Newfoundland and Labrador Hansard — Members' Statements — 11 March 2013 (47th General Assembly, 1st Session, Vol. XLVII No. 74)
2013-03-11
Newfoundland and Labrador — Debates (Hansard)
March
11, 2013 HOUSE OF ASSEMBLY PROCEEDINGS Vol.
XLVII No. 74
The House met at 1:30 p.m.
MR. SPEAKER (Wiseman): Order, please!
Admit strangers.
Before we start today's session, I want to welcome back to the House former
Pages Shelby Marshall and Ryan Steeves. They are going to be joined this session
by Devin Drover and Michael Cook as our two new Pages.
Welcome to our House.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: Those of you who have no doubt noticed as we came into the
House today, we are very delighted to have back with us, for this week, our
former Sergeant-at-Arms.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: Thank you very much for helping us out this week.
Today we have members' statements from the member the hon. the Premier.
PREMIER DUNDERDALE: Mr. Speaker, I ask leave to make a statement.
MR. SPEAKER: Does the Premier have leave?
AN HON. MEMBER: Yes.
MR. SPEAKER: The hon. the Premier.
PREMIER DUNDERDALE: Thank you, Mr. Speaker.
Mr. Speaker, I rise today to honour the legacy of a former member of this
House of Assembly and the father of the current Member for Cape St. Francis,
Kevin Parsons Sr., who passed away yesterday after a lifetime of exemplary
public service.
A proud son of Flatrock, Kevin Parsons made the town his lifelong home and
dedicated himself to serving the people of the municipality, the region, and
eventually the entire Province in a variety of roles and professions: as a
fisherman and a seal hunter, beginning those careers when he was just a teen; as
a police officer with what was then known as the Newfoundland Constabulary; as a
federal firefighter based at Pleasantville and on the St. John's Harbour fire
tug; as an entrepreneur, Mr. Speaker, who established Flatrock Trucking which
enabled local fishermen to get their product to market; as a school board member
for two decades; as the town's very first mayor; as a Member of the House of
Assembly for the former District of St. John's East Extern, and as a member of
the Provincial Cabinet.
One of his proudest moments as mayor was to host the blessing of the fleet by
Pope John Paul I during his visit to Newfoundland and Labrador. Once, as a young
man, Kevin and his fellow fishermen saved the life of a drowning American airman
who crashed off Flatrock while returning to his aircraft carrier. It was a
moment of selflessness and heroism, Mr. Speaker, that defined his life. He was
an example to all of us and he will be greatly missed.
Thank you, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Leader of the Official Opposition.
MR. BALL: Thank you, Mr. Speaker.
Of course, as the Official Opposition, we are saddened to hear the loss and
the passing of Mr. Parsons. It was just last week actually, when I saw Kevin in
the hallway and asked him how his dad was doing. I know there was tremendous
strain on the family for quite some time now. Kevin, himself, has told me that
he went to feed his father on many occasions. We are all saddened to hear the
news today.
As a former MHA and Mayor of Flatrock, we all recognize the important
contribution that past members have done. They have laid a tremendous foundation
for all of us as MHAs. That foundation has created many benefits that we all are
proud of, we all take advantage of and use each and every day.
We are saddened to hear of the loss and our thoughts and prayers go out to
the Parsons family today. We will be talking I am sure in the next few days with
Mr. Parsons. As I said, we are saddened to hear of this loss and our thoughts
and prayers are with the family.
Thank you, Mr. Speaker.
MR. SPEAKER: The Leader of the Third Party.
MS MICHAEL: Thank you very much, Mr. Speaker.
I am honoured to stand with my colleagues, the Premier and the Leader of the
Official Opposition, on behalf of my party in bringing recognition to the late
Kevin Parsons. I did not know Mr. Parsons personally but I do know of his
reputation in the House of Assembly, a fine MHA.
On behalf of my party and myself, I do want to pass my condolences on to the
current Member of the House, Kevin Parsons, his son, to his wife Mabel, and to
his family. I know that he will definitely be missed by them.
Thank you very much.
MR. SPEAKER: The Independent member, by leave?
AN HON. MEMBER: By leave.
MR. SPEAKER: The Member for St. John's South.
MR. OSBORNE: Thank you, Mr. Speaker.
I, too, would like to pass on condolences. I knew Mr. Parsons and the
current Member for Cape St. Francis has followed his father's footsteps, not
only as the member for that area but as a gentleman and a fine individual. Mr.
Parsons was indeed a gentleman, a fine individual. Anybody who knew him knew his
ethics, knew of his personality and the gentleman he was.
Condolences to Kevin and his family.
Statements by Members
MR. SPEAKER: Today I want to acknowledge members' statements for the
Member for the District of Kilbride; the Member for the District of Torngat
Mountains; the Member for the District of Port de Grave; the Member for the
District of Humber West; the Member for the District of Baie Verte Springdale;
and the Member for the District of Cartwright L'Anse au Clair.
The Member for the District of Kilbride.
MR. DINN: Thank you, Mr. Speaker.
I stand today to recognize a Grade 12 student from my district as one of the
best young golfers in Newfoundland and Labrador.
Raylene Mackey is the reigning provincial juvenile division champion for this
Province. At age fourteen, she won the Provincial Bantam Division golf
championship, and this past year she captured the junior division overall
championship on the Tely Tour, after playing tournaments in Corner Brook, Grand
Falls, and PEI, as well as participating in the Newfoundland and Labrador Summer
Games. She has been asked to represent this Province on our Canada Games Team
for 2013 in Quebec.
Mackey is an avid golfer who usually shoots in the high eighties and the low
nineties, and her personal best is an eighty-one; she golf's most days during
golf season.
Mr. Speaker, however, Raylene's life is not all golf. She is a top student at
St. Kevin's High, where she serves as the Vice-President of Allied Youth. She
sits on the student council and participates in the school choir and band. She
is a volunteer with her parish youth group, participating in annual Christmas
galas. She has represented Goulds three times in Miss Teen Newfoundland and
Labrador competitions.
I ask all hon. members to join me in commending Raylene Mackey for all her
achievements.
Thank you.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Member for Torngat Mountains.
MR. EDMUNDS: Thank you, Mr. Speaker.
I rise in this hon. House today to congratulate the athletes from the
District of Torngat Mountains who participated in the 2013 Labrador Winter
Games.
Mr. Speaker, let me first congratulate the organizers of the Games, who did a
marvelous job in preparation and execution of the Games. The North Coast
communities really demonstrated their supremacy in volleyball, badminton, table
tennis, darts, and the Labrathon, by placing first, second, or third in all
these events.
Mr. Speaker, I particularly want to congratulate the achievements of some
individual athletes who reigned supreme following the closing ceremonies: Mr.
Trent Pottle, Top Male Athlete; and Ms Holly Anderson, Top Female Athlete for
Torngat Mountains. The community of Nain, Mr. Speaker, was recognized as the
most improved team and the community of Rigolet for the best traditional dress.
Mr. Speaker, the athletes of the North Coast has once again shown that
isolation is not an obstacle to athletic achievement, and to be in attendance to
witness the community spirit and determination was truly a pleasure.
Mr. Speaker, I ask all hon. members to join me in congratulating the
organizers and athletes of the 2013 thirtieth anniversary Labrador Winter Games.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Member for Port de Grave.
MR. LITTLEJOHN: Thank you, Mr. Speaker.
I stand today in this hon. House to congratulate the Town of Bay Roberts on
their fifteenth Annual Festival of Lights celebrations.
This nationally recognized festival features the only illumination park in
the Province playing to songs of the season with over 50,000 lights. The town is
a two-time winner Winter Lights Champion in the category of towns with a
population of 5,000 to 10,000.
The town this year was recognized by readersdigest.ca as one of the ten most
festive communities in Canada. The Downhome Magazine featured the town
and the festival in its December 2012 edition.
The festival is making the Town of Bay Roberts a holiday destination for many
to see. The festival features two theme parks, one of the largest nativity
collections east of Ontario, the boat lighting in Port de Grave, a live nativity
performance, light tours, and much more.
I ask all hon. members to join me in congratulating the Town of Bay Roberts,
the organizations, and the volunteers who continue to make this festival a
must-see in our Province.
Thank you, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for Humber West.
MR. GRANTER: Mr. Speaker, it gives me great pleasure to congratulate the
Senior Boys Basketball Team from Corner Brook Regional High on their most recent
impressive victory at the Hall of Fame Cup held in St. John's.
The Hall of Fame Cup is a Newfoundland and Labrador Basketball Association
tournament comprising the top eight teams in the Province.
The Corner Brook Regional High Titans went undefeated throughout the
tournament and held an impressive win against Gonzaga High Viking, 72-63, for
the gold medal. This is only the second time in history that a team from outside
the Avalon has won this prestigious event.
Mr. Speaker, I ask all hon. members to join with me in congratulating: Daniel
Foo, Ryan Harnett, Nathan Burt, Jay Warford, Graham Kenney, Adam Payne, Daniel
Humber, Jordan Penney, Adam Bursey, Jake McIntyre, Josh Hughes, Ryan Park, and
coaches, Frank Foo and Mark Thackray, on winning this tournament and
representing Corner Brook Regional High in a very positive light.
Thank you, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Member for Baie Verte Springdale.
MR. POLLARD: Thank you, Mr. Speaker.
It is a difficult task to win this prestigious award two years in a row, but
not for this person. On November 17, at Springdale's Volunteer Firefighters'
forty-ninth annual celebrations, Ms Kem Bouzanne was presented with the Roy
Manuel Volunteer Firefighter of the Year Award.
Mr. Speaker, it is with great pride that I rise in this hon. house today to
congratulate Kem for her unselfish commitment. She is an effective firefighter,
ready to meet an unwelcome emergency. In the words of Fire Chief Rennie Normore,
"Kem has given countless hours to the Department, going over and above regular
calls and practice training expected from every firefighter."
My wife and I had the pleasure to attend the well-organized event and chat
with the unsung heroes of our communities. They faithfully and unselfishly
fulfill their volunteer duties without much fanfare, but with much pride.
I invite all colleagues to join me in applauding Kem for her outstanding
service.
Thank you, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for Cartwright L'Anse au Clair.
MS JONES: Thank you, Mr. Speaker.
I would like to recognize the teams and coordinators from the District of
Cartwright L'Anse au Clair and certainly all towns and teams in Labrador who
participated in the 2013 Labrador Winter Games.
For the past thirty years these Games have fostered friendships,
unforgettable memories, and many triumphant moments; 2013 was no different. The
spirit of these Games is unique, as it focuses on culture, family, and
determination. I was proud to attend and to witness the athletes push hard for
the gold and to share in the excitement of all those involved.
Today I want to recognize two participants from my district who were chosen
as top athletes for Cartwright L'Anse au Clair: Sarah Sooley from Port Hope
Simpson for her gold medal in the Northern Games and Preston Morris from
Cartwright for his silver medals in ball hockey and the snowshoe biathlon.
I would also like to congratulate the community of Pinsent's Arm for
receiving the Most Spirited Team award of the Games, and also, Mr. Speaker, to
congratulate the top three teams for their strong performance. It was a
nail-biter to the end, with Labrador City taking the cup and Happy Valley-Goose
Bay and Cartwright following close behind in second and third place.
Thank you, Mr. Speaker, and congratulations to all involved.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: Statements by Ministers.
Statements by Ministers
MR. SPEAKER: The hon. the Minister of Service Newfoundland and Labrador
and the Minister Responsible for Labrador Affairs.
SOME HON. MEMBERS: Hear, hear!
MR. MCGRATH: Mr. Speaker, I rise today to highlight a tremendous cultural
and sporting event that concluded in Happy Valley-Goose Bay on Saturday evening:
the Labrador Winter Games.
This year marks thirty years since the first Labrador Winter Games, and I had
the honour on behalf of the Premier of officially opening the Games on March 3.
Featuring competitors from twenty-two communities across Labrador, these are
no ordinary Games, as they combine both Aboriginal and non-Aboriginal culture
and tradition in a showcase of skill, love of sport, and fellowship.
