Second Session - Thirty-Eighth Legislature of the Legislative Assembly of Manitoba DEBATES and PROCEEDINGS Official Report (Hansard) Published under the authority of The Honourable George Hickes Speaker Vol. LV No. 42B - 1:30 p.m., Thursday, May 20, 2004 MANITOBA LEGISLATIVE ASSEMBLY Thirty-Eighth Legislature Member Constituency Political Affiliation AGLUGUB, Cris The Maples N.D.P. ALLAN, Nancy, Hon. St. Vital N.D.P. ALTEMEYER, Rob Wolseley N.D.P. ASHTON, Steve, Hon. Thompson N.D.P. BJORNSON, Peter, Hon. Gimli N.D.P. BRICK, Marilyn St. Norbert N.D.P. CALDWELL, Drew Brandon East N.D.P. CHOMIAK, Dave, Hon. Kildonan N.D.P. CUMMINGS, Glen Ste. Rose P.C. DERKACH, Leonard Russell P.C. DEWAR, Gregory Selkirk N.D.P. DOER, Gary, Hon. Concordia N.D.P. DRIEDGER, Myrna Charleswood P.C. DYCK, Peter Pembina P.C. EICHLER, Ralph Lakeside P.C. FAURSCHOU, David Portage la Prairie P.C. GERRARD, Jon, Hon. River Heights Lib. GOERTZEN, Kelvin Steinbach P.C. HAWRANIK, Gerald Lac du Bonnet P.C. HICKES, George, Hon. Point Douglas N.D.P. IRVIN-ROSS, Kerri Fort Garry N.D.P. JENNISSEN, Gerard Flin Flon N.D.P. JHA, Bidhu Radisson N.D.P. KORZENIOWSKI, Bonnie St. James N.D.P. LAMOUREUX, Kevin Inkster Lib. LATHLIN, Oscar, Hon. The Pas N.D.P. LEMIEUX, Ron, Hon. La Verendrye N.D.P. LOEWEN, John Fort Whyte P.C. MACKINTOSH, Gord, Hon. St. Johns N.D.P. MAGUIRE, Larry Arthur-Virden P.C. MALOWAY, Jim Elmwood N.D.P. MARTINDALE, Doug Burrows N.D.P. McGIFFORD, Diane, Hon. Lord Roberts N.D.P. MELNICK, Christine, Hon. Riel N.D.P. MIHYCHUK, MaryAnn Minto N.D.P. MITCHELSON, Bonnie River East P.C. MURRAY, Stuart Kirkfield Park P.C. NEVAKSHONOFF, Tom Interlake N.D.P. OSWALD, Theresa Seine River N.D.P. PENNER, Jack Emerson P.C. REID, Daryl Transcona N.D.P. REIMER, Jack Southdale P.C. ROBINSON, Eric, Hon. Rupertsland N.D.P. ROCAN, Denis Carman P.C. RONDEAU, Jim, Hon. Assiniboia N.D.P. ROWAT, Leanne Minnedosa P.C. SALE, Tim, Hon. Fort Rouge N.D.P. SANTOS, Conrad Wellington N.D.P. SCHELLENBERG, Harry Rossmere N.D.P. SCHULER, Ron Springfield P.C. SELINGER, Greg, Hon. St. Boniface N.D.P. SMITH, Scott, Hon. Brandon West N.D.P. STEFANSON, Heather Tuxedo P.C. STRUTHERS, Stan, Hon. Dauphin-Roblin N.D.P. TAILLIEU, Mavis Morris P.C. TWEED, Mervin Turtle Mountain P.C. WOWCHUK, Rosann, Hon. Swan River N.D.P. 2509 LEGISLATIVE ASSEMBLY OF MANITOBA Thursday, May 20, 2004 The House met at 1:30 p.m. have with us today 25 students from Arthur Meighen High School in Portage la Prairie. These students are ROUTINE PROCEEDINGS under the direction of Joellen Reimer and are the guests of the honourable Member for Portage la INTRODUCTION OF BILLS Prairie (Mr. Faurschou). Bill 213–The Seniors' Property On behalf of all honourable members, I welcome Tax Deferment Act you here today. Mr. Jack Reimer (Southdale): I move, seconded by ORAL QUESTIONS the Member for Minnedosa (Mrs. Rowat), that Bill 213, The Seniors' Property Tax Deferment Act, be Pension Freedom Act now read for the first time. Government Support Motion presented. Mr. Stuart Murray (Leader of the Official Opposition): Mr. Speaker, last week we introduced Mr. Reimer: Mr. Speaker, this bill enables the The Pension Freedom Act, which would lift the government to enter into agreements with seniors severe restrictions that are currently in place who wish to defer school and property taxes on their regarding the amount of pension income that seniors homes. can receive. Under such an agreement, the government will pay the deferred taxes on the senior's behalf. The In speaking to this bill on May 13, the member deferred amount will be a debt owing by the senior from Elmwood said, and I quote, "What is that to the government and will be secured by a lien caucus going to say five years, six years, ten years against the senior's home. down the road when we have a tremendous amount of citizens coming back to us who have no pension The debt will bear an interest rate to be set by funds left, who have maybe mishandled the money?" regulation that is not more than 1 percent above the government's borrowing rate. This bill also allows That is what he said, Mr. Speaker. Is this why widowed persons and persons with disabilities to this Premier refuses to support our pension freedom defer their taxes. bill because he and his member from Elmwood think Manitoba seniors are incapable of wisely managing Mr. Speaker: Is it the pleasure of the House to adopt their own money? the motion? [Agreed] * (13:35) Introduction of Guests Hon. Gary Doer (Premier): I think the many Mr. Speaker: Prior to Oral Questions, I would