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March

25, 2013 HOUSE OF ASSEMBLY PROCEEDINGS Vol.

XLVII No. 1

The House met at 2:00 p.m.

MR. SPEAKER (Wiseman): Order, please!

Please be seated.

SERGEANT-AT-ARMS: Mr. Speaker, the Justices of the Supreme Court have

arrived.

MR. SPEAKER: Admit the Justices of the Supreme Court.

SERGEANT-AT-ARMS: Mr. Speaker, His Honour the Lieutenant Governor has

arrived.

MR. SPEAKER: Admit His Honour the Lieutenant Governor.

[Mr. Speaker leaves the Chair]

[His Honour the Lieutenant Governor takes the Chair]

SERGEANT-AT-ARMS: It is the wish of His Honour the Lieutenant Governor

that all present be seated.

HIS HONOUR THE LIEUTENANT GOVERNOR (Frank F. Fagan, CM, ONL, MBA):

A Sustainable Future for Newfoundland Labrador

Mr. Speaker and Members of the House of Assembly:

Since 2003, My Government has taken series of deliberate actions to raise

Newfoundland and Labrador, step by step, from underperformance toward the full

measure of its potential. The journey has not been easy, and the work is not yet

done, but how far we have come!

Prior to 2003, people were moving away from Newfoundland and Labrador by the

thousands for lack of work. The tax burden on families was excessive. Critical

infrastructure was crumbling from neglect. The government was hamstrung by the

highest per-capita debt in the country. The province relied heavily each year on

equalization payments just to provide basic services comparable to those in the

rest of the country. Newfoundland and Labrador was in a downward spiral.

Thanks to the leadership of My Premier and My Government, and the deliberate

efforts we have taken together since 2003, all of that has changed. More people

are working in our province today than ever before in our history. With 70,000

job openings on the horizon thanks to the Muskrat Falls development and other

important initiatives, people are now moving here. Families are paying half a

billion dollars a year less in taxes than they were paying a decade ago.

Consumer spending is up. Housing starts are up. Capital investment is up.

Critical infrastructure has been replaced or repaired. Public debt has been

reduced by 28 per cent. We no longer need equalization to raise our revenues to

the Canadian average. We are generating these revenues on our own, and we are

now able to contribute to the Canadian family. That does not mean we have a

windfall to spend. It simply means we are paying our own way. That is what it

means to be a "have" province. And all Newfoundlanders and Labradorians are

sharing in the benefits of the gains that we have made.

But all the gains we have made are in jeopardy if, at this critical juncture,

we choose the wrong path forward. We are at a crossroads, and there are two

fundamental reasons why.

The first is that our primary source of new revenue is oil. Not only is oil

non-renewable, but it is also subject to large and unpredictable price

fluctuations on the world market. From Alberta to Ottawa and beyond, all

jurisdictions heavily reliant on oil revenues have suffered large reductions to

their bottom lines this year because oil prices have tracked far lower than the

because of the reductions in natural resource revenues. We must diversify away

from an over-reliance on oil if we are to put our economy on a solid,

sustainable footing. My Government made this crystal clear in its 2007

comprehensive energy plan. That is why developing the renewable energy resources

of Muskrat Falls is so important to Newfoundland and Labrador's future.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

The second major threat to the gains we have made is just as fundamental.

Newfoundland and Labrador's public sector costs are greater than our economy can

afford or sustain. This province's public sector spending per capita is the

highest of any province. There are only two ways to pay for that level of public

spending taxes and borrowing. But, when taxes are too high, they crush the

very economy that the government is supposed to be serving. And when debt is too

high, the cost of servicing that debt becomes a crushing obligation, draining

revenues. Unpaid debt leaves our children a burden that crushes their

opportunities. We cannot borrow for our day-to-day spending and send the bill to

our children down the line. Newfoundlanders and Labradorians understand this.

We have to live within our means and continue to set clear and responsible

priorities. It is about a balanced plan, a sustainable approach. To that end, My

Government embarked last year on a Core Mandate Review to identify efficiencies

and eliminate duplication and waste. The review protects essential functions

while identifying innovative ways of consolidating and streamlining operations

to meet these core functions more effectively and more affordably.

With our economy now stronger than ever and private-sector employment at

record levels, this is the prudent time to take on the challenge of focusing on

critical priorities, streamlining our public sector accordingly and zeroing in

on the initiatives that place our province's economy on a solid, sustainable

footing for the decades to come. Let no one pretend we have arrived. Let no one

pretend the need for fiscal prudence has passed.

Truly, Newfoundland and Labrador is at a crossroads. Two paths loom before

us: the path we are on, and the path that inevitably leads back to where we were

a decade ago.

Still, there are some voices in this province calling loudly for us to take

this other path to grow the size and cost of the public sector and raise taxes

and public debt levels to pay for it. These same voices have also disagreed with

My Government's decision to develop Muskrat Falls. They have disagreed with

shifting from an overreliance on oil to a more-diversified economy with a stable

revenue stream from renewable energy. Their path would lead us back to the

predicament from which we have come high debt, high taxes, less consumer

spending, less investment, less employment, fewer people, fewer opportunities,

and a bleaker future for our children and all of us. My Government will not

choose that path. We know where it leads. We have come too far and learned too

much to turn back the hard-won gains that together we have achieved.

Mr. Speaker and Members of the House of Assembly:

The path forward is about setting sound priorities. My Government is

listening to Newfoundlanders and Labradorians. We will continually examine best

practices to ensure we provide public services in the best ways possible.

The path forward is also about sustainability. There are many ways My

Government is working to make our economy more sustainable and secure. We are

diversifying our economy to reduce exposure to the fluctuations in the prices of

commodities such as oil. We are investing in business attraction, retention,

expansion, innovation, research, development and trade. We are continuing to

improve strategic infrastructure to attract new investment while making equity

investments of our own to foster growth. We are assessing options to put

pensions on a solid footing so they will be there for those who need them. We

are running the government the way a sound business is run in accordance with

effective management principles. We are continually planning forward and making

decisions strategically, with a view to their implications both now and over the

long term. In this way, we are planning for the needs of today while securing a

stronger, more-sustainable future.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

The path forward is also about innovation about finding new and

more-effective ways of achieving our goals. We cannot dismiss out-of-hand the

suggestion that there might be better approaches worth trying just because

things have been done a certain way year after year. There is always room to

improve. We can learn from the pioneering approaches and best practices of other

jurisdictions, just as they can learn from ours. In poverty reduction, ours is

the model to follow; in other sectors, we may have things to learn. Some of the

best new ideas will come from our own people, who have seen how things work and

thought hard about ways of doing things better. We need to remain open to that

open to innovation; open to suggestions. New ideas are being reflected in our

approaches to providing infant child care, home care, child protection,

policing, career placement assistance, and business and regional support

programming. New ideas are reforming our approach to public procurement to get

more value for the money we spend. "Thinking outside the box" is not just a

catch phrase: it is a principle we are embracing, because it improves the ways

we govern while improving the lives of the people who we serve.

My First Minister, the Premier, is guiding this process with a keen eye to

the impact on people. She is honest with Newfoundlanders and Labradorians about

the challenges and choices we face, bringing her experience to the table and

listening to others who have perspectives and particular expertise to offer.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

She is a champion for the vulnerable with an appreciation of the value of

self-reliance; an appreciation of the role of the private sector in generating

the new wealth our economy requires to thrive; an appreciation of the need to

encourage our youth in building the society that they will inherit from us. My

Premier is determined to leave our children a legacy more sustainable and secure

than the circumstances we inherited. She has a plan for our province.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

This Sustainability Plan will guide our approach moving forward. It is a

fresh approach to governance, with a clear focus on the people we serve, the

priorities we stand by, the results we need to achieve, and the path that will

get us there. Good governance means serving the people as effectively as

possible while living within our means. It means making choices that will leave

our people better off than they would otherwise be. That is the essence of

sustainability.

Mr. Speaker and Members of the House of Assembly:

Growing our economy is at the centre of what we do. Growth sustains us.

Businesses, industries, and the people they employ are at the heart of every

thriving community. The government's role is to create the conditions for

growth, open doors, build networks, promote partnerships, educate and inform our

people, showcase our strengths, foster innovation, and till the soil so new

enterprises can take root and our communities can continue to thrive.

Nowhere are the opportunities more promising than in the Arctic. Why

shouldn't we be leaders in the Arctic! We are home to Arctic peoples. Boasting

one of the harshest marine environments in the world, our people have been

harnessing the oceans for hundreds of years. Investing in the Arctic,

economically, is simply the next step. Our government's Research & Development

Corporation is spearheading ArcticTECH, a new three-year program that will make

the most of our competitive advantages, our location, infrastructure, and proven

track record in the harshest of environments. RDC has also partnered with

Statoil Canada to leverage an investment of $5 million in private sector-led R&D

right here in Newfoundland and Labrador that will prepare us to fill key

technological gaps in Arctic oil and gas development.

And that's not all. Through the Arctic Opportunities Initiative, our

innovation department is working with the Nunatsiavut Government, local

businesses, organizations, and communities to identify lucrative prospects in

the Arctic.

We are linking our experts, combining our capacity, and marketing this

province nationally and internationally as the gateway to the Arctic. For those

not afraid of a challenge, the Arctic offers incredible opportunities, jobs and

returns on investments. And we can do it all from a staging ground here in

Newfoundland and Labrador.

The same harsh marine environment that prepares us for leadership in the

Arctic also prepares us for leadership in the ocean technology sector here at

home. Our "blue" technology sector is on track to grow in value to more than a

billion dollars a year. A US-based trade publication is already celebrating our

Province as "standing tall as an international epicenter of marine technology".

Through partnerships linking the government, Memorial's Marine Institute, the

private sector and companion institutions as far afield as China, we have

positioned Newfoundland and Labrador to take the lead in pioneering blue-tech

solutions to challenges confronting costal states around the world. Imagine

that!

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

All sizes of businesses, large and small, can secure new business

opportunities. So while we are pursuing the diversification agenda, there are

opportunities for small- and medium-sized enterprises with major projects and

resource development on the island and in Labrador. Supplier development helps

local companies identify new business opportunities within major industrial

projects. This program connects small- and medium-sized enterprises with large

industrial projects by making them aware of how the supply chain for those

projects works and introduces them to the specific opportunities and the players

involved. Capitalizing on supplier development opportunities, particularly in

terms of our major projects, is critical. We need to make sure our local

companies have the information, skill and financial resources required. My

Government supports economic growth through strategic investments in sector and

market development, research and development capacity, key infrastructure, and

workforce development. Investments made by the government are strengthening the

business environment in Newfoundland and Labrador. Small and medium-sized

businesses are helping diversify the provincial economy, develop innovative

industries in our regions, and attract talent to our province.

We are transforming rural communities through leadership in aquaculture, and

continuing to invest in innovation in agriculture through Growing Forward.

Diversification enhances sustainability. That is why in all of these sectors and

more, we are making investments to broaden our economic base. From tourism and

the arts to fisheries and geosciences, even in a year when public spending is

being reined in, the sum of our investments in growth will remain enormous and

the impact will continue to be huge and lasting.