With a mixture of culturally themed events like dog sled races and the
Labrathon which tests competitors on traditional trapping skills to more
conventional sports such as table tennis, volleyball, and cross-country skiing,
athletes compete for community points that are tallied to determine which
community will get to take home the coveted Labrador Cup.
A highlight of each Labrador Winter Games is the Northern Games, which
consists of two nights of Inuit Games that showcase strength, agility, and sheer
will, including challenging events like the one-foot high jump, where athletes
must stand on one foot, jump to kick a target, and then land on the same foot.
The provincial government is proud to be the primary sponsor of the Labrador
Winter Games. As part of the Northern Strategic Plan, $500,000 was provided
through the Department of Tourism, Culture and Recreation. A great deal of
on-the-ground organizational support was also provided through our Labrador
Affairs Office.
Often called the Labrador Olympics, these Games showcase our Aboriginal and
non-Aboriginal heritage, our outdoor lifestyle, and our love of energetic and
friendly competition.
Mr. Speaker, I ask all members to join me in congratulating Labrador City for
taking home the Labrador Cup as the top point gatherers for the 2013 Labrador
Winter Games, along with Alf Parsons of Labrador City and Rhonda Lawrence of
Wabush for being named top male and female athletes of the Games.
I also ask members to join me in congratulating the organizing committee, the
many volunteers, and, of course, all the spirited athletes who continue to make
these Games one of the premier sporting events in this Province.
Thank you, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for Cartwright L'Anse au Clair.
MS JONES: Thank you, Mr. Speaker.
I certainly thank the minister for a copy of his statement and I thank him
for his involvement in the Labrador Winter Games, and also his colleague, the
Minister of Tourism, Culture and Recreation, the Member for Lake Melville, along
with our leader, the Member for Humber Valley, the Member for Torngat Mountains,
the Leader of the Third Party, and some of the caucus in the NDP.
Mr. Speaker, it was good to have such a turnout of teams and communities from
all over Labrador, tremendous sponsors, and support from the business community,
as well, that certainly has to be acknowledged. A lot of work goes into getting
these Games ready. In thirty years I have attended all the Games. I have been an
athlete, I have been a reporter, I have been a guest, and I have been a
cheerleader, Mr. Speaker, for these Games. I can honestly tell you that over
thirty years I have not seen anything in Labrador that certainly signifies the
fellowship, the friendship, the support of communities and the spirit of what
Labrador is really about from both a cultural perspective and in any other sense
of the word. It is always a pleasure to be there and to be involved in it.
This year, Mr. Speaker, the Games, true to its nature, brought together many
family teams. There were communities like Mud Lake, Pinsent's Arm, and Lodge Bay
with less than 100 people in their communities who had full teams. There were
people on the teams in age range from eleven to seventy-five who were athletes
competing. I think that, in itself, tells you what these Games are all about.
We were lucky this year to have Rick Mercer join us. I would ask everyone in
the Province to tune in, not tomorrow night but next Tuesday, to the Rick Mercer
Show as you see the Labrador Winter Games being showcased right across the
country. I think all of those who watch it are going to want to put it on their
bucket list for 2016. We would invite them to come and share in these Games with
all of us in Labrador.
Thank you, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for St. John's East.
MR. MURPHY: Thank you, Mr. Speaker.
In watching the coverage of the Labrador Games this week I think I was kind
of thankful that I was not a participant knowing that I probably would have hurt
myself in some of the competitions that were there. It looks like they had a lot
of fun, Mr. Speaker, and I want to congratulate all participants in showing the
people of the Island portion of the Province, particularly, part of the spirit
that evokes Labrador.
I know there was an awful lot of cultural significance in the blending of
cultures that was there. I just want to say how good it was to see some of the
coverage on CBC and in one way share a little bit of Labrador with the people of
the Island portion of the Province.
Well done on the part of government for their investment in these particular
Games, and well done again to all the participants. Bravo to all participants in
the Games this time around.
Thank you very much, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Minister of Justice.
MR. KING: Thank you.
Mr. Speaker, I am pleased to rise today to acknowledge the continued success
of the RCMP's annual Klondike Night. This year's impressive event on March 1
marked the thirtieth year of the fundraiser which has contributed significantly
to so many worthwhile causes in Newfoundland and Labrador. Over that time, Mr.
Speaker, Klondike Night has raised approximately $900,000 for various non-profit
organizations throughout the Province of Newfoundland and Labrador.
Each year, different charities are chosen to receive the monies raised from
the event, with past groups such as Newfoundland and Labrador Down Syndrome
Society, the Seniors Resource Centre, the Children's Wish Foundation, and the
Newfoundland and Labrador Brain Injury Association all being recipients. This
year's beneficiaries are the Citizens' Crime Prevention Association and Mothers
Against Drunk Diving.
Mr. Speaker, Klondike Night has come a long way since the $3,700 that was
raised at the initial event in 1983. That figure has increased on an almost
annual basis and last year the total had risen to almost $70,000. To make this
event a particular success, donations are collected for silent auctions, spin
wheels, and door prizes and throughout the night patrons have the opportunity to
listen to live music and play games of chance. Besides an evening of
entertainment, all those who attend know that their donations will go directly
to those in our community who are in need of assistance.
I would like to extend congratulations to the RCMP Klondike Night Committee
on putting off another great event this year and a special thank you should also
be extended to the 508 Caribou Air Cadets, whose assistance was very much
appreciated in managing the coat check and other things throughout the event.
Mr. Speaker, the provincial government continues to support the RCMP as a
vital part of our law enforcement services as evidenced last year by our new
twenty-year policing agreement. I am extremely proud of their endeavours as they
continue making such worthwhile contributions to the people of our Province.
At this time, I ask all hon. members to join me in commending the RCMP for
their outstanding commitment to raising funds for so many charitable
organizations over the past thirty years in Newfoundland and Labrador and we
look forward to future continued success.
Thank you.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for Burgeo La Poile.
MR. A. PARSONS: Thank you, Mr. Speaker.
I thank the minister for the advance copy of his statement.
We, too, would like to thank and congratulate the RCMP on their successful
Klondike Night. In my part of the Province we certainly have a very close and
long relationship with the RCMP and their members. I know individual RCMP
members are never off the clock. They do what they can to serve their community
both on and off the clock every time.
Klondike Night has supported many worthy charities in this Province. I expect
they will be supporting many more in the future and their dedication to
community is exemplary. This is just one example of the kind of good work that
they are doing in communities all across this Province.
To the RCMP, I say, Mr. Speaker, well done.
Thank you very much.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for St. John's Centre.
MS ROGERS: Thank you, Mr. Speaker.
I, too, would like to thank the minister for the advance copy of his
statement.
I commend the RCMP for the many ways they serve the people of this Province.
Well done for the money they raised and well done to the many generous people
who supported this event. The people of the Province have always known the great
work not-for-profits do and have always given generously to that work which is
so crucial to the people of the Province.
Now this government on the other hand has shown its opinion of NGOs with
funding cuts to groups like the Coalition of Persons with Disabilities and to
groups delivering EAS programs.
To sum up: shame on this government. Bravo, RCMP.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: Oral Questions.
Oral Questions
MR. SPEAKER: The hon. the Leader of the Official Opposition.
SOME HON. MEMBERS: Hear, hear!
MR. BALL: Thank you, Mr. Speaker.
On Thursday, the Premier was in the news saying that the predicted $44
million surplus for 2014 was news to her; well, it was right there on page 12 in
the Budget Speech.
I ask the Premier: How did you miss this in your own Budget document?
MR. SPEAKER: The hon. the Premier.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: Thank you, Mr. Speaker.
Mr. Speaker, there is no doubt that I misspoke on Thursday. It is interesting
that such a question gets posed to me given the fact that we have demands coming
from the Opposition last Thursday as to when we knew that there were was going
to be a deficit in the upcoming year, 2013-2014. That was also on page 12 of
that same Budget document, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Leader of the Official Opposition.
MR. BALL: Yes, on the same page, the deficit is actually, I think,
probably going to be about four times larger what you are anticipating now, Mr.
Speaker.
On Friday, the Premier was in the media saying that there would be no more
cuts until the Budget was released. Meanwhile, an hour later there were
seventeen more people laid off.
I ask the Premier: Why are you saying no more cuts publicly, yet behind
closed doors we are seeing people laid off again?
MR. SPEAKER: The hon. the Premier.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: Thank you, Mr. Speaker.
Mr. Speaker, here in the House of Assembly on Thursday we were chastised by
members of the Opposition for doing these cuts in dribs and drabs, leading up
until the Budget announcement when we knew that these cuts would culminate in
that document. On their advice we decided to hold the cuts until we got to a
Budget announcement Budget Day, Mr. Speaker. There were a number of layoffs
that had already been actioned in the system that were unable to be pulled back,
Mr. Speaker, but there has not been any other announcement since that time.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Leader of the Official Opposition.
MR. BALL: Thank you, Mr. Speaker.
The problem is that when you were making the announcement, people were
expecting that there would be no more cuts, at least until the Budget. As a
matter of fact, Mr. Speaker, the Premier said that there would be no more cuts
to front-line workers in health care and education; meanwhile, the Minister of
Finance is quoted as saying that he hopes that they would be able to leave as
many people as possible in the front-line health care and education services.
I ask the Premier: Why did you flip-flop and put front-line health care
workers on the chopping block?
MR. SPEAKER: The hon. the Premier.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: Thank you, Mr. Speaker.
Mr. Speaker, what we are dealing with here in the Province is a forecast of a
serious deficit if we do not take appropriate measures. The priority of this
government has always been to protect front-line services, and that is no
different in this exercise we are engaged in at the moment.
We have come a long way from 2003 when we have rebuilt the economy of this
Province. We have reduced our debt.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: We have had an explosion in the growth of jobs. The
highest wages in our history, Mr. Speaker, are being paid in this Province
today. We are going to continue to be responsible and not get us back to where
you had us in 2003.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Leader of the Opposition.
MR. BALL: Thank you, Mr. Speaker.
Well, with the type of mismanagement we have seen, it will not take long
before we will be in a worse situation, and you have missed the best opportunity
that we have had in our history. As I said on Thursday: since the last three
years, over $7 billion worth in oil royalties and now, what do we have to show
for it? We are looking at $4 billion deficit in three years.
So, Mr. Speaker, as recently as 2010, there have been landslides in the area
of Muskrat Falls. Any landslide activity in the vicinity of the dam at Muskrat
Falls threatens the structural integrity. So we understand that Nalcor will be
conducting additional testing on the North Spur this spring to better understand
what potential effects this would have.
So I ask the Premier: With such a risk, why was this work not completed
before sanctioning?
MR. SPEAKER: The hon. the Minister of Natural Resources.
SOME HON. MEMBERS: Hear, hear!
MR. MARSHALL: Thank you, Mr. Speaker.
The North Spur at Muskrat Falls has been the subject of multiple studies from
a geotechnical perspective. The geotech conditions are certainly very well
understood and they were the topic of much discussion during the generation
environmental assessment; the plan is deemed to be reliable and to be cost
effective. The engineering work will now proceed. The conceptual plan was done;
they will now proceed to do the engineering work that is going to be planned
this year. Then, they will be executed next year, and the work will be completed
prior to impoundment, which will be done later on during the project.
Thank you, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Leader of the Official Opposition.
MR. BALL: Thank you, Mr. Speaker.
Given the uncertainty around those landslides and the potential effects that
would have in that area, it would seem to me that would be a risk you would want
to see covered off before sanctioning. We also know that there has been a lot of
activity in that area since 1978, and the questions around the Joint Panel
Review have not been answered yet.
So, Mr. Speaker, at the same time as the Premier is predicting a $4 billion
deficit over the next three years, she is pouring billions into Muskrat Falls.
Just last week, Nalcor announced it would take $4 billion in long-term debt to
finance 60 per cent to 70 per cent of Muskrat Falls.
So I ask the Premier: Before sanctioning, over $300 million was spent on
Muskrat Falls; how much has been spent since December?
MR. SPEAKER: The hon. the Premier.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: Thank you, Mr. Speaker.
