Fifth Session, 41st Parliament

(2020) OFFICIAL REPORT

OF DEBATES

(HANSARD)

Tuesday, February 25, 2020

Morning Sitting

Issue No. 314

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

Introduction and First Reading of Bills

Bill M202 — Strata Property Amendment Act, 2020

T. Stone

Statements (Standing Order 25B)

B.C. Log and Timber Building Industry Association

G. Kyllo

Social inequality and social justice

B. D’Eith

B.C. Supreme Court master in Kamloops

P. Milobar

New hospital in Surrey

J. Sims

Business Excellence Award winners in Surrey and White Rock

S. Cadieux

Breastfeeding and induced lactation

J. Rice

Oral Questions

Strata insurance cost increases

T. Stone

Hon. C. James

J. Thornthwaite

Government support for technology sector and industry tax credits

A. Olsen

Hon. M. Mungall

Strata insurance cost increases and government position on public insurance

M. Polak

Hon. C. James

Strata insurance cost increases

S. Bond

Hon. C. James

M. Hunt

J. Johal

Orders of the Day

Budget Debate

(continued)

J. Martin

Hon. A. Kang

B. Stewart

TUESDAY, FEBRUARY 25, 2020

The House met at 10:06 a.m.

[Mr. Speaker in the chair.]

Routine Business

Prayers and reflections: J. Sims.

Introductions by Members

G. Kyllo: We’re joined in the House today by a couple of good friends, Rex

Landis and Bill Miller. They’re with Habitat for Humanity, bringing

affordable housing projects to the city of Kamloops, Salmon Arm and Enderby

— just a few of the communities in the interior of B.C. Would the House

please make them feel very welcome.

Introduction and

First Reading of Bills

BILL M202 — STRATA PROPERTY

AMENDMENT ACT,

T. Stone presented a bill intituled Strata Property Amendment Act,

T. Stone: I move that the bill intituled the Strata Property Amendment Act,

2020, of which notice has been given in my name on the order paper, be

introduced and read a first time now.

There are 30,000 strata corporations in B.C., and nearly half of

Metro Vancouver’s residents live in strata housing. In recent months, a

growing number of British Columbians have been hit hard with massive

spikes in strata insurance premiums, deductibles and fees. Some strata

councils have seen their insurance premiums skyrocket by as much as 400

percent. These costs are then downloaded on to residents, many of whom

are now paying thousands of dollars more a year in fees.

The Strata Property Amendment Act, 2020, provides for the

following: sensible and achievable legislative changes; a clear

definition to distinguish between the insurance requirements of a strata

unit owner and a strata corporation to better ensure correct insurance

product pricing and greater clarity in the claims process; improved

disclosure by a strata corporation in response to the request of an

owner, a purchaser or a person authorized by an owner or purchaser;

strata corporation notification of the terms of the property insurance

renewal policy no less than 30 days before the expiration of the

insurance policy; and requirement for an owner of a strata lot to obtain

and maintain insurance for liability for property damage and bodily

injury.

In complement to this bill, we’re also calling on the government

to implement a strata water damage prevention program to provide

financial incentives for preventative maintenance in strata buildings.

This bill provides a series of initial actions to address this problem

of skyrocketing strata insurance costs that risk affecting hundreds of

thousands of British Columbians.

We urge the government to call this bill for debate so as to act

quickly to prevent further escalation of this crisis.

Mr. Speaker: The question is first reading of the bill.

Motion approved.

T. Stone: I move that the bill be placed on the orders of the day for second

reading at the next sitting of the House after today.

Bill M202, Strata Property Amendment Act, 2020, introduced, read a

first time and ordered to be placed on orders of the day for second reading

at the next sitting of the House after today.

[10:10 a.m.]

Statements

(Standing Order 25B)

B.C. LOG AND TIMBER

BUILDING INDUSTRY

ASSOCIATION

G. Kyllo: I rise in the House today to recognize the work of the B.C. Log

and Timber Building Association, which is a wonderful organization. It

is active both in my region and throughout our province.

The B.C. Log and Timber Building Association is a self-funded

organization. Their mission is to improve business opportunity,

craftsmanship and profitability for British Columbia’s log home and

timber frame industry. I recently attended a convention at the Quaaout

Lodge just outside of Chase, where a number of companies from across

British Columbia came together, including a company from my riding of

Shuswap, Canadian Pride Log homes, owned by Peter and Margaret

Sperlich.

Since being founded in 1997, the association has been dedicated to

presenting the industry to all levels of government. They carry out

regular volunteer efforts on behalf of their members, and they promote

education and training to strengthen the industry and equip new

builders. Additionally, they host conferences, the most recent of which

I had the pleasure of taking

part in just last week. It was a great

opportunity to get to know some of these talented and dedicated

individuals who are part of a great organization.

The association and its members are the centre of a value-added

wood sector. They build some of the most sustainable homes and

commercial buildings on the planet, and they’re incredibly passionate

about using their craft to promote sustainability in building around the

world.

While the logging timber sector only consumes approximately 0.2

percent of B.C.’s annual log harvest, they create 3 percent of forest

sector jobs. When we think about value-added, these are the people that

we’re talking about; these are the builders that are living it every

single day. They’re extremely hard-working men and women, and they’re

largely from family-owned and -operated businesses that have amazing

passion for this industry. I want to take this opportunity to thank them

for the incredible and cutting-edge work that they do in my community

and across British Columbia.

SOCIAL INEQUALITY AND SOCIAL JUSTICE

B. D’Eith: Today I rise in the House to recognize the 2020 UN World Day of

Social Justice. That was last Thursday, February 20. This year’s main

theme is “Combating inequality.”

Throughout history and in every corner of the world, social and

economic inequality has been a significant threat to democracy and

prosperity. However, the gap between different social groups in our

times has reached shocking new heights. Oxfam’s report this year on

global wealth disparities taught us that the world’s billionaires, a

total of 2,100 people, have the same wealth as the bottom 4.6 billion

people.

Of course, it pains me to say it, but we don’t have to look far

beyond our borders to see this trend. One of the reasons I ran was

because of social justice. One of the reasons that I ran is because one

in five children were living in poverty in this province. We are among

the world’s top 50 economies. Yet, think about that — one in

five.

We can only fight these trends if, as governments, we work for the

100 percent. Here in Canada and throughout the western world, economists

and policy-makers thought that cutting taxes to the top wealthy people

while reducing social services for the most vulnerable would boost the

economy and reduce poverty. Instead, we got levels of inequality not

seen in a century. Austerity has also done incredible damage to

low-income people throughout the world. These damaging economic theories

have made it so that many wealthy western countries, for the first time

in a generation, are having the children…. The new generation is having

a lower standard of living than their parents, and that’s

unacceptable.

B.C., however, is making historic social investments while

remaining the only province in Canada with a triple-A credit rating.

While some are stuck in dinosaur economic theories that social spending

hampers growth, we are demonstrating that the only way to sustainability

and equality growing our economy is by investing in developing the

potential of our most important asset — our people.

B.C. SUPREME COURT MASTER

KAMLOOPS

P. Milobar: When Master Rob McDiarmid announced his retirement from the

Supreme Court seat in Kamloops, the legal community in Kamloops had a

couple of concerns: who would fill Master McDiarmid’s considerable

shoes, and would the new master still be located in the Kamloops Law

Courts?

The ability for local people and their lawyers representing them

to access the court without added costs and time with trying to get to

Vancouver is very important for equitable access to the judicial system.

Fortunately, the decision was made to keep the position in Kamloops. In

early December, Master Jennifer Keim was introduced to the community

with an official ceremony in Kamloops. This followed her assuming the

position in late fall.

[10:15 a.m.]

Master Keim previously had an almost 20-year career in family law

with Fulton and Co. in Kamloops before switching to a more corporate law

focus and, ultimately, becoming the general counsel for B.C. Lotteries.

A longtime Kamloops resident, deep roots in the community have made her

a great choice to fill the role. Master Keim has a long and varied list

of groups that she has found time to volunteer with. From her church to

her kids’ sports organizations to groups helping the vulnerable in our

community, Master Keim is always willing to lend a hand.

The legal community in Kamloops was understandably ecstatic when

they discovered that not only would the position stay in Kamloops Law

Courts, but it was to be filled with someone already well-engrained in

the Kamloops community. I think everyone agrees that she was a great

choice. Thanks to the Attorney General for making the

appointment.

Although people will see her as Master Keim, moving forward, I’ll

still see her as my sometimes bossy, sometimes annoying older sister,

however.

NEW HOSPITAL IN SURREY

J. Sims: When it comes to building a new hospital in Surrey, we’re full

steam ahead. We’re doing the work, and people in my community are

excited to see this commitment after 16 years of inaction. Lately, there

has been misinformation circulated about the new Surrey hospital. I want

to share what we have done so far.

Interjections.

