Budget Implementation Act, 2021, No. 1

An Act to implement certain provisions of the budget tabled in Parliament on April 19, 2021 and other measures

This bill is from the 43rd Parliament, 2nd session, which ended in August 2021.

Sponsor

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament has also written a full legislative summary of the bill.

Part 1 implements certain income tax measures by
(a) providing relieving measures in connection with COVID-19 in respect of the use by an employee of an employer-provided automobile for the 2020 and 2021 taxation years;
(b) limiting the benefit of the employee stock option deduction for employees of certain employers;
(c) providing an adjustment for payments or repayments of government assistance in determining capital cost allowance for certain zero-emission vehicles;
(d) expanding the scope of the foreign affiliate dumping rules to further their objectives;
(e) providing change in use rules for multi-unit residential properties;
(f) establishing rules for advanced life deferred annuities;
(g) providing for an option to deduct repaid emergency benefit amounts in the year of benefit receipt and clarifying the tax treatment of non-resident beneficiaries;
(h) removing the time limitation for a registered disability savings plan to remain registered after the cessation of a beneficiary’s eligibility for the disability tax credit and modifying grant and bond repayment obligations;
(i) increasing the basic personal amount for certain taxpayers;
(j) providing a temporary special reading of certain rules relating to the child care expense deduction and the disability supports deduction for the 2020 and 2021 taxation years;
(k) providing flow-through share issuers with temporary additional time to incur eligible expenses to be renounced to investors under their flow-through share agreements;
(l) applying the short taxation year rule to the accelerated investment incentive for resource expenditures;
(m) introducing the Canada Recovery Hiring Program refundable tax credit to support the post-pandemic recovery;
(n) amending the employee life and health trust rules to allow for the conversion of health and welfare trusts to employee life and health trusts;
(o) expanding access to the Canada Workers Benefit by revising the applicable eligibility thresholds for the 2021 and subsequent taxation years;
(p) amending the income tax measures providing support for Canadian journalism;
(q) clarifying the definition of shared-custody parent for the purposes of the Canada Child Benefit;
(r) revising the eligibility criteria, as well as the level of subsidization, under the Canada Emergency Wage Subsidy (CEWS) and Canada Emergency Rent Subsidy (CERS), extending the CEWS and the CERS until September 25, 2021, providing authority to enable the extension of these subsidies until November 30, 2021, and ensuring that the level of CEWS benefits for furloughed employees continues to align with the benefits provided through the Employment Insurance Act until August 28, 2021;
(s) preventing the use by mutual fund trusts of a method of allocating capital gains or income to their redeeming unitholders where the use of that method inappropriately defers tax or converts ordinary income into capital gains;
(t) extending the income tax deferral available for certain patronage dividends paid in shares by an agricultural cooperative corporation to payments made before 2026;
(u) limiting transfers of pensionable service into individual pension plans;
(v) establishing rules for variable payment life annuities;
(w) preventing listed terrorist entities under the Criminal Code from qualifying as registered charities and providing for the suspension or revocation of a charity’s registration where it makes false statements for the purpose of maintaining registration;
(x) ensuring the appropriate interaction of transfer pricing rules and other rules in the Income Tax Act;
(y) preventing non-resident taxpayers from avoiding Canadian dividend withholding tax on compensation payments made under cross-border securities lending arrangements with respect to Canadian shares;
(z) allowing for the electronic delivery of requirements for information to banks and credit unions;
(aa) improving existing rules meant to prevent taxpayers from using derivative transactions to convert ordinary income into capital gains;
(bb) extending to a wider array of eligible automotive equipment and vehicles the 100% capital cost allowance write-off for business investments in certain zero-emission vehicles;
(cc) ensuring that the accelerated investment incentive for depreciable property applies properly in particular circumstances; and
(dd) providing rules for contributions to a specified multi-employer plan for older members.
It also makes related and consequential amendments to the Excise Tax Act, the Air Travellers Security Charge Act, the Excise Act, 2001, the Greenhouse Gas Pollution Pricing Act, the Income Tax Regulations and the Canada Disability Savings Regulations.
Part 2 implements certain Goods and Services Tax/Harmonized Sales Tax (GST/HST) measures by
(a) temporarily relieving supplies of certain face masks and face shields from the GST/HST;
(b) ensuring that non-resident vendors supplying digital products or services (including traditional services) to consumers in Canada be required to register for the GST/HST and to collect and remit the tax on their taxable supplies to consumers in Canada;
(c) requiring distribution platform operators and non-resident vendors to register under the normal GST/HST rules and to collect and remit the GST/HST in respect of certain supplies of goods shipped from a fulfillment warehouse or another place in Canada;
(d) applying the GST/HST on all supplies of short-term accommodation in Canada facilitated through a digital platform;
(e) expanding the eligibility for the GST rebate for new housing;
(f) expanding the definition of freight transportation service for the purposes of the GST/HST;
(g) extending the application of the drop-shipment rules for the purposes of the GST/HST;
(h) treating virtual currency as a financial instrument for the purposes of the GST/HST; and
(i) clarifying the GST/HST holding corporation rules and expanding those rules to holding partnerships and trusts.
It also makes related and consequential amendments to the New Harmonized Value-added Tax System Regulations, No. 2.
Part 3 implements certain excise measures by increasing excise duty rates on tobacco products by $4.‍00 per carton of 200 cigarettes along with corresponding increases to the excise duty rates on other tobacco products.
Part 4 enacts an Act and amends several Acts in order to implement various measures.
Division 1 of Part 4 amends the Canada Deposit Insurance Corporation Act to, among other things,
(a) specify the steps that an assessor must follow when they review a determination of the Canada Deposit Insurance Corporation with respect to the payment of compensation to certain persons;
(b) clarify that the determination of whether or not persons are entitled to compensation is to be made in accordance with the regulations;
(c) prevent a person from taking certain actions in relation to certain agreements between the person and a federal member institution by reason only of a monetary default by that institution in the performance of obligations under those agreements if the default occurs in the period between the making of an order directing the conversion of that institution’s shares or liabilities and the occurrence of the conversion;
(d) require certain federal member institutions to ensure that certain provisions of that Act — or provisions that have substantially the same effect as those provisions — apply to certain eligible financial contracts, including those contracts that are subject to the laws of a foreign state;
(e) exempt eligible financial contracts between a federal member institution and certain entities, including Her Majesty in right of Canada, from a provision of that Act that prevents certain actions from being taken in relation to those contracts; and
(f) extend periods applicable to certain restructuring transactions for financial institutions.
It also amends the Payment Clearing and Settlement Act to
(a) specify the steps that an assessor must follow when they review a determination of the Bank of Canada with respect to the payment of compensation to certain persons or entities; and
(b) clarify that systems or arrangements for the exchange of payment messages for the purpose of clearing or settlement of payment obligations may be overseen by the Bank of Canada as clearing and settlement systems.