To enhance sustainability, My Government has set its sights on improving

telecommunications. Since 2003, through cooperation with industry, we have

increased access for Newfoundlanders and Labradorians to where today, 87 per

cent of the island and 95 per cent of Labrador has broadband access and I have

to say, tremendous, tremendous.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

As impressive as that is, it is about to get even better with the

announcement this month of a major investment in Phase II of the Rural Broadband

Initiative. By working collaboratively with a blend of wireless and wired

providers, My Government is fulfilling its Blue Book commitment "to advance

initiatives that improve broadband access" and make Newfoundland and Labrador a

technology leader in the 21st century.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

Here is the real secret to sustainable, long-term growth: innovation and

collaboration. By thinking inventively and working together, we can make our

investments work harder. By linking up, we can make it easier for new developers

to link in and gain the solid foothold they need to thrive. That is why we are

working, not just with industries, but also with regions and municipalities to

promote regional growth and success. We will commence engagement with key

stakeholders, including Municipalities Newfoundland and Labrador, on a potential

comprehensive fiscal framework that is sustainable and works for municipalities

in the province.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

We are partnering with the Newfoundland and Labrador Organization of Women

Entrepreneurs, to leverage the strengths of women in business to help drive our

vibrant economy. We are partnering with the Newfoundland-Labrador Federation of

Co-operatives through a brand-new five-year memorandum of understanding. Four

out of five dollars of the development money we invest goes to rural regions

because we want those regions to succeed.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

We are leading a collaborative approach to economic development

province-wide, partnering with municipalities, community development

organizations, industry associations, business groups and private enterprises to

get regions growing to get regions benefiting fully from the opportunities

springing up all around us.

We celebrate the progress we have made in developing strong and respectful

relationships with Aboriginal peoples who contribute to this province's rich,

vibrant culture. Building on land claims, negotiated frameworks and resource

development, together we continue to strive for socio-economic success in our

Aboriginal communities.

We are focusing, not just inward, but outward, counselling companies on how

to make inroads in new markets across Canada and abroad. Trade means profit. We

are helping companies knuckle down to develop robust marketing plans and growth

strategies that maximize their strengths and capture new customers around the

world. Their successes abroad benefit all of us here at home. That's why we are

opening doors through trade missions, not only to traditional markets in the US

and Europe, but also to growing markets in Brazil and China, where opportunities

for growth are off the charts. Thanks to the annual international mining expo in

China's Tianjin, for example, Labrador is getting unprecedented attention from

investors with money to spend. In Europe, one of our major markets for fish

products, Canada is working to reach a new free trade agreement. We welcome free

trade there as well, as long as it means removing barriers that disadvantage our

products, or improving access to our products. Newfoundland and Labrador will

aggressively work to open up new avenues for trade, as long as those trade

agreements are truly fair and do not compromise our best interests.

Trade is something we've been doing for centuries. We understand that a

successful fishing industry must respond to the evolving preferences of global

markets and international competition. After several months of intensive

negotiation, the province and Ocean Choice International reached an agreement to

reopen the Fortune fish plant to process its unutilized yellowtail quota.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

This agreement will return a minimum of 110 workers to the plant when the

retrofit is complete and secure an additional 126 year-round harvesting jobs. We

are confident our partnership with OCI to process yellowtail for the Burin

Peninsula will prove to be a resounding success.

In western Labrador, the mining industry is abuzz about new prospects for

iron ore. The Julienne Lake prospect is a hot commodity, for which the province

has already solicited Expressions of Interest and has most recently invited six

interested parties to submit detailed proposals. Our goal is to secure yet

another new mining venture in Labrador and additional long-term revenue and jobs

for the people of our Province.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

Off the coast of Labrador, there is tremendous excitement over the discovery

of three new basins and the doubling in size of an existing basin with the

potential for the discovery of more oil.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

Thanks to the province's investments in geoscience under our Energy Plan, our

offshore is yielding new and unexpected finds. It is offering the promise of

expansion beyond the current projects at Hibernia, Hibernia South Expansion,

Terra Nova, White Rose, North Amethyst and Hebron. Our offshore is not done

yielding good news yet. Far from it! To promote even more interest and

competition in our offshore, My Government will work with the federal government

and the Canada-Newfoundland and Labrador Offshore Petroleum Board this year to

improve the competitiveness of our land tenure system to open up new

opportunities for growth.

Newfoundland and Labrador is now recognized as a frontrunner in promoting

strategic and sustainable energy development in Canada, thanks to this

province's leadership in developing the hydropower resources of Muskrat Falls.

Through this project, we are opening a new energy conduit in eastern Canada

while putting our own province's economy on a strong, sustainable footing. My

Premier is also working alongside the Premiers of Alberta and Manitoba in

leading the development of a new Canadian Council of the Federation energy

strategy.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

Newfoundland and Labrador is seen across the country as a leader in driving

energy development, cooperation and innovation.

Growing our resource sector benefits all of us. The more our resource sector

grows, the more development revenues they generate, and the less taxes we need

to collect from people to pay for the services we provide.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

Resource sector growth supports population growth by providing a solid

foundation on which people can build for the future, sink down roots, ground

their families, and make strong and lasting connections. Strong, thriving

communities attract and anchor the skilled workers our economy needs.

This principle has motivated My Government from the very start. A decade ago,

it identified the solution that would meet the demand for skilled labour in our

province while at the same time addressing the need in our communities for an

influx of young families. A decade ago, it recognized what was wrong that needed

fixing. New post-secondary graduates were hamstrung by burdens of debt so

onerous that many had to leave the province to find jobs lucrative enough to pay

those debts down. Others who would have benefited from developing post-secondary

skills were scared away by the high costs of going to college. They were instead

heading out west for whatever jobs they could get. Newfoundland and Labrador was

hemorrhaging its brightest and best, and largely because of a failure to

appreciate the importance of accessible and affordable post-secondary education.

My newly elected Government immediately took aim at the problem by launching a

White Paper on Public Post-secondary Education followed by the Skills Task

Force. The goals were clear. Prepare our young people with the skills they would

need for the opportunities coming down the pipe, and reduce the burden of debt

that was deterring them from putting down roots here, buying homes and starting

families.

Well, what a difference a decade makes! Today, Newfoundland and Labrador

offers among the lowest tuition fees anywhere in Canada and a student aid

program second to none.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

People once prohibited by costs from advancing their skills are now thriving

at college and graduating free of the excessive burdens of debt that were

driving graduates away. Not only our own children, but students from across

Canada and around the world are forming strong attachments to our province's

communities in greater numbers than ever before, and joining us in lifting our

province up to the next level of sustainable economic activity. What we are

today witnessing is a wholesale transformation of our society. Graduates from

both here and away are now choosing to stay in Newfoundland and Labrador and

make this place home. With an influx of young people and families, we are

beginning to experience the renaissance we have long been seeking, with renewed

vibrancy and new energy to drive growth.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

We are on the right track, and that is why we are determined to ensure

Memorial University and College of the North Atlantic remain among the most

accessible post-secondary institutions in Canada, with the lowest tuition fees

and the best student aid program in the country. That was My Government's Blue

Book pledge, and Newfoundland and Labrador is stronger today because we are

keeping this promise. Our actions ensure the College and the University remain

nimble, responsive and relevant to the needs of the population they serve.

We are also giving our college graduates the leg up they need to access

apprenticeships and obtain journeyperson certification so they are ready to take

the jobs our economy is generating. The high uptake under the Apprenticeship

Wage Subsidy Program and the new Journeyperson Mentorship Program is a clear

indication the programs are meeting real needs. We will continue to open wider

the door of opportunity to those under-represented in skilled trades, including

women, Aboriginal people, visible minorities, and persons with disabilities. To

promote inclusiveness, we will work with employers to achieve diversity

obligations for major agreements and projects, just as we have with Hebron and

Vale.

Our Workforce Development and Productivity Secretariat will lead the

development and implementation of a government-wide labour market strategy. The

provincial government will build stronger partnerships with major resource

developers, other employers, employer organizations, sector associations,

organized labour, community-based organizations and post-secondary education and

training institutions to ensure we stay abreast of our changing labour market

needs and supply challenges so we can quickly adapt, collaboratively and

effectively. By forecasting our needs well in advance and learning to adjust to

shifting circumstances, we will be better able to match people seeking work with

employers seeking workers as each need arises. By linking development to towns,

we will spread the benefits throughout the province.

We are participating in a similar initiative regionally. The Atlantic Work

Force Partnership, sponsored by the Council of Atlantic Premiers, is focusing on

the particular labour needs associated with the mining, electricity and

shipbuilding sectors to ensure we are prepared as demand grows.

My Government's 10-year Child Care Strategy also supports labour market

development by making quality child care accessible and affordable for parents.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

To bring the benefits of growth to individual citizens, we will transform the

province's network of Career Work Centres to an enhanced network of Employment

Centres to take on a greater role in transitioning people from joblessness to

the work force. AES offices will take on this employment-focused role to

complement the already existing network of departmental resources. No one should

be left behind simply because they are not currently in receipt of Employment

Insurance. We want to give all of our people the opportunity to find meaningful

and productive careers so they can share in the opportunities that are growing

throughout Newfoundland and Labrador. The renewed one-stop Employment Centres

will offer people the resources and support of trained staff with the expertise

to help them make a quick and seamless attachment to the workforce. This is a

prime example of the way our government, by finding new ways of doing things,

can accomplish more with less.

My Government realizes that new ways of thinking and new approaches cause

stress and turmoil. It is important to deal with these issues honestly and

openly so people are not caught by surprise, but fully engaged in the process.

My Government is listening. It has heard people's concerns, and it is committed

to making the transitions to new approaches as easy as possible, by working

cooperatively with people to smooth out any rough patches.

Mr. Speaker and Members of the House of Assembly:

No area of public investment is more important than health care.

Nevertheless, spending on health care simply cannot continue to grow at the

current pace without becoming unsustainable. We are convinced there are ways to

spend our health care investments more effectively to maintain and improve the

quality of frontline services while increasing the value we get for these

investments. In this year's Budget, My Government will make investments to

improve the quality and performance of our health care system while ensuring a

continued focus on caring for patients who rely on the services our health care

professionals so capably and compassionately deliver. By finding efficiencies in

how services are delivered, we can continue to make sustainable investments in

programs that deliver results to patients. Health care will not be compromised.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

Patients will not be compromised. But we will do a better job of living

within our means while delivering services more effectively.

As My First Minister, the Premier, announced on the 20th of March, with a

$227 million investment over the next three years, My Government will advance

construction on a new regional acute care health facility in Corner Brook.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

Budget 2013 will provide for the significant advancement of this important

infrastructure project. The new hospital complex will provide vital health

services to the residents of the western region for generations to come. It

includes an acute care centre, a separate long-term care facility with

in-patient mental health services, and a hostel. Construction is expected to

commence in 2015.

As part of the Supportive Living Program, which helps provide housing to

people with complex needs, Newfoundland Labrador Housing has engaged a national

consultant to better understand homelessness in our province. The findings will

inform future decision-making by ensuring we get a clear picture of needs that

may be hidden from view.