Mr. Speaker: Members.

J. Sims: We have a location. It’s going to be at 55 Avenue and 180

Street.

Interjections.

[Mr. Speaker rose.]

Mr. Speaker: Members. Order, please.

[Mr. Speaker resumed his seat.]

Mr. Speaker: Member, if I may remind you that the two-minute statements must be

non-partisan in every respect.

Member, if you wish to start over?

J. Sims: Yes, I do. Thank you, Mr. Speaker. This is the news I like to

share over and over again. When it comes to building….

Interjections.

Mr. Speaker: Members.

J. Sims: When it comes to building a new hospital in Surrey, we’re full

steam ahead. We’re doing the work, and people in my community are

excited to see this commitment. Lately, there has been misinformation

circulated about the new Surrey hospital. What we have done so far is

this: we have a location.

Interjections.

Mr. Speaker: Members.

J. Sims: It’s going to be at 55 Avenue and 180 Street. A 25.4-acre site has

been secured for the new hospital. We have approved the concept plan.

This project has approval from the Treasury Board.

We’re in the business-planning process, which means we’re working

on the clinical services plan. The hospital will include in-patient

beds, an emergency department, operating rooms, out-patient services and

lab and diagnostic services. Once the business plan is completed, the

hospital will then go to tender and then be built.

Those familiar with this process know that the final cost is

determined after the competitive bidding process is completed. It is

after the competitive bidding process that the total cost will be

outlined in budget documents. This is the process for capital projects

under this government, and it was the same for the previous

government.

We need the hospital in my community. Too many of us spend far too

long, sometimes days, in the emergency room and in beds in the hallways.

We’re working to get the hospital built as quickly as we can. We’re

doing this because it is the right thing to do.

Unlike the previous government, we will build a second hospital in

Surrey.

Interjections.

Mr. Speaker: Members. Member.

Interjections.

[Mr. Speaker rose.]

Mr. Speaker: Members. Order, please. Members.

[Mr. Speaker resumed his seat.]

Interjections.

Mr. Speaker: Members.

BUSINESS EXCELLENCE AWARD WINNERS

IN SURREY AND WHITE

ROCK

S. Cadieux: Now for an example of what we’re supposed to do with two-minute

statements.

On February 12, 2020, the South Surrey and White Rock Chamber of

Commerce held the 21st annual Business Excellence Awards. It’s the case

in many communities that this was an evening to celebrate and honour

business excellence and the hard-working commitment of people behind the

companies.

[10:20 a.m.]

They were Dream Orthodontics, which has been helping the clients

of South Surrey and White Rock achieve beautiful smiles for the past 12

years; Starline Windows, with 1,000 employees, now the largest supplier

of windows for highrises in western North America; Greg Timm, an

outstanding businessman and a person who contributes thousands of hours

as volunteer chair of the Canada Cup softball tournament; Stewart

Peddemors, a realtor and restaurant owner and former White Rock city

councillor. Stewart believes in giving back, and he’s also an expert

pumpkin-carver.

Grey Haven Hobbies and Games owner Adam McCormick opened the shop

as a university student and is celebrating 25 years this year. Dr. San

Bhatha from Southridge Dental believes in giving back as well, and he’s

environmentally conscious. Their office has gone paperless.

Zapoteca Mexican Grill and Seafood, founded by three friends last

year, serve traditional authentic Mexican food inspired by the Zapotec

Indigenous civilization. The Rotary Club of Semiahmoo — a special

shout-out here to my former rotary colleagues.

Congratulations.

Addictive Comedy, which uses humour to inspire change surrounding

addiction, mental illness, trauma and loss. Save-On Foods, which

continues to contribute significant funds in our community — and

resources — to several organizations, like the Sources food

bank.

Lastly but by no means least, the under-40 winner, Piya Sandhu,

owner and chief curator of The Handpicked Home.

Congratulations to all of the winners and nominees. As we saw this

weekend, with the Coldest Night of the Year walks in Cloverdale and

White Rock bringing in more than $230,000, we have an extremely generous

community, and the businesses and business people are a huge part of

that success.

On behalf of myself and the member for Surrey–White Rock, a

well-deserved congratulations.

BREASTFEEDING AND INDUCED LACTATION

J. Rice: When I envisioned being a parent, breastfeeding my baby felt like

a normal and natural thing to do. But with my wife Andrea being the one

to carry our child, I thought that role would naturally fall to her as

the gestational mother. Later on, I felt like I was missing out. I’m a

mom, too, and I should be able to breastfeed my son, I thought. That’s

how my journey with induced lactation started.

Inducing lactation as a non-gestational mother involved taking the

birth control pill and the drug domperidone, which has a side effect of

causing lactation, as well as some herbs such as fenugreek and moringa.

Near the end of my wife’s pregnancy, pumping with a breast pump every

two to three hours until my son,

Lu̓á, was born, I followed what is

called the Newman-Goldfarb protocol. Co-breastfeeding allows both my

wife and me to share in the breastfeeding responsibility and experience.

Induced lactation also allows adoptive parents, parents who have babies

via surrogacy and trans moms to breastfeed.

There’s more to breastfeeding than breast milk. There’s an

invaluable opportunity for getting to know one another, intimacy and

bonding with your child. It’s an experience I have few words for, other

than “I love it.”

Many people are surprised that induced lactation is even possible.

They’re even more surprised to learn that yes, even men can breastfeed.

I want people to know it’s so perfectly natural and possible, by

following a lactation protocol like the one I did. I also want health

care providers to be informed of this option so that they can be ready

to help non-gestational parents induce lactation if they

want.

Resources can be found at the Canadian Breastfeeding Foundation’s

website. I realize that not everyone would choose this, but they need to

know that it’s even possible in the first place to make that decision.

That’s why I’m sharing my personal experience.

There’s nothing sweeter than when my baby is suckling, and his

little hands flail around and scratch at my breast.

J. Sturdy: I seek leave to make an introduction.

Leave granted.

Introductions by Members

J. Sturdy: I’d like to welcome to the Legislature Chris Wrightson and Sean

Easton, who are visiting from my constituency of West Vancouver–Sea to

Sky. Chris and Sean are co-executive directors for Zero Ceiling Canada,

an organization based in Whistler that is dedicated to improving the

quality of life for young people experiencing homelessness, from

Vancouver through the Sea to Sky.

Zero Ceiling provides housing, employment, professional support

that empowers young people to live healthy and independent lives. This

work that Chris and Sean and the entire Zero Ceiling team does is

incredibly valuable. It’s an example that can be replicated around the

province.

I’d like to welcome them and thank them for the work that they

do.

[10:25 a.m.]

Oral Questions

STRATA INSURANCE COST INCREASES

T. Stone: British Columbians living in condos, townhouses and duplexes all

over this province are facing a crisis today. Massive spikes in strata

premiums, strata deductibles, strata insurance costs, which are then

increasing monthly strata fees, are directly impacting people. But this

government has failed to act with any sense of urgency.

Today I tabled a private member’s bill amending the Strata

Property Act, which would provide achievable and sensible legislative

changes to help bring this growing crisis under control.

My question to the Minister of Housing would be this. Will the

Minister of Housing call this bill for debate?

Hon. C. James: Thank you to the member for his interest in this issue.

As we’ve talked about — there is no question — we have concerns

for strata owners, for people who own stratas and the worry that they’re

having around insurance. This isn’t an issue, as I’ve mentioned before,

that’s unique to British Columbia. In fact, this is occurring across the

country. We’ve been having discussions with our provincial counterparts

as well about the challenges. There are a whole range of issues that are

related to this, everything from climate change and the insurance

industry itself.

The Minister of Housing and I are engaging with strata

associations, with the insurance industry as well. We have also started

discussions with the Financial Services Authority — FICOM, people may

have known it as before — to look at all the ideas that are

there.

The member just tabled the bill. I’m happy to take a look at it

and see if there are ideas that we can incorporate into the discussion

we’re having.

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

T. Stone: Well, the minister committing to ongoing discussions with all of

the agencies that she just mentioned is cold comfort to the thousands of

British Columbians who really truly feel that they’re at risk of losing

their homes. This government has had months to consult with stakeholders

to try and identify solutions, yet they have done absolutely nothing to

this point. People who live in strata units — again, all over this

province — are in crisis mode. Some folks are watching their premiums

skyrocket by as much as 400 percent in one year.

In addition to the contents of the bill that we introduced today,

the official opposition is also calling on the government to create a

strata water damage prevention program. This would be a program that

would provide incentives for retrofits that would help mitigate the risk

of extensive and costly water damage. This would both help to prevent

that water damage from happening in the first place, but it would also

have the effect of being taken into account by the insurance

underwriters in bringing insurance costs down.

Again, my question to the Minister of Housing would be this. Will

she commit to bringing in some sort of program similar to what we’re

calling for here in this strata water damage prevention?

