Newfoundland and Labrador Hansard — Oral Questions — 6 April 2004 (45th General Assembly, 1st Session, Vol. XLV No. 11)

2004-04-06

Newfoundland and Labrador — Debates (Hansard)

Newfoundland and Labrador Hansard — Oral Questions — 6 April 2004 (45th General Assembly, 1st Session, Vol. XLV No. 11)

2004-04-06

Newfoundland and Labrador — Debates (Hansard)

April 6, 2004 HOUSE OF ASSEMBLY

PROCEEDINGS Vol. XLV No. 11

The House met at 1:30 p.m.

MR. SPEAKER (Hodder): Order, please!

Statements by Members

This afternoon under Statements by Members, we will be having statements by

the Member for Grand Bank, the Member for Harbour Main-Whitbourne, the Member

for Cartwright-L'anse au Clair, the Member for Burin-Placentia West, the

Member for Port de Grave, and the Member for Bonavista South.

MR. SPEAKER: The hon. the Member for Grand Bank.

SOME HON. MEMBERS: Hear, hear!

MS FOOTE: Mr. Speaker, I rise today to congratulate Byron Monster of

Fortune. Byron beat the best in Canada in the 100 kilogram Master II category in

the Canadian Powerlifting and Bench Press Championships held in Kitchener,

Ontario March 18-21.

Byron's squat of 557 pounds set a new Canadian record. He also received a

gold medal in powerlifting with his 557 pound squat, 319.5 pound bench press and

562 pound dead lift for a total weight of 1,438.5 pounds. He also received a

gold medal for his 303 pound squat in the separate Bench Press Championships.

This was Byron's seventh national championship.

Another athlete from Newfoundland and Labrador, George Power from

Stephenville, placed in the powerlifting event.

The men's team from Newfoundland and Labrador had one of its best showings

ever, placing second overall to the host Province of Ontario. Records were also

set by Tom Kean and Steve Wiseman of St. John's and Don Cormier of

Stephenville.

Tom Kean and Steve Wiseman also won gold medals, as did Mark Holloway, Paul

MacDonald and Ryan Rowsell of Newfoundland and Labrador. Bronze medals went to

Don Cormier and Jamie Emberley. Jamie is formerly of Marystown and lives in

Ontario but still lifts for Newfoundland and Labrador.

All of those lifters have qualified for the 2005 Nationals which will be held

Calgary next April.

Mr. Speaker, I ask all members of this House to join me in extending

congratulations to these fine athletes from Newfoundland and Labrador.

Thank you.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for Harbour Main-Whitbourne.

SOME HON. MEMBERS: Hear, hear!

MR. HEDDERSON: Mr. Speaker, I rise today in this hon. House to extend

congratulations to the participants and organizers of the 2004 Newfoundland and

Labrador Provincial Finals of the Great Canadian Geography Challenge, an annual

student geography competition, a competition which took place on April 3 at All

Hallows Parish Hall in North River and was attended by seventeen junior high

students from across Newfoundland and Labrador.

The contestants, Mr. Speaker, earned the right to participate through

classroom competitions designed to generate an interest in geography in a fun

and interactive fashion. The top two winners of the challenge will represent the

Province in a national final in May via the Internet.

Top honours were captured in first place by Christina Price of MacDonald

Drive Junior High School in St. John's. Second place went to Oliver Winstanley

of Holy Trinity Elementary in Torbay, and third place to Jordan Doyle of

Roncalli Central High School, Avondale. The provincial co-ordinator, Mr. Peter

Laracy, certainly was delighted with the level of participation and commented

that the development of geographic literacy is essential in a world where modern

technology provides students -

MR. SPEAKER: Order, please!

The hon. member's time has expired.

MR. HEDDERSON: By leave, Mr. Speaker?

AN HON. MEMBER: By leave.

MR. SPEAKER: By leave.

MR. HEDDERSON: The challenge is made possible through corporate and local

sponsorship, including the Royal Canadian Geographical Society, HSBC Bank of

Canada, Bell Canada, Imperial Oil Foundation, the Atlas of Canada and the

Geometrics Institute at Fleming.

I certainly would congratulate the organizers for a great competition, and in

particular I would like to extend thanks and appreciation to Mr. Denis Mulloy of

Steele Communications, who acted as quiz master for this competition for the

last ten years. Certainly, good luck is extended to the top finishers, Christina

and Oliver, in the national completion and I am sure that all members of this

House will join with me in congratulating all competitors, the sponsors and

organizers for a job well done.

Thank you, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for Cartwright- L'anse au Clair.

SOME HON. MEMBERS: Hear, hear!

MS JONES: Thank you, Mr. Speaker.

I rise today to congratulate yet another phenomenal young person from the

District of Cartwright- L'anse au Clair. Seventeen year old Megan Pike, of

West St. Modeste, recently received a $50,000 TD Canada Trust Scholarship for

outstanding community leadership. This scholarship is awarded annually to twenty

students across Canada, two of whom are from Atlantic Canada. Megan met the TD

Canada Trust criteria by making a meaningful and lasting difference in her home

community. Ms Pike and a group of students recognized the need in their

community for young people. She then started the idea of a youth centre and was

the original organizer and key fundraiser for the project. She and her friends

started writing letters to businesses and organizations in the area and were

successful beyond their own expectations.

TD Canada Trust has recognized her efforts. This scholarship will pay $5,000

for her tuition for four years, and allow for $3,500 a year for living expenses.

In the summer between semesters, they have also given her an opportunity to work

for TD Canada Trust.

Megan now chairs the committee which operates the youth centre that she

founded in West St. Modeste and plans to pursue studies at Memorial University

this fall.

MR. SPEAKER: Order, please!

The member's time has expired.

AN HON. MEMBER: By leave.

MS JONES: May I have leave, Mr. Speaker?

MR. SPEAKER: By leave.

MS JONES: Thank you.

I would like to conclude by asking all Members of the Assembly to join me in

congratulating Megan for her accomplishments and making us proud in Newfoundland

and Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for Burin-Placentia West.

SOME HON. MEMBERS: Hear, hear!

MR. JACKMAN: Mr. Speaker, it gives me great pleasure to announce that

today, the White Rose FPSO will arrive in Marystown. The 267 metre Sea Rose

which is completing its 14,000 nautical mile journey from South Korea, is the

largest vessel ever to tie up in Marystown. The Sea Rose will spend the

next year and a half at the Kiewit Offshore Services Fabrication Facility in

Marystown where work will be done to install and commission the topside units

for the offshore oil platform.

This project has given the local economy a major boost. Not only has it

brought benefits to the Marystown area; indeed residents of the entire Burin

Peninsula and the Province will reap the benefits of this work.

We have a capable workforce in this Province, who have proven themselves on

previous projects. At the completion of this White Rose Project we will once

again showcase for the world the potential of this Province's workforce.

Mr. Speaker, I would ask all members to join me in congratulating those who

have worked diligently and cooperatively to bring this project to the area and

the Province, and I wish all involved the successful conclusion to the topside

work.

Thank you.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for Port de Grave.

SOME HON. MEMBERS: Hear, hear!

MR. BUTLER: Mr. Speaker, I rise today to offer my congratulations to the

Ascension Collegiate Astros Girls' hockey team who took first place in the

Confederation Cup. The girl's team topped off a very successful tournament

with a 4 to 2 victory in the championship game held on February 8, at Mile One

Stadium. The Confederation Cup, now in its sixth year, brings in high school

hockey teams from across the Province, as well as the Atlantic region.

The Ascension Collegiate girls performed spectacularly with a record of six

wins and one loss.

Recently, Mr. Speaker, this same team made history in Newfoundland and

Labrador by winning the Women's High School Hockey 4-A Championships. This was

the first ever in this Province.

The Ascension Collegiate Astros boys team did well also, advancing to the

finals with a great deal of skill and talent, but losing to Gonzaga in a 4 to 3

victory in overtime. I want to congratulate Gonzaga.

Mr. Speaker, I ask all members of this House to extend its congratulations to

the Province's new Confederation Cup Girls Champions, and the Province's

first Women's 4-A champions, the Ascension Collegiate Astros.

Thank you, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for Bonavista South.

SOME HON. MEMBERS: Hear, hear!

MR. FITZGERALD: Mr. Speaker, I rise today to congratulate Daniel Lodge, a

native of Bonavista, on being selected as Memorial University's Amazing

Student of the Week. This is quite an achievement considering that over 16,000

students attend the university.

Mr. Speaker, Daniel is a second year medical student who maintains an 88 per

cent average. Perhaps more remarkable, is that he already holds a degree in

engineering.

Daniel's accomplishments are not limited to the world of academia, however.

He is also a very active member of the community and has extensive volunteer

experience both within the university and with outside agencies. And, Mr.

Speaker, somewhere in there, Daniel found the time to co-found and become

president of a very successful company.

Mr. Speaker, I am sure that with his intelligence, dedication and commitment

to the community, this young man is well-equipped for a very bright future and I

ask all member of this Legislature to join me today in congratulating Daniel

Lodge.

SOME HON. MEMBERS: Hear, hear!

Oral Questions

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

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Thank you, Mr. Speaker.

My question today is for the Government House Leader. Would the Government

House Leader like to try to explain to the people of the Province why the

government wasted thousands of dollars for a totally unnecessary session of this

Legislature last night when the Premier, who is the one-man show, has actually

said that we will lead by example and this government will only spend money that

is absolutely essential? Would the Government House Leader, Mr. Speaker, like to

explain to all the people of the Province why there was a totally unnecessary

expenditure last night or was it just because the one-man show ordered him to

have a session to try and bully the Opposition?

SOME HON. MEMBERS: Hear, hear!

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

SOME HON. MEMBERS: Hear, hear!

MR. E. BYRNE: Thank you, Mr. Speaker.

First of all, there was no waste of money. The House operates both in day and

night sittings. I recall on many occasions, when the Leader of the Opposition

was Premier, that we were here for many nights. I also recall one sitting

lasting forty-six hours straight.

The fact of the matter is, Mr. Speaker, that government has an agenda both

legislative and otherwise. The Opposition House Leader has been informed, as

well as the NDP, that over the Easter period all of the legislation will be

given to them. We have a certain body of work that needs to be done. We will to

do it. It does not cost any more to do it from 2:00 p.m. to 5:00 p.m. as it does

from 7:00 p.m. to 10:00 p.m. The fact of the matter is this, never before have I

seen an Opposition squiggle so much about sitting and doing some work in the

nighttime. We have a body of work to do. We intend to do it and we will not be

deterred from doing it, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: On a supplementary, the hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Thank you, Mr. Speaker.

The Government House Leader knows the exact opposite of what he just said is

true. Last evening, particularly in a strike, where there had to be management

people brought in here to act as security for no reason at huge overtime bills.

The estimate provided to us was that it could be up to $30,000 last night to run

a session for which there was no urgency whatsoever, Mr. Speaker, and you would

know that we sat last week in the evenings because there was urgency to get

certain bills passed by March 31, which we cooperated in and did.

The question is this: Can the Government House Leader confirm that the

one-man show, who is in Gander today, ordered him to close the Legislature

tomorrow for the Easter break whether there is an agreement with 20,000 striking

public servants or not? Is that the instruction that will be followed tomorrow

at 5:00 p.m. in this Legislature?

SOME HON. MEMBERS: Here, here!

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

SOME HON. MEMBERS: Hear, hear!

