Budget Implementation Act, 2007

An Act to implement certain provisions of the budget tabled in Parliament on March 19, 2007

This bill is from the 39th Parliament, 1st session, which ended in October 2007.

Sponsor

Jim Flaherty  Conservative

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill.

Part 1 implements income tax measures proposed or referenced in Budget 2007 to
(a) introduce a tax on distributions from certain publicly traded income trusts and limited partnerships, effective beginning with the 2007 taxation year;
(b) reduce the general corporate income tax rate by one half of a percentage point, effective January 1, 2011;
(c) increase the age credit amount by $1,000 from $4,066 to $5,066, effective January 1, 2006;
(d) permit income splitting for pensioners, effective beginning in 2007;
(e) introduce a new child tax credit of $2,000 multiplied by the appropriate percentage for a taxation year, effective beginning in 2007;
(f) increase the spousal and other amounts to equal the basic personal amount, effective beginning in 2007;
(g) increase the age limit for maturing registered retirement savings plans, registered pension plans and deferred profit sharing plans to 71 years of age, effective beginning in 2007;
(h) expand the types of investments eligible for registered retirement savings plans and other deferred income plans, effective March 19, 2007; and
(i) increase the contribution limits for registered education savings plans and expand eligible payments for part-time studies, effective beginning in 2007.
Part 1 also amends the Canada Education Savings Act to increase the maximum annual grant payable on contributions made to a registered education savings plan after 2006.
Part 2 amends the Excise Tax Act to clarify the legislative authority that allows the Canada Revenue Agency to pay refunds of excise tax directly to end-users, where fuel subject to excise has been used in tax-exempt circumstances. It also amends that Act to repeal the excise tax on heavy vehicles and to implement the Green Levy on vehicles with fuel consumption of 13 litres or more per 100 kilometres. It also provides an authority for the Canada Revenue Agency to pay a refund of the Green Levy for vans equipped for wheelchair access.
Part 3 implements goods and services tax/harmonized sales tax (GST/HST) measures proposed or referenced in Budget 2007. It amends the Excise Tax Act to exempt midwifery services from the GST/HST and to zero-rate certain supplies of intangible personal property made to non-GST/HST registered non-residents. It also amends that Act to repeal the GST/HST Visitor Rebate Program and to implement a new Foreign Convention and Tour Incentive Program, which provides rebates of tax in respect of certain property and services used in the course of conventions held in Canada and the accommodation portion of tour packages for non-residents, and establishes new information requirements in the case where rebates are credited by the vendor.
Part 4 implements other measures relating to taxation. It amends the Customs Tariff to increase the duty-free exemption for returning Canadian residents, from $200 to $400, for absences from Canada of not less than 48 hours. It amends the Federal-Provincial Fiscal Arrangements Act to clarify that when a federal corporation listed in Schedule I to that Act pays provincial taxes or fees, wholly-owned subsidiaries of that corporation also pay provincial taxes or fees. It also authorizes the Minister of Finance to make payments totaling $400 million out of the Consolidated Revenue Fund to the Province of Ontario to assist the province in the transition to a single corporate tax administration. This last measure is consequential to the October 6, 2006 Canada-Ontario Memorandum of Agreement Concerning a Single Administration of Ontario Corporate Tax.
Part 5 enacts the Tax-back Guarantee Act, which legislates the Government’s commitment to dedicate all effective interest savings from federal debt reduction each year to ongoing personal income tax reductions. That Part also commits the Minister of Finance to report publicly at least once a year on personal income tax relief provided under the Guarantee to Canadians.
Part 6 amends the Federal-Provincial Fiscal Arrangements Act to set out the amounts of the fiscal equalization payments to the provinces and the territorial formula financing payments to the territories for the fiscal year beginning on April 1, 2007 and to provide for the method by which those amounts will be calculated for subsequent fiscal years. It also authorizes certain deductions from those amounts that would otherwise be payable under that Act. In addition, it makes consequential amendments to other Acts.
Part 6 also amends that Act to provide increased funding for the Canada Social Transfer beginning on April 1, 2007, and to provide for the method by which the Canada Social Transfer and the Canada Health Transfer amounts will be calculated for subsequent fiscal years, including per capita cash allocations. It also provides for transition protection.
Part 7 amends the Financial Administration Act to modernize Crown borrowing authorities.
Part 8 amends the Canada Mortgage and Housing Corporation Act to permit the Minister of Finance to lend money to the Canada Mortgage and Housing Corporation.
Part 9 amends the Bankruptcy and Insolvency Act, the Canada Deposit Insurance Corporation Act, the Companies’ Creditors Arrangement Act, the Payment Clearing and Settlement Act and the Winding-up and Restructuring Act to allow the Governor in Council to prescribe the meaning of “eligible financial contract”. Those Acts are also amended to provide that, after an insolvency event occurs, a party to an eligible financial contract can deal with supporting collateral in accordance with the terms of the contract despite any stay of proceedings or court order to the contrary. This Part also includes amendments to the Bankruptcy and Insolvency Act and the Winding-up and Restructuring Act to provide that collateral transactions executed in accordance with the terms of an eligible financial contract are not void only because they occurred in the prescribed pre-insolvency or winding-up period.
Part 10 authorizes payments to provinces and territories.
Part 11 authorizes payments to certain entities.
Part 12 extends the sunset provisions of financial institutions statutes by six months from April 24, 2007 to October 24, 2007.
Part 13 amends the Department of Public Works and Government Services Act to provide the Minister of Public Works and Government Services with the power to authorize another minister, to whom he or she has delegated powers under that Act, to subdelegate those powers to the chief executive of the relevant department. That Act is also amended with respect to the application of section 9 to certain departments.
Part 14 amends the Financial Consumer Agency of Canada Act to allow the Minister of Finance to provide funding to the Agency for activities related to financial education.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from Parliament. You can also read the full text of the bill.