Finally, it amends not-in-force provisions of the Canada Deposit Insurance Corporation Act, enacted by the Budget Implementation Act, 2018, No. 1, so that, under certain circumstances, an error or omission that results in a failure to meet a requirement of the schedule to the Canada Deposit Insurance Corporation Act will not prevent a deposit from being considered a separate deposit.
Division 2 of Part 4 amends the Bank of Canada Act to authorize the Bank of Canada to publish certain information about unclaimed amounts.
It also amends the Pension Benefits Standards Act, 1985 with respect to the transfer of pension plan assets relating to the pension benefit credit of any person who cannot be located to, among other things,
(a) limit the circumstances in which such assets may be transferred and specify conditions for the transfer; and
(b) specify the effects of a transfer on any claims that may be made in respect of those assets.
Finally, it amends the Trust and Loan Companies Act and the Bank Act to
(a) include amounts that are not in Canadian currency in the unclaimed amounts regime; and
(b) impose additional requirements on financial institutions in connection with their transfers of unclaimed amounts to the Bank of Canada and communications with the owners of those amounts.
Division 3 of Part 4 amends the Budget Implementation Act, 2018, No. 2 to exclude certain businesses from the application of a provision of the Bank Act that it enacts, which allows certain agreements that have been entered into with banks to be cancelled.
Division 4 of Part 4 amends the Trust and Loan Companies Act, the Bank Act and the Insurance Companies Act to extend the period during which federal financial institutions governed by those Acts may carry on business to June 30, 2025.
Division 5 of Part 4 amends the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) to
(a) provide that the entities referred to in that Act are no longer required to disclose to the principal agency or body that supervises or regulates them the fact that they do not have in their possession or control any property of a foreign national who is the subject of an order or regulation made under that Act; and
(b) change the frequency with which those entities are required to disclose to the principal agency or body that supervises or regulates them the fact that they have such property in their possession or control from once a month to once every three months.
Division 6 of Part 4 amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to
(a) extend the application of Part 1 of that Act to include persons and entities engaged in the business of transporting currency or certain other financial instruments;
(b) provide that the Financial Transactions and Reports Analysis Centre make assessments to be paid by persons or entities to which Part 1 applies, based on the amount of certain expenses incurred by the Centre, and to authorize the Governor in Council to make regulations respecting those assessments;
(c) amend the definitions of designated information to include certain information associated with virtual currency transactions and widely held or publicly traded trusts that the Centre can disclose to law enforcement or other governmental bodies;
(d) change the maximum penalties for summary conviction offences;
(e) expand the list of persons or entities that are not eligible for registration with the Centre; and
(f) make other technical amendments.
Division 7 of Part 4 enacts the Retail Payment Activities Act, which establishes an oversight framework for retail payment activities. Among other things, that Act requires certain payment service providers to identify and mitigate operational risks, safeguard end-user funds and register with the Bank of Canada. That Act also provides the Minister of Finance with powers to address risks related to national security that could be posed by payment service providers. This Division also makes related amendments to the Canada Deposit Insurance Corporation Act, the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, the Financial Consumer Agency of Canada Act and the Payment Card Networks Act.
Division 8 of Part 4 amends the Pension Benefits Standards Act, 1985 to establish new requirements and grant new regulation-making powers to the Governor in Council with respect to negotiated contribution plans.
Division 9 of Part 4 amends the First Nations Fiscal Management Act to allow First Nations that are borrowing members of the First Nations Finance Authority to assign their rights to certain revenues payable by Her Majesty in right of Canada, for the purpose of securing financing for that Authority’s borrowing members.
Division 10 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to, among other things, increase the maximum amount of a fiscal stabilization payment that may be made to a province and to make technical changes to the calculation of fiscal stabilization payments.
Division 11 of Part 4 amends the Federal-Provincial Fiscal Arrangements Act to authorize additional payments to the provinces and territories.
Division 12 of Part 4 authorizes payments to be made out of the Consolidated Revenue Fund in relation to Canada’s COVID-19 immunization plan.
Division 13 of Part 4 authorizes payments to be made out of the Consolidated Revenue Fund in relation to infrastructure and amends the heading of Part 9 of the Keeping Canada’s Economy and Jobs Growing Act.
Division 14 of Part 4 authorizes amounts to be paid out of the Consolidated Revenue Fund, to a maximum total amount of $3,056,491,000, for annual payments to Newfoundland and Labrador in accordance with the terms and conditions of the Hibernia Dividend Backed Annuity Agreement.
Division 15 of Part 4 amends the Nova Scotia and Newfoundland and Labrador Additional Fiscal Equalization Offset Payments Act to authorize the Minister of Finance to make an additional fiscal equalization offset payment to Nova Scotia for the 2020–2021 fiscal year and to extend that Minister’s authority to make additional fiscal equalization offset payments to Nova Scotia until March 31, 2023.
Division 16 of Part 4 amends the Telecommunications Act to provide that decisions made by the Canadian Radio-television and Telecommunications Commission on whether or not to allocate funding to expand access to telecommunications services in underserved areas are not subject to review under section 12 or 62 of that Act but are subject to review by the Commission on its own initiative. It also amends that Act to provide for the exchange of information within the federal government and with provincial governments for the purpose of coordinating financial support for access to telecommunications services in underserved areas.
Division 17 of Part 4 amends the Canada Small Business Financing Act to, among other things,
(a) specify that lines of credit are loans;
(b) set a limit on the liability of the Minister of Small Business and Tourism in respect of each lender for lines of credit;
(c) remove the restriction excluding not-for-profit businesses, charitable businesses and businesses having as their principal object the furtherance of a religious purpose as eligible borrowers;
(d) increase the maximum amount of all loans that may be made in relation to a borrower under that Act; and
(e) provide that lesser maximum loan amounts may be prescribed by regulation for loans other than lines of credit, lines of credit and prescribed classes of loans.
Division 18 of Part 4 amends the Customs Act to change certain rules respecting the correction of declarations made under section 32.‍2 of that Act, the payment of interest due to Her Majesty and securities required under that Act, and to define the expression “sold for export to Canada” for the purposes of Part III of that Act.
Division 19 of Part 4 amends the Canada–United States–Mexico Agreement Implementation Act to require the concurrence of the Minister of Finance when the Minister designated for the purposes of section 16 of that Act appoints panellists and committee members and proposes the names of individuals for rosters under Chapter 10 of the Canada–United States–Mexico Agreement.
Division 20 of Part 4 amends Part 5 of the Department of Employment and Social Development Act to make certain reforms to the Social Security Tribunal, including
(a) changing the criteria for granting leave to appeal and introducing a de novo model for appeals of decisions of the Income Security Section at the Appeal Division;
(b) giving the Governor in Council the authority to prescribe the circumstances in which hearings may be held in private; and
(c) giving the Chairperson of the Social Security Tribunal the authority to make rules of procedure governing appeals.
Division 21 of Part 4 amends the definition of “previous contractor” in Part I of the Canada Labour Code in order to extend equal remuneration protection to employees who are covered by a collective agreement and who work for an employer that