MR. E. BYRNE: Mr. Speaker, again, I guess, for the Leader of the

Opposition, this question is more about theatrics. Just five minutes before

Question Period started, I informed the Opposition House Leader that no decision

had been taken about the Easter break, that we would be making that decision

tomorrow morning, that we would be communicating it to the Opposition. Mr.

Speaker, it should be noted, also, what I informed the Opposition House Leader

was that no decision had been taken on the amount of time. Would it be to the

rules of the parliamentary calendar in two weeks? No decision has been taken.

My answer to the Leader of the Opposition is this: Ask your House Leader

before you stand up and ask a question and swallow yourself whole in front of

Newfoundland and Labrador.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Thank you, Mr. Speaker.

I am sure if the one-man show were here instead of in Gander, Mr. Speaker,

that we would get the answer about closing tomorrow much more straightforwardly

than we just did.

Mr. Speaker, my question is for the Minister of Finance. The excuse that we

hear repeatedly coming from all the members opposite, when they are permitted to

speak, is that we have no choice in doing what we are doing now, we have

inherited a mess created by someone else, we are drowning in debt we are on the

verge of bankruptcy.

How does the Minister of Finance square those statements, Mr. Speaker, with

the representative of the bond rating agency, Moody's, yesterday, when asked a

question in Newfoundland and Labrador:

MR. SPEAKER: I would ask the member now to complete his question.

MR. GRIMES: Is this Province on the verge of bankruptcy? How does the

Finance Minister answer when the Moody's representative said: We don't give

A credit ratings to provinces that are on the verge of bankruptcy? How does he

answer that question, Mr. Speaker?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury

Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

It is a different tune from what the very Leader of the Opposition said some

while ago. I believe he used the same words; what a desperate financial

situation we are in.

Credit ratings are given on the basis of a government's fiscal plan to deal

with our problem. They are not taken at a snapshot in one specific time. What we

are going to do: We presented a fiscally responsible and prudent budget that is

going to get us back on the road to recovery, and I have every confidence that

we stayed a course that bond rating agencies will not only, in the long term,

maintain our rating but improve it; if we stayed a responsible course.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Thank you, Mr. Speaker.

Mr. Speaker, I take it that the fearmongering that we are almost bankrupt we

won't hear anymore from this Finance Minister. We won't hear that excuse

again, as I just understood the answer.

Mr. Speaker, I would like for the Finance Minister to answer this question

about a Budget he presented a week ago today. We have heard: We will take a new

approach, we will lead by example, we will only spend what is absolutely

essential. Can the Finance Minister, in that context, explain why on page

fourteen of the Estimates there is an amount budgeted for $20,000 for a housing

allowance for the one-man show, the Premier, who is supposed to be doing this

job for nothing? Can he answer that question?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury

Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

The Premier's salary has always been listed, as he knows. So are any basic

allowances listed. So is the allowance that this government brought in when he

sat in this government and brought in that allowance. He used it when he sat in

this government. The Premier of the Province has foregone his salary, on behalf

of the people of this Province. He does not -

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

The hon. minister has the floor. Question Period is very short, so we should

let him complete his answer.

MR. SULLIVAN: Thank you, Mr. Speaker.

We saw the former Premier of this Province stand in this House and talk about

a housing allowance that was brought in by that government, when they were

there. It is there, whether the Premier uses it or he does not. You will have to

ask the Premier if he wants to use it, or whether he is not going to use it, and

not ask me.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Thank you, Mr. Speaker.

Let me say to you, Mr. Speaker, that I would like nothing more than to ask

the Premier. If he would only ever show up in this Legislature again, I would

love to ask the Premier.

Mr. Speaker, again, the words I just heard from the Finance Minister - now I

expect them from the one-man show who has shown that he is a slick lawyer - l a

w y e r - a slick lawyer, and he uses it constantly in Newfoundland and

Labrador. The Finance Minister said the Premier has foregone his salary. If he

had foregone his salary and if he was going to forego his salary this year,

including this $20,000 for a housing allowance, why does it need to show up in

the Budget that you presented as an expenditure that this government is going to

make if nobody is going to take it? Why is in the Budget?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury

Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

The Leader of the Opposition knows fully well it is not a housing allowance.

He knows fully well what it is there for. It was $20,000 put in, when he sat

either in the Premier's Office or a minister at the time, for the Premier of

the Province if he has to incur costs for entertainment or whatever while he is

at home.

The Premier of this Province will determine if he wants to use any or all of

that allowance. In the past it has been used. I would like him to ask me a

question why my travel and communication is $20,000 less than the former

minister used in this position.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

MR. GRIMES: Thank you, Mr. Speaker.

I am glad the Finance Minister is leading exactly where I would like to go

about the kinds of issues that are here.

Mr. Speaker, again, the language was - and this is what this government and

the one-man show, the slick lawyer, would like everybody in Newfoundland and

Labrador to believe -

AN HON. MEMBER: The slick what? (Inaudible)

MR. GRIMES: L a w y e r. Maybe I do not pronounce the word lawyer too

well. I know how to spell it - l a w y e r - slick lawyer, and I will keep

saying it until the cows come home. I can tell you that, Mr. Speaker.

MR. SPEAKER: I ask the hon. member now to complete his question.

MR. GRIMES: Mr. Speaker, the Finance Minister is suggesting he foregoes

the salary. Why is there an allocation written in this Budget to be paid out

this year, not to be the Budget lowered by this but to be paid out, $68,252 for

the Premier on top of his $70,000 salary as an MHA? Why are those members -

MR. SPEAKER: I ask the member now to complete his question.

MR. GRIMES: - in the Budget presented by this Finance Minister for a

person who wants the Province to believe he does not take any money?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury

Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

I will answer the question, but the Leader of the Opposition knows that there

are seventy-five hours allotted outside this time to explain every single item

in the Estimates and there is a provision, but I will answer it.

SOME HON. MEMBERS: Oh, oh!

MR. SULLIVAN: I will answer it for him, Mr. Speaker.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

MR. SULLIVAN: I will answer it. It is because it is an entitlement that

is listed and available to the Premier to take. The Premier chooses not to take

either one of these two, I understand, and donate it to a charitable cause for

people to use for worthwhile purposes in this Province.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Thank you, Mr. Speaker.

Wouldn't the Finance Minister also agree that, in fact, there is an $8,000

car allowance budgeted for the same one-man show Premier, who does not want to

take any money, along with free gas, Mr. Speaker, for every time he fills up

that vehicle for the year, and that is going to be paid out to the Premier of

the Province because it cannot leave his Budget any other way than for him to

pass it out from the Treasury and give it to the Premier? Is he trying to

suggest -

MR. SPEAKER: Order, please!

I ask the hon. member now to complete his question.

MR. GRIMES: Yes, Mr. Speaker.

Is he trying to suggest that total, which is altogether $170,000, is in the

Budget and will not be spent by the taxpayers of Newfoundland and Labrador? Or,

is he going to admit that it is actually taken by the Premier and used for his

own benefit in a charity that then gives him a $30,000 or $40,000 tax break on

top of it?

SOME HON. MEMBERS: Oh, oh!

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury

Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

His salary as Premier, and as a Member of this House of Assembly, he has

indicated, is listed in the Estimates and he has agreed that it would be donated

to a charitable purpose. It does come out of the Province and go to a charitable

purpose.

As for the car allowance, I will say, Mr. Speaker, he decided not to use a

government car that the former Premier used, a $50,000, LHS -

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: - and a $50,000 Grand Cherokee for personal use. Two

$50,000 vehicles were used by that man when he was Premier in this Province, at

taxpayers' expense. The current Premier does not want anything to do with two

$50,000 public vehicles. He will drive to work in his own vehicle.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Thank you, Mr. Speaker.

Again, Mr. Speaker, I am glad he raised that issue because the one-man show,

the slick lawyer who is not here again today, has said, I will lead by example

by not using the two vehicles that were in the Premier's office, have been

there since the Member for Lewisporte, and the Minister of Transportation and

Works, and Brian Peckford used to be there years ago. He gave the impression

that there are savings to the government.

Would the Finance Minister like to tell this House where those two vehicles

are now being used? Were they sold for the benefit of Newfoundland and Labrador,

or are they still being used somewhere else in the government and pretending

that there is actually some savings associated with that?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury

Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

I will answer it in two parts. Number one, they are not being used for the

personal use of the Premier; those two vehicles like was used for the former

Premier when he drove no personal vehicle of his own. He drove a government

vehicle, which was a Jeep Cherokee, and he drove a LHS car on government

business.

The second part of that question, Mr. Speaker, I have asked since last

November for a review of every single government vehicle, its lease and its use

in government, and we are going to look at use of government vehicles in an

efficient manner and only use what is necessary.

In the past we had been paying for vehicles, insurance -

MR. SPEAKER: I ask the member now to complete his answer.

MR. SULLIVAN: Mr. Speaker, we have been paying for vehicles in the past

that were not in use and still paying insurance on them long after they were

taken out of service. That was the sloppy way that government did business in

the past.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: On a supplementary, the hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Thank you, Mr. Speaker.

I am glad to see that the Finance Minister is trying to learn some of the

tactics used by the one-man show, the slick lawyer. In fact, if you will check

Motor Vehicle Registration you will find out that I personally have owned a

vehicle ever since I have been twenty-two years old. Check your own records.

Trying to suggest that I did not own a vehicle, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: I ask the member now to complete his supplementary.

MR. GRIMES: Mr. Speaker, would not the Finance Minister agree that the

only way for his Budget to improve by the $170,000 that goes into the hands of

the Premier, the one-man show, is for us to agree to amend the Budget? Take out

the $20,000, take out the $68,000, take out the $70,000, take out the $10,000 or

$12,000 for car a allowance, and then the people of Newfoundland and Labrador

might benefit by $170,000 -

MR. SPEAKER: I ask the member now to complete his question.

MR. GRIMES: - which could be up to eight full-time jobs that he would not

have to get rid of or sixteen part-time jobs that he could keep instead of

passing the money over to the Premier, pretending he does not.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury

Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

First of all, I want to clarify that I have never said he didn't own a

personal vehicle. I have said he drove a personal vehicle, a Grand Cherokee, for

personal use continuously while he was Premier of this Province and had the

services of an LHS car. I didn't say he didn't have other vehicles. That is

what he used. When he lost the job as Premier both of these vehicles reverted

back to government.

It is the Premier's prerogative to have a salary listed. If he wants to

donate that to charity it is his choice. If he wants to keep it, it is his

choice. He has decided to donate it to charity, and if the former Premier doesn't

like that he is going to have to live with that person's entitlement and what

he wants to do with it.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Mr. Speaker, I don't mean to prolong this, but what I don't

like and what the people of the Province don't like is being misled by the

government to believe that there is $170,000 that is associated with the Premier's

office that is not being paid out. That is what they want people to believe. We

are finding out now that it is paid out, it is in the Budget, it does get spend

and it could be twenty jobs instead. If the Premier really wanted to do

something he could leave it with the Finance Minister.

Now, back to this last question on this issue, Mr. Speaker. There are

thirteen other ministers, the Speaker himself and myself, who also receive a car

allowance valued at over $10,000 a year. We are supposedly drowning in debt, we

are supposedly in a circumstance where we will only spend money if absolutely

essential. That is why there are 20,000 people on the streets because we have no

money to meet their needs.

MR. SPEAKER: I ask the member now to complete his question.

MR. GRIMES: Yes, Mr. Speaker.

