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CANADA House of Commons Debates VOLUME 144 Ï NUMBER 017 Ï 2nd SESSION Ï 40th PARLIAMENT OFFICIAL REPORT (HANSARD) Tuesday, February 24, 2009 Speaker: The Honourable Peter Milliken CONTENTS (Table of Contents appears at back of this issue.) Also available on the Parliament of Canada Web Site at the following address: http://www.parl.gc.ca 883 HOUSE OF COMMONS Tuesday, February 24, 2009 The House met at 10 a.m. COMMITTEES OF THE HOUSE PROCEDURE AND HOUSE AFFAIRS Mr. Joe Preston (Elgin—Middlesex—London, CPC): Mr. Prayers Speaker, I have the honour to present the sixth report of the Standing Committee on Procedure and House Affairs. ROUTINE PROCEEDINGS Pursuant to Standing Order 91.1(2) this report contains a list of items added to the order of precedence as a result of the Ï (1005) replenishment that took place on Tuesday, February 10 under private members' business that should not be designated non- [English] votable. MARINE ATLANTIC INC. The Speaker: Pursuant to Standing Order 91(1)(2) the report is Hon. Rob Merrifield (Minister of State (Transport), CPC): Mr. deemed adopted. Speaker, pursuant to Standing Order 32(2) I am pleased to table, in both official languages, the summary of the Marine Atlantic Inc. (Motion agreed to) corporate plan 2008-09 to 2012-13. PROCEDURE AND HOUSE AFFAIRS *** Mr. Joe Preston (Elgin—Middlesex—London, CPC): Mr. Speaker, pursuant to Standing Orders 104 and 114, I have the INTERPARLIAMENTARY DELEGATIONS honour to present the seventh report of the Standing Committee on Hon. Bryon Wilfert (Richmond Hill, Lib.): Mr. Speaker, Procedure and House Affairs regarding the associate membership of pursuant to Standing Order 34(1) I have the honour to present to committees of the House. If the House gives its consent, I move the House, in both official languages, the report of the Canadian concurrence at this time. delegation of the Canada-Japan interparliamentary group respecting its participation in the annual visit by the co-chair, held in Tokyo, The Speaker: Does the hon. member for Elgin—Middlesex— Japan, April 21-25, 2008. London have the unanimous consent of the House to propose the motion? Pursuant to Standing Order 34(1) I have the honour to present to the House, in both official languages, the report of the Canadian Some hon. members: Agreed. delegation of the Canada-Japan interparliamentary group respecting its participation in the 16th annual bilateral meeting with the Japan- The Speaker: Is it the pleasure of the House to adopt the motion? Canada Diet Friendship League held in Tokyo and Hokkaido, Japan, July 16-23, 2008. Some hon. members: Agreed. Pursuant to Standing Order 34(1 I have the honour to present to (Motion agreed to) the House, in both official languages, the report of the Canadian delegation of the Canada-Japan interparliamentary group respecting *** its participation in the 29th general assembly of the ASEAN PETITIONS Interparliamentary Assembly held in Singapore, August 18-22, 2008. VISITOR VISAS Finally, pursuant to Standing Order 34(1) I have the honour to Mr. Borys Wrzesnewskyj (Etobicoke Centre, Lib.): Mr. present to the House, in both official languages, the report of the Speaker, pursuant to Standing Order 36, I have the honour to Canadian delegation of the Canada-Japan interparliamentary group present a petition signed by over 100 individuals from the Ottawa- respecting its participation in the second parliamentarians' workshop Gatineau area who are members of the St. Leopold Mandic Croatian at the Asia-Pacific Parliamentarians Conference on the Environment Church, Croatian S.C. Jadran and the Croatian Folklore Ensemble and Development held in Seoul, Korea, November 1-2, 2008. “Croatoan” . 884 COMMONS DEBATES February 24, 2009 Business of Supply The petitioners strongly urge the government to adopt my motion, He said: Mr. Speaker, I will be sharing my time with the member Motion No. 247, and lift visitor visa restrictions on Croatia. The days for Montmorency—Charlevoix—Haute-Côte-Nord. of the Iron Curtain have ended. Croatia is on the way to joining the European Union, is on its way to joining NATO and is standing shoulder to shoulder with Canadian armed forces in Afghanistan and Today I am bringing forward this motion, the main purpose of with our partners in other NATO-led missions. which is to correct two major elements of the Conservative budget It is time for Canada to follow the example of Belgium, France, that go against Quebec's best interests. Indeed, the idea of Germany, Greece, Italy, the Netherlands, Norway and the United establishing a national securities commission and that of unilaterally Kingdom and lift visitor visa requirements for Croatia. amending the equalization formula are two elements of the last budget that are in total contradiction with the requests made by all INCOME TRUSTS political parties represented in Quebec's National Assembly. In fact, Mr. Paul Szabo (Mississauga South, Lib.): Mr. Speaker, at a these political parties