2009 Legislative Session: Fifth Session, 38th Parliament
HANSARD

The following electronic version is for informational purposes only.

The printed version remains the official version.

official report of

Debates of the Legislative Assembly

(hansard)

Tuesday, February 17, 2009

Afternoon Sitting

Volume 38, Number 3

[ Page 13759 ]

TUESDAY, FEBRUARY 17, 2009

The House met at 1:37 p.m.

[Mr. Speaker in the chair.]

Introductions by Members

Mr. Speaker: Hon. Members, considering all the guests that we have today, on behalf of all the members, I'd like to welcome everybody here to the House. It's a special day on budget day. Welcome, all of you.

Statements
(Standing Order 25b)

Skeena-nass center for innovation
in resource economics society

R. Austin: I would like to bring to the attention of members a local group that has formed in northwest B.C. to try and address the failures of our once mighty forest industry. The group is called the Skeena-Nass Center for Innovation in Resource Economics. Historically, the local forest economy has been based on one primary commodity — pulp — with this being offset with dimensional lumber.

Clearly, the ongoing business failures over the last few decades have demonstrated that this model is unsuccessful, and yet we are still left with a landscape that is mostly forested and could present different economic values if we change the paradigm.

Nearly 45 percent of the remaining fibre is of poor quality and was left on the forest floor. It is deemed to have no economic value. The mission of this society is to identify, research, pilot and develop ways for forested land in the Skeena-Nass region to be the foundation of a new resource economy. The idea behind this is to have a centre where applied research, public policy and marketing can all take place and where local solutions can be brought forward that address the ongoing challenges that all of us in this House know only too well.

It is also hoped that this model can be transferred to other parts of the province. Now is the time to support this initiative as this part of B.C. has fibre that is not tied to any manufacturing facility. Everyone in the northwest is seeking a solution to seeing endless trucks of logs being shipped out of our region without us gaining the full economic value to our communities that might exist if we were to look at other opportunities.

This society includes having input from tenure holders, stakeholders, local education facilities such as Northwest Community College and UNBC, as well as local government in the form of regional districts, municipalities and first nations. The research and marketing themes will be driven by these stakeholder groups, with priorities being given to ideas that will benefit the region.

In short, it is hoped that we can set aside the past and look to a brighter future where the entire fibre basket can be evaluated in the light of new technologies. Just maybe the northwest will take a lead in bringing to market innovative products such as biofuels and biochemicals that can be produced locally and create employment opportunities for all of us in northwest B.C.

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arts and culture in burnaby

R. Lee: Today it's a pleasure for me to talk about arts and culture in my hometown of Burnaby. I am proud to represent such a diverse community that engages and supports the arts.

Last week I had the opportunity to see an exhibition at the Burnaby Arts Council's Deer Lake Gallery and meet with some artists in my community to hear what they are doing. I am pleased to learn there are some artists taking environmental responsibility to the next level by incorporating recycled materials into their work.

Other Burnaby facilities such as the Michael J. Fox Theatre, the National Nikkei Museum and Heritage Centre, Burnaby Village Museum, Burnaby Art Gallery, Scandinavian Community Centre and the Shadbolt Centre for the Arts are venues essential to the arts community in Burnaby.

On February 28 the Scandinavian Culture Society is having a Nordic art photography show. I am looking forward to attending, as I have enjoyed many events there in the past, including the annual EuroFest and Midsummer Festival.

I'm also looking forward to attending a Cantonese opera performance on March 20 at the Michael J. Fox Theatre to celebrate the 100th anniversary of the Canadian Red Cross. I invite all members of the House to attend as well.

Mr. Speaker, I would like to recognize the organizations such as the Burnaby Arts Council, Artists Helping Artists, Burnaby Photographic Society, Burnaby Scottish Country Dance Club, Footlight Theatre Society, Burnaby Writers Society, the Clef Society of Burnaby and the Burnaby Symphony Society for their contributions in not only enriching the culture in Burnaby but also showcasing what our city and our province have to offer visitors from around the world. I'm proud to be a supporter of the arts community in Burnaby.

CONTRIBUTIONS OF
FOREST-BASED BUSINESSES

B. Simpson: The real backbone of the forest sector consists of the multitude of family-based and community-oriented businesses involved in harvesting, hauling and replanting our forests. These businesses, in turn, support a wide range of suppliers and other community-based
[ Page 13760 ]
businesses that together make up the lion's share of the economy of any forest-dependent community.

For example, the members of the Truck Loggers Association account for fully 70 percent of the total value generated by the entire coast industry. These independent businesses contribute considerably more to the provincial and local economies than the few remaining major licensees on the coast. The same is true for members of the central Interior and the Interior logging associations.

As the manufacturing sector downsizes and consolidates, the logging, trucking and silviculture contractors, along with their suppliers and service providers, continue to provide the true backbone of forest-dependent communities throughout B.C. Over the past few years this vital sector of the forest economy has struggled to be heard. Yet they are offering up community-based solutions to the current crisis, which make sense and will go a long way to help mitigate the impacts of the downturn on our forest workers and their communities.

Among these solutions is a call for immediate tenure reform to create a free log market in B.C. and restore certainty to forest-dependent communities. Another suggestion is that credit assistance be made available for companies that want to use this difficult time to restructure and become more innovative and competitive. These businesses also need certainty that their hard-earned cash will not be lost when licences go bankrupt or tenures are bought and sold.

I ask that the members of this House join me in recognizing the invaluable contribution these independent businesses make to our forest economy and their continued efforts to offer solutions which will ensure the forest sector remains viable through this unprecedented downturn.

CANADIAN CHINESE BUSINESS
DEVELOPMENT ASSOCIATION

J. Yap: I rise today to speak of the Canadian Chinese Business Development Association or, as it's known, the CCBDA. The CCBDA works to promote and support business ventures of Chinese immigrants, and I'd like to congratulate the association and their president, Amy Huang, on celebrating their 25th anniversary.

The Minister of State for Childcare, the member for Richmond Centre and I recently attended a gala dinner to mark this occasion. Twenty-five years ago the CCBDA was founded by several graduates and instructors of the Vancouver school board's Chinese business program with the goal of helping new immigrants understand Canadian business culture and practices.

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By providing business seminars and assisting immigrants in navigating the complicated business development process, the CCBDA ensured that these new Canadians were able to fit into the community seamlessly.

Through the years, the CCBDA saw an expanded mandate and was soon working with the federal government regarding several measures affecting recent immigrants. The work of this organization has expanded to help not only those in their community but causes in China as well, with fundraising efforts going towards the B.C. Children's Hospital Foundation and the Sichuan earthquake relief fund, among other charities.

The CCBDA facilitates integration of new immigrants into their new country and also works tirelessly to promote economic and trade ties between Canada and China and the Asia-Pacific region, which we all know is of vital importance in moving B.C.'s economy forward.

I ask all members to join me in congratulating Amy Huang and all members of the CCBDA on a successful 25 years and wishing them well on their next 25.

SENIORS CARE

D. Routley: I rise in the House today to speak about seniors care. These are the pioneers of our province who built the foundation upon which we are supposed to build. They have an expectation of us. They gave us our democracy. They handed us the tools of democracy, expecting us to use them as hand tools, not just power tools. They wore our uniform.

In Cowichan the seniors represent 20 percent of the overall population, compared to a B.C. average of 15 percent. The need for these seniors grows daily, and it's met by Fair PharmaCare increases and dental care increases. Even driver's licence renewals are up.

Crisis in our care homes is what we're witnessing. We have the lowest nursing ratios in Canada. Staff have not enough time to feed and properly give personal care to their clients, often having to do both at the same time. Take, for example, the case of Bill Cross, who came to this House last year. That man went 109 days without a bath because of inappropriate placement.

