House of Commons Hansard #40 of the 43rd Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was chair.
Andrew Scheer Conservative Regina—Qu'Appelle, SK
Madam Chair, nobody believes that. This is the government that gave $50 million to Mastercard and $12 million to Loblaws, a government that racked up 80 billion dollars' worth of new deficits before the pandemic hit. Nobody is buying what the minister is selling.
However, the Bank of Canada is buying a lot of debt that other institutions are selling. It is buying government bonds and corporate bonds, at $5 billion a week. Where is the Bank of Canada getting the money to buy all of those bonds?
Jean-Yves Duclos Liberal Québec, QC
Madam Chair, I am thankful for the opportunity to add a bit more to my earlier answers.
We started with three very important strengths: an economic strength, as we were one of the countries in the world growing the fastest; a fiscal strength, as we have one of the best fiscal positions; and an institutional financial strength, which we have been glad to use in the last few weeks.
The Deputy Chair NDP Carol Hughes
I just want to remind members that the length of the answers and questions should be about the same. I am mindful of the time.
The hon. Leader of the Opposition.
Andrew Scheer Conservative Regina—Qu'Appelle, SK
Madam Chair, the minister talked about a balance sheet. The balance sheet of the government racked up 80 billion dollars' worth of debt before the health pandemic hit. Now the Bank of Canada's balance sheet has quadrupled. It has gone from $120 billion to $500 billion because it has bought debt; it has bought bonds.
Again, where is the Bank of Canada getting the money to buy the bonds?
Jean-Yves Duclos Liberal Québec, QC
Madam Chair, I am sure the member opposite will agree that we are fortunate in Canada to be able to count on the support of an important institution like the Bank of Canada, which in normal times does a great number of important things and in times of crisis is even more important.
Andrew Scheer Conservative Regina—Qu'Appelle, SK
Madam Chair, the Bank of Canada is buying all kinds of different bonds. In fact, it is doing so in a secondary market, which means the first people to get the new money the Bank of Canada is creating are bondholders, hedge fund managers and corporate institutions. The Bank of Canada is also buying record amounts of corporate bonds.
Many of these companies are facing significant hardships. Who pays if the corporations go bankrupt?
Jean-Yves Duclos Liberal Québec, QC
Madam Chair, I want to remind the member about something he knows really well. In Canada we are fortunate to have very strong financial and banking institutions, which we are all proud of in normal times and depend on very much in times of crisis.
The Assistant Deputy Speaker NDP Carol Hughes
We will suspend the sitting for a few moments because I am having computer problems.
(The sitting of the House was suspended at 3:03 p.m.)
(The House resumed at 3:17 p.m.)
The Assistant Deputy Speaker NDP Carol Hughes
I will report the matter of decorum that was raised to the Speaker.
Mr. Speaker, I would like to share with you a point of order that has been raised. The hon. member for Burnaby South called another hon. member a racist and did not want to apologize. I submit this point of order for your consideration.
Comments by the Member for Burnaby South—Speaker's RulingPoint of OrderGovernment Orders
Liberal
The Speaker Liberal Anthony Rota
Thank you, Madam Deputy Speaker.
Mr. Singh, I must name you for disregarding the authority of the Chair.
Pursuant to the authority granted to me by Standing Order 11, I order you to withdraw from the House for the remainder of this sitting day.
[And Mr. Singh having withdrawn:]
Comments by the Member for Burnaby South—Speaker's RulingPoint of OrderGovernment Orders
Liberal
The Speaker Liberal Anthony Rota
I will now leave the chair and the House will resume the work of the committee.
The House resumed consideration in committee of the whole of all of the votes in the Supplementary Estimates (A) for the fiscal year ending March 31, 2021, Mrs. Carol Hughes in the chair.
The Acting Speaker NDP Carol Hughes
We are now returning to the committee of the whole.
The hon. member for Richmond—Arthabaska.
Alain Rayes Conservative Richmond—Arthabaska, QC
Madam Chair, today we are in the House for a relatively short amount of time since we have only four hours to talk about the government's $87 billion in spending.