like seniors in the U.K. were very wisely able to handle to draw the attention of all honourable members to their own money when Margaret Thatcher the loge to my right where we have with us Larry deregulated the pension provisions in that country Desjardins who is a former Member for St. Boniface. and regrettably, even with that wisdom, 60 000 people were without pensions after the measure was Also we have Albert Vielfaur who is a former taken. Member for LaVerendrye. On behalf of all honourable members, I welcome I have said that there is more flexibility required you here today. in pension legislation. We are prepared to provide that flexibility. The issue of spousal concurrence that I would like to draw the attention of all was lacking in the legislation and in the press honourable members to the public gallery where we release, obviously would be one of the principles that 2510 LEGISLATIVE ASSEMBLY OF MANITOBA May 20, 2004 would be part of our initiative and we are working that are providing advice. Women and the Law have towards– told us not to touch it completely. Other people have suggested completely deregulate pension law here in An Honourable Member: Oh, oh. Manitoba. There are two polarized views on this. Mr. Speaker: Order. We will have a balanced approach to provide Mr. Doer: We are working on a more flexible greater flexibility for seniors because we do respect provision. We are aware of some restrictions that are their ability to make decisions. We will ensure in that not, in our view, fair to seniors and therefore we are balanced approach that spouses are protected, unlike prepared to amend the legislation, but we will have members opposite. Furthermore, we will ensure in the balance of individual decision making, in terms that balanced approach that there is the provision of of pension income, balanced off with the predict- predictability for pension funds. ability of pensions for income. As people live longer and enjoy the quality of We will also have the principle of spousal life, there will be predictability of income, so we concurrence or approval as any part of the decision believe we can get those three principles in the new that is going to be made. These are some of the legislation that we will bring in. points the minister has made and I have made as we proceed with legislation. Mr. Murray: It is interesting that the Premier would stand in the Legislature and talk about a balance and Mr. Murray: Mr. Speaker, it is always interesting a quality of life, Mr. Speaker. I hope that he does not when the Premier gets up and takes us on a bit of a listen to the member from Elmwood who in this tour around the world. We have now gone, I guess, Chamber said, and I quote, "If you follow what the from Mulroney to Thatcher. I am not sure which opposition are advocating here, you are going to see jurisdiction he is going to next for a response but it increasing numbers of older people in their seventies, will be very interesting. in their eighties with no money because they bought cottages when they were 65 years old, rather than Perhaps the Premier might actually just go to his retiring with the money intact." neighbour next door in Saskatchewan, the NDP government in Saskatchewan that introduced this Mr. Speaker, I ask this Premier when he stands legislation. That is what is important about this in this House and talks about balance and quality of debate, it already exists in Saskatchewan. life, does he agree with the member of Elmwood, given the opportunity to invest or spend their own The member from Elmwood has said in this hard-earned money, that he thinks that buying House, and I quote, "I want to caution the members cottages is blowing it. that they perhaps need a little bit more time from the Saskatchewan plan to see how many people actually Mr. Doer: No, Mr. Speaker. do come back to the government without any pension benefits, looking for social assistance in the long run," Mr. Speaker. Pension Freedom Act Legislative Process Mr. Speaker, I would ask if the Premier agrees with his member from Elmwood, if he could explain Mr. Ron Schuler (Springfield): Mr. Speaker, this to the members and seniors in the gallery and all morning on the advice of the honourable Member for around the province of Manitoba that he believes that Elmwood (Mr. Maloway), we requested that Bill if the restrictions are lifted that seniors will blow all 212, The Pension Freedom Act, move on to of their money and then come back cap-in-hand to committee to allow Manitobans to speak to the bill.