Mr. Speaker, I wish to inform you that I will be splitting my time with the member for Abitibi—Baie-James—Nunavik.
The 2004 budget follows very nicely on the heels of the Speech from the Throne which was in my view a speech that addressed the needs of Canadians and social issues in our country. The budget does much the same thing. It addresses the issue of social justice, or the social deficit as I sometimes refer to it.
We have addressed the issue of deficit and economic deficit tax cuts, $100 million worth of tax cuts in the 2000 budget. I always felt that it was time that we needed to begin to address the issue of social deficit, as I call it, or social issues, because economic and social policies in this country to a great extent are one and the same.
This budget does that. It continues on investments that we have made in the past. It sets a road ahead that I think is very positive for us.
I will mention some of the areas that this budget addresses which are very positive. In the area of health, the budget flows $2 billion to the provinces as promised in the previous accord. That brings funding in health to $36.8 billion, which was provided in budget 2003.
It does not stop there. The Prime Minister will be attending a meeting with the premiers in the month of July. The ministers of finance are meeting to prepare for that meeting. They will be discussing the long term sustainability of our health care system.
Some critics have said that there is not enough cash provided right now. Even Roy Romanow said--and I have supported his report 100% and made representations to him when he was preparing his report--just recently that the system needs more than money. He said the system needs reform as well. We cannot make it sustainable without proper reform.
One example that I have given recently has been with respect to the issue of the reform of the primary care system in our country. I strongly believe that we cannot make our system sustainable without proper reform in the primary care area of our system.
I can give an example in my own riding of Beaches—East York. We have a good community health centre program which provides doctors. They do not have a fee for service. They are paid a good salary that I believe doctors should get.
At the same time, the doctors who are receiving the salary are on call 24 hours a day, seven days a week. There is also a nurse practitioner because not all patients have to see a doctor. There is also a nutritionist that deals with preventive health care and the importance of nutrition. We all know, based on recent discussions, about the problems of obesity and the need for physical activity. This is one area that needs major reform.
With the doctors being on call, it means that people are not going to hospitals and clogging up the emergency rooms. That saves the health care system a great deal of money.
It is important to reform the system to make it sustainable and to look at the issues of home care, supportive housing and long term care. That will help seniors who want to stay at home longer and will give them the dignity of being in their own homes. At the same time it will make sure that hospital beds are not taken up by the need for long term care. These are all areas that have to be addressed if we are to make our system sustainable, but the government has provided $2 billion.
We are not standing still. We are also looking at changes. The budget also establishes a new Canada public health agency as a focal point for disease control and emergency response and a new chief public health officer who will lead the agency. After the SARS situation which occurred primarily in Toronto but across the country, as well as West Nile and other preventive health care issues that we need to look at it, this is a very important step for the government.
The budget will immediately provide funds of $655 million in this fiscal year and over the next two years to improve Canada's readiness to deal with public health emergencies. This will include things such as increasing emergency response capacity, enhancing surveillance, establishing regional centres of excellence, expanding laboratory capacity and strengthening international coordination and collaboration. In addition, there will be $400 million flowing from the Department of Health into the public health system. It will be dealing with assisting the provinces and territories for the next three years in support of a national immunization strategy.
In addition, the budget provides improved tax fairness for Canadians with disabilities and for caregivers. Again it goes to addressing the broader need in the health care system. There will be increased funding of $30 million annually to support employment assistance programming delivered by provinces and territories for Canadians with disabilities. Again these are areas that address the broader issue of health. The government is taking some very bold steps in that direction.
Let me move to another topic, the area of learning, something which is very close to my heart. I have for some time worked hard and pushed for the establishment of an early learning program and child care in this country. In the year 2000 the government announced a children's agenda of $2.2 billion for early learning. In this budget the early learning and child care will receive an additional $75 million this year and an additional $75 million next year.
This is a continuing investment in children which is extremely important. The learning agenda goes from cradle to retirement. I call it lifelong learning. The budget addresses early learning from zero to six, but it also addresses post-secondary education, as well as learning for people who are employed but want to upgrade their skills or people who want to re-enter the labour force. It addresses those areas very well.
With respect to another program for children in the budget, the Canada learning bond will be provided at birth for children in families with incomes under $35,000. The government will contribute over time to a maximum of $2,000 per child.
The Canada education savings grant was introduced in 1998. It was created to help parents save for their children's education. Budget 2004 proposes the doubling of the matching rate provided by the federal government, to 40% for families with incomes under $35,000 and to 30% for families with incomes between $35,000 and $70,000. These enhanced rates will apply to the first $500 contributed.
A fair number of aboriginal people live in urban centres, in Beaches—East York and elsewhere in Toronto. The budget addresses that, as well as the needs for aboriginal people on reserves under the rubric of education. For first nations children living on reserves, the budget adds a further $10 million over four years for early learning and child care, bringing our government's total investment to $45 million.
We will also provide some 20,000 students from low income families with new grants worth up to $3,000 to cover a portion of their first year tuition. This is a very big step in the right direction, in my opinion. I have been pushing for some time to have a grants system for students who want to attend post-secondary education but cannot afford it.
A new upfront grant of up to $2,000 a year will be introduced for students with disabilities while maintaining the existing Canada study grant of up to $8,000 per year.
The parental contributions expected from middle income families will be reduced, providing more access to student loans for 40,000 students.
Budget 2004 proposes to set aside resources to ease the eligibility criteria for interest relief, for increasing the income threshold used by determining eligibility for interest relief by 5%.
Effective January 1, 2004, the budget proposes to allow students to claim the education tax credit for education related to current employment, when not reimbursed by the employer. This means up to $400 per month for full time students and $120 per month for part time students. This again goes to the lifelong learning that I mentioned.
Looking at the long term, we are developing a workplace strategy. As an immediate measure the budget proposes to put in place a pilot project to provide matching funds for union based training centres with funding of $15 million over the first two years. There is a great deal more in the area of education which I will not go into.
For cities and communities, the government has followed through on its commitment to forgive the GST. For cities, that means $7 billion over the next 10 years, $50 million a year for the city of Toronto alone. In addition there are infrastructure dollars of $1 billion which goes from 10 years down to five years.
In summary, there is so much in the budget. I believe it is a budget for the people.