Wouldn't the minister agree that all of us, and I will lead by example,

should amend the Budget by a total of $160,000, take out the sixteen car

allowances because it is not essential and lead by example, as they said they

are going to do. Will he do that?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance and the President of

Treasury Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

First of all, I would like to correct the former Premier who should know that

it is not $10,000, number one. It is $8,000 taxable allowance. Based on the

salary it nets out -

AN HON. MEMBER: With the credit card for gas.

MR. SULLIVAN: I don't use the credit card for gas. I am not aware of

it, I don't use it.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please! Order, please!

The Minister of Finance has the floor and he should be able to answer the

question in relative silence.

MR. SULLIVAN: Thank you, Mr. Speaker.

They are assuming we are doing what they did. There is about a net of $3,700

after taxes for a car allowance. We cannot charge, I understand - I have never

used it, never done it, never charged it - the kilometers that you would

normally charge if you are getting a car allowance. If you want to eliminate

that and use the regular that anybody could use, that is an option. There is an

option to amend that and they know when it can be amended and they shouldn't

be grandstanding. There is an opportunity to do that in the proper way.

MR. SPEAKER: I ask the minister now to complete his answer.

MR. SULLIVAN: To give that impression, Mr. Speaker, that this side of the

House is going to rip off the people like they did, he is mistaken. We are not

going to do it.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Thank you, Mr. Speaker.

Mr. Speaker, one final question. I do not want to belabour it, but one final

question on a different issue and then I will gladly have other questioners.

This, unfortunately, is the second Question Period in a row in which the

Premier has decided that there are more important things for him to do than to

answer questions about what is happening with 20,000 people on the streets.

MR. SPEAKER: I ask the hon. member now to complete his question.

MR. GRIMES: Yes, Mr. Speaker.

He would rather ruin any chance of a settlement by going out and attacking

the character of the union leaders and anybody else who dares to oppose him.

Would the Finance Minister, as the chief negotiator, who I understand is trying

to reach a settlement, would he speak to the one-man show, the slick lawyer, his

Premier, his boss, and ask him, in the sake of trying to get a settlement, to

impose a media blackout, which I will certainly gladly participate in, in

helping the cause, instead of this character assassination that is only making

matters worse. It has been a disaster since January 5; it is only getting worse.

MR. SPEAKER: I ask the hon. member now to complete his question.

MR. GRIMES: Would he talk to him about having a media blackout, and

getting back to some real, respectful negotiations?

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury

Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

I would like to know if the reason he wants a blackout now is so that it will

not become public, prior to the strike on a Sunday night, the meeting that he

and Mr. Puddister and Mr. Hanlon had here in this building?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: A supplementary, the hon. the Leader of the Opposition.

SOME HON. MEMBERS: Hear, hear!

MR. GRIMES: Thank you, Mr. Speaker.

Now I know he is learning from the slick lawyer, one-man show. I had no

meeting - and I can say it absolutely with every ounce of honesty in my body - I

have not met with Mr. Puddister, I have not met with Mr. Hanlon, I have not met

with Mr. Lucas. I am not involved in these negotiations. I am doing my job as

the Leader of the Opposition, and their approach is to attack anyone who dares

disagree with them, Mr. Speaker, and I would ask for an apology. If he is any

kind of an hon. member, he will apologize for telling that lie!

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: I ask the hon. member now to complete his question.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

The hon. the Government House Leader.

MR. E. BYRNE: Thank you, Mr. Speaker.

The Leader of the Opposition knows that he cannot say about another hon.

member that he has told a lie. He has been pushing the envelope all day, fair

enough, but he has crossed the bounds between what is parliamentary and what is

not parliamentary.

Mr. Speaker, I ask you to ask him to withdraw his comment, which basically

said that the Minister of Finance and President of Treasury Board, where he said

that he lied.

MR. SPEAKER: Is there an agreement that if we are going to discuss this

point now that we can extend the Question Period the same amount of time? If

that is so, then we can -

SOME HON. MEMBERS: No.

MR. SPEAKER: Not on this issue?

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: On the point of order, the hon. the Opposition House Leader.

MR. PARSONS: (Inaudible) the right to argue this point after. The

Government House Leader knows full well he is doing this only to waste Question

Period time.

Thank you, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The Chair will defer the discussion and ruling until

immediately after Question Period. Then we will hear from any other

representations that need to be made.

Question Period continues.

We have room for one question by the Member for Port de Grave before we move

on to the Member for Signal Hill-Quidi Vidi.

The hon. the Member for Port de Grave.

SOME HON. MEMBERS: Hear, hear!

MR. BUTLER: Thank you, Mr. Speaker.

Mr. Speaker, earlier this session I asked the Minister of Human Resources,

Labour and Employment and the Status of Women a question about the backlog of

work in her department. She stood in this House and stated that this issue had

been rectified. The information I have, Mr. Speaker, from reliable sources, is

contrary to what the minister had said at that time. Mr. Speaker, there are not

enough workers to deal with the caseload. I ask the minister: Does she stand by

her statement of March 29, 2004?

MR. SPEAKER: The hon. the Minister of Human Resources, Labour and

Employment.

SOME HON. MEMBERS: Hear, hear!

MS BURKE: Mr. Speaker, the Department of Human Resources, Labour and

Employment is very concerned about efficiencies in our department. We are in the

process of rolling out a new computerized pay system which will help us achieve

100 per cent compliance with all of our policies at all times.

It is also my information, that I have been advised by the reliable sources

within our department, that the inefficiencies, or the backlog of work, that was

addressed by the hon. member has been taken care of, and I do stand by that

comment.

Thank you.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Order, please!

Under the agreement by all parties in the House it is twenty-six minutes

since Question Period began and we now go to the Member for Signal Hill-Quidi

Vidi.

MR. HARRIS: Thank you, Mr. Speaker.

My question is for the Premier, but in his absence the Minister of Finance.

Will this government stop working on the public to undermine the leadership of

the public sector union by attacks on their integrity, their approach to

leadership and, in fact, convincing people out there, Mr. Speaker, that this

Premier and this government does not want to settle this strike? In fact, will

the Minister of Finance acknowledge that there may be 20,000 people out on

strike on some sort of expensive, cynical and hurtful diversion from this

government's real agenda of cutbacks, the Budget, layoffs and all of that, and

that the people out there are suffering because this government, and this

Premier, does not really want an agreement and they want those people out on

strike?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury

Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

I spoke with Mr. Puddister yesterday and he asked me if we could advance and

move negotiations and I said yes, I am quite interested, and we would like to

receive a proposal from them. He informed me that he would be convening his

people today and he would be putting a proposal back to us before the end of

today.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for Signal Hill-Quidi Vidi.

SOME HON. MEMBERS: Hear, hear!

MR. HARRIS: Thank you, Mr. Speaker.

We know that the union wants to make a settlement, has made offers and has

told this government that if they remove these divide and conquer, regressive

and unacceptable concessions from the table, that a deal can be had.

The question is, Mr. Speaker, does this government want to deal or are they

going to continue the same divide and conquer tactics in their negotiations with

divide and conquer, regressive and unacceptable concessions or are they going to

make a fair offer and settle this strike?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Finance and President of Treasury

Board.

SOME HON. MEMBERS: Hear, hear!

MR. SULLIVAN: Thank you, Mr. Speaker.

We thought we made a very fair offer to the unions on March 31. Obviously, in

any negotiations there are differences of opinion. Even the NAPE Web site, which

I looked at yesterday, shows that there are certain things even indicated there

that was not in the last agreement that they want; that was not even in the last

agreement. Obviously, there are things that we put to the table too, that were

not in the last agreement. We want to see a settlement to this. We are sincere

in getting people back to work here in our Province, our employees. We want to

see it happen. We hope the resolve will be there from the unions too, and we

want to get back to normal here in the operations of this Province.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: We have time for one quick question.

The hon. the Member for Port de Grave.

SOME HON. MEMBERS: Hear, hear!

MR. BUTLER: Thank you, Mr. Speaker.

I say to the hon. minister, who is running her department? It seems like it

is another one-line minister. Mr. Speaker, last week this minister admitted that

there was a decision being made to close twenty offices in this Province while

there was a $350,000 office being opened in Ottawa. She did not know which

offices would be closing but she said she would advise this hon. House as soon

as that decision had been made.

I ask the minister for a further update on the closure of the now anticipated

thirty offices and whether or not any action has been taken to close those

offices at this point in time, Mr. Speaker?

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Minister of Human Resources, Labour and

Employment for a very quick reply.

SOME HON. MEMBERS: Hear, hear!

MS BURKE: Mr. Speaker, as I have indicated, we are implementing a new

computerized pay system. We will be bringing the Department of Human Resources,

Labour and Employment out of the 1960s. We will be aiming for 100 per cent

compliance. We will be using advanced communications and technology.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

MS BURKE: In achieving these efficiencies in our system -

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

The minister is attempting to answer the question and it is impossible for

the Chair or anyone else to hear her answer if the House does not cooperate.

The hon. the minister in about ten seconds. Go ahead.

MS BURKE: In our attempt to achieve efficiencies we will be closing some

offices. As I indicated last week, once we have made the decisions they will be

known publicly.

Thank you.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: Question Period has expired.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

As indicated during Question Period, we had a point of order raised by the

Government House Leader. Is it the wish of the House that we would discuss that

matter now?

The hon. the Opposition House Leader.

MR. PARSONS: Thank you, Mr. Speaker.

I would certainly like to speak to the point of order which was raised by the

Government House Leader during Question Period. We have had a repeat of this on

numerous occasions in the two weeks that this House has been open, that the

Government House Leader, whenever things get hot in their kitchen he tends to

jump up and try to shut up the Opposition from asking their question on points

of order and wasting time. We saw it here again today.

Now, Mr. Speaker, when people get into a situation in this House when they

utter words that are considered unparliamentary, sometimes it is quite

deliberate and intentional to infuriate the other side. Sometimes it is said

because somebody has been deliberately provoked, all of which must be taken into

consideration by Your Honour in making a ruling. Now, here today, Mr. Speaker,

the Opposition Leader feels, without question, that the Minister of Finance has

made a statement here today in Question Period that he knows to be absolutely

incorrect, that he knows is untrue, and you can put whatever fancy words you

wish on it. You can call it a terminological inexactitude if you wish but the

bottom line is, he made a statement that is not proper and he ought not to be

provoking somebody by making those types of statements. It is a two-way street.

If we are going to have decorum in this House, the other side has to respect the

right of this side to ask questions, and when they answer their questions they

should give answers instead of provocations. That is what has happened here.

If the Government House Leader thinks that he is going to pound this crowd

over here into submission by standing on these points of order, I say to him

right now, it ain't on. It is not going to happen so he may as well give it

up.

SOME HON. MEMBERS: Hear, hear!

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

SOME HON. MEMBERS: Hear, hear!

MR. E. BYRNE: Mr. Speaker, I appreciate the remarks by the Opposition

House Leader and to assure him, there is no intent, from my point of view, to

pound into submission as he has indicated. I am not that type of person.

The Government House Leader indicated that there was a provocation. He

believes that the Leader of the Opposition, the statement made by the Minister

of Finance and President of Treasury Board, that the Leader of the Opposition

says that it is not true. The Opposition House Leader said he can call it a

terminological inexactitude. He can call it whatever he wants but there is one

thing he cannot call it, and that is a lie in this House. That is paramount -

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

MR. E. BYRNE: Mr. Speaker, I listened with the absolute courtesy to the

Opposition House Leader and I would appreciate from the Member for Bellevue and

the Member for Twillingate-Fogo the same opportunity.