Before getting into the questions I have for the government, I thought I would crunch some numbers. We are going to spend four hours discussing $87 billion. That represents $362.5 million a minute or roughly $6 million a second. That is how much time we have to talk about the Prime Minister's announcements and all the questions on the minds of Canadians, businesses, organizations and all parliamentarians across the country. I am sure the Liberals across the way get asked the same questions by constituents. Unfortunately, they are unable to provide any answers.
Earlier today, during the sitting of the Special Committee on the COVID-19 Pandemic, I asked the Minister of Finance some questions on the economic update, or economic snapshot, as the Prime Minister calls it. Apparently the Canadian Parliament is incapable of doing as other countries or provinces have done and present a real economic update or a budget so that we can see where we stand after all of the announcements that have been made in the past three months.
In what little time we have every day to ask questions, we cannot even get basic information, such as the amount of the deficit or the debt, or the amount associated with a government announcement. I think that this shows a lack of respect for the parliamentarians here in this House and for Canadians who work hard to earn a living and support their families. Canadians pay taxes, which are used to provide services to the public and to those who are most vulnerable or in need.
Today I am relating the comments of the Parliamentary Budget Officer. The Conservatives are not making any of this up. For weeks now, we have been asking for an economic update. We are going to vote supply without knowing any of the details. Actually, we just learned that we will get all the facts in a few weeks, on July 8, so we have a bit of time today to ask some questions.
Even the Parliamentary Budget Officer has said that the Liberals' estimates are incomplete. The Prime Minister is talking about some really big numbers, in the billions of dollars, on the steps of his cottage instead of convening Parliament so we can debate the issues and legislation or ask questions. We are being left on our own to do our work as MPs in our ridings and help our constituents. The last three weeks have been extremely frustrating. We have received little information and we cannot meet with anyone in the halls of Parliament to get some help to do our work as MPs in our ridings. We do not have the opportunity to speak with the right people who might be able to get answers for our constituents and the businesses in need.
My first question is rather simple and I hope someone will be able to answer it. A month ago, following pressure from the Conservative Party, the Prime Minister stood on the steps of his cottage and announced that businesses that have just one employee or that pay themselves in dividends would finally have access to $40,000 in loans through the Canada emergency business account.
As much as we have gotten some answers during briefing calls, we still do not know when this information will be communicated to the financial institutions and credit unions so that businesses can receive that emergency assistance.
When will those $40,000 loans be available to businesses with just one employee or that pay themselves in dividends?
Jean-Yves Duclos LiberalPresident of the Treasury Board
Madam Chair, my colleague's question was a long one, which gives me an opportunity to provide a fulsome response to his fundamental concerns.
The first point he raised, and I want to emphasize this, is that Canadians are working hard and are struggling under the very complex circumstances we have been experiencing for many weeks. The second thing he said is that MPs' work is also very demanding under the circumstances.
Because of the situation, our measures were both urgent and implemented transparently. Every two weeks, the Minister of Finance makes a complete report available to the House of Commons Standing Committee on Finance. The Standing Committee on Finance and the Standing Committee on Government Operations and Estimates meet regularly. An open data portal is also available. It proactively makes information available to MPs. About 150 COVID-19 files have been proactively disclosed. Lastly, there is the Government of Canada's InfoBase, which provides detailed information about all the measures we have announced.
Alain Rayes Conservative Richmond—Arthabaska, QC
Madam Chair, unfortunately, my question was not answered.
Some businesses are trying to get the emergency loan. The Prime Minister announced it a month ago in front of his home. This information is still not available and is not found on any official site. There is not one financial institution that can provide answers to businesses that need this money today when provinces are fully reopening.
There is another question that I would like to ask the government. It is now mid-June. On April 22, there was a major announcement about helping students, and that if they wanted to volunteer to help the vulnerable dealing with COVID-19 they would receive up to $5,000 in grants. I checked the website again this morning. There is no information about this.
When will the information be available?
Jean-Yves Duclos Liberal Québec, QC
Madam Chair, indeed, I did not had time to answer the last part of the opposition member's question. The site for the Canada emergency business account will be available on Friday and will contain the updates that the member would like to see.