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-52s:

C-52 (2023) Enhancing Transparency and Accountability in the Transportation System Act
C-52 (2017) Supporting Vested Rights Under Access to Information Act
C-52 (2015) Law Safe and Accountable Rail Act
C-52 (2012) Law Fair Rail Freight Service Act

Votes

June 12, 2007 Passed That the Bill be now read a third time and do pass.
June 12, 2007 Passed That this question be now put.
June 12, 2007 Passed That, in relation to Bill C-52, An Act to implement certain provisions of the budget tabled in Parliament on March 19, 2007, not more than one further sitting day shall be allotted to the consideration of the third reading stage of the Bill; and That, 15 minutes before the expiry of the time provided for Government Business on the day allotted to the consideration of the third reading stage of the said Bill, any proceedings before the House shall be interrupted, if required for the purpose of this Order, and, in turn, every question necessary for the disposal of the said stage of the Bill shall be put forthwith and successively, without further debate or amendment.
June 5, 2007 Passed That Bill C-52, An Act to implement certain provisions of the budget tabled in Parliament on March 19, 2007, as amended, be concurred in at report stage with further amendments.
June 5, 2007 Passed That Bill C-52 be amended by deleting Clause 45.
May 15, 2007 Passed That the Bill be now read a second time and referred to the Standing Committee on Finance.
May 15, 2007 Passed That the question be now put.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:05 p.m.

Bloc

Paul Crête Bloc Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC

Mr. Speaker, I would remind my hon. colleague that the current situation with respect to the GST visitor rebate program comes as a result of the rather drastic cuts made by the Conservative government, which did so without really thinking it through.

After hearing some arguments, it partially corrected the situation in the case of outfitters and conference organizers.

I agree with my hon. colleague. A large part of the problem still needs to be addressed. Duty-free shops, for example, need a similar solution.

This program helped draw tourists. Eliminating the program and giving up its advantages simply because of problems with administrative costs was, I believe, a bad decision on the part of the Conservatives. This comes at a very bad time, because tourism to Canada is currently at its lowest, compared to other countries.

We have seen the figures and we recently received a letter confirming that the Canadian Tourism Commission had to reallocate its budgets from promoting Canada within Canada to promoting Canada abroad, although it should have the funds it needs to fulfil both objectives. We must therefore continue our efforts in this area.

