Third Session, 41st Parliament (2018)

OFFICIAL REPORT
OF DEBATES

(HANSARD)

Thursday, April 19, 2018

Morning Sitting

Issue No. 119

ISSN 1499-2175

The HTML transcript is provided for informational purposes only.
The PDF transcript remains the official digital version.


CONTENTS

Routine Business

Introductions by Members

Introduction and First Reading of Bills

S. Furstenau

Statements (Standing Order 25B)

I. Paton

R. Singh

J. Yap

A. Kang

A. Olsen

S. Chandra Herbert

Oral Questions

J. Johal

Hon. C. James

P. Milobar

Hon. G. Heyman

A. Weaver

Hon. G. Heyman

M. Lee

Hon. D. Eby

J. Martin

M. Stilwell

J. Sturdy

C. Oakes

J. Isaacs

Standing Order 35

M. de Jong

Hon. M. Farnworth

A. Weaver

Orders of the Day

Committee of the Whole House

S. Bond

Hon. B. Ralston

T. Redies

Report and Third Reading of Bills

Proceedings in the Douglas Fir Room

Committee of Supply

Hon. K. Conroy

L. Throness

Hon. K. Chen


THURSDAY, APRIL 19, 2018

The House met at 10:05 a.m.

[Mr. Speaker in the chair.]

Routine Business

Prayers.

Introductions by Members

Hon. M. Mark: In the gallery today, we’re joined by a number of technology leaders who hosted an amazing breakfast for us, all members of the chamber. We had a great dialogue about how they’re advancing work in technology, as technicians and leaders throughout the province, making our communities safe and advancing STEM — science, technology, engineering and math.

I’d like to welcome Sid Siddiqui; M.J. Whitemarsh; Paul Dangerfield, from Capilano University; Allen Bruce; Roslyn Kunin; Steve Cardwell; Chris Atchison; and Theresa McCurry, who is now the new boss in town.

I’d like to acknowledge the work of John at ASTTBC for the last 44 years, and I would like to welcome the leadership of Theresa and her team — Trent Reid, Sarah Campden and David Sparanese.

Thank you for being here. Thank you for hosting the dialogue today, and keep shining throughout B.C. Haawa.

S. Sullivan: We have some very special guests. We are joined by Lorna Morrison, who won the Woman of the Year in the north for leadership and has spent her life working on Aboriginal health.

Ron Townley, who is an entrepreneur and business person, has probably done every trade and business in the north. He’s living here now, and I’m told he has very few creditors.

We also have Vickie Jensen, author. She is writing a book right now about the burgeoning submarine industry in British Columbia, one of the hotbeds of submarine technology in the world.

We also have with us Jay Powell, who has spent his life on reviving and revitalizing Aboriginal languages. He has 12 languages that he has developed resource material for, and he’s the only speaker of Chinook jargon, the old trade language, Chinook Wawa. I’d ask the House to greet him with klahowya. Klahowya.

R. Kahlon: It’s my pleasure today to welcome here the National Association of Japanese Canadians. I look forward to meeting them shortly after question period.

We have with us the president of the national association, David Mitsui. We have the vice-president, Lorene Oikawa. We have board director Eiko Eby from Nanaimo. We have George Uyeda from Kamloops. We have Tsugio Kurushima from Victoria and Rick Ogasawara from Vernon. Would the House please make them welcome.

J. Routledge: Well, any second now, the first of four groups of social studies students from Burnaby North Secondary are going to be walking into the gallery to experience the Legislature in action. When they join us, I hope you will join me in giving them a big welcome.

[10:10 a.m.]

P. Milobar: In the House today, we have several representatives from an important employer in Kamloops, Domtar. We have Jean-Claude Allaire, the Kamloops mill manager; Kristin Dangelmaier, the environment manager; Merl Fichtner, the fibre procurement manager; Debbie Kirkpatrick, the human resources manager; Bonny Skene, the regional public affairs manager. As well, we have Unifor representatives Mark Cameron, the national representative; Rene Pellerin, president of Unifor Local 10B; and Bob Stephens, president, Unifor Local 10B. Will the House please make them welcome.

E. Ross: There are two people already introduced in this House, but there’s a personal connection with myself to these two people in particular.

Lorna Morrison was actually the health director for my band for a few years before she got promoted to be the band manager. The thing about Lorna Morrison is that she’s a doer; she’s not a talker. She renovated our soccer shack and renovated our soccer field. She built our council office. She built our fire hall. She built our public works building. And she did it in a short period of time. Our people owe her a debt of gratitude for her short service to our community. It’s still being recognized and used today. Thank you, Lorna Morrison.

Jay Powell probably worked at my band office longer than I did, longer than other people I remember. I developed a great relationship with him. He understood more about culture and language than I ever could in any lifetime.

Thank you to both these guests in the House. To the House, please make them feel welcome again.

Hon. A. Dix: Today at noon in the Hall of Honour, the B.C. and Yukon Heart and Stroke Foundation and the B.C. emergency health services will be hosting an awareness and teaching event to promote learning CPR and how to use an AED. We’ll all be tested a little bit on that.

Here to help with today’s events are members from the Ambulance Paramedics of B.C., CUPE Local 873. They’re joining us in the gallery. I’d like to introduce Ellen Cheatley, Candace Kennedy, Bruce Honeyman, Kevin Lambert, Cameron Bradley and Lance Stephenson, who may or may not also play for the Indiana Pacers. I’m not sure.