My point is this, that there are differences of opinion in this House all the

time. There is language that we can and cannot use. Whatever and however the

Leader of the Opposition or the Opposition House Leader want to characterize a

statement, there was one thing that they cannot say, that none of us can say

without being called to order on it or called to attention, and that is the

member is a liar.

MR. SPEAKER: Did I see the Member for Signal Hill-Quidi Vidi wishing to

address the House?

MR. HARRIS: Yes, Mr. Speaker, just briefly.

We have a situation here where a member said something that was regarded on

the other side - it was a factual matter. This is not a matter of opinion. Did

something happen or did it not? The member said something that is discerned to

be untrue and is factually untrue.

The use of the word liar is consistently held to be unparliamentary. If he

called him a liar and said that he was a liar, then that would be

unparliamentary. What he said was that the statement was a lie. That it was not

true. Now, Mr. Speaker, there is a very fine line between that. It just really

means that the member opposite, who made the statement, all he says is that he

thought it was true and then it is not a deliberate lie. It still can be untrue,

but we cannot have a situation where you can stand up in this House and tell as

many lies as you want and nobody can say that they are lies. We have to be very

careful here that we do not set up a situation where the public is out there

saying: You can't believe anything that they say because they can say what

they like. No one can point out the wrongness of what someone is saying.

There is a distinction between someone being a liar and someone telling

something that is untrue. That is a very fine distinction and Your Honour has to

make it, but I think in this case if the member is prepared to stand up and say

that he thought this meeting took place and now he understands it did not, then

I think the matter has ended.

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

MR. E. BYRNE: Mr. Speaker, I appreciate the remarks by the Leader of the

NDP. If we were to use that logic than every question in Question Period today

and other days, or for that matter any statements in the House, would have to

come under the same rule. But, the fact of the matter is - and we cannot escape

this parliamentary rule that is simple, that is true, that has been true for the

test of time. You cannot say in this House and infer on another member that what

he said was a lie. It is not parliamentary and it should not stand in the record

of the House with being either unchecked, withdrawn, or some other action taken.

That is the fact of the matter, I say to the member opposite.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: It is (inaudible) recorded in Beauchesne and all

reputable and parliamentary references used in the Commonwealth of countries,

that we should always show the greatest respect for the integrity of all

members. That is fundamental to the operation of our parliamentary system.

In dealing with unparliamentary language the Speaker takes into account the

entire circumstance, the words said, the circumstances in which they are said,

the intention of the member who is speaking, the person to whom the words were

addressed, degree of provocation, and most importantly of all, whether or not

there was disorder caused in the House.

When we deal with words we found that a codification of words has not been

found to be acceptable, so therefore we look at all of the circumstances. But,

we have to always remember that we have to be very careful when using language.

In this particular case, in consultation with the people at the Table, I will

review the transcript immediately and I will be back to the House before the

afternoon is out to render a decision on that matter.

Presenting Reports by Standing and Special Committees

MR. SPEAKER: Honourable members, in accordance with

Section 39(2) of the

Royal Newfoundland Constabulary Act, I hereby table the RNC Public Complaints

Commission Annual Report for the period ending March 31, 2003.

Petitions

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

SOME HON. MEMBERS: Hear, hear!

MR. PARSONS: Thank you, Mr. Speaker.

I rise today to present a petition on behalf of residents from South Branch

to Rose Blanche concerning the health care situation in that particular area, or

the anticipated health care situation. This is a petition, this one in

particular, which stretches from Rose Blanche to South Branch has about 300

names on it, and concerns the impending review of the health care system in that

area.

There has been much speculation in the last two months based upon a request

from the Minister of Health that there be cost cutting measures undertaken in

Western Newfoundland. Reports apparently have been circulating - which, by the

way, I have been lucky enough now and fortunate enough to be provided a copy of,

notwithstanding the minister's reticence in providing it to me. Indeed, the

concern is that clinics will be closed in places like Rose Blanche and Doyles.

The health care facility in Port aux Basques will be - the Dr. Charles L. LeGrow

Health Centre itself - downgraded to a clinic status. These are the concerns

people have. They fully appreciate that there is a committee in place now, the

HAY committee or the HAY group, studying the Western Health Care Boards. We are

fully aware of the government's intention, of course, to review the situation

on how many boards should exist and so on. They realize they have to await that.

The purpose of the petition is to make it clear to the minister that the

health care situation in Southwestern Newfoundland is already cut to the bone.

You cannot take from something that is already in minimal status. They want me,

as their member, to make sure that the minister, who is here today, is well

aware of the concerns of the people in Southwestern Newfoundland. Although you

may need to make cost-cutting measures in order to keep a system effective,

efficient and sustainable, there are limits to that. Dollar signs and trying to

save dollars are not the only thing you have to look at. You must look at and

you must have a social conscience. You have to consider that people need these

services.

The people in rural Newfoundland have it tough enough as it is. They cannot

travel three and four miles to access these health care services. They need the

bare minimum that they already have. That is the purpose of this petition, to

make the minister aware that the people of rural Newfoundland - it is not like

living in CBS; it is not like living in Mount Pearl; it is not like living down

the street on Water Street. They do not have the major facilities that you have.

They understand they cannot have them, but they want at least the bare minimum

that they need to survive in rural Newfoundland, or we will not have to worry

about saving money, because four years out, when you have a balanced budget, you

will have nothing to do with your money other than spend it in urban areas

because there will be no rural Newfoundland, and a Rural Secretariat will not be

necessary.

That is the point of the petition. I can assure the minister and government

that there are at least twenty more such petitions en route. I have been

requested to present them in this House and I will certainly undertake to do

that on behalf of the people of Burgeo & LaPoile and the Codroy Valley,

which falls within the district of the Minister of Human Resources and Labour.

Thank you, Mr. Speaker.

SOME HON. MEMBERS: Hear, hear!

MR. SPEAKER: The hon. the Member for Cartwright-L'anse au Clair.

MS JONES: Thank you, Mr. Speaker.

I want to rise and present another petition from my district with regard to

the Labrador marine services.

Mr. Speaker, I was denied leave yesterday by the Minister of Transportation

and Works, but I have three minutes again today and I will certainly continue to

speak to this issue everyday until we have a decision.

Mr. Speaker, the people in my district have been waiting for this government

to make a decision on marine services for months right now. Last fall they had

to go out and launch a full-scale protest to try and get a decision out of this

government as to what the marine services would look like. Mr. Speaker, they

made a commitment to the people in my district back in the fall and they told

them they were going to hire a consultant, they were going to have a study

prepared. They would look at whatever this consultant brought forward to them.

They would make a decision and they would have the marine services in place by

February, or the end of February.

Mr. Speaker, we still do not have a decision. Right now, the people of my

district do not know what kind of service they will have come this summer, which

is only a few, maybe six, weeks away. They do not have a reservation service.

They do not have an information service. They do not have a boat. They do not

have a schedule, and I think that the minister and the government are negligent

in how they are dealing with this particular issue; but, Mr. Speaker, there is

politics in all of this. It is not about whether there should be a ferry that

operates between Cartwright and Goose Bay.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

MS JONES: Mr. Speaker, I am being -

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

Members know that the Member for Cartwright-L'anse au Clair has the floor

of the House. She is addressing the House on an issue of concern to her

district, and we ask that she be able to be heard in relative silence.

MS JONES: Thank you, Mr. Speaker.

I am consistently being attacked by the members on this side of the House

whenever I speak to the marine service issue in my district, Mr. Speaker,

because it is a political issue. It is a political issue for the minister who

runs that department. On October 29, when he was running in an election, he was

quoted in The Pilot in Lewisporte, saying that bringing the Coastal

Labrador marine service freight and passenger service back to Lewisporte will be

an important move in the direction for Central Newfoundland and Lewisporte.

After he was sworn in as the minister for that department, the minister who

would solely be the one to look at the consultant's report, to take it to

Cabinet and to make the decision, said this on November 12: Not only is there a

big job to be done in this department for the whole Province, but there are

issues that are very much alive in terms of Lewisporte. Topping that list for

the minister is the Labrador marine freight and ferry service.

Mr. Speaker, this minister is trying to take a Labrador ferry, that is there

for the people of Labrador, and move it to his own district in Lewisporte.

Mr. Speaker, we are talking about the Sir Robert Bond . We are

not talking about a freight service for the people of Northern Labrador. The

people of Northern Labrador want to have their freight boat operate out of

Lewisporte to Nain, and I have no problem with that, but I have a problem when

this government wants to, for political reasons, take the Labrador ferry and

operate it out of the minister's home district in Lewisporte. I think this

minister has not been unbiased in this process. I think that is why we have not

had a decision on this service at this time. The people in my district need to

have an answer. They need to know what kind of service they will have this year.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

MS JONES: Mr. Speaker, all the minister does is walk into this Chamber

every day that I raise this issue and shout at me from across the floor from his

seat. He should be out there telling the people what decision his government is

making, and how it will impact them.

MR. SPEAKER: Order, please!

The hon. member's time has now expired.

MS JONES: By leave?

MR. SPEAKER: By leave?

AN HON. MEMBER: No leave.

MR. SPEAKER: No leave.

Orders of the Day

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER: Order, please!

The House wishes to proceed with its business. The Chair has called Orders of

the Day. If members have disagreements with each other, then I would advise them

to carry on their discussions outside the House because we wish to proceed with

the agenda which is before the House, which is the Orders of the Day.

The hon. the Government House Leader.

MR. E. BYRNE: Thank you, Mr. Speaker.

Motion 1: To Move That This House Approves in General the Budgetary Policy of

the Government.

MR. SPEAKER: Motion 1.

The hon. the Member for Grand Falls-Buchans.

SOME HON. MEMBERS: Hear, hear!

MS THISTLE: Thank you very much, Mr. Speaker.

I am delighted to stand once more in letting the people of the Province know

what is in the Budget and how it will affect the people of our Province.

I cannot begin my debate this afternoon without making mention of the

extravagance that was spent here in this House of Assembly last night. I cannot

begin to speak without letting the general public know that last night, for no

good reason, a total unnecessary cost to the taxpayers of this Province was

expended. We have approximately two months available to us, and it is longer

than that if we wish, to debate issues concerning the Budget, and last night the

Leader of the Opposition - excuse me, the Government House Leader; I am not used

to that new terminology yet - the Government House Leader stood in his place and

he asked this House to remain open beyond the normal 5:30 p.m. deadline.

Now, what did that do to taxpayers in this Province? Why was it necessary? As

I said last night, Mr. Speaker, the Order Paper was absolutely blank. There was

no legislation on the Order Paper whatsoever. Yet, the Government House Leader

stood in his place and asked - and insisted, mind you - insisted that this House

of Assembly be open, and would be open for no good reason, only so that the

people of this Province would have an extra $30, 000 to pay out, when that

$30,000 could be spent in a far greater manner.

Do you know what it cost to have this House of Assembly open last night? It

cost extra security, the people who were outside the House of Assembly and

inside on overtime per hour. It cost hundreds of dollars in meals. They had to

be ordered in meals from outside caterers. We had four Hansard staff on duty

here last night, recording whatever was said. Then there was a TV staff of four

people, Commissioners of ten people, and a TV satellite of $5,000. You add all

of that up, Mr. Speaker, and I am sure that what that will be off $30,000 is

very little.