As for youth, I obviously do not have time to provide all the details, but we have put in place significant measures to help youth living under very difficult circumstances. I invite the member to note the statistic of 40%, as that is the unemployment rate of students who want to continue their studies in the coming weeks. Even though the member is not listening, I would add that that is why it is important to continue working hard for youth, to ensure that they can continue their studies and have everything they need to succeed.
The Deputy Chair NDP Carol Hughes
With only nine seconds remaining, there is not enough time for another question.
The hon. President of the Treasury Board.
Jean-Yves Duclos LiberalPresident of the Treasury Board
Madam Chair, I am delighted and honoured to address the House today in an extraordinary context.
Thank you for, Madam Chair, for this opportunity to discuss, in particular, supplementary estimates (A) for 2020-21.
As committee members know, every year, the government tables the supplementary estimates, which sets out its spending plan.
These supplementary estimates present information on spending requirements across federal organizations that were either not sufficiently developed in time for inclusion in the main estimates or have since been updated to reflect new developments.
This is the first supplementary estimates to be tabled this fiscal year. It includes a summary of the government's additional financial requirements and an overview of the main funding requests and horizontal initiatives.
The Supplementary Estimates (A), 2020-21, also shows that the government is continuing to invest in people, in workers, in the economy and in support related to COVID-19 to ensure the country's success and economic recovery.
Parliamentarians will have the opportunity to review and vote on these allocations, which seek to provide important services to indigenous communities, safe and secure transportation for travellers and support for Canada's armed forces. This is in addition to COVID-related expenditures.
Specifically, these supplementary estimates include $6 billion in operating and capital expenditures, grants and contributions to be voted on by Parliament for 42 different federal organizations. These voted measures represent a 5% increase over those included in the main estimates for 2020-21 that I tabled on February 27, including more than $1 billion for the government's response to the COVID crisis.
For the purposes of parliamentary information and transparency, the supplementary estimates also includes forecasts of statutory expenditures totalling $81.1 billion. It is important to note the key difference between voted spending and statutory spending. Voted spending requires the annual approval of Parliament through what is called a supply bill, whereas statutory spending is approved through other laws. The current estimates contains information on statutory spending to enable parliamentarians to have the most comprehensive information available on the spending planned by the government.
Canadians and the parliamentarians who represent them have the right to know how public funds are being spent and to hold the government to account. Estimates are brought forward to ensure that Parliament can review and approve the new spending needs of the Government of Canada.
The Supplementary Estimates (A) for 2020-21 include $6 billion in new funding across the government, including $1 billion in continued support for COVID-19 relief.
For maximum transparency, the estimates documents also provide information on spending authorized through the COVID-19 Emergency Response Act and the COVID-19 Emergency Response Act, No. 2, which have already been negotiated, discussed and unanimously approved by parliamentarians.
We know that Canadians want maximum transparency from Parliament. These estimates include statutory information on spending that was first authorized through the COVID-19 emergency response acts that were presented, debated and passed in the House. This spending is now helping Canadians.
The health, security and well-being of all Canadians remain critical to our government. As a result, these supplementary estimates include a request for an additional $1.3 billion in voted expenditures to deal with the impact of COVID-19 on Canadians.
This includes $405 million for the national medical research strategy to fund tracking and testing of COVID-19, to develop vaccines and therapies, and to enhance clinical trials and biomanufacturing capacity in Canada.
There is also $302 million to support small and medium-sized businesses.
This also includes $274 million for urgent research and innovation on medical countermeasures, $87 million for the Community Futures Network, and $59 million to help the Canadian Red Cross Society support individuals, families and communities during the pandemic.
Here are some of the other key initiatives included in these estimates that support a variety of Canadians priorities: $585 million for the Department of National Defence to fund the joint support ship project to replace vessels that have reached the end of their lifespans, and $481 million for the Department of Crown-Indigenous Relations and Northern Affairs to fund the federal Indian day schools settlement agreement.
In addition, $468 million is allocated to the Department of Indigenous Services to support the safety and well-being of first nations children and families living on reserve.