Mr. Speaker, we continue to hear the members of both Opposition parties
attribute the spending of Muskrat Falls to our current operational budget, in
which we are forecasting a deficit. We had a deficit this year; we are
forecasting a deficit in 2013-2014.
I would ask the Leader of the Opposition and the Leader of the NDP to stop
pretending that they do not understand the fiscal structure of this Province.
Muskrat Falls and the investment, the $245 million equity we made last year,
equity investment in Muskrat Falls, has nothing to do with the deficit for this
year or the forecasted deficit for next year.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Leader of the Official Opposition.
MR. BALL: Thank you, Mr. Speaker.
Well, I asked a very simple question: How much have we spent on Muskrat Falls
since December 2012, since sanctioning? I will say I look forward to the debate
and the argument on the impact Muskrat Falls has on the deficit. The $664
million that came out of last year's Budget does affect the deficit. It might
have an issue, a different argument on the debt, but how much have you spent
since December?
MR. SPEAKER: The hon. the Premier.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: Thank you, Mr. Speaker.
Mr. Speaker, we will certainly get that number for the Leader of the
Opposition, but let us begin with a few facts. What we have here is spin, spin,
and spin, Mr. Speaker.
Mr. Speaker, there was $600 million set aside in the budgets of the
Department of Natural Resources last year for Nalcor, investments in Muskrat
Falls and our equity investment. Only $245 million of that money was transferred
a piece of information we would gladly have shared with you, if you had asked.
So no $600 million last year put into Muskrat Falls, Mr. Speaker. It did not
come from the current Budget. It did not contribute in any way to the deficit.
It was an equity investment in Nalcor.
Mr. Speaker, the Opposition parties are going to have to stop the spin and
get to the facts.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Leader of the Official Opposition.
MR. BALL: Thank you, Mr. Speaker.
SOME HON. MEMBERS: Oh, oh!
MR. SPEAKER: Order, please!
MR. BALL: Thank you, Mr. Speaker.
Well, it is very clear we have known how much has been put into the Budget,
but why can't we just answer the simple question? How much have you spent since
sanctioning in December on Muskrat Falls? It is the biggest expenditure in the
history of our Province, and you are telling me you do not know how much we have
transferred since December.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Premier.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: Thank you, Mr. Speaker.
Mr. Speaker, as Premier of this Province, I do not do a daily accounting of
expenditures. We transferred $245 million, not the $600 million that both
parties opposite keep referring to.
If you want a monthly run on how much money is being spent, Mr. Speaker, I am
sure that we can arrange that. This government has been absolutely open and
transparent about our involvement in Muskrat Falls, Mr. Speaker. I encourage
both Opposition parties to do the same, stop the spin, and get to the facts.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Leader of the Official Opposition.
MR. BALL: On a monthly basis in the fall of last year we asked, on a
regular basis, what the monthly expenditures would be on Muskrat Falls, and we
got the answers. Three months have passed now and we expect our government to be
looking at the cash flow for the people of this Province, especially in the
sight of where we are with the financial position of the Province.
Are you telling me that this government does not know how much they
transferred on a monthly basis?
MR. SPEAKER: The hon. the Minister of Natural Resources.
SOME HON. MEMBERS: Hear, hear!
MR. MARSHALL: Mr. Speaker, the Department of Natural Resources has
transferred to the Muskrat Falls Project $245 million this year, 2012-2013. The
budgeted amount was $664 million; the amount transferred this year has been $245
million.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Member for Torngat Mountains.
MR. EDMUNDS: Thank you, Mr. Speaker.
Mr. Speaker, just last week in this hon. House members were discussing the
merits and gaps of new Animal Health and Protection Act.
Meanwhile, as of today, in Natuashish, dogs caught off leash are being
destroyed. The government, Mr. Speaker, has seven regional veterinarians on
staff.
I ask the minister: Will this government commit to sending a veterinarian
into the communities to spay and neuter dogs to avoid this unfortunate situation
from recurring?
MR. SPEAKER: The hon. the Minister of Natural Resources.
SOME HON. MEMBERS: Hear, hear!
MR. MARSHALL: Thank you, Mr. Speaker.
What is happening in Natuashish is obviously a concern to all. They have a
roaming dog problem. I understand that a young girl, a nine-year-old girl, was
attacked by one of the dogs. The Band Council is taking the action they consider
appropriate. We have been in touch with the RCMP; the RCMP are monitoring the
situation.
The Chief Veterinary Officer has been in touch with the Band Council, and
there have been many times in which we have offered aid in euthanasia, which
they have rejected. We also have offered aid with litter control. It is my
understanding the SPCAs from Happy Valley-Goose Bay and also from PEI have
offered assistance in helping remove some of the animals outside of the
community for adoption elsewhere.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for Burgeo La Poile.
MR. A. PARSONS: Mr. Speaker, just one year after announcing the new and
improved dental plan, government is backsliding saying the program is too
expensive. Dentists were given virtually no notice to notify these new patients
that their dental work would have to be approved first.
I ask the minister: How can you justify cutting a successful program
desperately needed by so many people?
MR. SPEAKER: The hon. the Minister of Health and Community Services.
SOME HON. MEMBERS: Hear, hear!
MS SULLIVAN: Thank you, Mr. Speaker.
Mr. Speaker, I am pleased to see that at least the member on the other side
has acknowledged that we have a good dental health program in this Province.
SOME HON. MEMBERS: Hear, hear!
MS SULLIVAN: We have, in fact, one of the best programs in the country.
That is a have, not a had, I would point out to the members opposite who are
screaming something else across the House, Mr. Speaker.
Mr. Speaker, we had a program of $6.7 million, and that was our allocation
for adult dental. Mr. Speaker, because nothing was done for all of the years
that they were in government, there was a much larger uptake than anyone could
have anticipated at $21 million. Our commitment, Mr. Speaker, is to see that
program through to ensure that adults in this Province continue to have good
adult dental care.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for Burgeo La Poile.
MR. A. PARSONS: I would say for the record, you had a good plan, but it
is not right now after that announcement last week. This government budgeted
$6.7 million to provide dental services to 98,000 adults. That is $66 per person
per year. You cannot even get one filling for that.
I ask the minister: Given your complete misunderstanding of the needs of the
population targeted, why did you not consult with the Newfoundland and Labrador
Dental Association on the program expansion in the first place?
MR. SPEAKER: The hon. the Minister of Health and Community Services.
SOME HON. MEMBERS: Hear, hear!
MS SULLIVAN: Thank you, Mr. Speaker.
Mr. Speaker, we will stand on our record in terms of dental health provision
in this Province any day, any time. We have the most comprehensive children's
program, it is a universal children's program. One of the most comprehensive you
are going to find anywhere in this country, Mr. Speaker.
We have one of a few adult dental programs. One of the few that you will find
anywhere in the country, Mr. Speaker, and we are committed to it. We have a
Budget allocation of $6.7 million, Mr. Speaker. Work is happening in terms of
adult dental, work that did not happen when members on the other side had
opportunity to do so.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for Burgeo La Poile.
MR. A. PARSONS: Mr. Speaker, I would say that government had ten years to
do something. They brought it out one year, and one year later they cannot even
manage that program. It goes to tell you about the management of this program in
the first place. Anyone, Mr. Speaker, could have predicted that expanding the
adult dental plan would have significant uptake at the beginning as years of
neglect had to be taken care of.
I ask the minister: Do you not think the costs would have levelled off and in
fact would have saved money down the road, and health complications could have
been reduced?
MR. SPEAKER: The hon. the Minister of Health and Community Services.
SOME HON. MEMBERS: Hear, hear!
MS SULLIVAN: Thank you, Mr. Speaker.
Mr. Speaker, for the record, I would just like to point out that he did
acknowledge there were years of neglect prior to our introducing a program here.
I would like that to be noted in the record, Mr. Speaker, because he is right.
We did notice that neglect. We did bring in a program.
Mr. Speaker, I, too, would like to believe that those numbers are going to
level off, but it is not a matter of what we think. It is about doing the work
to ensure we have a program that is sustainable. Mr. Speaker, we did not pull
the program. Unlike the members opposite, we have a program. We are going to
continue with that program.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for Burgeo La Poile.
MR. A. PARSONS: Mr. Speaker, I would say the cutting of this program
after just one year shows the poor planning going on.
Mr. Speaker, in response to cutting EAS agencies, the Minister of Advanced
Education and Skills said last week there are 139 employees in her department
doing employment counselling and providing labour market information.
I ask the minister: How are 139 employees expected to maintain their own
workload and take on the work of 226 others?
MR. SPEAKER: The hon. the Minister of Advanced Education and Skills.
SOME HON. MEMBERS: Hear, hear!
MS SHEA: Mr. Speaker, as I said last week, in this Province we had two
parallel systems doing employment services in Newfoundland and Labrador. All the
people who would go through the EAS office who were the EI eligible clients
would also have to come back into the AES office, Advanced Education and Skills,
in order to have their files finalized and to have approval for their funding,
Mr. Speaker. All of the clients were clients of AES anyway.
What this new practice will ensure is that the clients who require labour
market assistance and who are looking for funding to go back to school or
employment counselling will still deal with the AES office. The only thing at
this point in time, Mr. Speaker, they will only deal with one office as opposed
to two offices. They were already clients of AES.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for Burgeo La Poile.
MR. A. PARSONS: Mr. Speaker, EAS agencies are baffled by this
government's lack of understanding about what they do and the clients they
serve. For example, clients in Ramea now have to travel an hour-and-a-half by
boat and two hours by car to get the same service.
I ask the minister: How do you justify forcing people all over this Province
to travel for hours for help to get a job?
MR. SPEAKER: The hon. the Minister of Advanced Education and Skills.
SOME HON. MEMBERS: Hear, hear!
MS SHEA: Thank you, Mr. Speaker.
One thing that is extremely important to remember is that if there was an EAS
office in Ramea, that office was established to serve people who are EI
eligible. All other individuals who require employment services up to this point
would have had to go through our AES offices anyway, Mr. Speaker. We will ensure
that we have services either through telephone contact or outreach from our AES
offices, but we will ensure that we meet the needs of the individuals who need
employment services throughout Newfoundland and Labrador.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Leader of the Third Party.
MS MICHAEL: Thank you very much, Mr. Speaker.
Last week, and again today, the Premier has been busily accusing everyone of
putting a spin on her inability to get a hold of the Province's fiscal
situation, but all we can get from the Premier is a revolving door of
core-mandate plans, ten-year restraint plans, and lately, sustainability plans.
It actually seems that the Premier is the one in a spin.
So, Mr. Speaker, I ask the Premier again if she will release the information
from all her so-called plans.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Premier.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: Thank you, Mr. Speaker.
Mr. Speaker, my commitment to the Leader of the Third Party is that our plan
will become very clear on Budget Day, the same as our plans have been readily
transparent for the last nine years, when we took a virtually bankrupt province
and we rebuilt the economy to where it is today. We are going to have a plan
that is going to show how we are going to sustain that prosperity into the
future.
I would like the leader of the NDP to make a commitment to me that she will
stop pretending that she does not understand the fiscal structure of this
Province, and talk facts instead of some of the misrepresentations she is
putting out about important things such as Muskrat Falls.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Leader of the Third Party.
MS MICHAEL: Thank you, Mr. Speaker.
Last week, the Minister of Finance said the upcoming Budget would contain a
sustainability plan, but, Mr. Speaker, during the Budget 2012 debate, the
Minister of Finance said that the government was launching a ten-year plan with
the ultimate goal to restrain program spending, and we have not seen that one to
this date. So I am not talking about the future Budget, something they said they
were doing.
I ask the Premier: Will she release the details of last year's ten-year plan,
Mr. Speaker?
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Premier.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: Thank you, Mr. Speaker.
Mr. Speaker, we have talked about the components of that plan last year and
through the year. We talked about a 3 per cent reduction exercise. We talked
about a core mandate review: phase one, phase two. Phase one is completed; phase
two is nearly completed. You will see the impact, the effect of all of that, in
this year's Budget, Mr. Speaker.
On top of that, we released a plan to reduce our debt, our per-capita debt,
to the Canadian average, Mr. Speaker, and we committed to do that over ten
years. I am sorry that the Leader of the NDP missed it, because our bond rating
agencies did not, our financial institutions did not, and economic think tanks
through the country did not.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Leader of the Third Party.