We have a Government House Leader who is insisting that this House be closed

tomorrow. We only opened this House a week ago. It is a week ago today since the

Budget was brought down. The government of the day could have opened this House

before Christmas, they could have opened it in January or February, but no, they

only opened it a week ago. Here, they are wanting to close the House tomorrow

when 20,000 public servants are out on strike. They are wanting to close the

House. They do not care if there is any dialogue going to happen to and fro

regarding the situation with strikers left out in the cold today, and government

services that are not available to the people of the Province who need them the

most. No, that does not matter. They are insistent. They have one agenda, and

that one agenda is to close this House tomorrow come hell or high water.

Mr. Speaker, I guess that was a display, a display of arrogance of this

government, and a display of - they are really speaking out of two sides of

their mouth because they will get up and say that this government was left in a

cash-strapped position; we are almost on the verge of bankruptcy; our deficit is

much greater than it was, and here they can go out on a Monday night and insist

that the House of Assembly extend its hours from 7:00 p.m. to 10:00 p.m. I guess

it is all around justification. If you can find a way to deflect from the real

truth of the matter and use justification, you will mange to get anything you

want, I guess, in this life; but, I can tell you, they are not going to fool all

the people all of the time, because I think anyone who is viewing this session

of the House of Assembly so far can see for themselves that we do not mind

accommodating the government when there is urgent legislation to go through. I

think we already demonstrated that co-operation when it was necessary. We passed

Interim Supply; it was necessary. We wanted to make sure that everyone who

depends on a cheque from government is going to be able to get that cheque. We

also passed unnecessary legislation when it was just political maneuvering on

the government's part, for the Student Assistance Loan Act. We did that. We

cooperated, but to have the House of Assembly open here last night for three

extra hours and probably upwards to $30,000 being spent. I would be the first

one to say in my district alone, as MHA for Grand Falls-Buchans, many times

people will come to me and they will be looking for extra home support hours;

they will be looking for extra drugs; they will be looking for wheelchairs; they

will be looking for glasses; they will be looking for false teeth. They will be

looking for lots of things; they will be looking for a trip to St. John's to

see a medical specialist. Yet, I will have to say, I tried, but there is no way

that I can get you this extra money. It is not in the Budget. For the government

to come out last night and unnecessarily spend this kind of money for no good

reason, when I can stand here in this House any day from 2:30 p.m. to 5:30 p.m.,

or any member in this House can do the same. We have two months to discuss the

Budget.

Now I know there is a lot of bad news in that Budget, and I know full well

that the government do not want me to stand in this place. They would like

nothing better than to shut me up so I will not be able to tell the people of

the Province how this Budget is going to affect them. I can say one thing here

today, Mr. Speaker, I am not going to be shut up. I have as much time as I need

to tell the people of the Province what has been going on here with this Budget.

I am going to use that time and let people know their rights, and I am going to

exercise mine. So there is no way that I am going to be sat down ahead of time.

You talk about deflection. We witnessed deflection today when the Minister of

Finance and President of Treasury Board accused the Leader of the Opposition of

having a meeting with former union leader Tom Hanlon, current NAPE leader, Leo

Puddister, and current CUPE leader, Wayne Lucas. You know, the Minister of

Finance could not stand in his place and say accurately that, yes, he knew full

well that meeting had been with the Leader of the Opposition because that was

incorrect, but yet he left that out there. He left the impression that a meeting

had taken place on Sunday night between the individuals described. He left that

out there for public consumption when he knew full well that that meeting did

not occur. If that is not a slick lawyer deflection, I do not know what is.

We have seen a lot of that over the past few days, and I do not think that

has any place in this House of Assembly. Instead of dealing with the situation

at hand, telling the truth - we are in this House where we stand up and we have

to tell the truth. We must tell the truth on behalf of the people who put us

here, but to leave that impression here today is a deflection tactic. It is a

slick lawyer, l-a-w-y-e-r, deflection tactic that the Minister of Finance and

the President of Treasury Board has used. He knows full well the meeting did not

occur, but he left that impression. He would be better serving the people of

this Province if he dealt with the matter at hand, and that matter at hand is

getting back to the bargaining table and striking up a deal that the public

servants of this Province can live with and the people of the Province can live

with, instead of bashing in the media and looking for ways to deflect from the

real issue of the day. That is actually what happened here today.

I want to talk about a few things here today. You know, I was surprised last

night, I was really surprised, when I was looking through The Western Star

and there was an editorial there by a reporter who works for The Western Star .

His name is Frank Gale. I want to talk about something that was there in that

program. I think it all ties in with - the new government of the day, in their

Budget, made a news release that they have $1.7 million allocated to a rural

secretariat. According to the news release, the government's own words, they

are saying: Economic and social development relies on a network of urban and

rural communities, ensuring that these communities, especially those in rural

areas, are healthy enough to be partners in growth.

What it is they are doing is that - it says: Government alone cannot ensure

the vibrancy of our communities. Community and government organizations need to

come together. Now, is this what coming together is going to mean? Does this

mean that there are going to be two or three centres of urban growth in this

Province of Newfoundland and Labrador and forget about the rest?

Dr. Doug House, who is Deputy Minister for the Department of Innovation,

Trade and Rural Development, was the first to speak at the opening of the Bay

St. George Chamber of Commerce, and that was April 3. This is what he said. I

couldn't believe my eyes when I read it. His keynote address was entitled,

Beyond Dependency and Entitlement. The new approach and its implications for the

Bay St. George area. Now, I wonder if he had that same speaking engagement in

Grand Falls-Windsor, what would he say. Why would he say this on behalf of the

Minister of Innovation and Rural Development? Doesn't the minister speak for

the department?

He said: There is a new era in post-Confederation Newfoundland. That is

something he would have said twelve years ago, I guess, when he was here in

government. He said: Which is to get beyond the dependency on Ottawa and the

debilitating sense of entitlement that has been engendered in too many of our

people. That is fine for him to say. He has a posh Deputy Minister job in the

new Department of Innovation and Rural Development, whatever they are calling

it. What about the people in rural Newfoundland who are on seasonal employment

and hoping to carve out a living for them and their families? This is what he

goes on to say: Too many of our people - such as having the right to employment

insurance.... Now what is wrong with having the right to Employment Insurance?

If you represent a district like I do, and a lot of the seasonal work is

logging, then there is farming and of course there is fishing, and there is

tourism, what would be wrong with being able to collect Employment Insurance?

Especially when you look at the fact that there is about a $40 billion surplus

in the EI fund that workers all across the country have contributed to the

federal economy, what is wrong with being able to collect Employment Insurance?

Look at the fisherpeople in our Province. Shouldn't they have the right to

collect Employment Insurance?

Dr. Doug House goes on to say that he does not believe in job creation

monies. Well, you tell that to the people in King's Point or Springdale or

Robert's Arm or Buchans or Badger or Buchans Junction. He does not believe in

job creation monies? He does not believe in trying to get the people who have no

prospects of employment in their own communities, where unemployment is 70 per

cent and 80 per cent, he does not believe in job creation monies so they can

experience the dignity of work even though it is for minimum wage? He does not

believe in that? He would rather see these people on the welfare systems of our

Province, burdening the welfare system. I think he has been in the Confederation

Building too long, in the hallways.

He does not believe in sick leave? Now, what kind of a society you would

have, who worked, that did not believe in sick leave. Sick leave is only for one

reason; it is to be put aside in the event of sickness or injury. Who would take

care of a family if sick leave was not provided? His recommendations seem to be

pretty right-wing in my opinion.

He does not believe in pay increases - even as the Province cannot afford

such benefits. He does not believe in providing a pay incentive to people in

this Province unless the Province can afford it. Well, would he also accept the

same thing? Would he be willing to cut his payroll cheque in half? I doubt it.

I think the most glaring recommendation in his speech was what he said. He

said, this is where their blueprint - their blueprint; he is supposed to be

non-partisan. A deputy minister in the Government of Newfoundland and Labrador

is not suppose to go around with any political stipes attached to their sleeves.

A deputy minister is supposed to be totally neutral, and this is what he says.

He said: That is where their blueprint for the future applies. He said: There

are implications of strong urban regions and they are looking at Stephenville,

Corner Brook, Deer Lake, as a second urban corridor in the Province.

Can you imagine that, Mr. Speaker? He is designating Stephenville, Corner

Brook, Deer Lake as a second urban corridor in this Province. Now, that is his

idea of creating a Rural Secretariat. If it was left up to Dr. Doug House,

everyone would move out of rural Newfoundland and they would head to a big urban

centre, and he has already designated the one in the western region so I wonder

what does he have in mind now for Central Newfoundland? We have not heard that

one yet, so I think I will alert the Chamber of Commerce in Grand Falls-Windsor

now, the Exploits Chamber of Commerce, that if you invite Dr. Doug House to

speak at your Chamber luncheon, he is sure to tell you where the next, third,

urban centre is going to be for Central Newfoundland; but, give him a bit of

time. Perhaps he does not need any time because perhaps he already has it made

up and he is waiting for an invitation, something like the Premier shopping

around for an invitation, to go out and give this news. Anyway, this is $1.7

million allocated to the Rural Secretariat - the Rural Secretariat.

I would like to say to this hon. House today that we worked hard as a former

government trying to deal with out-migration. We worked really hard. Everybody

knows what caused out-migration and it has been a pattern, I guess, ever since

Confederation. All of us have relatives who have gone outside of Newfoundland

and Labrador for employment. I remember when I was growing up, as a young girl

in Carbonear, it was pretty common for people from my area to head to the U.S.

Bricklayers, carpenters, iron workers, all of those people, they were not so

much accustomed to going to different parts of Canada but it was pretty common

for most of these people to go to the U.S. and find employment, particularly

after the cod moratorium in 1992. Our Province felt devastated, but ten years

later we have rebounded. Economists will tell you all across our wonderful

country that Newfoundland and Labrador is certainly a place to look at and it is

forward-looking.

There was a news release that was put out. It was September 25, 2003, and it

talked about out-migration, and these are figures from Stats Canada. It says:

There was positive net migration - net migration not out-migration; migration,

meaning that people had come to our Province - between July 1, 2002 and July 1,

2003. According to information released today by Stats Canada, during that

period the Province's population increased by 300 people.

Now, isn't that wonderful? July 1, which is Canada Day, it is worth noting,

we had our first increase, I suppose. I do not know when. At least it was a

decade. There was an increase of 300 people actually coming and choosing to live

in our Province. That brought our population on July 1, 2003 to 519,570 people.

So a lot of positive things have been done over the past ten years to erase the

traces of out-migration to our Province. Now I question the government's

rationale for wanting to spend $1.7 million for a Rural Secretariat. That is

almost too much to imagine, why you would create another layer of government

when we already have twenty economic zone boards operating within our Province,

and a lot of them have done an extremely good job.

I am particularly proud of Economic Zone Board 12, in my district. They have

had a record of success. They have sprouted out in a lot of different areas,

particularly information technology, with the opening of our (inaudible) Centre

in Grand Falls-Windsor.

SOME HON. MEMBERS: Oh, oh!

MR. SPEAKER (Fitzgerald): Order, please!