These are levels of care unmet, and yet we advertise the best levels. That advertisement is betrayed by this truth. These are needs unmet. Private operators have been adding costs — TV, pharmacy costs. Even nail clippings are an expensive option.

Our seniors are being called the demeaning term "bed-blockers." They're bed-blockers because we didn't provide beds as promised. Those beds and those private facilities are being offered as a bulkhead to criticism when we bring criticism to public hospital dysfunction.

Standards on restaurants — health standards — are available on line, available publicly. Standards in a seniors care home, where you might place a loved one, are not available to you in any way publicly. This is why we need an independent seniors representative. Our society is measured by how it treats its seniors, those who built this province. Let's make that an adequate measure.
[ Page 13761 ]

HERITAGE ACHIEVEMENT AWARDS

R. Sultan: Last night the 13th annual Heritage Achievement Awards were presented at the West Vancouver Municipal Hall. The awards are presented every year to individuals and groups who have made significant contributions to preserving our heritage, and this year seven awards were presented.

First, to Hugh Hamilton in recognition of his leadership on preserving our natural heritage through his work on the Streamkeepers Society, the Coho Festival society and the Saeway Creek restoration.

Second, the Land Conservancy of B.C., Adrian Archambault, and the executors of the B.C. Binning estate — Jeff Massey, Everhardt Van Lyd de Juid and Ronald Walsh — in recognition of their conservation of the B.C. Binning house, built in 1941 and credited with initiating the west coast modern style of architecture.

Third, Francis Mansbridge in recognition of his book Hollyburn: The Mountain and the City, in recognition of this mountain and ski playground in our back yard and the site of the Olympic Games.

Fourth, Elinor Martin and Margaret Ramsay in recognition of their book Celebrating Seventy Years of Ministry, 1933-2003: A History of the Parish of St. Christopher.

Fifth, Dugal Purdie and Lynda Wrigley for their work in rehabilitating Dawson House, described as the nicest heritage house in town.

Sixth, Lorne Rubinoff in recognition of his 25-year stewardship of the architecturally renowned Merrick House.

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And finally, the Toby family in recognition of their efforts in maintaining Toby House for almost half a century.

I ask the House to recognize their significant contributions in preserving our heritage.

Introductions by Members

Mr. Speaker: Hon. Members, there is somebody that should be recognized today as a special person. Sen. Richard Neufeld is with us today.

Oral Questions

GOVERNMENT ACTION ON GANG VIOLENCE

C. James: There was another gangland killing yesterday — more shootings, a woman dead, murdered in front of a four-year-old in broad daylight. Yet yesterday when we sat through the throne speech, there was not one mention of crime and gang violence. Maybe that's because a year ago in the 2008 throne speech, the Premier claimed he was on top of this problem.

Here's what the Premier promised one year ago, and I quote from the throne speech: "New actions" to "enforce and prosecute crime…enhanced policing" — tougher sentences, more prosecutions. Those were the promises one year ago. The reality as we stand here is 23 killings last year, 11 more this year alone — 34 gangland slayings since the Premier promised to clean up the problem.

My question is to the Premier. With his record of empty promises, why should the public trust him now?

Hon. J. van Dongen: I want to say, first of all, for the family of the woman who was shot with a four-year-old in her car, our condolences. I'm pleased that the family is cooperating with the police. I think that's always important.

I want to say to the Leader of the Opposition that our anti-crime and our anti–illegal gun violence agenda did not start yesterday. It did not even start last year. It has been going as long as we've been government.

Last Friday the Premier convened a press conference with a whole unprecedented number of players in the justice system. All levels of government were represented. Senior police officers were represented. Senior Crown was represented. We laid out the sum total of the crime agenda that we have been following, the anti-crime agenda we have been following, plus some additional new initiatives. The things that we worked on go back a number of years, including changes in the Criminal Code, more police officers, more prosecutors and more prisons.

Mr. Speaker: The Leader of the Opposition has a supplemental.

C. James: The only thing the Solicitor General said that I agree with is that one thing did go back years, and that's the empty promises from this government with no action to deal with gang violence.

It was in fact 16 months ago that we saw the Attorney General, the Solicitor General and the Premier stand with Lower Mainland police and politicians, and a year ago they promised to get tough on gangs. Well, I remind the Premier that since that round of promises, 34 more people have died.

The promises are empty. The record is one of failure. Again, I ask the Premier: what's changed, what's different, and what assurance can he give to British Columbians that their streets will be safe?

Hon. J. van Dongen: It's fine for the Leader of the Opposition to talk, but let's look at her record. Our government has put…

Interjections.

Mr. Speaker: Members.

Hon. J. van Dongen: …additional dollars into local government and given them the ticket-fine revenue to
[ Page 13762 ]
hire additional police officers. She voted against that. We put in place $128 million of additional money for provincial policing. She voted against that.

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If the Leader of the Opposition is truly sincere about supporting our anti-crime agenda, supporting an anti-crime agenda that's credible, she should decide where she stands on the Willingdon pretrial facility. She should decide where she stands and take a position on that. That, hon. Member, is what leadership is about — making the tough calls and doing what needs to be done in the face of NIMBYism, in the face of political opportunism. I call on you to make the call on that facility.

Interjections.

Mr. Speaker: Members.

Leader of the Opposition has a further supplemental.

C. James: The minister left out a number of statistics. Since 2004 the Campbell government cut $20 million out of public safety and policing services from the Solicitor General. In 2002 the Campbell government eliminated 15 Crown prosecutors….

Mr. Speaker: Member. I remind the member not to use personal names.

C. James: Sorry. My apologies, Mr. Speaker.

The government….

Interjections.

Mr. Speaker: Members. Members.

Continue, Member.

C. James: In 2002 the government eliminated 15 Crown prosecutors and reduced the Crown prosecutor budget by $5.5 million. How's that for standing up for crime from this government?

We heard today Canada's Public Safety Minister say that B.C. is now Canada's capital of gang violence. It's very clear that after eight years of talk and no action, this government has failed British Columbians who want their streets and the public safe.

My question once again to the Premier: after eight years of talk — absolutely no action — is he trying to fool British Columbians again? Why was he unwilling to even mention crime and safety in the throne speech yesterday?

Hon. J. van Dongen: I didn't hear the Leader of the Opposition take a position on the Willingdon pretrial centre. Which is it, Member? Which is it? Make the decision.

Interjections.

Mr. Speaker: Minister, just take your seat.

Interjections.

Mr. Speaker: Members

Continue, Minister.

Hon. J. van Dongen: If the Leader of the Opposition, again, wants to demonstrate leadership on the issue of criminal activity, she should phone up the leader of the NDP federally, Jack Layton, and get his support for the amendments that British Columbia and other provinces have been seeking in the Criminal Code. That's what the Leader of the Opposition should do.

Interjections.

Mr. Speaker: Members.

Hon. J. van Dongen: There are amendments in the Criminal Code that this government has been working on — the Attorney General and I have been working on — for years, but the opposition needs to support those amendments. Just so you know, maybe the Leader of the Opposition could phone Jack Layton. His phone number is 613-995-7224. The Leader of the Opposition should make the call.

Interjections.

Mr. Speaker: Just take your seat.

Interjections.

Mr. Speaker: Members. Members.

L. Krog: Well, perhaps I can quote one of Senator Neufeld's new Conservative colleagues. "Bill C-10, the mandatory penalties for gun crime — something that I know Canadians care about a great deal right now — was held up at committee for 252 days, and then all the relevant portions of it were gutted by the Liberals. We had to rely" — oh, listen, listen — "on the hon. members of…

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Interjections.