(a) provides services at an airport to another employer in the air transportation industry; or
(b) provides services to another employer in another industry and at other locations that may be prescribed by regulation.
Division 22 of Part 4 amends Part III of the Canada Labour Code to establish a federal minimum wage of $15 per hour and to provide that if the minimum wage of a province or territory is higher than the federal minimum wage, the employer is to pay a minimum wage that is not less than that higher minimum wage. It also provides that, except in certain circumstances, the federal minimum wage per hour is to be adjusted upwards annually on the basis of the Consumer Price Index for Canada.
Division 23 of Part 4 amends the provisions of the Canada Labour Code respecting leave related to the death or disappearance of a child in cases in which it is probable that the child died or disappeared as a result of a crime, in order to, among other things,
(a) increase the maximum length of leave for a parent of a child who has disappeared from 52 weeks to 104 weeks;
(b) extend eligibility to parents of children who are 18 years of age or older but under 25 years of age; and
(c) limit the exception that applies in the case of a parent of a child who has died as a result of a crime if it is probable that the child was a party to the crime so that the exception applies only with respect to a child who is 14 years of age or older.
Division 24 of Part 4 authorizes the Minister of Employment and Social Development to make a one-time payment to Quebec for the purpose of offsetting some of the costs of aligning the Quebec Parental Insurance Plan with temporary measures set out in Part VIII.‍5 of the Employment Insurance Act.
Division 25 of Part 4 amends the Judges Act to provide that, if the Canadian Judicial Council recommends that a judge be removed from judicial office, the time counted towards the judge’s pension entitlements will be frozen and their pension contributions will be suspended, as of the day on which the recommendation is made. If the recommendation is rejected, the judge’s pension contributions will resume, the time counted towards their pension entitlement will include the suspension period and the judge will be required to make all the contributions that would have been required had the contributions never been suspended.
Division 26 of Part 4 amends the Federal Courts Act and the Tax Court of Canada Act to increase the number of judges for the Federal Court of Appeal by one and the number of judges for the Tax Court of Canada by two. It also amends the Judges Act to authorize the salary for the new Associate Chief Justice for the Trial Division of the Supreme Court of Newfoundland and Labrador and the salaries for the following new judges: five judges for the Ontario Superior Court of Justice, two judges for the Supreme Court of British Columbia and two judges for the Court of Queen’s Bench for Saskatchewan.
Division 27 of Part 4 amends the National Research Council Act to provide the National Research Council of Canada with the authority to engage in the production of “drugs” or “devices”, as those terms are defined in the Food and Drugs Act, for the purpose of protecting or improving public health. It also amends that Act to provide authority for the incorporation of corporations and the acquisition of shares in corporations.
Division 28 of Part 4 amends the Department of Employment and Social Development Act in relation to the collection and use of Social Insurance Numbers by the Minister of Labour.
Division 29 of Part 4 amends the Canada Student Loans Act to provide that, during the period that begins on April 1, 2021 and ends on March 31, 2023, no interest is payable by a borrower on a guaranteed student loan.
It also amends the Canada Student Financial Assistance Act to provide that, during the period that begins on April 1, 2021 and ends on March 31, 2023, no interest is payable by a borrower on a student loan.
Finally, it amends the Apprentice Loans Act to provide that, during the period that begins on April 1, 2021 and ends on March 31, 2023, no interest is payable by a borrower on an apprentice loan.
Division 30 of Part 4 confirms the validity of certain regulations in relation to the cancellation or postponement of certain First Nations elections.
Division 31 of Part 4 amends the Old Age Security Act to increase the Old Age Security pension payable to individuals aged 75 and over by 10%. It also provides that any amount payable in relation to a program to provide a one-time payment of $500 to pensioners who are 75 years of age or older may be paid out of the Consolidated Revenue Fund.
Division 32 of Part 4 amends the Public Service Employment Act to, among other things,
(a) require that the establishment and review of qualification standards and the use of assessment methods in respect of appointments include an evaluation of whether there are biases or barriers that disadvantage persons belonging to any equity-seeking group;
(b) provide that audits and investigations may include the determination of whether there are biases or barriers that disadvantage persons belonging to any equity-seeking group; and
(c) give permanent residents the same preference as Canadian citizens in external advertised appointment processes.
Division 33 of Part 4 authorizes the making of payments to the provinces for early learning and child care for the fiscal year beginning on April 1, 2021.
Division 34 of Part 4 amends the Canada Recovery Benefits Act to, among other things,
(a) provide that the maximum number of two-week periods in respect of which a Canada recovery benefit is payable is 25;
(b) reduce the amount of a Canada recovery benefit for a week to $300 in certain circumstances;
(c) provide that certain persons who were paid benefits under the Employment Insurance Act are eligible to be paid a Canada recovery benefit in certain circumstances;
(d) provide that the maximum number of weeks in respect of which a Canada recovery caregiving benefit is payable is 42; and
(e) provide that the Governor in Council may, by regulation, on the recommendation of the Minister of Employment and Social Development and the Minister of Finance, amend certain provisions of that Act to replace the date of September 25, 2021 by a date not later than November 20, 2021.
It also amends the Canada Labour Code to provide that the maximum number of weeks of leave for COVID-19 related caregiving responsibilities is 42.
Finally, it repeals provisions of the Canada Recovery Benefits Regulations and the Canada Labour Standards Regulations.
Division 35 of Part 4 amends the Employment Insurance Act to, among other things,
(a) facilitate access to unemployment benefits for a period of one year by
(i) reducing the number of hours of insurable employment required to qualify for unemployment benefits to a national threshold of 420 hours,
(ii) reducing the amount of earnings from self-employment that a self-employed person is required to have to be eligible to access special unemployment benefits,
(iii) providing that only a claimant’s most recent separation from employment will be considered in determining whether they qualify for unemployment benefits,
(iv) ensuring that earnings paid to a person because of the complete severance of their relationship with their former employer do not extend the person’s benefit period, and
(v) providing for an increase in the maximum number of weeks for which regular unemployment benefits may be paid to a seasonal worker if certain conditions are met; and
(b) extend the maximum number of weeks for which benefits may be paid because of a prescribed illness, injury or quarantine from 15 to 26.
It also amends the Canada Labour Code to, among other things, extend to 27 the maximum number of weeks to which an employee is entitled for a medical leave of absence from employment.
It also amends the Employment Insurance Regulations to, among other things, ensure that, for a period of one year, earnings paid to a person because of the complete severance of their relationship with their former employer do not extend the person’s benefit period or delay payment of benefits to the person.
Finally, it amends the Employment Insurance (Fishing) Regulations to, among other things, reduce, for a period of one year, the amount of earnings that a fisher is required to have to qualify for unemployment benefits.
Division 36 of Part 4 amends the Canada Elections Act to provide that the offences related to the prohibition on making or publishing certain false statements with the intention of affecting the results of an election require that the person or the entity making or publishing the statement knows that the statement in question is false.

