Mr. Speaker, it gives me a great deal of pleasure on behalf of the constituents in Hamilton West to speak at second reading of Bill C-28, the Canada Student Financial Assistance Act.
Contrary to the views espoused by certain members opposite, this bill should have nothing to do with the politics of separatism or the political autonomy of our provinces. All we are trying to do with this legislation is ensure that our citizens have adequate access to post-secondary education.
The government realizes that many Canadian students need financial assistance in order to achieve their academic goals. The government also realizes that the provinces cannot address those needs alone which is exactly why the Minister of Human Resources Development has chosen to work in concert with provincial authorities to try and provide sufficient financial aid to college and university students in this great country.
The legislation before us today provides proof that the government is committed to the principle of protecting access to post-secondary education. This principle is an extremely important one to uphold if for no other reason than simply to ensure that all Canadians have the opportunity to intellectually empower themselves through post-secondary education and training initiatives.
Debate on the issue of financial assistance to students across Canada seems quite timely and highly appropriate when one considers the fact that thousands of secondary school students will receive acceptance to a Canadian university or college within the next 30 days. Many of these students will apply for and receive financial assistance from federal and provincial sources in order to obtain enough money to finance their post-secondary education.
However unless we act now, many more students will either be unable or unwilling to pursue a college or university education due to a lack of funds.
In addition to the students trying to enter college or university for the first time, there are several thousand who will graduate this year with a substantial debt load, in some cases as high as $15,000 and even $20,000.
The time has come for the federal government to respond to the increased financial burden faced by those Canadians who seek to further their education. We must work together to provide incentives for people to pursue higher education by replacing the archaic provisions of the Canada Student Loans Act with legislation that is more reflective of the changing financial needs of Canada's student population.
In the process of representing a riding with a high university and college student population, I have had the opportunity to speak with a number of students and parents of students at McMaster University and Mohawk College, both of which are located in the great city of Hamilton.
The students in my riding have brought forward a number of concerns related to the Canada student loan program. For example, with the rising cost of university and college tuition, students are uncertain whether their weekly student loan allocation will cover their basic educational costs. Students who have received loans from the federal government are frightened about the debt and increased burden they will have to bear by the time they graduate from college or university.
In this regard many students are calling for the reinstatement of the six-month post-graduation interest free loan period that was removed by the previous government. Many students who cannot afford to go to school on a full time basis have been forced to attend school on a part time basis while holding down part time jobs in order to earn enough money to keep food on the table. In some cases these students are single parents or re-entry women and men trying to upgrade their academic skills while supporting a family at the same time.
To make matters worse, there has been a ceiling of $2,500 per academic year applied to students enrolled in part time studies even though the cost of part time post-secondary studies often exceeds that amount in tuition and textbooks alone, not to mention room and board.
There is also the issue of the often exceptional costs faced by students with special needs such as students with disabilities and students who suffer from severe financial disadvantages, many of whom would benefit from a national system of targeted grant funding.
These are just some of the fundamental concerns that the government is attempting to address by means of Bill C-28. After nearly 30 years it seems reasonable to think that the Canada student loans program is long overdue for fundamental reform.
When we look at weekly student loan allocations, for example, we see that they have been frozen for over a decade now. Yet in the same span of time, the costs associated with post-secondary education have skyrocketed by some 58 per cent. This scenario is absolutely ludicrous and appears to defeat the principle of trying to provide adequate financial assistance to those who need it in order to defray the rising costs of their education.
In addition to addressing issues of access to post-secondary education, the government is also prepared to address the costly inefficiencies that have been identified in the Canada student loan program as well. Outdated eligibility criteria, inconsistent need assessments, loan defaults and inefficient program delivery are some of the key problems that are recognized and addressed by the proposed legislation.
It should be noted that the proposed changes to the Canada student loans program have met with positive response from many of the students in my riding of Hamilton West. For years student organizations such as the McMaster Student's Union and the Canadian Federation of Students have called for higher weekly loan limits, greater repayment flexibility and a national system of grants for needy students.
The proposed legislation will increase weekly loan limits by 57 per cent from $105 to $165 for full time students and will also increase the part time student loan limit from $2,500 to $4,000. The government also intends to establish special opportunity grants for disabled students and students with serious financial needs.
In addition to raising loan limits and providing needs based grants, the government is also committed to establishing a more flexible repayment schedule for college and university students. The proposed legislation allows the federal government to conduct a meaningful income contingent repayment pilot project in order to determine whether or not this type of funding model which has been implemented with mixed results in other nations is worth pursuing at all.
Perhaps the most important aspect of the proposed legislation is the message it sends out to all Canadians about the degree of importance the government has placed on protecting access to higher education for all Canadians. By proposing the stated reforms to the Canada student loan program, the federal government has taken a giant step toward strengthening our overall system of education and training.
In closing, I want to point out that this legislation is not about separatist politics or the constitutional implications of provincial responsibility for post-secondary education. Bill C-28 is about access to higher education in Canada, plain and simple.
All we are trying to do is ensure that Canadians who have the desire, the ability to pursue post-secondary studies are provided with the funds to do so. A high quality accessible system of education will be the salvation of this society.