Mr. Speaker: Members.

L. Krog: …the NDP to restore those provisions."

For the edification of the members opposite, that was the Conservative House Leader, Peter Van Loan. It's in Hansard. The members can read it.

Interjections.
[ Page 13763 ]

Mr. Speaker: Members.

Question, Member.

L. Krog: Yesterday a mother was shot dead in front of her four-year-old son. That's what it has come to on our streets. We heard promise after promise. Nothing was done.

Mr. Speaker: Pose the question, please.

L. Krog: I will, hon. Speaker. The government's answer has been: "Don't talk about it." Yesterday in an hour-long throne speech we heard not one mention of gangland violence. So my question to the Premier is simply this. If this is so important to him, why did he fail to deliver on last year's promises?

Hon. J. van Dongen: As I said to the Leader of the Opposition, our agenda of fighting crime, fighting gun violence, didn't start yesterday. It didn't start last year. We confirmed on Friday 168 new police officers focusing specifically on organized crime and gun violence.

We confirmed ten additional prosecutors, specialized prosecutors, working with the original team of 16 prosecutors that we already had working with the police, pursuing charges — in addition to the 49 prosecutors we already had on organized crime. That's what we confirmed on Friday.

Thirdly, we confirmed a $185 million capital investment in new jail cells that the Leader of the Opposition is afraid to take a position on. We confirmed that, as well, in that announcement.

Mr. Speaker: The member has a supplemental.

L. Krog: You know what? Waiting for the bad guys to run out of bullets isn't a strategy. All we've heard from this government is empty promises. The only time this government responded on crime was when it became a high-profile, front-page, Global-TV-coverage story. That's the only time they paid any attention. For years this Premier and this Attorney General have refused to lift a finger to combat crime or the causes of crime.

So my question is quite simply this. Will this Premier admit his failure? Will he confess his Friday press conference was just a hasty political manoeuvre? And will he explain why there wasn't a single mention of public safety in an hour-long throne speech?

Hon. J. van Dongen: Our government, as I said, has had an aggressive, ongoing agenda of fighting crime, and I'll give this House some examples.

A prolific offender management program, a pilot program started in six communities — unprecedented in Canada. These programs are running in Kamloops, Nanaimo, Prince George, Surrey, Victoria and Williams Lake.

Mental health and addictions. We know that a lot of the offenders do exhibit mental health issues and addictions issues. We opened the new Burnaby Centre for Mental Health and Addictions — again the first of its kind in B.C. — which serves clients who have histories in that area. We've increased mental health funding over 35 percent since 2001.

Thirdly, community court. The Attorney General established a community court in Vancouver, the first of its kind in Canada, linking offenders not only to the justice system but also to services.

Finally, the Civil Forfeiture Act — progressive, proactive legislation to seize the proceeds of crime, such as vehicles and properties.

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MINIMUM WAGE

K. Conroy: Yesterday the Premier made it very clear. Minimum-wage workers in this province will not get a raise. They won't get a raise in the good times. They won't get a raise in the bad times.

To the Premier: if it's the wrong time to give B.C.'s lowest-paid workers a raise, why is it the right time to give himself, the Premier, a raise of $69,000 and bill it to the taxpayers? Can the Premier explain why he won't apply the same rules to his own wage?

Hon. I. Black: When our government was faced with the task in 2001 of achieving the long road back to prosperity for this province, we did so with a plan…

Interjections.

Mr. Speaker: Members.

Hon. I. Black: …the way that this government has approached most things — with a solid, attainable and measurable plan. We approached this problem by cutting taxes, first of all, by reducing the regulatory burden and encouraging the investment both within and outside of our borders.

The results speak for themselves. We have been enjoying the highest levels of employment in British Columbia in three generations. And at a time when the rest of the country is looking for areas of success, we have presented to them over 400,000 new jobs created in the last five and six years. We have pursued a strategy that has to do with maximum wages and maximum levels of employment, and that plan has worked.

Interjections.

Mr. Speaker: Members.

Member, would you retract that statement, please.
[ Page 13764 ]

An Hon. Member: I retract the statement, Mr. Speaker.

Mr. Speaker: The member has a supplemental.

K. Conroy: The results do speak for themselves in this province. A minimum-wage worker working 40 hours a week makes about $17,000 a year. That's below the poverty line. It wouldn't pay for a one-bedroom apartment in most towns in this province, let alone food, utilities, bus fare, child care — nothing that people need to live in this province.

The Premier's wage increase is worth more than the entire pay package of three minimum-wage workers in this province. Again to the Premier: why isn't he prepared to follow the same rules for minimum-wage workers that he has put on himself? Why is it okay for a $69,000 increase for himself and nothing for minimum-wage workers?

Hon. I. Black: In these uncertain economic times the people and small business community of British Columbia are looking to their government for stability. Imposing on small business, which accounts for over a million jobs — hundreds of thousands of small businesses in this province depend on us for that kind of leadership — a 25 percent increase in the cost of their payroll — that is not stability. It threatens the small business community of this province, it threatens the jobs of the most vulnerable British Columbians, and we will not endorse such a policy.

Interjections.

Mr. Speaker: Members.

GOVERNMENT SUPPORT
FOR LOGGING CONTRACTORS

C. Trevena: Ted Leroy Trucking is gone, Hayes Forest Services is gone, and Munns Lumber is gone. These are longtime Vancouver Island logging contractors forced out of business because of this government's inaction on the crisis in forestry — businesses that were the backbone of many Island communities.

These businessmen can't get EI or access to federal assistance. Their only option is bankruptcy. But there was no recognition of this collateral damage in the throne speech yesterday.

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If the minister truly believes that the forest sector will rebound, what's he doing to make sure we have a viable harvesting sector, and what specifically is he doing to help out these logging contractors?

Hon. P. Bell: You know, I worked in the forest industry, and I know how tough it is. I know how tough it is out in the sector right now. Mackenzie is part of my riding — a community that has been devastated as a result of the global economics and the challenges that have been faced in the forest sector.

Interjections.

Mr. Speaker: Continue, Minister.

Hon. P. Bell: The members opposite can catcall. This isn't the time for that. This is a very serious time in the forest sector. We've got to make good strategic decisions to make sure that we work collectively to resolve the challenges that are out there.

I spent the weekend in Mackenzie last weekend talking to millworkers on the ground. I toured the Worthington plant there, understood the issues and the challenges that they're facing.

We are building opportunities in a new sector — whether it's increased utilization, getting full extraction out of our biofuels, our bioenergy, cellulosic ethanol; or whether it's building the Chinese marketplace, a brand-new market for us, one we're making significant inroads in; or really building the non-residential marketplace.

This is not a time for us to divide and conquer. It's a time for us to work collaboratively to solve the issues in the forest sector.

Mr. Speaker: The member has a supplemental.

C. Trevena: We've known for many years how serious this issue is. I wish that the government had recognized it was serious before this present minister suddenly stepped in and said that he can see what's happening.

He said he worked in the logging industry. So did Jim Cox. It is "worked." The tense is a past tense, unfortunately. Cox logging was a mainstay in the north Island, and Jim's family firm had been there for many years. They had capital investment, and they had six full-time employees. They bought goods and services in their hometown of Port Hardy. They worked in Holberg and across the north Island. They used services in McNeill.

They faced hard times before, and they were able to bounce back, but this time, the second time, was too much. Jim said to me: "I'm going to be 60 this year. What am I going to do?"