Mr. Speaker and Members of the House of Assembly:

We must continue to stake a stand against violence. Last year, My Government

undertook an evaluation of the first phase of the Violence Prevention Initiative

it launched in 2006. Province-wide consultations were complemented by a

provincial attitudinal survey about violence and abuse in Newfoundland and

Labrador. Clearly, there is more work to be done. The information gathered will

shape the initiative's second phase and help us prevent violence against

vulnerable populations, including those who have been sexually exploited.

Violence has emerged as a significant issue among young people, particularly

cannot be tolerated.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

No student should live in fear. In the coming year, My Government will use

information gathered during recent consultations on bullying to inform changes

to the Safe and Caring Schools Policy and protocols, and if necessary, to spur

legislative amendments to address the serious issue of bullying. My Government

will continue to advance the new teacher resource call My Gay-Straight Alliance

to support students with different sexual orientations.

Parents and the public are increasingly concerned about those who are subject

to violence on the internet. Some 80 per cent of the victims of luring and other

violence perpetrated online are young girls. Led by Newfoundland and Labrador,

the Atlantic Ministers Responsible for the Status of Women are working together

to create awareness and prevent cyber-violence targeting young girls online. On

the 11 th of October, the first International Day of the Girl,

MacDonald Drive Junior High School in St. John's became the launch site for the

Cybersafe Girl Initiative. This program provides young girls, their parents and

educators with information on how to prevent young girls from experiencing

violence and abuse on the internet. This initiative was recently showcased at a

United Nations Meeting on the Status of Women in New York as an example of best

practices that other jurisdictions are interested in emulating. Our leadership

online will help keep many young girls safe.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

My Premier has just announced a new task force linking members of the RNC and

RCMP in this province to investigate organized and serious crimes, such as

illegal drug activity and child exploitation.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

Working together in this way, our police forces will make a tremendous

difference in combatting crime and protecting our people, particularly children,

from harm.

Mr. Speaker and Members of the House of Assembly:

Expect to see advances over the next two years in the implementation of

province-wide 911 emergency services near and dear to my heart.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

I am delighted this happened before I die.

Expect to see new legislation in this session to improve safety in the

province's offshore. Even though people labouring on our province's oceans have

been facing risks with courage for generations, My Government believes there are

things we can do and ought to do to solidify the importance of safety in the

offshore oil and gas industry. The first Bill on the legislature's Order Paper

will be amendments to the Atlantic Accord Acts to provide for a comprehensive

offshore petroleum Occupational Health and Safety regime. The amendments will

provide a clear and enforceable regime and provide regulatory-making powers in

offshore petroleum occupational health and safety.

Already, this past September, we provided for the establishment of a Fish

Harvester Safety Association to bring a greater measure of protection to one of

the most dangerous professions in the world.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

As part of our open government initiative, we have started releasing

restaurant inspection reports online, along with reports on school repairs,

geological mapping, park statistics, game harvests and departmental salaries,

and the annual reports of the governing bodies of regulated health professions.

There is much more to come. Ours is the most open and accountable government in

this province since Confederation and among the most transparent in the country.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

More information is readily accessible than ever before, while information

that warrants protection for reasons of privacy is kept secure. My Government

has struck the proper balance that preserves the right to know while protecting

privacy and personal information.

Open government also means open consultation, which we are achieving through

our new Office of Public Engagement. This office enables us to engage young

people, seniors, rural stakeholders, community organizations and other citizens

in deliberations and decisions that profoundly affect their lives. In a truly

open democracy, engaging citizens is not a luxury but a basic principle of good

governance.

My Government is clearly focused on the well-being of children. Complementing

our Continuum of Care Strategy is our ongoing province-wide Foster A Future

campaign welcoming new foster parents, whose care our vulnerable children

desperately need.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

Our continuum of care approach is all about giving these children the

stability and support they need to thrive.

There are other ways we are preparing our young children to maximize their

potential. Through our investments in early childhood learning, we are targeting

children at the youngest stages of their lives, when cognitive development is

most rapid and structured intervention makes the greatest difference.

Intervention in these earliest years opens the floodgates to learning in the

years that follow when children go to school.

Through our continuing investments in K-12 education, we are continually

doing more to ensure our students can compete with their peers across Canada and

around the world.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

We are paying close attention to the best practices of others and setting the

bar high so our students can excel in mathematics and the sciences, language

arts and technology. We want to ensure they are ready to take the lead in

seizing the opportunities they are about to inherit.

Mr. Speaker and Members of the House of Assembly:

We are determined to prepare our children with the skills they need to secure

a bright and prosperous future. We are determined to leave them a legacy that is

sustainable fiscally, environmentally and economically. Spending within our

means is fiscally sustainable. Developing renewable energy is environmentally

sustainable. Diversification is economically sustainable. These are deliberate

approaches that we can take and must take to shape the future our

children will inherit.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

That is why they are at the heart of this year's budgetary plan. When we are

honest about where we have been, how far we have come, and what it took to get

to where we are, it is clear the path we have chosen is sound. The best path

forward is the path we are on.

SOME HON. MEMBERS: Hear, hear!

HIS HONOUR THE LIEUTENANT GOVERNOR:

Mr. Speaker and Members of the House of Assembly:

Estimates of expenditure will be laid before you in due course and you will

be asked to grant supply to Her Majesty.

I invoke God's blessing upon you as you commence this new Session.

May Divine Providence guide you in your deliberation.

Thank you.

SOME HON. MEMBERS: Hear, hear!

[ His Honour the Lieutenant Governor, the Vice-Regal Entourage and the

Justices of the Supreme Court leave the Assembly Chamber]

[Mr. Speaker returns to the Chair]

MR. SPEAKER (Wiseman): Order, please!

Please be seated.

The hon. the Government House Leader.

MR. KING: Thank you.

Mr. Speaker, I ask leave to introduce a bill entitled,

An Act To Amend The

Canada-Newfoundland And Labrador Atlantic Accord Implementation Newfoundland And

Labrador Act. (Bill 1)

MR. SPEAKER: Does the minister have leave?

AN HON. MEMBER: By leave.

MR. SPEAKER: The hon. the Government House Leader.

MR. KING: Thank you, Mr. Speaker.

Mr. Speaker, I move, seconded by the Minister of Natural Resources, that Bill

1,

An Act To Amend The Canada-Newfoundland And Labrador Atlantic Accord

Implementation Newfoundland And Labrador Act, be now read a first time.

MR. SPEAKER: Is it the pleasure of the House to adopt the motion?

All those in favour, aye'.

SOME HON. MEMBERS: Aye.

MR. SPEAKER: All those against, nay'.

Motion carried.

CLERK:

An Act To Amend The Canada-Newfoundland And Labrador Atlantic

Accord Implementation Newfoundland And Labrador Act. (Bill 1).

MR. SPEAKER: This bill has now been read a first time.

When shall the bill be read a second time?

MR. KING: Tomorrow.

MR. SPEAKER: Tomorrow.

On motion, Bill 1 read a first time, ordered read a second time on tomorrow.

MR. SPEAKER: His Honour the Lieutenant Governor has pleased us to make a

Speech to the members of the General Assembly. We should take a few moments now

to distribute the copies of that Speech.

[The Pages distribute the Speech to all members]

MR. SPEAKER: The Member for Mount Pearl North.

SOME HON. MEMBERS: Hear, hear!

MR. KENT: Thank you, Mr. Speaker, and good afternoon.

It is a tremendous honour to represent the people of the District of Mount

Pearl North as I stand here today to speak to the Speech from the Throne, as

read by His Honour the Lieutenant Governor, Frank Fagan.

I would like to thank His Honour for his very first Throne Speech which

highlights many of the positive developments underway in Newfoundland and

Labrador, lays out a vision and lays out a plan for continued prosperity for our

Province in the future.

I would like begin my comments, Mr. Speaker, by taking the opportunity to

congratulate the Lieutenant Governor on his recent appointment to the position.

I know all members in this hon. House join me in wishing him the best of luck

and thanking him for accepting this new role.

Mr. Speaker, I would also like to thank His Honour, Mr. John Crosbie, for his

loyal service to our Province over the past five years as the Queen's

Representative in Newfoundland and Labrador.

As Canada's youngest Province, we have often taken our share of knocks, and

time after time, we have had to pull ourselves up by our own boot straps. Now,

Mr. Speaker, we have finally come into our own as equal partners in the Dominion

of Canada.

SOME HON. MEMBERS: Hear, hear!

MR. KENT: Mr. Speaker, this government has worked hard over the past ten

years to effect a transformation in this Province, the likes of which has never

been seen before. Because of the sound fiscal management of this government, we

now find ourselves on solid, financial ground with a long-term plan for

sustainable economic prosperity. Not only have we weathered the global economic

downturn, we are being cited by leading financial institutions throughout the

country as the example to follow.

SOME HON. MEMBERS: Hear, hear!

MR. KENT: Mr. Speaker, as a result of this government's consistent and

steady hand at the wheel investing in people, investing in services, investing

in infrastructure, the unemployment rate in this Province is the lowest it has

ever been and employment is at its highest point in history.

SOME HON. MEMBERS: Hear, hear!

MR. KENT: Employment is at its highest point in our history. For the

first time ever, the average weekly wages in Newfoundland and Labrador are

higher than the average in Canada, and our population is growing.

SOME HON. MEMBERS: Hear, hear!

MR. KENT: Mr. Speaker, it is indeed an honour to serve in a government

led by our Premier who has remained steadfast in her determination to see the

best possible returns from our resource development come to the people of this

Province.

SOME HON. MEMBERS: Hear, hear!

MR. KENT: Her resolute position in negotiations on the Hebron and the

Muskrat Falls Projects are just two examples of how Newfoundlanders and

Labradorians have benefited from our Premier's vision, our Premier's compassion,

and our Premier's determination.

Through hard work, through sound fiscal management, and through smart

investments over the last ten years, we have moved into a new era of prosperity

with exciting new business activity and unprecedented employment opportunities

in Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. KENT: Mr. Speaker, we continuously hear great news stories that

indicate the success of this government's work in investments. One such example

of where our smart investments are paying off is in the relatively new growth

area of ocean technologies. It is on track to becoming a $1 billion industry

thanks to the vision, planning, and investments of our Progressive Conservative

government.

SOME HON. MEMBERS: Hear, hear!

MR. KENT: As the Member of the House of Assembly for the District of

Mount Pearl North, it has been wonderful to see how the residents of the Town of

Paradise and the City of Mount Pearl are benefiting from our government's

investments. Over the past few years alone, we have seen a new community centre,

a new recreational multiplex, two new elementary schools, new sports fields, new

facilities, and record levels of municipal infrastructure projects in the

district. Mr. Speaker, I am sure the benefits of these projects will be enjoyed

by the residents of Paradise and the residents of Mount Pearl for many years to

come.

Mr. Speaker, our government is truly listening to Newfoundlanders and

Labradorians. That is why providing quality health care continues to be a

priority for our government. We are committed to providing a solid health care

system that is both sustainable and responsive, and meets the needs of

Newfoundlanders and Labradorians. We have invested over $140 million to reduce

wait times and that investment is paying off, with Newfoundland and Labrador

ranking second in the country in national wait time benchmarks.

SOME HON. MEMBERS: Hear, hear!