MS MICHAEL: Thank you very much, Mr. Speaker.
I say to the Premier, Mr. Speaker, that she missed a lot, too, when it came
to knowing what our fiscal situation is.
Mr. Speaker, needed government services will certainly be affected with the
up to 500 jobs that the government is going to cut. The people of the Province
deserve to know what services the Premier is planning to cut in her ten-year
plan.
Mr. Speaker, I ask the Premier: Will she please tell us what services they
are going to cut?
MR. SPEAKER: The hon. the Premier.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: Thank you, Mr. Speaker.
Mr. Speaker, the Finance Minister in his Budget consultations said that if we
continue our spending in the way that we have, in the face of fiscal restraint
that has become apparent in this last year, we would be forecasting a $1.6
billion deficit.
Mr. Speaker, we are not prepared to go there. We are not going to have that
happen. We have worked too hard on this side of the House to build the
prosperity that is being enjoyed in this Province. Not under our watch, Mr.
Speaker; we are not going to let it go. We are not going back to 2003. All will
become clear in the Budget, as the Leader of the NDP knows, Mr. Speaker.
Mr. Speaker, they are against Muskrat Falls. They ask on a daily basis for
millions and millions of dollars in new investment. Mr. Speaker, what is their
plan?
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Leader of the Third Party.
MS MICHAEL: Thank you very much, Mr. Speaker.
The Public Accounts Committee focuses its attention on the findings of the
Auditor General and its reviews of government spending. Finally after eight
years of inactivity, this committee has begun meeting. Now the government has
laid off the one employee that the committee had to help with its work, just
when I had hoped for more accountability for government spending.
Mr. Speaker, I ask the Premier: Why is the government deliberately continuing
to limit accountability and transparency at every level?
MR. SPEAKER: The hon. the Premier.
SOME HON. MEMBERS: Hear, hear!
PREMIER DUNDERDALE: Mr. Speaker, here we go with spin again. This is one
of the most transparent governments in this country. People can rail and talk
and spin, but the truth is there. Mr. Speaker, we are the second most open
government in Canada, far ahead of at least ten other provinces, far ahead of
the federal government, far ahead of the United States government and most
western democracies.
Mr. Speaker, we have an Auditor General who audits our books and publishes
his reports. We brought the Auditor General back into the House of Assembly. Our
accountability is something we are very proud of.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for St. John's East.
MR. MURPHY: Thank you, Mr. Speaker.
Mr. Speaker, slickwater fracking has been proposed to recover petrochemicals
along the Province's West Coast. Concerns over ruined water supplies have been
raised in other Canadian provinces and the US.
Knowing that government does water testing for various municipalities to
ensure water safety, can the minister please tell this House if the department
has the capability of testing water supplies that may contain slickwater
fracking chemicals?
MR. SPEAKER: The hon. the Minister of Environment and Conservation.
SOME HON. MEMBERS: Hear, hear!
MR. HEDDERSON: Mr. Speaker, speaking on behalf of the government and the
Department of Environment and Conservation, we are very proud of the fact that
we do have in place a good environmental assessment process, water quality
testing. We have gone very, very far in making sure that the water whether
groundwater or other water in our Province is well protected, and not only
well protected but well monitored.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for St. John's East.
MR. MURPHY: Thank you very much, Mr. Speaker.
Slickwater fracking allows for the use of some very dangerous chemicals. If
the minister says that we can test for them, then they will have to know what
they will be looking for.
If we cannot test them, then will the minister commit his government to make
all drilling companies using slickwater drilling methods disclose what those
same chemicals being used are so that they can be detected; or will government
allow these companies to hide behind proprietary information such as Bill 29
allows?
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Minister of Environment and Conservation.
SOME HON. MEMBERS: Hear, hear!
MR. HEDDERSON: Mr. Speaker, nothing could be further from the truth. I
say to the hon. member on the other side: When we are looking at doing an
environmental assessment
SOME HON. MEMBERS: Oh, oh!
MR. SPEAKER: Order, please!
MR. HEDDERSON: as it currently stands for anyone doing any fracking in
the Province, they will have to make sure that upfront they make clear what they
are doing, what they are using, where they are going, et cetera, et cetera, et
cetera.
I say, Mr. Speaker, I stand here and say that we will monitor and we will
protect the interests of not only the people of this Province but our
environment as well.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Member for St. John's Centre.
MS ROGERS: Thank you, Mr. Speaker.
Mr. Speaker, the new adult dental plan introduced January 2012 had
unprecedented uptake because people with low incomes could not afford their
dental care. Did this government not cost out what the 2012 program would cost?
I ask the minister: Now that the rug has been pulled out from under this
program, how much will people have to suffer? What is the current budget for
this program and will there be a cap on it?
MR. SPEAKER: The hon. the Minister of Health and Community Services.
SOME HON. MEMBERS: Hear, hear!
MS SULLIVAN: Thank you, Mr. Speaker.
Mr. Speaker, I am hoping that the members of the Third Party over there will
pass over the crystal ball, since they seem to have known how many people
precisely were going to be involved in the uptake of this particular program.
Mr. Speaker, we did our best predictions around this, but, as I laid out
earlier, absolutely nothing was done for all of those years prior. The Liberal
government when they were here did nothing, Mr. Speaker, absolutely nothing. We
allocated $6.7 million, Mr. Speaker, and guess what? We have not removed a
penny. We are still allocating $6.7 million.
MR. SPEAKER: Order, please!
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Member for St. John's Centre.
MS ROGERS: Mr. Speaker, since the announcement of changes in the adult
dental care program, people have been calling our offices in a panic about their
own dental care. They know the new $150-per-year limit will not cover their
needs. People need help.
I ask the minister: What are we to tell people who are calling our offices
who are in pain?
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Minister of Health and Community Services.
SOME HON. MEMBERS: Hear, hear!
MS SULLIVAN: Thank you, Mr. Speaker.
Mr. Speaker, since I have come to this department, everything that I have
heard from the other side is about sustainability. We need a sustainable health
care department in this Province, Mr. Speaker. I have heard it time and time
again from them. Now they are over there saying we need to spend more we need
to spend more. Well, which is it, Mr. Speaker?
We have a $6.7 million program. We still have a $6.7 million program, Mr.
Speaker. Adult Dental is still a program that we are offering to the people of
this Province.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The Member for St. John's Centre.
MS ROGERS: Mr. Speaker, I am not sure if prosperity looks like a doorknob
with a string on it attached to someone's infected tooth.
Mr. Speaker, the minister did not consult the Newfoundland and Labrador
Dental Association before making these abrupt changes to the Adult Dental
Program. They are the experts and provider of this service.
I ask the minister: Why did she not consult the Dental Association?
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Minister of Health and Community Services.
SOME HON. MEMBERS: Hear, hear!
MS SULLIVAN: Thank you, Mr. Speaker.
Mr. Speaker, I do not know about the members over there on that side in the
NDP, but I am going to tell you we take this a whole lot more seriously than
suggesting there is a string tied onto a doorknob anywhere. The Dental
Association of this Province takes this more seriously than that. That is
absolutely outrageous. I have just said we have $6.7 million in a program. We
will continue to offer service through that $6.7 million, Mr. Speaker.
I speak to our counterparts across this country who say to me they wish they
had a program anywhere close to what we have in this Province. I am proud of the
dental health program we have in this Province. We have universal child care in
this Province for dental health. We have an Adult Dental Program, the likes of
which are not seen anywhere else, and, Mr. Speaker, we are proud of it.
MR. SPEAKER: Order, please!
The time for Question Period has expired.
MS MICHAEL: A point of order, Mr. Speaker.
MR. SPEAKER: The hon. the Leader of the Third Party, on a point of order.
MS MICHAEL: Mr. Speaker, earlier in Question Period the Premier accused
me of misrepresentation in one of her responses. For me, misrepresentation means
not telling the truth.
Mr. Speaker, I am asking for a ruling on the use of misrepresentation in this
House.
SOME HON. MEMBERS: Oh, oh!
MR. SPEAKER: Order, please!
The Speaker will undertake to review Hansard, just to recall the comments
that would have been made during Question Period and report back to the House
tomorrow.
Presenting Reports by Standing and Select Committees
Tabling of Documents
Notices of Motion.
Notices of Motion
MR. SPEAKER: The hon. the Member for the District of Terra Nova.
SOME HON. MEMBERS: Hear, hear!
MR. S. COLLINS: Thank you, Mr. Speaker.
I move the following private member's resolution, seconded by the hon. Member
for Mount Pearl North.
Be it resolved that this hon. House affirms that by investing billions of
dollars since 2004 in vital infrastructure including highways, roads, bridges,
ferries, municipal and regional infrastructure, health care facilities and
schools, the government has taken a responsible approach and promoted long-term
fiscal strength and sustainability.
MR. SPEAKER: The hon. the Government House Leader.
SOME HON. MEMBERS: Oh, oh!
MR. SPEAKER: Order, please!
MR. KING: Thank you, Mr. Speaker.
I apologize for the delay.
I would like to give notice that the motion just read into the books will be
the private member's motion that government will call from the Order Paper this
coming Wednesday, Private Members' Day.
MR. SPEAKER: Answers to Questions for which Notice has been Given.
Petitions
Petitions
MR. SPEAKER: The hon. the Member for Burgeo La Poile.
MR. A. PARSONS: Thank you, Mr. Speaker.
I have a petition to the hon. House of Assembly of the Province of
Newfoundland and Labrador in Parliament assembled, the petition of the
undersigned residents humbly sheweth:
WHEREAS hundreds of residents of the Southwest Coast of the Province of
Newfoundland and Labrador, including residents of the Communities of Margaree,
Fox Roost, Isle aux Morts, Burnt Islands, Rose Blanche-Harbour Le Cou, Diamond
Cove and La Poile, use Route 470 on a regular basis for work, medical,
educational and social reasons; and
WHEREAS there is no cellphone coverage on Route 470; and
WHEREAS residents and users of Route 470 require cellphone coverage to ensure
their safety and communication abilities; and
WHEREAS the Department of Innovation, Business and Rural Development recently
announced significant funding to improve broadband services in rural
Newfoundland and Labrador; and
WHEREAS the residents and users of Route 470 feel that the Department of
Innovation, Business and Rural Development should also invest in cellphone
coverage for rural Newfoundland and Labrador;
WHEREUPON the undersigned your petitioners humbly pray and call upon the
House of Assembly to urge the Government of Newfoundland and Labrador to support
the users of Route 470 in their request to obtain cellphone coverage along Route
And as in duty bound your petitioners will ever pray.
Mr. Speaker, this is a petition I have entered numerous times, including on
Thursday, our first day back. The reason I thought I should enter it this time
is that over the weekend I had the opportunity to attend the Rose
Blanche-Harbour Le Cou, Diamond Cove Volunteer Firefighters Ball. Again, a great
event, but one of the telling things is that we all get an opportunity to speak.
I had my opportunity, and our MP Judy Foote spoke. We also had a speech by a
gentleman named Mr. Jerry Musseau, who is one of the district chiefs when it
comes to the volunteer firefighters. One of the things he specifically mentioned
is that a presentation has been made under Fire and Emergency Services to
government to work on communication abilities in our Province.
In our area, we are talking about something called regionalization when it
comes to fire services. The most important cog to that is communication, but we
cannot have that because these people cannot communicate with one another. All
of these different fire departments cannot communicate and that is why I have
asked for this on a number of occasions for a number of reasons, but this is
another one, another voice. The volunteer firefighters of our Province want this
service. They need this service. If we want to regionalize, and regionalization
brings with it efficiencies especially when it comes to cost. If we want to do
that, we have to make the investment to have the communication abilities lifted
up.
I thought I would have an opportunity to bring this up. I mentioned to the
fire chief that I would talk about it. I am sure this is not the only area where
we are talking about regionalization and where we are talking about cellphone
coverage not being there.
I know this is something that the minister is probably sick of me saying, but
when we talk about the investment last week in broadband, that was a partnership
between government and private business working together to provide a service to
the people. I think the same thing can be done here when it comes to cellphone
coverage.