I'd like to ask the Minister of Forests what he would say to Jim and Janie Cox and many other families who have been forced to leave their communities, forced off the Island to the Lower Mainland, forced to lose their businesses, go into bankruptcy, sell their homes and give up their lives in the communities. What could the minister tell them?

Hon. P. Bell: Again, this is not a time to be divided on this issue. We're working collaboratively with people
[ Page 13765 ]
in the logging associations across the province. We're working collaboratively with the key industry players, but more importantly, we're working collaboratively with the union workers, the folks that work on the front lines of the forest sector.

It's very easy for the members opposite to trivialize the actions that we're trying to take. Yesterday, in fact, we announced some pretty key initiatives. A brand-new wood innovation and design centre, something that's going to create a whole new market opportunity for our forest products in non-residential. We've put the most aggressive push into the Chinese marketplace that's ever transpired by any country anywhere, and it's starting to yield dividends.

What I'd really like to know is if these members are willing to join the team, make things happen on the ground in their own constituencies or whether they're going to continue to try and divide the workers from the management from the loggers.

B. Simpson: Here's what's happening on the ground now in forest-dependent communities. Over 20,000 millworkers have lost their jobs. This government failed, particularly the Premier, to get them the extensions to EI that they need. This government has not put one penny of provincial dollars into the community development trust.

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But today what we're talking about are the logging contractors, the trucking contractors, who are forced into bankruptcy because there is no support in the system for them whatsoever. The Minister of Labour just talked about the small business community looking to government for some stability. That's all they're looking for.

In the first fiscal update the minister must have seen a massive drop in the harvesting rates in the province, and as an old logging contractor himself, surely he must have went: "Uh-oh, there's a whole sector here that's going to be in trouble."

My question to the minister is this. What specifically are you going to do to prevent bankruptcies in the logging-contracting and trucking sectors?

Hon. P. Bell: You know, it seems that the member opposite is just totally bent on the electoral process and trying to take cheap electoral shots. What I'd be interested in knowing is….

Interjections.

Mr. Speaker: Members.

Hon. P. Bell: There've been 11 projects that have taken place in the member opposite's riding and the member for Cariboo South's that actually deal specifically with short-term job opportunities — a total of $1.3 million.

I guess what I'd be interested in knowing is: which of these projects does the member opposite actually disagree with? Is it the project for recreational site and trail enhancement that was $151,000? Was it the fuel management program in 100 Mile House for $548,000? Was it in Dog Creek and an ecosystem and range management enhancement project for $120,000? It's $1.3 million that we have delivered over a very short period of time to put people to work on the ground.

Mr. Speaker: The member has a supplemental.

B. Simpson: When harvesting activities are not occurring on the land base — we are talking about a massive drop in harvesting; we've already seen it on the coast; we are now experiencing it in the Interior — these independent business owners still have to make payment. A community development trust make-work project, as good as that project might be for a few people, does not address the fact they cannot make payment on their leases and the loans that they have. The banks in today's credit world have no patience for them.

My question to the minister is this. If he's truly concerned about the community, forest-dependent communities, will he at least intervene to find out what we can do to stop these bankruptcies? Because when the logging contractors go bankrupt, this minister must know, then the tire companies get hit and the fuel companies get hit. Waves of local businesses get hit, and it's just one wave after another of pain. Will the minister stop the pain? Will he intervene and help us to stop these bankruptcies?

Hon. P. Bell: You know, this member actually seems to take great joy in the global economic downturn that we're facing right now — toughest market ever in the world. Lumber prices at $130 a thousand board feet — that doesn't even come close to the raw log costs as the input for that product. I'm sure that member opposite understands that.

He clearly is not paying attention to some of the things that we are doing, because for the first time we're fully recovering the stands out there that we're harvesting. In fact, there are three different operations run by loggers — people like I used to be, working in the bush every single day — that are putting people to work, that are grinding log residues and taking them in and making value-added products like energy, like pellets. They're using them in the greenhouses in the Fraser Valley.

There are significant things going on out there that are creating jobs, that are helping support loggers. The community development trust is a key part of that. This member opposite needs to start paying attention to that stuff.
[ Page 13766 ]

VANCOUVER FAMILY LAW CLINIC

J. McGinn: My question is to the Attorney General. The Vancouver Family Law Clinic, run by Legal Services Society, is slated to be closed, effective April 30. For many women in crisis, this Family Law Clinic is their last resort. The Attorney General has said in the last number of months that he's concerned about people who need legal help getting the services that they need. Will the Attorney General prove this today by ensuring that the Family Law Clinic stays open?

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Hon. W. Oppal: The recent economic downturn has resulted in the Legal Services Society facing some unexpected financial difficulties. That has resulted primarily because the Notary Foundation has not funded the society to the extent that they had been funding it. The problem has been that some of the services have been postponed, and we are working with the Legal Services Society to ensure that the services that have been maintained in the past will continue to do so.

[End of question period.]

M. Sather: With leave, I present a petition.

Mr. Speaker: Proceed.

Petitions

M. Sather: Mr. Speaker, 2,300 hard copies and 1,756 Internet copies have been sent to government calling for the saving of the Albion Ferry. This petition, signed by 388 individuals, calls on government to do the same.

Tributes

Chris Trumpy

Hon. C. Hansen: Before I start into the formal portion of the budget presentation today, I would like to just take a moment and acknowledge the tremendous contribution that a particular individual has made not only to this budget this year but to many budgets in British Columbia and, indeed, in 30 years of public service to this province.

Chris Trumpy has served as a deputy minister not only in the Ministry of Finance but also in Revenue, Sustainable Resource Management, and Environment. I was very heartened, in the debate that we had last week, that there were members on all sides of the House that acknowledged his integrity, his professionalism and the 30 years of service that he's made to British Columbia.

Chris Trumpy has announced that he is going to be retiring effective March 31, and this is his last budget. So I hope that the House will join me in thanking Chris Trumpy for 30 years of superb service to this province. [Applause.]

Orders of the Day

Hon. C. Hansen: I move that this House at its next sitting resolve itself for this session into a committee to consider the supply to be granted to Her Majesty.

Motion approved.

ESTIMATES OF SUMS REQUIRED
FOR THE SERVICE OF THE PROVINCE

Hon. C. Hansen presented a message from His Honour the Lieutenant-Governor: Estimates of Sums Required for the Service of the Province for the fiscal year ending March 31, 2010, and a supplement to the estimates for the fiscal year ending March 31, 2010, recommending the same to the Legislative Assembly.

Hon. C. Hansen moved that the said message and the estimates accompanying the same be referred to the Committee of Supply.

Motion approved.

Hon. C. Hansen: Mr. Speaker, I move, seconded by the hon. Premier of British Columbia, that the Speaker do now leave the chair for the House to go into Committee of Supply.

Budget Debate

Hon. C. Hansen: Today I present Budget 2009, a budget that is all about stability and confidence. It builds on the strengths we have as a province to cushion the effects of the global economic crisis, recognizing how it is affecting all British Columbians.

All across this province, from the northwest to the Kootenays, from the Peace River region to Vancouver Island, people are concerned about what this crisis means. They're worried about paying their bills. They're worried about their retirement savings. They're worried about their children and the future of their families.

It all comes down to one word: confidence. Whether you're a young person just starting out, a parent saving for your children's education or an older person living on a pension, you want to feel confident that the income you rely on and the services that you need will be there for you.

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You want to feel confident so that you can move forward, and that's what this new budget is all about. It sets out a path not just for the year ahead but for many years to come, to make sure British Columbia's future is even brighter than its past.
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As the Premier announced two weeks ago, the budget includes a temporary deficit. Weighed against the risks to our economy, our communities and our future, it is quite simply the right thing to do. But I want to be clear that this is not the same kind of deficit that we saw seven years ago.