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-30s:

C-30 (2022) Law Cost of Living Relief Act, No. 1 (Targeted Tax Relief)
C-30 (2016) Law Canada-European Union Comprehensive Economic and Trade Agreement Implementation Act
C-30 (2014) Law Fair Rail for Grain Farmers Act
C-30 (2012) Protecting Children from Internet Predators Act

Votes

June 23, 2021 Passed 3rd reading and adoption of Bill C-30, An Act to implement certain provisions of the budget tabled in Parliament on April 19, 2021 and other measures
June 21, 2021 Passed Concurrence at report stage of Bill C-30, An Act to implement certain provisions of the budget tabled in Parliament on April 19, 2021 and other measures
June 21, 2021 Failed Bill C-30, An Act to implement certain provisions of the budget tabled in Parliament on April 19, 2021 and other measures (report stage amendment)
June 14, 2021 Passed Tme allocation for Bill C-30, An Act to implement certain provisions of the budget tabled in Parliament on April 19, 2021 and other measures
May 27, 2021 Passed 2nd reading of Bill C-30, An Act to implement certain provisions of the budget tabled in Parliament on April 19, 2021 and other measures

Debate Summary

line drawing of robot

This is a computer-generated summary of the speeches below. Usually it’s accurate, but every now and then it’ll contain inaccuracies or total fabrications.

Bill C-30 enacts budget provisions for COVID-19 response, economic recovery, expanded benefits, and investments in areas such as child care, health, and green initiatives. It also includes amendments to various acts.

Liberal

  • Extends covid-19 support: Bill C-30 extends emergency wage and rent subsidies, lockdown support, flexible EI access, and recovery benefits through September to help Canadians and businesses.
  • Builds national child care system: The bill includes historic investments to build a Canada-wide early learning and child care system, aiming for an average cost of $10 a day within five years.
  • Invests in jobs and growth: The legislation aims to create jobs, support low-wage workers through an expanded Canada Workers Benefit and federal minimum wage, and provide targeted help for seniors, youth, and businesses.
  • Builds a stronger future: The bill invests in Canada's green transition, digital transformation, innovation, social and physical infrastructure, and reconciliation with Indigenous peoples.

Conservative

  • Criticizes massive debt and deficits: The budget creates massive debt and deficits with no plan to return to balance, burdening future generations and limiting future investments.
  • Lacks plan for growth and jobs: Conservatives argue the budget is not a growth plan, failing to position Canada for long-term prosperity and lacking strategic investments for job creation.
  • Spending is unfocused and political: They criticize the unfocused spending, arguing much of it is for political interests rather than necessary economic stimulus or urgent needs like healthcare support.
  • Fails to address key issues: The budget fails to address urgent health and economic issues, lacks a safe reopening plan, neglects natural resources, and includes flawed programs like the child care plan.