With respect to the fiscal imbalance, I would like to complete my colleague's response. I think it is important that this debate continue, in order to ensure that Quebec and the provinces receive the money they need to fulfil their obligations. We must never forget that the municipalities are creatures of the provinces and they must set their priorities in line with what Quebec, for instance, wants to develop. There have been some initiatives in the past, such as the Canada infrastructure program. There could be others that we would be willing to examine, which would respect jurisdictions, but that—

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:05 p.m.

The Deputy Speaker Bill Blaikie

The hon. member for Mississauga South.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:05 p.m.

Liberal

Paul Szabo Liberal Mississauga South, ON

Mr. Speaker, the member will know, from the parliamentary secretary's discussion about the income trusts, that there was an offset. She referred to it as “income splitting for seniors”.

The member may want to comment, but the budget in fact does not provide for income splitting for seniors. However, it does provide for pension income splitting for seniors but 70% of seniors do not have pensions. After we take out those, they are already at the lowest possible rate. In fact, only about 14% of seniors are eligible for any benefit under there. It seems to be a very weak response in terms of the damage that was done to Canadians who lost $25 billion in the value of their hard-earned retirement savings.

I wonder if the member would care to comment or to reaffirm that the budget provision relating to pension splitting only benefits about 14% of all seniors.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:10 p.m.

Bloc

Paul Crête Bloc Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC

Mr. Speaker, I will respond quickly to my colleague. The measure taken is a step in the right direction. Further thought is needed. Let us hope that in the future, the Conservative government will ensure that the measures it puts forward are as fine-tuned as possible. One of the characteristics of the last budget concerns the fiscal imbalance and is a big victory for Quebec. Also, the Conservative government must work on its presentation and the details of its initiatives. This merits further thought. Let us hope that we will be able to pass other amendments that will ensure greater fairness for seniors and people who have reached retirement age.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:10 p.m.

NDP

Tony Martin NDP Sault Ste. Marie, ON

Mr. Speaker, I appreciate the opportunity to offer a few thoughts in this important discussion about the budget.

I find it interesting and somewhat passing strange that at a time when we should be discussing matters that affect the lives of all Canadians, which is the delivery of programs that support working families, their children and communities in some very challenging times, particularly in northern Ontario where the forest industry has struggled, continues to struggle and is collapsing in front of us, that we would be debating the importance of closing or not closing loopholes for people at the higher end of the income scale, for the most part. I will talk about income trusts in a couple of minutes.

In this debate it is hard to figure out who is Conservative and who is Liberal. Over the years, the Liberals, when in opposition, tended to talk from the left and speak a language that was compassionate and caring. They seemed to understand social justice. However, when they were in government, which we saw for 13 years, they became the most aggressive cutters and slashers of money going to provinces for programs that move us forward in a way that speaks to justice, caring, compassion and believing in community.

We are here today having this debate, listening to the two sides banter and bicker back and forth about who will or will not close the loophole and how that might happen, when what they should be talking about, in my view, is the very integrity of the taxation system so we have the resources at our disposal to provide for the programs that people out there know, understand and have come to accept that federal and provincial governments need to deliver.

I would like to be here listening to people speak about the imbalance that exists between the rich and the poor and the growing poverty in our communities because we are no longer providing the kind of national leadership and vision that the people I speak to want from this level of government. Many people are no more than a paycheque or two away from poverty themselves as they look at the way the economy is evolving and the insecurity that seems to have taken hold.

In my part of Canada, that wonderful forestry laden area of northern Ontario, community after community are losing their mills, their source of income, losing the place where people got up in the morning and went to work so they could bring a paycheque home in order to look after themselves, their children and their families. These are people who went to work weekdays and then on the weekends and evenings ran the soccer club, worked in the arena, organized the volunteer sector and volunteered at the hospital.

Because the government is not giving the kind of leadership that is required, where the economy and particularly this budget are concerned, people are finding themselves without jobs and without much alternative but to leave town and head to other places where there are possibilities of jobs, leaving their families behind, all of the stress that brings with it and all the difficulties it creates.

I have travelled across the country over the last nine months to a year looking at that sort of soft underbelly of many of our communities, particularly the areas where the economy is supposed to be booming and there are jobs. There is encouragement from government. We hear it here on a regular basis day after day that if people do not have jobs and are struggling financially that they should move to Alberta or British Columbia where the economy is doing well.