That was a long-term structural deficit, the kind that persists year after year even in times of strong economic growth. What we have for the next two years is a short-term deficit, one that results from a downturn in projected revenues, because in spite of our strengths as a province, we are not immune to the impacts of the world economic slowdown.

Since the fall we have seen almost every major economic indicator turn downward. Projected revenues have plummeted. Compared to what we were forecasting as recently as last September, we have seen more than $6 billion in expected revenue over three years simply vanish. Retail sales, housing starts and consumer confidence have all been affected, and economic growth has slowed to the point where we are now expecting the economy to shrink in 2009.

All indications are that we will see a recovery beginning in 2010. That's good news, but in fact, it's not much comfort to the people who are feeling the effects of the global recession right now. The people of this province are and always will be our greatest strength, so we need to make sure that they are taken care of as we move through a challenging economic period.

That is why we are taking immediate, decisive action with this budget to support and protect British Columbians and maintain their confidence, to make targeted investments that stimulate our economy and to move forward with long-term initiatives so we can make the most of the coming recovery and set the stage for a future of renewed growth, new prosperity and new opportunity.

Four months ago, when the breadth of the global economic slowdown first became apparent, the Premier announced a ten-point plan to help alleviate the impacts on families, communities and businesses. We accelerated a planned cut to personal income tax and made that 5 percent reduction retroactive to January of 2008.

This one move put more than $130 million back into the pockets of British Columbians each year. It also means that British Columbia now has the lowest personal income taxes of any province in Canada for individuals earning up to $116,000 a year.

The Premier's ten-point plan included steps to protect consumers as well. British Columbians now have unlimited deposit insurance protection in credit unions. RRSPs are protected from seizure by creditors, and work is underway to give every British Columbian the option of enrolling in a new registered pension plan.

The small business income tax was also reduced, effective last December 1, to 2.5 percent. This will save small businesses more than $120 million over three years. Another $60 million over three years will flow to businesses collecting the provincial sales and hotel tax on the province's behalf.

The industrial employers who are working hard to maintain jobs will benefit from a new property tax credit, saving them more than $115 million over three years. In total, the measures announced by the Premier provide more than $425 million in tax relief to support B.C. families, businesses and individuals over three years.

Today, as part of our revenue-neutral carbon tax plan, we are announcing more relief for industry. We will increase the industrial property tax credit from 50 percent to 60 percent starting in 2011. This will save sawmills, pulp mills, mines and other industrial employers an additional $11 million a year.

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With this budget, we are also taking steps to soften the blow of the economic slowdown. First, as the Premier announced two weeks ago, we are investing more than $14 billion in infrastructure projects that will take place in every region of the province, and $2 billion of this is cost-shared with the federal government for new projects that will be accelerated over the next three years.

Another $10.6 billion is for approved projects within the province's capital plan for the next three years, and $1.4 billion in local infrastructure projects are being built in partnership with local governments and the federal government.

These new and accelerated investments will generate as many as 88,000 jobs across B.C. and will build the assets we need to support future growth and development.

Of that $14 billion, there is $1.3 billion earmarked for schools, including renovations, new construction and seismic upgrades. There is $1.7 billion that will be invested over three years for projects in the post-secondary sector, $2.5 billion for health care facilities and $2.3 billion for transportation projects.

The benefits will start taking shape right away, and they will be in every region of the province. These projects will help thousands of British Columbians get through the global economic slowdown. They will help employers and workers and families and communities maintain a sense of stability, security and confidence, because every job counts.

This is a budget that is not just about creating jobs; it's also about building our future. We are still better off and better positioned to get through this crisis than just about any other jurisdiction on the continent. We have a strong record of prudent fiscal management and one of the most competitive tax regimes in North America. We have the strongest, most diversified economy in our history.

We've reached out across the Pacific. We've built new trade and investment relationships. We've paid down the province's operating debt by more than 50 percent from its peak, and because we've managed responsibly, B.C. has earned a triple-A credit rating, tied with Alberta for the best among Canadian provinces. These are all assets that we can leverage for the future, and we are doing exactly that.
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We're protecting the services that British Columbians need and rely on every day. That includes making new investments in health care and education, as we have done every year since 2001. Funding for the Ministry of Health Services will increase by $4.8 billion over three years. That is approximately 90 percent of all new spending in our three-year plan.

It includes $13 million to establish a new B.C. family residence program. This program will provide additional assistance for those British Columbians and their families who have to leave their home communities to get the care they need.

By 2011 total provincial spending on health will be $17.5 billion, an increase of 66 percent since 2001; $40 million will be used to expand health education to meet the demand for nurses and other health professionals, and $23 million will fulfil the province's funding commitment to train more physicians.

Post-secondary institutions will receive an additional $228 million over three years, with $165 million targeted to make higher education more accessible. In the K-to-12 education system per-pupil funding will increase to $8,242, the highest ever in the province's history. As was noted at both the recent B.C. economic summits, education is more important than ever in an economic downturn, so these are critical investments to our future.

So are investments in community safety. With this budget, we are supporting the comprehensive plan that the Premier announced last week to combat gang and gun violence with more police, more prosecutors, more jails and more secure courts.

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Budget 2009 also enhances our support for those in need, investing nearly $300 million over three years in vital social services. That includes $110 million in new funding for income assistance, $73 million in additional funding for programs and services for adults with developmental disabilities and their families, $43 million in additional funding for families and for children in care, $38 million in new funding for children with special needs and $25 million more for child care subsidies.

Beginning in 2011 we will also increase the low-income climate action tax credit by 10 percent, and this new benefit will put another $15 million a year back in the pockets of families and individuals who need it the most. That is in addition to the $146 million a year that is provided by that credit now.

Going forward, we will provide more tax relief for homeowners too. As the Premier announced in November, we have created a temporary two-year property tax deferment program. It allows people hard hit by the economic downturn to defer their property tax payment for each of the next two years. That will help in the short term.

However, we recognize the need for more assistance in northern and rural areas. People there are feeling the impacts of the downturn in our economic sectors, and we want to provide them with a sense of stability. Today we are announcing a new northern and rural homeowner benefit funded by the revenue-neutral carbon tax. With this benefit, starting in 2011 when the temporary tax deferment program expires, northern and rural homeowners will see an increase in their homeowner grant of $200 per year.

These are targeted expenditures, and they will help ensure that the current economic crisis does not have a disproportionate impact on those least able to withstand it. Families struggling to make ends meet, people with disabilities, children with special needs — they are our priority, and we have worked hard to ensure that there is room in the budget to support them.

This year, with commodity prices and the forest sector down to their lowest levels since the 1970s and revenues off dramatically from what we were expecting before the global meltdown, we faced a real challenge in protecting vital programs in health care, education and social services. Just as many families and businesses are doing, we looked for ways to cut discretionary spending, because as a government we have an obligation to make the best possible use of the taxpayers' hard-earned dollars.

Back in October the Premier directed every ministry to closely review all operations and all aspects of their operations and identify areas where costs could be reduced without undermining important public services. As a result of that review, we are moving now to dramatically reduce all types of discretionary spending across the public sector. This includes, for example, a 76 percent reduction in the budget for advertising and publications, a 22 percent reduction in travel expenses and a 23 percent reduction in the cost of contracted professional services.

We are also reducing by 20 percent the number of senior executives in government, and in total, all of these efficiencies result in savings of $1.9 billion over three years, all of which is being reinvested in public services. We will conduct a further review of programs over the next two years to find additional efficiencies as part of our commitment to return to a balanced budget by 2011.