Hon. C. James: I wish the member was as committed to dealing with concerns about

skyrocketing costs when he was with ICBC. Sadly, we know the pressures

that drivers are facing because of the mess that was left us.

To come back to the strata insurance issue and the pressures that

people are facing, that’s exactly why we’re having the conversations.

There are a range of opinions around what should be done, differences of

opinions with some strata owners, differences of opinions with the

insurance industry itself. That’s why it’s important to work together to

look at what’s going to work, and I’m happy to take a look at the

member’s private member’s bill and see if there are some ideas that can

be incorporated.

Mr. Speaker: The member for Kamloops–South Thomp­son on a second

supplemental.

T. Stone: Again, British Columbians who live in strata units need action

from the government now, not conversations and consultation. It’s time

for this government to stand up and to act on behalf of the interests of

the thousands of British Columbians who are in strata units.

[10:30 a.m.]

In Kamloops, my community, one strata corporation has informed me

that their premium has gone up by 335 percent year over year. Their

deductible for water damage has gone from $5,000 to $250,000. What this

means for the folks who live in this strata building is that there is

going to be a one-time assessment of $1,000 per strata unit owner, and

their monthly strata fees are going to go up $100 per month. That’s a

$3,400 total cost over a three-year period that each strata unit owner

is going to have to somehow try to come up with.

This strata corporation had this to say: “Through no fault of

their own, the strata owners in our building must deal with a major

increase in living expenses, way beyond that which reasonable people

would have budgeted for. We presume thousands of other condominium

dwellers in B.C. face similar additional financial burdens. This is

totally unfair and clearly discriminatory.”

Again, we’ve presented some sensible actions in our bill this

morning. We’re calling for a strata water prevention damage program.

These are sensible, achievable actions that would make a real difference

now.

When will the minister stand up and outline for British Columbians

that are impacted by these rising strata insurance costs and tell them

what your action plan is to address this affordability crisis with

stratas in British Columbia?

Hon. C. James: Unbelievable. Unbelievable, coming from the member that left over

billions of dollars to ICBC — problems for taxpayers here in British

Columbia from that side of the House. For that member on that side to

talk about financial burdens while we were left a mess with ICBC is

incredible. Just incredible.

We are going to continue to stand up, to be able to address the

issue, and to take the time to work with the industry and the strata

associations to come up with a solution that works for everyone. That’s

the commitment that we make. We don’t leave messes for other people. We

fix up the messes that they left behind here in this

Legislature.

Interjections.

Mr. Speaker: Members. Members, back to question period.

J. Thornthwaite: This is an issue that affects half of Metro Vancouver, including

many in North Vancouver, where I live. Asifa Lalji describes her

situation: “We thought we were going to get a 40 percent increase…. Then

January rolled around...and we found out instead of 40 percent, it’s

actually 300 percent.”

It is time this government acted. What does the minister have to

say to Asifa?

Hon. C. James: As I said, this is an issue that strata corporations are facing

across the country. Rising costs are a challenge. Increased prices, when

it comes to real estate, create an additional challenge when it comes to

British Columbia. That’s why we’re working hard with the strata

associations and the insurance industry. That’s why we’re taking a look

at mitigation when it comes to climate action, because, again, that’s a

big cost when it comes to rising insurance premiums. That’s why the

Financial Services Authority is also engaged in this discussion, along

with the Minister of Housing and myself, to look for a

solution.

Mr. Speaker: The member for North Vancouver–Seymour on a

supplemental.

J. Thornthwaite: As long as this government fails to act, the crisis is only going

to get worse. Asifa continues here. “Having a hit like that, where does

the money come from?” and “What do you do when all of a sudden you have

a $150 or $200 increase to your living expenses every month?”

People cannot wait for NDP consultation. They need action now.

What is the minister saying to Asifa?

[10:35 a.m.]

Hon. C. James: I will, again, say to the member that there are a whole range of

ideas that are coming forward on this issue: ideas from the insurance

companies, ideas that have come forward from strata corporations, ideas

that have come forward from individual owners. We are looking at all of

those. We are working with the B.C. Financial Services Authority, and we

are looking at a solution that will work for individuals who are facing

these kinds of pressures.

I will take a look at the members’ ideas that have come forward

and take a look at whether they work for insurance companies and for

strata associations as well.

GOVERNMENT SUPPORT FOR TECHNOLOGY

SECTOR AND INDUSTRY

TAX CREDITS

A. Olsen: The future prosperity of our province is in innovation, technology

and the knowledge-based economy. Governments around the world know this,

and they are aggressively positioning themselves by making strategic

investments.

Yesterday I asked a question to try to get a better understanding

of where British Columbia is at. So I’ll ask a very important question

about innovation funding again.

In the economic framework, the Deputy Minister to the Premier

cited an investment of “more than $700 million to technology

programming.” In Budget 2020 that was introduced last week, the Finance

Minister identified investing in technology and innovation as one of its

key areas for sustainable growth. I’m trying to reconcile what this

government says it’s doing with what is really happening.

So to the Minister of Jobs, Economic Development and

Competitiveness: does the $700 million in technology programming include

the Film Incentive B.C. tax credit, the production services tax credit

and the interactive digital media tax credit?

Hon. M. Mungall: Thank you to the member again for asking this question. It was

very difficult to get an answer out yesterday, due to the opposition’s

heckling, so let’s try again today.

Everyone knows in British Columbia that the tech industry is a

very important part of our economy. In creative tech, for example, the

video games, the animations, the CGI that we see in our movies — a lot

of that is being done in British Columbia. But that’s not the only place

that tech exists in our economy.

We have artificial intelligence. We have life sciences. We have

clean tech, tech like the work that Saltworks is doing to help reduce

the environmental footprint in the mining world. There is so much going

on. So when we looked at that $700 million, what fed into it was the

variety of programs that tech, throughout all of British Columbia, is

able to access.

Specifically to the member’s question, I mentioned yesterday that,

yes, the interactive digital media tax credit is included in that $700

million that we identified. But when he looks at the budget, there are a

few envelopes that then further break down into a multiple variety of

tax credits. In those envelopes, we have the digital animation, which we

did used to include in that $700 million, as well as the visual effects

tax credits. Those all form part of the budget line items that the

member is talking about.

Mr. Speaker: The Leader of the Third Party on a supplemental.

A. Olsen: This has been a relatively frustrating experience to get what

should be a fairly simple answer.

The reality that we’re dealing with here is that when you say that

there’s $700 million going to technology, to include about $637 million

of tax credits — which are really important actually, which are

critically important to the respective sectors, which include thousands

of jobs in the film industry that we should not be positioning ourselves

to lose…. We need to be clear about where the money that British

Columbians are sending to this government is going. We can’t

say….

Interjections.

A. Olsen: That’s never happened before.

I just want to ask…. I need to ask this question. Isn’t it

misleading to inflate the innovation spending numbers with tax credits

that already exist?

Interjections.

[10:40 a.m.]

Mr. Speaker: Members.

Minister.

Members, if we may hear the response to the question.

Hon. M. Mungall: I would say that it’s prudent for a government to look at the

variety of programs, tax credits, operating expenditures that it has to

support a sector of its economy. That’s the prudent thing to do. That’s

what we’ve done, so that we know how we are supporting technology and

its growth in this province. We know what we’re doing, so that we know

what we can do to improve on that.

This government is committed to seeing the technology sector grow

throughout this entire province. It creates family-supporting jobs

wherever it lands. We want it to land not just in the Lower Mainland but

throughout the province. B.C. has a bright future with the tech

industry. We’re going to make that happen.

STRATA INSURANCE COST INCREASES

AND GOVERNMENT POSITION

PUBLIC INSURANCE

M. Polak: Well, the Parliamentary Secretary for TransLink has had an awful

lot to say lately. Yesterday she raised the first possible actions we’ve

heard from the NDP on the strata insurance crisis. She said: “I wonder

whether some kind of public insurance could have been a solution to this

serious problem with condo insurance in the market.”

Do the views of the Parliamentary Secretary for TransLink reflect

the views of this government?

Hon. C. James: Again, the member is welcome to put her ideas forward, just as the

member beside her. We are taking the ideas forward from the industry,

from others who want to put forward ideas. That’s why we’re taking the

time to make sure that the solutions that we come up with work for

strata owners, work for the insurance industry and work for the people

who own in those buildings.

Mr. Speaker: The House Leader for the official opposition on a

supplemental.

M. Polak: Perhaps the minister missed the point of the question.

In the absence of any direction from this government pointing to

actions on the file, we have a member of their government who’s actually

proposing something.

The question is: is that the position of this government? She

certainly seems to think it might be. I think right now we need to hear

if the views of the Parliamentary Secretary for TransLink are going to

be rejected for the ridiculous suggestion that they are, or is this

something this government is considering adopting?

