British Columbia Hansard — Thursday, March 9, 2023 p.m. — Number 288 (HTML) (42nd Parliament, 4th Session)
20230309pm-House-Blues
British Columbia — Debates (Hansard)
Fourth Session, 42nd Parliament
(2023) OFFICIAL REPORT
OF DEBATES
(HANSARD)
Thursday, March 9, 2023
Afternoon Sitting
Issue No. 288
ISSN 1499-2175
The HTML transcript is provided for informational purposes only.
The PDF transcript remains the official digital version.
CONTENTS
Orders of the Day
Supply Motions
Reports of resolutions from Committee of Supply
Hon. K. Conroy
Funds granted for public service
Hon. K. Conroy
Introduction and First Reading of Bills
Bill 9 — Supply Act, 2022–2023 (Supplementary Estimates)
Hon. K. Conroy
Second Reading of Bills
Bill 9 — Supply Act, 2022–2023 (Supplementary Estimates)
Hon. K. Conroy
Committee of the Whole House
Bill 9 — Supply Act, 2022–2023 (Supplementary Estimates)
P. Milobar
Report and Third Reading of Bills
Bill 9 — Supply Act, 2022–2023 (Supplementary Estimates)
Second Reading of Bills
Bill 10 — Budget Measures Implementation Act, 2023 (continued)
A. Singh
S. Furstenau
P. Milobar
B. Banman
M. Bernier
D. Davies
D. Clovechok
T. Halford
Royal Assent to Bills
Bill 2 — National Day for Truth and Reconciliation Act
Bill 3 — Miscellaneous Statutes Amendment Act, 2023
Bill 4 — Finance Statutes Amendment Act, 2023
Bill 6 — Municipalities Enabling and Validating Act (No. 5)
Bill 7 — Land Owner Transparency Amendment Act, 2023
Bill 8 — Real Estate Services Amendment Act, 2023
Bill 9 — Supply Act, 2022–2023 (Supplementary Estimates)
Second Reading of Bills
Bill 10 — Budget Measures Implementation Act, 2023 (continued)
T. Halford
G. Kyllo
Proceedings in the Douglas Fir Room
Committee of Supply
Estimates: Ministry of Tourism, Arts, Culture and Sport (continued)
B. Stewart
Hon. L. Popham
T. Wat
T. Halford
J. Sturdy
A. Olsen
THURSDAY, MARCH 9, 2023
The House met at 1:04 p.m.
[S. Chandra Herbert in the chair.]
Orders of the Day
Hon. R. Kahlon: In Committee A, I call continued debate on main estimates for the Ministry
of Tourism, Arts, Culture and Sport.
In the main House, I call for the consideration of reports and resolutions
from the Committee of Supply.
[1:05 p.m.]
Supply Motions
REPORTS OF RESOLUTIONS FROM
COMMITTEE OF
SUPPLY
Hon. K. Conroy: I move:
[That the reports of Resolutions from the Committees of Supply on
March 2, 6, 7 and 8 be now received, taken as read and agreed
to.]
Motion approved.
FUNDS GRANTED FOR PUBLIC SERVICE
Hon. K. Conroy: I move:
[That there be granted to His Majesty, from and out of the
consolidated revenue fund, the sum of 2 billion, 715 million dollars
towards defraying the charges and expenses of the public service of the
Province for the fiscal year ending March 31, 2023. This sum is in
addition to that authorized to be paid under
Section 1 of the Supply
Act, 2022–2023 .]
Motion approved.
Introduction and
First Reading of Bills
BILL 9 — SUPPLY ACT, 2022–2023
(SUPPLEMENTARY
ESTIMATES)
Hon. K. Conroy presented a message from Her Honour the
Lieutenant-Governor: a bill intituled Supply Act, 2022–2023 (Supplementary
Estimates).
Hon. K. Conroy: I move that the said message and the supplementary estimates
accompanying the same be referred to the Committee of Supply.
Motion approved.
Deputy Speaker: I’m just turning to the Clerks here for a moment.
Hon. K. Conroy: In keeping with the practice of this House, the supply bill will
be permitted to advance through all stages in one sitting.
Deputy Speaker: Thank you, Members. For greater clarity, the question is first
reading of Supply Act, 2022–2023 (Supplementary Estimates).
Motion approved.
Hon. K. Conroy: Now I’ll say, hon. Speaker, it is the intention of the government
to proceed with all stages of the supply bill this day.
Bill 9, Supply Act, 2022–2023 (Supplementary Estimates), introduced,
read a first time and ordered to proceed to second reading
forthwith.
Second Reading of Bills
BILL 9 — SUPPLY ACT, 2022–2023
(SUPPLEMENTARY
ESTIMATES)
Deputy Speaker: We’ll pause while the bill gets circulated to all members that
would require it to read it.
[1:10 p.m.]
We will resume shortly. We’re just waiting for the bill to make
sure that it gets to all electronically who might not be here to receive
it.
[1:15 p.m.]
All right, Members. In keeping with the practice of this House,
the supply bill will be permitted to advance through all stages in one
sitting.
Hon. K. Conroy: I move that Bill 9 be read a second time now.
Motion approved.
Hon. K. Conroy: I move that Bill 9 be committed to a Committee of the Whole House
for consideration forthwith.
Bill 9, Supply Act, 2022–2023 (Supplementary Estimates), read a
second time and ordered to proceed to a Committee of the Whole House for
consideration forthwith.
Committee of the Whole House
BILL 9 — SUPPLY ACT, 2022–2023
(SUPPLEMENTARY
ESTIMATES)
The House in Committee of the Whole (Section
B) on Bill 9;
J. Tegart in the chair.
The committee met at 1:16 p.m.
The Chair: We’ll call the committee to order. We’re dealing with Bill 9,
Supply Act, 2022–2023 (Supplementary Estimates).
On clause 1.
P. Milobar: I wasn’t going to actually speak at committee stage, but the
Government House Leader seemed to want to jump the gun here.
I thought it would be important for the public to understand that
this is a routine, moving this supply bill through as quickly as it is
today, because it has not really been quickly. We’ve dealt with these
issues all during supplemental estimates, which have garnered much
attention, in terms of how the opposition has or hasn’t been
voting.
I want to make it very clear that although, with the concepts
contained within this bill, the opposition doesn’t take issue, we do
take issue with the lack of process, lack of detail, lack of government
ability to explain some basic premises on how this will be distributed,
how it will be tracked. This is $2.715 billion, after all, that we are
talking about. This is not a small sum of money to be added to the
expenditures of the government from taxpayers.
I wanted to make that abundantly clear out there, as it relates to
clause 1 in this bill. I guess it’s more of a more of a statement than a
question, but I thought it important before we do the final vote or two
on this bill, as it proceeds through.
Clauses 1 and 2 approved.
Schedule approved.
Preamble approved.
Title approved.
Hon. K. Conroy: I move that the committee rise and report the bill complete
without amendment.
Motion approved.
The committee rose at 1:19 p.m.
The House resumed; Deputy Speaker in the chair.
[1:20 p.m.]
Report and
Third Reading of Bills
BILL 9 — SUPPLY ACT, 2022–2023
(SUPPLEMENTARY
ESTIMATES)
Deputy Speaker: The question is third reading.
Division has been called.
[1:25 p.m. - 1:30 p.m.]
Bill 9, Supply Act, 2022–2023 (Supplementary Estimates), reported
complete without amendment, read a third time and passed on the
following division:
YEAS — 44
Anderson
Bailey
Bains
Beare
Begg
Brar
Chant
Chen
Chow
Conroy
Coulter
Cullen
Dean
D’Eith
Dix
Donnelly
Dykeman
Elmore
Furstenau
Glumac
Greene
Heyman
Kahlon
Leonard
Lore
Malcolmson
Mercier
Olsen
Osborne
Paddon
Popham
Rice
Robinson
Routledge
Routley
Russell
Simons
Sims
A. Singh
Starchuk
Walker
Whiteside
Yao
NAYS — 24
Ashton
Banman
Bernier
Bond
Clovechok
Davies
de Jong
Doerkson
Halford
Kirkpatrick
Kyllo
Lee
Letnick
Merrifield
Milobar
Oakes
Paton
Shypitka
Stewart
Stone
Sturdy
Sturko
Tegart
Wat
Deputy Speaker: We’ll just take a moment to let the House breathe, so to speak,
and then we’ll return to the House Leader.
Hon. R. Kahlon: In the main House, I call continued debate on Bill 10.
Deputy Speaker: There’s another committee that needs to sit, and I believe the
Government House Leader is going to appoint it.
Hon. R. Kahlon: In Committee A, I call continued debate on the main estimates for
the Ministry of Tourism, Arts and Culture.
Deputy Speaker: Now we’re returning back to the bill.
[1:35 p.m.]
Second Reading of Bills
BILL 10 — BUDGET MEASURES
IMPLEMENTATION ACT, 2023
(continued)
A. Singh: I’m happy to stand up and speak about the Budget Measures
Implementation Act, which is very self-explanatory. It implements the
budget that our wonderful Minister of Finance introduced the other day.
It’s quite a hefty bill, about 130 pages, 185 sections. I’m not going to
go through the sections one by one.
Interjection.
A. Singh: I will absolutely do it if you want me to, but I can see the
restraint there.
So again, Bill 10, Budget Measures Implementation Act, is
essentially a vehicle by which the budget is implemented, how the
government implements the budget. One thing that did strike me was — I
don’t know if anyone else noticed — on the title paper, now it says:
“Fourth Session, Forty-second Parliament, 1 Charles III.” When I first
saw that, I was just struck by that, because it is a change.
Like I said, what the act does is provide a vehicle for
implementing the budget.
Section 5, the Carbon Tax Act…. For all of the
wonderful things that there are in the budget concerning health, the
environment, public safety, housing, all of those things, advancing
British Columbia’s sustainable economy, furthering our phenomenal
CleanBC plan…. Almost $1.4 billion in the new operating capital funding
over the fiscal plan.
This budget sets the absolute groundwork for a greener, more
sustainable future powered by good-paying jobs, holistic management of
our natural resources, which belong to all British Columbians, healthy
and active communities, reducing emissions, responding to a changing
climate and, ultimately, partnership with Indigenous people.
This is coming, obviously, at a very key time. As I’ve said here
before, I started speaking about the environment a long time ago, back
in the ’80s, speaking about our emissions and what we were doing to our
world at that time. No one really…. Very few people were paying
attention at that point.
I think the world has changed substantially, not fully but
substantially. We’re not fully there yet, but the world has changed
substantially. You can’t avoid it now. We are in a climate emergency.
We’ve seen that firsthand with the heat dome, with the atmospheric
river, with what’s happening here in British Columbia, and also around
the world — air pollution poisoning our rivers and waters everywhere. So
it’s really…. To me, $1.4 billion in new operating and capital funding
is welcome. This is a beginning. We can always do more, but you have to
start somewhere.
The focus of the budget and the focus of this whole plan is skills
for jobs of the future. We can’t keep on going back and looking at the
industries of 50 years, 100 years ago. There are some phenomenal new
technologies coming up. They won’t come around tomorrow or the day
after, but just yesterday I….
The House will be surprised to know that my background actually
isn’t originally in law. I originally went to university to study
physics.
Deputy Speaker: Excuse me, Member.
If people are going to have a side conversation, could they step
outside, please?
Please continue.
A. Singh: I grew up as a physics nerd and went to university to pursue an
undergraduate degree at the University of California, Berkeley in
physics. Just yesterday or the day before yesterday, I was reading about
some phenomenal…. Two new discoveries that, in the future, could have an
enormous impact on technology.
One is a bacteria that creates an enzyme that takes hydrogen out
of the air and creates electricity. Obviously, that’s at a very, very
experimental level right now.
Then the second, which has a huge impact for our electrification.
Scientists have now managed to create a superconductor that you don’t
have to cool. It can be pressurized, which is much easier, and that has
some fantastic implications. Alas, they probably won’t come around for a
few years, but that has some impressive implications for the future —
for the future of electrification, for magnetic travel, for all sorts of
things.
[1:40 p.m.]
I won’t go into that now, but what this budget does is it lays the
groundwork for that, for the skills for the jobs of the
future.