Spending will be held in check in each of the next two years, and as the economy picks up steam, revenues will recover. To help ensure that that happens, Budget 2009 includes a series of targeted investments starting with action to address our labour market needs.

As I have travelled across B.C. over the past few months, employers have told me that the shortages of skilled workers are still among their biggest concerns. So we are moving forward with a labour market strategy to meet both our short-term and long-term needs. In the coming year the Industry Training Authority will
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provide an additional 2,000 apprenticeship training spaces, and we will invest more to break down barriers for new Canadians so they can participate fully in our workforce.

Immigrants have always been vital to our labour force, and proven programs like the Skills Connect program help ensure that they can put their skills, experience and training to use. With this budget, we are providing $16 million over three years to support these programs.

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We are also making targeted investments in key economic areas to maintain stability and confidence for B.C. families. Mining and mineral exploration is a sector with enormous potential. It provides good jobs and offers a range of new opportunities, especially in our rural areas.

Just a few weeks ago our geological survey branch discovered significant gold, silver and copper deposits in parts of the Interior that had not been explored before. When commodity prices recover, mining and mineral exploration will make an even greater economic contribution. We're moving now to enhance the environment for growth in this important sector.

Budget 2009 extends for another year the B.C. mining flow-through tax credit, which provides a non-refundable tax credit to individuals, encouraging them to invest in B.C. mining and mineral companies. Combined with the corresponding federal tax credits, this incentive reduces the cost of a $1,000 investment by more than $600. It has already made a big difference for the industry. Since the credit was introduced, investment in mining exploration in B.C. has increased by an astounding 1,200 percent.

The energy sector is another leading light in our increasingly diversified economy. In 2008, sales of oil and gas rights reached a record high of over $2.6 billion, with thousands of people employed in that sector. We have new independent power projects currently in progress all over British Columbia, which today employ over 1,100 workers.

Recognizing that when the North American economy recovers, energy demand is likely to climb again, Budget 2009 invests $110 million over three years to encourage further growth and development in the energy sector. This includes $6 million for strategic development of the shale and tight gas resources in the northeast.

It includes $10 million for the northwest hydro transmission line along Highway 37. This is a $400 million project in partnership with the private sector that could stimulate thousands of jobs and billions of dollars' worth of economic activity. It also includes $94 million for the oil and gas rural road improvement program.

As the Premier announced in October, we are also accelerating spending on resource road maintenance. We have committed $5 million in the fiscal year just ending and a further $15 million for the year ahead. This will help ensure that companies have access to timber and other resources.

In forestry the government is moving ahead with a series of initiatives announced last month to encourage industry growth and diversification, to further support our forest workers and to expand the use of B.C. wood in construction.

We've lowered coastal stumpage rate by more than 70 percent to reflect current market realities. We also continue to offer assistance through the community development trust, which was established in 2008 to support forest workers, their families and their communities. We will work to maintain the program's success and to extend its benefits to workers in other resource industries.

With this budget we are also providing new support for the agriculture sector. Farmers are a critical part of not just our economy but also our way of life in B.C. They have been buffeted by changes in the world global economy for quite some time. Recognizing the pressures they are under, government is moving to reduce their taxes.

Budget 2009 introduces a school property tax reduction of 50 percent for all farmland starting in the 2011 tax year. We are also committing up to $177 million by 2012 to continue the Growing Forward agreements on agriculture, which is cost-shared with the federal government. It provides support through a variety of programs, including crop insurance and farm income stabilization, to help make life a bit easier for those we rely on to feed our families.

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We are also committing to working with the B.C. agriculture sector on the future application of provincial sales tax, with a goal of continuing to streamline, simplify and improve the efficiency of the tax code.

Agriculture, forestry, energy, mining — these are all important parts of the B.C. economy, providing jobs that support and sustain countless families and communities.

In recent years as we have worked to diversify our economy, we have also seen a major rise in the film and television sector. This sector now provides an estimated 35,000 jobs and generates production spending of approximately a billion dollars every year. To help keep that momentum going, Budget 2009 removes the expiry dates for film tax credits, which have played a key role in that industry's growth. This move will offer greater certainty for companies and reinforce the message that B.C. is open for business.

We are also extending eligibility for domestic film tax credits to include Canadian-controlled companies rather than restricting it to B.C.-controlled firms. This will make it easier for companies here to access other markets and to raise capital from outside the province.

TV and film are just one part of the vibrant arts and culture community that thrives in every part of this
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province, from the smallest towns to the biggest cities. It delivers benefits that we can count, like jobs, but its value to our province is even greater. Our artists, our performers and the people who support them — the volunteers, the sponsors, the suppliers, the umbrella groups — help to shape our vision of who we are. They bring to life the concept of culture, and just as important, they bring us together, entertain us, intrigue us and challenge us intellectually.

With this budget we are injecting $15 million in strategic one-time grants to support arts and culture and for the conservation of the province's historic places. We are also continuing our work with the sector to encourage partnerships and programs that enhance the contribution of arts and culture to our communities. That includes supporting the Cultural Olympiad, which right now, this week, is showcasing some of the best performers and artists in our province as part of the countdown to the 2010 Olympic and Paralympic Winter Games.

Together these initiatives in mining, energy, agriculture, forestry, and arts and culture will translate into jobs and economic activity, as will the dollars we are investing in infrastructure. These investments will help to get our province through the year ahead, when it appears we will see the worst of the economic downturn.

For 2009 we are forecasting economic growth of minus 0.9 percent, climbing back to 2.4 percent in 2010 and 2.6 percent in each of the following years. These are, as always, prudent estimates which are lower than those put forward by the Economic Forecast Council.

Revenues, which fell dramatically in recent months, are forecast to recover somewhat in the year ahead to $38.8 billion, and we are expecting, by the end of the coming fiscal year, to see a deficit of $495 million. In 2010-2011 we are forecasting that this deficit will drop to $240 million, and we will return to a balanced budget by 2012.

To make sure that we meet that goal, we intend to hold the line on public sector wages. We will respect existing agreements, and we will take steps to mitigate the impacts of spending cuts on public sector workers. But in the current economic climate we do not have the additional room in the budget to increase wages.

We're going to borrow more to finance infrastructure spending and to foster future growth and to keep British Columbians working through the downturn. Over the next three years our taxpayer-supported debt-to-GDP ratio will climb to 15.8 percent, and that is still among the lowest in the country. It is also 26 percent lower than the debt burden B.C. faced in 2002, when we also had a deficit but one which was a magnitude of more than $4 billion.

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Mr. Speaker, we eliminated that deficit in just three years, and today we are once again determined to get this province back in the black. Economic projections change over time, but even as the economic downturn has worsened in the past few months, leading economists continue to forecast an upturn in B.C.'s growth in 2010. With this budget, we are moving now to ensure that when we do see that upswing, we are prepared to take full advantage of four key opportunities to set our province on an even stronger course for the future.

First, we will continue to invest in our potential to be a leader in the new green economy. As the global financial situation improves, there will be renewed demand for clean energy, new technologies and new ideas. Budget 2008 invested more than $1 billion in a wide range of climate action initiatives, including the B.C. bioenergy strategy, which not only paves the way for a greener future but also provides new opportunities for rural and resource-based communities.

Budget 2009 builds on those investments and the climate action agenda. It will provide $75 million to extend for another three years the innovative clean energy fund. It provides $15 million over four years to completely offset the cost of the carbon tax for local governments that commit to becoming carbon-neutral by 2012.

There is $11 million over four years for Trees for Tomorrow, our program to plant four million trees in school yards, hospital grounds, civic parks and other public places, and there is $7.5 million over four years to complete B.C.'s portion of the hydrogen highway, a continuous network of fuelling stations all the way from B.C. to southern California.

