Mr. Speaker, I am pleased to have this opportunity to discuss amendments to the Federal-Provincial Fiscal Arrangements Act. This act provides the legislative authority for parliament and this government to provide equalization payments to the provinces by virtue of the fact that all Canadians are equal and deserve equal access to equal services. Fundamentally, that speaks to what this legislation is all about.
We have heard in this House what the opposition parties feel this bill should not be about. They feel this bill should not be about equity, that it should not be about building Canada from coast to coast to coast, that it should not be about providing services to all Canadians, no matter the level of income or the location of residence, on the basis of equity. We have heard from the opposition that it should be about the principle of every person for themselves; that every person, man or woman, should fend for themselves, based on their ability to compete and survive in a very turbid world of market forces, and that is the way it should be. That would be a great speech in Washington, D.C., but this is Canada. Canada was built on a principled set of tenets. Canadians deserve equity in social programs from coast to coast to coast.
I re-emphasize that this debate has been about what the program should not be. This debate so far for the opposition has been about what it should not be for Canadians. The opposition has said that we should not have equity, that we should not have regional distribution of wealth, that we should not build Canada as a mosaic of regions where each region builds upon the strengths of others and provides support where support is needed.
The opposition fails to remember that it was some of the eastern provinces which first began the process of transfer payments. It was the eastern part of this country that actually provided transfer payments for the building of the west. That did not happen last year, nor did it happen 10 years ago. It happened literally hundreds of years ago, but it happened. That is an example of how this country was built.
Do members of the House see me trying to profess that that was a wrong move, that it was un-Canadian, that now my region or province has been hard done by? No. That is what built this country. A major principle that built this country is that all Canadians should be provided equal access to government programs and services, in particular social programs such as health and education.
It is terrible that hon. members opposite are still heckling that point of view. We are debating the fact that in this country social programs will be provided to the citizens of St. John's, Newfoundland on the same basis as they are to citizens of Victoria, B.C. Hon. members opposite have some explaining to do, not just to their own constituents but to their own consciences. It is not a Canadian principle.
The Constitution has entrenched the principle of equity for Canadians. It has done so through the principle of providing services to Canadians.
I am very proud to be a Canadian. I am also proud that opposition members still defend the principle of equity. Unfortunately they do not come from the Reform Party, but I think there are a few members across the way who still quietly, while not disturbing their caucus ranks, realize and understand the value that Canada is not a dog eat dog society, that there are still some principles of building a country and that those principles are based on the fact that Canadians in need will be assisted by Canadians who, at that point in time, have a little more to offer.
We could simply take a snapshot in time of what Canada is today, but we must remember that Canada changes over time. The east coast was the economic engine of Canada not too long ago. We were the economic engine that provided resources to help build other parts of the country.
We have not heard any new ideas from the opposition about rebuilding the federation and building on the social programs and services which Canadians enjoy. What we have heard is how to take them down.
That is what the Reform Party has based its entire debate on. That is what the Reform Party and other members of the opposition have based their entire discussions on. Their question is how do they take down the program.
How do we take it down? By simply providing tax relief to Canadians. What will this tax relief do? It will provide the provinces with the opportunity to be able to tax their citizens. It is more appropriate for the provinces to tax their citizens based on the individual capability to provide the services.
What does it really boil down to? It is so that the people in Newfoundland and Labrador will be able to use their own money to provide all the programs and services they would need in order for them to be equal Canadians.
What does that really say about the Reform Party's position? This means every man, woman and child must stand solely for themselves. No matter what the financial circumstances of the provinces, no matter what the circumstances of the region, everybody should be on it for their own. Is it a great country building principle? Quite frankly it is one that I reject out of hand.
Reformers are really saying that they want all persons to fend only for themselves. I do not accept that notion. I do not agree with it whatsoever. It is a very short term view of what Canada is all about and what Canada has been in the past.
We are already seeing in the House indications that when it is appropriate for members opposite to rise and demand additional services and programs for their own constituencies they have no problem doing it, but do not ever institutionalize a program in the Constitution or in legislation which actually provides for the basic principle that Canadians help Canadians. Do not ever do it unless it affects Reform Party constituents. Then it can be done because it is completely appropriate.
The country was built on a more solid foundation than that. They country was built on the foundation that through time, through place and through any sort of political arrangement Canadians help Canadians.