B.C.’s people are key to building a strong, sustainable economy,
with more than one million jobs — this is what we’re expecting —
anticipated over the coming decade. Our Future Ready plan is there to
ensure that everyone that comes here has the opportunity to learn new
skills and secure good-paying jobs that will support them, their
communities and their families for the future, and that we’re ready to
respond to the biggest challenge that we’ve heard from people, from
businesses: the need for more people in industries.
Budget 2023 lays out $480 million, almost half a billion dollars,
over three years to support Future Ready’s work to break down barriers
to post-secondary training, so more people can get the training they
need for in-demand careers, and employers can access the talent that
they need for the future that’s coming.
The Future Ready plan also includes initiatives such as a new
grant for short-term skills training, which will help people get the
relevant skills and training that they need to succeed in good-paying,
high-demand jobs. These are the jobs of the future. There’s also new
funding to assist small and medium-sized businesses in finding and
implementing practical solutions to current labour market challenges and
preparing for a changing economy.
There will be more opportunities for Indigenous peoples,
including funding to support Indigenous-led programs, such as a new
guardian training program that will be co-developed with Indigenous
peoples, and also creating thousands of new training seats for in-demand
fields to help build up a workforce that’s ready and able to meet the
demands of the future.
In addition to that, $58 million over three years will help expand
supports for newcomers and immigrants and speed up foreign credential
recognition for professionals, such as health care or child care
workers. This disproportionately helps marginalized communities,
communities of colour. I can’t tell you the number of people that I know
that aren’t working in their profession who welcome these changes. I
think we’re going to see quite a phenomenal change in the whole
atmosphere of British Columbia coming in the future.
Future Ready will help maximize our workforce participation
throughout British Columbia by offering supports, programs and access to
targeted training that’s affordable, accessible and recognizes the
individual needs of different learners. People have different
capacities, different ways of learning, and we’re cognizant of that.
It’s focused on opening economic opportunities, including those for
people who are underrepresented or who face barriers in the workforce,
such as Indigenous, Black people and people of colour; women; people
with disabilities; 2SLGBTQ+ people; immigrants; people with multiple
barriers; youth and former youth in care. The full Future Ready plan
will be released later on in the spring of 2023.
Clean and sustainable economic development is also at the core of
this budget. We here are fortunate to have many natural resources that
shape our province’s landscape, that can help us grow a strong economy
and that support vibrant, diverse communities. It’s essential that all
of these resources are taken care of, in collaboration with the
Indigenous peoples, to create a sustainable economy that will continue
to benefit all of the people of British Columbia for generations to
come.
Budget 2023 invests more than $250 million, a quarter of a billion
dollars, over the next three years to protect, maintain and care for
B.C.’s abundant natural resources, including $21 million to partner with
First Nations on eight more forest landscape planning projects to
protect more old growth while providing greater certainty on where
sustainable harvesting can occur and $77 million to speed up natural
resource permitting and then to begin modernizing B.C.’s permitting
service delivery model.
This will help reduce backlogs, move projects that can be moved
forward and continue to advance electrification and connectivity in
remote, rural and Indigenous communities. And $6 million over three
years for a new critical minerals strategy to leverage B.C.’s natural
resource advantages and continue to assess the critical minerals value
chain potential.
[1:45 p.m.]
So $101 million in operating and capital funding over the fiscal
plan to help preserve and enhance outdoor recreational opportunities in
B.C. parks and outdoor recreational sites and trails — I’m especially
excited about this, because this is part of part of the work that I do —
and $49 million in operating and capital funding over three years to
maintain and upgrade forest service roads
All in all, this budget really speaks to the future. It speaks to
taking care of British Columbians, and it speaks to the values that this
government has.
S. Furstenau: I just have to rise, to stand to speak to Bill 10, the Budget
Measures Implementation Act, 2023, today. I just have three sections
that I want to speak to as briefly and efficiently as I can.
One
section is on the Greenhouse Gas Industrial Reporting and
Control Act. Bill 10 proposes significant changes to the Greenhouse Gas
Industrial Reporting and Control Act, GGIRCA, which establishes the
regulatory framework and infrastructure for offset units, which are
required to fulfil the province’s commitment to have carbon-neutral
government operations under the Greenhouse Gas Reduction Targets
Act.
Amendments to GGIRCA, as laid out in Bill 10, exempt large
emitters from paying carbon tax up front — the way, Madam Speaker, that
you and I and everybody else in British Columbia will be paying carbon
tax, which is up front — and introduce a new made-in-B.C. output-based
pricing system, OBPS, to match the federal carbon-pricing
schedule
beginning April 1, 2024.
I just want to take a moment. I was part of an organization called
Citizens Climate Lobby in — I don’t know — the before times, 2010, 2011,
2012. We were advocating for a price on carbon pollution as a means to
put a price on the pollution that is driving so many of the
climate-related disasters and weather events, one of which I spoke about
this morning, the heat dome that we saw in 2021.
We are hearing more and more about the growing impacts of climate
change. Just this week, we are hearing about the potential for sea level
rise each year in British Columbia. That could have catastrophic impacts
on Vancouver, in particular, but other coastal regions. Climate change
is the most pressing existential crisis that we face.
Those of us in these seats who have asked to be here, who have
been elected to be here, have a particularly heavy burden on us because
our predecessors, for decades, have not done the heavy lifting and the
work on climate action and response that has been needed. Now we are at
a point where we are having to look at mitigation. We are having to
recognize that the storms and the weather events that are climate
change–driven are going to become more severe and more
frequent.
We had the largest mass-casualty event in B.C. in 2021, when 619
people died because of the heat dome. That’s climate change. Madam
Speaker, in your own riding, a town does not exist anymore. That’s
climate change. The smoke that fills our skies and our lungs through the
summer months and into the fall now — that’s climate change. The
droughts that we are experiencing — that’s climate change. The floods
that we saw in the atmospheric river that literally devastated
Abbotsford and the Lower Mainland, devastated travel infrastructure
across the province — climate change.
We don’t have the luxury anymore to tinker around the edges of
policy on this. The benefit of a very clear program that puts a price on
carbon pollution and returns those funds to people to incentivize them
to use less carbon in their lives — to be able to purchase, say, a heat
pump, move away from a car that uses gasoline, insulate their homes,
find all sorts of ways to reduce their own carbon impact…. This was the
simplicity of the price-on-pollution program that we were advocating
for. That is the federal program, in essence.
[1:50 p.m.]
Again, this is what happens. We get a made-in-B.C. program, and it
gets a whole lot less simple. It gets a whole lot less transparent.
Industry really appreciates these kinds of programs because all sorts of
things can be done behind closed doors that we don’t have a say on in
here, in this House, in our job as legislators. This is what concerns me
a lot about this particular part of Bill 10.
Under this new system, which exempts large emitters from paying
carbon tax up front and introduces this new made-in-B.C. output-based
model system, large emitters like oil and gas operations and large mines
will pay a carbon price on emissions that exceed established performance
standards. But does that mean they don’t pay a carbon price on emissions
that don’t meet those standards? I think that’s a really important
question: the largest emitters are paying less on carbon pollution than
the rest of us?
Emissions will be evaluated at the end of each year based on
required reporting, which then must be verified and validated by an
accredited third party. So now we’ve got a whole bunch of bureaucracy
added to this. These changes exempt large industries from paying the
regular carbon tax up to a certain limit, but what that limit is, is set
via regulation, by this government, without the input of the Legislative
Assembly and without the ability for debate.
Bill 10 does not establish emissions thresholds or a complete
framework on verification and validation processes, although these
details are crucial to assessing the merit of B.C.’s new made-in-B.C.
system.
This legislation leaves huge gaps to be filled in regulation, with
many unanswered questions, a trend we’ve all spoken about a lot in this
House and a trend that is not healthy for ensuring that there is the
kind of transparency that we should expect in a democracy. When things
get set by regulation, they get set behind closed doors. We find out
about it through orders-in-council. There is no debate that happens
about that in this House, which is where that debate should be
happening.
My questions: how are the emissions thresholds designed?
What is the process for reviewing the thresholds? How often are
they reviewed? Do they keep up to date with changing technology? Are
there any commitments around timelines in consulting stakeholders? Which
stakeholders are consulted? Were there attempts to consult groups
outside of industry? Don’t know.
Regulations which are set out in GGIRCA were actually a focus of
the professional reliance review — close to my heart. These regulations
rely on external professionals to validate plans for emission offset
projects and to verify project report and emission reports in order to
receive offset units administered by the B.C. Carbon
Registry.
When it becomes really complicated to explain to the public how a
program like this is going to work to ensure that the biggest polluters
in the province are actually paying their fair share of carbon pricing,
I think we have a problem.
In Budget 2023, the government suggested that additional policy
development and engagement on the new OBP system will occur throughout
2023, with more details likely to be unveiled through regulations. The
environmental success of this program will ultimately rely on its
ability to incentivize emissions reductions through stringent emissions
thresholds, regular updates and the validation processes that hold
emitters to account.
I feel some trepidation about that. I think when these programs
get more and more complicated, it gets harder and harder to know if
they’re actually working effectively. There’s less and less
transparency, and it’s very hard to hold either industry or government
accountable for the outcomes that we should be trying to achieve. And
let’s be really clear. The outcome should be massively reducing our
carbon pollution from British Columbia.
We are instead hurtling headlong into creating what are being
described as carbon bombs or methane bombs, with a massive uptick of
fracking in this province at a time when the rest of the world, mostly,
is getting on board with reducing their carbon emissions. Not the
direction that we need to be going in 2023. So we will be asking
questions around that at committee stage.
[1:55 p.m.]
Then, the second thing I wanted to just touch on was the Income
Tax Act changes — amendments to the Income Tax Act in Bill 10 which
establish a renters tax credit. A rebate will come in, in the form of a
tax credit, and unlike what was proposed back in 2017 — I think it was
sold as a cheque to every renter in British Columbia — this tax credit
will be distributed based on income rather than one universal
amount.
Establishing the renters rebate was in the minister’s mandate
letters in 2020 and again in 2022. I think, while people will welcome
the relief of $400, $33 a month to those who are eligible, this does not
bring lasting change. This does not solve the systemic problem we have
in British Columbia around housing unaffordability. Unless we’re willing
to really recognize that this can’t be on individuals getting a couple
of cheques a year when we have a housing crisis that is so enormous in
this province, I worry about this being held up as, “Well, we’ve
actually solved the problem for renters,” when we know that we
haven’t.
In Metro Vancouver, renters are spending 51 percent of their
monthly income on rent, and 30 percent is considered affordable. That’s
what’s considered to be affordable rent — 30 percent of your income. So
very few, I would say, people in this province can be assured that they
will be paying 30 percent of their income on rent.
I think the other question around this is: how does this rebate
support people in perpetuity? I would argue it doesn’t; $33 a month is
not going to make a lasting change in people’s lives.
People who legally rent from a family member are not eligible for
this credit, nor is a cohabitating spouse or common-law partner of a
renter who already claimed the credit for the tax year. In the midst of
an intersecting and debilitating housing and affordability crisis, I
wonder about the justification for excluding people who have need in
this province.
It takes courage to make lasting changes that support people over
the long term and change the fundamental structural and systemic
foundations that are resulting in these outcomes that we’re seeing.
Cheques, renters rebates, tax credits aren’t going to solve those
structural or systemic issues.
Finally, the property transfer tax. The changes to the property
transfer tax are intended to incentivize building purpose rent builders.
Sorry, purpose-built renters. Oh my gosh, Madam Speaker. I’m going to
get it. Third time’s a charm. To incentivizing building purpose-built
rentals.
Interjections.
S. Furstenau: Thank you. Thank you very much. She sells seashells by the
seashore. We’ve got this. A little bit of levity in the House is never a
bad thing.
These changes do not seem to have parameters on who would be
eligible for this tax exemption, and that is a concern for us,
particularly when it comes to REITs, which are real estate investment
trusts.