We are also introducing a motor fuel tax exemption for hydrogen, putting it on the same footing as other alternative fuels and extending to 2011 the PST exemptions on energy-efficient windows, doors and heating systems, and on technologies that make commercial trucks more fuel efficient.

We will continue to create an environment where greener choices and cleaner technologies make good economic sense and help to build the low carbon economy of the future.

The second initiative that we're moving forward on is with our Asia-Pacific gateway strategy. Asian economies are, of course, feeling the impact of the worldwide slowdown, but they, too, are expected to rebound in 2010. We have a huge geographic advantage in not only being a reliable supplier but also being the facilitator of commerce between North America and the Asia-Pacific economies.

We have opened trade and investment offices in Shanghai, Tokyo and Seoul, and just last week in Beijing and in Guangzhou. We will continue to upgrade our ports, enhance our transportation networks, build new relationships and win new markets to make B.C. an unmatched destination of choice for business, culture, tourism, work, education and opportunity.

Third, we will build on our efforts to establish our province as one of the best locations in the world from
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which to conduct international business. We've been working hard to attract foreign banks, life sciences companies and other international businesses that generate highly skilled, high-paying jobs, and we see huge untapped potential there.

We have a lot to offer these firms. Let me just give you one real-life example. Just recently, February 6, one of Hong Kong's biggest investment banks opened a new international head office in Vancouver. They had planned to locate that new office in New York City, but they came here instead because of our people. To quote the company's managing director of international business: "Vancouver has such a depth of English-Mandarin speakers who have degrees in finance and accounting designation, which is really what we need."

That's the message we're sending to businesses around the world: B.C. has exactly what you need to successfully conduct international business. We have the people, the diversity, the skills, the relationships, the quality of life, the access to markets, the tax advantages — everything you need. We are going to work even harder to get that message out.

In the year ahead we will also review the international financial activity program, which provides incentives to international businesses to make our province even more attractive to investors.

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Finally, with this budget we are acting to ensure we make the most of all the opportunities that will be flowing as a result of us hosting the world in 2010. Over the next year VANOC will be investing more than $3 million a day in our economy. Those dollars are mostly from ticket sales, broadcast rights and sponsorship agreements.

Local companies are also being boosted by our winter games preparation. For example, construction of the bobsled and luge runs at Whistler created 680 jobs, and that is only one of a long list of projects that are now underway or recently completed as part of the province's Olympic legacy.

The total economic impact, once the games are done, has been projected by independent sources to be as much as $10 billion. Those dollars translate into jobs and opportunity not just today or in 2010 but for many years to come. We are going to show the world that British Columbia is indeed the best place on earth.

Some 10,000 journalists will come here to support and report on and showcase British Columbia. Through our B.C. stories program they will share iconic images of this great province with three billion television viewers from around the world.

Some 250,000 visitors will take home stories and photos and memories, making this quite literally a once-in-a-lifetime opportunity to demonstrate what we have to offer for families, for businesses, for industry, for entrepreneurs and of course for visitors. Dollar for dollar, the Olympic Games may be the best investment we will ever make in our province, in our people and for future generations.

There is no question that the last five months have been difficult, and the coming months will be just as challenging. But I have every confidence that B.C. is well positioned not only for recovery but for a whole new stage of growth. Some may say that it's too optimistic, but history indicates otherwise. B.C. has been through tough times before, and each time we've risen to the challenge, and each time we've emerged stronger.

Look at what happened in the 1990s. While the rest of North America was enjoying economic growth, our province was in a downhill spiral. By the end of that decade growth had declined, and the deficit had soared. Consumer and business confidence had plummeted. Investment in our province had all but dried up, and people were leaving B.C. by the thousands.

In 2002, when this government tabled its first full budget, we were facing a structural deficit of over $4 billion, the consequence of year after year of government spending outpacing revenues. That's what we were up against in 2002, and critics said we would never get back to a balanced budget in just one term. But we had a plan. We knew exactly what we had to do, and by 2005 we had moved from deficit to surplus budgets.

There were some who criticized us. Some people said we should spend more, but we continued with our prudent approach. Instead of committing to new spending, we used surpluses to pay down the operating debt and to make key investments in key priority areas.

For example, since 2005 our province has invested $100 million in a first nations new relationship trust, $250 million in a housing endowment fund and more than $500 million in additional supports for children. We also made the single-largest one-year debt payment in B.C.'s history — $1.9 billion — in 2005.

We've been prudent. We've managed responsibly. We've worked with British Columbians to build a strong, vibrant economy, to provide support for families and communities and to create an environment where businesses and investment can thrive. Now, thanks to all that effort, we are in a good position. We can leverage our advantages to re-energize our economy, to support families and communities and to make sure that help is there for those who need it most.

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We can make immediate and dramatic investments in our infrastructure that would help keep people working and position ourselves for future growth. We will have new schools, expanded health facilities, more social housing, better roads and bridges, more skilled workers and more opportunities than ever before.

We will continue to have one of the most competitive tax rates in North America, along with a more diversified economy and a quality of life that is second to none.
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We will return to surplus budgets, pay down our debt and continue to build our sound economic and fiscal footing.

After the 2010 Olympic and Paralympic Winter Games we will be a destination for thousands of people from all around the globe who, until 2010, might not have known what British Columbia had to offer. They are going to come here to work, to visit, to invest and to build new partnerships, because they are going to see what I saw at the economic summits the province organized earlier this month.

When I walked into rooms full of people concerned about our economy, there were business people, educators, parents, volunteers, people who run not-for-profit agencies. Given the state of the world economy, I would have not been the least bit surprised if the mood in the room had been dark.

It wasn't. In fact, it was the exact opposite. In both Prince George and Vancouver the mood of the summit was "let's get to work." People were keen to share, to learn about emerging opportunities. They had a sense of confidence about B.C.'s future, and they were ready to roll up their sleeves and do what it takes to build our economy.

That, Mr. Speaker, is what this province is really all about. It's a place where people face their challenges head-on, where they work hard and where they know that together we can build a future of boundless opportunity. Our people have the talent, the resources and the strength. They have the ingenuity, the drive and the courage. As we move forward, they have confidence — confidence that we can get through the tough times; confidence that those in need of assistance will get it; and confidence that B.C. is on the right track, building a future that will make our children and grandchildren proud.

B. Ralston: Mr. Speaker, I must say I'm disappointed. Families are feeling the crunch, and they deserve so much more from their government. This budget must be seen for what it is — a document written on the eve of an election by a government trying to hang onto power, from a Premier who has no intention of fulfilling his promises, no intention of protecting vital public services.

To get beyond the rhetoric, we need only look at what will happen once the election is over should the people return this government to power.

Three years ago the government brought in a children's budget. They said they were going to put children first, increase the number of social workers. But this budget is a repudiation of those empty promises. They're going to cut services for kids. Children in B.C. will relive the experience of 2002 as if the Premier had learned nothing.

This from a Premier who said: "Literally all of what I tried to do in public life is about children." Anyone who still believes that statement this afternoon will surely have to admit that today's budget shows how far from the truth it actually is.

Let's look at first nations. The government service plan claims they will be increasing the number of treaties they plan to negotiate, but they're not telling the truth to first nations. The Premier is cutting the budget for aboriginal affairs by 20 percent and cutting the budget for negotiations by 20 percent.

The Premier was on television last Friday, saying he was eventually going to take action to curb the epidemic of rising gang violence on our streets, and indeed there was another shooting, this time in Vancouver, just today. But then he presents a budget today that cuts our ability to prosecute violent criminals to keep our streets safe — cuts to court services, prosecution services and justice services.

