I cannot argue with the hon. member's remark there, but having said that, I cast no aspersions on any member in particular.
The legislation actually did pass the House and was proceeding through the Senate toward full assent, but the election interfered, so I thank Mr. Bailey, who is no longer in the House, the member for Cypress Hills—Grasslands who got it going, the multi-party support we had, and again, of course, the member for Prince Albert who again is bringing this up.
It takes a lot of effort to get a very small change. For the life of me I have still not quite figured out why the gnomes in the catacombs of the finance department are still so adamantly opposed to this and why they argued to the previous government so strongly against this measure and, apparently from what my colleague from the Liberal Party says, still have somewhat of an influence over there. I am thankful to say that I think I can say without contradiction it will have the unanimous support of the governing party in the House and hopefully the Bloc, the NDP and some Liberals will come to see the light.
One thing that people need to understand is that the franchises, the organizations involved, are not particularly rich. They are not huge. They are in amateur sport. They are not for profit. That is particularly what the bill is stating.
I would like to read a portion of an article from one of my community papers, the Humboldt Journal, about a situation facing the Humboldt Broncos, an SJHL or Saskatchewan Junior Hockey League team in my riding, so that people can get a bit of a grasp of how it is. Small-town sports and volunteer sports are always on a bit of an edge because there is never enough money. In rural Saskatchewan, where prices are not that good for agriculture and people do not always have tons of money to spend even though they work hard and love their hockey, it gets a little hard.
If I may, I will read a few paragraphs for the House so the members can get an idea of what the situation is. The title of the article is “Broncos skating on financial thin ice”. It quotes Len Hergott, president of the Humboldt Broncos:
“I don't think we're in a state of panic,” he said. At least not yet. “On the other hand if we can't get our season ticket base up and some of our advertising revenue up, it could turn into a panic situation”.
The yearly expenses for the team vary on how far they go in the playoffs. On average, Hergott noted, it's between $340,000 and $400,000.
That is all we are talking about, an organization that has $340,000 to $400,000 a year in expenses. It is not that large. The article continued:
They've cut and trimmed the expenses to the point where they really can't cut any more, he noted. Expenses just seem to keep going up--bus rates are up and the cost of equipment, too, he said. Plus, “We still have to have a product on the ice”, he noted. “It takes a certain amount of money to do that”.
Even in some of the team's stronger years, they didn't spend a lot of money on building their team through trades, etc., because they, like other teams in the Saskatchewan Junior Hockey League, just cannot afford it.
They just cannot afford it. These volunteer, culture building, core of Canadian culture hockey league teams cannot afford it. Their budget is $340,000 to $400,000 a year. Depending on the team, it varies as to how much financial impact this has. Looking at my previous speech in Hansard, I note that I said between $10,000 and $15,000. That was based on a number, and maybe we are looking at a slight bit of inflation there, when I had spoken with members of the Broncos, who had a fairly good idea of what it would cost.
That $10,000 to $15,000 a year in financial relief is what we are going to be providing to a team that has a budget of $340,000 to $350,000 and is struggling. That is $10,000 to $15,000 less that the team would have to fundraise through bake sales, lotteries and various volunteer auctions of hockey league team players.
These organizations are the very heart of their communities. I remember that when I was speaking at the Remembrance Day ceremony on November 11 in Humboldt, Bronco hockey players were all there, representing the best of their team, representing the best to the broader part of the community. They were dressed sharp and they were distinguished, absolutely representing the values of character, hard work and sacrifice, values that are useful in building character for later on in life.
The member for Prince Albert has also noted something that could be a real problem in tax rulings that Canada Revenue has made over the years, and that is that the hockey players involved, and of course this will apply to other sports as rulings get extrapolated, are ruled to be employees. This can cause an extreme problem in applying for hockey scholarships to the United States, because if a person is deemed to be an employee of a sports team, he or she is deemed to be a professional athlete and as such is ineligible for a NCAA hockey scholarship. It is mostly to the United States that these players tend to go on hockey scholarships. Maybe Canadian universities should provide a few more hockey scholarships, but most players go to the United States.
In their prudence, the NCAA has understood to this point that it is not a real employer-employee relationship, but the possibility does exist to shut down the entirety of the college scholarship program if someone wanted to take a very technical, bureaucratic perspective. It is a very real concern.
Before my time expires, I want to take issue with a few of the criticisms of the bill by the member from West Vancouver and his rationalizations for opposing it. He said that it would not be a lot of money so it would not be taxable. A lot of these hockey players work in the summer. They work very hard. In the oil patch they make $8,000, $10,000 or $12,000. That $2,400 is then added on top of that $8,000, $10,000, $12,000 or $14,000. It then becomes fully taxable. He also failed to take note of the CPP and the EI. That starts at the beginning. I remember very clearly that when I was in university and did not make enough to pay income tax for many years I still got dinged with those payroll taxes at the beginning.
This is something that should be noted. It is not a rationalization. It is an attempt to solve a problem. It is a private member's bill that has received all party support in the House and affects, in just junior hockey, 130 different teams across Canada.
Instead of whining about other issues, issues not related to the bill, perhaps the member should concentrate on the individual circumstances of the bill and try to support it. Maybe the member could suggest some amendments. I know that the hon. member for Prince Albert noted there would be amendments moved. I understood that he meant at committee. That will take care of some of the technical problems.
For the people watching this on TV, let me say that this is about Canada and this is about hockey. I would seek the support of all members for this legislation. It is important. It is Canadian. It is pro-hockey. What more should we do but support hockey?