In some cases that is a good thing to do but for many people who actually hear that clarion call and respond to it because they have lost their jobs at home, their own community is suffering and they must leave, they find when they get there it is not the greener grass that they had anticipated or thought would be there for them.

There are all kinds of challenges that the government has not thought through or worked cooperatively with other provinces and communities to make sure that the fundamentals are in place, the foundational structure that needs to be there to support these people and their families when they come looking for work.

Over and over again, in communities that I visited, we have a housing crisis. We have people living on the streets. Calgary, for example, is a bastion of free enterprise, the place that everybody points to as the mecca. It is where oil and gas, and the benefits come from. While on one hand we as a government provide literally billions of dollars every year in subsidies to the oil and gas industry, we find that communities like Calgary are having a very hard time providing housing for their own people, never mind the new people who are coming in response to the invitation to come and work in Alberta.

When I was there, a study had just been done on the homelessness that exists in that city and it was wavering around the 3,500 level every night. I was there in the winter and I showed up at a shelter where in fact somewhere around 1,200 people were housed a night. The people drive up with city buses, load those two buses up and send about another 100 homeless out into the suburbs, where they bed them down in warehouses on mats on the floor.

These are people who are struggling in some cases, people with drug addictions, people with alcoholism, people with mental health issues, but mixed in among that group is a significant number of people who came to Calgary looking for work, who got work, but then discovered that there was no place to live.

The reason that we have so many of the poor now out on the streets in places like Calgary and Victoria is because these new people coming and getting work, who can afford to pay for housing, are pushing the poor out onto the street, and many of them are finding that even if they have the money, they cannot get the housing that they need anyway.

Therefore, we have this terrible evolution of difficulty and challenge happening out there for people who really do want to work, who want to work full time to support their families, but we have not, as a country, responded to some of the challenges and some of the difficulties that come with the way our economy is evolving and changing.

I guess I am a little disappointed here this morning that there is not much debate about that, not much discussion coming from the Liberals particularly about that nor the Conservatives. There is nothing in this budget that I can see, and maybe some of the Conservatives who are here, and there are a few who are participating in this discussion, can tell me what is in this budget that is going to respond in an immediate and constructive way to some of these real challenges that exist out there now.

As long as we do not do anything about them or respond to them, or in some instances ignore them or pretend that they do not exist, they will grow, and we as a country will pay the price for that. It will cost us more in the end because we will then have all of the social and health problems that come with not looking after the basic needs of people who need to look after themselves and their families.

That is one issue that I was hoping that I would hear addressed by the government members and hear some contribution to from the Liberals.

The other is an issue that was brought very forcefully, aggressively and passionately, to this place last week by the Canadian Labour Congress. It brought people here, literally thousands of them from across the country, who are struggling with the demise, the falling apart, and the difficulty that is being experienced by our manufacturing sector.

I have to look no farther than my own area of the country, wonderful northern Ontario, and particularly northwestern Ontario, where community after community over the last couple of years has awoken in the morning to find that their mills were closing. There is no alternative. There is no response. There is no coming to the table by the federal government to say, “We are having difficulty in the manufacturing sector. Here is a strategy that we are trying to bring in and roll out. Why do we all not get together on this and see if we can make something happen?”

The doom and gloom, the black cloud, that hangs over that part of the country and down into southern Ontario and across into southeastern Ontario is very alarming.

We had workers here telling their stories to members of Parliament, who chose to come, that were heart-rending, that were gripping in their honesty and intensity. Workers told us that with the loss of their jobs go the losses of any benefit packages they had to look after themselves and their children in terms of health, dental needs, loss of any support for glasses, all of the things that those who are working at good jobs with benefits and pension packages often take for granted.

Yet, here we are today with an opportunity to respond very directly and clearly to that challenge and not doing that. Instead, we are bantering back and forth, and arguing over whether a tax loophole should exist or not exist, and whether there should be fairness in the taxation system.

Well we all know that there should be fairness and that we as a federal government need to be looking after the integrity of the tax system, so that we can provide support and services to communities, working families and the manufacturing sector.

We need to get the country back on the rails, and ensure that everyone has a chance and an opportunity to participate and do well.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:20 p.m.

