Mr. Speaker, I am pleased to rise in support of Motion No. 11 in Group No. 2, as have other political parties in the House this afternoon.
The reason this report has been permitted is to deal with some amendments that were deemed to be inadmissible at report stage, that the Speaker has ruled as being out of order and others that require royal recommendation.
When the committee studied the bill under the rubric of the Standing Committee on Procedure and House Affairs, we decided that we should prepare a separate report to signal possible areas for legislative change and/or future study. I think this particular motion is supported by the majority of parties, if not all the parties, in the House.
It is important to note that this is the most significant reform of political financing in Canada since the Election Expenses Act was introduced 29 years ago during the minority government of Pierre Trudeau and when the New Democratic Party held the balance of power.
The legislation before us would ban political donations to political parties. It would allow minor contributions to candidates running for nomination, and to electoral district associations, but no more money would be allowed to be donated by corporations and trade unions to the political party of their choice.
It would also require additional reporting requirements for constituency associations. It would limit individual contributions now to $5,000. When the bill was first tabled it was $10,000 and I think it was a unanimous motion of the committee to reduce the amount to $5,000 per individual per year.
It also would regulate the nomination and leadership campaigns of some parties. As an aside, I would say that this is a matter of physician heal thyself because in fact the New Democratic Party, and I believe some other parties in the House, have very strict limits on leadership campaigns and on nominating campaigns. I know members on the government side do not and there have been some embarrassing results flowing from that.
For example, in the last New Democratic Party leadership campaign none of the candidates for election were allowed to spend more than $750,000. There was preliminary reporting of how that money was raised prior to the vote taking place. There was full disclosure. It can be done but the government has seen fit to, instead of operating on a party by party basis or doing it within its own party, bring it in under the election financing amendments.
Certainly, at the bottom of all this, or under the pillar of it, as a result of the absence of corporate and trade union contributions, there is enhanced public financing of the political system.
Some of the concerns some members of the committee had and which we want to see addressed in this special or separate report, had to do with administrative burdens and cost of compliance that would accrue to constituency associations. There is no question that there will be a greater burden of transparency and a need for better record keeping that will have to flow to the Chief Electoral Officer on a regular basis from riding associations.
There was also some concern expressed whether volunteers, with all the requirements that would henceforth be required and forthcoming, would throw their hands up and say that it was too much paperwork and that they were out of there. We need to look at that very carefully.
One of things the member for North Vancouver raised was a concern that the audit fee limit of $1,500 was too low and that some auditors, at the conclusion of an election campaign, or doing the report for a candidate or an electoral district, would be subsidizing the process. We want to look at that as well because I do not think there was anybody who thought that auditors ought to be subsidizing the process. If the figures are too low, let us amend it.
The member for Ottawa West—Nepean, as I recall, was concerned about non-monetary contributions, specifically people who have particular skills in an election campaign and volunteer their services, but because of their particular skills are prohibited from working on certain elements or aspects of the campaign. I think of someone who perhaps operates a phone bank in his or her day job and would, under the current rules, be technically prohibited from doing that as a volunteer in a political operation. We think that needs some examination and clarification. Hopefully this committee or the son of this committee will look at that issue.
One of the issues that has been dealt with in this go around was the matter of the $1.50 per vote per year being based on the results of the last general election. Certainly we heard from witnesses who were concerned that all those eggs should not be in that one basket, that perhaps it should be either a combination of rolling polls that have taken place since the election or perhaps based on a party's membership together with the vote that the party received in the previous election.
I must say that the notion of a poll leaves me stone cold because there are times when governments have to take difficult decisions. I would think it would be another excuse not to make a difficult decision if someone said, “We cannot do that because we have a poll coming up next week and it may do some serious damage in terms of the amount of money that we will have to fight the next election campaign”.
I think on balance the $1.75 per vote per year based on what was received in the last election campaign may not be the best but it is the best that the committee could come up with. However I do not support the increase from $1.50 to $1.75.
As the minister responsible made very clear when he was before the committee at the first meeting on this issue, at $1.50 per vote per year no party would be negatively impacted. All parties would be at least revenue neutral, if not slightly ahead of the game. I fail to see what has happened in the intervening couple of months that now suggests it should be $1.75, a raise of 25¢.
A couple of other issues were raised before in the first group of amendments: the differential treatment of franchises and corporate entities, and the need for equal treatment of union locals versus corporate franchises. This is something that I think is a fundamental flaw in the bill. Yes, it is true that trade unions and corporations have been restricted in the amount of money they can give and to whom they can give that money. However, having said that, there is no question that corporations will be able to give significantly more because the way the legislation is written trade union locals are generally excluded from making a contribution to a local candidate or a local riding association. I think that is indefensible and I fail to understand why that cannot be altered.
Another area deals with free time broadcasting. The Broadcast Act was out of the purview of the committee and out of the purview of this bill because the amendments deal only with changes to the elections financing act and the Income Tax Act, but several significant witnesses, if I may put it that way, came before the committee and talked about the way that the cost of elections could be reduced if in fact there were more free time broadcasts allowed during an election campaign. They pointed to the British system as an example of that. We would hope that this could be looked at in a further go around by the committee that is looking at the impact of Bill C-24.
The third party spending on election campaigns is something that is fundamental. If the third party is defeated or overruled at the Supreme Court then all of what we are doing here on Bill C-24 stands for naught. Therefore we will have to pay close attention to that, as will the committee as it goes forward with the review of these procedures.