Having this tax exemption be eligible to anyone opens the door for
greater movement of real estate investment trusts into the B.C. housing
landscape. I would argue that multi-billion-dollar corporations or
trusts building high-cost rentals really shouldn’t be eligible for tax
exemptions in this province. We want to deincentivize the
commodification and financialization of housing, and I worry that this
tax exemption might actually produce the opposite outcome to, hopefully,
what’s intended.
It’s also unclear if this exemption applies to existing buildings
that are bought and renovated. For example, will a non-profit housing
society be able to buy an existing building, renovate and expand on the
units and put those up for rent and receive the same tax exemption?
Another question we’ll be asking.
Just for some data, over 36 percent of condos owned in B.C. are
owned by real estate investors. British Columbia has the most real
estate investment trusts in the country.
[2:00 p.m.]
I think that we have to ask ourselves very serious questions
about, again, how we are going to structurally change our housing market
in order to ensure that, first and foremost, housing is a right, housing
is for people to live in, and that we are not continuing to create the
conditions where housing is, as I describe it often, a safety security
box for people to put their money in and watch it grow as an investment,
when we have….
I look forward to hearing the results of the homeless count, but
the last data I saw in this was over 20,000 people in British Columbia
who do not have a home. I think we have to really treat that as the
emergency and the crisis that it is and recognize that we can’t continue
to contribute to the conditions that are creating these
outcomes.
Madam Speaker, on that note, I thank you for the opportunity to
speak to this bill.
P. Milobar: I actually have some of the similar speaking areas that we just
heard from the leader of the Green Party, as well as some broader
comments around Bill 10, which is the Budget Measures Implementation
Act.
I think it’s important that we recognize the Budget Measures
Implementation Act. Although it sets out a lot of detail around the tax
changes in this year’s budget, those tax changes are all necessary to
connect back into the budget, to be able to fund things at the level
that the government is hoping to fund. It’s really difficult to try to
talk about one without the other. The budget itself is directly tied to
the Budget Measures Implementation Act.
That’s why some of our previous speakers, and speakers moving
forward — you’re going to hear a lot of that interconnection. We’ve
heard that already from government speakers as well. The reality is that
the government, in their budget and in this bill, will prioritize how
they feel they should be spending taxpayers’ dollars over the next
fiscal year and then two years after that as well.
They need Bill 10 to enable themselves to collect the requisite
dollars they need and adjust various taxation levers that they have at
their disposal to generate the revenues needed. That’s why it was so
disappointing when we saw such an uninspiring budget in terms of clear
direction of what this government was actually trying to accomplish,
despite the level of taxation that they’re bringing in with all these
changes on Bill 10.
What I’m going to do today is, really, highlight a few of the
areas. Originally hearing the leader of the Green Party speak about the
oil and gas industry and the carbon tax provisions that are built into
this bill, I was going to start there, but then she started talking
about REITs and the real estate measures in here in terms of the
property transfer tax. So I think maybe I’ll start with that area,
because it’s going to be very questionable how effective the property
transfer tax changes in this Bill 10 will actually be to be able to
accomplish any of the goals or discussion within the budget around
housing.
We’ve already seen the government move away from their 30-point
housing plan. This government, on year six, has decided to abandon their
ten-year housing plan.
[S. Chandra Herbert in the chair.]
They’ve abandoned any discussion or reference to trying to build
114,000 housing units. We no longer even know what it is exactly the
government is trying to achieve with housing and what they would
consider a success or not for the public to be able to judge whether or
not they’re having success.
When you look at the property transfer tax changes in Bill 10,
it’s exempting the new purpose-built buildings from that additional 2
percent property transfer tax applied to the portion of residential
property value that exceeds $3 million, starting January 1, 2024. There
are some qualifications in there as well.
But the uptake will likely be low, given the strict conditions.
And, in fact, it appears that only $5 million in tax expenses are
projected by the full implementation in 2024. Now, contrast that with a
$2 billion-ish range of property transfer tax that gets collected in a
year in British Columbia, and this is going to be a very small piece
overall.
[2:05 p.m.]
Now, our Premier loves to rail about the REITs that are out there.
We just heard the leader of the Green Party express concern around
REITs. In fact, this is what our Premier has said in Hansard of
February 15 of this year: “There were these big corporations called real
estate investment trusts buying up these properties, doing these
superficial renovations, evicting people, increasing rents. The
behaviour is decreasing affordability and hurting British
Columbians.”
Now, certainly, we’ve never seen affordability under siege like it
has been under the six years of this government. This is as close as I
think we’ve had to the Premier acknowledging that under his watch, we
have seen rents climb to the highest level they’ve ever been in British
Columbia.
In fact, I can give a direct example. I have a rental apartment in
Victoria for when I’m down here on government business instead of
staying in a hotel. That’s all within the housing provisions that MLAs
have. Everything is declared and all of that. After the 2020 election, I
had been in that building for a year, so I was able to move internally
if I so chose. I was in a studio, because that’s all that was available
at the time when I first moved in. That would have been around 2019,
because I stayed in a hotel for the first year or two after the 2017
election. That studio apartment was around $1,100 when I
moved.
I moved to a one-bedroom in the same building in 2020. It would
have been after the October elections in 2020, so probably November or
December, to a one-bedroom that was $1,400. Just yesterday I happened to
go on the apartment building website to check to see if they have any
units available, and if so, what they are renting for.
A studio in that same building that I vacated in late 2020,
basically 2021, that I was paying $1,100 for is now on the rental market
in Victoria for $2,000 a month. For a studio apartment. That’s under
this government’s watch. That’s what’s happening to the real estate
market under this government’s watch in a rental building renovated to
become a purpose rental.
Now, why that’s important is that the Premier will characterize
that these REITs are these big corporations. Well, so let’s take a look
at some of the people that have significant real estate holdings in
British Columbia, some of these big corporations, the public sector and
union real estate investment portfolios.
BCI owns QuadReal, which is $33.6 billion in real estate holdings.
WorkSafeBC — their investments are handled by BCI. B.C. Hydro. College
pension plan. The municipal pension plan. Public service pension plan,
which is managed by BCI. The 2020 reports a 16 percent of market holding
in real estate and 4 percent in mortgages. Teachers pension plan.
Vancouver Coastal Health via the municipal pension plan. Those are all
managed by BCI, which has $33.6 billion in real estate
holdings.
Other institutional investors. SFU pension for admin and union
staff — the 2021 report has a 10 percent real estate
benchmark.
The UNBC pension plan says that Sun Life has managed the pension
plan since 1997, and Sun Life has $112 billion in real estate assets
under management. That’s as of 2013.
UBC faculty pension plan, co-administered by the same Sun Life,
and UBC pension administration office. UBC staff pension plan 2021
annual report shows investment in real estate assets at 11 percent asset
mix in real estate.
IWA forestry pension 2021, 5.8 percent in real estate.
The SPP, Steelworkers pension plan, asset mix holds 15 percent in
Canadian real estate.
The Boilermakers 191 pension plan 2019 year-end report shows
assets allocations of 10.1 percent on mortgages.
The pulp and paper industry pension 2023 pension facts — the
majority of planned assets invested in bonds and mortgages.
[2:10 p.m.]
Now, there is nothing wrong with pension plans trying to get a
return for their members. That’s actually what they’re supposed to do by
law. But this Premier wants to characterize the exact same investments
these people are doing as large real estate investment trusts. The
reality is that they’re tied into the real estate market so that people
actually have a pension because they can get a rate of return. How
they’re getting that rate of return is this government has failed on
their 30-point housing plan.
So the sections in Bill 10 that deal with the property transfer
tax simply are inadequate to make any real, substantive change to the
housing market. Instead of seeing a new housing plan, after six years in
government, with a Premier that was the Housing Minister for 2½ years….
Instead of seeing a plan….
The Premier can’t come up with the plan. The new Housing Minister
can’t come up with the plan. We had to go and hire an outside
consultant, a high-priced consultant, a former mayor of Victoria, to
write the plan, behind closed doors, and to tell the government what
they should be doing on housing moving forward. But we’re not going to
see that for at least six months. So another six months of rents
skyrocketing.
As I say, a studio in my own building, which I live in, went from
$1,100 at the beginning of 2021 to, just this week, being listed for
$2,000 in the exact same building.
We also heard, from the leader of the Green Party, about the use
of regulations around greenhouse gases that are built into this budget,
around carbon taxation and other measures.
Again, I think part of the problem the public is starting to have
is understanding just what exactly this Premier truly stands for or not.
A lifetime as an activist trying to figure out how to have people
protest and not get arrested and how to sue the police has now evolved
to: “No, I’m not soft on crime. I’m not the architect of catch and
release. Trust me. As Premier, I’m going to be tough on
crime.”
Deputy Speaker: If you wouldn’t mind, Member. I see another member…. If you would
just hold that thought for a second.
F. Donnelly: Thank you, Speaker. I seek leave to make an
introduction.
Leave granted.
Introductions by Members
F. Donnelly: In the gallery today, we have students from Scott Creek Middle School
along with their teacher Mr. Devaney.
I’d like for all members to make the students feel welcome.
Debate Continued
P. Milobar: As I was saying, people start to have trouble knowing what exactly
this Premier truly stands for, or not, when you look at past actions
around crime and safety, both as an activist but also as an Attorney
General, versus the language we hear now. Just saying something doesn’t
mean there’s actually true buy-in.
When we look at the Greenhouse Gas Industrial Reporting and
Control Act…. We look at what’s going on in Bill 10 around carbon
taxation and the fact that industry will now be self-reporting and some
of those changes. I think it’s important for people to understand what
they might have thought the Premier stood for in the past versus what
this budget is now indicating the Premier stands for.
As we heard from the leader of the Green Party, it’s all going to
be left to regulation behind closed doors. One would have thought it
would have been a golden opportunity for the government to change that
by bringing forward legislation, as they are, with Bill 10.
When this was introduced in 2014, this is what the Premier had to
say: “This government wants a broad and generous opportunity to write
this legislation in private, and that is unacceptable on an issue as
important as restricting greenhouse gas emissions in British
Columbia.”
Nine years later the Premier is in the position, as the head of
government, to change that. And do we see those changes in Bill 10? No,
we don’t.
[2:15 p.m.]
In fact, I can remember when the LNG agreement was going to be
signed, in committee stage, as the critic, talking with the Environment
Minister and highlighting the fact that on that specific agreement, it
was enabling the minister to set greenhouse gas targets for LNG without
ever having to come back to this chamber again, to be able to do it
behind closed doors by regulation — the exact thing the Premier was
speaking out against when he was in opposition in this
chamber.
The clarity in Bill 10 — and lack of clarity, more importantly —
around things to do with the carbon tax and the act itself is
problematic. As we’ve just witnessed, through supplemental estimates, a
government that continually just says, “We’ll figure it out later; just
give us the cheque,” is not really an effective way to govern a
province. It doesn’t provide the transparency one would want. So when
you read Bill 10 and you see that those details are missing and going to
be left for later discussions with industry, with later targets to be
made, that’s a problem.
Now, we were happy to see clause 2 actually recognized, and it’s
retroactive to 2020, when this House all agreed to take a pay freeze in
2020 during COVID, and that in clause 3, the government is actually
following through on the leadership shown by the opposition during
skyrocketing inflation to enact our demand for a pay freeze for 2023 for
MLAs.
The government could have taken the step further to get back to
the accountability measure that cabinet would be held accountable for
their spending instead of ensuring their extra 10 percent in pay with a
deficit or not, but we don’t see that level of responsibility and
accountability coming out of the government on this budget or on this
implementation bill.
The renters rebate, as we’ve heard about…. Again, this has been
six years in the making by this government. Six years, and this is the
best they could come up with, a refundable tax credit that actually
can’t be actioned until you start filing your paperwork for taxes this
time next year. You have to have a household income — not a personal
income, a household income — of $60,000 or less to qualify. The average
affordable rental in Vancouver now…. You need to have an income of
$110,000 a year to afford a one-bedroom apartment.
The government in their wisdom has brought in a renters rebate
that says: “Anything over $60,000, we’re going to start clawing it back,
and at $80,000, you get nothing.” It’s too bad that everyone in
Vancouver needs to be earning $100,000 plus to be able to afford the
rent.