Hon. C. James: I seem to remember a government previously — I think it was that

side — who actually, when they were elected, took on a study to look at

private versus public. When it came to ICBC, that was something they

wanted to look at. “Should we look at private versus public?” That was

something the other side was interested in.

Now we know where they stand on those issues. We are open to

bringing forward ideas to find solutions on behalf of stratas and on

behalf of the insurance industry. I would welcome ideas from that other

side if they wanted to take the time to put them forward.

STRATA INSURANCE COST INCREASES

S. Bond: The question really related to the position of the government,

related to another comment by the Parliamentary Secretary for TransLink.

But we really want to continue to raise with this government the fact

that there are over 30,000 strata corporations in B.C., and nearly half

of all the residents in Metro Vancouver live in a strata unit. Thousands

of British Columbians have signed a petition. They’ve called on this

government to immediately address what they consider to be a

crisis.

Michelle Sweet says: “I’m worried for my future. My strata fees

are already over $600 a month, and this increase is ridiculous. Please

help.” Will the minister get up today…? Michelle can’t wait for

consultations, for discussions, for random policy thoughts from the

Parliamentary Secretary for TransLink. The government needs to take

action now.

Will the minister provide the help that Michelle and thousands of

other strata owners are looking for?

[10:45 a.m.]

Hon. C. James: I have already talked about the concerns that have come forward.

We recognize those concerns. We recognize the pressures that stratas are

facing. We recognize the urgency that they’re facing. Ideas have come

forward from the insurance industry. Ideas have come forward from the

strata corporations. That’s why we’re working with the B.C. Financial

Services Authority to come up with solutions that work for the people

who are facing the pressure.

Mr. Speaker: The member for Prince George–​Valemount on a

supplemental.

S. Bond: Recognizing the issue is one thing. Doing something is actually

another thing. In fact, we appreciate the fact that the minister says

she’s going to take a look at what the official opposition has tabled.

It makes it very easy for the minister and the government to actually do

something.

Rhonda Winter writes: “I am a strata president of 608 units. This

increase came out of nowhere, with no chance to budget, and it is

devastating to many people. This will devastate the condo economy and

way of life.”

What does the minister have to say to Rhonda to explain her

government’s lack of action?

Hon. C. James: I know the other side doesn’t want to hear that this issue is

being worked on. I know the other side isn’t interested in hearing that

discussion. But I will say again, as I’ve been saying to the people that

I’ve been talking to, that we have concerns.

We recognize the pressure that stratas are facing. We recognize

the urgency of this issue. That’s why we’re doing the work that needs to

occur. That’s why we’re taking the information that’s come forward from

the strata. That’s why we’re taking the information that’s come forward

from the insurance industry. It’s why we’re working with the B.C.

Financial Services Authority, who is also responsible for the strata.

And that’s why we will take some time to take a look at the member’s

bill as well, to see whether there are any ideas that come

forward.

I know the other side doesn’t like to work together. I know they

don’t like to have discussions with people together. That’s, in fact,

what we’re doing to make sure we look at a solution that works for

strata owners.

M. Hunt: Marco and his partner are first-time buyers, looking at an older

condo in Surrey. He says: “The building just posted a notice that they

could not purchase insurance as of January 31. We put down a $10,000

deposit that we can’t afford to lose. We’ve been advised by our bank

that it cannot provide a mortgage. What are we supposed to do

next?”

Now, I appreciate that the minister is going to take her time and

think about this and monitor the situation. Well, Marco can’t wait for

another NDP consultation. What is he supposed to do next?

Hon. C. James: Again I say to the member, as I’ve been saying in the discussions

I’ve been having with folks who are facing pressures, that we are taking

a look at the ideas that are coming forward. We are looking at the

urgency of the situation for people who live in condos. It’s a very

difficult situation for those individuals.

As I said, the insurance companies have come forward with some

ideas. There are differing opinions around what works and what would

work for stratas and what would work to ensure that they can be

protected, not only in the short-term, but the long-term, as this is not

an issue that’s unique to British Columbia. This is, in fact, an issue

that is happening across the country. We’re having those discussions as

well with our provincial counterparts to look at what kind of solutions

they’re taking a look at so we can ensure this works for strata owners

in British Columbia.

Mr. Speaker: The member for Surrey-Cloverdale on a supplemental.

M. Hunt: Well, that is just unbelievably cold comfort for this couple that

is about to lose $10,000. How many years have they spent raising that

$10,000 to be able to put it down as a down payment on the condo? And

the minister is going to listen. This is wonderful.

With 30,000 stratas in B.C., half of Metro Vancouver residents

living in strata housing, premiums going up by 400 percent and

deductibles going up by 2,000 percent, all of my wonderful friends on

that side, the Surrey NDP members, are all silent about it as

well.

[10:50 a.m.]

Nothing is happening. Action is needed now. These people are

losing their money. How is this minister going to fix it?

Hon. C. James: I find it incredible that we see the other side talking about the

fact that they now care about affordability for people in British

Columbia — that all of a sudden, they’ve discovered that housing

affordability can be a challenge in British Columbia. Where were you

when the prices in British Columbia, particularly in Metro Vancouver,

went up 75 percent in five years? You were nowhere in addressing the

issue. Nowhere. So the other side can talk about the fact that they’ve

now discovered that housing is an issue in British Columbia. We got to

work when we were elected government to address the issue of housing

affordability.

What does that side want to do? They want to get rid of the

speculation and vacancy tax. They want housing prices to escalate again,

causing more and more pressures not only for the people who own homes in

British Columbia but for the businesses and the economy in our province

as well.

We are working to find a solution that works for strata owners,

but I won’t take any lessons from the other side when it comes to

affordability, because we saw prices go up for families in British

Columbia. We’re addressing it now.

Interjections.

Mr. Speaker: Members.

J. Johal: I want to remind the Finance Minister before I begin that there

were 11,000 fewer condos built in Vancouver in 2019 compared to 2018.

You’ve done nothing for affordability. Nothing.

Interjections.

Mr. Speaker: Members.

J. Johal: Nearly 2,000 stratas renew their insurance every single month, and

they’re facing skyrocketing increases to premiums, deductibles and

monthly fees. Nissa Steen writes: “I live paycheque to paycheque and

cannot afford the spike in strata fees due to the insurance cost. We

need the government to step in and remedy this problem or I will end up

having to move from my home.”

What does the minister have to say to Nissa and the thousands of

British Columbians calling on her to act now?

Hon. C. James: Once again, to the member, we are, in fact, working now with

strata owners, with the insurance industry, with the B.C. Financial

Services Authority, which is also responsible for insurance and for the

registering of insurance in British Columbia. We are looking at those

issues, working with the communities to be able to come up with a

solution. If the members have ideas — as the member says he has an idea

in the private member’s bill — we’re happy to take a look at those ideas

as well, but we need to make sure that we find a solution that works for

the parties involved.

The people who own stratas are facing great pressures. As I said,

we have concerns for those individuals. We have concerns for what’s

working. That’s why we have to make sure that we come up with a solution

that fits their needs.

Mr. Speaker: The member for Richmond-Queensborough on a

supplemental.

J. Johal: You know, the minister does raise an important issue. There is a

certain urgency to this. Every MLA here, on your side and our side, is

getting calls on a daily basis on this issue. One of them is Sheila

Falconer. She says: “The huge increases many owners are facing are way

too high. It’s not right that this is happening, and we’re asking the

government to intervene on our behalf.”

Will the minister explain to Sheila why she refuses to act

today?

Hon. C. James: In fact, we have been acting. That’s why we’ve been listening and

working with the strata owners. That’s why we’ve been working and

listening with the insurance industry. That’s why the ideas that have

come forward are ideas that we’re taking a look at. That’s why we’re

working with the B.C. Financial Services Authority. It’s why the

Minister of Housing and I are working on this file together. It’s

because we recognize the pressure. We recognize the concerns that are

there.

Housing is a big issue in British Columbia. It was a big issue

when the other side was in place, and they did nothing to actually

address it. We have taken on the issue of housing, whether it’s supply,

whether it’s demand, whether it’s purpose-built rentals, whether it’s

bringing in issues to address it.

[10:55 a.m.]

This is now a challenge that’s being faced across this country.

This is not an issue that is unique, as I said, to British Columbia.

This is an issue that is being raised by other provinces as well. The

issue of climate action and climate change, and the pressures that

insurance companies are facing, have caused some of the challenge. There

are other issues that are being faced in British Columbia.

It’s exactly why we are bringing together…. Again, I understand

the other side doesn’t understand the concept of working together. I

understand that. But in fact, we are working with the strata owners. We

are working with the insurance companies. We are working with the B.C.

Financial Services Authority to address the urgent issue facing strata

owners today.

[End of question period.]

Orders of the Day

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

[R. Chouhan in the chair.]