NDP

  • Fails to tax the rich: The party criticizes the government for allowing the ultra-rich and banks to profit during the pandemic while failing to implement measures like a wealth tax or excess profits tax.
  • Scales back supports too early: The NDP argues the bill scales back emergency supports like the response benefit, wage subsidy, and rent relief too early, especially during the ongoing third wave of the pandemic.
  • Supports child care, minimum wage: The party supports measures like national child care and a federal minimum wage (borrowed from their platform), but remains skeptical about the government's commitment to implementation.
  • Missing key investments: The NDP criticizes the bill for failing to include crucial investments and programs such as universal pharmacare, dental care, adequate housing, and sufficient support for students and people with disabilities.

Bloc

  • Support principle of bill: The Bloc Québécois supports the principle of Bill C-30, but will seek amendments in committee and may review its position on subsequent votes.
  • Oppose securities centralization: The party strongly opposes federal plans to centralize securities regulation in Toronto, viewing it as an infringement on Quebec's jurisdiction and an attack on its financial sector.
  • Insufficient old age security increase: The Bloc criticizes the plan to increase Old Age Security only for seniors aged 75 and over starting in 2022, advocating for a larger, immediate increase for all seniors aged 65 and up.
  • Criticize health transfers and intrusion: The party is disappointed by the lack of significant, permanent increases to health transfers and denounces the government's use of the budget to interfere in provincial jurisdictions.

Green

  • Budget implementation bill acceptable: While the budget implementation bill is acceptable as an omnibus bill tied to the budget, the Green Party criticizes the budget itself for lacking the courage and substance needed to address current crises.
  • Inadequate social support: The party argues the budget fails to provide adequate social supports, criticizing reduced benefits, insufficient aid for businesses, and the lack of a guaranteed livable income, while failing to tax the wealthy or address rising inequality.
  • End fossil fuel subsidies: The Green Party calls for ending all taxpayer handouts to the fossil fuel industry, including cancelling the Trans Mountain pipeline expansion and banning fracking, to invest in a just transition.
  • Address housing and healthcare: The party highlights the housing affordability crisis and calls for stronger regulations against foreign buyers and tax evasion, while also pushing for universal pharmacare, dental care, and mental health services.
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Budget Implementation Act, 2021, No. 1Government Orders

May 25th, 2021 / 12:55 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Madam Speaker, we have before us the government's budget implementation act, a disastrous piece of legislation that runs counter to the Canadian spirit and threatens our way of life now and in the future.

Canada, as I see it, is a great frontier nation, a nation characterized also by a great frontier spirit. To be Canadian is to set out into the unknown in pursuit of a better life.

Indigenous peoples who survived in these vast and beautiful but harsh lands since time immemorial were living and surviving on a frontier. The first European settlers who came here for resources, space and greater freedom pursued opportunity on a new frontier where the outcomes were highly uncertain. Loyalists who left their communities came north because of a commitment to ideals that had been betrayed by the American revolution. Former slaves also came north, risking brutal reprisals to find freedom in the land they had never seen. Pioneers risked starvation by moving west for more land. Successive generations of immigrants still today come to this new frontier to discover new things and new opportunities, leaving the familiar behind.

This is the Canadian story, one of sacrifice and boldly setting out for adventure, opportunity, security and justice.

Today, when the comforts of indoors are available to most of us, many still pride themselves on keeping this frontier spirit alive by encountering nature in all its elements at all times of the year: skiing, hiking up mountains, sleeping in tents when we do not have to, going for long walks in the middle of the woods through rough terrain even when no one is chasing us and ignoring the stove and microwave to cook food outside. We have braved the elements to get here and survive here, and now we venture out into the cold, the rain and bear country purely for the fun of it. Consciously or not, this is because we are proud of an identity and heritage that connects us with the grubby struggle of the outdoors. We are still a frontier people.

In the first instance, when people chose to leave the ease and comfort of a country or region of origin and when they chose to set out into a place that seemed inhospitable, they were clearly not just acting for themselves. For so many, the sacrifices of the present are consciously made to give something better to the next generation. Those who first venture onto a frontier are laying the groundwork for their children and grandchildren who will grow up on the frontier with the benefit of a new wealth in land and resources, and with the benefit of the security created by the hard work of their forebears.

This, too, is essential to the Canadian story. These national virtues are of hard work, courage and sacrifice in service of the next generation in the hope we can always say to our children that they will have joys, comforts and opportunities that we did not see.

Part of living on a frontier and living a frontier spirit is recognizing that we have to work for everything we have and we will be able to keep the things we built. With a bounty of natural resources in front of us, we can combine our labour with those things and so establish a future for ourselves and our families through dogged and relentless effort. The character of indigenous peoples and of those who immigrated here as well as the circumstances of the country itself made this possible and created communities of relative equality where opportunity was available to all.

This was very different from many old-world countries where resources were often more scarce and where domestic or foreign aristocracies often lived in idleness, benefiting through exploitation. These kinds of societies, where opportunities were not available to most people, have been understandably ripe for political doctrines emphasizing violent redistribution. It is an interesting feature of the history of European colonialism in general that less naturally hospitable areas like Canada ultimately have done better economically than many parts of the world where it is easier to survive.

History shows that early colonizers of warmer regions were more likely to be privileged people seeking wealth through the exploitation of indigenous peoples and slaves and the expropriation of existing wealth. Our country, on the other hand, was colonized by a greater proportion of less privileged European migrants who were prepared to work hard to survive instead of import slave labour. The circumstances of harsher environments such as Canada's also compelled a greater degree of initial co-operation between newcomers and indigenous peoples.

The history of European colonization is therefore one of richer regions becoming poorer and poorer regions becoming richer. This contrast shows the uniqueness of our national experience and the particular impact of the frontier spirit that relatively poorer newcomers to Canada brought with them.

