Third Session, 41st Parliament

(2018) OFFICIAL REPORT

OF DEBATES

(HANSARD)

Thursday, February 22, 2018

Morning Sitting

Issue No. 84

ISSN 1499-2175

The HTML transcript is provided for informational purposes only.

The PDF transcript remains the official digital version.

CONTENTS

Routine Business

Introductions by Members

Statements (Standing Order 25B)

Bert Kelly and health care in northern B.C.

S. Bond

Support for small businesses in West End

S. Chandra Herbert

Sheila Tutty

D. Clovechok

Visit to Living and Learning School in Haida Gwaii

J. Rice

Jenni Capps and Safe Youth Cowichan

S. Furstenau

Garibaldi Secondary School students in robotics competition

B. D’Eith

Oral Questions

Impact of employer health tax on businesses

A. Wilkinson

Hon. C. James

C. Oakes

Housing plan priorities and housing prices

A. Olsen

Hon. C. James

Impact of employer health tax on businesses

I. Paton

Hon. C. James

T. Stone

Dispute with Alberta on Trans Mountain pipeline and wine industry

G. Kyllo

Hon. B. Ralston

N. Letnick

Dispute with Alberta on Trans Mountain pipeline and impact on businesses

T. Shypitka

Hon. B. Ralston

Motions Without Notice

Membership change for Health Committee

Hon. M. Farnworth

Orders of the Day

Budget Debate

(continued)

R. Kahlon

J. Johal

Hon. K. Conroy

L. Throness

Tabling Documents

Office of the Auditor General, An Independent Audit of the Recruitment and

Retention of Rural and

Remote Nurses in Northern B.C. ,

February 2018

10:16:57, J. Rice, name deleted in statement11:04:45, R. Kahlon, periods changed to commas in "walked, one by one,"

THURSDAY, FEBRUARY 22, 2018

The House met at 10:06 a.m.

[Mr. Speaker in the chair.]

Routine Business

Prayers.

Introductions by Members

Hon. G. Heyman: Earlier this month I had the pleasure of visiting the environmental

assessment office. It’s a small group of people, but they are dedicated.

They are thorough. They do great work, and they’re preparing for the review

that we’ll be announcing shortly of the environmental assessment process in

B.C. I learned a lot from them. I’m impressed by their calibre. Ten of them

are joining us today in the gallery. I’d ask the House to join me in

welcoming Matt Rodgers, Mike Shepard, Kim Walters, Heather Noble, Greg

Wittig, Elise Matzanke, Tanner May-Poole, Beth-Anne Salzer, Kyle Ostman and

Ashley Dakin.

Statements

(Standing Order 25B)

BERT KELLY AND

HEALTH CARE IN NORTHERN

B.C.

S. Bond: Have you ever been out for a walk and somehow a tiny little pebble

has found its way into your shoe? You continue to walk, confident that

it will work its way into a spot that will end that irritating feeling.

That little pebble makes you forget about everything else, and all your

focus and attention is centred on the pebble and the irritation it

causes. Some of you will know that I often referred to Dr. Bert Kelly as

a pebble in my shoe. You will also know the reference was made with deep

respect and a great deal of affection. Not only that, I think Dr. Bert

kind of liked it.

Bert Kelly loved his family. If we weren’t talking about health

care, we talked about his grandchildren, whom he adored. He loved his

colleagues, his patients and the community and region we live in. Bert

made it his mission to drive improvements in health care in northern

B.C. And make no mistake about it; he did just that. It didn’t matter if

he spoke to Premiers, mayors or MLAs, his message was always the same:

“We deserve better, and you have a job to do.”

Bert Kelly was a catalyst for change. From a civic rally with

thousands of residents, he argued for new investments, programs and

infrastructure. He dreamed big dreams, created bold plans and then

enlisted supporters.

Today, Dr. Kelly, I honour the person that you were and the

difference that you made. Our health care system, our community and our

lives are better because you were a part of them. You made me a better

MLA, constantly reminding me that it was my responsibility to ensure our

voices were heard in Victoria and not the other way around.

[10:10 a.m.]

As we celebrate your legacy today, I can hear your words: “I’ve

seen some improvement, but there is more work to be done.” I agree, Dr.

Bert. Somehow I just know that you will continue to remind me of that

with a tiny little pebble in my shoe.

SUPPORT FOR SMALL BUSINESSES

IN WEST END

S. Chandra Herbert: Today it gives me pleasure to speak about supporting West End

small businesses. Indeed, some of the actions I talk about would

probably support small businesses in many of your communities

too.

Imagine seeing your property taxes go up more than 90 percent.

Imagine that you don’t own the property but you still have to pay the

taxes, as you have a triple-net lease. Imagine you can’t make the

payments, even if you double your sales, and that your really successful

business of many years is forced into bankruptcy or out of the community

you’ve worked in for years. Now think of all the hard work you put into

making that small business a success and how much better communities are

when they have diverse small businesses. Empty streets are not welcoming

streets.

This is a story, unfortunately, that is hitting a number of small

West End businesses now because of the recent West End plan with

high-density upzoning; of course, the out-of-control housing market,

which has driven property prices through the roof — 300 percent in some

areas of my community; and a commercial real estate and leasing sector,

with provincial and municipal regulations, that has privileged big

commercial landlords over small businesses for too long.

I’ve spoken with business owners on Robson Street, and they just

can’t pay the bills, even when they’re having some of their most

successful seasons yet. I’ve spoken to commercial landlords who don’t

want to pass the costs on, and they want action to support their

tenants. Many tried to get this fixed with the government, but locally

and provincially there were reports after reports, and unfortunately,

too little got done.

What are some of the possible solutions — beyond, of course,

shopping local and supporting these businesses? Well, they tell me that

the commercial leasing rules need an update to better support small

businesses which take the risk. Why should the landlord who has seen all

the up side of the upzoning, through huge property value gains, not have

any of the risk and the cost of the taxes? Why are small businesses —

which, in many cases, are least able to deal with the cost — the ones

who bear the brunt?

Land-value averaging, split assessments — the list goes on. I want

to thank the small businesses for doing what they can, thank the West

End Business Improvement Association and just continue to advocate on

their behalf, because they need our help.

SHEILA TUTTY

D. Clovechok: I rise today in memory of an amazing member from one of my

communities who we lost to cancer, Sheila Tutty. Sheila and her husband,

Stuart, arrived in the Columbia Valley about 28 years ago along with

their children, Rhiannon and Brendan. Sheila had moved from working at

the Jasper Booster to become the production manager of the

Valley Echo newspaper and quickly showed everyone that she

did everything at three times the speed of everyone else.

“Dedicated,” “kind,” “strong,” “efficient,” “proficient,” “loving”

and “fun” are but a few words that pass through my mind when I think of

her. Sheila was a “get ’er done” type of person of high ability, and it

was her work ethic that pushed her quickly up the career ladder to

become the publisher of the Valley Echo in 1996. She was known

by her bosses as the golden girl for her leadership in creating one of

the top money-making community newspapers in British

Columbia.

In her work, she commanded excellence and expected it in return.

She was a person of personal strength and conviction. In the world of

newspapers, which at that time tended to be dominated by men, she stood

strong against the men’s world and pushed back with style, grace and

success.

She was a gifted artisan, as well, who created the most beautiful

quilts. She had a heart as large as the Rockies she loved and lived in,

and she always had time for those who were hurting, no matter

what.

Above all, she was a mom and a wife first and passionately and

openly loved her family. She fought cancer with the strength of a

military battalion and pushed it back many times but, in the end,

surrendered to it with the grace that was her life. Sheila was one of

these people that lit up life, and all of us whom she touched were

blessed by her light.

Sheila, your shadow has run across the grass and has lost itself

in the sunset. We miss you. [A foreign language was spoken.]

[10:15 a.m.]

VISIT TO LIVING AND

LEARNING SCHOOL IN HAIDA

GWAII

J. Rice: “What do you do all day, and how much money do you make anyway?” I

think most of us in this House have had the pleasure of addressing

students in our home communities or a visiting class to this

Legislature. It’s always students that ask the most interesting, albeit

sometimes blunt, questions of their MLA.

It was a real pleasure to receive an invitation from a student

attending the Living and Learning School on Haida Gwaii. Kade requested

I visit the islands and answer questions from his class. “My class

recently did a PowerPoint presentation on the types of government —

democracy, communism, anarchy, etc. — and in the process, we learned

Now, I’m not sure if I accomplished that high order or inspired

anyone to get into politics, but I did have an engaging discussion about

being an MLA — and life, the universe and everything. It was fun to

spend time in their class, and I appreciated their pointed questions,

including if I ever face discrimination in the Legislature.

The students were very interested in #MeToo and how that pertained

to B.C. politics. Whilst a career in politics is challenging enough for

women and we still face minority representation in many jurisdictions at

all levels of government, it concerns me to think that the fear of being

a hashtag would be an impediment for a young person to pursue a career

in government.

All that to say that while this is an uncomfortable topic for

discussion, especially with young people, I really appreciated the

question and the required reflection on what I can do to make a career

in government a desirable and safe occupation for anyone to

pursue.

The Living and Learning School is a small, independent, parent-run

school on Haida Gwaii with a vision that believes that children who

learn in a safe, supportive and cooperative atmosphere develop

self-worth, self-expression and personal power, enabling them to grow

into strong, creative and caring human beings.

