last budget was the economy budget and this one is not. I think we would all agree that there is very little here for anyone in this budget.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:55 p.m.

Conservative

John Barlow Conservative Foothills, AB

Mr. Speaker, we have heard from farmers and ranchers in my riding, a rural riding in Alberta, about the impact the carbon tax will have on their farms and ranches. We are hearing between $10 and $15 per acre and $30,000 per family farm. I wonder if my colleague could talk about the impact this budget would have on farms and ranches in Canada.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

12:55 p.m.

Conservative

Kevin Sorenson Conservative Battle River—Crowfoot, AB

Mr. Speaker, it should not surprise anyone that the Liberal government's budget is not a budget that will help agriculture, and it will certainly not help farmers. In fact, it gives nothing new to agriculture or farmers except by taking something away that they have already.

On page 28 of the Liberals' tax measures document, they talk about a consultation process they are now doing to take away the cash purchase tickets for grain. When a farmer delivers a listed grain, whether it is wheat, canola, barley, oats, rye, or anything, they can sometimes deliver it in the fall to beat the winter rush and not get a cheque but have it deferred to the new year. The government says that farmers may be avoiding some taxes by doing that.

Farmers are delivering grain. They are not getting the money yet but are having the grain company hold the grain. We call it deferral. We need to discuss this, because if they paid it in the last year, they may have been in a high-tax year. Of course, the Liberal government is trying to grab every tax dollar it can. The Liberal government does not get it when it comes to agriculture.

There was a slight mention in the budget of the Alberta beef farmer. That is what the minister said, and then he said nothing else about agriculture. Shame on the Liberals. Agriculture feeds our country, and the Liberals have abandoned it.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

1 p.m.

Liberal

Hedy Fry Liberal Vancouver Centre, BC

Mr. Speaker, I rise today proudly to support this budget. I think it is everything one would expect of a good Liberal budget. In 2016, the budget looked at how we would help the middle class and those hoping to join it get more money in their pockets. The child benefit and the lowering of taxes for the middle class facilitated that. If we look at the data a year later, we find that there was an increase in spending on household items and in general retail spending. It achieved what it wanted to achieve.

Budget 2017 is focusing on jobs, focusing on how people in the middle class can get good, solid, permanent, well-paying jobs and how industry and sectors that create jobs can actually create more of those permanent, well-paying jobs for people to get. This is a budget that builds on the last budget. This is a budget that says that here is how we move people into that place where they get such jobs.

We know it is not enough just to say that we want to create new jobs. We know that government in itself does not create new jobs. However, we can create a climate. We can foster and give initiatives to businesses and industries to create jobs. We know that in Canada we have good education and good workers who are intelligent and understand the issues. We need to move into the new sectors of work, the global economy. We know that innovation is where we are going to get Canadian citizens to find jobs.

In speaking to that, we also needed to look at a gendered budget. How do women fare in this new world of work? How are women going to get opportunities? We saw with infrastructure that only 2% of women work in infrastructure projects and construction. We know the reason they do not. They have told us over and over that this kind of work needs flexibility. It needs the ability to sometimes spend long hours working, and sometimes not working because of the weather. Therefore, being able to put $7 billion over 10 years into fostering not just child care but good learning and development for children for the next generation is the most important thing we can do in helping women get into the workforce and the well-paying permanent jobs we are talking about.

By the way, l am just reminded that I am splitting my time with the member for Vaughan—Woodbridge.

It is not only child care. It is looking at how we can help families adjust to the world of work so that they can be more flexible. It is allowing women who are pregnant to have another four weeks of maternity leave if they choose, and I add that everything is if they choose, and also ensuring that we move from 12 months to 18 months of parental leave that is flexible. Parents can decide who wants to stay at home and who wants to balance that world of paid work and that world of helping to raise their children. We have set a standard kind of formula for people to make a decision on how they do that.

The second part of getting people to work is to create ways in which people can have access to skills training and post-secondary education. It is to facilitate a clear way of getting adults who are already in the workforce but only have part-time work and are not in that world of good-paying jobs to go back to university. We are suggesting student grants that would let people who are working part-time get access to that kind of training.

We also know that EI has been changed so that if people are working in particular jobs, but they are not long well-paid jobs, they may be able to get training at the same time they are working on that older job.

We are also looking at how student loans can become a flat-rate student loan system. In the old days, people could not qualify if they owned a home or if they were working part time. We are now saying that if people own a home and are working part time and have children, they can have access to an expanded flat-rate student loan program. This is about getting people into the workforce.

Now we have to talk about how to get those jobs created. Helping industry and businesses move into this new world of work is something we are going to do.

We are talking about innovation in areas in which Canada already has a strong reputation in those sectors. We are focusing on five sectors. This is not the end of it. We are starting by focusing in areas.

There is agrifood. This is good news for my province of British Columbia. We are looking at advanced manufacturing, which is good news for people in Ontario and in Quebec.

We are also looking at clusters in biotech and health sciences. British Columbia biotech and health sciences are creating clusters and hubs of new innovation in health sciences. Of course, we are looking at pharmaceuticals and creating hubs for delivering that. We have Triumf in British Columbia. All these groups are going to benefit in creating these new kinds of jobs.