I am very delighted that I am allowed the opportunity to speak on equalization. It has been very helpful to my province in a period of economic need. Over 25% of the budget of Government of Newfoundland and Labrador literally is achieved through the equalization program. If we were to suddenly eliminate that, what kind of health care would Newfoundlanders and Labradorians receive? What kind of education would they receive? How could they participate as full Canadians in a system which means that they will not receive the same levels of service as any other Canadian?
How productive or meaningful would our country be if we actually allowed that to occur? By providing government programs and services based on a province's individual capability of taxing its own citizens as opposed to drawing upon the collective strength of all Canadians is a very un-Canadian principle. Quite frankly, why have Canada? Why be a collective? Why be a nation based on principles of equity? Why do it?
Hon. members opposite have no response for me because they realize that just as in any organization, just as in any family, just as in any circumstance, sometimes men and women are called upon in time of need, time of crisis, out of friendship and compassion to help out where they can. That is the principle that built the country and it is not being reflected in the House or during the course of this debate. That is why I am quite honoured to be able to have that entered into the debate.
The equalization program provides a significant amount of revenue which my province of Newfoundland and Labrador and indeed the other provinces of Atlantic Canada require. If it were not there the people of Atlantic Canada would not be as well served as they are today. They would not be provided with government programs and services. They would not feel like full Canadians.
The fact that it does exist despite the fact that it does have some shortcomings speaks well of Canada. It exists in a form that allows for equal participation not just of the provincial governments but of their citizens.
Equalization, according to this act as we have changed it, allows for a significant additional increase in incremental funds to the Government of Newfoundland and Labrador. Why? Because we are in need right now and it is judged by our ability to tax our own citizens.
In terms of the formula based approach to the equalization formula, which is transparent, up front and very accountable to all citizens of Canada, we provide a basis to transfer moneys to provinces in particular need of those services so that they can provide equally to their constituents. That is a principle which is being aggressively attacked by the platform and statements of the opposition parties.
Why is it that they feel this is such irresponsible behaviour on the part of the government? They define it as irresponsible in that the net effect of it is to reduce personal incentive. Why would they say that to a region such as Atlantic Canada or to certain regions in the west which also receive equalization and still profess to be a party that wants to build the country?
Quite frankly this is not the way that Canada was built. Nor should it be. It is not the position of our government. Nor will it ever be. It is now enshrined in the Constitution that equalization is part of the basic fabric of our country.
I am very pleased to announce in the House this afternoon that Newfoundland and Labrador will be receiving additional incremental payments under the equalization formula as amended in this act.
I think the reaction from the members opposite speaks to the fact that it is a good deal for Newfoundland and Labrador. I always want to make additional improvements to the bill, but I am very satisfied to stand in the House right now to defend an amendment to an act which allows my province the ability to provide government programs and services such as health and education at a higher level than it would if members of the opposition were in power. That speaks to itself. It speaks to what Canada is all about. It speaks to my role as member of parliament in addressing the particular issues. It speaks to what we do in the House, which is debate ideas.
It is very clear that the idea of Canada as expressed by members of the Reform Party and other members of the opposition is not the idea that I share. We are a caring, sharing country where not every man, woman and child will have to fend for themselves according to their own means of the day. It is where we share resources, wealth, ideas and where we share the common greatness of our country.
That may be odious and terrible for the opposition. I hope the microphones are picking up the catcalls that are being put forward in the House. Equalization is a very important element of what we are doing in terms of providing equity and wealth distribution for all citizens throughout the country.
I want to say very clearly that the increased economic performance of Newfoundland and Labrador will mean in due time that we will not require the assistance of equalization payments. We will not require the assistance of any other transfers because that is our objective.
Just 10 short years ago Newfoundland and Labrador trailed the nation in terms of gross domestic product. We not only trailed. We were in negative growth. Today, Newfoundland and Labrador leads the country in economic growth. Our gross domestic product as predicted by some leading financial institutions is predicted to continue to grow into the 21st century. I am very proud of that. That growth will define the fact that we will no longer require equalization payments.
However, right now we have a dependable program of the Government of Canada to provide for some of our needs. Why that is even being debated on the other side speaks again to their positions.
Newfoundland and Labrador has representatives in cabinet and within the finance ministry who are protecting its interests, ensuring that the lives of the people of Atlantic Canada are better today than they were yesterday. That is accomplished in part through equalization.