I am hoping there is a strategy in place. I hope there is a plan in place to
make this a reality; hopefully, some time we can start that in 2013.
Thank you very much, Mr. Speaker.
MR. SPEAKER: The hon. the Member for St. John's East.
MR. MURPHY: Thank you very much, Mr. Speaker.
To the hon. House of Assembly of the Province of Newfoundland and Labrador in
Parliament assembled, the petition of the undersigned residents of Newfoundland
and Labrador, humbly sheweth:
WHEREAS the process of slickwater hydraulic fracturing, or fracking, injects
hazardous chemicals into rock formations to extract oil and is polluting
groundwater and air across North America; and
potential environmental impacts of shale oil and gas extraction in Canada,
including fracking; and
WHEREAS Quebec, Nova Scotia and a number of US states have halted fracking,
and others are introducing regulations specific to fracking; and
WHEREAS it is incumbent upon the provincial government to ensure that our
natural environment is protected from harmful industrial processes;
WHEREUPON the undersigned, your petitioners, humbly pray and call upon the
House of Assembly to urge government to impose a moratorium on slickwater
fracking until it develops comprehensive regulations and ensures that each
proposed project undergoes a conclusive environmental assessment to determine
whether it is safe for the environment, the integrity of water supplies, as well
as to human health.
As in duty bound, your petitioners will ever pray.
Mr. Speaker, I anticipate there is going to be a lot more of these coming in.
This one comes from Kippens, Stephenville, Corner Brook, a lot of concerned
residents on the Port au Port Peninsula, Kippens again, Boswarlos, Stephenville,
St. George's I need not go on with some of the communities on this particular
petition, Mr. Speaker.
The concerns are there and they are very real on the part of the districts
that are covered under what is proposed to be happening over on the West Coast
of the Province. That includes, Mr. Speaker, any area that would go from pretty
much Parson's Pond on the Great Northern Peninsula on down south to St. George's
south, the general area south of the Port au Port Peninsula.
Mr. Speaker, I get calls and I get e-mails every day on this issue. I am
pretty sure that the Premier and the Minister of Natural Resources as well are
probably starting to get inundated with messages as regards to the safety and
the concerns that the people in this Province have when it comes to these very
issues.
We have all seen the documentaries that are out there. I know that the
Minister of Municipal Affairs has to be deeply concerned considering that his
department is responsible probably for a lot of the water testing for
municipalities, and probably because there is a huge potential for the damage to
water supplies over on the West Coast of this Province, Mr. Speaker.
I bring forth this petition to the government to address these concerns on
the part of the people of Newfoundland and Labrador. They are looking for a
moratorium. A lot of the concerns do not deal with an exact shutdown of this
industry. What they are dealing with is finding out about the concerns as regard
to the chemicals, Mr. Speaker, that are used here.
They want comprehensive drilling regulations done. They want to see what
chemicals are going to be injected into the ground to see what is potentially
going to come up into their water supplies, and what sort of environmental
damage is going to be done.
Mr. Speaker, I do not really bring pleasure as regards to this petition, as
regards to having to bring this forward to the government. Hopefully government
will listen and develop the comprehensive regulations to deal with it.
Thank you very much, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: The hon. the Member for St. John's North.
MR. KIRBY: Thank you, Mr. Speaker.
To the hon. House of Assembly of the Province of Newfoundland and Labrador in
Parliament assembled, the petition of the undersigned residents of Newfoundland
and Labrador humbly sheweth:
WHEREAS the Eastern School District has voted a proposal to close Whitbourne
Elementary in June 2013; and
WHEREAS the educators at Whitbourne Elementary are qualified and provide a
strong academic program with a full curriculum; and
WHEREAS Whitbourne Elementary has developed grounds, including a playground
and baseball field; and
WHEREAS Whitbourne Elementary, being a newer school, is structurally sound,
with a music room, gymnasium, cafeteria, and an increasing student enrolment;
and
WHEREAS Whitbourne Elementary is situated in an incorporated municipality
that is experiencing significant economic and demographic growth; and
WHEREAS the parents, business operators, social groups, and concerned
citizens of the municipality of Whitbourne in the Eastern School District
request to rescind this proposal.
Since Whitbourne Elementary has met and exceeded all aspects set forth for a
viable school, we the undersigned petition the House of Assembly to urge
government to ensure that the Eastern School District is provided with
sufficient funding to keep Whitbourne Elementary School open.
As in duty bound, your petitioners will ever pray.
Mr. Speaker, I have had quite a lot of contact with parents and community
leaders in the area, the communities surrounding Whitbourne Elementary School
since the Eastern School District proposal was made public last fall. While the
Eastern School District Board has moved to close the school, we do know that
there is precedent for the PC government to intervene and ensure that a viable
school remains open. Of course, that happened during a by-election under the
previous Premier's watch, so we know that can happen.
They were doing really innovative things at Whitbourne Elementary; they are
working on having a decent child care program that integrated with the work of
the school. They had a pilot project for all-day kindergarten, and that was
going reasonably well, but instead the Eastern School District has opted to
close the school; in fact, in some instances we are going to have children
bussed to a school that has no playground, unlike Whitbourne Elementary School.
So this something that is not going away. The people in the area are very
concerned about what has been decided and they hope that government will do what
it did once before and keep this school open.
Thank you, Mr. Speaker.
SOME HON. MEMBERS: Hear, hear!
MR. SPEAKER: Orders of the Day.
Orders of the Day
The hon. the Government House Leader.
MR. KING: Thank you, Mr. Speaker.
Mr. Speaker, I call Order 2, Third Reading of Bill 45.
MR. SPEAKER: The hon. the Government House Leader.
MR. KING: Mr. Speaker, I move, seconded by the Minister of Natural
Resources, that Bill 45,
An Act To Amend The Animal Health And Protection Act,
be now read a third time.
MR. SPEAKER: It is moved and seconded that the said bill be now read a
third time.
Is it the pleasure of the House to adopt the motion that Bill 45 be read a
third time?
All those in favour, aye'.
SOME HON. MEMBERS: Aye.
MR. SPEAKER: All those against, nay'.
Motion carried.
CLERK: A bill,
An Act To Amend The Animal Health And Protection Act.
(Bill 45)
MR. SPEAKER: This bill is now read a third time and it is ordered that
the bill do pass and its title be as on the Order Paper.
On motion, a bill, "An Act To Amend The Animal Health And Protection Act",
read a third time, ordered passed and its title be as on the Order Paper. (Bill
45)
MR. SPEAKER: The hon. the Government House Leader.
MR. KING: Thank you, Mr. Speaker.
Mr. Speaker, I would like to call from the Order Paper, Order 2 under
Motions, that the House resolve itself into a Committee of the Whole on Supply
to consider certain resolutions for the granting of Interim Supply to Her
Majesty.
MR. SPEAKER: The hon. the Minister of Finance.
MR. KENNEDY: Thank you, Mr. Speaker.
I wish to inform the House that I have received a message from His Honour,
the Lieutenant-Governor.
MR. SPEAKER: All rise.
The letter states:
As the Lieutenant Governor of the Province of Newfoundland and Labrador, I
transmit a request to appropriate sums required for the Public Service of the
Province for the year ending 31 March 2014, by way of Interim Supply, and in
accordance with the provisions of sections 54 and 90 of the Constitution Act,
1867, I recommend this request to the House of Assembly.
Sgd.: _____________________
John C. Crosbie, PC, OC, ONL, QC
Lieutenant Governor
Thank you.
Please be seated. The House will take a moment to distribute the bill.
[Pages distribute the bill.]
MR. SPEAKER: The hon. the Minister of Finance.
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: Thank you, Mr. Speaker.
I move, seconded by the Minister of Environment and Conservation, that the
message, together with a bill, be referred to the Committee of Supply.
MR. SPEAKER: The motion is that the message, together with a bill, be
referred to the Committee of Supply, and that I do now leave the Chair.
Is it the pleasure of the House to adopt the motion?
All those in favour, aye'.
SOME HON. MEMBERS: Aye.
MR. SPEAKER: Motion carried.
On motion, that the House resolve itself into a Committee of the Whole, Mr.
Speaker left the Chair.
Committee of the Whole
CHAIR (Littlejohn): Order, please!
We are considering the related resolution and Bill 62,
An Act For Granting To
Her Majesty Certain Sums Of Money For Defraying Certain Expenses Of The Public
Service For the Financial Year Ending March 31, 2014 And For Other Purposes
Related To The Public Service.
Shall the resolution carry?
The hon. the Minister of Finance and President of Treasury Board.
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: Thank you, Mr. Chair.
I look forward to the opportunity over the coming days to talk about Interim
Supply, to explain to the people of this Province what Interim Supply is about.
I also want to use the opportunity myself and my colleagues over the next
number of weeks to debunk the myths that abound out there in relation to such
things as Muskrat Falls being responsible for the deficit.
We will address issues, Mr. Chair, of a booming economy and what appears to
be an inherent contradiction of our revenues being down. We will address the
issue of such things as a have province and what exactly that means, Mr. Chair.
We will outline or I will outline, and the Premier if she speaks at some point
without giving too much away, how we plan to get to a balanced Budget, over
what time frame, and how we will incorporate that into our sustainability plan.
Mr. Chair, what we will do and this debate will go on for some time; all
members will have an opportunity to speak is address financial issues in this
Province. We, and I, certainly welcome that opportunity, because there is no
better place, Mr. Chair, for us to outline what it is we are doing in this House
of Assembly.
Mr. Chair, even before I get to talking about the Interim Supply we need
money to get to a certain point I am going to talk a little bit about the
allegations of the other side that we hear on a daily basis of reckless spending
and financial mismanagement. Mr. Chair, I just want to outline for a few minutes
why that is such foolishness, for lack of a better term.
Mr. Chair, in 2003 and I am going to go through this, I can assure you, in
great detail over the next few weeks and upcoming months we inherited a
province that was almost bankrupt. There was a significant infrastructure
deficit and there was a $12 billion debt. The schools were crumbling. The
hospitals were crumbling. There were no roads, Mr. Chair.
So, what did we do with the money that we have received, particularly through
oil, over the last number of years? Well, let me just give you a brief outline,
Mr. Chair, of what we have done with the money.
In 2001, health spending in this Province was $1.2 billion; in 2012-2013, we
spent $2.9 billion. It is 36.4 per cent of our Budget and a 142 per cent
increase on health, Mr. Chair, which I think we will all agree is one of the
primary concerns of all our citizens.
Now, let us get to what is another very significant concern of all our
citizens. Mr. Chair, it is education. In 2000-2001, the Liberals opposite spent
$700 million in education; in 2012-2013, we spent $1.2 billion or 10.5 per cent
of our Budget, a 71 per cent increase. We have spent 46.9 per cent of the Budget
in 2012-2013 on health and education. Those figures may actually be down a
little bit, Mr. Chair, compared to the rest of the country, because our revenues
have gone up. That 36 per cent in our Province is probably equivalent to the 48
per cent or 49 per cent that people are spending in the rest of the country.
Let us just look at Memorial University of Newfoundland, Mr. Chair. Not only
is it now the largest university in Atlantic Canada and not only do we maintain
the tuition freeze, which I understand is the lowest tuition in the country
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: but in 2000-2001, Memorial's budget was $133 million.
Recently, Dr. Kachanoski outlined in a speech to the public, I think it was at
Rotary, that MUN's budget in 2012 was $381 million. It has tripled, Mr. Chair.
What have we spent money on? Health and education are two of the primary areas
in which we spent our funds.
Let us look again. I talked about that crumbling infrastructure. I talked
about the infrastructure deficit we inherited in 2003, Mr. Chair. In 2004-2005,
we spent, as a government, $208 million in infrastructure. That infrastructure
can include, Mr. Chair, the building of hospitals, schools, and long-term care
facilities, which we will get into as we move along. It also includes the
building of roads. It includes water and sewer. It includes recreational
facilities. In 2012-2013, we spent $773 million, a 270 per cent increase in the
amount of infrastructure spending in this Province.