The school believes in fostering in their children an awareness

and respect for the human spirit and the natural environment. These

values were certainly apparent on my recent visit to Mrs. Husband’s

class. I want to say thanks to Kim, Lisa, Laurie, Bracken, Walker,

Miles, Thea and of course Kade, who sent me the invitation. I want to

just say thanks, and good luck in getting Mr. Trudeau to visit your

class next.

JENNI CAPPS AND SAFE YOUTH COWICHAN

S. Furstenau: Young Jenni Capps joined Safe Youth Cowichan after attending the

first meeting. The idea that young people could design projects and

plans and lead the hands-on work in the community drew her in. This

youth created the code of conduct and rules of operation in being

respectful.

From this, Jenny was elected mayor of the Duncan youth council,

where being invited to enter the building, asked for input. Being able

to meaningfully contribute to the outcomes of the city was something

that she will never forget.

Safe Youth Cowichan members, from age 14 and up, are often

labelled “at risk” and are impacted by poverty, racism and

discrimination and may face multiple barriers to education and

employment. Over half of the group struggle with inadequate housing,

live in foster care and are separated from culture.

Through weekly connection with each other, with community and

supported by members, they are able to find their gifts, recognize their

resiliency and discover their skills as leaders in their communities.

During the past four years, these young people have engaged over 500

local youth to find out what they need to increase their safety in their

schools, neighbourhoods and communities. They’ve shared their findings

with local governments, school officials, students and educators, to

increase understanding and ask for support. They have given their time,

ignited their passions and raised their voices to help change attitudes

and behaviours and influence positive changes.

The $34,533 of funding in 2016 from the civil forfeiture grant

offered by the Ministry of Public Safety and Solicitor General has

helped support these youths in their work towards their goals, which

provides all of us an opportunity to hear directly from the voices of

these young people in our communities.

In 2014, Jenni Capps ran for North Cowichan municipal council.

While she wasn’t successful on that run at age 20, she captured the

hearts of the electorate with her deep knowledge of the issues and her

spirit. I will not be surprised if, one day, we see her in this

chamber.

GARIBALDI SECONDARY SCHOOL STUDENTS

IN ROBOTICS

COMPETITION

B. D’Eith: What combines the excitement of varsity sports with the rigours of

science and technology? Why, robo-sports, of course. The Garibaldi

Secondary robotics club for Maple Ridge will participate in the March 13

to 16 robotics competition produced by FIRST Robotics and sponsored by

GSL Group, at the Save-On-Foods Memorial Centre in Victoria.

[10:20 a.m.]

Students team up with technology companies to build

five-foot-tall, 140-pound robots in six weeks, from scratch. These

robots compete in high intensity games. At stake is access to the world

championships and scholarships. Trevor Fox, Megan Matheson, Jacob

Dusseault, Arden Baumgartener, Sam Trenciansky, Anna Pattie and Shannon

Labbe are all part of the team led by veteran competitor Ali Hakam and

supervising teacher Niko Skartvedt.

Ali actually competed in the World Championships in Houston,

Texas, which is like the Super Bowl of robotics with some 8,000 people.

He hopes to lead his team to victory in this year’s

competition.

The great thing about these games is how they motivate young

people to pursue careers in science, technology, engineering and

mathematics. Innovation is critical to the future success of B.C.’s

economy, and programs like this have been shown to inspire students to

choose STEM studies in post-secondary. That means students in our

schools will become the scientists, engineers, problem-solvers and

leaders of tomorrow. These students will ensure that amazing

breakthroughs that have happened in Canada and changed the world — such

as insulin, Canadarm, IMAX movies and the HAART therapy treatment for

HIV prevention — will continue and thrive.

So hats off to the grade 8 and 9 students of Garibaldi Secondary

School robotics club for stepping up and representing our community and,

hopefully, becoming the innovators in the future of our province and our

country.

T. Shypitka: I beg leave to make an introduction.

Leave granted.

Introductions by Members

T. Shypitka: It gives me great pleasure to introduce a friend of mine who is in the

gallery today. Among other things, she is currently the vice-chair at the

regional district of East Kootenay. She’s a mentor of mine and a true

friend. Did I also mention that she is currently the president of the UBCM?

Will the House please welcome Wendy Booth.

B. Ma: I, too, seek leave of the House to make an introduction.

Leave granted.

B. Ma: Thank you so much.

I am pleased to let the House know that there are two grade 11 social

studies classes from Bodwell High School in the Legislature today. I’m not

sure if they’re behind me. There appear to also be some wonderful people

ahead of me, but I don’t think they’re from Bodwell. Would the House please

join me in making the Bodwell High School students’ grade 11 social studies

classes feel very welcome.

Oral Questions

IMPACT OF EMPLOYER HEALTH TAX

BUSINESSES

A. Wilkinson: KF Aerospace in Kelowna is a major local employer — 750 skilled

employees in the highly competitive business of commercial aircraft

maintenance, repair and overhaul. This is an international-scale

business, because they compete for contracts with other companies in

other countries. They’re now faced with a new tax, the employers health

tax. This will cost them over $1 million annually in an unexpected tax

grab.

Will the Finance Minister tell this House that she understands

that the competitive position of British Columbia companies is being

adversely affected by her new employers health tax?

Hon. C. James: We are the only province left with a medical services premium tax

— an unfair tax, a regressive tax that impacts businesses when it comes

to administering the tax and impacts individuals.

I am very proud to be part of a government that is not doubling

MSP premiums, as the other side did, but in fact eliminating them by

2020. Businesses that have been paying the MSP will save 50 percent in

2018. That’s the year where we’re reducing them by 50 percent. Those are

savings of $1.3 billion to individuals and to businesses. In 2019 we’ll

be bringing in an employers health tax that 5 percent of the businesses

in this province will pay the full amount on.

Mr. Speaker: The Leader of the Official Opposition on a

supplemental.

[10:25 a.m.]

A. Wilkinson: It’s illuminating that our Finance Minister basically ignores the

gist of the question.

In an internationally competitive business line, it’s simply not

possible to absorb $1 million tax grabs. KF Aerospace has written to

say: “That money has to come from somewhere, which means we are forced

to look at increasing our prices and potentially losing contracts or

cutting costs through layoffs.”

To the Finance Minister: what option does she suggest KF Aerospace

accept — to either lose business through increased prices or to accept

layoffs? Which one?

Hon. C. James: I say to the Leader of the Opposition that in 2018 reducing MSP

premiums by 50 percent will make a big difference for employers who have

been paying MSP premiums. They will make those savings. They will see

those savings in the 2018 year. They will be able to utilize those

savings in the 2018 year. They will continue to remain

competitive.

Employers who are paying the MSP premiums will see that shift over

to the employer health tax, and then we will ensure we have the

resources to continue to support our competitive economic environment

and services that people count on in this province.

Mr. Speaker: The Leader of the Official Opposition on a second

supplemental.

A. Wilkinson: Well, the lack of commercial experience on this side of the House

here is abundantly clear today. The employer health tax will be imposed

at the same time as MSP premiums are still being collected. The idea of

paying a double tax is critical to businesses in this province. It

dramatically affects their competitiveness.

To quote again from KF Aerospace, a major employer in this

province: “As a good employer, we pay the employees’ family Medical

Services Plan premiums. I now get double-taxed in 2019. Frankly, that’s

an unbelievable double tax grab.”

As KF Aerospace becomes uncompetitive, will this Finance Minister

reconsider her double tax grab in 2019?

Hon. C. James: I remind the member opposite that in 2018, a 50 percent reduction

in MSP premiums is savings to that business and other businesses across

this province. That’s $1.3 billion of savings that remains with

businesses and remains with individuals in the 2018 year.

When we take a look at competitiveness in this province,

eliminating the PST on electricity in 2019 will help that business and

other businesses across our province. Protecting small businesses,

protecting those with payrolls under $1.5 million, we are investing in

the economy. We are investing in people, and that’s the kind of balance

that people are looking for in British Columbia.

C. Oakes: The Minister of Finance is double-dipping to raise an extra $1.8

billion on the backs of family business, and that is not funny. My

constituent Lloyd Inwood owns Inwood Trucking. He was looking to fill

four or five positions in his company, but sent a letter to our office

yesterday and said: “I’m considering walking away from everything my

family has built over two generations.”

What does the minister have to say to the 30 employees and the

families they represent who will lose their livelihoods?

[10:30 a.m.]

Hon. C. James: I would say to those businesses and other businesses in British

Columbia that eliminating the regressive MSP will save those businesses

when it comes to administration and when it comes to dollars. I will

repeat again that there are savings in the 2018 year for businesses and

individuals of $1.3 billion. And I would say again that 85 percent of

the businesses in British Columbia will not pay the employers health

tax.

Mr. Speaker: Cariboo North on a supplemental.

C. Oakes: It is clear that this government does not understand small and

medium-sized businesses in British Columbia. This is not an isolated

example. Another constituent of mine runs a very important business in

my community. They’ve operated for 85 years and employ 25 people. Many

of these employees are seniors and young people. Now, because of this

double-dipping minister, their jobs are on the line.

Does the Minister of Finance think that this family-owned business

should be laying off staff or increasing price to consumers?

Hon. C. James: I would remind the member across that, in fact, small businesses

are the backbone of our economy. That’s why we decrease…. They create

the majority of jobs in British Columbia, which is exactly why we are

supporting small businesses with a drop in the small business tax rate

from 2.5 percent to 2 percent, second lowest in this country.

In addition to having the second-lowest small business tax rate in

this country, we are supporting small businesses. If you have a payroll

that is below $500,000 in this province, you will pay nothing when it

comes to the employer health tax. If you have a payroll between $500,000

and $1.5 million, you will not pay the full rate in the employer health

tax. We are supporting small businesses, and we’ll continue to do

that.