Calgary Nose Hill Alberta

Conservative

Diane Ablonczy ConservativeParliamentary Secretary to the Minister of Finance

Mr. Speaker, the member had asked me earlier about the manufacturing sector. I had a very brief time to answer, but I would like to address that again because he talked about that so much in his speech.

The member will know, because he has been involved in this, that the industry committee of the House issued a unanimous report on how to assist our manufacturing sector in meeting the challenges it faces in the new global economy.

The member will know that there were 22 recommendations to the government from the industry committee. He will know that these recommendations were unanimously put forward by all parties on the committee. This was a rare unanimous report.

The member will also know that the government accepted all 22 of those recommendations including $1.3 billion for this two year writeoff for manufacturers to buy equipment and technology that I reminded him about. There was $.5 billion for worker training that I spoke about, $33 billion for infrastructure renewal to help with our trade routes and our commerce, and $9.2 billion for research and development including a new science and technology strategy. The list goes on.

In addition to that there is our balanced approach to tackling climate change which gives industry ambitious but realistic targets to help it with transition to the new green economy.

What did this member's party do when the government accepted all 22 of those unanimous recommendations? It voted against these measures for equipment and technology, worker training and infrastructure--

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:20 p.m.

The Deputy Speaker Bill Blaikie

The hon. member for Sault Ste. Marie.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:20 p.m.

NDP

Tony Martin NDP Sault Ste. Marie, ON

Mr. Speaker, it is easy for the member to stand up and spout off all of these wonderful things that the government is looking at perhaps proposing to do somewhere down the line that might help or might not help.

What the people who were here last week were saying to us was that there is really nothing in their experience and in their understanding of what is happening in their industry and their community. There is no leadership. There is nothing in the budget that gives them any hope, for example, in the auto sector there is no strategy coming forward.

We are watching the demise of industries, forestry, the auto sector, going down the river in this country with each day that goes by. Yet, we have a government that is experiencing record high surpluses in its budget and there is nothing there to respond to the very real and heartfelt needs of those workers who were here last week telling us that they need answers. They want leadership. They want a vision for this country and they are not getting it.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:25 p.m.

Liberal

Rodger Cuzner Liberal Cape Breton—Canso, NS

Mr. Speaker, I think my colleague from Sault Ste. Marie touches on several very important points.

I would like to ask him something specific. It has to do with the performance of the government over the last number of weeks and what we have seen with its approach to funding student summer jobs.

We have seen the mess that has been made in restructuring that program with the students who have been hurt and the community groups that have been devastated. The government has tried to keep the company line saying that this was the right thing to do, but it knows that it has jigged up. It has gone back to try to straighten it out and it is going back to try to support some of these very worthy groups. I commend the groups for being vigilant and trying to stay on this message and fight for what they have been doing over the years.

My question for the member is this. Where is this money coming from? There is no new pot of money. Will the government be stealing from other sources, perhaps from programs that could benefit the workers whom he represents? Is this going to be another excuse that, “We had to take the money to straighten out the mess that we made for the students”? Is this going to be another excuse to walk away from the workers who need that money now?

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:25 p.m.

NDP

Tony Martin NDP Sault Ste. Marie, ON

Mr. Speaker, the member raises a very good point. Yes, the student summer job program was a disaster. As the Conservatives rolled it out, they tried to bring in a new formula, but did not think it out very effectively, so when it hit the ground, it did not provide the kind of support and jobs that we thought it should.

I would like to say to the member, though, it was in the last Parliament that those of us on the HUMA committee detected that the program under the Liberal stewardship was not working very well either and was not delivering the kind of results, particularly to economically depressed areas of the country, that it needed to deliver. In fact, it needed more money then.

The hon. member is correct that this program needs to be reviewed and implemented in a way that responds to the real needs of communities and students, and it needs more money.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:25 p.m.

Liberal

Larry Bagnell Liberal Yukon, YT

Mr. Speaker, as the Conservatives go to their riding meetings and open houses their constituents are yelling and screaming them down. People across the country are furious. I want to use my time today to talk about the 10 reasons this budget and the government have so upset and betrayed Conservatives across the country.