So how the government comes up with that — that 80 percent of
renters are going to qualify, with the small asterisk that says: “Some
or in part of the $400….” It would be really nice if the government was
a little more transparent with that and actually shared what the true
breakdown was. We’ll undoubtedly get to that in committee stage on Bill
10, to find out exactly how that 80 percent of renters is
calculated.
How many of the 80 percent are actually going to qualify for 25
bucks versus how many of them are going to actually qualify for the full
$400? What does “household income” mean? How is the government defining
that? If you have a roommate, technically, there are two of you living
in the household, whether you’re married or not.
[2:20 p.m.]
It’s going to be a bureaucratic mess, where people, in times of
financial stress that this government has brought upon through the
housing market, will be tempted to maybe check a box off on their tax
form that they really shouldn’t be checking off. As we saw with the
used-car tax, this government’s penchant for going after lower-income
people and calling them tax cheats and tax frauds knows no
bounds.
Just as we saw with the supplemental budget items, with scarce
little detail — in fact, not even finalized negotiations with the groups
that were supposed to be receiving the money…. In Agriculture, the
minister wasn’t even sure which two groups were going to get the money,
didn’t want to publicly say their names, which is shocking, and couldn’t
say how much each group was going to get out of the $111 million. But
they somehow came up with the random number of $111 million — not $110
million, not $115 million, but $111 million — and couldn’t provide any
detail.
That’s what we see in Bill 10. We see more things being punted to
regulation around taxation, around the rules that will govern that
taxation, more lack of actual detail.
It does start to matter as people start to see carbon tax climb to
$170 a tonne from $50, when they see it go from $50 to $65 this year.
When people are already paying more in carbon tax on their home heating
bill than the cost of the gas to run your furnace, at $50 a
tonne….
The carbon tax refunds and offsets to heavy industry, and the
detail around that, are critical. It’s critical for people to understand
how that’s going to work while they’re paying the full freight. But as
with all things with this budget and supplemental budgets, the
government says: “Don’t worry about it.” Well, we are worried about
it.
When you look at the budget measures in this bill that are meant
to pay for things like addictions and treatment and recovery and complex
care, and the government can’t provide a clear answer where the capital
is for treatment and recovery centres…. The only reference we can find
is actually a contradictory reference of $169 million, which, on page 10
in the budget book, very clearly spells out is for complex care capital.
Complex care is not treatment and recovery. That is not, when our Better
is Possible plan was rolled out, what we were talking about as treatment
and recovery.
Then you go to a backgrounder document that is a very easy and
quick document to be able to have edited and reinserted back into
background budget documents. That $169 million pops up as part of the $1
billion plan that was announced just days before the budget was to be
released. The government can’t clearly point to where any of those
dollars actually intersect to what the words they’ve been saying
are.
Even a week after the budget has been delivered, it makes you
wonder just how accurately they calculated things in their Budget
Measures Implementation Act to make sure the funding is actually
adequately going to be there to fund something as life-and-death
critical as proper recovery treatment in an expedited fashion to
actually get them built, not just talked about.
That’s the problem that we have with Bill 10. That’s the general
problem we have with the budget overall. As I say, the two are one and
the same document, frankly. You can’t have one without the other. You
can’t have a budget without budget measures implementation. Unless
you’re not making one change to any tax rule anywhere, it’s
impossible.
[2:25 p.m.]
When all we see are budgetary changes to facilitate this
government throwing more and more money at programs, expecting a
different result than the disastrous results we’ve seen over the
previous six budgets, that’s a problem.
We’re not seeing any new dollars to any new, fundamental,
transformative type of programs or services or capital projects that
would justify why they need to make this many changes to taxes to
generate the literally billions more of tax dollars they’re going to
need, to use the words like “historic” and “record” that they’ve used in
six previous budgets. It doesn’t add up. The results certainly aren’t
there. The results that have been happening will continue to
happen.
That is a result of a caving housing market that is skyrocketing
out of control, highest prices in North America, highest rents in North
America, highest purchase prices in North America, largest lack of
affordability, highest gas prices in North America, taxation being
collected at levels we have never seen before.
Last year — the result of previous budget measure implementation
acts under this government’s watch — the Auditor General made it clear
that from 2017, when this government took power, to the end of the last
fiscal, they were now collecting $12 billion, with a “B,” more in
taxation each and every year. This budget shatters that.
Bill 10 is the vehicle to enable the government to do that. When
this government says no new taxes, well, Bill 10 is setting the stage
for them to collect more taxation than they’ve ever dreamed of having in
this province, yet they’re still going to run a deficit. Usually, when a
government runs deficits, it’s because revenue is a problem, not because
revenue is at record levels. It makes you wonder what situation we’d be
in with this government if revenues do slump at all.
They will slump. Their own budget recognizes that corporate taxes
are going to drop significantly this year, and the very next line in the
budget collects record levels of the employer health tax, which is
collected whether you’re profitable or not as a company. This government
is recognizing that small businesses are going to take it on the chin
this year, not be profitable, not have much profit to pay tax on and be
taxed on, but they’re going to dig a little deeper just to make sure
they get their employer health tax out of them.
We don’t see any changes in Bill 10 to address that inequity,
either changing the threshold upwards so that people need to have a
higher payroll base before they start paying employer health tax or just
adjusting the overall percentage paid on your payroll so that people
could pay a little bit less of the employer health tax. The government
will say, well, that means we don’t want to fund health care. That’s not
what we’re saying.
The employer health tax is not the sole way health care gets
funded in this province. It will be $2.7 billion in this budget. The
health care budget is what? Around $30 billion overall? Seems to me
there’s still $27 billion out there they need to find anyways. To try to
paint the fact that we’re saying that small businesses need a bit of a
break on payroll costs, which have gone up by 24 percent under this
government…. We were hoping to see that in Bill 10, but there is no
relief for small businesses.
[2:30 p.m.]
That’s the fundamental problem we have, as we stand in this
chamber. We have a government that seems to think the bigger the dollar
figure, the bigger the success, and that doesn’t actually want to be
held accountable with any form of measurable numbers, never wants to
tell anyone what they would consider a success, what the desired outcome
of a program or the spending actually is It’s like they think that if
they just announce the money, their job is done, and things will just
operate itself.
By every measure, things are worse now than they were six years
ago. Bill 10 was a golden opportunity for this government to try to make
some adjustments to some of the taxes that are being paid in a wide
range of areas. It was a golden opportunity to provide some clarity on
how some things are going to be calculated, but as with most things with
this government, that opportunity has been missed. The accountability
measures are missed, and the transparency is completely missed, as well,
with Bill 10.
I thank you for the time. I look forward to committee stage on
Bill 10.
B. Banman: As we’ve heard from the leader of the Greens, as we’ve heard from my
colleague from Kamloops–North Thompson and as we’ve heard from other
speakers here today….
It’s very difficult to separate the budget from Bill 10, because Bill
10 actually talks about the implementation of the budget. It becomes
virtually…. They’re one and the same, in a way. They’re highly connected.
This is a rather extensive bill. It kind of reminds me a little bit of Bill
36, which went through this floor. It was considerably larger.
Unfortunately, closure was invoked on Bill 36, and we did not get a chance
to actually discuss and go through the clauses.
This one here has, if memory serves me right, 185 clauses. It’s an
extraordinary piece of paper on how government can change the rules and
figure out how they are going to collect what, as we are discovering, is one
of the largest budgets ever.
I think it’s worth going over. As I sat, I was reminded, as I listened
to my colleague from Abbotsford West…. I think it’s important to understand
that it took us 135 years, approximately, to reach an approximately $40
billion deficit. I think $42 billion is the exact number. It took 135
years.
This bill will implement what is now going to be the largest deficit.
In the last six years…. It’s worth noting that we are now looking at over a
$100 billion deficit. I think it’s important to talk about that. Who is it
that’s going to have to pay that? What implementation…?
What I don’t see in here is it talking about, by far, the largest
burden that will be placed upon those who will have to pay that back. It is,
actually, going to be those that are much, much younger. It’s as if we are
asking generations to come to pay for what we fail to implement and control
now.
To put that in perspective, there are approximately five million
people in British Columbia. A $100 billion deficit works out to
approximately $20,000 for every adult and child in British Columbia. That
doesn’t even include the federal debt. That’s just the provincial
debt.
I look at this particular bill, and it talks about a lot of things.
There are some things, I think…. There were some groups that would have
liked to have seen some things that were in this bill. I think it’s
important that some of the implementation of what they wanted to see…. I’ll
just take a moment to go over some of them.
[2:35 p.m.]
The B.C. Chamber of Commerce said that the budget and Bill 10 provide
“little support to businesses who are struggling with the cost of doing
business.”
Here’s why that’s important. Rather than charging more and more tax on
a smaller and smaller pie, it would seem wise that we figure out how to make
that pie bigger. We figure out how we can make the economy boom so that
there are actually more taxes coming in because the economy itself is doing
better. What this appears to be doing is the exact opposite.
What Fiona Famulak said…. She is the president and the CEO of the B.C.
Chamber of Commerce. “In order to have healthy communities, we need to
ensure we have healthy businesses.”
Unfortunately, Bill 10 and the budget will do little to take any
meaningful steps towards addressing the concerns that the B.C. Chamber of
Commerce has raised. They said one of the things…. We heard some of this
mentioned. “Of particular concern to small- and medium-sized businesses is
the increase to the carbon tax of $15 per tonne per year, through 2030, with
little to offset the costs they will incur.”
It would have been nice to have figured out how this would have gone
revenue neutral, but the carbon tax doesn’t do that. If you take a look at
it, it’s going to go into gross revenues, and it won’t be neutral at all. I
am sure that many small businesses, those that did their duty, especially in
households…. I think they could have used those revenues coming back to
them, but it’s not anywhere in this bill.
The importance of that is…. It’s going to impact our supply chains and
raise the costs of producing goods in British Columbia. What that means is
that we are going to become less competitive as a result.
Whether we want to admit it or not, we cannot isolate ourselves from
the fact that we live in a world economy. So if we make business too
difficult here…. Business is fluid. It can move somewhere else. We’re seeing
that, also, in the forest sector. The forest sector is putting their money
where their feet are, and they’re moving to other places.
What the B.C. Chamber of Commerce suggested is a small step, which is
not addressed in Bill 10. Adjusting the employee health care tax threshold
would have demonstrated that this government is willing to address the
challenges that many of their members face. As Famulak said, unfortunately,
that was an opportunity that was missed. It would have been nice to have
seen that addressed in the implementation in Bill 10.
Those are not the only people that had something to say. The B.C.
Business Council said that government spending is set to advance at a record
pace. I’ve mentioned that. We have more than doubled the debt in six years,
what it took 135 to get to.
The B.C. Business Council says: “Government spending is set to advance
at a record pace, which is likely to pose financial risks over the medium
term. In addition, the budget contains no substantive measures aimed at
driving long-term economic growth, improving business investment conditions,
boosting productivity or reducing business costs.” That was Ken Peacock. He
is BCBC’s chief economist.
The B.C. Business Council is “particularly concerned over the
competitiveness of the province’s leading export industries, which play an
outsized role in underpinning B.C.’s prosperity.”
“Unfortunately, the budget does nothing to address or even acknowledge
challenges stemming from high business taxes, levies and fees,” which are
directly implemented in Bill 10, “and uncompetitive personal income tax
rates for” what all businesses are screaming for, which is “highly skilled
workers and entrepreneurs.” They go on to say: “These are significant
shortfalls.”
[2:40 p.m.]
The bottom line is that the budget and Bill 10, which implements the
budget, significantly expand the role, reach and cost of the public sector
in the economy, while offering little new to support the prosperity of
business or families in British Columbia.
As we heard the prior speaker talk, this side of the House did try to
come up with ways to help families by implementing and removing the PST on a
used car at the threshold of $20,000 or less. It could have helped people
that really were looking for a reliable used car and that are struggling to
get ends to meet. That’s not mentioned in Bill 10, and quite frankly, I
think it should have been mentioned in Bill 10.
Families who end up buying a car like that are on the lower end of the
economic spectrum, generally. It’s worth mentioning that a car that is now
down to that level…. There are points where the tax collected, if it has
been sold numerous times, will actually have surpassed the price, the
purchase, of $20,000 or less on the car. Implementing in this Bill 10 does
nothing to help those people get a break, and I think they deserve a
break.