MR. KENT: Furthermore, Newfoundland and Labrador leads the nation in hip

fracture repair wait times, and we are above the national average for knee

replacement wait times.

Mr. Speaker, we will indeed continue to make strategic investments to ensure

the people of the Province receive high-quality services. At the same time, we

will continue to manage our Province's finances for a sustainable economy to

benefit Newfoundlanders and Labradorians for generations to come. Of course, we

hope to enjoy oil revenues for many more years, but we refuse to leave our

economy at the mercy of oil prices. Therefore, as outlined in the Throne Speech

this afternoon, we have set in motion our plan to further diversify our economy.

Mr. Speaker, a diversity of revenue streams is the key to minimizing the

impact of volatile oil prices, and diversity is what we have planned for and

will achieve in Newfoundland and Labrador. Opening up renewable energy sources

is essential to sustaining our economy over the long term. The development of

Muskrat Falls is indeed part of this solution, as it brings a stable, reliable

revenue stream from a renewable energy resource. It will be a major revenue

generator for our Province, with revenues in excess of $20 billion.

SOME HON. MEMBERS: Hear, hear!

MR. KENT: This Progressive Conservative government has a solid track

record in economic diversification, in fiscal management, and investing in

social programs, businesses, and infrastructure. We are providing for the

present, while laying the plan for an even stronger, more enduring economy in

the future.

Mr. Speaker, I now move that a Select Committee be appointed to draft an

Address in Reply to the Speech from the Throne.

Thank you.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for the District of Terra Nova.

SOME HON. MEMBERS: Hear, hear!

MR. S. COLLINS: Thank you, Mr. Speaker.

It is a privilege to rise in this House today representing the great people

of the District of Terra Nova, and to second the motion that a Select Committee

be appointed to draft an Address in Reply to the Speech from the Throne.

Mr. Speaker, first I would like to thank His Honour the Lieutenant Governor

for his first speech in the House, which was a great speech. I wish him and his

family all the best during their tenure at Government House.

The Speech from the Throne clearly outlines a comprehensive plan that this

government has developed for the future. Our government has a solid history of

fiscal management, delivering six out of seven surpluses to the people,

amounting to over $5.5 billion since we took office.

SOME HON. MEMBERS: Hear, hear!

MR. S. COLLINS: This year, we are dealing with a deficit, a similar

situation found in many provinces across the country that depend on

non-renewable commodities for the bulk of their revenues. Alberta is a perfect

example of this.

However, through solid fiscal management and planning, continued smart

investments in infrastructure and people, and paying down the debt, we find

ourselves in a good position to get through this period. With a strategic

outlook and a clear vision, we are able to deliver a high level of services and

programs to the people of the Province.

We have invested billions in our infrastructure since 2003 and in turn,

stimulated the economy, which helped take us through the recession, but also

rebuilt our Province's crumbling schools, hospitals, roads, and municipal

infrastructure. The sustained strength of our provincial economy is due in part

to our substantial infrastructure investments over the last number of years.

These investments supported growth and business development in our communities

throughout the entire Province, and at the same time protected us from the

impact of the global economic downturn.

Our efforts, Mr. Speaker, have not gone unnoticed. We have received praise

and accolades from all corners of the financial world including Bank of Canada

Governor Mark Carney, Standard & Poor's rating agency, ScotiaMcLeod, economist

Mary Webb, the Fraser Institute and, just recently, Mr. Speaker, even the

left-leaning Canadian Centre for Policy Alternatives.

Our government has reduced the Province's public debt by one-third, reducing

our interest payments, securing a stronger credit rating, and establishing a

more secure fiscal position moving forward.

SOME HON. MEMBERS: Hear, hear!

MR. S. COLLINS: However, our Province's revenues have seen a steep drop

this year primarily due to global economic uncertainty and a drop in commodity

markets, which had a direct impact on our oil revenues. The Premier posed the

question in a speech to the board of trade over a year ago: how do we achieve

the careful balancing act between economic growth, a high quality of life, and

affordable public finances?

As responsible stewards, we know we have to achieve that balance, Mr.

Speaker. Decreasing oil production and price combined with equalization payments

no longer coming to the Province means we have less money. We have to face some

challenges in the upcoming Budget. With every challenge comes opportunity. We

have taken this opportunity to ensure we are spending our money in the most

effective way possible.

Our review of all departments means that we are offering services to the

people of this Province more effectively and more efficiently. This is

responsible and prudent money management. What we do now is within our control.

When world economies were suffering, we came through stronger with momentum

because of the sound decisions we made here in Newfoundland and Labrador. We

must carry on that same steady hand of fiscal prudence and sound judgment that

brought us through the downturn and gave us the highest Standard & Poor's credit

rating ever in this Province.

SOME HON. MEMBERS: Hear, hear!

MR. S. COLLINS: As was said by my colleague earlier, Mr. Speaker,

employment has grown to record highs and is now 230,000 people. 2012 employment

growth was the second highest of all provinces. This government has brought a

long and proud list of economic firsts to Newfoundland and Labrador, and we have

a plan to take this Province through this critical time of decision.

We will stay on the road to economic strength. We will not falter now and

take the road back to the dark days when we depended on someone else to pay our

way. It is not going to happen. The path is clear: government must bring

expenditures in-line with forecasted revenues while maintaining the financial

and economic progress that has been achieved to date. As a government, we must

plan effectively now to build an economy that is sustainable, not just for our

generation, Mr. Speaker, but for those who come behind us.

Muskrat Falls is an example of this. In the construction phase, there will be

thousands of jobs and hundreds of millions of dollars worth of opportunities for

people all over our Province. The development will provide us with much-needed

power for up to $15 billion in industrial development in Labrador. Once on

stream, Muskrat Falls will allow us to diversify our economy through clean,

stable electricity for a power-hungry continent, and the Maritime Link portion

of the development will give us a strong negotiation position for power exports

for future development, such as Gull Island.

Mr. Speaker, with a return of $20 billion for an investment of $6 billion,

Muskrat Falls is a visionary, forward-thinking solution for this Province's need

to diversify the economy. One would wonder how anyone could be against such an

obvious project.

This government has made more progress in economic diversification than any

other government in our Province. The aquaculture industry is a shining example

of rural revitalization with strategic investments. We have invested $24 million

and leveraged another $400 million in private money, employing 1,000 people and

transforming whole regions of this Province, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. S. COLLINS: Although some do not believe in rural revitalization, Mr.

Speaker, I can guarantee you this government remains committed to it.

Another area of growth that is a bright light for our Province is the numbers

that recently came out of the tourism sector. We recently surpassed the $1

billion mark spent in tourism industry, and this number is projected to keep

rising. The government's focus in promoting our Province's unique beauty has

paid dividends over and over again. Fifty-three per cent of the total spending

was by residents of this Province who stayed at home and explored.

My district, I am proud to say, was sure to be one of the more preferred

districts in, perhaps, the Province, by residents and non-residents alike. The

Terra Nova District, Mr. Speaker, as you are probably aware, is home to over

13,000 people spread out over twenty different communities and is a diverse,

dynamic district and a region of Newfoundland and Labrador that is home to some

of the most breathtaking scenery in the world. Terra Nova is vibrant and

thriving, experiencing unprecedented growth and prosperity over the last decade.

Our government continues to invest in other critical areas, ensuring that

people see the benefits from our growth and prosperity. In 2012-2013, this

government spent $2.9 billion in health care. This represents an increase of 142

per cent, Mr. Speaker, since 2000-2001. Furthermore, recognizing that education

is key to prosperity, we have increased our investment to $1.2 billion in

education, which represents an increase of 71 per cent from 2000 to now.

SOME HON. MEMBERS: Hear, hear!

MR. S. COLLINS: Mr. Speaker, spending is only half of it. Of course, we

have to recognize the other side. It is not all about spending; it is also about

paying down our debt. Since 2004, we have decreased our net debt from $11.9

billion to a projected $8.9 billion in 2012-2013, a decline of 25 per cent or

one quarter. It is this balanced approach that guides our government in the

future, setting a high standard of service delivery to people, but at the same

time managing our responsibilities so that we leave an economically healthy

province to our children and grandchildren.

We do not want to increase taxes, and therefore must find ways to manage our

deficits. Through budget consultations, our Minister of Finance travelled the

Province, meeting with people from all over to ask them where we should reduce

spending and what areas are of priority to them. We listened and used this input

to guide our decisions in this year's Budget.

The future for this Province is incredibly promising and bright, Mr. Speaker.

Standing together, we will work to maintain the successes we have achieved, but

only if we choose the road to financial stability, economic diversification, and

responsible stewardship. This government will continue to build on the momentum

we have created over the past ten years so that the people of this Province can

continue to prosper and call Newfoundland and Labrador home.

Thank you, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. BALL: Thank you, Mr. Speaker.

Well, it is a great privilege for me to be here today and stand in this House

and welcome our new Lieutenant Governor and his wife to the Assembly. I want to

compliment him on his first reading of the Throne Speech. I cannot help but

think, as I listened to the Throne Speech, how I look forward to the day when he

would be reading a Throne Speech that was comprised and composed for members on

this side.

In the meantime, knowing the tremendous contribution that His Honour and His

Grace's wife, Pat, have made to the people of Newfoundland and Labrador in their

private lives, I am confident they have set a new standard for the Government

House. That is not to say the contributions of past Lieutenant Governors and

their predecessors we all agree that these contributions have been

substantial.

So, Mr. Speaker, I would also like to take this opportunity to welcome our

chief justices and members of our court as well as heads of various

denominations here in the House of Assembly today. Of particular interest to me

is my old Grade 5 teacher. It is the first time I have seen him in quite some

time. That is Major Wayne Pritchett who taught me, there in the Salvation Army

uniform today. Welcome, Sir, and also to members of our police forces, both the

RCMP and the RNC, and members of our Armed Forces and dignitaries who are in

attendance.

Finally, I want to extend a special welcome to all those who have watched by

the Web cast or by TV today at home. It is always a privilege for us as Members

of the House of Assembly to do what we do and bring the people across the

Province into our House.

Today, during the Throne Speech, the word crossroads was mentioned, and in my

response today I talk a little bit more about a turning point. Mr. Speaker, the

Speech from the Throne has outlined government's vision for the upcoming session

of this House, a session really which started three weeks ago for many of us,

where we debated Interim Supply. So far it has been an interesting session, with

several good exchanges, I might add. There have been lots of good questions. As

we would expect from Question Periods and debates, the exchanges have been a

little different and sometimes a little shy on answers for us in the Official

Opposition.

Yet, Mr. Speaker, today's Speech from the Throne comes at a turning point, as

I said, in the history of this government. The people of this Province are

looking towards answers from a party that has, in our opinion, lost their way,

and a government that has had their best-before date. This is the tenth Throne

Speech for this Administration, and like all others, it contains a lot of the

particular buzzwords and commitments we have come to expect from government; but

the people of this Province no longer believe in the lofty language and the

soaring rhetoric. They no longer believe in this. They know, because this

government has given them a reason to know, that their actions rarely equal

their words.