HOUSING PLAN PRIORITIES

AND HOUSING

PRICES

A. Olsen: I want to acknowledge that this government has taken more

substantive steps than the last government was ever willing to take on

housing affordability, and they should be recognized for

this.

Interjections.

A. Olsen: I’m working both sides of the aisle here. However, I’m hearing a

serious lack of clarity about what the government is trying to achieve

with the housing plan. My colleague from Oak Bay–Gordon Head tried

yesterday to clear this up but didn’t get a straight answer, so I’m

going to ask again.

In the budget, the government spoke of stabilizing demand and

“bringing down the curb of housing costs.” The Finance Minister spoke

yesterday about “moderating the market and slowing the escalation in

housing prices.” To me, these statements suggest that the government’s

goal could be to see house prices continue to rise from where they are

just a little more slowly.

My question is to the Finance Minister. Are you trying to slow the

escalation, trying to reduce housing prices? What is this government

trying to achieve on housing prices?

Hon. C. James: Thank you to the member for the question. I’m very proud of the

fact that after 16 years of ignoring the affordability crisis, our

government is taking on the housing crisis to be able to address it in

this province. We all know that the reality is it’s going to take time.

You’re not going to fix 16 years of neglect by this government

overnight.

British Columbians know that we’re taking a balanced approach.

We’re looking closely at the measures that we’re bringing in. We will

monitor them to be able to make life more affordable. We are looking at

the largest investment in both supply and demand, the largest action

plan that has occurred in this province and across this country to

address affordability for families. We are looking at bringing in fairer

prices, fairer housing prices and more affordability for families in

British Columbia.

Mr. Speaker: Saanich North and the Islands on a supplemental.

[10:35 a.m.]

A. Olsen: I’m still troubled by the lack of clarity we have on what we’re

trying to achieve. This is a fundamental question, and British

Columbians deserve to know whether government is really serious about

fixing the crisis. The longer we were told to wait by this government

for action, the higher our expectations became and, in fact, the more

urgent the need for action.

The average house price in Vancouver is $1.6 million. Simply

slowing the escalation from this point does not help young families and

young people afford to live in our province. Stakeholders and experts

agree that we need to responsibly deflate this bubble and bring down

prices in our hot housing market to ensure that British Columbians can

afford to live here. We are in an emergency, and this government needs

to be clear about its plan for getting us out of this mess.

My question again is to the Minister of Finance. Is this

government simply trying to slow the escalation, or are you actually

trying to reduce prices?

Hon. C. James: I would say to the member: do we want more affordable housing in

every community across this province for families? Yes, we do. Do we

have a comprehensive plan that is going to address supply and demand and

make sure that people can live in the communities that they work and

their children go to school in? Yes, we will.

It is going to take time, and I completely understand the

frustration that families are feeling. I completely understand the

frustration that individuals are feeling. When I’ve talked to seniors in

my own community who are at the risk of homelessness because they can’t

find an affordable place to rent, can’t find an affordable place to

live…. When I talk to parents, they’re not worried about their children

being able to buy a house. They’re worried about their children being

able to find an affordable place to rent that is decent for them and

safe to live in. Those are the kinds of choices that families are

making.

Our 30-point plan is going to make a difference. It’s going to

take time, but we’re acting now. We’re not waiting, and I’m looking

forward to making that difference for people in our province.

IMPACT OF EMPLOYER HEALTH TAX

BUSINESSES

I. Paton: I know that Delta isn’t exactly a priority on the government side

of this House, but I’ve had three constituents contact me about tough

choices for their family businesses that they face in Delta. These are

important employers in my community, and all three businesses have over

$1 million in payroll. One of them has told me that he feels he will

need to lay off young staff as a direct result of the employer health

tax.

Again to the minister: should they lay people off, or should they

increase prices?

Hon. C. James: I encourage the members across the way to make sure that they take

a look at the details in the budget that make it very clear that if you

have a payroll between $500,000 and $1.5 million, as the individual

raised, you will, in fact, only pay a portion of the employer health

tax. You will get rid of the MSP, which will be savings for businesses

that are contributing to the MSP currently, 2018, a $1.3 billion

savings.

Mr. Speaker: Delta South on supplemental.

I. Paton: The minister’s talk of those who don’t pay the tax doesn’t help

Sid Keay of Ocean Trailer in Delta, who’s going to face a $125,000 tax

increase, or the family-owned Delta construction company that pays $3

million to $4 million a year in wages and will be facing a double tax

next year.

The question to the Minister of Finance: will she address the very

real choice facing family businesses who must decide between laying off

staff or increasing prices?

Hon. C. James: I will remind the member across the way that, in 2018, a $1.3

billion savings is there for businesses and individuals, when we reduced

the MSP by 50 percent this January 1.

I would also remind the member that the investments we are making

in child care, apprenticeship and trades training, spaces at

universities and colleges, in housing, are big investments that are

going to make a huge difference for businesses and investors in British

Columbia.

[10:40 a.m.]

T. Stone: For 60 years, Inland Plumbing and Heating has provided plumbing

and HVAC services to the people of Kamloops and the Thompson valleys.

They employ hundreds of people, and these are really good-paying,

family-supporting jobs. Now this family-run business has learned that

the NDP plans to take $185,000 from their bottom line through this new

employer health tax.

Can the minister name the businesses that she consulted and which

ones were supportive of this new employer health tax?

Hon. C. James: I’d ask the member across the way whether he has given an

explanation to that business about the increase they’ll face in ICBC

because of the $1.3 billion hole left in the budget, left to the people

of British Columbia.

There are issues as Finance Minister that come forward that are

unexpected, like wildfires, that you have to find resources in the

budget for. But when it comes to something like a $1.3 billion loss to

our budget — the people’s budget of British Columbia — that was

understood, that was expected and could have been addressed years ago, I

think that’s unconscionable. Unconscionable.

We have taken a balanced approach. We are eliminating a regressive

tax. We are bringing in an employer’s health tax. There will be savings

in the 2018 year, and businesses are aware of that.

Mr. Speaker: Kamloops–South Thompson on a supplemental.

T. Stone: What’s unconscionable is a government that has no idea of the

negative impact, the consequences, of raising taxes on small business.

Perhaps it’s no surprise….

Interjections.

Mr. Speaker: Members. Members, please. We shall hear the question.

T. Stone: Perhaps we shouldn’t be surprised with that reality, considering

there’s almost no one on that side of the House in this NDP government

that’s ever had to meet a payroll.

These are businesses, small and large, which are creating jobs in

communities across British Columbia. Now they have to figure out how to

manage this assault on their businesses by the NDP

government.

To the minister, will she come to Kamloops and look the people of

Inland Plumbing and Heating in the eyes and explain to them why this tax

is good for them? What are they supposed to do — reduce the number of

people they employ, or are they supposed to increase their

prices?

Hon. C. James: If I were that member, I wouldn’t stand up and talk about fiscal

management when you left a $1.3 billion hole. For that member to stand

up and talk about MSP when this was a government that doubled MSP

premiums to people in British Columbia….

I look forward to travelling the province, to talking to

businesses and individuals about the progressive budget we have brought

forward, about the changes we’re making in MSP and about the benefit to

businesses and British Columbians.

[10:45 a.m.]

DISPUTE WITH ALBERTA ON

TRANS MOUNTAIN PIPELINE

AND WINE INDUSTRY

G. Kyllo: Yesterday the Alberta government ran full-page ads in newspapers

across British Columbia at the cost of $62,000. The message is clear.

Alberta is not backing away from the NDP trade war created by the

Environment Minister.

The Premier has not made the call. Will the Minister of Jobs pick

up the phone and call Edmonton?

Hon. B. Ralston: I’m working with my colleague the Minister of Agriculture to deal

with the issue that’s been raised by the action of the Alberta

government in deciding to direct the Gaming and Liquor Commission to ban

the import from British Columbia of B.C. wine products. We’ve commenced

an action under the Canadian Free Trade Agreement. That’s the proper

forum for that agreement. We are confident that, in the consultation

period of 120 days, there will be a resolution.

It’s important to recognize that the previous government, the old

government, signed this agreement and frequently spoke of the importance

of internal trade being unencumbered by actions like that taken by the

Alberta government. What is shameful, what is surprising is that the

opposition, the Leader of the Opposition, is standing up for Alberta and

not for British Columbia wineries, British Columbia jobs and British

Columbia industry.

Mr. Speaker: The member for Shuswap on a supplemental.

G. Kyllo: What is shameful is that side of the House starting a trade war

with our neighbouring province of Alberta. The minister does not seem to

understand the seriousness of this issue.

The Alberta government is not relenting. The Alberta government

has assembled a 19-member task force to devise a range of economic and

trade measures to further punish B.C. workers. Will someone, anyone, on

that side of the House show some leadership and end this trade war with

Alberta?

Hon. B. Ralston: The question for the House is whether the member opposite stands

with British Columbia industry, British Columbia workers and British

Columbia wineries, or does he stand with the province of Alberta. That’s

the question that he should be answering.

We have initiated an action, a trade complaint, under the Canadian

Free Trade Agreement, which is an agreement that the opposition, in

government, signed and supported publicly. Yet they’ve chosen to side

with Alberta and not with British Columbia’s industry, British

Columbia’s jobs and British Columbia’s economy.

That’s the question that people are asking: do the members

opposite stand for B.C. jobs, or do they stand with Alberta?