The B.C. Business Council goes on to say that: “Considering that the
private sector accounts for at least 75 percent of all economic activity,
including jobs in B.C., the Business Council does not believe British
Columbians can expect much in the way of sustainable and prosperous economy,
nor real per-capita income growth, against a backdrop of an ever-expanding
public sector.”
Within Bill 10, I would say to that…. I go back to that rather than
expand the pie and take a smaller amount on a larger amount of money, these
185 clauses seem to do the exact opposite. We are asking for more and more
and more. And what is going to become less and less and less…. I believe
that is a self-fulfilling way to the bottom of the barrel. Unfortunately,
Bill 10 doesn’t mention that much, if at all.
The Greater Vancouver Board of Trade gave the overall budget — I’m
explaining this for a minute, because they will talk just about the budget —
a C-minus for the ’23-24 provincial budget. On economic vision, which is
what I’ve been talking about, expanding that pie, they gave it a
C-minus.
There is scant mention of small business, innovation, manufacturing or
businesses in general within the budget document. They mention in Bill 10
how we can tax them more, but there are no substantive measures to reduce
costs or generally improve business conditions.
Now, when I was mayor of Abbotsford, it became very aware to me…. I
read a report that basically said the equivalent: that a dollar of profit
raised in a small business has six times the economic impact in your local
community and economy than some of the larger corporate chains. Now, I’m not
against corporate chains. That’s not the point. The point is that small
businesses account for the most amount of hires. They account for the
largest….
Yes, Mr. Speaker?
Deputy Speaker: I see another member standing, so if you wouldn’t mind, I will
recognize him, and then I’ll come right back to you.
Thank you, Member.
F. Donnelly: I seek leave to make an introduction.
Leave granted.
[2:45 p.m.]
Introductions by Members
F. Donnelly: In the gallery today, we have another group of grades 6 to 8 students
from Scott Creek Middle in Coquitlam. They are joined by their teachers Mr.
Best and Mr. Perko and parent volunteers Ms. Turpin, Ms. Variz and Mr.
Rajbahak. I also want to give a special shout-out to my friend Benjamin
Judd.
Will the House please make these guests welcome.
Debate Continued
B. Banman: I, too, would like to welcome the students here. This is democracy
in action.
What we’re now talking about is the implementation of Bill 10,
which talks about a budget — a rather large budget. The largest one in
the history of this province.
I don’t mean to scare them up there, but I don’t know whether they
were here when I mentioned that their share of the deficit is now
approximately $20,000 each. There is no free ride, and they may be the
ones that have to pick up the tab because we have trouble implementing
budget measures and keeping things in check. I have grandchildren
myself, and I got into politics, actually, to make life better for
them.
My parents often used to say, when we would go out camping or
outdoors, and we would see a mess that someone left behind, that our job
was to leave the campsite better for those coming behind us. I can
remember as a young boy: “Well, how come I got to clean up somebody
else’s garbage? I don’t want to.” I was taught that if we don’t, then,
sooner or later, that beauty that we all enjoy in British Columbia will
be nothing but a big trash heap.
So partly why I got into this was to try and make life better for
students like those that are watching right now. It’s important, and
it’s important that they understand.
As a matter of fact, when I was the mayor, one of the things I
used to ask them, if you pardon me, if you’ll indulge me for a minute….
I used to say, “Hey, who wants the city to buy everybody free ice
cream?” and they’d all put up their hands. Then they’d go: “Okay, that’s
a great idea.”
I said: “Oh, but I forgot to tell you that there’s only so much
money in the city budget. So if I give everybody free ice cream, I’m
going to have to lay off all of the firefighters and policemen.” I said:
“So when you phone 911, there won’t be anybody there. But I guess you
could try and throw ice cream on your fire. Maybe they’d be able to….
You’d have lots of that.”
Then I would ask, “Who still thinks free ice cream for everybody
is a good idea?” and generally students get it. There’s always one. You
know, then one would say: “Well, yeah. I can’t say. Ice cream is pretty
tasty. Who doesn’t like ice cream?”
The point is that we can’t just spend money that we don’t have. I
think sometimes that message gets lost. That we’re not just spending our
own money. We’re spending money that people work hard for. They go to
work every single day. They work hard, and part of that government
takes….
What happens in Bill 10 is we are asking for more and more and
more and more — the largest historic budget we’ve seen, and the largest
deficit. As you heard from the previous speaker, these are record levels
of new taxes. That’s what’s projected, but that wasn’t good enough. We
couldn’t just keep to the record levels of new taxes. We had to do that
and then continue to go into debt. I’d love to say we got an awful lot
for it, but in six years, we have not seen any huge measurable gains. In
fact, everything’s going the wrong way.
So where we’re spending the money clearly isn’t in the right
areas, in many cases. Some of it is, and this side of the House will
agree on that. But much of it, if you’re talking about…. You know, let’s
have something we can do a victory lap on. There’s not a lot.
[2:50 p.m.]
Gas prices, as we heard, are the highest in all of North America.
Yet there are those on the other side of the House that say that has
nothing to do with the gas taxes that are at the pump. That defies
logic. We have the highest taxes, and we have the highest gas prices. We
look at other provinces and other parts of North America where the taxes
are lower, and gee, the prices are lower at the pump. There’s a direct
correlation.
We take a look at housing costs. As we heard from the previous
speaker, rents have gone up. It would be nice if this bill…. Hopefully,
they’ll get to implementing that $400 that was promised to renters. It
seemed like a great idea, during the middle of a campaign, to get people
to vote, but it has been six years. Not only has inflation gobbled up
that $400, but they’re out $2,400 if you apply $400 over six
years.
In addition to that, if you take a look at some of the things that
are now going to come, there are now going to be rules to qualify for
it. Very, very few will actually get the full $400. It’s almost as if
it’s a bit of a…. It just doesn’t seem fair.
I was talking, before the introduction, about the Greater
Vancouver Board of Trade. They gave the budget a C-minus, and they said:
“There is scant mention of small business, innovation, manufacturing or
business issues in general within the budget document. There are no
substantive measures to reduce costs or generally improve business
conditions.”
Yet as we’ve learned, when it comes to the film industry…. I come
from Abbotsford. We’re pretty happy with the film industry because one
of those…. You know what? If you watch Hallmark movies…. I don’t know if
you do, Mr. Speaker. For those who do watch Hallmark movies, we have a
war going on with Maple Ridge as to whose downtown streets are in the
most Hallmark movies, right?
It is an economic generator into Abbotsford, into the Fraser
Valley, into British Columbia, and we give them, as we’ve heard, $1
billion in credits, approximately. Yet when it comes to other
businesses, the ones that are already here….
You know what? One of the things…. When I was in the restaurant
business and when I was a chiropractor and many of the other things….
You’re only as good, if you’re in the restaurant business, as your last
meal. As a chiropractor, I was only as good as my last adjustment. If I
didn’t fix it, well, then they were going to go on to somebody
else.
The point I’m making is that you want to work to keep what you
have. You want to savour that, because it is very, very difficult to
generate new business. It’s difficult to encourage people to come here
when, sadly, they’re watching people leave.
I was talking about that, about being a world economy. The world
economy means that, whether we like it or not, we have to compete with
other areas around us. I know that in Abbotsford, it’s particularly…. I
remember there was a roofing industry that moved in just across the
border. They did it because it was more cost-effective. That taxation
base left the city; those jobs left the city.
What these businesses are saying, and what I was saying about
small business having a six-times-greater impact on your local economy,
is that you want to protect those. You want to create an
atmosphere.
Sadly, Bill 10 talks about taking more money out of their pocket,
not stimulating what they do. Bill 10 does little to make that pie
bigger, to encourage businesses to stay, to encourage businesses to come
and actually set up — as, in a chiropractic term, open up, to hang out
their shingle.
[2:55 p.m.]
For financial prudence, the Greater Vancouver Board of Trade says,
rightfully so, that “the vast majority of this debt is taxpayer
supported. Budget ’23 does not reverse the decision to phase out the PST
rebate on machinery and equipment.”
Now, that would’ve been a great way to stimulate businesses to buy
new equipment. It’s been done in the past. It’s no surprise why it
doesn’t work. How many times have we seen a “pay no PST” sale at either
a furniture store or a hardware store, wherever it may be, where they
have a “PST is on us”? They use that to stimulate customers to come in.
The province could consider the same. Businesses would take those
savings to reinvest in their own businesses. That’s not in Bill
At the end of the day…. I could go on to a bunch more trades, but
let me go to a couple of advocacy groups with the time I have left. This
is Canadian Taxpayers Federation. “The government is mismanaging
provincial finances with big deficits and no plan to balance the
budget.”
The Alliance of B.C. Students — nothing. Actually, we talk all the
time about “it’s the future.” Those students will be our doctors. Those
students will be our nurses. They’ll be our highest-skilled technicians.
They’ll be those that go into the trades. Here’s what the Alliance of B
C Students said: the B.C. budget “misses the mark on supporting
students.”
It’s interesting. We talk about rent controls. Yet when it comes
to universities, they don’t have to abide by the same rules. They can
charge whatever they want. It doesn’t seem fair, because it’s not fair.
That’s not mentioned.
Bill 23 doesn’t address the root causes of the affordability of
post-secondary education or living costs in British Columbia.
Deputy Speaker: We are on Bill 10.
B. Banman: Yes, I know we are on Bill 10. This goes directly to that because
this has to deal with our students. Part of Bill 10 would be in dealing
with the students.
Deputy Speaker: Not quite. It is….
B. Banman: I can go on. I may be stretching it a little thin, but it is part
of the budget.
They’re saying: “Hey, where is it for us?” It’s not there. They
said: “We cannot invite more students to live on campus without first
making sure that there are well-funded supports in place to prevent and
respond to the sexualized and gender-based violence.”
Deputy Speaker: I would say that I think we are going a little too far off track
here, Member. We are on the Budget Measures Implementation Act, which is
around the taxation portion of the budget.
B. Banman: Fair enough. I thank you for your guidance, Mr.
Speaker.
Basically, in a nutshell, what this large, huge, thick document
does is that it gives government the tools to reach deeper and deeper
into our pockets. It is the largest amount…. It gives the government the
ability, through regulation, to design their way to get more and more
taxes from those that support government. And what I hear people saying
is that they don’t feel like they’re getting much in return. They don’t
feel as if they’re actually better off by paying more taxes after we
implement Bill 10 than they were yesterday.
This side of the House would love to have supported some of these
things. But you can’t just back up a truck, dump a bunch of money out of
it with absolutely no measurables and expect to have a good outcome.
It’s the equivalent of basically writing a blank cheque, as we’ve heard
before.
[J. Tegart in the chair.]
Welcome to the Chair, Madam Speaker.
I could go on further and further.
Interjections.
B. Banman: Yeah? You want me to go on more? I’ve got a whole two minutes and
53 seconds left, I see, according to the clock, and you want me to use
them all.
All right. Let’s hear what a union had to say, then. CUPE said
that amid all the new investments in critical services, they were
surprised that the budget was relatively silent on continued expansion
of child care services.
We now know that child care services are actually an economic
generator. This side of the House believes that we need to expand child
care services. The other side of the House says that we don’t, but it’s
actually not true.
[3:00 p.m.]
Interjection.
B. Banman: No, it’s not true. It’s not true at all. But this would be one of
those things where they’ll twist it and say we’re somehow against cancer
research as well because we voted against the budget. That’s just
tomfoolery.
It’s actually, I believe, one of the reasons that actually annoys
the public, because that’s not it. We’re against the budget. We’re
against the budget and the massive amount of debt and the massive amount
of new taxes that are now going to be put in. It’s totally
different.
With the few moments I have left, I would say…. Here are the
unions that have problems with this particular budget: the B.C. Nurses
Union, the health employees union, the B.C. Teachers Federation.There
are quite a few others. They all have pointed out shortcomings with the
budget, and, thereby connecting it to Bill 10, the implementation of
those taxes as well.
I do appreciate the time to be able to talk about this budget.