Of course, inequality and exploitation have been and are in certain respects present in Canada today, and they are present any time governments seek to impose unmanageable burdens on workers and on families. However, those who fight back against exploitation do so from a commitment to cultivating and maintaining our national frontier spirit, where anyone can build and where those who choose to build new things can benefit from them. To maintain abundant opportunity and the benefits of this frontier spirit, we must continue to be willing to use our natural resources and to make them available to those who work on and develop them.

The opportunities of the new frontier are not gone. Still today, the option has always been available to go west or north and earn a living through hard work. This is why socialism has never taken root here, because for most of our history, we have been able to provide opportunity and access to resources for those who are willing to move to the frontier and pursue them.

In addition to providing opportunity for all who seek it, our frontiers have supplied the rest of the nation with wealth and resources unimaginable in other countries. We do not have to live on a frontier to benefit from living in a frontier nation.

However, sadly, there are those in our politics who do not believe in this frontier spirit, who have been suspicious of our resource development sectors past and present, who have preferred the comfortable status quo to the challenge of growth and who have tempted us to put the comforts of the present ahead of the opportunities of the future. The extent to which the government represents such an attack on the frontier spirit of our nation has been an unfolding reality.

The government initially promised small deficits for the short term and a balanced approach to spending in resource development. However, now it has bet big on something more radical. This budget unveils a plan to run massive, historic deficits in perpetuity, financed by borrowing and outstripping the borrowing of any previous national crisis. This is a budget that seeks a decisive break with our history. While there are claims about growth coming from undefined jobs in the future and dreams of greater workforce participation facilitated by state-run day care, the only actual articulated policy in this budget is more spending financed by the printing of money and the continuing, unprecedented assault on those resource and manufacturing sectors of our economy that have driven our frontier spirit and have been the mainstay of our prosperity.

Simultaneously, the government is proposing less production and more spending. The national resource sector is being undermined at every turn, including even projects with net-zero equipment built in, even projects that will demonstrably lead to reduction in global greenhouse gas emissions by displacing dirtier foreign sources. It should be obvious that increasing the availability of child care is only going to increase workforce participation if there are actually jobs available to work in.

Any student of history can figure out where this is all leading. This is the path of hyperinflation and a national debt crisis. This, in turn, will create radical inequality between everyday people and well-connected insiders. This is how we undermine trust in public institutions and exacerbate social divisions. This is how we impoverish a once great nation.

There are those who say that this cannot happen in Canada, that our nation is immune to these things, that our national success has been the product of particular characteristics, choices and circumstances. In particular, it has been our frontier spirit, the fact that we are the kind of people who look at a naturally occurring pile of asphalt and say, “How can I squeeze the oil out of that?” We are the kind of people who understand that prosperity comes from hard work, not from printing money. This is Canada. However, if our leaders continue to seek a different course, then there is no reason to believe that our historic success will continue.

Canada's current government is the most left wing of any government in this nation's history. Other governments have sought to develop our resources and redistribute the surplus, but the current government is blocking growth and development at every turn, while actively seeking to redistribute that which has not been created. It will tell us “Don't worry, your efforts are not required because we are going to take care of things. We are going to take care of you whatever it takes.” However, whatever it takes it not going to work if we are not putting anything in the tank. We can only run on empty for so long.

The government will say that its spending will create growth, but its approach to growth emphasizes central planning and the alleged wisdom of bureaucratic predictions about industries of the future. Central planning of economic development has never worked in the past and has always increased inequality and social resentment. Nations that have relied on government planning instead of on the spontaneous genius of people have never prospered except temporarily and by imitation and expropriation.

It is time that Canada's leaders turn their attention to the need to secure our future. Securing our future requires an all-hands-on-deck approach to the economy, one that leverages the hard work, ingenuity and sacrifice of all people from all backgrounds, in all sectors and in all regions of our national economy. Securing the future means innovating in the way that we deliver public services instead of re-promising the unkept promises of the 1960s. Securing our future means restoring our commitment to paying for the things we buy today rather than passing the bill on to the next generation.

The source of our prosperity is not the printing of currency, central planning or the distribution of government largesse. It is the ingenuity and courage of the Canadian people. Securing our future is about celebrating our frontier spirit as survivors, as immigrants, as builders and as innovators. I am proud to be opposing this budget.

Budget Implementation Act, 2021, No. 1Government Orders

May 25th, 2021 / 1:05 p.m.

Conservative

Damien Kurek Conservative Battle River—Crowfoot, AB

Madam Speaker, my friend and colleague's speech certainly touches on some of the real, existential challenges Canada is facing, many of which were brought on by the Liberal government and its failed response to COVID-19.

I specifically want to give the member an opportunity to respond to some of the concerns I have heard from people in my constituency about this Ottawa-knows-best approach to child care and a national child care strategy that has been outlined within the Liberals' most recent budget, contrary to the minister's mandate letter. I wonder if my colleague could provide his thoughts on this Ottawa-knows-best approach to child care.

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May 25th, 2021 / 1:05 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Madam Speaker, we already have seen child care providers speak out against the government's plan. The Ontario Coalition for Better Child Care is speaking out against it, saying that it does not provide it with clarity or certainty, and it raises big concerns about how co-operatives, not-for-profit child care centres and others would be pushed out by a centralized government-controlled plan that lacks the flexibility for which parents are looking.

The nature of work is changing. People are looking for greater flexibility. They are working different hours. They are more likely to work from home. They are looking for flexible child care arrangements that accord with the particulars of their circumstances.

We do not need the re-promising of a promise from 50 years ago that was not kept and that has not kept up with the emerging reality. What child care providers as well as parents are looking for is more support to be offered to parents to allow them to make child care choices to reflect the needs of their families. There is a broad range of other measures that could be considered as well, such as partnering with employers, looking at resources for not-for-profits, but we need to maintain—

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May 25th, 2021 / 1:05 p.m.