MS THISTLE: Then again, mining in Central Newfoundland, I guess, is the

second largest mining development outside of Voisey's Bay. I know there are

great prospects happening all over Central Newfoundland in a lot of areas for

mining. So mining has a lot of potential in Central Newfoundland. However, I am

surprised that this new government never made any attempt to secure funding for

economic development in this Province. I do not know what will be the outcome or

the status of those twenty economic zone boards. We know the funding that kept

them alive was cost-shared by the federal and provincial government. The federal

government paid 70 per cert and the provincial government paid 30 per cent, but

now we know that there has not been any hard lobbing going on between the

current provincial government and the federal government. I would say I know

full well, that people in my economic zone board, that I represent, have already

gotten their pink slips. I would think that is the case throughout the entire

Province. I do not know if that was known before this Budget came out, it

probably was. There is no real teeth to this news release, telling the Province

how the $1.7 million is going to be spent. There are a lot of generic words, but

no real focus on where it is going to be or what is really going to happen. I

guess the devil is in the details. I am sure we will find that out after awhile.

Like I was saying last night, I think it is very important that the people of

this Province should know what is not in this Budget. I am particularly

concerned about the education aspect. One of the announcements by the new

government was: government's objective to provide opportunity through the

expansion of distance education offerings to broaden the curriculum and

facilitate excellence in learning at the high school level. It is reflected

through an additional funding of $400,000 for the Center of Distance Learning.

Now that frightens me, because what does that really mean? Half of this flowery

expression and talk needs to be dissected. When you really look down through

this flowery expression that is put here for distance learning, you know, that

really means teacher cuts. That really means, instead of having a teacher in the

classroom, someone that you could have interaction with, our high school

students are going to spend more time looking into a computer monitor. That is

not what education reform was going to be all about.

This government is now proposing to consolidate school boards. They have not

made any mention - my understanding is that there was already an

article in The

Telegram which stated that they would give no commitment to plow back

savings from education right back into education. So that is pretty alarming.

Then they have a White Paper on post-secondary education. What they are

saying now is hundreds of millions of dollars are invested in post-secondary

education annually through sources, such as the provincial operating grants,

student aid, and the labour market development fund. They are going to spend

$250,000 of the taxpayers' money to find out what is going on in

post-secondary education. Well, I cannot help but say that is a study to study.

That is all it is, a study to study. Whenever the results are released on that

study you will not see any improvements. You will see what they call,

efficiencies. What that means is, there will probably be campuses closed of our

College of the North Atlantic institutions or maybe there will be

consolidations. I do not think you are going to see any further enhancements.

One thing I would like to ask the Minister of Education today - it is really

not clear how the new Student Loan Assistance Act is going to come into play,

because today I have already received a telephone call from a young student who

was trying to make a payment on her student loan. She went to the bank today to

make a payment on the new integrated student loan. My constituent said to me

that the bank would not take her money because they had no provision yet set up

for accepting payments for student loans.

Now, there was a big flurry in this House last week. The Government House

Leader and the Minister of Education were on high alert by the Premier, saying:

You must get this student loan act passed by - March 30 they said first. Then

there was a new deadline imposed, it was March 29. The members of the government

were running around like chickens with their heads cut off, frightened to death

they were not going to get that act passed in time so they could pad the Budget

and include that with the Budget deficit. Here it is, a week later, when young

people are trying to make a payment on their student loans and the banks are not

accepting the payments on their student loans. I wonder, is the Minister of

Education aware that is happening out there today, that there is no provision

with the banks to accept the student loan payments under the new integrated

system? I would like for the Minister of Education to stand in his place and

tell this House that he has notified the banks and they are aware of the

procedures, because it appears full well that there was nothing put in place

with the chartered banks. Students out there today are prevented from making

their normal student loan payments. There was no panic, but there is panic now

for students who are going to have to pay more interest because there is no

provision, currently, at any chartered bank in this Province for students to go

in and make their payments. I hope the Minister of Education will take up this

matter that I am raising today in this House and make sure that this is ironed

out tomorrow.

Still talking about education; this new government were the ones who stood

here last year and said that teachers should not come out of the system. Forget

about the Sparkes-Williams report they said, because we want to keep our

student-teacher ratio down. We want to make sure that they have the best

education they can get. They were complaining because we only took half of the

teachers out. Here it is this year, in their Budget they are going to take out

476 teachers over the next two years. What is that going to do for rural

Newfoundland, or do they care? Is that the reason why they are going to increase

distance education? Probably. If somebody now from Buchans, Ramea, Conche or

anywhere, Sandy Cove, Eastport, La Scie, if they want to do a specialized

program they are going to have to look into a monitor for it instead of having

the teacher in the classroom. Is that what it is all about?

No new school construction. Cancelled or deferred school construction

projects totalling $20 million. They include Herdman Collegiate, Corner Brook,

$9 million; extension to Leary's Brook, St. John's, $1 million; a new school

in L'Anse au Loup, $2 million; Mealy Mountain High School auditorium, $3

million, cancelled or deferred, whichever way you want to look at it; Mobile

High, $4.5 million. All of these very important projects that school children,

parents and teachers were looking forward to are either deferred or cancelled.

They have come out now with a decision to look at consolidating school

boards. They have not, in their announcement, given any indication as to where

those school boards will be. They have come out and actually said that they are

going to consolidate school boards, but they have not had the courtesy of

actually coming out and letting the general population know where those boards

are going to be located.

This is what they are saying: We currently have eleven existing school boards

and they are going to be merged into five in time for the 2004-2005 school year.

I can tell you, there is a lot of scrambling to be done there.

"Labrador Board - There will be no change to the district serviced by

the Labrador Board. This region currently has 16 schools and a projected

September enrolment of 4,466 students.

"Western Board - The Western Board will incorporate the Northern

Peninsula/ Labrador South Board (District 2), as well as the current Corner

Brook/Deer Lake/St. Barbe Board (District 3) and the Cormack Trail Board

(District 4). Eighty-two schools will come under the jurisdiction of this board,

with a projected September enrolment of 14,807."

They did not say where that school board was going to be. I guess it is

something like the announcement the Minister of Human Resources, Labour and

Employment made. She came out and made a statement that twenty human resources

and employment offices were going to close in Newfoundland and Labrador. You

have communities out there worried, and people saying: Who is going to be on the

chopping block? She left that out there dangling so people would worry

themselves sick about it, and never came out and said where this is going to

happen, which communities would be affected. Isn't that typical? Bring out bad

news, just bring out half the bad news so you can put people in agony for days

and weeks.

Then they are talking about the Central Board. "The Central Board will

include the current Baie Verte/Central/Connaigre School Board...," which is

District 5, which I represent, "...and the Lewisporte/Gander Board

(District 6), which serve 75 schools. In September, the enrolment for the new

district is projected to be 14,752 ."

Where is that board office going to be? Does anybody know that? Does anybody

have the courtesy to come out and make that statement? I do not think so. That

is unfair, to come out and deliver bad news like that and not say which

communities would be affected. We all know that these people who work for these

school boards have received their layoff slips and they all have to reapply for

their jobs. There has been no mention made as to where that board will be

located.

AN HON. MEMBER: (Inaudible).

MS THISTLE: Pardon me?

AN HON. MEMBER: (Inaudible).

MS THISTLE: You checked with the wrong people.

I guess the Member for Windsor-Springdale is telling this House - he shouted

out across the House today. Can you stand on your feet and assure me that will

not affect our current Board # 5 that is currently operating out of Grand

Falls-Windsor? Would you please stand and say that you support holding the

school office in Grand Falls-Windsor and that you will be doing your utmost to

make sure that remains where it is?

AN HON. MEMBER: (Inaudible).

MS THISTLE: Well, if you are as successful in this one as you were with

the cancer clinic, I would say it is not going to happen. You have to show the

public what you are made of.

"The Eastern Board will be formed from school districts 7 through 10

(Burin, Vista, Avalon West and Avalon East)." Now, can you imagine people

on the Burin Peninsula, where are they going to be looked after? I wonder, is

that Eastern Board going to be in Burin? I wonder, is it going to be in

Marystown or Grand Bank? Do you think that the people on the Avalon Peninsula

and St. John's are going to be looked after with a board from Grand Bank or

Burin? What do you think? Not likely.

"The new board will serve 127 schools with a projected September

enrolment of 44,756." Does anybody know where that board is going to be

located? Because it does not say in this news release. This is like giving out

half the bad news and letting people suffer for weeks and months, not knowing

what their future is.

You can come out and make these statements, and the people who work in these

boards all have families and they want to know what is going to happen in their

lives. Will they have to move? What are their jobs going to be like? Where will

the school board be located? What is involved? What is the point of coming out

and making such a blanket statement and not being specific to the point where

you are telling where the board is going to be located? Why would you have

community after community putting up their case as to why a board should be

located in a certain area? I think that is absolutely damaging. It is damaging

to the economy. It is damaging to municipal planning. It is pitting one

community against the other and it is highly unnecessary.

Now, if this is the new approach to economic development, taking from one

community and putting in another - of course, then again, I am not surprised. I

am definitely not surprised, because this new government is on record as being

totally opposed to school board elections, elected people, and they believe -

and they said so in this House of Assembly - that they think

education can be run right here from Confederation Building, from the

Department of Education. Their goal now is to make four mega-boards, and

probably a year or two down the road say, well that did not work; we are going

to do it all from Confederation Building.

That is not the right way to treat the people. The elected school boards did

good work and they are doing good work, and they did good work in school reform,

education reform. They handle all the local issues and they did the best job for

the people they represented. Now, these school boards are going to be squashed

and we are going to have a mega-board operating out of, I think, four locations

- five - four locations, plus there will be a Francophone School Board as well.

It is unfair when the Minister of Education would stand in his place, and also

the Minister of Finance, and talk about school board consolidation, give the

news and put people's lives on hold and not tell them where the locations are

going to be for the board office.

Now, I have not heard the Member for Baie Verte or the Member for Lewisporte

or the Member for Windsor- Springdale say anywhere, not in this House or

outside, that they are going to be putting forward a strong case for the

retention of School Board District # 5 within Grand Falls- Windsor. I have not

heard them say that, even though we have a new modern school building that

houses the school board office. We have every kind of a hookup connection for

computers and monitors. We can provide in-house training and conferences. We

have excellent parking and we are within two to two-and-a-half hours from every

school in our district. We have all these - we own the building outright. It is

totally new and totally renovated and we have a large space. I have not heard

any of these members that I mentioned stand up and defend why or make a case for

the retention of School Board District # 5, but I am hoping that in the days to

come the constituents themselves will put the pressure on and make those people

speak, because that is what they were elected to do.

I want to talk about post-secondary education, which is very near and dear to

some of the work that I have been doing lately. We had a government here that

came out and said that they were going to freeze tuition at MUN and the College

of the North Atlantic. That is a good thing to do, because we were on a mission

to ensure that our students had the best advantage that we could provide as a

provincial government, and that was to lower the tuition. We were very

successful in that and we ended up with the lowest tuition rate in Canada. There

is only one other province that has a lower rate and that would be Quebec, where

they give the residents of Quebec a break on the tuition. We treat all Canadians

who come to our university and also to the College of the North Atlantic equal.

Whatever rate we give to our Newfoundlanders and Labradorians, we actually offer

to all Canadians. So, next to Quebec we have the lowest tuition rate across

Canada for our Memorial University.

I know that this new government was under considerable pressure to lower

tuition or freeze it. They opted to freeze under considerable pressure. I think

the students who were represented by the Canadian Federation of Students wanted

some assurance that this was not a one-shot deal. They wanted to look ahead for

the next two, three or four years where they knew they could have some

assurance, in planning their futures, that tuition rates would, indeed, be

frozen or even reduced further than they are today. To date I have not heard any

such statement from the Minister of Education and I am hoping that he will -

even though the first promise of this new government, I guess, that they made

after the election, was that they were going to give special precedence to the

youth of our Province. They did that by dismantling the Department of Youth,

Services and Post-Secondary Education. Now, I would hope that they haven't

closed the door and shut out the concerns of young people in our Province by

dismantling that department, and I hope that he will operate under the same

open-door policy that the previous government did. That is where all the gains

were made for students in this Province.