N. Letnick: B.C.’s Stella winery is a wine supplier for a major hotel located

in the heart of downtown Edmonton. As a result of this NDP trade war,

hundreds of bottles of wine destined for Alberta are now stuck sitting

on pallets.

Will the Jobs Minister be picking up the tab for these bottles?

Because Alberta isn’t.

Hon. B. Ralston: Clearly, the issue here is the decision by the opposition to side

with the government of Alberta in this trade war. That’s the

issue.

We have initiated a complaint….

Interjections.

Mr. Speaker: Members, we shall hear the response.

Hon. B. Ralston: In government, the now opposition signed the Canadian Free Trade

Agreement that came into effect in July 2017. There is a process that we

are engaged in of consultation and dialogue.

[10:50 a.m.]

There is discussion at the senior officials level, and I’m

optimistic that there will be a result. The position of Alberta is

indefensible under the Canadian free trade agreement. I would hope that

the members opposite would stand with the people of British Columbia,

with businesses in British Columbia, with the wineries in Kelowna and

the Okanagan, and not with Alberta.

Mr. Speaker: Kelowna–Lake Country on a supplemental.

N. Letnick: Well, what is clear is this government does not favour trade at

all. They voted against the TPP agreement, they didn’t support NAFTA,

and now they’re starting a trade war with our best partner, the province

of Alberta. In the words of Stella, wineries don’t want to and can’t

afford to wait this out while you take Alberta to court. And you just

said 120 days. They’ll be broke by then. We’re now 16 days into this NDP

trade war, but Stella winery has been hurting since day one.

The Environment Minister started the war. Will the Jobs Minister

close the war?

Hon. B. Ralston: Thank you for the question. The member opposite mentions trade.

Just weeks ago the Premier and other members of the cabinet were in

Asia, referred to by the member for Kamloops–North Thompson as traipsing

around Asia.

They don’t support trade. Notwithstanding the efforts of other

members of the former government to develop trade, that’s how he

referred to an important trade mission to our No. 2, our No. 3 and our

No. 4 best customers in Asia.

We stand strongly for the development of trade, and indeed, that’s

the mandate that I am pursuing at the direction of the Premier. We

support trade; they don’t.

DISPUTE WITH ALBERTA ON

TRANS MOUNTAIN PIPELINE

AND IMPACT ON BUSINESSES

T. Shypitka: We keep hearing from businesses across the province affected by

this government’s trade war. Earlier this week I received a message from

Cranbrook business owner Mike, who owns an air compression company. He

just had an Alberta client’s $15,000 purchase order

cancelled.

The economic fallout from this trade war is spreading throughout

the province. We’re hearing it here today. Will the Jobs Minister show

some leadership, make the call and end the damage this NDP government

has created?

Hon. B. Ralston: What we have done is initiate an action under the Canadian free

trade agreement. That’s the mechanism to begin the discussion with our

colleagues in Alberta. That’s the appropriate way to do it, and we are

engaged in that discussion. What is really surprising and what is really

shameful is that member is not prepared to stand up and stand up for our

wineries in British Columbia, for jobs in British Columbia and for the

B.C. economy. They prefer to give console to Alberta. We stand strongly

in support of B.C. businesses, B.C. jobs and the B.C.

economy.

[End of question period.]

Hon. M. Farnworth: I seek leave to move a motion regarding a change in the membership

of the Select Standing Committee on Health.

Leave granted.

Motions Without Notice

MEMBERSHIP CHANGE

FOR HEALTH

COMMITTEE

Hon. M. Farnworth: By leave, I move:

[That Donna Barnett, MLA replace Tracy Redies, MLA as a Member of

the Select Standing Committee on Health.]

Motion approved.

Orders of the Day

Hon. M. Farnworth: I call continued debate on the budget.

[10:55 a.m.]

Budget Debate

(continued)

R. Kahlon: I am proud to resume my spot here in the House to speak in favour of

this budget.

[R. Chouhan in the chair.]

As I was talking about yesterday, this is a critical step to make a

better B.C., a commitment that we had made to the voters of this province, a

commitment to make life more affordable, a commitment to improve the

services that people depend on and to build a stronger, sustainable economy

that supports jobs throughout this province.

I spoke yesterday about the economic impacts, the importance of child

care — the largest investment in B.C.’s history in child care that we’ve

made. I’m proud of that investment. I’m proud of the minister responsible

for child care. This is going to change lives for many people throughout

this province.

I was talking about housing. I just wanted to touch on a point on

housing. The member from Kamloops is leaving. But he and the member of

Penticton talked about housing. They said: “Well, how do you define a $3

million home? A $3 million home doesn’t necessarily mean a person is rich.”

I was just shocked by that comment. I was shocked by the tweets from the

member for Penticton, who was talking about how all these people with $3

million homes are going to be affected and that they’re not actually

millionaires.

To be honest, I’m shocked at the disgust that they face when they’re

thinking about the $3 million homes. I wish that they had had that same

feeling when they doubled MSP premiums for people throughout this province.

Where was that concern when they doubled MSP? Where was that concern when

they took back bus passes for people with disabilities?

Interjection.

R. Kahlon: Yeah, where was that concern? Were you concerned about those people at

that time? I didn’t hear a peep from anyone in the opposition.

Now people with $3 million homes are having to pay their fair share,

and now, oh my gosh, we have a problem. It’s clear who they’re working for.

They’ve forgotten that this is about the province of B.C. It’s about the

people in B.C., and people have been struggling. All I hear from the

opposition is: “Well, we learned a lesson. We have to be thinking about

people. We should have been doing all these things and providing

services.”

Well, you know what? Clearly they haven’t learned. You listen to

question period. They have not learned their lesson. And you know what? I

hope they spend 16 years at least in opposition until they learn this

lesson.

I think that I want to continue on housing for a little while. Again,

I’m delighted to see the investment in social housing. I’m delighted to see

the 34,000 units, direct-billed, plus working with the private sector to

build additional social housing units for mixed-income social housing, new

beds for students.

It just makes sense to allow universities and colleges who need space

to be able to borrow money to build space. I mean, it just makes sense. I

know that Premier Gordon Campbell had committed to allow that to happen, but

it never actually happened. It was a commitment that never actually ended up

coming through. I’m delighted that the Minister of Finance has put this

piece in place.

I was just chatting with the Kwantlen student union representatives

who are here. Maybe they’re watching right now. They were talking about how

finally Kwantlen can build affordable rental units on campus for students so

students don’t have to travel for an hour, an hour and a half to go to

school and then drive back — and pay high amounts of rent. Now they can

actually stay on campus.

Also, it allows the universities and colleges to build a culture on

campus. How important building that culture on campus is. I think it’s a

very exciting step.

We talk about affordability. Affordability is clearly a challenge, so

I’m delighted to see the additional investments in our rental assistance

program to assist those who have financial difficulties in paying rent. I’m

very excited at the additional investments in the Shelter Aid For Elderly

Renters, known as SAFER. It’s going to increase benefits.

[11:00 a.m.]

A working family will see the average payment increase by

approximately $800 per year. That is going to make a real difference in many

people’s lives. And 35,000 households will see money coming to them to make

their rent more affordable. That is a critical step.

I heard from seniors in my riding, and this, directly, will affect

them. The numbers are clear. Homelessness is the fastest-rising among

seniors. This is a major concern for our government. In fact, I think it’s a

major concern for everybody in this House. Seeing the support for those

people, aligning with the federal government’s vision and their support, I

think, is a critical step.

We just heard some conversation about the MSP premiums. The previous

government doubled MSP premiums, and within two years of our government, MSP

premiums will be gone. That is going to make a huge, huge difference for

many people in my community. I think about that senior couple — I was

knocking on doors — who invited me into their home. Never voted NDP in their

lives, they said. They were talking about how they had both retired and, now

that they had fixed incomes, how MSP was hitting them hard, and they weren’t

expecting it. I think of them when I see this in the budget.

We phased out PST on electricity to help businesses, and we lowered

the small business tax from 2.5 percent to 2 percent. There’s so much to

talk about. I’m going to try to get through as much of this as I

can.

So 3,700 new teachers — it doesn’t solve the entire problem, but it

certainly takes a big step in the right direction — and $2 billion dedicated

to maintain, replace, renovate and expand schools. We hear from all members

in this chamber about their communities. You know, they want schools. They

want to seismically upgrade their schools. They want to do so many things.

There’s dedicated money now available.

We hear, from members on the opposition, questions about it: “I hope

that my schools in my community get renovation money and seismic upgrading.”

I know, certainly, the member for Richmond-Queensborough would like to see

investments made in his community for schools as well. Now there’s $2

billion here to prioritize this. I think it’s a very important step, and I

know the Minister of Education is working through this list as fast as

possible.

So $15 million, additional dollars, for the Arts Council — a very

important step. Now writers are included in the supports for the Arts

Council. Again, I think it’s a critical step. And $3 million, additional

dollars, for Creative B.C. I think everyone, most people in this House,

would agree that supporting our film industry is a critical thing — film,

music. I know the member from Maple Ridge is always talking about the

creative industries, how we need to support the work that they do and how

important they are to our economy. I think this $3 million to Creative B.C.

will go a long way.

B.C. Ferries. Yes, I know, B.C. Ferries. The Minister of

Transportation has been a long-time advocate in speaking about folks on the

island and other places who depend on our ferries. So seeing that we’re

freezing all major ferry routes is a very important step. I represent Delta

North, proudly, but I was born and raised on the Island. I understand how

important the ferry system is to people that live here.