Budget Implementation Act, 2021, No. 1Government Orders

May 25th, 2021 / 1:05 p.m.

Liberal

Mark Gerretsen Liberal Kingston and the Islands, ON

Madam Speaker, I noticed how the default reaction to that last question was to talk about the child care providers, not the parents who are looking for child care.

Nonetheless, we do not have to look too far to see the success of child care at a very reasonable cost. We do not even have to look outside the country. We can look to Quebec and the success it has had and what it has meant for its economy, how it has been able to get more women into the workforce as a result of having an aggressive and progressive child care plan, one that looks toward ensuring everybody can see his or her fullest economic potential.

Knowing that Quebec can do it, is the member against child care that costs $10 a day? Is that what he is saying?

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May 25th, 2021 / 1:05 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Madam Speaker, since the member did not listen to my last response, I am pessimistic about whether he will listen to this response.

Parents strongly oppose the government's direction on child care as do child care providers, and I have spoken about it extensively in the House and just now. People who work in this area as well as parents are saying that the government's inflexible approach is simply not working.

As a parent, parents in our country are looking for flexibility. His party's plan does nothing for the single mom who works an overnight shift. Is the member telling me that these government-run child care centres are going to be available 24 hrs a day? I doubt it. The flexibility that we need—

Budget Implementation Act, 2021, No. 1Government Orders

May 25th, 2021 / 1:10 p.m.

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

The hon. member for Edmonton Strathcona.

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May 25th, 2021 / 1:10 p.m.

NDP

Heather McPherson NDP Edmonton Strathcona, AB

Madam Speaker, I have met with many people who have asked for child care, whether it be parents, child care providers, advocates for child care or the business community. I find some of the member's comments a bit curious.

The question I have today is on the extreme wealth some of Canada's billionaires have accrued during this pandemic. When we talk about being fiscally responsible and when we talk about what needs to be done to balance the books, does the member not agree that a wealth tax would be a very smart way to make the wealthiest, those who have profited greatly during this pandemic, contribute to things like child care, pharmacare, dental care and mental care for people in Edmonton and in Alberta?

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May 25th, 2021 / 1:10 p.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Madam Speaker, on child care, I support engagement with child care but not a government-controlled, government-knows-best approach. Policies that provide direct support to parents who are looking for that are a much better alternative.

On the issue of a wealth tax—

Budget Implementation Act, 2021, No. 1Government Orders

May 25th, 2021 / 1:10 p.m.

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

Resuming debate, the hon. member for Edmonton West.

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May 25th, 2021 / 1:10 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

Madam Speaker, I am pleased to rise to speak today to the budget implementation act. It is a budget I would name after the Rick Moranis film Honey, I Shrunk the Kids, but I am going to call it “Honey, I Sunk the Kids”. I would have used a different word for “sunk”, but that would have been unparliamentary language.

Why would I call it that? It is because of the massive intergenerational debt that we are passing on with very little thought or oversight of what it is going to do to our children and our grandchildren. How bad is it? It is $500 billion added in just two years and $700 billion of debt added over the next five years.

By the time I am done my 10-minute speech and five-minute question and answer period, $7.3 million will be added to the debt that Canadians will owe. People my age will remember Lee Majors as Steve Austin in The Six Million Dollar Man. That would be just about 13 minutes of today's time with the government's spending to rebuild him better.

In the budget, one of the big problems I have, as someone from Edmonton, Alberta, is that there is almost nothing for Albertans. There are well over 700 pages in the budget, yet next to nothing for the province. It has been described in our province as a slap in the face for Albertans.

Going through the budget, I saw it mentions pipelines several times. Hurray, but it mentions a talent pipeline; a vaccine pipeline, and we see how the government has failed on that; a genomics talent pipeline; an innovation pipeline; and a pipeline of PPE. We are going to see tomorrow in the Auditor General's report on PPE how the government has funnelled taxpayer money to people connected with the Liberal Party and other insiders, but it mentions a pipeline of PPE in the budget. What about a pipeline of oil and gas? Guess what, there is no mention of that.

We have seen what is going on in Michigan right now with Line 5. If Michigan shuts down Line 5, it will cost tens of thousands of jobs in Sarnia, Ontario, and other places, and it will probably double the price of gas, yet there is nothing in the budget to address that issue.

There is also no mention of the fact that Alberta's oil and gas industry is the largest employer for indigenous workers. At the operations committee we did a study on government procurement for the indigenous and every single witness from the indigenous community stated that the only one doing its job was the oil and gas industry. It was not the federal government. It was failing, but the oil and gas industry was providing wealth and prosperity for the indigenous communities. In this budget, we have nothing.

We have heard repeatedly in my riding that small businesses that opened just before or during the pandemic were left out of all the support, including the wage support and the rent support, through no fault of their own. I used to be in the hotel business, and it takes a year, two years, or even longer now with all the regulations, to build a hotel. If people had the misfortune of deciding to invest before COVID started, they were cut out from the support of the government.

We have asked repeatedly, in the House and at committee, for the government to address that. Each time, Liberals stand, hand over heart, and say small businesses are the backbone of the economy, but they are not going to do anything. There is nothing in the budget to address that.

A friend of mine in the riding, Rick Bronson, has a comedy club in West Edmonton Mall called The Comic Strip. He employs almost 100 people. He opened a new one in British Columbia just before COVID happened. It is no fault of his own, but he is shut out from the government program. Again, we have asked repeatedly to help small businesses, but there is nothing for them.

In Alberta, we had two main asks in the budget, one was money for carbon capture research. The premier shot for the moon asking for billions, so I was expecting maybe a billion less. No, we ended up with a plan with carbon capture tax incentives, but only if it is not used for enhanced oil recovery. We have spoken to all the big players and the junior players in oil and gas and they have all said the same thing. There is no economic way forward for carbon capture without it being available for enhanced oil recovery.

On the one hand, the Liberals put out a carrot, and on the next hand, they hit people with a stick. In the budget there is some money for carbon capture research, with $20 million next year to $220 million over the next five years.