There is also clean tech. The Minister of Innovation, Science and Economic Development recently came to British Columbia. British Columbia has only about 13% of the Canadian population, but we are creating 33% of the high-tech jobs. Helping us to move forward into those areas, looking at innovation and clean technology, will not only benefit my province but every province.

One thing that has always been a priority for British Columbia is housing. Housing prices are going beyond anyone being able to afford a home. By putting what I consider to be a good amount of money in these areas, the federal government is getting back in to national housing, working with provinces and territories, municipalities, NGOs, groups that create housing, the private sector, and other areas where housing is being created. However, we know we cannot do everything in one, two, or even three years. What the minister heard when he did his consultation on national housing, was that we should focus on the most vulnerable.

The budget will do exactly what the minister heard. It focuses on seniors, on mental health and addictions, veterans, and housing for aboriginal people. We have a huge urban aboriginal population in the city of Vancouver. The west also has a huge urban aboriginal population, as well as on reserve, that need access to good housing.

We are also back again to this gendered budget, in which we say that a lot of women fleeing violence are going to be on that list of priorities.

We also recognize that we cannot make good public policy unless we have good data. We are putting $40 million in to Statistics Canada to develop to a housing statistic framework to look at how we get data and not just perception, perception that says foreign buyers are driving the prices up, etc. We need good data to find out who is doing what, where, when, and what is needed, how mortgages are affecting first-time buyers.

Then we are looking at that full spectrum of housing by putting in extra money. We are expanding the homelessness framework, with $2.1 billion. We are looking at the full spectrum of needs, from homelessness to SROs, which are single room occupancies, to affordable rental housing, which at the moment is where the bottleneck occurs. Being able to help young people and first-time buyers to buy a little starter home, working with CMHC and core housing is the kind of spectrum and partnerships we are building in creating housing.

How does housing help? Housing is a human right, the ability for a family to have a safe place to bring up their kids, an ability for those kids when they grow up to get a good education and skills training. We are looking at that whole continuum of how we help Canadians achieve the kinds of opportunities they need to fulfill their potential, to get work, to find good jobs, to spend money, which helps the economy. We are looking at how businesses in this new world of work actually get that work to the people.

I am so proud of the budget. On transit and getting people to and from work, the Broadway line that will be built in my riding and extended into Vancouver Quadra is great news. Our mayor has already issued a press release saying how pleased he is with some things in the budget, which will fulfill the needs of the people in Vancouver, and the needs of other mayors and people in British Columbia.

This budget not only serves British Columbia well, it not only serves the city of Vancouver well, it serves the whole country well. I am proud of this good, well-thought-out, comprehensive Liberal budget.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

1:10 p.m.

Conservative

Harold Albrecht Conservative Kitchener—Conestoga, ON

Mr. Speaker, I am sure it will come as a surprise, but I really agree with the first part and the last part of what my colleague said. She said that this was the kind of Liberal budget she was proud of and would expect, the kind of Liberal budget that would produce higher taxes, bigger deficits, all the while nothing to show for it.

My concern is with the middle of the speech where she talked about the early learning and child care program. She used the phrase, “if they choose”. I wonder if my colleague recognizes that there are hundreds of families in the country, even if they chose institutional child care, would not be able to access it. People in northern and remote rural villages are not able to access this kind of child care, yet they are obligated to pay for it.

On page 234 of the budget, it states, “More accessible and less costly child care will help all children get a better start in life”. Really? The Liberal government is saying that the better start in life for all Canadian children is institutionalized child care. What about the moms or dads or the grandpas and grandmas who choose to care for their children or grandchildren? Are they getting less than good child care or early learning experience? Does my colleague agree this is the only way to give children better care?

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

1:10 p.m.

Liberal

Hedy Fry Liberal Vancouver Centre, BC

Mr. Speaker, the term “selective hearing” is an interesting one, and that is a prime example of selective hearing. I did not say that child care was available for those who chose to take it. I said expanded maternity leave and expanded parental leave for those who chose to take it. I did not say child care was the choice. However, we always know that child care is a choice.

My colleague talked about increased taxes. This Liberal budget did not increase taxes. The Liberal budget showed that in 2016, by decreasing taxes for the middle class, we put an increased amount of money in their pockets. Retail spending and spending for household appliances increased. Spending fosters work. Spending expands business. That showed it worked.

Finally, on the issue of early childhood development and learning, the member should read Fraser Mustard, and every book that has been written about the early brain and the childhood development of the early brain in early learning.

Financial Statement of Minister of FinanceThe BudgetGovernment Orders

1:10 p.m.

NDP

Karine Trudel NDP Jonquière, QC

Mr. Speaker, I listened carefully to my colleague's speech.

I would like to make a comment about day care. One of our campaign proposals had to do with day care because there is a desperate need for action in that area. In Quebec, we are lucky to have a good child care system, but elsewhere in Canada, families have to pay a lot of money to send their children to day care.

Right now, the government is offering mere peanuts to meet families' child care needs, and these measures will not take effect for another year. Once again, we can see that the government is planing its budget in preparation for 2019. There are no practical measures for 2017 and 2018.

I would like to draw a parallel with SMEs. My riding of Jonquière is home to many small businesses, and they had high expectations. The Liberals campaigned on the promise to lower the tax rate for SMEs. That should therefore be part of the budget in order to help our small businesses.