You know, when we announced the budget, I went home that evening. Some

of my colleagues joined me to have dinner. My mom cooked some dinner for

everyone, and we had a conversation. When I told my mom that on the ferries,

now, the discount rates for seniors were coming back Monday to Thursday, she

didn’t want to know anything else about the budget. That was the only thing

that she cared about in the budget. Yeah, and it was done. She walked, one

by one, to give everybody a hug, because that is a very, very important

thing. She was never happier to have her 65th birthday than this.

[11:05 a.m.]

What that means for my mom is the ability, now, to come to Vancouver

to see my son, her only grandson — to spend time there. That’s just my

example. There are so many other seniors that will see the benefits of this.

My grandmother lives in Vancouver and is also very delighted. I know she’s

not actually watching this right now, but I know she’s delighted about this,

and so are so many other people.

I want to touch on some of the pieces in here around First Nations.

Something that I’m very delighted about is that there’s $50 million for

revitalization of languages. During the Human Rights Commission engagement,

I met with many First Nations–Indigenous leaders across the province. This

came up time and time again: the importance of language, the importance of

protecting culture. For example, on human rights law, a lot of the laws were

passed down through stories and through language. This $50 million

investment is a critical step in that direction.

The other piece that I’m so proud of is the world’s first Indigenous

and non-Indigenous law program. I don’t know if anyone else will get a

chance to talk about this — I hope everyone gets a chance to talk about this

— but at UVic, we’ll have the world’s first Indigenous and non-Indigenous

law program. They do such good work there, and I’m delighted about

it.

I know the green light is on. My time is coming.

Interjection.

R. Kahlon: I wish I could speak more. The Minister of Health wants to hear more.

I could talk about the good work of the Minister of Health for the entire 30

minutes, if this House would allow, but I don’t have that.

I will say that I will be supporting this budget. I am very proud of

this budget. I look forward to hearing from my colleagues about why this

budget matters to them. I also look forward to hearing from the opposition

members. I hope that a few of them will support some of the measures in

this. I know that if we really wanted their support, we would have given

millionaires a 2 percent tax cut. Millionaires would have had that 2 percent

back, and maybe we would have gotten their votes. But we’re not having that

in here, and I’m sad to say that I don’t think they’re going to support this

budget.

With that, I will let the next person speak. Thank you, everyone, for

your time.

J. Johal: I rise in the House today to share my thoughts on the government’s

budget. Before I do, I do want to take a moment to thank my wonderful

constituents in Richmond-Queensborough, who have given me the honour to

represent such a vibrant constituency. I also want to thank my constituency

assistants, Samantha Schaap and Regina Tsui, who have done an amazing job

setting up our new office in our new riding. I thank them for their hard

work and commitment to the people of Richmond-Queensborough as

well.

Now, this budget certainly lays out its spending priorities for the

people of British Columbia — and spend it does. I’m sad to say that while

there are a number of laudable measures that benefit families and

individuals, there are also plenty of false promises and tax hikes — $5.5

billion in tax hikes in this budget alone, in fact.

Since the NDP have been in office, they will plan to increase taxes by

$8 billion — back to the ’90s for sure. Well, the present sure looks an

awful lot like the past. The notion of $5.5 billion in tax hikes doesn’t

seem to jibe with the theme of affordability that the NDP has been running

with. Small businesses and the workers they employ are going to get hit hard

by this. Why? It’s because the B.C. NDP promised to eliminate the MSP but

never spoke about replacing it with a payroll tax. They left that part

out.

Iain Black, president of the Greater Vancouver Board of Trade, noted

to Province columnist Mike Smyth: “This is a hammer that came down

that we didn’t see coming.” Here’s some further commentary from his

organization in its provincial budget report card. “The government will be

reducing the tax burden on individuals by transferring the majority of the

$2.6 billion burden onto business. Because many larger corporations already

pay this on behalf of their employees as a benefit, the incremental impact

of this payroll tax will overwhelmingly affect small to mid-size businesses

the most.”

What’s really interesting is that the new payroll tax kicks in a year

before the MSP is phased out. These businesses will be hit with a double

whammy, but it sure will create a nice tax windfall for the

government.

[11:10 a.m.]

The Vancouver Board of Trade has more to say. “We also note with

concern that the new small business payroll tax comes on top of a previously

announced minimum wage increase of 34 percent over four years, an increase

in the general corporate tax rate of 9.1 percent, a 14 percent increase to

the personal income tax rate of most skilled professionals and a previously

scheduled increase in the B.C. carbon tax of 16 percent, moving up a further

$5 to $35 per tonne of GHGs emitted.”

On that subject of the NDP increasing the carbon tax, we also want to

highlight that they’ve removed its revenue neutrality. That move hits the

middle class, those who are struggling with affordability and don’t need

more money taken out of their pockets.

At the same time that the NDP attack the business sector and the very

people that create jobs in this province, we also see that this government’s

budget pays very little attention to revenue generation. That’s a huge

concern considering this budget has spending growing at twice the rate of

government revenue growth. They flat out ignored a number of important

sectors in this speech, including oil and gas, energy, forestry, mining and

aquaculture. It’s pretty astounding.

Here’s another thing I’ll note. This government is actually projecting

resource revenues to decrease over the next three years. That’s quite

surprising given that the province has had strong growth in these sectors

over the years. But we don’t find much in this budget to support those

important major resource industries.

Here’s another interesting point. The Ministry of Jobs, Tourism and

Technology, for which I proudly serve as critic, has seen a decline in its

budget. The total ministry budget has declined from $120 million to $105

million, a decline of $15 million. Economic development allocation has

declined from $16 million to $6 million, a decline of $10 million there. The

funding of the B.C. Innovation Council has declined from $21.6 million to $8

million, a decline of $13.6 million. Clearly, this government’s priorities

lie elsewhere.

When you consider all these things that I’ve outlined, in their

totality it’s clear that the negative impact of this budget will be

far-reaching, from coffee shops to car dealerships.

We must also remind ourselves that these NDP tax increases will be

implemented just as the United States introduces a package of tax reforms

and reductions that amount to the largest tax overhaul in four decades. The

federal corporate income tax rate will drop from 35 percent to 21 percent.

Business will also be allowed to immediately expense 100 percent of new

capital spending on machinery, equipment and digital property. There are

also modest reductions in personal income taxes.

Here’s what the Business Council of B.C. had to say about the impact.

It’s a long quote, but I think it’s a very important one for us to have on

the record.

“The new U.S. tax provisions applying to business instantly erase any

tax advantages from investing in Canada across a swath of industry sectors.

For 15 years, Canada has had significantly lower corporate income tax rates

than the United States. In many industries, effective business tax rates —

which account for the impact of depreciation, tax credits and other

provisions in the tax code — have also been lower here. These advantages

have disappeared.

“In addition, the new U.S. rules permitting immediate expensing of

business investment mean many companies will soon find that it makes

economic sense to deploy incremental capital to the U.S. rather than

Canada.

“Overall, it’s clear that any tax-related reasons for businesses to

invest in Canada versus the United States have suddenly become much weaker.

A lower individual tax burden on entrepreneurs and highly skilled personnel

under the U.S. tax plan may also influence the future locational decisions

of companies, managers and top professional talent.

“Canada faces a changed competitive environment occasioned by the

implementation of far-reaching American tax reforms. While there is no need

to panic, policy-makers in Ottawa and Victoria cannot afford to stand still.

Put simply, the United States is engaged in an aggressive, multifaceted

effort to repatriate corporate investment, head offices, intellectual

property, employment and business generally.”

How does the NDP government respond? By raising taxes — $5.5 billion

in new taxes. The implications are significant, particularly when we’re

going to be competing for businesses from Washington state, Oregon and,

especially, California and Texas.

B.C.’s economy is going to slow down, and that doesn’t help anybody.

It doesn’t help affordability. In fact, it probably makes things

worse.

[11:15 a.m.]

Now let’s turn to the NDP’s false promises. Yes, this budget makes

investments in child care for B.C. families, but the NDP had promised

something very specific to British Columbians. They committed to something

called $10-a-day child care. But it’s not referred to in the budget, and I

suspect we’ll never see it come to fruition like they promised.

What about affordable housing? The NDP vowed to build 114,000 new

units, but there’s no evidence they will actually reach that goal. Actually,

it’ll come short by 80,000, and it will not help families buy a new

home.

The budget mentions assistance for renters, but those initiatives

already exist, and that $400 renters rebate that so many people were looking

forward to is nowhere to be found. Same with the elimination of student loan

interest. It’s MIA, along with any plan to grow the economy, create jobs or

bring in revenue to pay for all the NDP spending plans.

The only strategy they’ve got is that massive tax hike. Give with one

hand and take away with another.

I’d like to move on to some local issues impacting my constituency of

Richmond-Queensborough. As we approached budget day, I was hopeful that the

NDP budget would contain some of the major projects and initiatives that

mean a lot to my constituents and people throughout Richmond. Sadly, that’s

not the case.

Richmond Hospital has been at the top of their minds. For weeks,

people have been wondering whether the budget will address some of the key

challenges faced by this aging structure. For more than 50 years, Richmond

Hospital has served the community well. The medical professionals that work

there do a tremendous job with what they’ve got. But they need a new acute

care tower that’s seismically safe. They need updated equipment and

state-of-the-art tools to work with. Patients need more modern, comfortable

settings to aid in their recovery.