Do you know what else we did, Mr. Chair, in the middle of all this? We
reduced debt by 25 per cent. Does that sound like financial mismanagement to
anyone on this side of the House?
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: Or does this sound like a government who is addressing the
concerns of the people of this Province in terms of their primary concerns,
being health and education, rebuilding the Province, building roads, putting in
water and sewer, and building long-term care facilities?
Now, that is what we have been doing with the money. Yet, despite the fact of
the situation we find ourselves in today, Mr. Chair, with a looming deficit, the
Member for Bay of Islands and I am not, rightfully so. The Member for Humber
Valley gets up and says: Well, what about the hospital in Corner Brook? Mr.
Chair, (inaudible) it up but it costs money.
We have made a commitment. We will keep that commitment, but these things
cost significant sums of money, Mr. Chair. What we have to do is, on the one
hand you are accusing us of financial mismanagement and on the other hand you
are saying spend money.
There has to be a recognition in this Province, in a province the size of
Newfoundland of Labrador with a vast geography, a sparse population spread out
over small towns and bays throughout the Province, that it is difficult to meet
people's needs. Mr. Chair, wherever they are, people demand and rightfully so
to have their needs met as close to home as possible.
My colleagues opposite will get up, the ministers responsible, and they will
talk about the hospitals we have built. They will talk about the long-term care,
about the schools, Mr. Chair. So, I think it is unfair for the members opposite
to accuse us of financial mismanagement and reckless spending when we spent the
money to improve health and education in our Province.
How can you say it is reckless to spend on our people? How can you say it is
reckless to spend on our children? How can you say it is reckless to spend money
to meet those most basic needs? That is the first point, Mr. Chair.
Then they said, well, you have spent all the money. What did you do with it
all? We have received, Mr. Chair, and we have been the beneficiaries of oil
royalties, but let's never forget what we have done here in terms of
negotiating, our government has done in negotiating equity investments, has done
in negotiating royalties and super royalties.
Our Premier had the opportunity today to stand at an official ceremony in
relation to Hebron. We have been criticized for the $120 million equity
investment in Nalcor and Hebron, which will return $2.7 billion over twenty
years, Mr. Chair. We will receive our 1 per cent royalty for the first number of
years, and in 2022, super royalties kick in and we get $1.6 billion. What we
have to do as a government, we have to get from today where our revenues are
down and I will talk about that later to the point where we know Muskrat
Falls and Hebron will come on and lead to more revenues coming in.
Now, let's look at what has happened with our revenues. There has been
reckless spending now, building hospitals is reckless. What I say to the
members of the Opposition, every time you stand up, you tell us what hospital we
should not have built. You tell us what school we should not have built. You
tell us what road we should not have paved.
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: Then when you come forward, I say to the members of the NDP,
looking for universal child care and universal pharmacare, you tell us where we
are going to get the money, if we are going to spend it on schools and hospitals
and that is reckless spending.
Now, let's look at our revenues. We have decreased oil production, Mr. Chair,
which is up and down. I mean the volatility of the world markets, the volatility
of production.
We lost 20 million barrels, Mr. Chair, in 2012-2013. We lost 20 million
barrels in production. Hibernia is decreasing, although it is still a major
field. We went from 97 million barrels in 2011-2012
SOME HON. MEMBERS: Oh, oh!
CHAIR: Order, please!
MR. KENNEDY: to 2012-2013 down to 77 million barrels of oil. To put
that in perspective, Mr. Chair, there are 90 million barrels of oil burnt in the
world per day. Yet, we have the member, the expert in gasoline, the expert in
energy over there against fracking, which has the ability to transform the West
Coast of our Province into a major economic hotbed, Mr. Chair.
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: That is the kind of attitude we get, Mr. Chair.
Mr. Chair, we have reduced taxes by $500 million since 2007. How do we make
up those taxes? Where do those tax reductions come from?
There have been $402.8 million reductions in personal income tax, a Low
Income Seniors' Benefit of $20.7 million, Mr. Chair. We took off the Retail
Sales Tax on insurance, $75 million; the Residential Energy Rebate of $38
million. Shouldn't we have done these things? Is that what you are saying to us?
We should not be doing these, that we should take this back, that we should take
the Home Heating Rebate and say no more, another $70 million, Mr. Chair?
An interesting fact is that personal income tax is only 5 per cent of our
revenues. I will get to that shortly. It will probably be the next time I speak.
We have reduced payroll tax by $8.8 million. We have reduced fees by $13.4
million.
Mr. Chair, what this has done is helped really the people in the lower income
brackets. I do not know exactly what bracket it is you pay tax in this Province,
but people who make in the range of $40,000 or less are doing very well as a
result of these tax reductions. We have reduced taxes by $500 million.
The last payment of $536 million to the Atlantic Accord was in 2012, Mr.
Chair, $536 million gone like that; $500 million reductions in taxes. We are no
longer receiving equalization, and that is what being a have Province means. It
means we pay our own way. In fact, one can argue that being a have Province
means you have less money. As we go through this over the next period of time
SOME HON. MEMBERS: Oh, oh!
CHAIR: Order, please!
MR. KENNEDY: over the next week or two, I will outline what the other
provinces get in equalization and transfer payments. It is staggering what
Quebec receives. In fact, Alberta receives and I just read their Budget
yesterday as much federal transfers as we do as a Province, Mr. Chair.
So, what we have is a situation where we are not receiving equalization or
Atlantic Accord money. Then, what did we do with our reckless spending? We gave
the people who work in the public service, the people who work in this Province
in our health care system, our teachers - everyone got a 21.5 per cent raise.
That is reckless spending, isn't it? Because that added $500 million annually to
the cost of running this government.
Shouldn't we have done that? Is that what you are saying to us? Do not build
hospitals, do not build schools, do not reduce seniors' taxes and benefits, do
not fix up roads, and do not give raises? Because that is where we find
ourselves today, Mr. Chair. We find ourselves in a situation, because we have a
small resource-based economy that is very volatile - as I have indicated, that
20 million barrels in production is very significant. Then we have the
short-term volatility in terms of oil pricing, which again is very significant.
Mr. Chair, as we move through this and, again, later on today I will
probably review some of the bond rating agencies' reports where they talk about
our sound fiscal management, they talk about what we have done with debt, and
they talk about how we have invested our money.
Mr. Chair, now we are in a situation today where our revenues do not equal
our expenditures. Whether you are running your home or running your business, if
that is the situation you have to deal with it. You cannot simply ignore it
because it could be politically popular to keep spending. What we have to do,
Mr. Chair, is make the right decisions that ensure a bright, prosperous, and
sustainable future for the children of our Province.
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: That is what our Premier is doing, Mr. Chair. That is what
Muskrat Falls is about. That is what we are trying to do as we head into the day
when the non-renewable resources will be gone.
Mr. Chair, we are rebuilding this Province. We have rebuilt this Province,
but it would scare you and I think some of the members opposite know the
requests we have for new infrastructure builds, the requests we have for paving
where is the Minister of Transportation and Works? at $250,000 or $300,000 a
kilometre for paving.
Here we have a situation, Mr. Chair, where it does not matter to people about
debt. Is that what I am hearing, that it does not matter about deficits? Because
we cannot live our lives like that, as individuals or as business owners; you
have to look at your revenues.
Now we are in a situation where we have to right the ship. The ship is tilted
somewhat and we have to right it. What we are doing, Mr. Chair, this exercise
that we are engaging in, has forced all of us as ministers of the Crown to dig
down and look at our departments even more closely than we have to do on a
regular basis.
The Budget process is a trying process, Mr. Chair; it is a tough process. If
anyone over there thinks we are simply sitting there with a checklist, get rid
of this job and get rid of that job, you are not taking into account how
cognizant we are of the human impact and the impact it has on all of us. It is
not that easy to say to people, go find a job elsewhere. What we have to look at
is if you have a situation in a department where there is a duplication of
services, where the program is not as efficient and effective as it should be,
then you have to do something.
I will talk a little bit further as we move along through the day and the
next few days of this process and how we are going to get to the stage where we
will ensure that bright, prosperous, and sustainable future, Mr. Chair.
SOME HON. MEMBERS: Hear, hear!
CHAIR: The hon. the Member for Cartwright L'Anse au Clair.
MS JONES: Thank you, Mr. Chair.
It is certainly an opportunity to speak to what has been happening in the
Province in the last little while in terms of the financial mismanagement of the
government opposite. I can guarantee you that as we debate Interim Supply, there
is going to be lots of opportunity to debate back and forth and discuss where
money could have been spent or could not have been spent.
In tabling Interim Supply today, there is one thing that is very clear in
what has been presented here and that is that a number of critical services that
have been provided to people in this Province are essentially being cut and done
away with. Some of these services have existed for many, many years. They were
not necessarily created by the government opposite. They were there long before
they came into power. Mr. Chair, their decision not to sustain these services is
having a very negative impact on a lot of people in this Province.
Mr. Chair, the government likes to talk about where they have spent money and
continues to ask us for our advice on where they should cut. Well, I do not
remember ever getting asked where they should have spent it in the first place.
When we watched the Budgets in this Province grow under their Administration
from 2003 until today, rising from a little around $4 billion a year to double
that in the Province is what they have had to spend as a government. They have
had more money than anyone else in the Province and not because of anything that
they have done. They inherited huge royalties. They inherited returns on
investments that were made by taxpayers of this Province long before they ever
took office. When they came into power, Mr. Chair, it was they who had the
decision on how that money was going to be spent.
I did not have that decision. None of our caucus had that decision; it was
the people opposite. Your decisions have gotten us into a position in this
Province today where we are having to put public servants out on the street,
where we are having to cut services to people, people who have had that service
for over twenty years in this Province.
That is the kind of mismanagement that I am referring to, Mr. Chair. There
are a lot of examples of where government could have done things differently.
Over the next few days we will have an opportunity to point that out.
What I am going to point out today, Mr. Chair, is how their decisions are
really impacting the lives of Newfoundlanders and Labradorians. This government,
Mr. Chair, when they took office, not only gained the rewards of the investments
of people in this Province that were made before them; they got that revenue,
Mr. Chair, revenues that were created by Liberal governments and Liberal
Administrations. They were the people in charge of deciding how that money was
going to be spent.
In making that decision, they increased the public service. They increased
the public service in this Province by almost 3,000 people. Those people, Mr.
Chair, went out and got mortgages on their houses. They bought vehicles and they
put their children in university. They went out, Mr. Chair, and they borrowed
and they planned based on the fact that they
SOME HON. MEMBERS: Oh, oh!
CHAIR: Order, please!
MS JONES: had employment. The government failed the plan. The
government failed to budget for those people. Now, today, they are being thrown
out in the street with no job and they still have those financial commitments
that they have signed on to. That is very poor and very sad. That is the face of
what is happening in the public service today.
AN HON. MEMBER: (Inaudible).
MS JONES: That is the face of what is happening in the public
AN HON. MEMBER: (Inaudible).
MS JONES: No, but you lied, Mr. Chair.
CHAIR: I remind
MS JONES: I apologize, Mr. Chair.
CHAIR: Thank you.
MS JONES: I know it was out of line. I know the difference.
CHAIR: Thank you.
MS JONES: I could not resist. I do apologize and I withdraw that remark.
Mr. Chair, it is hard when you are provoked.
Mr. Chair, that is the face of what is happening in Newfoundland and Labrador
today. For government to walk into this House of Assembly and throw their arms
in the air and say, well, what do you want us to do? We cannot sustain the kind
of spending that we have.
You created that kind of spending. You created it, and you did it without
giving any consideration to how you were going to plan for it in the future.
SOME HON. MEMBERS: Oh, oh!
CHAIR: Order, please!
MS JONES: Mr. Chair, that is exactly what happened. The former Minister
of Finance, he brought Budget after Budget in here that increased the size of
the public service, gave people in this Province jobs, gave them hopes, gave
them dreams, gave them opportunities to buy their first home, to put their
children in university, but you never told them you were only going to give them
the job for twenty-four months, or thirty-six months, because we could not
afford to have you. That, Mr. Chair, is very poor governance and complete
mismanagement of the public service, and mismanagement of the revenues of this
Province.