That is why, Mr. Speaker, many people find it ironic to hear this

government's promise of fiscal management and investment in a proud future

because their record has been something quite different. In fact, the difference

between the records and the words of this Administration and the reality of

their performance finds many people in this Province bewildered. They talk on

one hand of having billions of dollars for investment into projects like Muskrat

Falls, and on the other hand they have dug a billion-dollar deficit. The Premier

preaches austerity and then turns around and stacks the senior public service

with highly-paid party supporters, and adding to the irony, heaping bonuses and

thousands of dollars upon them. Mr. Speaker, this is a regime that walks and

talks in irony, but the most ironic thing of all is that this Premier and her

colleagues do not even seem to know the mismatch between actions and the words

they say.

What has happened, Mr. Speaker? That is a question that is on the minds of

many people in our Province. Where did all of this money go? How did the Premier

and her government suddenly go from being a have Province to where we are now,

talking about deficits and this hard up position overnight? Well, we will get

some reasons for that in a moment. For now, let me say that to whom much is

given, much is expected. This government has been given a lot.

Mr. Speaker, thanks to the resource deals that have been signed by other

Premiers and we could go back to 1985 where the groundwork was laid for a lot

of the benefits we see today with the Atlantic Accord by Premier Peckford,

Premier Wells, Premier Tobin and Premier Grimes. They did a lot in signing deals

where today we reap the benefits, projects like Hibernia, White Rose, Terra

Nova, Voisey's Bay. This government has not signed any of those particular

deals, and we all know that.

This government received a windfall of cash, literally billions and billions

of dollars into the public purse. Now people are wondering: what did they do

with all this money? Where did this money all go? Did they invest for a rainy

day? Did they use it to actually diversify the economy? Did they use it to build

a foundation for future generations of Newfoundlanders and Labradorians?

Mr. Speaker, no, they did not. They did not manage carefully. They did not

invest into the future. They did not diversify the economy. Even an old economy

based on the fishery is crumbling and suffering for want of action.

What did they do with the money, Mr. Speaker? That is the question. They

spent it. They spent it so much and so fast that they set records, they set

records from governments all across Canada.

Mr. Speaker, some of this spending, I will say and I will acknowledge, it was

money well spent. It needed to happen. After decades of living with not a lot of

money, without resource revenue and political parties from all stripes, there

was certainly an infrastructure deficit that needed to be addressed in this

particular Province. There was a lot of catching up that had to be done.

You would think, Mr. Speaker, that having struggled for so long with so

little money, that when the money started to roll in because of those past

deals that had been done by other governments that I spoke about earlier this

government would recognize the fact that being prudent was necessary in these

particular times. That it would be important to pay down the debt, right size

the public service and make the strategic-type investments that would indeed

diversify our economy, and to be ready for the day when oil production declined

and the prices started to fall.

That would have been seen as the smart thing to do, Mr. Speaker. That is what

the people of the Province expected because that is what they were told, but

they did not do that. This Province would not be facing a $1 billion deficit

this year if they had made the strategic investments in the past. That is the

reason why today and this week, people will be cleaning out their desks in

Confederation Building. People will be losing their jobs across this Province.

People will be looking for jobs again outside of this Province, in other

provinces like Alberta.

Mr. Speaker, like a spendthrift who wins a lottery, the party opposite did

not spend wisely or carefully. They simply spent and spent and spent.

AN HON. MEMBER: On what?

MR. BALL: They spent on what? That is the question, Premier. They spent

on lawsuits they could not win. They spent on public relations campaigns to pump

themselves up in the polls; on a megaproject that has the potential, if not

handled properly, could destroy this economy and leave us creditors and leave

the next generation with creditors to come.

Mr. Speaker, I mentioned earlier that this party has reached its best before

date. In fact, everywhere you go lately people are talking about change. They

are looking for change. That is how people put it, Mr. Speaker. I sympathize

with that view. In reality, this regime is lost and is in disarray. Still

two-and-a-half years before this election, we have to be very careful in what we

do. This is a turning point for our Province. It is a turning point for the

people of Newfoundland and Labrador.

Mr. Speaker, two-and-a-half years is a lot of time, so we need to make sure

we make the proper decisions today so that we can solidify this economy and our

society in this great Province for years to come. That is why as Leader of the

Opposition today, we and the members of our loyal Opposition have crafted a new

game plan. One thing that you will hear of is a watch word for our Speech from

the Throne is you need to be vigilant.

Mr. Speaker, in the face of a government that is out of control and incapable

of managing the billions of dollars of taxpayers' money for which they have been

entrusted, the role of the Opposition has never been more important. My

commitment today, on behalf of the party I lead in this House, is to be vigilant

in holding this government to account, and we will be equally vigilant in

preparing for the period after the next election.

Mr. Speaker, since tomorrow is Budget day, and the Speech from the Throne

just outlined government's vision and its plan for the coming year, we can

reflect for a moment on this government's record when it comes to planning. I

think we will all recognize that this government's record of forecasting is

dismal.

Year after year they post unacceptable variances that leave a big sigh of

relief when, by sheer luck, oil prices and currency levels work in their favour.

Posting surpluses not because of good planning or sound management, but

surpluses based on luck.

SOME HON. MEMBERS: Oh, oh!

MR. BALL: I would challenge anyone to look at those surpluses that have

been posted. Mind you, both of these major influences are out of their control,

in all fairness to the government opposite. You do not control currency levels;

you do not control the global price of oil. They are completely dependent on a

wide range of circumstances on which this government has no control.

That is why, Mr. Speaker, a more cautious and prudent approach to Budget

forecasting why would we gamble so much hope on the price of oil? Prices, in

particular, that we are expecting prices to stay high; it will not always

happen. Sometimes it works in our favour. Last year, it obviously did not. That

is the reason why we are talking about billion dollar Budgets.

A more prudent approach would be to take greater care to manage the factors

that we can control, such as the operating costs of government. That is the way

the Budget needs to be tailored.

Mr. Speaker, I noted earlier that people of our Province are having trouble

with the many contradictions from this government. One day they will say it is

the best of times in Newfoundland and Labrador and then on the next day they are

talking about fiscal restraint and austerity measures. People are confused when

one day we are flush with cash and the next day we are belt tightening.

It has become obvious to everyone that this Premier and this government do

not have a plan to be operating for the last couple of years and one thing on

their mind, the only thing on their mind in the last couple of years is one

particular project, and of course, that is Muskrat Falls. It is ironic that

after ten years in office government is finally seeing fit to develop a what?

A sustainability plan. After a decade in power, after years and years of a

record of sometimes reckless spending, it is a stretch to hear in this House of

Assembly that it is finally time to talk about a sustainability plan.

Mr. Speaker, each and every Budget should be and must be a sustainability

plan. Each and every Budget should outline not only the short-term but the

long-term goals of government. It should not only be affordable for one year and

attainable for one year; it should be sustainable well into the future and for

many years.

That the members of this government who have been operating for ten years

without a plan and spending at an unsustainable level and now have the gall to

call themselves good stewards of the public purse is ironic to the extreme. As I

said, Mr. Speaker, this is a Premier and a government who walks in irony.

Mr. Speaker, the Premier's sustainability plan is coming ten years too late.

The late conversion to planning shows how little this government has cared about

charting a sustainable future for our Province. At the very least, this Premier

should have made it a priority when she came to power. Three years later, it is

too late to make up for the billions of dollars in deficits that are being

forecasted.

Mr. Speaker, we do not know exactly what the deficit will be tomorrow. We

expect, though, it will be something substantially less than $1.6 billion that

we have heard in the media reports lately. Given the revenues that this

government has had over the last number of years, billions and billions of

dollars from royalty money, why are we talking about deficits? There should be

no deficit at all. The abysmal financial outlook that we will hear about

tomorrow could have and should have been completely avoided.

So, to say to the Premier: Your so-called sustainable investment, your

long-term growth, is long overdue. Mr. Speaker, government spending has been

uncontrolled for ten years that they have been in power, with no thought for the

future. Now that we have created an era of billion-dollar deficits, we finally

see the acknowledgement, as I said, for a sustainability plan. This is just

another example of this government's lack of fiscal policy and long-term vision.

Mr. Speaker, over the last few weeks many members on the government side have

confused the difference between sustainability, investment, and just outright

spending without a return. Sustainability is something that is supported long

term. It involves considered and careful planning, with provisions made for

drops in revenue and changes due to circumstances beyond our control.

That is not what we have gotten from this government. Instead, we have seen

ad hoc decisions based on previous years' revenues. We have seen unjustified

assumptions based on past oil prices and past production. We have seen a

government that ignores its own internal forecast and projections in favour of

unfettered spending and an unfounded belief that oil will always go up. Well,

that is not the case, Mr. Speaker.

Due diligence was to simply look no further than the C-NLOPB Web site and

check on the size of the diminishing offshore oil reserves. It simply did not

make sense to increase spending at the rate that this government did.

Mr. Speaker, spending whatever you do to win elections and to puff up polls

is not sound fiscal management; it is a recipe for financial ruin.

Mr. Speaker, it might not be so bad if this government was able to

effectively budget, but that is not the case. Tomorrow, this government will

bring down its tenth Budget, and one thing it has never been able to do is

estimate surpluses and deficits anywhere close to being accurate. In eight

Budgets from 2004 to 2011, we have seen variances in the $6 billion range $6

billion in variances. That is $6 billion, and that is reason enough to discredit

the Budget process.

One area I believe government should focus on, really, is certainty: to bring

certainty into the Budget process. Government's defence of its numbers is always

saying: well, we cannot control the world price of oil; we do not control

currency. That is the defence to these variances. Why not lessen the reliance on

oil revenue from general budgeting, separate those volatile natural resource

revenues and replace them with stable revenues, and construct a Budget on

revenue that ties into your operating costs?

You need the certainty in those Budgets. Mr. Speaker, this would cushion the

impact on any declines in oil production and prices. The Auditor General and

several economists have been telling government this for years that we are

indeed too dependent, putting all of our spending eggs into the basket of oil

revenue. We all know that oil fields will run out and that market forces lower

prices and lower demand. Does it not make sense to build your Budget on revenues

that we all know we will always have and use a temporary source bonanza on oil

money for a fund for future development?

Why not lessen Mr. Speaker, we know that our future, based on the current

trend that we are on today, if we continue to base it on the oil revenues and

the oil prices that we have seen, we know that they will go down. There is a

simple solution to give some security to the budgeting process, but this

government has refused to adapt, instead taking the Province on a wild

rollercoaster ride of deficits and surpluses vastly different from those at

Budget, and recognizing that they have no control of some of the key components.

Mr. Speaker, we will know tomorrow what number the Premier and the government

will use to benchmark for the oil pricing. The price will determine the oil

royalty regime for the next fiscal year.

Last year, we all know and we all remember that the Budget was based on

$124.12 per barrel, but indeed we spent well into the range of $134 per barrel.

Mr. Speaker, we never did reach the $124 a barrel let alone the $134 a barrel,

far from it. As a result of the Premier's poor planning, the people of this

Province are now facing a $1 billion deficit for years to come.

In all fairness, Mr. Speaker, last year was a bit of a trap for this

government. If you had moved off the $124 a barrel of oil, which was part of the

argument for your Muskrat Falls Project, the project it would have put a hole

into that campaign. Moving it to the $124 for your budgeting, we recognize

today, was a big mistake by this particular government.