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Government claim they're going to protect education, but it's just not believable when you look at the books. Here's just one example. At precisely the time we should be making post-secondary education accessible for all students, the government is freezing the budget for student aid.

The Olympics. The Minister of Finance has repeatedly said that the budget will reveal the real cost of the provincial contribution to Olympic security. It does not.

The government says that they'll protect health care, but they didn't do that in good times. We dropped from second to seventh in per-capita health care spending, leading to overcrowded emergency rooms and deplorable conditions for our seniors. Now the government is clawing back money from health authorities to help them get through the election budget. Two of the health authorities are already running deficits, which will lead to more cuts and crowded emergency rooms after the election. There's nothing in this budget to address the crisis in seniors care.

Well, I guess there is one thing in the budget for working families. They plan to triple the gas tax in two years, after the election, hitting British Columbians in the pocketbook at the very time we can least afford it.

I suppose we should have expected this. It's an election budget, pure and simple — more empty promises from a government that can't be trusted. In 2001 they campaigned on the same promises they're making now to protect health and education. Then once the election was over the Premier showed his true colours and handed out huge tax breaks to his wealthy friends — tax breaks that were paid for by everyday British Columbians, as vital public services were slashed across the board.

The price was high: vicious cuts to services for vulnerable children, closed schools and overcrowded classrooms, thousands more people forced to sleep on our streets, seniors separated from the ones they love, increased fees for everything from medical services premiums to hydro to ferry fares. The list goes on and on.
[ Page 13773 ]

Eight years later the Premier still can't be trusted to put the priorities of everyday families first. His record over the last few months makes that crystal-clear. Last fall, as experts around the world were warning that an economic downturn was on the horizon, the Premier refused to face reality. Even as families were already beginning to struggle to make ends meet, the Premier continued to squander their hard-earned money, spending millions and millions on self-serving advertising campaigns.

Only days after making his feel-good economic statement, he proved how out of touch he is with the reality facing B.C. families when he announced $365 million for a fancy new roof for B.C. Place.

Now once again the Premier is trying to change his tune right before an election. All of a sudden he expects British Columbians to believe that he's changed, but it's just not credible. When commodity prices were high and natural resource revenues flooded the province's coffers, the Premier did nothing to address B.C.'s shameful record as the province with the worst child poverty in Canada five years running.

He did nothing as 20,000 forestry workers lost their jobs since 2007 alone, throwing communities across the province into crisis. And there's nothing in today's budget for rural communities. Six years after the Premier said he cared about the heartlands he's cutting the programs that support forest workers, farmers and tourism.

He did nothing as gang violence in our streets climbed to epidemic proportions, only coming to the table two years late with a hastily cobbled-together plan but, as we've seen in today's budget, not the resources needed to keep our communities safe.

The Premier had other priorities: a massive boost in pay for himself and his top advisers, and hundreds of millions of dollars for cost overruns on pet projects like the Vancouver Convention Centre.

If the Premier didn't put everyday families' priorities first when the money was flowing in, why should anyone believe that he will do so now? We've heard it all before from this government. They're high on rhetoric, but the follow-through is never there.

In my time in this House they brought in a children's budget that did nothing for the hundreds of thousands of children living in poverty in British Columbia, a housing budget that didn't build a single unit of affordable housing and the so-called green budget that was anything but. A year later the Premier has already punted climate change from his office even while he continues to promote coastal drilling.

You couldn't trust them then, and you can't trust them now. That's why in three months' time we'll be the ones sitting on that side of the House.

Interjections.

Mr. Speaker: Members.

B. Ralston: British Columbians have had enough of the Premier's arrogance and neglect. They've had enough of his broken promises. In these tough economic times British Columbians are looking for leadership that focuses on their priorities.

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They're not getting that from this government, from this Premier. That's why in British Columbia it's time for a change.

Mr. Speaker, I will have much more to say about this budget tomorrow. In the meantime I move adjournment of the debate.

B. Ralston moved adjournment of debate.

Motion approved.

Introduction and First Reading of Bills

BUDGET MEASURES
IMPLEMENTATION ACT, 2009

Hon. C. Hansen presented a message from His Honour the Lieutenant-Governor: a bill intituled Budget Measures Implementation Act, 2009.

Hon. C. Hansen: Bill 2, the Budget Measures Implementation Act, 2009, is integral to the measures announced in Budget 2009. It increases the balance in the B.C. Timber Sales special accounts so that the operations of the account can continue during this period of economic slowdown.

It amends the Financial Administration Act to move the appropriation for capital funding from prepaid capital advances to a vote within other appropriations for greater transparency and accountability, and it amends the Land Title Act to re-establish an exemption for government ministries from fees and services provided by the Land Title and Survey Authority.

Bill 2 also amends the Balanced Budget and Ministerial Accountability Act to reflect the windup of the former Ministry of Small Business and Revenue and makes minor amendments to the Budget Transparency and Accountability Act, the Special Accounts Appropriation and Control Act and the Land Tax Deferment Act to facilitate administration of those statutes and proper accounting of their related transactions.

Bill 2 also implements a number of tax measures announced in the budget today. Changes to the Income Tax Act fulfil government's commitment to reduce the corporate income tax rate to 10 percent by 2011, the lowest provincial corporate income tax rate in Canada.
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Other changes to the Income Tax Act include removing the expiry dates for the film tax credit, expanding eligibility for the Film Incentive B.C. tax grant, extending the mineral flow-through share tax credit to the end of 2009, reducing the dividend tax credit beginning in 2010 to reflect the reduction in the small business corporate income tax rate, and ensuring that income from a registered disability savings plan does not affect eligibility for the B.C. sales tax credit for low-income British Columbians.

The Motor Fuel Tax Act is amended to include hydrogen in the definition of fuel so that it is classified as an alternative motor fuel and exempt from tax.

Bill 2 also includes minor amendments to the Social Service Tax Act, Corporation Capital Tax Act and the International Financial Activity Act to provide clarity and simplify administration.

Bill 2, finally, amends the Tobacco Tax Act to increase the tax rate for cigarettes from 17.9 cents to 18.5 cents effective February 18, 2009.

I move first reading of Bill 2, Budget Measures Implementation Act, 2009.

Motion approved.

Hon. C. Hansen: I move that the said bill be placed on the orders of the day for second reading at the next sitting of the House after today.

Bill 2 introduced, read a first time and ordered to be placed on orders of the day for second reading at the next sitting of the House after today.

Tabling Documents

Hon. C. Hansen: I have the pleasure to rise and table the 2009-10 to 2011-12 Budget and Fiscal Plan, which fulfils our requirement of section 7 of the Budget Transparency and Accountability Act. I also table, on behalf of the ministers responsible, the government's overall strategic plan and service plans required under the Budget Transparency Act.

These two packages I have given to the Clerk. The first package contains service plans for the office of the Premier, 18 ministries and one related organization. The second package contains service plans for 29 Crown agencies. The second package also includes a list of organizations that have been exempted from section 13, service plans of the Budget Transparency and Accountability Act, and for which service plans are not being filed.

In addition, to meet the requirements of the Budget Transparency and Accountability Act, the second package identifies four organizations that are receiving or losing exempt status, together with the reasons for these changes.

Finally, this section identifies an organization that has been added to the government reporting entity by regulation, with an explanation for this addition.

Hon. M. de Jong moved adjournment of the House.

Motion approved.

Mr. Speaker: This House stands adjourned until 1:30 tomorrow afternoon.

The House adjourned at 3:15 p.m.

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