It’s one of the great things about democracy. We may not always agree
with what one another says. But somehow, if we search for that common
ground, I believe that the public and the taxpayer will be better off.
There are good ideas that come from both sides of the House.
Unfortunately this budget and Bill 10 I just cannot support.
M. Bernier: I was delaying my rise to speak because I thought for sure that
some of the members of the NDP would want to stand up and defend all the
tax increases that they’re going to be voting in favour of. But it seems
like none of them were willing to take their place to rise at this time.
There’s still ample time, so we’ll see if they choose to do
so.
It is a pleasure to stand up and speak to Bill 10, the Budget
Measures Implementation Act. As we’ve been hearing…. We’ve heard from a
few members, including the minister, as well, when they talk about Bill
10, the implementation of the budget and how they’re basically tied
together. You can’t implement a budget unless you have a budget. You
can’t have the budget unless it’s implemented. You can’t have Bill 10
unless you have the budget. They go together.
I’ve noticed and appreciated the flexibility the House has shown
as we talk about some of the challenges, especially when we’re talking
about Bill 10. I also appreciate the fact that we have the ability to
debate this right now. As we’ve seen under this government, usually they
ram bills through at the end of a session and then force closure and
don’t allow the opposition time to speak on them. It is good to know
that I will have at least 30 minutes on this bill to be able to speak to
it.
Bill 10, as was mentioned…. I think holding up a bill as not
necessarily a prop, but I have it in my hand. It’s 185 sections. It’s
all about the budget. It’s all about the implementation of the taxation
and how the government plans on achieving the revenues and achieving
their goals as a government.
What I find interesting, though, through this process — not only
through the budget but in Bill 10, implementing that budget — is that
hardly anybody in British Columbia is supporting this. It’s been an
utter failure. You’ve heard from my colleague even before me. I won’t
bother reading into the record a whole bunch of the negative comments
and responses that we’ve heard from stakeholder groups from every corner
of this province who were disappointed in this budget.
They were disappointed in the approach that this government has
had, mostly because it’s the seventh budget, which means it will be the
seventh Budget Implementation Act. This means it’s the seventh time this
government has had a chance to get it right, and they have
failed.
In fact, one of the biggest issues when we’re looking at not only
the Budget Implementation Act, but the budget surrounding that, and the
taxation, is how we’re going into three more consecutive deficit budgets
under this government. The big question that this government fails to
answer is: who’s going to pay for this in the long run?
They’re acting as if there’s a money press down in the basement
here in Victoria. Let’s just keep cranking that money press, and don’t
worry about it. Well, unfortunately, as a father of five, as a
grandfather of four…. Hopefully, someday I live long enough to be a
great-grandfather.
[3:05 p.m.]
Interjection.
M. Bernier: The member for Powell River–Sunshine Coast thinks I’m already old
enough to be a great-grandfather. Not quite.
An Hon. Member: You’re just a great grandfather.
M. Bernier: I’m just a great grandfather. Exactly. I appreciate that
support.
At some point, they’re going to have to pay for this. We need to
be thinking about that when we’re talking about the increases in taxes,
the increases in debt. The government has no problem bringing forward
Bill 10 as if it’s nothing. “Just put it here. We don’t even have to
have speakers. Let’s just support it.” But forget the overarching theme
of the lack of discipline within this government when it comes to
financial scrutiny, financial discipline on how they manage the
budget.
Again, it goes back to the lack of understanding, I believe, of
who’s going to pay for this, which is why so many stakeholder groups, as
I mentioned at the onset, are struggling with this budget.
Taxpayer-supported debt, which is going to be supported through this
budget when they pass it and pass Bill 10, is going to be $100 billion.
Think about that: $100 billion. Under the NDP’s time, this time, in
government, it’s doubled.
That is, again, something we need to be very cognizant of. The
government’s going to try…. “Oh, well, we’re doing all this spending.”
But there have been no results. They’re going to say, “We’re doing all
this spending,” but you don’t see anything for it. We’ve highlighted
that in some of the original estimates we’ve done around the
supplementals. We talked about that a little earlier today. What’s scary
about this, when we talk about deficits and when we talk about debt, is
that at some point, it has to be paid for, as I said.
Now when you look at the budget, and then you look at Bill 10, and
we talk about all the taxes that keep going up…. This government’s idea
of generating revenue is not growing the economy. It’s not about
stimulating growth in the business sector. It’s just about throwing a
few more line items in the budget of finding a way to tax people. That’s
not sustainable.
In fact, the last time we saw large operating budget deficits that
a government was forced to figure out a plan to pay back was after the
last time the NDP was in government. Go figure. We saw, I believe, if I
remember, in 2001, almost $10 billion of operating debt, because at the
same time, under the NDP government in the ’90s, they had no problem
cranking the money press down in the basement with no understanding of
how they were ever going to pay it back. Somebody has to.
Interjection.
M. Bernier: That accountability, as my colleague from Peace River North says,
needs to be considered through all of this.
When we look at all the increased taxes…. We know that we’ve seen
over the NDP’s, I’ll say, long almost seven years, just increase after
increase in taxes — over 20 new taxes that they’ve brought in. They’re
highlighted, a lot of them here, in Bill 10. If we really wanted to
see….
It’s interesting, because they’ll say: “Oh, you’re voting against
this.” Well darn right we’re voting against a lot of this, because there
is no plan here to help the people of British Columbia other than
saying: “Don’t worry. We’re going to reach into your pocket further, as
an NDP government, to take any little last pennies that you might have
rattling around in there for our own increases here.”
We’re at record levels of new taxes coming in. In a lot of ways,
that’s no surprise. This NDP has a track record and a history of never
finding a tax that they don’t want to try to implement or never seeing a
dollar rolling around that they don’t think is theirs that they want to
take away from somebody. But that hurts our economy, and it hurts the
families in the province of British Columbia.
[3:10 p.m.]
We saw the Minister of Finance, in the introductions to the
budget, which is part of the implementation here, in Bill 10…. We saw it
in the throne speech. This NDP government has no problem, interestingly,
in all of those documents, highlighting the immense struggles that the
people of British Columbia are going through right now, whether it’s in
affordability for housing, the price of gas going up, the shortage of
doctors and nurses. You name it. All the struggles. We are the highest
cost jurisdiction for housing, for rents.
All of this stuff has taken place under the present NDP
government. They had no problem, in their documents, highlighting that,
which I found very interesting. Most people, you would think, would
highlight a struggle and come through with: “Here’s the solution to fix
it.”
We never saw that here. We saw this government acknowledging, as
they rightfully should, the struggles and the pain that families and
businesses are going through in British Columbia. You would think that
the budget would have reflected those struggles with programs, with
savings that would have assisted.
When you look at Bill 10…. You look at the huge list of taxes. In
section 11…. It’s not only the huge list of present taxes. Bill 10,
under the implementation act, is talking about all the tax increases
that they plan on implementing over the next three years.
Madam Speaker, I’ll just bring to your attention…. I’m going to
sit down for a moment. I believe another member just wants to do an
introduction.
F. Donnelly: I seek leave to make an introduction.
Leave granted.
Introductions by Members
F. Donnelly: In the gallery today, we have another group of grade 6 to grade 8
students from Scott Creek Middle School. They’re from Coquitlam. They’re
joined by teachers Ms. Dunn and Ms. Kamali, and they have five parent
volunteers in their group. This is Scott Creek’s first overnight trip since
COVID.
Would the House please make these students and their accompanying
guests feel welcome.
Debate Continued
M. Bernier: I will welcome, as well, our colleague’s friends, the youth that
he has introduced here today. Welcome to the Legislature.
We’re talking about everybody’s future, including the children
that are in here today. So it’s interesting that they can be part of
this, especially witnessing the democratic process that we go through
here in the Legislature, where we sometimes agree to disagree to make
the decisions to move British Columbia forward.
I will probably say, for the youth that are here today and the
adults that are with them…. Sometimes we disagree on how we want to get
to the good solutions. We always agree that we want to make life better
for people in British Columbia. I will acknowledge that.
It doesn’t matter who gets elected. I’ve never ever met somebody
who has put their name on the ballot and become an MLA here in this
Legislature that says: “I hope I win so I can make things worse for the
people of British Columbia.” That doesn’t happen. We just sometimes have
a difference of opinion on how we want to make life better and how we
will achieve that. That’s part of the discussion that we’re having here
today, which takes me back to where I was.
Some of the struggles that families are faced with right now in
the province of British Columbia, whether it’s…. I will talk about
housing, maybe, for a moment.
In the budget implementation act…. One of the things that is
talked about here in Bill 10, as well, is how…. There are 21, if I
remember, new and added taxes that directly and indirectly go to the
increased costs for building a home, whether it’s a fixed structure or a
rental unit.
[3:15 p.m.]
The government had no problem acknowledging — again, rightfully so
— the cost pressures people are facing when it comes to high housing
costs and high rents but then, in their own documents, increase taxes
and put further pressure on the costs to try to help young families or
people starting out that want to get into the housing market and, I
would argue, even into the rental. Some people choose maybe just to rent
their whole lives, which is their choice and something that works for
their life, but they are seeing the increased pressures as
well.
So wouldn’t you be surprised — in fact, I wasn’t — that this
government, after seven budgets, failed to deliver on their repeatedly
promised $400 renters rebate? Election after election, this government
said: “Don’t worry. We’re going to be basically cutting you a cheque for
$400 to put in your pocket to help offset the increase in
rent.”
A bit of a slap in the face for those people who are struggling
right now with the highest rent costs in North America when, in this
budget, instead of that $400 renters rebate, this government announces….
Finally, after seven years, they think they’re doing something, but it’s
a refundable $400 tax credit.
Now, for those that understand how tax credits work, you don’t get
the money up front. So this means you’re waiting until sometime next
year, a year from now, 13, 14 months, maybe, from now, until you’re
doing your next taxes in 2024. Meanwhile, your rent has gone up possibly
hundreds of dollars again this year, and you’ll be, maybe, eligible for
a $400 tax credit, which could work out to $30 a month. The reason why I
say “maybe” eligible is that the only ones that are going to be able to
obtain the full $400 tax credit…. It’s if you make $60,000 a year or
less.
But the recent reports have come out and said that just to afford
to rent a place in the Lower Mainland, you need to be making over
$100,000 a year to afford a one-bedroom place to rent. So people who are
making under $60,000 will get this full $400 credit. If you’re making
$100,000 and are fortunate enough to make that, and you’re trying and
struggling to pay for rent in Vancouver, you’re out of luck. Even though
this government promised it to you many, many times, you are out of
luck.
You’re also out of luck in this budget when you look at trying to
find anywhere where this government plans on achieving their goals on
building the affordable housing that they promised.
As I mentioned, in Bill 10, they have no problem talking about all
the budget increases, tax increases that are going to take place in many
of the different sections. But you’ll notice, anybody paying attention
to this, that this government conveniently doesn’t talk about anymore
and have walked back their promise of 114,000 affordable housing units
in ten years.
We’re now going into budget 7, and what we find in the budget,
when you look deep down into it, are documents that say they may or may
not achieve 3,000 units this year, completely walked back. Well, I
shouldn’t say walked back. They haven’t even given an explanation.
They’ve just pretended they didn’t promise 114,000 affordable housing
units in this province at the same time we’re talking about the
struggles that people are facing.
Now, one of the taxes that we talk about in Bill 10 is the carbon
tax. Carbon tax is going up yet again. Over the next seven years, the
annual carbon tax increases are going to increase the price of gas by
around 26 cents a litre. That’s on top of what has already happened
under this government in the last six years, which is around 50 cents a
litre.
[3:20 p.m.]
It continues. We continue to be the highest cost jurisdiction on
almost every level when it comes to what people have here in British
Columbia for what they’re trying to pay for.
I appreciate being heckled by some of the members about climate
change. They might want to remember that they voted against the carbon
tax. “Axe the tax,” they were saying. “We would never support a carbon
tax,” until they got into government and realized: “Holy cow. Instead of
making it revenue neutral, we’ve got billions of dollars that we can put
into general revenue — another tax grab.”