Let us think about it. Oil and gas, even at reduced prices, is still our number one export. It absolutely dwarfs the automobile industry, and it dwarfs aerospace, yet we get a pittance toward tech research for it. To put it in perspective, the government has given wealthy Tesla owners $100 million in subsidies to buy Tesla cars, half as much as it has given to the entire oil and gas industry for carbon capture. It shows very clearly the current government does not care about Alberta and that it really does not care, when push comes to shove, for the environment.

The Liberals also did not fix the unfair cap on the fiscal stabilization program that punishes Alberta because resources are included in that. They changed it to benefit Quebec and Ontario, but they continue to discriminate against Alberta by adding a ceiling if oil and gas resource revenue is put in there. Since 2014, Albertans have been net contributors of over $110 billion to the federal purse. What we get back is a slap in the face.

Going back to carbon capture, there is $20 million next year for carbon capture research. Also in this budget is $22 million for a recognition program for atomic workers from the 1950s, during the Korean War era. It is wonderful that we are recognizing the work of people done 70 years ago, but there is as much money for a recognition program for the 1950s as there is for vital carbon capture research. It again shows the priorities of the current government are not working people and certainly not those in Alberta.

Of the 739 pages total in this budget, pipelines are only mentioned five times. The word “supports” shows up 1,000 times, and the word “benefits” shows up 1,300 times. “Productivity”, though, only appears 39 times and “competitiveness” appears just 13 times.

What do we get for $700 billion of added debt over the next five years? The government predicts in its own budget that the growth rate will slow every single year starting in 2022, all the way down to 1.7% growth in 2025. Let us think about that. There is $700 billion in added debt and all we get is a mediocre 1.7% growth.

Robert Asselin, the former policy and budget director to Bill Morneau and a policy adviser to the Prime Minister, stated about this budget, “it is hard to find a coherent growth plan...spending close to $1 trillion, [and] not moving the needle on...growth would be the worst possible legacy of this budget.”

Dave Dodge, former Bank of Canada governor, stated that it does not focus on growth and that it is not a reasonably prudent plan.

The budget's title, though, states it is a recovery plan for growth, but we know what is growing. It is not the economy. Taxes are growing. In this budget, taxes received by the current government are projected to grow 28% from 2019-2020 to the end of 2025.

Also scheduled for growth is the interest that we are paying to Bay Street and Wall Street bankers for this debt the Liberals are piling up. Forty billion dollars of interest is what we are going to be paying per year in five years. Let us think of what we could do with that $40 billion. We could buy off, 40 times, the amount for the WE scandal and keep the Prime Minister's friends in business for a while. More important, think of the health care that we could invest in with that $40 billion. Every single premier asked for an increase in the health care transfers. They got nothing, but we have $40 billion for wealthy bankers.

We could be investing in the aging population and in the military. There is $51 million in this budget for NATO participation. There is the rise of China with its aggression and there is Russia, and we put in $51 million, which is barely double what we are putting into a recognition program for atomic workers from 70 years ago.

It is clear that this budget is not meant for growth of the economy. It is not meant for the people of Edmonton West, and it is certainly not meant for Albertans. It is not meant for our future generations. This budget is a failure, and it is a disgrace. That is why I will not be supporting it.

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May 25th, 2021 / 1:20 p.m.

Bloc

Martin Champoux Bloc Drummond, QC

Madam Speaker, I thank my colleague for his speech and for evoking some childhood memories of mine by talking about Steve Austin from The Six Million Dollar Man. To my generation Steve Austin is the Six Million Dollar Man, but to another generation Steve Austin is the real name of the professional wrestler Stone Cold. I have to admit that it was the Six Million Dollar Man's female counterpart who occupied the evenings of my youth. Jaime Sommers, the Bionic Woman, was quite captivating.

To come back to the subject at hand, my question is on what my colleague said at the end of his speech. Every provincial premier and Quebec have been calling for health transfers, but they are once again absent from the government's intentions. I also want to come back to improving life for our seniors and the lack of consideration for those 65 to 74.

These days we keep hearing the Conservatives say that they will win the next election and will do all sorts of things. Could my colleague tell me whether a future Conservative government would increase health transfers and ensure that seniors are treated fairly and that their pension is increased at age 65?

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May 25th, 2021 / 1:20 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

Madam Speaker, I thank my colleague for his comments about Jaime Sommers. I had forgotten about her, so I thank him.

The member brought up some good points about priorities. The government seems to be prioritizing wage subsidies for hedge fund billionaires and companies that are growing exponentially. They do not need the money. At the same time, it is ignoring the provinces. I agree 100% with my colleague that the focus needs to be on health care, not paying off the connected friends of the Liberal Party.

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May 25th, 2021 / 1:20 p.m.

Conservative

Dave Epp Conservative Chatham-Kent—Leamington, ON

Madam Speaker, I am going to stay with the $6-million theme in my questioning. Am I understanding correctly that only 43 minutes of the next year in this budget has been dedicated to our carbon capture storage? If $6 million is spent in 13 minutes, that means about $20 million is spent in 43 minutes.

Budget Implementation Act, 2021, No. 1Government Orders

May 25th, 2021 / 1:20 p.m.

Conservative

Kelly McCauley Conservative Edmonton West, AB

Madam Speaker, I have not got my calculator in front of me, so I will trust my colleague's numbers.

Yes, it shows a hypocrisy. The government talks so much about the environment. The number one job creator in Canada, which led us out of the 2008-09 recession and which will lead us to grow out of this difficult time, is the energy industry. Alberta and the energy industry have done an amazing job reducing carbon already, but another way for us to further help the environment is through carbon capture research. However, the government is more focused on giving millions and millions of dollars to wealthy owners of Tesla cars, rather than the industry and the environment. It is clear that the government has its priorities wrong. We hope it will change that and focus on what is better for Canadians.