If the Premier had conceded, as I said, that the oil may not keep going up in

price, the advisors would have insisted that she would have had to admit that

the case for Muskrat Falls was even more doubtful than it already is. It is

getting worse for the Premier. In fact, Mr. Speaker, many economists and many

people who are watching global oil prices today are suggesting that they could

be significantly lower. Some are suggesting in the news last week they could be

as low as $55 a barrel over the next few years. Mr. Speaker, if you cannot

budget at $100 levels, can you imagine the shape they would be in at $55 a

barrel? It would be a disaster for our economy.

The bottom line, Mr. Speaker, is because of a weak global economy and the

revolution in fracking technology, the price of oil over the next few years in

all likelihood will be much lower than anything that this government will

project tomorrow. That means the need for a realistic and sustainable plan for

the Province has never been more critical. We need a plan that is realistic and

based on sound investments investments indeed. As people of this Province, we

need to continue the investments into transportation, into hospitals, and into

our schools. Long-term investments will serve the people's needs and enable

commerce and business activity in this Province to grow and thrive. There are

all kinds of investments that only government can undertake, and those are the

ones we need to focus on.

We all know that medium and small businesses in our Province are the backbone

of our economy. We need to invest and enable those businesses to continue to

grow but, has government done this? In some cases, they have. I say to the

Premier, in some cases, you have made those investments; in other cases, you

have not. Simply putting a number out there is not an investment. What you get

in return is the investment.

There are many examples where they have made bad choices and until now they

have been able to afford those bad choices simply because we have had

significant oil royalty money, revenues that have been coming in, so the bad

choices were not exposed the windfall revenues to cover the mistakes of those

bad choices.

Mr. Speaker, a few weeks ago, I was listening to a well-known businessperson.

That person described their history and their philosophy around doing business

in Newfoundland and Labrador. The idea is nothing new. It is very much a

common-sense approach, it is so easy to duplicate, and I can tell you it never

fails.

The person's advice was: Spend every dollar, spend every loonie, and spend it

like it is your last. They went on to say: Make it once and make it count. For

every dollar that this government has wasted, that is a dollar that you have not

spent, that you do not have available for the good choices. So, I tell the

Premier, make it once and make it count.

Bad choices; people ask: Well, what are some bad choices? A $16,000 party to

promote Muskrat Falls is a bad choice.

SOME HON. MEMBERS: Oh, oh!

MR. BALL: Bad choices, like the $37,000 for a mail out campaign and I

wonder: How much will the mail out campaign cost this year? Will there be Budget

propaganda going into every single mailbox this year?

Bad choices, like planning a $160,000 for a party that did not happen to

celebrate have status. Bad choices, like wasting $400,000 on a marketing

campaign to push Muskrat Falls down the throats of people who were skeptical

about the project.

Every one of those dollars spent on the propaganda and a PR campaign could

have been dollars spent elsewhere dollars spent on health care, the Coalition

of Persons with Disabilities, dental care, RED Boards, and paying down the

public debt.

The Premier always asks and members opposite even in the last few minutes

are saying: Well, what would you cut? These are clear examples, I tell the

Premier, of things that we would not do. These are clear examples of things that

we would cut.

There is an old saying that says self-praise is no praise at all. For this

government, there has never been enough self-praise to go around. Worse this

government's preoccupation with slapping itself on the back makes it incapable

of admitting to a mistake. I tell members opposite that admitting to a mistake

is not a sign of weakness. Indeed, it is a sign of strength.

Just last week, when questioned about the $400,000 campaign that was spent to

promote Muskrat Falls, the Premier's response was what? The Premier responded by

saying: Well, the Opposition kept the House open. That costs us $100,000. The

House was kept open. We were discussing two bills, as the Premier knows. One:

about giving Nalcor and Emera the right to expropriate land from hard-working

Newfoundlanders and Labradorians. That was not worth the discussion, I ask the

members opposite? Or, what about the right to question a fifty-year power

purchase agreement that will commit this and the next generation of

Newfoundlanders and Labradorians to power some of it we will never use, as

ratepayers in this Province.

Mr. Speaker, I make no apology for doing our job and asking the tough

questions on Muskrat Falls. Giving this project a full debate could save the

people of this Province billions of dollars that they would regret later. We all

know, Mr. Speaker, that the last thing this Premier wants is a full examination

of the Muskrat Falls Project, because a full debate would expose the poor

planning that has gone into this project.

Poor planning is indeed the hallmark of this government. You do not have to

look very far to find examples. The member opposite, today, in introducing the

motion, mentioned one of those, and that was the Hebron Project, which reminds

us of exactly what happened. When it was first announced, the Hebron Project was

going to help our young, emerging workforce gain what? It was going to help our

young, emerging workforce gain experience and increase the knowledge that they

need to be able to compete on oil projects worldwide.

This, it was said, would enable us to become more competitive where? On the

world stage. So what happened? Early on, it was realized that we needed a human

resources plan to prepare our workers to meet this challenge. While, we all know

that Hebron was coming, this government did nothing to prepare our workforce. In

fact, the Premier had years to plan for the project, but did nothing, leaving

our Province unprepared for the work.

So, what happened? The upshot was that the oil companies decided they did not

have the capacity to do it here in Newfoundland and Labrador, and part of the

project will be constructed elsewhere.

PREMIER DUNDERDALE: (Inaudible) we got $150 million from it because of

(inaudible).

MR. BALL: You got $150 million for the third module to be constructed

outside the Province. Can you tell me how our emerging workforce will gain any

experience from that?

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

MR. BALL: Meanwhile, we all know that this project has almost doubled in

price. We settled for $150 million. The project has doubled in price, and the

third module will be built outside of the Province. I tell the Premier, this is

not planning. You had ample time to do this, years and years to prepare for

Hebron.

Mr. Speaker, there are other examples, too, and I would be remiss if I did

not mention one in this particular Province. That is the $11 million that was

allocated for the pellet plant in Roddickton. In this year's AG's report, it was

noted that officials in the Department of Natural Resources had significant

concerns about the viability of this project. Markets for the pellets were not

clearly identified nor was there a port facility to move the pellets to market.

Yet, the Premier ignored the officials and handed over the $11 million of

taxpayers' money.

Where is the facility today? Maybe the members opposite can answer that

question. Where is the facility today? It is closed down, Mr. Speaker.

Mr. Speaker, the people of the Great Northern Peninsula had high expectations

and were looking forward to the success of the pellet plant. They all felt it

was instrumental in turning around the forestry industry in this area. It was a

glimmer of hope for this depressed industry. Who would have guessed that the

basic due diligence was not completed on this project?

AN HON. MEMBER: (Inaudible).

MR. BALL: Mr. Speaker, I tell the member opposite there is nothing wrong

with taking chances. We realize there are significant risks, but there is basic

due diligence before $11 million in cheques are written.

Mr. Speaker, the Premier's irresponsible handling of the pellet plant is

really a speck when you compare it to the mishandling of the Muskrat Falls

Project. It is ironic to see this government so concerned with pushing this

megaproject forward.

I would like to quote a former Premier in a State of the Province Address on

January 5, 2004. The quote went like this, "We also intend to diversify our

economy away from the mega-projects into sectors that have longer reaching

impacts for all areas of the province, and our rural communities in particular."

That was 2004, Mr. Speaker. What do we find our government focused on today?

Muskrat Falls, another megaproject.

Mr. Speaker, the Premier and this government has lost their way. The Premier

is so focused on selling her Muskrat Falls Project that she is willing to slash

and burn the rest of Newfoundland to see this through. She is willing to cut

funding on the most vulnerable groups, the Coalition of Persons with

Disabilities, for instance. It all comes down to priorities, and unfortunately

this Premier only has one priority.

Mr. Speaker, the Premier's obsession with this project has amplified the

government's worst traits. Construction is now in full swing with millions of

dollars being spent, millions of dollars being spent on this project, and how do

we find out where a nickel is going?

Just recently, Mr. Speaker, we have heard concerns about slope stability in

the North Spur area. Nalcor is obviously concerned because they are doing

further field work. They are doing further field work that would be done this

spring. Why that work was not done in the beginning is beyond anybody's

imagination. If you know stability for the North Spur is a problem, why would

you not do that basic investigation in the beginning?

The instability of the North Spur could compromise the whole project, even

threaten communities down stream; yet, government went ahead and sanctioned the

project without this work being done. The Joint Review Panel questioned it,

Natural Resources Canada questioned, people who were used to this area, people

who travelled this area noticed it; yet, in the analysis they finally advanced

this project through with the commitment to sanction this project without this

investigation.

Mr. Speaker, the impact on the financial integrity of this project is

significant. It could lead to massive cost overruns. Who pays for those massive

cost overruns, I ask you, Mr. Speaker? Indeed, it is the ratepayers, the

taxpayers, and the next generation of this Province. I cannot help but note that

if our Public Utilities Board had been given the opportunity to fulfill its

mandate and examine this project in full, issues like the North Spur would no

doubt have received proper examination.

Mr. Speaker, it remains a concern, I would say, to everyone in the Province,

that the Premier refused to keep the promise and give this project the full test

through the PUB.

You cannot help but notice that it has been quite different when you go to

Nova Scotia. Emera, on the other hand, is going through an exhaustive review

through their version of the Public Utilities Board, yet we went ahead and

committed hundreds of millions of dollars to this project still not knowing if

Emera will be a partner or not.

There are still so many outstanding issues. Even today, why the transmission

line in Labrador, from Churchill Falls to Labrador West, was not a part of this

project leaves many people still answering questions about Muskrat Falls.

The Premier, I say, is like the young fellow who goes ahead and books a band,

he books a wedding hall, but yet he has not asked the bride. I cannot help but

say: do we know today if Emera will leave Nalcor, in this particular case,

standing at the altar I say, Mr. Speaker? Meanwhile, despite all this

government's promises to the contrary, the people of this Province are being

asked to put all their money and hopes once again into a megaproject that offers

short-term jobs. Where is the real diversification of the economy?

Mr. Speaker, the observed spending commitments from this Premier and this

government have taken the Muskrat Falls Project on the backs of taxpayers and

ratepayers in this Province. These are the same taxpayers who now find

themselves looking for work as a result of the recent government's inability to

manage funds and to manage the fiscal affairs of this Province. As I mentioned

earlier, the failure of this government to properly budget for future stability

of Newfoundlanders and Labradorians is why we are currently facing hundreds of

layoffs today.

We have heard the dire prediction just days after sanctioning Muskrat Falls

from the former Minister of Finance that the deficit was going to be much higher

than they had projected. Then just days after that, the new Minister of Finance

said that the forecasted deficits could be as high as $1.6 billion this year and

$1.6 billion next year. As a matter of fact, he even talked about $4 billion in

a three-year project.

Mr. Speaker, it took this Province nearly fifty years to get to $9 billion in

debt, and we are talking about $4 billion in three years. The $9 billion over

fifty years, these were tough, tough economic times. We did not have the luxury

of the billion-dollar oil royalties, and now this government is creating a $4

billion deficit in just over three years.

AN HON. MEMBER: No, we are not.