Instead of putting it back into the pockets of people of British
Columbia, rather than putting it into a tax shift to support families or
businesses, they said: “Let’s just take that money, the billions of
dollars, and let’s just put it into general revenue to spend it where we
want.”
It’s a little ironic when they say, “Oh, the carbon tax is all for
helping the environment,” but they have no problem taking that money
that they voted against to spend it on anything else but what might
actually be helping the environment. They say one thing and do another.
I’m hoping they continue to heckle me, because I’ve got way more answers
I can continue throwing back at them on these issues if they
want.
One of the things that is really interesting when we talk about
this carbon tax is the fact of how it hits people, individuals, families
that have no choice. When I look at Bill 10 and I look at how carbon tax
is going up under this government over the next few years, again, I look
at people in my region, who just went through another winter where we
had weeks and weeks of minus 40.
Any single one of them that would have looked at their gas bill
would have realized, and I can’t explain this very well to them either,
how the carbon tax that’s added to their natural gas bill is actually
more than the natural gas that the company is selling itself.
The problem with this is that they have no choice. They have no
choice. Somebody gets a $600 gas bill in my riding, and $300 of that is
carbon tax. They have no choice but pay that, because of what this
government is doing. Now, if they truly want to say that this is going
to help people, then maybe they should come up with tax credits to make
things more revenue neutral when it comes to the carbon tax. Maybe
they….
Interjection.
M. Bernier: I’m wondering if the members are willing to stand up, then, when
they have their turn and explain to the people in my region that their
natural gas bills that they have no choice on are going to be going down
under this government. That will be interesting to hear.
The Finance Minister is not saying that. If the other members want
to stand up and say that, I’m sure we’d all love to hear it. I know the
people who live in my riding would love to hear that as well.
The government stands up and says: “We’re raising carbon tax to
incentivize people to stop using as many carbon-emitting products.” But
they’ll have no problem burying their heads in the sand and not
answering the phone calls and emails to give the explanation to people
in parts of British Columbia that have no choice but to do
that.
That is just wrong. That’s not fair. This government continues to
try to make announcements and promises here and the Lower Mainland and
forgetting that there’s actually a large, vast difference in the entire
province out there. We can’t regulate or legislate for one group down
here thinking that’s not going to negatively affect other
people.
Now, when we also look at Bill 10 and we’re talking about, in the
budget, the taxation increases, well, that’s the revenue coming in. I’m
looking forward to any of the members opposite standing up and
justifying, explaining why they have no problem budgeting for resource
revenue to go down.
This government has completely, basically, abandoned anything when
it comes to the growth of our resource sector. In fact, it’s the
opposite. They’re actually budgeting and planning for a decline,
managing for a loss of jobs, managing for a decline and huge negative
impacts to our communities. They have no problem doing that, it seems,
from here in Victoria.
[3:25 p.m.]
It’s 33 percent over the next couple of years that revenues are
dropping from natural resources, such as oil and gas, in my riding, and
such as forestry around the entire province.
I mean, when we look at…. Again, in Bill 10, when we talk about
all of the pressures that Bill 10 is putting on our resource sector, our
small businesses, our families, it’s no wonder we’re hearing on a daily,
weekly basis that companies are saying: “Enough is enough. We’re moving
our offices down to the United States” or “In the natural gas sector,
we’ve got billions of dollars, but we’re going to be investing them in
Alberta, because we know, because of the taxation rules that they have
there, that it’s more economical to invest in that region.”
Under Bill 10, maybe this is where the government would have had
an opportunity, when they’re talking about all these taxes and when they
said they identified all the pressures people are facing, to actually
put their money where their mouth is and actually show that when they
put this bill forward and say: “We’re actually going to acknowledge the
pressures, and we’re going to actually look at lowering the tax burden.
We’re going to actually have a plan for getting out of deficit budgets.
We’re going to have a plan to getting back to a revenue-neutral carbon
tax. We’re going to have a plan for supporting families who are
struggling with their gas and their groceries and their housing, their
rent.” Whatever it might be.
But no. We heard all of those pressures people are facing, but we
put Bill 10 on the floor that says: “Oh, and by the way” — add insult to
injury — “we’re increasing those pressures. We’re increasing those
taxes.” I hope they find the irony in that at a time when, as I just
mentioned, in the resource sector, we’ve got mills shutting down all
over the province.
I look up in my region of Chetwynd, a couple hundred jobs; Taylor,
a couple of hundred jobs; Houston; Merritt; Quesnel; here on the Island.
I mean, the list goes on. I was just touring a place over in Maple
Ridge, a shake and shingle facility. They’re worried because they can’t
get their permits anymore, worried for their hundreds of
jobs.
While we’re seeing the decline of resource revenues, while we’re
seeing families losing their jobs in resource communities and when we’re
seeing communities being faced with huge, devastating revenue impacts
because of that, this government says, “Don’t worry, we’re just going to
raise your taxes because we need more money,” not acknowledging the same
people that they’re trying to collect money from are the ones struggling
right now in British Columbia.
One of the things…. I’ll say this, hopefully, with all due
respect, and it doesn’t come across the wrong way. I was doing an
interview and talking about the 200 jobs being lost in Chetwynd with a
mill being shut and the impact that that has on a small community. One
of the people — I won’t mention what party they were from; I’ll just say
they weren’t from mine — put on Twitter: “It’s only 200 jobs.” Two
hundred jobs in Chetwynd is 10 to 15 percent of the population. Quick
math in my head — that would be like the Lower Mainland losing about
400,000 jobs in one day.
Can you imagine the outrage from this government, the panic from
this government and the work that they would try to do if 400,000 people
in the Lower Mainland lost their jobs because of the impact it would
have on the communities there?
Interjection.
M. Bernier: I agree. Devastating. It better never happen. But that impact is
exactly the same to a small community when only 200 people are getting
laid off, according to this government. That is huge.
Interjection.
M. Bernier: Well, the member for Powell River–Sunshine Coast, who comes from a
region that actually is, was…. He appreciates how hard it is when people
lose their jobs.
Interjection.
M. Bernier: I guess he must be speaking next to talk about it —
exactly.
[3:30 p.m.]
His government stood up numerous times and said: “Don’t worry. No
mill will ever be shut down on our watch. Nobody will lose a job under
the NDP.” Maybe he can stand up after me and explain why the NDP, on
that promise, like many others — how they failed to deliver. This is
real. These are real impacts. These are real pressures people are
facing, and those need to be dealt with. I encourage…. I implore members
in the NDP to stand up after me and justify that, to explain why they
think it’s okay to make promises and then not deliver on
them.
It’s amazing how quickly a half an hour goes by when there is so
much that you can talk about that is facing the people of British
Columbia right now.
The people in the province are hurting. They’re struggling. The
last thing they expect is for us to be passing a budget that really
doesn’t help them. By passing Bill 10, which agrees to tax them more,
and passing a budget that is going to put further pressures and impacts
on future generations…. It sometimes boggles my mind that people would
think that is reasonable and that is appropriate in a time when people
are struggling.
I didn’t even have time to get into all of the challenges that I’m
faced with in my region. I would have loved to see in here and in the
budget…. Rather than $3 billion going out in all of the different
supplemental estimates to areas where the government can’t explain, I
would have loved them to come forward with stuff that says: “This is
what we’re going to do to stop all of the diversions of the hospitals in
the Peace region.”
Guess what. Tumbler Ridge, again, this weekend…. I just found out
a half an hour ago that the hospital is being shut down again — the
closest hospital 130, 140 kilometres away — with a sign on the door that
says: “Sorry, you will have to drive yourself to the next nearest
hospital if you’re in a crisis or phone 911. We will do what we can for
you.”
As I say, time goes by too quickly. I would have loved a lot more
time to talk about the struggles of lives. I have a hard time with the
budget and the budget implementation of that because of all the
increased taxes, the lack of a plan and the lack of support for
families.
I appreciate the time I’ve had, and I appreciate the House
listening.
D. Davies: I thought for sure that after…. They were heckling my colleague
from Peace River South, calling him wrong, saying that he was saying the
wrong things.
This would have been a wonderful opportunity to stand up and
defend your budget, defend all the taxes.
It is quite sad, actually, that we’re here in this place having
these conversations, and it is only us talking about what they are very
proud of. One would think that they would want to stand up and do
this.
I digress. I am pleased to rise and give my remarks on Bill 10.
There we go. As my colleague just said…. Of course, Bill 10 is the bill
that triggers all of these taxes and costs that are going to be coming
forward and bringing their budget to life, I guess we might say, a
budget that has no light at the end of the tunnel. I think I’ve used
that exact phrase on at least a few of the last seven budgets that this
government has asked.
I had someone ask me, actually: “What do you mean by seven
budgets? They’ve only been in here….” Well, when they first became
government, it was kind of partially into…. They had to do their own
budget.
[3:35 p.m.]
That’s really for the people watching — okay, there’s nobody
watching — and the two people watching on Hansard right now. Actually,
there are probably lots of people watching on Hansard. There are lots of
people watching on Hansard.
No light at the end of the tunnel. We’re at a time when…. We
recently saw the throne speech. We recently saw the budget tabled. Each
of these have come out at a time when people are looking for hope.
People are looking for a light at the end of the tunnel.
It has been a hard few years. COVID is behind us now, but there
are still a lot of things left over that are challenges. People, I
think, were really looking forward to this government’s budget to
provide the relief, first of all, that they needed but, secondly, to
provide that hope. We did not see that in this budget. As I said, we
haven’t seen it, unfortunately, in the previous budgets.
Now, before I dive into all of my notes — I probably won’t get
through them all, but I might — I do want to thank my constituents for
allowing me to represent them here in this place.
My riding, as I’ve said here before, is quite unique. It’s a very
large riding, 170,000-plus square kilometres. It contains everything
that British Columbia needs as a resource. We have forestry. We have
lots of agriculture. I’ll talk about that in a bit. Oil and gas. Mining.
Tourism. I mean, we have everything. We’re really quite
lucky.
As I see this budget come out, it really wants me to even take my
job in a more responsible manner. Now I really need to be talking about
how there is nothing in it, really, for my constituents. I’m going to
highlight these points, which I think is my role to do here as the
representative — to take whatever action I can to make sure that they
have a stronger future. We have a brighter future. All British
Columbians have a brighter future.
Much of my motivation comes from my two children: my son, Noel,
and my daughter, Hana. I think many of us who have children can probably
say the same thing. That’s our guiding light, our motivation. This is
what really brings us to this place. I do this for them. I do this for
that generation, up and coming, and the generations that will follow so
that they will have a bright future. They will have hope.
What happened just one week ago, maybe a little more than a week
ago…. My daughter, Hana, is graduating this year. She’s in grade 12. She
graduates, my goodness, in a couple of months. She was going to move to
Vancouver. She had interests in getting into a whole bunch of different
stuff. The film industry was certainly one. She started looking around
and looking at options that would provide her the most opportunity and
that would provide her the most hope.
To my dismay…. I was expecting her…. She was coming to Vancouver.
She had even looked here in Victoria. Last week she came to me and said:
“Dad, I think I’m moving to Calgary.” I was a little taken aback. I want
to build a province where…. I want my kids to be here. I want my kids to
grow up in this province.
I was like: “Oh, why?” She did her own research. She looked at
housing. She looked at the cost of tuition. She looked at the cost of
groceries. It came back to affordability. She has decided that she
cannot afford to live in British Columbia, and she is now going to go to
Calgary to do her next journey of her life.
It is sad when young British Columbians are choosing to live in
other jurisdictions, other than their home, because it’s better. It
should never be better. British Columbia has so many opportunities that
are missed, so many opportunities that are being squashed by Bill 10,
that are being squashed by this budget, that are being squashed by this
government.
[3:40 p.m.]
My daughter was born and raised, as I was, in Fort St. John, and
we’re proud to call that home. I’m proud to be a British Columbian. I
know my daughter is proud to be a British Columbian, but when she weighs
all the odds, she has to do what’s right. She has to do what’s right for
her, and I hope that this province does change around and welcome her
back in the near future, so that she can come back and make a life here
in British Columbia.
Part of that comes from…. Bill 10 is implementing a number of
taxes and, of course, has identified…. One of the things that was
identified in the budget was the direct cull of revenues from the
resource sector, dropping upwards of 35 percent. Those industries are in
my riding. All of those industries are in my riding.