The first reason is that when the Conservatives were elected to government people thought that they would get a cut in government spending. For years the Conservatives, especially the Reform Party, talked about how the government was overburdened, how the socialists were spending too much money on all sorts of things. They talked about how the government was getting way out of size and was overrunning the country. Then what did the Conservatives do? They brought in the biggest spending budget in history. It is no wonder that Conservatives were shocked. They could not believe what they saw.

The second reason Conservatives are shocked is they expected another thing from their government and they were jubilant when they were elected because they expected to see tax reductions. Much to their shock and surprise they saw their income tax rates go up. This occurred mostly at the lower level for the most vulnerable people.

I have with me the revised income tax schedule one. In the last year of the Liberal government the tax rate was 15%. On the tax form that everyone filled out this year that tax rate was 15.25%. People across the country will get a shock next year when they see it is 15.5%. The tax rate will be going up again.

The third reason a number of Conservatives across the country are so angry and feel betrayed is income trusts. The Prime Minister made a promise during the 2006 election campaign that income trusts would never be taxed. On October 31, 2006 the finance minister announced a 31.5% tax. This took $25 billion from the personal savings of Canadians. The Toronto Sun reported on February 21:

This is not fair to hard working seniors who have saved all their lives and depend on the income trusts' high yields to pay their bills.

Whether or not it was the right decision, the fact is that the Prime Minister said he would not tax income trusts. People invested in that mechanism based on the word of the Prime Minister. Canadians expect that the one person's word that they can believe for sure would be the Prime Minister's. This was a tremendous shock and disappointment and betrayal to Conservatives across the country.

The fourth reason that Conservatives are upset with the government is the broken promise on equalization. I quote from the May 8 edition of the Leader-Post of Regina, Saskatchewan:

Premier Lorne Calvert has reason to be peeved by Saskatchewan's 12 Conservative MPs and their lack of backbone in fighting for the equalization deal they promised the province.... Instead these MPs have demonstrated far more loyalty to the [Prime Minister] than to the voters.

It is not the voters' fault. They had no choice. It was the Prime Minister and the finance minister.

What about Nova Scotia? There is the unheralded example of a province talking about taking the federal government to court over the budget. Was it an NDP or Liberal premier? No. It is a Conservative premier.

What about Newfoundland? Everyone knows about the huge expenditure of taxpayers' money to run full page ads in newspapers across the country. People in Newfoundland and Labrador are so furious at the broken promise. Once again it is not a Liberal premier, not an NDP premier, but a Conservative premier.

The fifth reason that Conservatives across the country are shocked and dismayed by this budget and the government is regulatory reform. Canadians thought that they would get reduced government spending, but they did not. They thought they would get a reduced tax rate, but they did not. They thought that at least they might get some regulatory reform so that the government would get out of interfering with their lives and businesses.

The pipeline minister responsible for northern affairs talked about how the regulatory regime in the Northwest Territories was stopping development and it needed to be fixed. What has happened? Nothing. There has been no change. We heard recently from Exxon Imperial Oil that the biggest project in the history of the north may not go ahead partly due to regulatory problems.

What about their boondoggles related to the environment? This is from the National Post, a quite Conservative oriented paper with Terence Corcoran:

After last week producing a sound and lucid report on how Canada's Kyoto carbon emission targets were unworkable and economically dangerous, the Conservatives yesterday set course for even greater lunacy than Kyoto, led by...the Environment Minister. In a speech that even Sheila Copps in full discombobulated flight could not have delivered, [the environment minister] invented, distorted, misrepresented and fabricated his way to a potential regulatory nightmare.

The fifth reason is this lack of regulatory reform the people hoped they would see when they elected Conservatives.

The sixth reason, of course, is the elected Senate that the Conservatives when in opposition talked about and talked about. A few hours into government, the Conservatives appointed a senator as opposed waiting for one to be elected. It was not just any senator. He was made a minister of the Crown. And he is not just any minister. He is responsible for the largest spending department relating to contracts in government. A party which talked about the importance of accountability put the minister with all that spending power in the Senate where he cannot be asked questions.

Some members of the public who are watching may think that a minister could be asked questions in the Senate. Question period in the Senate is not like the one in the House of Commons where the ministers answer all the questions. It is the leader in the Senate who answers. The unelected senator appointed by the Conservatives for all that spending power cannot be asked questions.