Mr. Chair, let us talk about some other things, because there are the
Employment Assistance workers. Who are they? Who are Employment Assistance
workers? You know who they are? They are ordinary people in communities all over
this Province who are doing yeoman's service to the public and they are doing it
for peanuts. That is what it is. They are people who are out there in regions,
in districts just like yours.
In every one of your districts there is one of those Employment Assistance
workers. If you have not used them, or as an MHA sent your constituents to them,
you are operating a different kind of job than I am, because I have sent my
constituents to these offices time and time again. They are not just unemployed
people; they are employment-disadvantaged people, in many cases. They are people
who need help. They need help with all kinds of things. They need help in how to
file for school. They need help in choosing a proper career. They need help in
finding funding to go to school. They need help filling out forms.
It is not just unemployed and the employment-disadvantaged, but it is
seniors. Do you know how many seniors in this Province go into those offices
just to get help with Old Age Security applications, CPP applications, drug
cards, all those things? Maybe that is not what the program was intended for,
and maybe that is not what the mandate of it was, but you cannot ignore the fact
that is what it did. That is what it did.
What you are saying today is that we are not going to provide that anymore
because we never intended to provide it in the first place. We inherited it from
the federal government; we took a transfer payment from the federal government,
Mr. Chair, we took a transfer payment from the federal government and we
operated these offices knowing we could only operate them for the next five
years and then we would have to shut them down.
Now, Mr. Chair why did this government not look at the service that these
offices were providing over that five-year period? You had since 2009 to learn
that these offices did not just provide services to people on Unemployment
Insurance. You had five years to figure that out. You had five years to go out
in communities around this Province and realize that the scope of work for
employment assistance workers range from the very bottom to the very top in
terms of what communities required and needed. They were good at their jobs,
very good.
When the Muskrat Falls Project was announced, the employment assistance
workers in my district held public meetings in every single community. They
helped over 200 people log on to the Muskrat Falls.com site, showed them how to
fill out their applications online. They helped them develop resumes. They put
them in touch with companies. Who is going to do that job? Who is going to do
it?
MR. LANE: (Inaudible).
MS JONES: The Member for Mount Pearl South who pads the polls we know
what he does as an MHA. That is what he does, pads polls. Pins people, says vote
for the government. We know what he does as an MHA, Mr. Chair.
SOME HON. MEMBERS: Oh, oh!
CHAIR: Order, please!
MS JONES: We have his job description down pat. Then, Mr. Chair, you go
on the air and try and deny it until you are caught red-handed. He was caught
red-handed, Mr. Chair, and denied it. Then he had to come out and admit it, Mr.
Chair, what he was doing as an MHA.
Mr. Chair, this is what the government opposite is doing. They are denying
the very basic services to the people who need it the most. Is there
duplication? Of course there is, and I would be the first to agree with that. I
know there are areas of the Province where that duplication is more evident than
others. There are also areas of the Province where none of these services exist,
and as of June will not exist, leaving whole areas of the Province without any
frontline management services, Mr. Chair, absolutely none. That is unfair,
absolutely unfair.
Maybe if the Member for Mount Pearl spent more time learning about these
programs within the government and responding to them effectively instead of
polling people and asking them to vote for the government online, we might get
different decisions in this House of Assembly. Because what this shows, Mr.
Chair, is a complete misunderstanding or lack of understanding of what
employment assistance workers in this Province do.
I would like to ask the member, Mr. Chair, for Harbour Breton area, Bay
d'Espoir: How is this going to affect her district? How is it going to affect
her district, because I know of offices that are closing there? I know there is
an office closing in Lab West. I know there are offices closing on the Bonavista
Peninsula. How is this going to affect those members' constituents? I would like
to know.
I would like for the Member for Bonavista South to get up and tell me that. I
would like to know that. Is it okay to close down employment assistance offices
in your district? Because it is not okay to close them in my district, I can
tell you right now.
When you have to drive 600 kilometres or more to get to the nearest
government office to give you that service, there is something wrong. There is
something terribly wrong in this Province about how service do you know
something? It was being delivered, Mr. Chair, for peanuts. That is what these
people get paid. They are not getting $60,000 or $70,000 a year salary, nowhere
near it. Most of them were making $35,000 to $40,000. That is what they are
making a year. They are not making $60,000 or $70,000.
They are not on a contract like John Noseworthy, getting $150,000 in ten
months. That is not what these people are getting paid, nowhere near it. They
are not like Ross Reid who worked on a Tory campaign and gets a job for $150,000
a year, no. These are ordinary people in communities who are helping people in
this Province, providing a service, doing it very well and doing it with a very
small amount of money. They are the one group that this government decides has
to go. This is the one group they decide have to go.
Well maybe they should have looked at, a long time ago, saving more money on
the office they had in Ottawa instead of leaving it closed for year, paying the
rent, and keeping subscriptions to newspapers. I had a friend who worked in the
same building in Ottawa who told me that the newspapers at the door of the
office in Ottawa was right up to the doorknob because there was no one there to
collect them. Here were the people of the Province paying the rent, paying for
the subscriptions and you cannot figure out where you went wrong, where you
could have saved a few dollars along the way. Unbelievable!
There are thousands of examples, Mr. Chair, thousands of examples. What is
sad is that we are going to debate Interim Supply and a budget today that is
targeting the most vulnerable people in our communities, people who depend upon
a service who are not going to have it, people with disabilities, people who are
employment disadvantaged, people who are hundreds of kilometres away from the
nearest office that they could go to, to get any help whatsoever.
I know the government does not want to hear this. I am sure you do not. You
do not want to hear any kind of criticism, but you had better get used to it
because there is going to be an awful lot of it to come, an awful lot of it to
come, Mr. Chair.
Mr. Chair, you combine that with what is happening with the economic
development boards today in the Province. Right now, these boards are all
packing up their offices and moving out. I think we saw the one in Marystown on
the news there a few weeks ago. I have been witnessing it all over the Province,
everywhere I have gone. Nothing only boxes being packed and those offices
closing down.
I know the minister said in his comments it is a challenge to deliver
services in a Province that is spread out so geographically. That challenge is
just not your government's, that challenge has been the challenge of every
government in this Province, Mr. Chair.
Other governments have not chosen to just gut rural areas in this Province,
rural communities, and rural services; they have chosen to create a balance
where they could. That is the one thing that I am not seeing here: a balance and
how government services will be delivered and how people can access them in the
future.
CHAIR: The hon. the Minister of Finance and the President of Treasury
Board.
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: Thank you, Mr. Chair.
My colleagues, as they stand up, will address all of these individual issues.
I will continue over the next day or so to outline the overall picture in terms
of the financial situation of the Province, Mr. Chair.
It is easy to pick and choose. It is easy to say this is one program or focus
on the individual program. What we have to do, Mr. Chair, is focus on the people
of this Province and delivering programs and services in a fair and equitable
way. It is a challenge, but it is something that we have been doing and doing
quite well.
I am sure that someone will stand up and outline the Member for Cartwright
L'Anse au Clair, everything has gone into her district over the last period of
time. Something that would not have happened while they were in government to an
Opposition member, I can assure you that.
Someone will stand up, Mr. Chair, and outline the amount of money that has
gone into the Trans-Labrador Highway. The Minister of Labrador Affairs will talk
about the money spent in Labrador, Mr. Chair.
SOME HON. MEMBERS: Oh, oh!
CHAIR: Order, please!
MR. KENNEDY: She seems to have conveniently forgotten that.
Mr. Chair, I want to talk now about the economy and the apparent dichotomy,
or it is almost counterintuitive that we have a hot economy, a lot happening in
the economy, yet our revenues are down.
In the last few minutes, I spoke about why our revenues are down. Mr. Chair,
I also want to talk a little bit about how good the economy is doing. That is a
reality in our Province that our economy is doing very well. What we are is in a
couple of year transition period, Mr. Chair, where we have to ensure that our
revenues meet our expenditures.
Let us look, Mr. Chair, at some of the economic indicators that were provided
in the fall update, in the 2012 update. Capital investment in Newfoundland and
Labrador was $9.7 billion in 2012, up 31 per cent from 2011. We have seen major
projects like Hebron, which I understand could have 3,500 to 5,000 people out
there. We have seen the Vale Inco development take place, Mr. Chair. We have
everything that is going on in Lab West. Then we have Muskrat Falls. These are
just some of the bigger projects that are happening, Mr. Chair, that demands
significant capital investment.
Let us look at our housing starts, Mr. Chair. In 2012 I think it was we
had 3,880 housing starts, the highest level in thirty-five years. Mr. Chair,
housing starts or why they are an economic indicator, because it is such a big
decision, it means that people are attaching themselves to the jurisdiction.
They are not only building or buying a house, there is a mortgage, there is
everything that comes with it, and it shows, Mr. Chair, that there is a reason
for people to live in the place, town or province.
Mr. Chair, we have the second highest and I have to say that this one did
surprise me. We have the second highest weekly earnings in the country at $924,
second to Alberta, and 3.5 per cent above the Canadian average. I find that an
interesting statistic. Twenty-seven thousand new cars were purchased from
January to September 2012, Mr. Chair. Again, a sign of a vibrant economy, a sign
of people who are working, a sign of people who are spending money.
Mr. Chair, there was a 5.3 per cent increase in the value of retail sales for
the first nine months of 2012. Employment in 2013 is expected to grow by 3.1 per
cent. Retail sales are expected to grow by 3.7 per cent.
Mr. Chair, we hear or we will at times hear talk of GDP as a measurement here
in this Province. Basically what that is, it is a measure of economic activity.
In a small resource-based economy where there is such volatility and such
dependence on oil especially that GDP does not have the same impact or effect
that it might have in a larger economy.
When we look to the rest of the world, we look at growth in China, for
example, if China stays at 5 per cent GDP that signifies that the demand for oil
will continue in the world. It is not as relevant to us, Mr. Chair, because it
can go up and down so much.
We have a good economy. We still have a high unemployment rate, which is
again a little bit difficult to understand; but again, it is seasonal work and
things like that. Let us look at what is happening in our Province. Let us look
at the rest of this country, Mr. Chair. In 2012 all provinces, except
Saskatchewan, records a deficit. Even provinces like Alberta and we just saw
the Alberta Budget come down recently; I will refer to that over the next period
of time. Again, dependent on energy and when the price of oil went down and
they were affected in Alberta far more by the price of their oil, for what they
were getting, than what we were getting for our Brent equivalent in this
Province.
We have, in Canada, a situation and Canada is doing well. Our federal
government and our banks, Mr. Chair, have allowed for a regulatory regime that
has prevented, I think, some of the situations that occurred in the United
States and parts of Europe. Our Canadian economy is doing well, yet we have
provinces in deficit. We have Ontario in a significant deficit of $12 billion.
We have the Canadian government or Canada as a whole at $26 billion. They vary.
One of the problems, when you hear some provinces now talk about balanced
budgets, is there are different ways they use to balance their budgets. What we
are doing is we are looking at what we are spending, what our revenues are, and
we are coming up with a true figure, Mr. Chair. The other provinces have
financial difficulties.
Let us look at the global situation. Let us look at what is happening when
you watch The National on CBC every night. Let us look at what is
happening in places like Greece and Spain. Look at what is happening in Europe
as a whole. It is easy sometimes when you are on an Island that you do not get
that bigger picture and that you do not look to the rest of the world.
What we are now, especially with oil and iron ore as major commodities, and
nickel for us, is we are tied to that global economy. Fish has always tied us to
the global economy, but commodities tie us even more. What happens in China can
determine to a great extent the price of oil and the price of iron ore. What we
have is a situation where we have to look to the rest of the world. When you
compare what is happening in our Province even to the rest of our country and to
the rest of the world, it is not that bad. Again, it is the glass half full
versus the glass half empty.
As I spoke about in my first fifteen minutes: show us the hospital and show
us the school. Tell us where we should not have paved that road. No one in their
own district is going to say that. We are not going to hear the Member for
Cartwright L'Anse au Clair say: do not build the Trans-Labrador Highway. In
fact, every day she is up saying: build the Trans-Labrador Highway. We are not
going to hear the members opposite say: do not pave the roads in our districts.