The natural gas sector. I mean, we are the NG of the LNG. All of
the natural gas that’s going to feed the LNG facilities is coming from
my region, my colleague from Peace River South. It’s coming from our
region, the mining opportunities and the mining that is happening in the
Peace country.
The forest sector — well, that’s another story. It’s taken a hard
hit like many other communities. I mean, I’ve just had my pulp mill in
Taylor, which is just south of Fort St. John, 15 kilometres, just
announced they’re shutting down. I know my colleague from Peace River
South has had mill closures in his riding recently — Chetwynd. Pick a
small forestry community in this province. They have all been seeing
forestry closures, mill closures. I do want to highlight, and it’s been
highlighted a few times, the Premier said in 2017: “There would be no
mill closures under my watch.” I’ve lost count of how many mill closures
there are.
But I go back to these industries and the uncertainty that is
being created in this province, the uncertainty by the taxes that are in
Bill 10 that are going to be coming down, and they are going to come
down like a ton of bricks, like the other previous budgets have been.
This is death by a thousand cuts through seven budgets on our resource
sector. We have seen our resource sector continually attacked by this
government — continually attacked, not supported.
We are now starting to see continuous deficit budgets. Because
remember, all of our resources are really what brings the revenue into
the province of British Columbia. The majority of the revenue that
governments have relied on over years and years to make sure that we
have the best education system in the world; great health care, which we
had at one time; good roads; good infrastructure; all of these things
that British Columbians want — the ability to look after our vulnerable
people.
That money cannot only come from the taxpayer’s pocket. I should
do this one because the front ones are empty. They’re now into the back
ones and the side ones. They continue to reach into the pockets of
British Columbians because that is the only place that this government
can reach now as we start to see our decline in our resource
sector.
These industries are all good-paying jobs across the province of
British Columbia, good-paying jobs that keep families in their
communities, keep their communities going, their communities thriving
and generate that much-needed revenue that the province of British
Columbia needs, not only by what the industry pays, but by the spending
of these families. This is why Bill 10, this is why this budget, is so
troubling to me.
British Columbia used to be an envy in Canada. It used to be an
envy to be here, to come here. Unfortunately, it isn’t that
anymore.
[3:45 p.m.]
I think it’s really important…. This is why I’ve taken a number of
minutes just talking about the resource sector and how it’s crumbled. In
fact, 11,700 jobs have been lost in the resource sector since this
government became government in 2017. That’s 11,700 good-paying jobs
that have been taken out of British Columbia.
I know we heard today…. Even during question period, we heard
today with the forest sector, “We are going to look after them. We’ll
retrain them into tech,” or retrain them into whatever or bridge them to
retirement. Well, as was mentioned earlier, many of these people are
living in a community…. What does tech look like in Mackenzie,
retraining into a tech job? What does retraining into a tech job look
like in Merritt or Fort Nelson or Dease Lake? What does that look like
as a tech sector job? It’s cold comfort for many of these people that
are losing their jobs across the province when the answer from
government is: “Don’t worry. We’ll retrain you.”
These are resource communities. British Columbia does resource
extraction very well. We’ve innovated. We are a leader in the world. We
need to continue to do that. But continually attacking all levels of the
resource sector is not sustainable. I think my colleague from Peace
River South said that. It’s not a sustainable way to continue
going.
Life has never been more unaffordable as it has been in these last
couple of years. Deficit spending seems to be becoming a normal thing
now. I get it. There are times…. We saw during COVID…. That was an
opportune time. We needed to deficit spend. We needed to generate the
extra supports out there for British Columbians. But now it seems like
this government’s loving having deficits, drunk on deficit budgets. For
the foreseeable future, that’s all we’re going to be seeing. So $11
billion of deficits over the next three years.
As has been said, I think maybe a couple of times…. I’m sure I’ve
heard it in here. British Columbia became a province in 1871, 150 years
ago. Up until about 2017, the provincial debt in this province, which
would have been 146 years ago…. We had a debt of $50 billion. From 2017
to now — what’s that, six years and a bit? — we’ve doubled that debt.
Not we. They’ve doubled that debt. Government has doubled the debt to
now be almost $100 billion. There’s no end in sight.
As I talk back to my children again, that worries me. That worries
me for not only my kids. I think the member for Abbotsford mentioned
that that’s 20-some-thousand dollars that every single British Columbian
owes. That’s just the provincial. It’s not sustainable. We will not be
supporting Bill 10. I can’t, with all conscience, support this bill,
just for my children’s sake.
[3:50 p.m.]
One of the things in here, of course, is…. Not one of the things.
There are many tax increases in Bill 10. In fact, that’s really what it
all is, just tax and grab, tax and grab, tax and grab,
continuously.
I just want to bring forward…. He’ll be happy I brought this
forward, one of my constituents. One of the pieces here, of course, is
the carbon tax increasing another $15. Now, of course, everyone
remembers that the previous government, the B.C. Liberal government,
brought in the carbon tax as a revenue-neutral tax, a tax that would go
back to supporting innovation, supporting people. Now it’s just a tax
grab — and a big one, a massive tax grab, at that.
This constituent, Arthur Hadland…. Some of you might even know
Arthur Hadland. You know, he’s been involved in politics for a number of
years. He was the regional district director in Fort St. John. He was
the chair, I think, of the regional district. He ran against me in one
of my elections a few years back.
He comes from a family of farmers. They farm a lot of land up in
the northeast. In fact, I think one of the breweries here in Victoria
uses his barley to make beer. That’s one of his things.
Anyway, Arthur came into my office. He is the nicest man, but he
came into my office, a week or so back, chewing nails and spitting rust,
as I think may be what the term is. In his hand, he had his natural gas
bill for his place. It was $1,136. I think it was for the months of
December and January, almost 1,200 bucks.
You know, when it’s minus 40 or minus 35, we don’t have the option
to heat our houses with any other source, other than using natural gas,
because it is the most efficient, and it does provide the most heat.
When we see this tax grab — that’s what it is now — you can understand
why people like Arthur Hadland and so many others, myself included,
usually have to sit down. That’s the one bill I have to actually sit
down for: when I open my natural gas bill.
When you see this continually going up and just becoming general
revenue, it…. I can’t use the word, but it really makes me upset, along
with thousands of others that live across the North and that heat their
homes with natural gas.
Even with the natural gas…. You know, 95 percent of all grain
comes from my region, the Peace region. Some 95 percent of all grain in
British Columbia comes from the Peace region. That grain needs to be
dried using natural gas heaters — again, another expense, and they’re
not exempt on that. So when we look at affordability and we wonder why
food prices are going up, the costs of things are going up, there’s one
example.
Again, my colleague from Abbotsford mentioned the gas tax. Well,
when British Columbia has the highest gas tax in the entire country,
which pretty closely equates to us having the highest gas prices in the
entire country — diesel prices — that directly translates onto the cost
of food, the cost of goods and services, because everything in this
province is trucked here. Everything that’s distributed throughout this
province is trucked here — or on a train, which also burns
diesel.
When we see Bill 10 and the budget, there’s no relief in there.
There’s no relief for British Columbians — the trucking industry,
British Columbians that rely on their vehicles, British Columbians that
rely on and have no choice but to heat their homes with natural gas.
Bill 10 does not provide that relief. Budget ’23 does not provide that
relief.
[3:55 p.m.]
Speaking of relief, as I mentioned, my daughter was looking at
different things in Vancouver, moving to Vancouver. She has decided now
to move to Alberta. You know, the $400 renters…. Well, it’s not a
rebate. When the rebate was first introduced, I think it was the 2017
budget — was it not? — the big promise…. This government has a ton of
promises over the past years that just keep getting regurgitated in
seven budgets, over and over again.
The renters rebate was one. “We’re going to give you four hundred
bucks cash.” Well, that four hundred bucks cash in 2017 is different in
2023, because the cost of rent has gone up 15, 20 percent. It’s not even
cash anymore in your pocket for British Columbians or, certainly, people
on the Lower Mainland that are renting. Now it’s a tax rebate with a
whole bunch of strings attached to it that is going to amount in very
few people actually receiving it, or some only receiving a small little
portion of this.
We wonder why people are, in record numbers this year, moving out
of British Columbia — in record numbers, moving out of British Columbia.
I wish I had…. I can’t remember who. One of the agencies did a study on
that. I can’t remember where it was, but record numbers of British
Columbians, in 2022, left the province. That’s a shame. There’s no
reason for that.
I talked about the declining resource revenues in the budget, zero
job creation incentives that are really being pushed out. There are
some, and I’m not saying it’s zero. There have been some; some in the
Lower Mainland. There are some options. But when we, again, look back at
rural B.C., in the North, there’s really nothing for us in this budget,
nothing for us other than these tax grabs that are in Bill
We’ve seen this over…. Again, this is just a snap, a little
glimpse in the current time. When we look over the last five years, 6½
years, I think we’re up to 29 new taxes or fees, 29 brand-new taxes that
have been created by government on British Columbians. That’s
astounding. At a time when we should be looking at how we provide relief
for British Columbians, this government has doubled down on taxation,
when British Columbians don’t have any more to give.
It’s like Prince John and the sheriff of Nottingham walking
through the streets of every community in British Columbia, knocking on
your door. “Here to collect taxes.” “I have none to give.” “Well, then
we will continue to take. We will get it out of you somehow.” That’s
what British Columbians are feeling right now. Every pocket is empty?
Well, they’ll find a way to get it. It’s really sad.
You’ve just got to go into any coffee shop. I know the members
opposite must go to coffee shops in their riding. They must, and they
must hear the conversations. I tell you…. I don’t know if I can do a
promotion here. I go to A&W in my community if I want to hear what’s
going on in the streets, because everybody goes to A&W. There are
about four shifts of people. They start at seven. There’s an eight, a
nine and a ten o’clock shift. When I’m in there, I’m hearing everything
that I’m saying right now, because that’s what people are talking
about.
Oh, they’re not talking about the good old days. Well, they’re
talking about the good old days, how they wish it was the good old days
again. But now they’re talking about: “My God, I don’t know what I’m
going to do.” That’s all ages, especially seniors. They’re really
feeling the punch.
I should talk off my notes. I’m just going ad lib here, so I don’t
even know where I got to. Anyways, that’s fine.
[4:00 p.m.]
Madam Speaker, rather than taking responsibility for their
actions, this government is quick to blame many things on the previous
government — when this side was. But they are the previous government
now — two terms, plenty of time to turn things around, plenty of time to
make things right. But they continue to not. They continue to find
reasons why they have to blame for this and blame for that. “We need to
increase this,” because of X, Y, or Z.
As I mentioned, those people that are sitting in A&W are fed
up with the excuses. They want relief. They want to know that they’ve
got good health care, but they’re not getting it. They want to know that
when their kids are off to school, they’re getting a good education.
They want to know that the roads are going to be looked after. They want
to know that if they have a loved one that’s suffering from mental
health or addictions, there’s going to be help for them.
But we’ve seen nothing, or very little, from this government to
give people confidence at a time when people are looking for hope, at a
time when British Columbians deserve more than they’re getting, because
they’re paying for it. They’re paying a lot of money for it. The money
is flying out of the back of the pickup, but there are no results
coming, which is really concerning for all of us.
People are worried about their health. They’re worried about their
economic well-being. They’re worried about their children. They’re
worried about their future. They’re worried about the future and where
the future of British Columbia is going.
With that, I’ll take my seat. Thank you very much, hon.
Speaker.
Deputy Speaker: Thank you, Member.
Recognizing the member for Columbia
River–Revelstoke.
D. Clovechok: Well, thank you very much, Madam Speaker, and it’s always a
pleasure to see you in the chair.
I am honoured today to stand here in this House, representing the
people of Columbia River–Revelstoke, and share some thoughts on Bill 10,
the Budget Measures Implementation Act.
[S. Chandra Herbert in the chair.]
I do want to start out with the caveat that with this bill, it’s
about implementation of a budget. I need…. The thrust of my discussion
will be about some of what I think are the shortcomings that my riding
has told me about in the sense of: how can you implement if