passed a unanimous resolution condemning the time when accountability is a very hot issue in this place, I am two elements mentioned in today's motion. pleased to present yet another petition forwarded to me by a Mr. White from Whitby, Ontario, on the subject matter of income trusts. In this petition, Mr. White declares that he remembers the Prime First of all, with regard the finance minister's intent to create a Minister having said that the greatest fraud is a promise not kept. He single securities commission, as it has been said, securities also reminds the Prime Minister that he promised never to tax regulation is a provincial jurisdiction under the Constitution. One income trusts but broke that promise and imposed the 31.5% of the biggest problems is that it is hard to understand why the punitive tax, which permanently wiped out over $25 billion of the government would want to go ahead with this idea when a very hard-earned retirement savings of over two million Canadians, effective system is already in place. As for the jurisdictional issue, particularly seniors. we all know that securities regulation falls exclusively under Quebec's jurisdiction, and the federal government has to respect that. The petitioners, therefore, call upon the Conservative minority government to: first, admit that the decision to tax income trusts was based on flawed methodology and incorrect assumptions; second, to apologize to those who were unfairly farmed by this broken promise; Establishing a single securities commission would create a and, third, to repeal the punitive 31.5% tax on income trusts. regulatory monopoly, which is an extremely dangerous situation, and would mean that Canada would lose the present benefits of *** regulatory competition.There are in fact—this is what is hard to Ï (1010) grasp—very few arguments to support the fact that this sort of structure would reduce direct costs. We have the example of QUESTIONS ON THE ORDER PAPER Australia, which seems to be pointing to the absolute opposite Mr. Tom Lukiwski (Parliamentary Secretary to the Leader of direction to where the government wants to go. The opposite of this, the Government in the House of Commons, CPC): Mr. Speaker, I a system based on harmonization and mutual recognition—what is ask that all questions be allowed to stand. called the passport system and is currently used—presents some The Deputy Speaker: Is that agreed? advantages which have in fact led the European community to opt for that regulatory approach. So why does the Conservative Some hon. members: Agreed. government want to go in the opposite direction? The passport system works very well. It allows a coordinated approach to law enforcement and a uniform protection of investors. This system also GOVERNMENT ORDERS enables each securities regulator to develop its own approach and areas of expertise. That makes it possible to have different but [Translation] complementary approaches to compliance with the regulations by those affected. BUSINESS OF SUPPLY OPPOSITION MOTION—SECURITIES COMMISSION AND EQUALIZATION Mr. Jean-Yves Laforest (Saint-Maurice—Champlain, BQ) This system would work even better if Ontario decided to not go it moved: alone and joined the other provinces. If it did, this would make the That, in the opinion of the House, the government should immediately renounce two present system work even better. But we know why it is not doing measures contained in the recent budget: so: it would stand to benefit from the single regulator the (a) establishing a national securities commission, because establishing such a Conservative government has in mind. commission would constitute an intolerable intrusion into Quebec’s jurisdiction, and the current passport system functions very well; and (b) unilaterally amending the equalization formula, since the Prime Minister, in a letter to the Premier of Quebec dated March 19, 2007, promised that transfers to This different but complementary critical vision makes it easier to the provinces would be predictable and long term, and should also comply with detect and prevent scandals such as we have seen in the United the government of Quebec’s request to give the revenues generated by Hydro- Québec’s transmission and distribution activities the same treatment, regardless of States, where these issues are submitted to a centralized authority. the equalization calculation, as that given Hydro One’s revenues. Those scandals had huge societal costs. February 24, 2009 COMMONS DEBATES 885 Business of Supply The presence of the 13 regulators ensures that the drafting and a letter to Mr. Charest, the Conservative Prime Minister wrote the implementation of regulations will take into account the diversity of following: opinions and ensure adequate representation of small markets. A number of innovations have originated on the regional level, and that But much more fundamentally, this means that for the first time in decades, will not survive, or is not likely to, with a single regulatory body.