Budget Debate

(continued)

J. Martin: It’s good to be able to provide some commentary, some feedback on

Budget 2020. I would like to, first off, acknowledge the good people in

Chilliwack, who have given me the honour, the distinction, to be their

representative here in the people’s House, in the Legislature.

In particular, I would like to give a shout-out to my stellar staff

back home in the constituency office. The first person that anyone sees when

they come into my office is the cheery, smiling face of Montana Armstrong.

We also have Hank Pilotte, and I have Matthew Hawkins, who looks after the

Facebook.

We always have so much fun putting those together. We did a recent one

where we recognized a couple of the people employed by the business

improvement association downtown, who keep the streets spic-and-span clean.

I had the privilege of joining them with a vest on, doing my share, picking

up a little bit of the rubbish from the night before. It’s just nice to be

able to showcase something like that that usually doesn’t get onto the

radar.

In addition, I also have to acknowledge my wonderful wife, Margaret,

who supports me day in and day out, both here in Victoria and when I’m back

in the riding, tending to business. My little guy, the Dude, who is just

absolutely thrilled that it’s SPCA Treat Week. I hope everybody has an

opportunity to support the BC SPCA in this wonderful endeavour that happens

every year at this time.

I also want to thank all of my colleagues in the B.C. Liberal

opposition caucus and every other member of the government and of the Third

Party for their contributions here.

With Budget 2020, I have to say that for me, personally, it was

somewhat underwhelming, because I had some expectations based on the

previous week’s throne speech of what might be forthcoming.

[11:00 a.m.]

As we know, the throne speech is deliberately vague. That’s by design.

The throne speech is more of a value statement or a mission statement. It

tends to be aspirational, tends to be visionary, without providing any of

the actual nuts and bolts or details that would be required to fulfil some

of those ambitions.

One thing in the throne speech that particularly got me paying

attention and certainly resonated back in Chilliwack was a statement

regarding transportation in the Fraser Valley and transportation

infrastructure. As we all know, the growth in the Fraser Valley has been off

the charts in recent years. So when we heard the government’s throne

speech…. I’ll specify.

“Government’s partnerships with local governments means that work is

already underway on a long-term vision for transit and transportation in the

Lower Mainland. British Columbians can look forward to more options like

rapid transit, HOV lanes and commuter rail out to the Fraser Valley, and

high-speed rail connections with our neighbours to the south.”

Commuter rail out to the Fraser Valley. Well, that’s something that

I’ve heard in my office via email and other types of correspondence dozens

and dozens and dozens of times over the last 6½ years. There is an active

organization that has been lobbying and championing light rail in the Fraser

Valley and has attempted to make the case that this might be the answer to a

lot of the problems, the congestion, the amount of difficulties that one has

making the commute from the eastern Fraser Valley into the Lower

Mainland.

I can tell you that I’ve lost track of how many times I just simply

send a quick note to my wife. I say: “Highway shut down.” I mean, it is so

routine. It is so regular that there is an accident, an incident, some

activity one way or another that causes Highway 1 eastbound, westbound,

often multiple times a day, to be shut down, and commuters are delayed for

20 minutes, 45 minutes, sometimes going well beyond an hour and more than

that.

I’ve been 2½ hours late sometimes getting into the Lower Mainland

because of the goings-on on Highway 1. It’s long been an issue. So when I

saw that in the throne speech — commuter rail out to the Fraser Valley and

some vague commitments about improving transportation corridors — it was

pretty exciting.

I did a little video when I got back, where I asked my constituents:

“What do you think of commuter rail? Is this the answer to our difficulty in

getting the ability to commute in and out of the eastern Fraser Valley, for

goods to be trucked into the Lower Mainland? Would it be better to expand

the highway, maybe go to three lanes, four lanes, in each direction?” I

asked for some feedback, and I did get a considerable amount of response to

that. I’ll be sharing some of those specifics shortly. Again, I’m glad I

have the opportunity to bring this forward.

There was nothing in the budget that specified what might be happening

with respect to Highway 1 out to the eastern Fraser Valley, even just as far

as Abbotsford, never mind Chilliwack. There was nothing in there that was

specific to light rail or commuter rail out to the Fraser Valley. That’s

mainly what I’d like to pursue.

Now, the government, in the House, said that they’ll be directly

engaged with TransLink Transport 2050 consultations and talked about a

30-year regional transportation strategy, working with municipal leaders in

the Fraser Valley, B.C. Transit and elsewhere.

The reality is we’ve got about one million more people coming to the

Lower Mainland, and the growth, particularly in the region including the

Fraser Valley, is going to require an upgraded transportation system. We all

know that.

[11:05 a.m.]

Otherwise, it’s congestion, delay, a hampered air quality. Those of us

that have this on our radar are working with mayors, TransLink, stakeholders

and others about our options. There’s commuter rail, more lanes, HOV lanes.

What’s the actual answer to address the transportation needs of the eastern

Fraser Valley? This is something that the budget, again, failed to notice,

failed to make a statement about. I think it was a glaring oversight,

because the need is not in 2030 or down the road. The need is right

now.

I just would like to focus for the moment on that particular issue of

transportation out to and from the Fraser Valley. Some of the arguments and

the rationalizations and the justifications and the case being made in

favour of commuter rail…. The advocates of commuter rail certainly felt

somewhat of a boost and a wind in their sails when the throne speech spoke

to it.

The Abbotsford mayor, Henry Braun, has been particularly vocal on this

in recent times and notes that 300,000 people live east of the Langley

border, and that’s expected to increase to 450,000 by 2041 — just a

significant growth and strain on existing infrastructure.

The provincial priorities have not really focused on the eastern

Fraser Valley. They’re more focused on rapid transit in the Lower Mainland,

and Highway 1 widening has not been a priority, particularly extending out

to Abbotsford and Chilliwack. Recall the previous government did have a

commitment and a capital plan to get this done to bring additional lane

capacity all the way out to Whatcom Road, which is just to the east of

Abbotsford. It’s not quite all the way to Chilliwack, but you’ve got to get

to Abbotsford before you can get to Chilliwack. Well, that’s been put on

hold indefinitely, perhaps permanently. I certainly hope not.

The mayor of Abbotsford makes the note that the government has the

ability to borrow money for a project of this nature and is encouraging the

government to consider the low interest rates and what it would cost for

such a project and that this might open up Lower Mainland access to more

affordable housing. Like everywhere else, house prices in Chilliwack have

skyrocketed, but they are still considerably more affordable than anywhere

else in the Lower Mainland. You pretty well have to start moving east into

the Interior to find a more preferred affordable housing market.

The mayor of Chilliwack, Ken Popove, is a great guy, and he’s made the

case that this would enhance tourism in the area of Chilliwack and the

eastern Fraser Valley. John Vissers of South Fraser Community Rail group

says that highway widening may not entirely solve regional transportation

issues such as gridlock, that the Fraser Valley provides many workers for

Surrey, where a line would possibly connect to the Lower Mainland. So

there’s a need far beyond the people who reside in Chilliwack for some type

of enhancement of transportation to the Lower Mainland and

beyond.

Now, not everyone is necessarily a big fan of commuter rail. There are

some hesitations about it. This is why I initiated some consultation with

constituents. I’ll be quite frank. Not everybody is on board with it. But it

was something that was in the throne speech, so I am anxious that at some

point, the government is going to provide some clarity and some substance to

what exactly and when exactly something might be in the works.

[11:10 a.m.]

The past mayor of Chilliwack, Sharon Gaetz, wasn’t a huge fan of

commuter rail, and she mentioned at one point that in 2014, only about 10

percent of trips by locals were outside of the Fraser Valley. She also said

that depending on the structure — I mean, is it going to be a part of

TransLink? — Fraser Valley municipalities may have a larger financial burden

compared to the Lower Mainland and the enhancements to Vancouver, GVRD

transportation system enhancement. What would the Fraser Valley, currently

under B.C. Transit…? How would that be integrated with TransLink? So a lot

of unknowns there.

Ken Popove also has made the case that the existing urban rail line

may not be sufficient for commuter rail. It’s been there for a long time,

and a lot of people have made the case that we can simply piggyback on that.

Well, we’re not sure that that actually is something that is doable. So,

again, I would ask the government — at some point, because it was left out

of the budget — to make an effort to let my constituents know, let the rest

of us know, exactly what their vision is for the future of transportation to

the eastern Fraser Valley.

This clearly wasn’t a pre-election budget, so maybe it’s going to be

in the next one. I’m certainly looking forward to what the intent of the

government is with respect to transportation, highway widening, commuter

rail or anything else that is going to impact, hopefully, in a positive way,

the flow of individuals and goods back and forth.

You know, it’s not just about idling in a traffic jam on Highway 1 and

being late for an appointment or missing a social activity somewhere west of

Abbotsford. I know that we have a huge problem in Chilliwack with big rigs

trying to complete their day’s work. It wasn’t that long ago that we could

sometimes see, from Rogers Foods…. A truck could do three trips in a single

day to and from the Lower Mainland from Chilliwack. Well, that doesn’t

happen anymore. It’s down to two. And in some cases, it may only be

one.