Lack of accountability once again is upsetting Conservative members. The Prime Minister will not declare his 2002 leadership donors. He refused to make time for the Ethics Commissioner in the Gurmant Grewal affair. They are complaining that they are the laughingstock of the country related to accountability because they put out a manual on how to block and stonewall parliamentary committees, where the business of parliament is done. Once again, I cannot actually blame the backbenchers because they probably did not have a lot to do with that.

The ninth reason is related to gas prices. Another big area the Conservatives when in opposition talked about at length was the problem of gas prices and what they would do about it. What they have done about it is close the gas monitoring office that was recommended in the last Parliament that would let Canadians know whether there was any collusion in the setting of gas prices. It would provide all the information and details in this very complex field and let Canadians know. The man in the street would have felt much more comfortable knowing the background to these huge recent increases in gas prices.

Then of course there was the promise the Conservatives were really looking forward to regarding addressing the double taxation, taking the GST off gas prices, which the Conservatives promised as soon as prices were over 85¢ a litre. A couple of weeks ago in my riding the price was $1.40 a litre which is a lot more than 85¢ and yet the GST has not been removed. That promise has not been kept.

The tenth reason they are upset is that unlike the old Reform philosophy, the Conservative backbenchers and even the ministers are not to allowed to talk against the government or to vote against the government.

According to the April 20 edition of the Whitehorse Star in the story about the hijab, “One government member said an order not to comment came directly from the Prime Minister's Office”.

Now they have even cancelled the November policy convention where ordinary members could talk and complain about these things.

Those are the 10 top reasons the Conservatives across the country are upset by their government, the one they were originally excited about getting elected. If those are not enough, in case someone disagrees with one of those reasons, I will give a spare reason, the elimination of interest deductibility which the past chairman of the Canadian Tax Foundation said is the single most misguided policy he has seen in Ottawa in many years.

Those are just what members of Parliament from all parties in the House of Commons have seen as reasons that Conservatives are upset.

There are Conservatives who are talking about starting a new party. According to the May 12 issue of the Globe and Mail May 12:

“This new party will never be infiltrated by Red Tories, special interest groups”....“Has the Prime Minister been 'Otta-washed?'” Mr. Byfield, a strong voice for small-c conservative Alberta--

The article goes on about being deluged with e-mails and calls from people who are frustrated with the direction the Prime Minister is taking.

I share the disappointment of Conservative voters across the country. They are getting all these things that they did not expect from the government. If the Conservatives have a philosophy, they should at least be true to that philosophy and the promises they made to voters. The Conservative government should not disappoint Canadians by breaking so many promises.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:35 p.m.

Conservative

Laurie Hawn Conservative Edmonton Centre, AB

Mr. Speaker, I listened with interest to my hon. friend from Yukon. As a Conservative member for the province of Alberta, I have not been deluged with e-mails and faxes and so on about disappointment.

We have been given credit for making tough decisions on things that had to be done. Notwithstanding, we do not have to go back over the past 13 years as that has been done enough.

My hon. friend talked about $25 billion having been lost in the income trust market. Would he look beyond November 1 and perhaps look to May 31--

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:35 p.m.

An hon. member

Maybe June.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:35 p.m.

Conservative

Laurie Hawn Conservative Edmonton Centre, AB

--or maybe June and see what the difference is. I think he would find that the difference is negligible for those who did not panic in the face of the Liberals' and other people's rhetoric which was so over the top that it in fact induced people to make rash decisions and is what caused anybody to actually lose money, not those who stayed with it and had the common sense to sit tight.

Motions in AmendmentBudget Implementation Act, 2007Government Orders

June 4th, 2007 / 1:35 p.m.

Liberal

Larry Bagnell Liberal Yukon, YT

Mr. Speaker, I am glad that particular member was not deluged with e-mails and calls like others are receiving, as I quoted from the paper.

Some people may have stuck with it and did not lose as much, but let me give the member an example of a single mother who contacted me with respect to this issue. Based on the Prime Minister's promise, she invested all her money from her child's registered education savings plan into income trusts and lost about 30% on the first day. A single mother who is scraping up money for her child's education cannot necessarily hold on through bad times in the hope that it might come back and she might have money for her child's education.