Any student who is now attending post-secondary education in this Province

will tell you that the biggest gains they made, in reducing student debt and

making student loans more accessible and affordable, were while the Liberal

administration were in power. We did all we could, as the provincial government,

in providing access to students to get a good education. I think that the

federal government has an obligation to look at those same concerns and look at

what they can do for students. I was expecting, in the federal budget that came

down, that we would see more grant-based funding for young people. We didn't

see that. We saw savings plans for future students.

I can tell you, I was highly surprised when I saw that the new budget came

down and it is like robbing Peter to pay Paul. The Blue Book promise in the

Budget was that this government would provide a tuition freeze and they would

ensure that the College of the North Atlantic and Memorial University had money

to offset that freeze. Do you know what they did? They did the complete

opposite. They went and stated in their Budget: Memorial University, you go back

and see if you can find - not see if you can find, go find $2 million in

expenditures. Do you know what that means? It means that you are going to cut

your staff or you are going to cut out a program, or you are going to do

something. The tuition freeze I gave your students, too bad, you go back and

look for your $2 million now. So there is no commitment there on the part of

this government to offset tuition freeze. They did the same thing with the

College of the North Atlantic. They said: Go back and find $2 million, now that

I have frozen your tuition. That means the same thing for the College of the

North Atlantic; the very same thing. I guess that is really a turnaround, a

flip-flop, if I ever saw one.

I want to talk a bit about why it was so important to get that phoney report

through the House of Assembly. I took the time today to look up the request for

proposals when government decided that they would do an independent external

review of the Province's financial position. I looked up the conditions on the

Request for Proposals for the Special Review of the Financial Conditions of the

Province of Newfoundland and Labrador. They said: Terms of Reference. The review

which will not constitute an audit - they say that upfront - will serve to

ascertain the financial condition of the Province based upon a review of: for

the fiscal year, the Budget Estimates; Revenues, Expenditures and Commitments;

Revenue and Expenditure forecasts; and Economic Forecasts.

Then they go on to say for fiscal years 2004-05 to 2007-08. Now, this is what

they were looking for, ammunition. "The Process used to determine future

years' projections; The validity of the assumptions used in developing the

projections; and The reasonableness of the projected revenue and

expenditures." The review findings should focus on - this was the question

that was asked - "Whether or not the 2003-04 fiscal targets outlined in the

Budget remained realistic and attainable." Well, Mr. Speaker, they also

asked, "Whether or not, based on the assumptions (outlined below), the

current and capital account cash budget can be balanced by 2007-08" with

revenue growth.

Now, I think that is a key factor. They wanted to go out on a witch hunt and

have someone paint a picture of whether or not the current and capital account

budget could be balanced by 2007-08 with revenue growth. Revenue growth says a

lot of things. It says: What is this new government doing to promote revenue

growth? Do they have any confidence in their own projections? I do not think so,

because if they did they would not be bringing in the massive cuts on the people

of this Province that were just laid down in the current Budget.

A report on the initial findings of the review will be provided to the

Minister of Finance and President of Treasury Board by the close of business

November 28, 2003, with a final report provided by December 15, 2003. Well, that

is a funny thing about that you know, we did not get that review when it was

supposed to be laid on the table for the Minister of Finance. He asked for an

extension.

This terms of reference; it is interesting here what the proposal must

include. I think this is key to the argument that I have been making over the

past few days. The proposal must include: the estimated number of hours to

complete the review, including the reports; the rate per hour; an estimate of

expenses; HST to be shown separately. I think 4(

e) is absolutely key: the name

of the person who will be responsible for the assignment and other key staff. At

that point the name of the person who will be responsible for the assignment and

other key staff. The name of the person responsible for the assignment was Mr.

Michael Gourley. I think what is very important here is that - it goes on to say

that the proposal must include the background and experience of the individual,

and of the firm. In particular, the public sector area. That was known from day

one on the Terms of Reference.

The Terms of Reference must include the background and experience of the

individual. Now, really, what was the experience and the background on the

individual who was assigned to prepare the external audit report for

PricewaterhouseCoopers? That is the question. This person was Michael Gourley.

Michael Gourley, a close friend and key advisor to former Premier Ernie Eves.

That was one of the key points on the Terms of Reference in choosing who would

be supplying the information on the external audit report, the background

experience of the individual. Michael Gourley, he left his job as Chief

Executive Officer of the Ontario Financing Authority on November 7, after a

little more that fifteen months into the job, with a payout of $917,000. Can you

imagine? A Liberal government source said the deal for a 2003 salary of $289,000

and a buyout of $628,000 was brokered by Eeves office when he was the Premier.

The authority is responsible for provincial borrowing and debt management.

Michael Gourley held several jobs during his first years in Ontario public

service. He worked for the Government of Ontario from 1973 to 1992. He also did

a TV stint with TV Ontario's mascot for Pokaroo.

I think what is the most important here, and the most telling of all, is the

fact that the Terms of Reference that the Department of Finance, the President

of Treasury Board, used clearly outlined that the proposal must include the name

of the person who will be responsible for the assignment, and the other key

staff. They should also know the background and the experience of the

individuals and the firm.

Who in this House, or outside this House, would believe that the report that

was presented by PricewaterhouseCoopers was objective, it was unbiased, it was

not painted, but really, in essence, it was fabricated? It was fabricated. They

used the exact information that came from the Department of Finance and Treasury

Board, and fabricated it to include two more unnecessary figures so the new

government could inflate the deficit and paint a much poorer financial position

of the Province than was necessary.

I think Moody's Bond Rating Agency, yesterday, said it all. Who would give

an A rating to a Province on the verge of bankruptcy? I think they clarified for

the people in the Province that what was said in this report done from

PricewaterhouseCoopers was totally fabrication, done for political maneuvering,

and that was it.

I think that is key. These two Terms of Reference - they have never been

mentioned before in this House - I think it is key because the proposal must

include the name of the person who will be responsible for the assignment, and

other key staff. That was well known to this new Tory government, who they were

employing. One of the other requests was that the background and experience of

the individual of the firm, in particular, in the public sector area. I wonder

if there was a background search done on Mr. Michael Gourley. Was there a

background search done on Mr. Michael Gourley? Did he have any connection to the

Tory Party in Ontario that were well known? I think so, and this has come to

light as recent as January 6, the day after the report came out, or maybe it was

January 5. Well, you know, I think these fabricated, these ballooned, these

inaccurate figures created a scenario in this Province where people, all of a

sudden, as of January 5, felt that they were into a situation that was unknown

to them several months back when they were enjoying a good economy in this

Province.

I think that any member in this House who would stand in their place and say

that, going within their districts all last summer and seeing people at their

work, housing going ahead, the economy doing so well, and tourism up, people had

a good feeling about the economy in this Province and their own situations in

general, but it started if off with the fabrication of the Province's deficit.

I think that is essentially what led to the strike that we are now experiencing

today, because the people who are there on strike feel like they have been

misled. They feel like they have been betrayed. They feel like - I have heard it

in the media. I have heard the strikers and the union leaders say in the media

that they were willing to share some of the pain in addressing the deficit. In

fact, they even agreed to a two-year wage freeze, but I do not think any of them

liked the fact that unilaterally the Premier came out on January 5 and said,

this is it - without any consultation with unions or their leaders, absolutely

none.

This fabrication has led to a monumental problem. I do not believe the

Premier of this Province is actually thinking how large it is and how it has

expanded. He has done more since January 5 to put our economy back ten years

ago, I guess. He has done more in the past two or three months to dismantle the

economy that has grown here in this Province than I think the cod moratorium of

1992 did to our Province.

I can tell you, when I look back over 1992 and I remember seeing fisherpeople

pounding on the door down at the Newfoundland Hotel when John Crosbie was the

Minister of Fisheries, I can see the same reaction today to the new government,

that people feel so lost and so betrayed and so misled by the incorrect

statements that have started right from January 5 until now. I think the sooner

that this Premier realizes what he is doing to the economy and to people's

lives, and moves on in a new direction, it will make a big difference to the

people of this Province.

When you look at the situation that is at hand today, and look at the fact

that - even the report that was done by Mr. Hugh Mackenzie, who is an economic

consultant and a research associate with the Canadian Centre for Policy

Alternatives, this is not the last job that Hugh Mackenzie is going to do.

MR. GRIMES: A much more stellar reputation than Mr. Gourley.

MS THISTLE: Oh yes, an impeccable reputation. This is not the last job

that Mr. Mackenzie will be doing. He has a lot on the line, his credentials. He

has done work for municipalities and governments all over this country.

Do you know what Mr. Hugh Mackenzie said? He said that Newfoundland and

Labrador does indeed face a fiscal problem over the next few years, although by

no means as significant as that of the forecast in the PricewaterhouseCoopers

report. Now, he said that. He also said, and I think it is important for the

record: Neither public spending nor public sector employees' compensation can

legitimately be said to have caused the Province's current fiscal problems.

I think that is very important. He said it was not the public sector spending

and it was not the public sector wages that caused this problem. He said: The

primary cause of Newfoundland and Labrador's fiscal problems is a weakness in

the Province's revenue base. A revised, more realistic forecast of revenue and

expenditure shows a persistent cash deficit of between $275 million and $300

million a year.

We have said that all along. We have a shortfall upwards to $300 million a

year.

He said: While this reveals a structural revenue shortfall, it is far less

than the $714 million forecast for 2007 by PricewaterhouseCoopers.

That is true, absolutely true. You will never hear the Finance Minister talk

about accrual deficits in the future again, because the Finance Minister of

today has taken accrual deficits out of his vocabulary. He does not want to talk

about accrual deficits any more. He does not want to talk about them.

He went on to say - Mr. Hugh Mackenzie - that the problem emerged in the

Province. Now, I would be the first to say that is the real reason why we have a

cash deficit today. That is the real reason, and I think anyone who is in the

financial know at all would say that is exactly what happened. That did not

happen by reckless spending, and it did not happen by giving the public sector

employees a raise.

He went on to say: This problem was not caused by public sector employees'

compensation increases, and imposing - this is very important. He has dealt with

many of these situations in the past and he said: Imposing the wage freezes

advocated by both the PricewaterhouseCoopers report and the Premier cannot solve

it.

He goes on to say that, by imposing a wage freeze on our public sector

employees and also by - this was seen as the answer by PricewaterhouseCoopers

and also the Premier - doing away with salary increases and imposing a wage

freeze was the answer to all our ills, but that is not the answer as recommended

and analyzed by Mr. Hugh Mackenzie.

He said: There can be no long-term answer to the fiscal questions facing

Newfoundland and Labrador without addressing declining federal equalization

payments and the related clawback of oil industry revenue inherent in current

fiscal arrangements.

I have said this a few time in the past few days, that you are never going to

hear our new Finance Minister talk about accrual budgeting again. Last year,

2003-2004, was our first year into accrual budgeting. It had been recommended by

the Auditor General for many years, and last year was the first year that we

decided to go with that method. Our new Finance Minister and President of

Treasury Board knows full well, he is never going to pay off the long-term debt.

We have had cash deficits in this Province for fifty-two years. We have had cash

deficits for fifty-two years. We have had a couple of years when we had a

balanced budget, but they have been rare. Saying that we are going to eliminate

a cash deficit in the next four years, that is attainable. That is definitely

attainable. We are starting out this year with a cash deficit of $362 million.