There is also $312 million for the Canadian Air Transport Security Authority and Department of Transport, which will fund aviation security screening services.
For my own department, called the Treasury Board Secretariat, the estimates include $396 million for the disability insurance plan; $82 million for previous requirements, in this case to cover the cost of negotiated wage adjustments; and $9 million to continue the Canadian Digital Service's operations.
The supplementary estimates enable the government to be transparent and accountable for how we plan to use public funds to provide the programs and services Canadians need. In accordance with the government's commitment to transparency, we continue to provide additional important information online regarding these supplementary estimates.
For example, we have published a detailed listing of legislated amounts reported through these estimates and a complete breakdown of planned expenditures by standard objects such as personnel, professional services and transfer payments. Our online information tools reflect our commitment to give Canadians a clear explanation of where public funds are going and how they are going to be spent.
Furthermore, the Minister of Finance committed to reporting to the House of Commons Standing Committee on Finance every two weeks about the key measures taken by the government to help Canadians.
Lastly, the government remains firmly committed throughout the COVID-19 pandemic, as these supplementary estimates show.
The new spending plans in these supplementary estimates will help support people affected by the pandemic and maintain support for the economy and Canadians.
As we advance these plans, I would like to acknowledge the crucial work of all parliamentarians as we continue to work together for the future of our country and the wellness of all Canadians. Canadians are counting on us and expect all parliamentarians to be steady in their support as we navigate through these very challenging times. Let us honour their trust.
I would now be happy to answer any questions that members of this House may have.
Karen McCrimmon Liberal Kanata—Carleton, ON
Madam Chair, I would like to ask the hon. minister if he could tell us more about the difference between the voted amounts and the statutory or legislated amounts that are contained in these estimates and explain for Canadians exactly what are the votes that are taking place today.
Jean-Yves Duclos Liberal Québec, QC
Madam Chair, that is a very important question. This is unfortunately confusing some members of this House.
There are indeed two types of expenditures: the voted and the legislated expenditures.
Of the $87 billion that we are currently discussing, $81 billion has already been discussed, debated and agreed upon by this House. These are called legislated expenditures.
The voted expenditures are a total of $6 billion. They come in addition to the main expenditures, and $1.3 billion of those additional expenditures are completely focused on the COVID-19 crisis.
Supplementary Estimates (A)Business of SupplyGovernment Orders
Ottawa West—Nepean Ontario
Liberal
Anita Vandenbeld LiberalParliamentary Secretary to the Minister of National Defence
Madam Chair, the minister mentioned in his speech that Canadians want maximum transparency from Parliament. I think we all agree that openness and transparency are always important, but even more so during this challenging time caused by COVID-19. How has the minister ensured transparency for Canadians and parliamentarians throughout the supply process? Can the minister explain to Canadians how they can find more information about these estimates?
Jean-Yves Duclos Liberal Québec, QC
Madam Chair, I thank the member for asking about both the urgency and the transparency of our measures in the last few weeks. We are going through a crisis that Canadians have never seen in their lives, and that is a challenge both on the health and the economic side. That is why we needed to act quickly and transparently at the same time.
As we delivered those important measures, to which I will come back in a moment, we made sure that they would be not only communicated but in many cases adjusted as we proceeded through the crisis. These measures are detailed in various ways: through the biweekly reports that the Minister of Finance provides for the House Committee on Finance; through the open portal, which provides proactive disclosure of a large number of COVID-19 measures; and, finally, through the InfoBase website, which gives, in detail, all the measures that we are discussing this afternoon.
Sherry Romanado Liberal Longueuil—Charles-LeMoyne, QC
Madam Chair, the supply process has looked different this year than in past years. We are voting today on a second interim supply bill in lieu of full supply, due to the extraordinary circumstances caused by the COVID-19 pandemic. How was the COVID-19 pandemic taken into account in these estimates, both through the exceptional structure of the supply process and the content of the supplementary estimates? How much of the planned spending presented in the supplementary estimates (A) is for measures associated with the COVID-19 pandemic?