Anyone in the Lower Mainland…. Any time you put a bagel in the toaster

and make yourself a sandwich, there’s a pretty good chance that that flour

came from my neck of the woods. Without a predictable, efficient corridor to

move goods back and forth to the Lower Mainland and other places, to the

various ports for export…. Without the proper and efficient transportation

systems, that hurts everybody. It hurts the local economy. It hurts jobs.

And it certainly impacts the convenience and the expectation that something

is going to arrive in time. So that, in particular, for me, is the biggest

thing about the budget — what wasn’t in there.

I do look forward to the government providing some clarity sooner

rather than later. It is an issue that my constituents are concerned about,

as any time I go into Vancouver for meetings or anytime I’m going to

Tsawwassen to catch a ferry, I’m always wary that I may or may not get there

on time. It’s really up in the air. Anything can happen along that

highway.

I’ve lost track of how many times, heading into the Lower Mainland,

I’ve been stuck in traffic behind an accident or just congestion, and then

the very same thing happens on the way back. I go scurrying for the side

roads and the back roads to see if I can somehow get home before the clock

clicks, and it’s a brand-new day. A source of frustration for those of us in

the eastern Fraser Valley and much of the rest of the Fraser Valley that

cannot count on our arrival at a particular time.

[11:15 a.m.]

I don’t have the luxury of knowing what the government might have in

mind — if there is going to, at some point, be an expansion of the number of

lanes heading out to Abbotsford and eventually beyond, if some type of

commuter rail system is going to be in the cards at some point or whether

HOV lanes are the answer. But I do expect the government to provide some

clarity, some substance, in this regard — again, as I say, sooner rather

than later. I look forward to it.

There is much more that can be spoken in the budget. I wanted to focus

solely on that one particular issue because it seems to be the big one that

resonated, following the throne speech, in my valley. I will turn it over to

my colleagues to comment on other bits and pieces of Budget 2020. Thank you

for the opportunity to raise this critical matter in the people’s

House.

Hon. A. Kang: In my new role as Minister of Citizens’ Services and as MLA for

Burnaby–Deer Lake, I’m honoured to rise in the House today to speak in

support of the budget speech, a speech that outlines how this government is

making life more affordable, enhancing the services people count on and

building a strong, sustainable economy that works for everyone.

Before I get started, I want to say how honoured I am to be standing

in this chamber and in the building which sits on the traditional territory

of the Lək̓ʷəŋin̓əŋ-speaking peoples and

the Songhees and Esquimalt Nations. I thank them for the ability for us to

gather and work in this place. We are grateful for the stewardship of these

lands for so many centuries.

I also want to begin by thanking my constituents, the people of

Burnaby–Deer Lake, who have put their faith in me and elected me as their

MLA. It’s their voice that I bring into this chamber with me every single

day.

I am very grateful for the work of my constituency assistants and that

volunteers do to support me in what I do in Victoria and, as well, back at

home.

Of course, I want to thank my family, who have been my constant, best

cheerleaders and bring lots and lots of sunshine into my life. I want to

extend my heartfelt gratitude and love to my parents and my children for

their unconditional love and support for me.

Last but not least, to all my friends, who have been there for me

through thick and thin, through all the different elections, who stepped up

to help me with child care solutions, to give me strength and courage and to

offer honest, heart-to-heart chats with me without me having to debate my

politics.

I also want to take this opportunity to appreciate all my colleagues

in the House, whom I know work very, very hard. What a fantastic team of

people I get to work with day in and day out. Working with such a fantastic

team, just like a family, means that we are all part of something very

special.

So to all my family and friends out there, I want to say thank

you.

Today I have the pleasure to respond to government’s Budget 2020.

Budget 2020 outlines investments in schools, hospitals, roads, transit and

housing. These investments will benefit communities and families throughout

the province and will support a sustainable economy for everyone.

Over the next three years, government is investing $22.9 billion to

help with job creation, improving services like health care and education

and supporting trades and business opportunities. I am proud that many of

these investments will benefit the people and families who live and work in

B.C., as well as in my community of Burnaby. These include nearly $547

million to upgrade the hospital so people can get the best care possible; a

$73 million contribution to student housing at Simon Fraser University and a

further $6.6 million for SFU’s Cedar supercomputer; $28.6 million for

seismic upgrades at Parkcrest and Seaforth elementary schools so students

will have a safer place to learn and grow.

I want to make a special mention to Seaforth Elementary School, a

school where I taught for several years while I was a Burnaby school

teacher.

In Burnaby alone, B.C. Housing is investing $15 million to redevelop

91 affordable housing units for low- to moderate-income families and

seniors.

[11:20 a.m.]

Those are just new investments in my communities under Budget 2020.

Government has delivered on key affordability promises to B.C. families.

Significant progress has been made to give parents better access to

affordable, quality child care throughout the province. So let’s take a look

at the numbers.

Since 2017, this government has invested more than $630 million in

child care. More than 27,000 kids are getting child care for $10 a day or

less, and 10,000 early childhood educators are getting wage enhancements.

Our investments have put $360 million back into the pockets of parents

through child care reduction fees and the affordable child care benefit.

When the new child opportunity benefit is introduced in October, thousands

of parents, especially those who need it most, will see further

savings.

Right in my community of Burnaby–Deer Lake, government has invested

more than $6.6 million in child care, and nearly $4.5 million of that has

gone right back to the pockets of parents in my community. Numbers don’t

lie. The choices this government has made and continues to make are

providing direct supports to people and families. They are making life more

affordable.

As Eleanor Roosevelt said: “For our own success to be real, it must

contribute to the success of others.” This is true for our government as a

whole, and it is true for the Ministry of Citizens’ Services. My ministry

often does a lot of work behind the scenes to help other ministries

shine.

For example, Citizens’ Services is responsible for monitoring and

keeping B.C. government systems safe 24-7. Our ministry houses the

government digital experience team or GDX. They’re ultimately responsible

for the government’s website, which hosts nearly 41 million visitors and

more than 100 million page views last year. Government content also appeared

in Google searches more than 171 million times just last year alone. The GDX

team has also run more than 70 public engagements this year through

govTogetherBC, including the one on daylight saving time with the Ministry

of Attorney General. More than 220,000 people shared their opinions through

this record-level engagement.

When mills and mines and other operations shut down, people face an

unknown future. Resource-dependent communities often need to find ways to

diver­sify their economies and revitalize their workforce. Internet

connectivity and infrastructure falls under Citizens’ Services and can be a

key economic driver for communities. Connecting people to high-speed

Internet provides increased opportunities for health care, education, small

business and tourism.

Our 65 Service B.C. centres, along with our provincial contact centre,

play a key role in providing information and connecting people with services

and support they can count on. Our motto at Service B.C. centres is “Service

with heart.” These service centres are the face of government in many

communities, especially those in rural and remote areas of the province.

People can go there to renew their driver’s licence, apply for income

assistance or get a fishing permit. Our staff can connect people to more

than 300 government programs and services in 140 languages. The B.C.

Services Card is making it easier for people and businesses to connect to

the government service they need.

My ministry is also responsible for the B.C. procurement strategy, so

we work with organizations of all sizes to make it easier to do business

with government. Programs such as Code with Us and Sprint with Us are easier

to navigate and are more transparent than traditional approaches. These

programs have resulted in a nearly $12 million investment in the B.C. tech

sector.

[11:25 a.m.]

Citizens’ Services owns a piece of the province’s CleanBC strategy as

well. The CleanBC government building program launched in July 2019. It will

help ensure that more than 1,000 facilities, in-province owns and leases

become more sustainable and eco-friendly.

These are just some of the ways that my ministry contributes to the

success of others. As you can see, there’s a lot happening, and you don’t

need to look very far to see how interconnected my ministry is with other

ministries.

I want to take some time to tell you a little bit about an area of my

ministry that has got some budget increases for key projects such as the

real property division. My ministry manages about 1,800 buildings throughout

the province, including those assets we manage on behalf of our clients.

These buildings are just one part of the province’s overarching strategy to

deal with climate change.

The CleanBC government building programs are making existing buildings

more energy-efficient. These programs will help reduce emissions and energy

consumption while also saving public dollars. We are working to create

net-zero-energy-ready facilities throughout the province. Our target is to

make government buildings 80 percent more efficient by 2050 when compared to

the standards of 2010. We will use smart technologies like Wi-Fi building

sensors to regulate lighting, and we are working on a plan to replace the

aging heating systems like the one here at the Legislature.

The province is offering rebates of up to $6,000 for purchases of

electric vehicles, and Citizens’ Services has installed 45 electric vehicle

charging stations. At least 50 more stations are going to be

in­stalled in the coming fiscal year.