In four years' time, the new government says, they are going to eliminate

that. That is possible. That is possible. In fact, we had a plan ourselves to

eliminate that same cash deficit in fours years' time. So, they are not going

to be doing anything marvelous or anything outstanding by eliminating the cash

deficit in the next four years. What they are not telling the people - and this

is how they got elected - is that they are going to eliminate the long-term

debt. They are not going to eliminate that long-term debt. Right now, it is

standing at $10 billion. Ten billion dollars. Now, that represents a lot of

things, a lot of capital work over the years and a lot of unfunded pension

liability that has not been paid - although, as a member of the former

government, we made a good start. In fact, there is almost $1 billion extra gone

into the unfunded liability since 1998 by a move by the government of which I

was a part. It was Brian Tobin who made the first start on making a payment on

unfunded pension liabilities.

It says: Although budget planning in Newfoundland and Labrador has

traditionally focused on the cash balance, the report pays particular attention

to a second definition of the deficit, based on accounting on an accrual basis.

You will never hear much talk about accrual accounting. You will never hear

much talk about it in the future. I think, intentionally, this new government

has confused and muddied the waters because most people cannot get their heads

around financial matters. They will never talk about accrual accounting again.

What they will focus on is eliminating the cash deficit in four years. That is

attainable, and that is a plan that we had.

How did we get a cash deficit? It was interesting; this morning I was looking

at some of the line of debate. The current Finance Minister, when he was

Opposition critic for Finance, stood on his feet this time last year and spent

hours and hours and hours and he was condemning the government of the day -

which I was a part of - for not spending more. He talked hours upon end about

the lineups for cardiac surgery. He talked about dialysis. He talked about

bringing in new drugs. He talked about the need for new school construction. He

wanted more money into highway work. He wanted more money into job creation. He

felt that there should be more money spent for tourism; the Colony of Avalon was

one of the recipients last year. He also felt that education was a high priority

and more money should be spent in keeping more teachers in the classroom.

It is very interesting the kind of flip-flop of this current Minister of

Finance who criticized, I guess, for twelve for fourteen years, that government

was not spending enough, and the first thing he did when he became the Finance

Minister was put the brakes on and sock it to the people. The poor people of the

Province are going to have to pay the burden for trying to get the cash deficits

cleaned up in the next four years.

It is interesting that the charges that have been levied on the people in

last week's Budget - it is only a week ago and it sounds like it was years

ago. I guess the news has been so bad that it is entrenched in all of us now;

how bad this Budget is.

I was thinking last night, as I was standing here, about the fees that are

now going to be charged - well, they are already in effect. April 1 the fees

started. It was a bit of a joke almost, in recent years, when they talked about

gravel pit campers. There was a big move by the previous government, of which I

was a part, to do away with gravel pit camping. In fact, Buddy Wasisname and the

Other Fellers had a song about gravel pit camping. In fact, there were even

mounds of clay put up in front of the gravel pits so people in the Province

could not access the gravel pits, and we could do away with gravel pit camping.

It was rather unsightly. There was always the problem: Where is the water and

sewage going? Was there sink water left on top of the ground, was there garbage

left there or was there food. You know, were wild animals attracted these sites?

For health and safety reasons the previous administration was trying to do away

with gravel pit camping.

All of the sudden, gravel pit camping is going to take on a new meaning. We

were supposed to encourage people to spend time in our provincial parks where we

had a wonderful camping experience on a family outing, but instead of

encouraging people now to use our provincial parks we are encouraging gravel pit

camping. For unserviced camping for a night the rates have gone from nine to ten

dollars. Unserviced camping weekly has gone from fifty-seven to sixty dollars. I

think the best one of all - and I don't know who was thinking about this -

anyone who is not camping and they want to take a shower are going to have to

pay five dollars. That is almost hilarious. I can hardly stand in my place here

in this House and talk about this fee without grinning because it is so silly,

it is so simple - silly, I mean. Yes, it is simple too along with that.

Anyone who was looking at this fee - in other words, if you wanted a shower

and you were a visitor and you weren't camping, is there going to be someone

on the bathroom door with a stamp saying: Are you a visitor or are you a camper,

because if you are not a camper you have to pay five dollars before you go in

and get a wash. That is what you have to do. I am sure that Buddy Wasisname and

the Other Fellers will have a lovely song made up about this one. Make no wonder

that we are the laughing stock of the whole country when you see our own

provincial government making up a fee that says you got to have a stamp on your

hand when you go through the provincial park now. When you get checked in: Are

you a visitor or are you camping? Because if you are a visitor and you want to

take a shower it is going to cost you $5. This is hilarious, absolutely

hilarious! You would be saying, if you are going to have any friends visiting:

Take a cake of soap and wash yourself in the pond before you go to the park.

This is hilarious! I cannot help but laugh.

Anyway, I will move on to something that is not quite so funny. Now they are

going to have every fee here - even for services that are performed which were

not charged in the past, they will be charged in the future. For instance, if

you have a recreational boathouse and a wharf, that is going to go up from $10

to $25.

I cannot understand this one, a home gardening licence is going to go up from

$10 to $25. Now there is a community plot here in St. John's where they are

encouraging community gardening; the MacMoran Centre, I think it was. I am not

as familiar with St. John's as I would be in my own district, but I remember

seeing a show, a TV clip, that the MacMoran Centre here in St. John's Centre

were promoting community gardening.

AN HON. MEMBER: St. John's North.

MS THISTLE: Okay, I am sorry about that. I do not know St. John's as

well as I should.

The MacMoran Centre were promoting community gardening for low income

families and encouraging people to grow some of their vegetables, that way they

would have fresh vegetables and, of course, more money in their pockets. I do

not know if that applies to this or not, but there is a home gardening licence

from $10 to $25. What kind of people are you going to be affecting by putting an

increase in a fee like that? It would definitely be a low income earner who are

trying their best to be self-sufficient. So I think that one should be reviewed

for sure.

Look at this. Someone who buys a new car and is going probably from their

house to a garage or something, or maybe they live out of town, they have to buy

an in-transit permit, and that goes from $11 to $15. Then you have a book of

certificates for light vehicles going from $10 to $30.

Driver examinations for a road test; young people, or even elderly people,

who need to be rechecked to see if they are able to drive and are healthy and

able to deal with highway situations. Road tests are going to increase from $50

to $60. Of course, if you fail the first one - that is what it looks like to me,

road test reassessments. Right now there is no charge, and that fee is going to

be $100.

I am concerned about that one in particular because this new government were

supposed to bring in major changes to personal insurance in this Province. It

has not been done. We all know that we are paying high insurance rates, as much

as 50 per cent more than we were paying last year. For a senior citizen, in

fact, who may need to write a road test or have a reassessment regarding the

capability of a senior or an elderly person or a young person behind the wheel,

there was never any charge for that particular test, for driver examination, and

that is going from zero to $100. I would not mind if the Minister of Government

Services would tell us what that includes. Then, of course, a beginners permit,

someone sixteen who is now going to be able to drive with the accompaniment of a

licenced driver, that permit is now going to increase from $30 to $40.

There was a good question asked by a caller last night. I was leaving the

building here and on my way home I heard a caller ask a question about ambulance

usage. They talked about the $115 increase. A patient now, if they order an

ambulance, it will go from $75 to $115. They wanted to know who would actually

be receiving that $115. Would it be the ambulance operator or the government

itself? I do know if there have been changes to that policy but I would like to

hear it from the Minister of Government Services.

Then there is acute care, semi-private accommodations: $60 to $85 a day. I

mean that is $25 a day. That is a sharp increase. Private accommodations for

those who have critical illnesses and need privacy, that would go from $75 a day

to $100 a day.

Now look at this: In-patient rate for uninsured agencies reciprocal billing

rate plus 15 per cent. Now that is going to reciprocal billing rate plus 20 per

cent. In-patient rate for non-Canadians; well I do not think that will make much

difference to the people in this Province.

Fingerprinting for the RNC is going up from $25 to $50. I guess anyone who is

taken into custody now and they have to be fingerprinted, that fee is going from

$25 to $50. How about if your car is towed away? It is going from $45 to $100. I

think the people in St. John's just won their battle for on-street parking. I

cannot remember what street it was, it might have been Craig Miller Avenue. It

was somewhere there in the centre of St. John's. Anyway, towing storage for

the RNC is going from $45 to $100. I mean it has already gone, that was April 1.

Accident records has gone from $50 to $75.

If you want a Commissioner for Oaths to swear to an affidavit, that is going

to go from $25 to $50. I can remember when people would do that, Commissioner

for Oaths, for $2. Now that particular fee has gone from $25 to $50.

I know the republic have increased their fees - can you imagine? - from $250

to $500. So anyone wanting some legal work done and going to a new republic, the

fee is exactly double. I mean that is highway robbery. No gradual increase, but

an increase of 100 per cent.

Then there is the Sheriffs's Office. Anyone who wants to do a remote

search, that has gone from $25 to $35. Then there is someone who is doing a

search in the office, that has gone from $50 to $100. My goodness, we have a

series of 150 brand new fees for the people of the Province. Now I do not know

if that is what the people of the Province voted for; I do not think so. I do

not think that they did.

What a difference in last year's Budget and this year's Budget. Last year

we, as the former administration, said: The cash deficit for government

departments and its funding agencies for the fiscal year 2003-04 is forecast to

be $212 million. The total borrowing requirements - including borrowings for

school construction, The Rooms, and Municipal Capital Works - is forecast to be

$286 million. Do you know the good part about all of that? Our economy was so

strong last year that indeed we had an increase of $100 million in revenue

generated last year. Now, that says a lot. People had a lot of confidence last

year and in previous years in our economy, but I think that is what is lacking

in this Budget that the Minister of Finance brought down last week at this time.

That is what is lacking. There is no confidence shown in growing the economy in

the future. That is why you have a dismal set of figures that they have

fabricated and they are using to their advantage at this particular moment in

painting a dull picture, and I think that is going to backfire on them. I think

that, by creating such a negative feeling around this Province, business will

dry up and consumer confidence will dry up, and I think it will explode in their

faces because they are creating the wrong kind of a feeling in this Province.

These are some of the good things that were happening this time last year. I

told you just a few minutes ago that cash deficits have been around in fifty-two

of the past fifty-five years since Confederation. Now, it is true that we do

have a cash deficit, and everyone is aware of it, but we do not have the deficit

that has been reported by the new government. We do not have that ballooning

deficit that has been fabricated for their own means. We do not have that

ballooning deficit, and that was demonstrated by myself this afternoon when I

talked about the differences in the reports by Mr. Hugh Mackenzie and Mr.

Michael Gourley from PricewaterhouseCoopers who painted such an ill picture that

was nothing but innuendo and complete fabrication.

This time last year, there was actually $9 million announced for a Student

Investment and Opportunities Corporation allocated for a new Youth Opportunities

Newfoundland and Labrador program to assist in keeping post-secondary students

and graduates in our Province. Now, can anybody from the other side of the House

stand up and tell me: Was there anything announced in this Budget to assist in

keeping post-secondary s

Document details

CollectionNewfoundland and Labrador — Debates (Hansard)
Citation2004-04-06
Typehansard
Volume / chapter2004-04-06
Languageen
Formathtm
SourcePROVINCIAL
Identifierac4222535dd73496e2ce5d58d2e2e8506deb0a8f

Source file is stored in the law ingest library (htm).