So what we are doing is we are trying to use that money and trying to use it as
wisely as we can for the people of this Province throughout the Province, Mr.
Chair.
In the next year, the situation is expected to improve in Canada, the United
States, and Europe. Let me just give you an example to put this in perspective.
Greece, in 2012, had an unemployment rate of 23.8 per cent. Almost one quarter
of the population was unemployed. Spain had an unemployment rate of 25 per cent.
Those are countries, Mr. Chair, that have large economies and huge numbers of
people.
Let us look at a situation. What are we faced with here? It is a deficit for
two, three, or four years. We will know a little later on how long it will be.
What we are faced with, Mr. Chair, is a situation where we are tied to the price
of oil and to production. Is that not a good thing? Because if I were the
Minister of Finance in some of the other provinces, I would be very, very
concerned: where we will ever get the money to bring us back to a balanced
budget?
Well, we know we will get there, but it takes some pain at this point, Mr.
Chair. Again, we know how difficult it is for people to be laid off, but, Mr.
Chair, that does not relieve us of the obligation, as ministers, it does not
relieve us of the obligation of looking to the departments and determining
whether or not the programs that we deliver are being delivered as effectively
and as efficiently as possible for the people of this Province.
So, on a national basis, on a global basis, we are doing well with the
economy. What we have: revenues are down. I have explained why revenues are
down. We are dependent so much on the volatility of a commodity like oil that
and I will talk about this over the next few days, in terms of different amounts
of production, different increases, and what it can do for our economy.
The price of oil goes up a dollar, we make $25 million. The Canadian dollar
goes down a cent, we make $25 million. So, this is the kind of thing that can
happen on a daily basis. That is why, even though we have a very serious
situation, you have to put it into perspective of what is taking place in the
rest of the country and the rest of the world. You know something, Mr. Chair? It
is not that bad here. We are doing quite, quite well in this Province.
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: But like anything else, sometimes the easiest thing to do is
do nothing. If you just want to get votes, you will do nothing. What we want to
do is do the right thing. That is what we are doing, Mr. Chair: the right thing.
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: We are going to make sure that the financial situation is
fixed up again to ensure that future for the children of our Province.
SOME HON. MEMBERS: Hear, hear!
CHAIR: The hon. the Member for St. John's North.
MR. KIRBY: Thank you, Mr. Chair.
I am very lucky to have the opportunity to stand here in my place and refute
some of the things that have been said, and set the record straight in a number
of ways.
I want to say first, Mr. Chair, it is great to be back here in the House of
Assembly with all of my colleagues on both sides of the House. I have seen some
of you since we broke for the Christmas holiday, and some of you I have not
seen, but it is good to be back here and to have the opportunity to debate
important matters affecting the people of the Province right now.
I believe, Mr. Chair, last Thursday when I got up with my son to give him his
breakfast, I got the news that Stompin' Tom Connors had died. Stompin' Tom was,
of course, a great Canadian. A lot of us do not have much time for the term
Newfie, but he did write that song the man in the moon is a Newfie, or he made
it popular at least. He had the one about Margo's Cargo . I will not go
into details on that one, but those of you who know, it is the one about the
cowsy dungsy clock. He also did that one and it was about Newfoundland.
When I got up in the morning, they had the old theme song from Marketplace
on, and that is the one that goes something like: We will save a lot of money
spending money we don't got. I did not know that the Minister of Finance's last
Budget speech had been set to music, but that is what I thought when I heard
this save a lot of money spending money we don't got. Because certainly, that is
part of what has happened in this Province over the last year with this sort of
inflated projections for the price of a barrel of oil that we saw in the last
Budget. That is partially the problem that we have that and a variety of other
things.
Because of these issues, the government has been out there in recent weeks,
in recent days, wildly laying off public sector workers. We know that there are
positions that are no longer in existence. We know that there are a lot of other
temporary and contractor workers who also have lost their positions, but they
are more or less the unknown people who have lost their positions. There has
been quite a lot of that, and I do not know about the members on the government
side but I am certain that we over here on the Opposition side have heard quite
a bit about that.
Government has been cutting funding to various community agencies. We have
been raising the issue since we got back here about the Employment Assistance
Services providers losing their funding and the impact that is going to have on
communities, unemployed workers, and economies all across Newfoundland and
Labrador.
I know, in particular, myself and my colleague, the Member of the House of
Assembly for St. John's East, and my colleague in the Official Opposition, the
Member for Bay of Islands District, were at the recent special meeting of the
Coalition of Persons with Disabilities where that group was struggling with the
question of what to do now that their funding is going to be eliminated.
I read with great interest The Telegram this weekend, the story with
the headline " Noseworthy's synergies' won't be part of the budget". The
government members get up and they ask: Where is the fat to be cut? Just let me
refresh your memory, if anybody here cannot remember. The Minister of Advanced
Education and Skills told the House of Assembly last year you can go back and
look at Hansard if you like on that, and she certainly told The Telegram
newspaper numerous times that Mr. Noseworthy had a unique set of skills. I was
on the On Point afternoon radio program on CBC one afternoon with the Member for
Mount Pearl South. I do not know if he did not say that there was not anybody
else in the Province who was qualified as Mr. Noseworthy was to do this vitally
important work.
We were told here in the House of Assembly that John Noseworthy would help
the Department of Advanced Education and Skills deliver services in the most
effective and most efficient way possible. He would help to improve the flow of
services. This is stuff that of course the minister and her very capable staff
could have set about doing themselves. He had such a unique skill set that the
government had to pay him, a failed Tory Party candidate from the last election,
$150,000 to do these essential things.
He was going to make sure that the department is set up appropriately. Mr.
Noseworthy was going to help review the core mandate and make sure that the
programs and services were delivered properly. The Premier told the House of
Assembly that John Noseworthy would make sure that Newfoundlanders and
Labradorians are able to take advantage of the opportunities. Of course,
everybody is going to have a lot of opportunities now to get on the plane to go
to Alberta to find work there because of the way things are falling down here.
The Premier continued, she said that Mr. Noseworthy would tell the PC
government if their programs are effective. He would tell the government if
their programs are efficient. He would tell the government if their programs are
responding to the real needs of Newfoundlanders and Labradorians.
Here we have the Minister of Advanced Education and Skills and this
government laying off staff, cutting funding to essential programs in our
communities, wrecking havoc for many families across Newfoundland and Labrador,
all the while the vital, essential work that was being done by Mr. Noseworthy,
well it seems like people could not care less over there to be honest. None of
this is in any way having any impact on the coming Budget I understand.
I understand from reading the story that was in The Telegram the
weekend that this $150,000 contract which government has acknowledged bent the
rules for contracting. There is another story here that was in The Telegram :
Former Auditor General's contract bent the rules. The minister said that her
department did not follow the guidelines. It says right here in the story, the
minister "didn't follow the guidelines' in those sections." That is what it
says. Take it up with the reporter if he is wrong.
Went through all of that to try and hire this former candidate for election,
and none of what he did is important enough to have a look at before the coming
Budget - which is just shocking, really, I have to say.
Now, another thing that caught my eye in recent days was a release from the
Minister of Service Newfoundland and Labrador. He said, you know, fraud can be
devastating for anyone who has fallen victim to this kind of scam. He said, if
it sounds too good to be true it probably is. It probably is.
I will tell you what else is fraudulent. It is fraudulent to run in an
election campaign, spending people's money to get elected. It is fraudulent to
run in an election campaign and tell seniors in this Province that you are going
to have $100 million for a seniors' strategy. It is fraudulent to run in an
election campaign and tell students that you are going to convert the loan
program into a grant program.
MR. KING: A point of order, Mr. Chair.
CHAIR: A point of order.
MR. KING: I would ask the Chair to consider ruling on the use of the term
fraudulent. I believe it would be considered unparliamentary to use that term in
referencing another member and their actions in this House.
CHAIR: I will take that under advisement and consider it, and give an
answer the next day.
Thank you.
The hon. the Member for St. John's North.
MR. KIRBY: Thank you, Mr. Chair.
I was not signalling out any one individual. I was referring to the press
release from the Minister of Service NL. I was giving examples of what
fraudulent activity would be. It also would be fraudulent, Mr. Chair, to say
that you are going to build a hospital and then not build a hospital.
Mr. Chair, another thing the minister was talking about was all the money
that has been spent on roads and all the money that has been spent on
infrastructure. I refer the minister back to the Auditor General's report from
last year when Mr. Loveys said that, like the secret John Noseworthy report, he
could find no evidence of any infrastructure strategy.
There was no document that he could refer to, no government document this
government could provide to show where some $5 billion worth of public money has
been spent. No government document, no explanation. If that is proper
management, if that is proper stewardship, as the Premier is fond of saying, of
public funds, then I have to say I completely disagree. That is not good
stewardship at all.
I will take my seat with that, but I think it is important to point out,
these are the facts. It is not fantasy.
Thank you.
CHAIR: The hon. the Minister of Finance and President of Treasury Board.
SOME HON. MEMBERS: Hear, hear!
MR. KENNEDY: Thank you, Mr. Chair.
I am now going to talk a little bit more about where our revenues come from.
I can try to paint a picture, Mr. Chair, of the situation that we find ourselves
in. Some of this will be, I think, somewhat surprising to the people of this
Province in terms of the revenues. For example, again, it is no surprise to
people that our two main sources of revenue are oil and other natural resources
and taxation. That would certainly make sense.
In 2012-2013, at the midyear update, we showed that 27.1 per cent of our
revenues were coming from offshore royalties. In 2011-2012, Mr. Chair, 35.8 per
cent of these revenues had come from offshore royalties. That is a significant
amount of money when you are talking about an 8 per cent decrease in terms of
the amount of royalties, so 20 million barrels less means a lot of money.
One thing I would say to the Member for Cartwright L'Anse au Clair, we
often hear about the great contribution of Labrador, and there is no question
about the contribution, but mining tax and royalties in the midyear update were
2.8 per cent. Now, mining produces revenues for our coffers in a different way,
Mr. Chair. We invest in mining. The royalty schemes are older. They are there
for quite some time, but what we have is a situation where there are jobs
created. There is a lot of money that goes into the economy, but in terms of
what comes to the government coffers in royalties, Mr. Chair, is 2.8 per cent.
That was the midyear update.
This is why it is so important, offshore oil. We negotiated, we received
equity shares. We negotiated royalty regimes. That is why the monies we get from
offshore oil are so much more significant. Corporate income tax, Mr. Chair, is
10.2 per cent and sales tax is 12.4 per cent. Those taxes, the corporate income
tax and the consumption tax would be 22.6 per cent.
An interesting figure, Mr. Chair, personal income tax is only 15.5 per cent
of our revenues. I said, no, that cannot be right. You have to go back and check
that for me. That does not make a lot of sense to me, but what I found out, Mr.
Chair, and I do not know if I have the exact number here. I will see if I can
find it. I think it is, Mr. Chair, that 18 per cent of our population pays 70
per cent of our taxes. It is something along those lines. I am sure in the next
day or so as I am going through my notes I will find it.
What does that mean? It is not as drastic as it first sounds. It means that
our $500 million in tax reductions have benefited those with lower incomes. In
fact, Mr. Chair, they are paying less taxes. It does not necessarily mean that
they are not paying any taxes, but what we have is a situation where we do not
have a big tax base in terms of personal income tax, 15 per cent of our
revenues.
Other provincial revenues, Mr. Chair that can be all kinds of fees and
things like that are 17 per cent. Now, let us get to the federal; what do we
get from the federal government? In the Canadian federation, there are a number
of types of payments that provinces receive, Mr. Chair. The one that most people
would be familiar with would be equalization. I will have to leave it to the
previous minister to explain the equalization formula because it is quite a
complex formula; essentially it means that monies are provided to the Province
based on how much you have coming in, population, and things like that.
Then we have the Canada Social Transfer and the Canada Health Transfer. These
are, again, sometimes based on per capita,
sometimes based on programming; in our Province, we are only
receiving, right now, 9.1 per cent of our revenues coming from transfers from
the federal government, and 1.7, so 10 per cent.
Now, le