Through leading workplace strategies, we are creating flexible and

modern work environments to support a growing mobile workforce. An example

of this is the new government workplace that will open later this year in

Langford. The space will enable government workers who work on the West

Shore to spend more time with their families and less time idling in

traffic.

The ministry is leading the construction of the new Abbotsford

courthouse complex and has completed the expansion of the Surrey Courthouse

and city hall, as well as the adolescent treatment centre in Coquitlam. Both

facilities recently received gold certification for leadership in energy and

environmental design.

My ministry is also working on the construction of the Nanaimo

Correctional Centre and facility improvements for the Ministry of Social

Development and Poverty Reduction service and delivery offices. Improvements

are also underway for community corrections centres around the province.

This includes improving segregation cells in our corrections centres. These

will provide better services to some of the most vulnerable members of our

society.

We will also continue to provide information management and

information technology service to public servants across the province and to

maintain government systems to keep information safe and secure.

I would like to repeat the earlier quote. “For our own success to be

real, it must contribute to the success of others.” The public servants at

Citizens’ Services do an amazing job, and I offer them my most sincere

thanks — their success through the work they do to keep the engine of

government running and to be the face of government throughout the province.

In turn, we support other ministries to be successful, and that contributes

to the success of government as a whole.

What does government success look like? Making life more affordable,

creating good jobs that pay well, better supporting the people who need it

most, improving the supports and services that all British Columbians count

on and building a strong, vibrant economy in every corner of this province

so people can harness opportunities and reach their full potential. That is

what good government and successful government looks like. Our government is

putting people first, and we will continue to work hard for British

Columbians. I’m ready for the work ahead.

B. Stewart: It’s a pleasure to be here for both my constituents and the business

owners who are counting on Budget 2020 and 2021 to help make life better,

brighter for their families and their businesses.

[11:30 a.m.]

I’m proud to join the debate on the budget, and I have to say that it

is along the lines of what the member for Chilliwack mentioned earlier —

that it is a very kind of rosy picture about things in the throne speech

that we thought we might be seeing in this, but when you dig down deep, it

isn’t quite that. I’m going to talk a little bit more about that.

This is the third full budget from the NDP government. During the past

2½ years, we — and British Columbians — have heard many empty words about

the NDP’s big promises. What we really got were more excuses than real

actions — misleading numbers with no action.

Many members in this House will remember the previous NDP government’s

notorious fudge-it budgets. There were some in the ’70s and some in the

’90s.

As you will remember, the government itself took many years to dig out

and recover from overspending and high levels of taxation. The members that

are here on the government side should remember the fact that we went from

the best to the worst, basically, in terms of what we were doing, in terms

of economic output and what….

Interjection.

B. Stewart: It was the ’90s, Member, just so you know. You weren’t even here, and

you don’t know anything about the corporate capital tax, because you didn’t

even have a business, and you wouldn’t know anything if it….

Anyway, my point is that this is a continued rerun of the same movie.

I don’t want to take away from the aspirational goals of the government, the

ministers and the members from that side of the House. It’s about promising

everything and not being able to actually afford it. The situation is that

we continue to have a tax-and-spend budget that does little to stimulate

investment and employment.

That’s how the government creates the basis of revenue for this

government. It essentially creates a strong, healthy, vibrant economy that

does the right things to being able to help the people that have less, that

need a hand up, or the areas we want to incentivize — whether it’s education

or the people needing to have shelter or being able to help reduce

addictions and the mental health issues that we all know are out there. We

could spend the entire budget of the government and still not have all of

the things, the solutions that we know we need to have on that. We have to

take it in small bits and pieces.

This government is reaching a surplus by grabbing money from taxpayers

and businesses. I think it’s fair to say that the messaging, as you see it

on TV every day, is: “Everything is okay. We’re making life better. We’re

making life more affordable.”

The fact is that when you look outside — just outside here, a few feet

from where I’m standing today — we have protesters chained to the gates of

the Legislature, trying to make a point about what it is they see that the

government should be doing to make life better for them. How many of these

protests and rallies do we have to see at the Legislature before we can

actually deal with the business of government — getting on with the task of

making certain that we debate the budget, that we get down to estimates and

look at the real issues?

There’s no question that the government and the ministers are working

hard on reconciliation in trying to do that. But the reality is, the rule of

law, which the Premier mentioned was going to be followed in this particular

case…. We’ve seen little example of that in British Columbia here to make

that a reality.

What does that show you? It shows incompetence. It shows an indication

of industries that are going downhill. It shows that this NDP government has

no idea about the economy or fiscal management. To do proper fiscal

planning, one must identify deficiencies in the economy, figure out which

part of the social structure requires attention and then use available

resources to achieve particular goals. It requires vision. Our society

should be run in a cost-effective way. This NDP budget is anything but

cost-effective.

[11:35 a.m.]

Since the NDP took office, we know, and you know, that there are 23

new or increased taxes. Taxes are up $5.7 billion. That’s over 10 percent of

the budget that was presented in this House prior to the election in 2017.

It’s going to go up to $8.8 billion. These are staggering numbers. Where is

that money coming from? Is the economy growing so well that we can all see

that there is increased tax revenue coming in?

How about the forest sector? I mean, we know that they’re not going to

be pulling their weight of their contributions. The numbers I have seen in

terms of employment numbers…. Forget about forestry, which has a staggering

number of people that are out of work. But even the mining sector, which we

had here in this House yesterday, has significant reductions in

employment.

The fact is that these core industries, our natural resource

industries…. Whether it’s opposition to Coastal GasLink, whether it’s the

forest sector, whether it’s a downturn in terms of minerals and commodity

prices, the bottom line is that we need to have a healthy economy on all

fronts, and that includes technology and all the other clean sectors that we

do want, but we’re not there yet.

The bottom line is that when you calculate out those costs, that means

that every British Columbian household will have to pay $4,700 more per year

by 2022 with this budget. They’ve also increased the tax bracket on

high-income earners, which was a new super tax that was brought in last

year. That increases from 16.8 up to 20.5 percent, and it’ll put the

combined top marginal tax rate at close to 54 percent.

We must ask: how do these endless taxes put B.C. in the rank of a

national and global market? And that’s important, because we have to be

competitive. We have neighbouring provinces. We worked hard to attract

businesses here. Many that the government speaks of today about why they’re

locating here….

Why are the businesses, the technology companies, bringing their

headquarters and the people here to lead a revolution in terms of technology

and other things like that? It’s because we had a competitive environment.

But all of a sudden, in three budgets, we’ve now gone backwards, where we’ve

taken all of the advantages we had, and we said: “You can afford to pay

more.” Of course they can, especially if it’s through the corporate income

tax. If it’s through the other things, like where we’re trying to attract

the best of the best, whether it’s from the United States or other countries

around the world, we have to have a competitive income tax system so that we

can compete.

We have a great lifestyle here. Don’t get me wrong. There are lots of

natural advantages we have, but there is a balance, and we’ve got to make

certain that we retain the balance between those. We’ve heard from multiple

organizations arguing about how policy-makers in Victoria have to improve

B.C.’s fraying competitive position in a fast-changing world.

Here’s what the B.C. Business Council said, specifically about the

higher personal taxes on a small slice of the population. It “will generate

less incremental revenue than the government is forecasting and undermine

efforts to foster a more innovative and entrepreneurial economy.”

We hear that from the Minister of Advanced Education. In education, we

want to be the most well educated. We want to have the best systems. Those

are great aspirational goals. We on this side of the House support that, but

the bottom line is we have to make certain that we can bring those things

together so that we can help that develop here in British Columbia, and it’s

a journey. It’s not one kind of adjustment that makes this all

happen.

It’s hard to see how these taxes are going to help attract top

companies, talents and retain headquarters of global companies in our

province. Capital is very fluid. This morning we saw in the New York

Times the reaction to what happened yesterday with a headquartered

company here in British Columbia shelving a proposed energy project.

Regardless of what it is, the bottom line is that capital is questioning

whether British Columbia is the right place to invest. That’s what we’re

looking for. We’re looking for certainty.

The bottom line is that the member who’s responsible for creating

jobs, etc…. They’re going to be under threat because of the fact that

capital moves around the globe. I’ve seen it. I’ve been there.

[11:40 a.m.]

I know, when we had the last financial crisis in 2008, we had lots of

issues around our financial institutions in British Columbia. We stood firm

on the fact that we were a responsible place to invest in, where there was

certainty. If you had permitting, whether it’s around the environment and

you were investing in forest products, pellet plants, energy products, etc.,

we provided stability with the certainty that we were not going to all of a

sudden, once you had invested, be able to jack up the taxes that you had to

pay here.

Over time, headquarters will leave, taking jobs away from B.C. I

certainly hope that for the foregoing company that I just mentioned, that

doesn’t happen, because they have a big base here. They have a lot of

investment. They affect communities from Elkford to Logan Lake, Ashcroft,

all across this province, and they are a super important company that is

very responsible about what they do here in this province.