MR. BALL: Mr. Speaker, I just do not believe the numbers. The

member opposite said: no, we are not. He must have seen the Budget already for

tomorrow. We have not seen it yet. I can tell you, the $1.6 billion, I do not

believe those numbers either. I say to the member opposite, I do not believe

they will be at $1.6 billion, because they have never been right when you look

at the forecasting of this particular government. As a matter of fact, even the

Premier herself just a few weeks ago did not realize that they had forecasted a

$44 million surplus in the year 2014-2015. Mr. Speaker, it is time to keep your

hand steady on the wheel.

At the same time the dire deficit projections were leaked to the media, the

Premier was out warning of layoffs in the civil service. She spoke of large

staffing levels within the Department of Education and Health and Community

Services. This Premier said that both departments were overstaffed and that cuts

needed to come in this year's Budget, where 70 per cent of the money paid goes

to where it goes to salaries to front-line workers. Yet again, back in April

2012, just one year ago less than a year ago the same Premier committed and

promised that the people of Newfoundland and Labrador, that front-line workers,

programs, and services in education and health would be exempt from such cuts.

Mr. Speaker, what a difference a year makes. What happened in the last year

that we did not see was coming? What happened that we did not already know?

Nothing happened; not one thing has changed. We were aware of the warnings about

changing oil prices. We were aware of the status of our oil reserves. The

question is: why was this government not paying attention?

Even the economist Wade Locke, who you have now recently hired to come in and

help clear up some of this mess, warned this government of the financial crisis

that was pending if you did not change course. Mr. Speaker, Mr. Locke himself,

who is in that office right now, made those comments.

We already know that 167 people have already received their pink slips. We

already know there were 250 people who are employed with the Employment

Assistance Services sites across the Province. We know they will be out of work

in a few weeks. We already know there have been 400 civil servants within

government who are told that if you plan to retire, now is when you should do

it.

The Premier says wait until Budget day. That is when it will all happen. That

is when the story will be told. Well, believe you me, Mr. Speaker, we will be

watching and we will be asking questions. Civil servants and their families have

been waiting to see what their livelihoods would be for the upcoming year. They

have been waiting nervously to see which positions and which services would be

slashed in tomorrow's Budget.

We already have seen divisions practically wiped out. For instance, the

Wildlife Division on the West Coast of Newfoundland, we have seen fifteen

positions gone from that office already. Remember, Mr. Speaker, when we were

told this would be temporary, or people who were hired on contracts? Well, there

are people who have been laid off at the Wildlife Division who have been there

for over ten years. Is it really fair to think that those people are part-time

or they are temporary employees? Ten years, and now they are out the door.

Now, Mr. Speaker, that is not the case for everybody. We have already seen

this government determine which jobs are absolutely necessary and which are not,

a government which has grown its civil service by thousands of people since

2003. The Premier in the last twelve months has made over sixty senior civil

service appointments, appointing close friends and people with ties to the PC

Party in roles as deputy ministers, receiving six-figure salaries, people who

have helped them get re-elected in campaigns. In some cases, the Premier has

made as many as five senior appointments in one month.

Mr. Speaker, these are not all replacement positions. This government has

created offices like the Population Growth Strategy, and the Office of Public

Engagement, giving them bureaucratic names. They have even duplicated the role

of some deputy ministers in certain departments. Mr. Speaker, offering

incentives and bonuses is a good way to motivate and encourage employees in the

private sector, but using the government largesse to reward political friends at

a time when government is laying off civil servants is just plain hypocrisy.

Now, Mr. Speaker, this brings me to Bill 29. I know government does not want

to talk about Bill 29, even though it is one of the most important pieces of

legislation this government has ever passed, having spent years working on it

before they finally had the nerve to bring it forward. It is the one piece of

legislation that defines this government, Bill 29. If there is one piece that

defines the government, it is Bill 29. It is this government's penchant for

secrecy and heavy-handedness, they put it into law.

This Premier does not like to talk about it, does not like to talk about it

at all, because she knows how people in Newfoundland and Labrador actually feel

about Bill 29. They see it for what it is. It is an attack on democracy. It is

one of the cheap reasons why people in this Province are looking forward to the

next election day. It is a piece of legislation that is referred to as

regressive legislation. They know the Premier deliberately decided to make her

government the most closed and secretive in Canada.

The irony is that every step along the way, we heard what? We heard that we

are the most open and we are the most accountable.

PREMIER DUNDERDALE: That's true.

MR. BALL: Bill 29 does not suggest that at all, Mr. Speaker.

Of course, it is not only the Official Opposition and Opposition members

saying that Bill 29 has been a problem. People in the media have recognized it

right away. They have published story after story about how government hides

information, very basic information from the people who employ them. Who employs

us, I ask, Mr. Speaker? It is the taxpayers. It is the citizens of this

Province.

Now, recently we have seen published stories in how government has handled

the Orders in Council. Orders in Council are the official record of Cabinet

decisions. Just about every jurisdiction across Canada makes their orders

public. In most cases you can just go online and download the information from

the Internet.

In this Province, Bill 29 makes that illegal. It makes it illegal for

government to release the Orders in Council. That is because Bill 29 makes it

illegal to release documents which refer to decisions of Cabinet. In effect,

Bill 29 gives Cabinet the secrecy and the power of a star chamber where

decisions are made affecting you, but you are not allowed to know about them. It

is a step backwards in time, I say, Mr. Speaker.

Mr. Speaker, this is a closed, unaccountable, secretive government that goes

out of its way to hide basic information; information that should be readily

available to the people who own it, to the people they serve. The heavy black

ink we have seen those I think of redacted documents stands as a shameful

badge for this Administration. Mr. Speaker, it is time to repeal Bill 29 and

open up government so that the people who create it, the people we serve can

actually see what is going on within the Government of Newfoundland and

Labrador.

Mr. Speaker, recently the Privacy Commissioner released a report outlining a

roller coaster ride that he and the citizens seeking information from this

government endured for four years. The ride entailed two levels of court and the

passage of legislative amendment. The case began because the Department of

Justice unilaterally and arbitrarily considered documents in the hands of a

lawyer to have status of solicitor-client privilege. Government tried to create

a loophole where it could send any file to a lawyer and then claim

solicitor-client privilege in each and every case, thus denying access to those

files indefinitely.

For four years, the Department of Justice dragged its feet and took every

single opportunity to delay the document release. Of all departments, I say, Mr.

Speaker, the Department of Justice has abused its powers to prevent the access

to information. This is the department responsible for ensuring all citizens

have timely and equal access to information. They knew the law, they broke the

law, and they bent it at every turn. Like I said, Mr. Speaker, this is a

government that defines irony.

Speaking again of irony, Mr. Speaker, it was this Premier, as a minister

shortly after the election in 2003, who introduced the Rural Secretariat and

promised a renewed commitment to revitalizing the economy of the rural parts of

our Province. In the ten years since, we have seen this government turn a blind

eye to the needs of the potential of rural Newfoundland and Labrador.

They ordered a derailed study of the woes facing our fishery and they

promptly disowned it. They have cut funding to the Province's twenty Regional

Economic Development Boards, forcing them to shutter and throw away the decades

of achievement.

Mr. Speaker, just a few weeks ago I walked into a development office and

there was an executive director who was actually sitting at a shredding machine,

shredding the documents that were used that they had put together for years

and years of work that was crucial to development of rural Newfoundland.

Most recently, this government chopped funding to those services and to those

sites. This has meant, as we already know, the loss of 250 jobs. More

importantly, it also means a loss of services to people in rural areas who need

training and special assistance to find work. Mr. Speaker, this government's

treatment of rural areas is leading some people to wonder if we are pursuing a

resettlement policy, one involving a quiet death by 1,000 cuts.

Mr. Speaker, I would be remiss if I did not bring up one major event in the

past year. I raise it because it is a good illustration of this government's

failure to plan, and the cost of this failure. We all remember the government's

botched expropriation of the Abitibi Consolidated assets in Central

Newfoundland. I know members do not want to talk about this and they certainly

do not want to hear about it.

At the time, acting partly on the advice of Nalcor, the current Premier, who

was then the Minister of Natural Resources, was the point person on the file.

She argued at the time that the Province had to seize the assets of the

multi-international paper company right away because it was about to bankrupt.

The government was afraid the Province would lose the assets.

To make a long story short, Mr. Speaker, in a rush to expropriate the Abitibi

assets, the then minister accidentally expropriated the paper mill itself,

leaving the government liable for an environmental cleanup that will cost

hundreds of millions of dollars. At first, there was denial. At first, it did

not happen, but we all know now this did happen and the current Premier was a

part of this file as well as members with government.

Now, they would like to say that all parties agreed to this. That has been

the response we have heard. I can tell you now, speaking to people who were

party to this conversation, the mill was not part of that and the Premier and

her government know that. Three court cases, multimillion dollars in legal fees

and court fees, and the Premier still does not want to admit that this was a

mistake. I raise this matter now, Mr. Speaker, as an example of this

government's failure to do its homework and as a warning to the Premier of the

pitfalls we could see facing us in Muskrat Falls. I say to the Premier,

remember, admitting to a mistake is not a sign of weakness.

Mr. Speaker, before I conclude, I would like to leave the Premier with some

suggestions about rightsizing government, which has been a favourite subject for

the Premier and government of late. It is evident that when the Premier talks

about streamlining or rightsizing she does not mean within her own caucus or

even within her own office. Instead of streamlining, it only seems to apply to

whom? The front-line workers in this Province. To whom? People who use programs

and services, the people of Newfoundland and Labrador.

We have seen this government slash even funding for people who are

disadvantaged in some cases, I say, Mr. Speaker. We have grants and funding for

the Coalition of Persons with Disabilities, for women's groups like Women

Interested in Successful Employment's; funding has been cut, and the list can go

on and on.

These are groups that are doing good work, advocating for minorities and the

disabled in some cases. The Premier, however, feels this work is not as

valuable, not valuable enough to continue to keep the line of funding in place.

They need this money to survive.

However, we are still very top heavy in administration of this government. We

still have too many departments, and, Mr. Speaker, I have been on record as

saying that forty-eight elected representatives in this House of Assembly all

of us collectively, all three parties really need to take a look at this. Can

we do it differently? Forty-eight members in this environment today is too many

members. I have been on record as saying that we could do with forty. Let us

tailor the needs of the districts in this Province and let us see if this House

of Assembly I believe it should be able to operate with fewer members, Mr.

Speaker.

Mr. Speaker, in closing, let me say today's Speech from the Throne has given

the people of Newfoundland and Labrador a lot to think about. Tomorrow's Budget

will make people wonder just how this government managed to squander the most

prosperous time in the history of our Province. I will refer to this as a decade

of lost opportunity, a chance not taken to diversify our economy and to build a

sustainable future.

Mr. Speaker, I have noted several times today that this Premier and this

government are steeped in irony. The ultimate irony, though, is that this

government has spent millions of dollars and thousands of person hours massaging

a PR image and manipulating public opinion. It is now incapable of communicating

without sending mixed messages: we are rich, we are investing in the future;

today we have to cut back, today we have to tighten our belts. I expect to hear

a lot more about that tomorrow.