Now, the NDP did promise a new tower was coming. They put out a news

release in March 2017, promising to build it “on the fastest possible

timeline.” I believe those were the words of the now Premier, in fact. We’ll

see no mention of it in the budget. The budget does contain some vague

mention of upgrades to hospitals but definitely no firm commitment for the

new acute care tower that our community has been rallying so hard

for.

There’s been a petition launched by three Richmond councillors that

has gathered nearly 2,000 signatures as of last week, and it’s still going

strong. The Richmond Chamber of Commerce also rallied the local business

community behind the cause, and 47 Richmond businesses employing about 8,000

people put their names to that campaign — because top-quality health care is

key to attracting workers to a city and keeping them there. But the budget

did not deliver for them.

Now wait and see what happens to the nearly $27 million in donations

that have been pledged towards the new tower — $27 million. That says a lot

about people in Richmond. Half of that is contingent on a commitment of

funding by the province and a 2020 construction start date, so we may even

lose that money that we’ve raised.

Moving on, another of the chief concerns of my constituents is

transportation. A lot of that has to do with the fact that my riding of

Richmond-Queensborough has more bridges and tunnels than anywhere else in

B.C. We’ve got the Queensborough Bridge, of course, and Knight Street, Oak

and Alex Fraser bridges, as well as the George Massey Tunnel.

For too long, commuters in Richmond-Queensborough have been waiting

for a solution to the troubles that plague the Massey Tunnel. We know this

aging structure is seismically unsafe. We know that 80,000 commuters a day

travel through it, often getting stuck in traffic gridlock.

My constituents tell me about the missed appointments and time spent

away from their families as they sit and wait and wait. Just yesterday a

delegation from the Richmond Chamber of Commerce was visiting this House.

One of their members, who owns a local pub, told me he’s looking for a new

head cook because his employee of 12 years would be leaving soon. The

employee was tired of being stuck in tunnel traffic. He was commuting every

day from Surrey.

This is a common occurrence in Richmond, and it’s getting worse. We

have a London Drugs distribution centre. It’s difficult for them around rush

hour to get out of Richmond, around the tunnel at No. 5 Road and

Steveston.

We also know that emergency responders have expressed concerns about

how the congestion can get in the way of doing their job transporting

patients from the scene of a vehicle crash to the hospital. And we know

they’re extremely worried about how to respond to crashes inside the tunnel,

where potential fire, smoke and fumes can be consuming.

The George Massey Tunnel is a problem. We all know that. Our former

government worked hard to come up with a solution. After years of study and

consultation, after some 14,000 pages of information were produced —

including 145 technical reports, three rounds of public engagement, 35

meetings between Metro Vancouver and TransLink, 110 meetings with Richmond

and Delta — after all that information was digested and thoroughly

considered, it was decided that a new bridge was the way to go.

[11:20 a.m.]

It was the better option from a cost perspective as well as an

environmental one. But today sand and equipment sit idle by the side of the

highway, and there’s not a worker in sight — all because the NDP government

cancelled the project. The Minister of Transportation thinks we need even

more study on a project that’s been studied to death.

Last week we heard that the government will move forward with a new

Pattullo Bridge. I’m not against the bridge being built. I’m not going to

argue against the project, because we do need a new Pattullo Bridge,

although I should note that the new bridge is only going to give an

increased capacity of 10 percent. But the NDP has said that the span has

only five years of life left on it. In five years, it will be unsafe to

travel.

The George Massey Tunnel is unsafe now. Why isn’t the safety of

commuters in my constituency and in neighbouring communities a priority for

this government? To me, this move seems to solidify my suspicion that the

NDP had never intended to do anything to resolve the problem with the George

Massey Tunnel. That’s not going to go over very well with my constituents in

Richmond-Queensborough, of course in South Delta, as well, and many other

communities in the Lower Mainland.

This budget did nothing to address those very real concerns about

congestion and safety on this important stretch of road. It’s important not

only for local commuters but for commercial motorists, as well, and the

emergency responders I mentioned earlier.

The Surrey Board of Trade told the Vancouver Sun it was

“concerned by the lack of budget numbers for the Massey Tunnel.” Board CEO

Anita Huberman told the Vancouver Sun : “We recognize for goods and

movement throughout the Lower Mainland, the Massey Tunnel has to be replaced

as well.”

I should also mention that Lower Mainland commuters are likely

disappointed to learn the budget also doesn’t include the widening of

Highway 1 in the Fraser Valley, Surrey rapid transit or the Broadway line in

Vancouver. None of these issues are addressed in this budget.

What we’ve been focusing on the last ten days or so has been a wine

war instead. We’ve been dragged into a wine war with Alberta. It was

triggered by the Premier and his activist Environment Minister over the

Trans Mountain pipeline, which has already been handed federal approval. Now

Alberta has banned B.C. wine, and our provincial agriculture sector is

suffering as a result. They feel they’re being used as political pawns in

this needless spat, and they’re right.

This chaotic trade war with Alberta is also doing nothing for B.C.’s

reputation as a good, stable place to do business. In fact, a lot of the

moves made by this NDP government are chipping away at that reputation.

They’re cancelling huge projects, like the Massey Tunnel, that would create

jobs and move people and goods faster, as I already outlined.

They put a huge amount of uncertainty and unnecessary delay around the

Site C project before they eventually moved forward with the project, as

they should have from the start.

Some workers are benefiting from this budget. We saw the Premier’s

office budget went up by $2 million — it rose from $9 million to $11 million

— and staff budgets for minister’s offices have increased nearly 14 percent

since the B.C. Liberals tabled the budget last year. That’s $2.1 million.

That’s interesting to note.

I’d like to wrap up my remarks with some thoughts about trust as well.

We as politicians often face comments from people who have become cynical

about the political process. Now more than ever, they want to hold

governments to account for their promises. Here we have a situation where

the NDP made several specific commitments to British Columbians before the

last election. These folks took the NDP at their word.

They were promised $10-a-day child care and didn’t get it. They were

told to expect 114,000 housing units, and it’s extremely doubtful they’re

going to get them. They got excited about a $400 renters rebate, but it

seems to have evaporated into thin air. Students looked forward to the

elimination of student loan interest, but that’s not happening either. The

small business sector was promised support and success, and they got

surprised with an absolutely massive tax hike.

What are voters in the business community to think? When you make a

promise, you have to mean it. You can’t just say one thing and do another.

People want certainty, not confusion. Not making good on your promises

erodes your credibility, and it’s clear that some of the decisions being

made by this government, outlined in this budget, will also erode B.C.’s

competitiveness and hurt our economy.

We need to be doing the opposite. We need a plan that will actually

attract investment and grow the economy. We need more support for our job

creators, not less. The budget is one of the most important documents a

government will use to outline its priorities. It should contain measures to

bring in more revenue to meet the expectations of British Columbians who are

left wondering what on earth happened to the many NDP promises they took to

heart before the last election.

[11:25 a.m.]

Hon. K. Conroy: Before I begin, I’d like to acknowledge the territories of the

Lekwungen-speaking people, the Songhees and Esquimalt First Nations, on

whose land we do our work.

I’m also very pleased to respond in support of Budget 2018, which can

truly be described as the people’s budget. As we can see from the details

outlined by the Finance Minister, Budget 2018 is about investing in people

to make life better for B.C. families, to increase opportunities and to pave

the way for success for all.

Before I speak more about the budget, I want to take this opportunity

to thank the constituents of Kootenay West for giving me the honour of being

their MLA. It is truly an honour to not only represent such an incredibly

beautiful area geographically but also one with such amazing people. I don’t

get home as much as I used to, but when I do, it’s always such a pleasure to

connect with you all. I will continue to work hard to make sure I represent

your issues in the Legislature.

I also want to take a minute to thank the incredible people who work

in my office in Castlegar, my constituency assistants Elaine Whitehead and

Angelika Brunner. You provide excellent service to

our constituents, and I’m incredibly grateful for the work you

do.

I also want to acknowledge the hard-working people who support me in

my ministry office — Paula Gunn, Serena Talbot, Edena Brown, Emily White and

Kaitlin Morton. These past seven months have made me realize how

multitalented you all are. Thank you to all of you amazing women who work

with me here in Victoria and in Castlegar.

I also want to thank our family, who have always been so supportive of

me in the work that I do — our kids, grandkids, brothers and sisters, our

in-laws and nieces and nephews. We all know how everyone who works here

works many long hours, often away from home. I think of our family, who not

only supported my husband, Ed, in this role for ten years but have continued

to support me since 2005.

I also want to make a special recognition to one of my biggest

supporters, my dad. Dad will be 90 this year, still lives in the house we

grew up in, curls, golfs, is incredibly active and is a great role model for

our entire family. His team won the seniors bonspiel last weekend, and I

know he just got home from the rink to watch me speak. Love you,

Dad.

I feel I’m an incredibly fortunate person. Not only am I the minister

of a very dynamic ministry with incredible opportunities for the future,

Children and Family Development; I’m excited to also be the minister

responsible for, as we like to say, all things Columbia — the Columbia River

treaty, the Columbia Basin Trust and the Columbia Power

Corporation.

As someone raised in the Kootenays, who raised our kids there and now

gets to watch our grandkids growing up there, I know what a remarkable area

we live in. I also understand the effects of the original creation of the

Columbia River treaty and the construction of the dams on our river in the

’60s. To have them watch the creation of the trust and the CPC, to see that

grow to become what they are today and to now be the minister responsible

is, as I said, extremely exciting.