The NDP government is under the illusion that B.C.’s economy is doing

great. They touted about the low unemployment and the strong economy. My

colleague, who, as many of you know, is an economist by training, looked out

at some of the numbers that are produced just by B.C. Stats. He’s pointed

out to myself and my colleagues about just how the numbers really are. I

know that we can look at the percentages, but the reality is that…. I

mentioned mining and oil and gas. They’ve seen a decrease in employment over

the last year — 3.4 percent in mining and oil and gas at the start of 2019.

Here we are in January of 2020, and they’re down 9.4 percent.

Forestry. I mean, it’s a complete basket case, going down 8.5 percent

last year and down 40.4 percent in terms of employment. We all know the

stories about the people that are at home with no future prospects. What

does this budget provide for families that are in the Cariboo, the Chilcotin

or in the Robson Valley or maybe on Vancouver Island, where they’ve had the

longest strike in recent memory, maybe the longest strike ever in British

Columbia history? The bottom line: although it’s settled, think about all

the families that are dependent on those workers working for Western Forest

Products.

We have seen unemployment. It has gone up from 4.4 percent to 4.8

percent from just a year ago. We continue to lose full-time, private sector

jobs, which is at about 32,800 in just the last eight months. We’ve seen 100

mill curtailments, ten permanent and indefinite shutdowns, including the one

in Kelowna in my own riding. Tolko officially closed this January, which is

following on the loss of the veneer plant which eliminated over 100 jobs a

year or so ago, and now we have another 125.

It is about them, but it’s all of the other support industries that

are so reliant on the fact that the repairs and maintenance and the supplies

that go into running a mill…. All of those jobs have been cut back or

curtailed because of that.

We proposed on this side of the House a five-point action plan to

provide tax relief to the industry, but the NDP government has decided with

this budget and the last budget that the way forward should be to cancel the

rural dividend fund and reallocate portions of that into transition funds.

We just don’t believe that that’s enough to help keep this industry alive,

healthy and well.

What else is there for workers in the province? To add insult to

injury, due to the union benefits agreement, 85 percent of B.C. construction

workers cannot participate in B.C. projects unless they are part of the

NDP’s handpicked unions. Workers in B.C. are suffering, and the NDP

government is congratulating themselves on the wonderful job they’ve done.

Isn’t that ironic?

Under this tax-and-spend governance, economic growth in B.C. is

slowing down more rapidly than expected. Their speculation tax doesn’t

address speculation. It only makes housing less affordable. I know in my own

community, they collected over $1 million in West Kelowna and four times

that in the city of Kelowna. Now, they were promised by the Finance Minister

that that money would be used in their community and returned to

them.

[11:45 a.m.]

Just yesterday the Finance Ministry confirmed that that money is not

going to be returned. It is actually going to be allocated and distributed

on projects within the communities, and that’s how the accounting is being

done, whether it’s supportive housing or not. I don’t know how that’s making

life more affordable for people that, as we heard in question period today,

are faced with huge increases in insurance.

I would say that if this isn’t dealt with in a timely manner, we could

see a correction or a total collapse of housing in the condo market, because

the banks aren’t going to finance it. The insurers aren’t going to insure

it. I realize that that’s a new problem, and it’s not one that you can find

an overnight solution to. But the reality is that the speculation tax is

having an impact in a negative way in making homes more

affordable.

Take the employer health tax. So we heard all the rhetoric. The fact

is that employees aren’t going to pay this anymore — MSP. The half that was

left was paid last year by employers that were paying it, plus the employer

health tax. So they double-dipped last year. This year they’re just going to

pay that. Now the employers are starting to feel the real pinch of what’s

happening with the employer health tax. The fact that…. It really is

impacting. It’s impacting whether they can afford to hire new employees,

whether their products are going up in price to make certain that they can

maintain a reasonable margin to sustain their business.

These are the types of things that those types of taxes bring on to

business and make…. They don’t make life more affordable. They make it more

difficult to conduct and run a business. This is a concern of mine, because

it just is incomprehensible that the government and the Finance Ministry

could possibly think that this linear effect of adding taxes onto businesses

is not going to have an impact. It has an impact.

In order to create a product and know how taxes affect the

decision-making process, this is what small businesses…. Now, if we look at

the small business sector in British Columbia, it’s a huge portion of the

British Columbia economy. It’s not the big sawmills and the mines. They’re a

part of it. It’s not the big tech companies that are here. It’s small

businesses — mothers and fathers that are trying to eke out a living having

a business, maybe with two or three employees, trying to get ahead. They’re

the ones that are feeling this. The bottom line is that they are not in a

position where they can sustain or increase growth. Where is the

opportunity?

So we have small businesses that are, frankly, the backbone of local

economies. We’ve seen them completely either wiped out or devastated in the

forest-dependent communities, and the situation is that they’re providing

important employment and providing goods and services to our communities. We

should always be making certain that we measure the business climate by how

our small businesses are doing.

However, we just saw the latest report of the small business

confidence levels since the financial crisis. This last November, business

investment growth slowed to 4.1 percent from 10.5 percent previously. The

B.C. chamber survey found that 79 percent of its participants said the cost

of doing business had worsened, and 49 percent said that their confidence in

the B.C. economy had declined in the last year. You cannot tax and spend

your way into all of the services that you want to provide. It has to be

thoughtful, and it’s got to make certain that it is respective of the fact

that we have to have that healthy tension.

Instead of the rosy picture that the NDP is trying to paint, I am

seeing a very grim road ahead for our province, especially when the budget,

for 16 of 22 of the government’s ministries, has been reduced in this

budget.

What was the reason for that? I mean, the budget’s gone up. Taxes have

gone up. And here we are. We’re stripping or cutting back, and we’re saying

that these ministries can provide an increased level of service, or maybe a

reduced level of service. I assume that we’ll find that out during the

estimates process.

The situation is that over two-thirds of them have had their budgets

cut, and the government has had a mandate to settle with its employees, the

people that work in those ministries, on a 2, 2 and 2 settlement basis, let

alone whatever happens with the B.C. teachers in terms of the mandate that’s

there. The bottom line is: where is the money going to? A reduction in the

budget means a reduction in the services of these ministries.

[11:50 a.m.]

I know that the Minister of Citizens’ Services just spoke. We do see a

big issue. I had the opportunity, as she did, to be a participant at the

recent privacy conference here in Victoria. Having been the minister at one

point and watched successive changes in terms of the technology and how

people are using that technology to undermine privacy within private

business and government, many of these concerns have to be taken seriously

by the minister and her ministry.

To have a reduction in citizens’ services…. She talked about increases

where there is money to be allocated, but how are we going to work harder

and smarter to make certain that protection of privacy is upheld? We

recently saw an example, last fall, of a company here in British Columbia, a

supplier to the Ministry of Health, LifeLabs, held hostage and having to pay

a ransom for, basically, the information that they had gathered.

Now, at the privacy conference, they talked about how these companies

infiltrate these companies. They spend half a year or more getting their

position where they’re essentially going to make their demands. It doesn’t

necessarily mean that it ends there. The numbers are staggering, what

they’re asking for. Recently, there was a decision Deloitte mentioned during

the conference that almost $1 million was paid out by a Canadian insurance

company that had had its privacy compromised. So it concerns me greatly that

at this time when the need is most to make certain we’re protecting privacy,

we are reducing budgets in that area.

I can’t help but also talk about, as co-critic on Trade, how important

growing the economy is. The fact is that we’ve seen declines in terms of our

exports in the last year. There was a 6.4 percent decline in value of B.C.

origin exports in 2019. As well, softwood lumber shipments are down by 25.7

percent, which is no surprise, but shipments of metallic minerals are down 9

percent.

[Mr. Speaker in the chair.]

Exports to most of B.C.’s major trading partners have declined,

including down 2.8 percent to the U.S., 3.6 to mainland China — this is

based on historical numbers — 12.9 percent to Japan and 11.8 to South Korea.

B.C. exports are in decline. The blockade of the last few weeks meant that

vessels have been sitting still, unable to move products to global

customers. What has the NDP government done to solve the problem? Not

much.

In addition, we have the looming threat of coronavirus that is going

to impact. It already is impacting global markets, and it’s going to impact

British Columbia. It’s going to impact demand for our products, whether it’s

clean energy, minerals or whatever is needed to help do that. But the

situation is: what has the government done to help mitigate moving and

getting those goods to market?

Noting the hour, I move adjournment of debate, and I reserve my right

to speak at the next sitting of this House.

B. Stewart moved adjournment of debate.

Motion approved.

Hon. S. Robinson moved adjournment of the House.

Motion approved.

Mr. Speaker: This House stands adjourned until 1:30 this afternoon.

The House adjourned at 11:54 a.m.

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