Mr. Speaker, this government cannot get its message straight. After a decade

of using the public purse to finance high approval ratings and spending millions

on marketing, spin doctors, and talking points, nobody believes this government

anymore. While the party across the way prepares for its spin tomorrow, we spin

our way through government, through this current Budget crisis.

Let me show the people of our great Province that we, as the Official

Opposition, indeed are watching. We are watching, Mr. Speaker, and we will hold

this Premier and her colleagues accountable for every cent and every broken

promise.

Mr. Speaker, I will conclude my response to the Throne Speech with the words

of one Peter Drucker. He went on to say: "The greatest danger in times of

turbulence is not the turbulence; it is to act with yesterday's logic."

Mr. Speaker, if we have learned anything from this Administration, it is that

the logic of this Premier and this government just does not work.

Thank you, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Leader of the Third Party.

SOME HON. MEMBERS: Hear, hear!

MS MICHAEL: Thank you, Mr. Speaker.

I am wondering if I could have something on which to rest my paper, please.

And I thank my hon. colleague for helping me. Thank you very much.

AN HON. MEMBER: (Inaudible).

SOME HON. MEMBERS: Hear, hear!

MS MICHAEL: Thank you, Mr. Speaker.

It is an honour to stand here this afternoon and to have the opportunity to

reply to the Speech from the Throne. Before getting into that, I do want to

recognize, as has already been recognized in the House, the presence for the

first time of our new Lieutenant Governor, the hon. Frank Fagan, and his wife,

the hon. Ms Fagan. It was a real pleasure to have him here with us, to take part

for the first time in the proceedings of this House. I look forward to the many

times in the future that he will continue to be with us over the next five

years.

I too want to thank the outgoing Lieutenant Governor, Mr. Crosbie, and his

wife, for the service that they offered to us in the five years that they were

in the position. It was always an enjoyment to have him in the House with us as

well.

The Speech from the Throne is a very important document, as we all know, and

it is something that we cannot take lightly, because it is the document that is

supposed to be the framework of a government during a session of the House. I

point that out, that it is for a session of our sitting; we are in the 47th

Assembly, and this Speech from the Throne is the framework for the next session.

I have to say that I find this Speech from the Throne interesting, because

one would think that this government had not been in place for ten years. Some

of the things that they have outlined and that were read to us by the Lieutenant

Governor are things that one would have expected from a new government, not one

that has a ten-year record that had started, as the Throne Speech likes to point

out, at a time in our history when we did not have the resources that we have

today and we did not have the revenues that we have today; at a time when we had

a debt, as was pointed out in the Speech from the Throne, a heavy debt, at a

time when we did not have a lot of services that people need in this Province,

Mr. Speaker, and they talk as if all of that is over.

Well, I would like to point out to this government that the debt that they

were talking about ten years ago, if we believe their own papers and their own

documents and what they presented in the pre-Budget consultations, the debt that

is now below $9 billion is supposed to be going up to $12 billion within the

next few years. That is from their documentation. What has changed in the ten

years, Mr. Speaker?

We have a government that right now has brought us into what they are calling

a fiscal crisis and causing us to now have cuts to the public service sector;

something that happened, Mr. Speaker, before ten years ago. Something that

happened at a time when we did not have the revenues that we had when the public

service sector was cut down to bare bones, and they recognized that it was bare

bones.

They were the ones who started increasing the public sector as a government

because of the fact that we could not deliver services properly in this Province

because we did not have enough people in the public sector. Now they are saying

that the only way to move ahead fiscally is to cut back the public service

sector, which they said, in the past ten years, had to be increased in order to

bring services to the people.

I find it very interesting that they talked about where things were in 2003,

when they came in, and except for the wonderful revenues that we have, which are

being spent somewhere else, except for that, all of a sudden ten years later we

are exactly where we were going to be in 2003: debt, bigger than it is now; a

public service sector that is being cut to the bone; and services being cut back

in this Province. What has happened in the last ten years?

Yet, this is a government that is putting billions of dollars into a major

project that we are told wait for twenty years because you are going to see the

benefit. This is a government that in this speech today had the gall to say that

we cannot have debts that are going to be carried on the shoulders of our

children into the future. That is exactly what they say, Mr. Speaker. They say

in their Speech from the Throne that was read by the Lieutenant Governor that

unpaid debt leaves our children a burden that crushes their opportunities. We

cannot borrow for our day-to-day spending and send the bill to our children down

the line. Newfoundlanders and Labradorians understand this. This government is

putting billions of dollars of the people's money into Muskrat Falls and that is

a debt that our children are going to be carrying down the line.

They are speaking from two sides of their faces, Mr. Speaker. They are double

speaking. I cannot believe they had the gall to put that into the speech today

at a time when they know they are going to have to borrow in order to pay the

cash equity into Muskrat Falls that still has to be paid.

Mr. Speaker, what is going to happen when we have the cost overruns? There

are going to be cost overruns. The evidence is already there, Mr. Speaker, that

there are going to be cost overruns. Where is that debt going to be paid? There

will be more cash equity that will have to be put in and that will be on the

shoulders of our children.

Mr. Speaker, today, to listen to them through their Speech from the Throne,

to listen to what they have to say, I cannot believe that they could stand here

and sit here as we speak today and even think that people are going to believe

what they have written. We are no further ahead listening to them than where we

were in 2003. Yet, at the same time, they tell us we have more money than we

have ever had before; we have a strong economy et cetera, et cetera. They do not

know what they are talking about.

Why is it they expect the people of the Province, they expect the public

servants who work in this government to suffer, while at the same time they are

telling all of us we have so much money, things are better than they have ever

been in the past. Yet, the debt is going to be gone up to the debt it was ten

years ago, in a few years' time. It is in their papers. I am not making this up;

it is in their document. The public service sector is going to be down to bare

bones again and services in this Province are already being cut. Mr. Speaker,

they better listen to what they are saying.

On the other hand, they are talking about things that we have been talking

about as a party in this House. I like the way in which they are using our

language of sustainability. We are going to get a sustainability plan. Mr.

Speaker, I say to the Premier and I say to her government, I think it would be

really good if they went into our Web site and read our document on

sustainability that we wrote five years ago putting our plan in place.

SOME HON. MEMBERS: Hear, hear!

MS MICHAEL: Every platform that we have had since writing that

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

MS MICHAEL: It is a document the leader of the party has been based on,

our sustainability document. If they are going to get into sustainability, I

invite them to read the document on which we have set our platforms over the

last five years, Mr. Speaker. That is one thing I invite them to do.

Another thing, Mr. Speaker, when you talk about where does their gall come

from, I have to speak to the issue of the Premier saying that this government is

the most open and most transparent government that we have ever had here in

Newfoundland and Labrador. After what they did last spring, Mr. Speaker, with

Bill 29, after experts around the world not just in our country, but around

the world spoke to how backward-stepping Bill 29 was, that we cannot get our

hands on anything that might in any way relate to any kind of advice to the

government, we cannot get a document without fighting for it, and they talk

about openness and transparency.

Do they think the people in the Province are not listening? Do they think

people are stupid in this Province? Well, they are not. They are listening. Do

they think, I ask, Mr. Speaker? I know the people in the Province are not stupid

because the people in the Province are telling us what they are seeing with this

government. They see Bill 29 for what it is. The people in this Province have

spoken out. They have been on the Open Lines. They have written letters to the

editors of our newspapers. They speak to each other and to every other

politician in this Province. They know Bill 29 was a backwards step and they

know that it does not show this government is open and transparent.

I would like to speak directly to some things that are in the Speech from the

Throne, some more things, Mr. Speaker. Yes, I am really glad to see that they

are talking about dealing with the issue of anti-bullying. I am really glad to

see that they are actually going to make changes, apparently, to legislation on

anti-bullying.

Well, I find it very interesting, Mr. Speaker, that last spring when we had a

private member's motion brought to this floor, brought to this House by the

Member for St. John's North, that government voted against the private member's

motion on anti-bullying. They did not vote to have legislation on anti-bullying.

I find it fascinating that now they are going to. I am glad. They should be

doing it. I am really glad. They should be doing it, but acknowledge that they

voted against a private member's motion on this floor asking for legislation. I

want them to acknowledge that. They will not, of course. They will not do that.

The other thing, Mr. Speaker, is the reference to 911. I think it is on page

14 of the Speech. I am delighted to have 911 in the Speech; however, it says we

are going to see advances over the next two years. Well, I have been six years

in this House being told that. I have been here for six years being told: hang

on, we are going to do studies, we are going to figure out what maybe should be

tendered, and then we are going to ask for tenders. Now we are being told there

are going to be more advances over two years.

They are not saying it is going to be in place. They are not saying that in

two years time we are going to have enhanced 911 in this Province. We are going

to have more advances; well, I really will be looking tomorrow in the Budget,

Mr. Speaker, to find out what money is going to be in there for those advances,

because if there is no money in there then I am not expecting any advances.

I want to see tomorrow in the Budget how much of this is words only, because,

Mr. Speaker, that is what I feel it is. This government uses the term

sustainability; well, they have not shown me that they understand

sustainability. They use the word diversification and they call another

megaproject diversification of our economy. That is not diversification. Once

again, I invite them to go to our sustainability document, which they will find

on our Web site, and see really good

definitions of sustainability and

diversification, what it means, and a plan that can work. I invite them to do

that, Mr. Speaker.

In the Speech from the Throne, Mr. Speaker, they also talk about amendments

to the Atlantic Accord. I have to say as one person who has been standing in

this House, and the Leader of a Party who has been standing in this House asking

for the government to take action with regard to occupational health and safety

in the offshore; and to listen to the recommendation that Judge Wells made with

regard to another agency, an offshore agency, to deal specifically with

occupational health and safety; I will be wanting to see if the legislative

changes that they are talking about are going to be talking about another

agency. I would like to know, and I guess I might find out tomorrow. If I do

not, I will be asking: what do they mean by an offshore occupational health and

safety regime? Does a regime mean having another agency dealing with it, as was

recommended by Judge Wells? I guess we are going to have to find out.

Regime is a very curious word and I think it is a word that can have all

kinds of meanings. Of course, it would not be unusual for the government to use

words that have all kinds of meanings. You have to try and figure which meaning

it is that they are talking about.

I am hoping that the legislation that is going to come forward is going to be

clear in showing us that they really do believe in having the second agency

along with the C-NLOPB, and that second agency is what they are talking about

when they are talking about a regime, Mr. Speaker. I guess we are going to have

to wait and see, won't we?

Another thing that I found curious in the Speech from the Throne is the

reference to NLHC hiring a national consultant to help them come to an

understanding of homelessness. Mr. Speaker, the issue of homelessness and

housing has been high on the agenda in this House and in this Province for the

six years that I have been here in this House, and it certainly has been over

the last couple of years for us. Our critic on housing and homelessness has been

vocal. She has been asking questions. It has been constant here on the floor of

the House, Mr. Speaker.

Now they are talking about hiring a national consultant. We have a

Newfoundland and Labrador Housing and Homelessness Network. That network put

together a fantastic framework in 2010 on housing and homelessness. We have

experts in this Province, Mr. Speaker, when it comes to homelessness and

housing. The only thing I can say to this government, either they do not

recognize the expertise of the people in this Province who have been speaking

out on this issue, or they are hiring somebody who they believe can work with

those