It is good to see the cooperation and collaboration between the trust

and our government on a number of projects. The opportunities created have

benefited and will benefit all citizens in the basin and will continue to

benefit generations to come.

What we all know, though, with the treaty is that this time, as we

enter into discussions with our U.S. neighbours, things will be different.

This time our discussions won’t just focus on power generation and flood

control but will include discussions about the ecosystem of the basin, the

effects on tourism, trade, the environment, our economy, the people. We all

agree that we don’t want to cancel the treaty, but we also agree that there

need to be some changes.

I also want to thank the people who work on the treaty here in

Victoria, as well as the many people who work for the trust and the CPC.

Your commitment to the basin is greatly appreciated.

I’d like to start by sharing a story about a couple of children in

rural B.C. Staff at their school called the Ministry of Children and

Families because they thought the children were being neglected. When the

social worker arrived at their house, she realized the family’s water system

had broken down and they couldn’t afford to replace it. Clearly, the family

was struggling.

The social worker was able to see that at the root of this family’s

trouble was not neglect but poverty. Rather than separate the children from

their parents, the social worker committed to helping the family. The

ministry paid for a new water system, and the family got the help that they

needed to get back on their feet.

This is an approach that puts people at the heart of decision-making,

right at the ground level. It’s an approach that our government embraces and

that I as minister want to accelerate and broaden in the work we do every

day with children and families.

[11:30 a.m.]

As you heard in the details laid out by the Finance Minister, our

government is making significant investments in people and in making life

more affordable. The largest investment in affordable housing, the largest

investment in child care, the first cross-government poverty reduction

strategy. These are the kinds of investments that show how this government

is putting people first.

This is a government that believes all British Columbians should share

in our province’s prosperity, in progress, where everyone is doing better,

not just a few.

Our government’s intentions and actions were made very clear just a

few months into our term. Starting January 1, 2018, we cut MSP premiums by

half and put money back into the pockets of families. By January 1, 2020,

all MSP premiums will be eliminated. That means families will save $1,800

per year and individuals will save $900 per year.

learning, giving people opportunity and removing the roadblocks to the

education and skills people need to improve their lives. We reduced student

loans by 2.5 percent and reduced the burden students would face soon after

graduating as they build their lives and join the workforce.

One of the actions that I’m particularly proud of involves youth

leaving government care. Only a few months after forming government, we

announced free tuition at all 25 of B.C.’s public post-secondary

institutions for young people leaving foster care. We know this was the

right thing to do, and the proof is in the numbers.

Between September last year and January this year, 229 former youth in

government care signed up at B.C. colleges and universities, compared to 189

in the entire school year last year. That is a 20 percent jump in four

months. These youth now have opportunities they did not have before. Some of

these youths will go on to become the leaders of tomorrow.

I’ve met a number of former youth in care and have been so impressed

by their passion, leadership and commitment to making things better for

children in care now. This is proof that investing in people is not only

sound public policy, but it is good for the economy. However, for youth who

have been in government care, getting into post-secondary is only one of the

challenges they face. Over the past few months, we have heard from former

youth in care about what other supports they need to be successful,

contributing members of our province.

At 19, most young people are supported and guided by their parents and

families and not left to fend for themselves. As parents to youth in care,

our government feels the same responsibility to make sure these young adults

have every opportunity to successfully transition to adulthood and

independence. We take this responsibility seriously.

Our Budget 2018 investments to expand and enhance the agreements with

young adults program exemplify that commitment. The program gives youth the

financial support and services they need to finish secondary school, learn

job and life skills, get a trade, attend college or university or complete a

rehabilitative program.

Over the next three years, the Ministry of Children and Family

Development will invest $30 million to enhance and expand the agreements

with young adults program. This will allow us to meet growing demand as more

young people become eligible to participate in the program.

This year the ministry will invest $7.7 million to raise the

eligibility to their 27th birthday, to align with the provincial tuition

waiver program, and also to increase the maximum monthly support rate from

$1,000 to $1,250 and to make supports available for the full calendar year

for students enrolled in a multi-year educational or vocational program. All

these changes will take effect on April 1, 2018 — in just a few

months.

At the same time, we’ve hired more youth workers. We’ve improved

practice, and we need to continue making improvements so that young people

know about and can access the supports they need to thrive. While this is

good news for youth, we know we can do more. We will continue to do all we

can to set the children and youth in government care on a path to

success.

As I travel through the province and speak to people, I am struck by

just how many are struggling daily to pay the bills. Many people I speak to

are understandably frustrated from years of being neglected and unheard.

Parents in particular have been facing so many challenges, be it finding a

decent home to raise their children in or finding quality child care so they

can get to work. They have been feeling the pain of sustained cuts in the

social programs that are meant to support hard-working British

Columbians.

A government’s job is not to ignore the people it was elected to

serve. It is the job of the government to listen to the people, understand

their needs and make changes that let people know they have been

heard.

[11:35 a.m.]

As a former early childhood educator and now as the Minister of

Children and Family Development, I have heard from people across the

province about the daily difficulties they face getting affordable, reliable

services they can count on. Parents often have to make the tough choice not

to work because they can’t afford child care. When the cost of child care is

almost the same as your monthly rent — or even more, if you have more than

one child in child care — you know there’s a problem. We’ve heard loud and

clear from B.C. parents that there’s an urgent need for more licensed care

throughout the province.

We have heard from businesses and employers, including the Vancouver

Board of Trade and the Surrey Board of Trade, that the lack of affordable

child care in our province has been making it difficult to recruit and keep

skilled workers. That is why I’m especially proud of our government’s action

to deliver a comprehensive child care program for B.C. families.

Our government is embarking on an exciting made-in-B.C. child care

plan that will reduce child care fees for thousands of families, increase

the number of licensed child care spaces, train the early childhood

educators B.C. needs to provide affordable quality child care for every

family that needs it, help thousands of children and families get a better

start and grow our economy to benefit all British Columbians.

Earlier my colleague the Minister of State for Child Care provided

details of our $1 billion investment over the next three years to provide

accessible, affordable and high-quality child care in B.C. This will give

immediate relief for parents with children under five. By investing $630

million, we will make child care more affordable for up to 86,000

families.

And $237 million will go towards creating more than 22,000 new

licensed child care spaces right across the province. We’ll commit $136

million to deliver supports for new and existing early childhood educators

to ensure that child cares are not only safe places for children to spend

the day but benefit from the early learning to make the most of this

important time.

Our government’s investment in child care is also getting a boost from

the federal government. To address immediate service gaps, we have allocated

$10 million per year of our early learning and child care agreement with the

federal government to invest funds into supported child care and Aboriginal

supported child care development to address wait-lists. We also will enhance

Aboriginal Head Start programs on and off reserve.

We acknowledge that this will not meet all of the early learning and

child care needs of Indigenous children. We know that further investments

will be needed, guided by our partnership with Indigenous leadership. Making

life more affordable for British Columbians is a key commitment for our

government. Improving the child care system is a major step in making our

commitment to B.C. families a reality.

There are a number of changes that make me feel confident our

government is on the right path to making life affordable and improving

services people can count on. By increasing income and disability assistance

rates, our government is making life better for some of the most vulnerable

among us. By taking action to end speculation and tax fraud in B.C.’s real

estate market, our government is giving relief to many families struggling

to find safe and affordable housing. In fact, by making the largest

investment in housing in B.C. history, our government is giving housing

security to people, including students, seniors, Indigenous peoples and

middle-income families. By taking steps to increase minimum wage to $15 an

hour by 2021, our government is helping B.C.’s lowest-paid workers get

ahead.

These are just a few examples of how our government is investing in

people to make a real difference. Our government believes that people are

the foundation of a healthy, robust and sustainable economy. A strong

economy is one where everyone is doing better. Our government will make sure

every region benefits from the jobs and opportunity our province creates. In

fact, it’s great to be at the helm of a ministry where we can see the

positive results of this new approach.

There may not be any area of public policy where a new approach is

more desperately needed than in Indigenous child welfare. Our government is

committed to moving beyond talk and into action when it comes to

reconciliation with the Indigenous peoples on whose lands we are privileged

and honoured to work, live and play. The throne speech recommitted that our

government will work in partnership with First Nations, Métis and Indigenous

people to achieve meaningful reconciliation. This is a cross-government

priority.

Our government committed to implement the UN declaration on the rights

of Indigenous peoples and the call to action of the Truth and Reconciliation

Commission and the Tsilhqot’in decision. Moving beyond words, our

ministerial mandate letters direct us to review our policies, programs and

legislation to bring the principles of the declaration into

action.

[11:40 a.m.]

Budget 2018 invests in housing, child care and skills training, with

more than $200 million dedicated to Indigenous priorities over the fiscal

plan. That includes funding to expand culturally based Indigenous child

care. It includes 1,750 new units of supported housing for Indigenous people

developed in partnership with Indigenous housing societies and First

Nations. It includes additional funding for Aboriginal friendship centres

that do incredible outreach work and serve all Indigenous peoples, whether

they are status, non-status, Métis or Inuit.

Both the calls to action and the UN declaration on the rights of

Indigenous peoples emphasize the need to preserve and revitalize Indigenous

languages. That’s why our government is immediately committing $50 million

to support the preservation and revitalization of Indigenous languages in

B.C.

For my ministry, the importance of reconciliation means reducing the

disproportionate number of Indigenous children in government care and

working collaboratively and respectfully with Indigenous communities to make

a difference for families. We all know the system has failed Indigenous

people, and we all know it needs to change. This change needs to happen at a

systemic level within my ministry, across different levels of governments,

with our partners who deliver services to families and within

communities.

This is another area where our government is changing its approach to

focus on prevention. We are actively implementing the recommendations from

Grand Chief Ed John’s report. We are shifting the focus to keeping

Indigenous children at home, in communities and out of care wherever

possible.

Many Indigenous communities are served by delegated Aboriginal

agencies. We have increased funding to those agencies. This will allow them

to hire experienced and qualified staff, carry smaller caseloads and provide

culturally appropriate services to the children and families they

serve.

In September, we launched a new $6.4 million program to support 203

First Nations communities and seven Métis-serving agencies to keep

Indigenous families together. So far, nearly 160 have successfully applied

for the $30,000 grant for programs that keep the family unit strong. In

November, we took a big step forward on reconciliation with a new delegated

Métis agency, the Lii Michif Otipemisiwak Family and Community Services. Lii

Michif now has our government support to take over full responsibility for

50 Métis children currently in government care in the Kamloops

area.

Our government believes that Indigenous people know best what their

communities need, so they should be the ones helping us plan any strategy on

reducing the number of Indigenous children in care and connecting them with

permanent homes. Our government is doing just that. For example, this spring

we are reaching out to Indigenous communities to better understand and

support custom adoption practices.

Custom adoption is a cultural practice that Indigenous people have

been practising for centuries. Children who cannot be with their birth

parents are raised by extended family or a member of the child’s Indigenous

community according to their traditions and values. It truly embodies the

spirit of a village raising a child. With custom adoption, we look forward

to being able to better support communities. Families and children find

permanent homes connecting to their families and their culture.

We recognize that for meaningful change to happen, government

policies, programs and services across the board must change to better

reflect Indigenous beliefs and practices. A fundamental shift like this will

take time and require ongoing, intentional effort on our part.

The Aboriginal policy and practice framework helps our ministry make

sure our policies and programs are culturally safe and trauma-informed, and

support and honour Indigenous peoples’ cultural systems of sharing and

caring for their children and families. We are hiring more Indigenous

employees and training all ministry staff to improve their cultural

awareness and sensitivity to help them provide culturally safe services to

Indigenous children, their families and communities.

We are on the right track. This was confirmed for me when I joined

Indigenous leaders and my colleague the Minister of Indigenous Relations and

Reconciliation at the emergency meeting on Indigenous child welfare hosted

by the federal minister in Ottawa. We were all encouraged by the

overreaching desire to honour and respect Indigenous peoples’ rights to care

for their children, and we are hopeful, knowing that B.C. is making

significant progress in a number of areas.

Last year the Wet’suwet’en Nation and the province of B.C. signed a

landmark agreement for the nation to reclaim jurisdiction for child welfare

services according to its traditional laws and governance systems. Our

province is only one of three in Canada to have taken this step, Ontario and

Quebec being the other two.

[11:45 a.m.]

I was honoured to attend a potlatch organized by the Wet’suwet’en here

in Victoria in December to celebrate this commitment.

We were also active in discussions with the Wet’suwet’en, Splatsin and

Lake Babine Nations and the Métis Nation of B.C. to explore jurisdiction and

different models of child welfare led by Indigenous communities.

Through the tripartite First Nations children and families working

group, we have been working with the federal government and First Nations

leaders to explore fundamental and systemic changes to B.C.’s child welfare

system, including Indigenous jurisdiction. With the recent federal

government commitment to action and their decision to address the historic

underfunding of delegated Aboriginal agencies, we can now move faster on

making the changes to improve Indigenous child welfare.

There is much work to do, but our ministry has the added benefit of

dedicated staff working throughout the entire province. I’m inspired by the

women and men I have met, by their longtime service to the ministry, their

excitement about the changes we are implementing together, and their

commitment to make things better for the children and families that they

provide services to.

The Minister of State and I visited the child care branch the day

after the budget to thank them for all the work they have done on our new

child care program and the work they will be doing to ensure it is

implemented. The big banner saying “Welcome to universal child care,” the

many staff gathered and the excitement in the room was contagious. We left

knowing our government is heading in the right direction, and we have an

amazing team to work with.

I know we are fortunate to live in a beautiful province that is rich

in people, resources and wealth. However, for many years, only a select few

have enjoyed those riches, while many have gone without.

It is no surprise that we are facing some of the worst crises in areas

of affordability, equality and poverty. While we inherited some of them —

the problems at ICBC and B.C. Hydro, to name a few — our government is doing

its best to reverse some of that damage done.

With the largest investments in housing and child care in B.C., we’re

taking steps to make life more affordable. By making different choices that

put people first, our government hopes to transform lives and create a

better future for everyone.

L. Throness: I will ask you, Mr. Speaker, to let me know when it’s time to break

for lunch, as I see we’re arriving close to that time. But I want to stand,

first of all, to speak to Budget 2018. It’s always a pleasure to do

that.

I’d like to thank, first of all, my constituents for allowing me to

continue to serve them. As I drive around my riding, it’s such a beautiful

place. I always think that I’m very privileged to serve 52,000 wonderful

people in a beautiful part of the world. I’m a blessed person.

I also want to thank my family for all of their love and support. I

think of my brother Leon and his wife, Carol; my brother Lyndon and his

wife, Heather; my brother Trevor and his wife, Jennifer; and my sister,

Kathy, and her husband, Rob Jonker. They all live nearby. We enjoy great

relationships. I love them all dearly, including their 13 children, who are

my nieces and nephews. They’re all beloved.

Here I want to take note of a new addition to my family, our extended

family. On Dec. 20, my nephew Chris Throness and his wife, Krista, had their

third child, a beautiful girl named Mattea Belle, a wonderful name for a

beautiful baby. We in our family are rejoicing together with them, and I

promise to be a great, great-uncle to her.

I also want to thank my constituency assistants, Dagmar Lucak, Sheila

Denis and Kathy Miki, who provide great service to all of my constituents. I

couldn’t do my job without them.

I want to thank my local party executive, including Susan Mathies, my

longtime president; Bill Raddatz, my vice-president; and so many others who

sit on my board and who offer their time and energy to the democratic

process. Democracy would not exist without people like this.

Now on to the big picture, on to the budget, the business of this

House today. I must say that I was dismayed but not surprised to see a

classic, stereotypical NDP budget that will constrict economic growth in

B.C. by raising taxes and increasing spending and hobbling

business.

I guess I should have expected it, but the scale of damage is sort of

spectacular — sort of like watching a volcano explode from a long way away

or an avalanche of snow coming down a mountain. It’s a big deal.

Benefiting from the years of fiscal discipline under the former

government, this classic, big tax-and-spend NDP budget is balanced on the

backs of employers and stands on the assumption that the economy will

continue to grow.

[11:50 a.m.]

Now, given this assumption, it’s too bad that there are no significant

initiatives in the budget to actually grow the economy. There are no

mentions, for example, of backbone industries like forestry or mining, oil

and gas development, aquaculture or energy generation in this budget. The

NDP assume that the economy just happens.

Well, they set the stage for taxing and spending last September, when

they raised taxes by $1 billion and whittled a $2.7 billion surplus down to

about $100 million in just six months. That was quite a feat, but I must say

they’ve topped it with this budget, the first full-year budget of the

term.

Let me lay out for you the big numbers. The budget shows spending of

$54 billion. Last year it was $52 billion. That represents an increase of

spending of 4 percent. Over the three-year term of the budget, new spending

will amount to $6.6 billion, and tax increases will total $5.5 billion. In

their first calendar year — a total of $8 billion in increased taxes. The

gap of $1 billion is expected to be made up with better revenue due to

economic growth, and the government had better hope so.

Taxes are going up in many ways. There’s $1 billion more in income

taxes; more at the gas pump, with a carbon tax; a payroll tax on employers,

worth $1.9 billion in the first year; and other things that the public will

find out before long.

I want to point out increased capital spending as well. Our debt will

rise significantly. Here, I want to remark about how the NDP castigated us

for years, severely, as a government, about the debt we incurred while we

were in government. And now they’re boasting about how much they’re going to

spend. In fact, a quote from the budget speech said this: “Budget 2018

invests $26 billion over three years in capital spending…the highest level

in B.C.’s history.”

[Mr. Speaker in the chair.]

Really, the hypocrisy of the other side never ceases to astound me.

How quickly the working proletariat becomes the bourgeoisie on the other

side.

I suppose the only good thing I can say about the budget — and perhaps

I’ll close with this before lunch — is that it’s balanced, and it has a

cushion in terms of contingency funding and a forecast allowance. So we’ll

have some room to move in the case of a recession, which is not unexpected,

given the recent jitters in the stock market, the growing debt and deficit

in the American economy and the fact that it has been nine years since the

last recession.

I will take up my remarks — if that’s all right, Mr. Speaker — on the

budget after lunch. I would move that we now adjourn the House for lunch,

and I will reserve my right to speak again.

Mr. Speaker: The member has moved adjournment of the debate.

L. Throness moved adjournment of debate.

Motion approved.

Tabling Documents

Mr. Speaker: Hon. Members, I have the honour to present a report intituled An

Independent Audit of the Recruitment and Retention of Rural and Remote

Nurses in Northern B.C. from the Office of the Auditor

General.

Hon. A. Dix: I’m looking forward to the rest of the member’s speech after lunch. I

move that the House do now adjourn.

Hon. A. Dix moved adjournment of the House.

Motion approved.

Mr. Speaker: This House stands adjourned until 1:30 this afternoon.

The House adjourned at 11:53 a.m.

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