We’re obviously grateful for the extraordinary work that ambulance paramedics do for all of us every day. I wish everyone in the House to make our guests welcome.

Introduction and
First Reading of Bills

BILL M212 — ENVIRONMENTAL MANAGEMENT
AMENDMENT ACT, 2018

S. Furstenau presented a bill intituled Environmental Management Amendment Act, 2018.

S. Furstenau: Today I move that a bill intituled the Environmental Management Amendment Act, 2018, of which notice has been given, be introduced and read a first time now.

The bill I am introducing today amends the Environmental Management Act. The intention is to ensure protection of drinking water by disallowing the deposit of waste materials in a sand or gravel pit, in a limestone or sandstone quarry or above a highly sensitive aquifer. Quarries and gravel pits are porous, which means there could be significant risk of groundwater contamination from waste deposited.

On Vancouver Island, there are two examples where this practice has caused great concern. In Shawnigan, residents remain anxious about water contamination from a quarry used for landfill and contaminated soil. The permit has been revoked, but the waste remains at the headwater of Shawnigan’s drinking watershed, and it must be removed. In Campbell River, the community has grave concerns about a quarry being granted a permit to deposit waste. The quarry is adjacent to Rico Lake, which drains into McIvor Lake, the town’s drinking water.

Protecting drinking water needs to be a government’s highest priority. This amendment to the Environmental Management Act will help us take steps towards this goal.

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

Motion approved.

S. Furstenau: I move that the bill be placed on the orders of the day for second reading at the next sitting of the House after today.

Bill M212, Environmental Management Amendment Act, 2018, 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.

Statements
(Standing Order 25B)

FARM ROOTS SCHOOL PROGRAM IN DELTA

I. Paton: I think we’ve all heard of specialty academies in our high schools — everything from hockey academies to lacrosse, baseball, theatre, opera and dance. A few years ago the bright idea of an agriculture academy was forwarded by a group of Delta teachers who partnered with some local farmers and secured an empty elementary school in Tsawwassen and an unused acre of land next door. I was delighted to help this program get started with fundraising advice and even cow manure.

Earlier this month the Delta Farm Roots school program received the 2017 Ken Spencer Award for innovation in teaching and learning.

[10:15 a.m.]

This award recognizes hidden gems across Canada that produce creative and innovative approaches that empower and excite previously disengaged youth. It places a distinct emphasis on encouraging change in schools and raising the profile of classroom innovation.

The program itself teaches students the essentials of building and running a sustainable farm, drawing in students from across Delta. Students spend every second day at the mini-school campus in Boundary Bay, alternating with their regular high school. They combine their normal studies with planting, harvesting, business education, marketing and environmental science and are able to gain hands-on work experience and design their own research projects.

The program is highly individualized and flexible, and throughout the program, students develop deeper relationships with their communities and with local agriculture businesses. These relationships, in turn, expose students to a plethora of career possibilities and post-secondary education options they may not otherwise be aware of or have been interested in. This groundbreaking program is inspiring young people to get their hands dirty, get outside and try new things.

This is, I’m sure, the first of many awards to come for the Farm Roots Mini School in south Delta, and I am pleased to congratulate them. I am also hopeful that these students will go on to become the next generation of B.C. farmers and involve themselves in the exciting possibilities of agriculture as a career.

VAISAKHI

R. Singh: Vaisakhi, an important festival of the South Asian community, was celebrated with great fervour in Vancouver last weekend, and a big celebration is planned in Surrey for the coming weekend. The celebrations in Surrey will be the biggest in North America and the second biggest in the diaspora outside of Punjab.

Vaisakhi signifies harvest and renewal. It has a particular significance for the Sikhs, as on this auspicious day, the tenth master of the Sikh faith, Sri Gobind Singh Ji, laid the foundation of the Khalsa Panth, a force of dedicated Sikh warriors that was raised to fight against oppression and injustice. The birth of the Khalsa was the beginning of a new revolution that challenged the brutal caste system in the Indian society through empowerment of the oppressed groups that were often denied the right to education and to live with dignity and self-respect.

The legacy of the Khalsa and the progressive spirit behind Vaisakhi are still relevant as the world continues to grapple with social injustice, inequalities and oppression. Let’s resolve to carry forward the struggle for a fair and just society on this Vaisakhi. Wishing you all a very happy Vaisakhi. Vaisakhi di Lakh Vadhai.

COURT RULING AND WINE EXPORTS

J. Yap: I rise today to acknowledge the Supreme Court of Canada judgment in the Comeau case. This is a disappointing loss for many of our B.C. wine producers, who we have long supported in their desire to export their product to other provinces, including via direct shipping. It’s also disappointing for consumers, who have said time and time again that they want the right to buy Canadian wine, including our high-quality B.C. products.

Indeed, B.C. has gained an international reputation for its top-quality products. Our producers have won many, many accolades. They are the hard-working men and women who put their hearts and souls into each bottle. However, the court has made its judgment, which we fully respect.

I and other members of this House acknowledge the importance of reducing trade barriers and increasing economic cooperation within Canada and beyond. This underscores the importance of cooperation and political agreements in enabling our key industries to thrive. Past governments have produced agreements, like the new west partnership, which contribute to the prosperity of many western Canadians.

Let us recall, also, that the previous government symbolically dropped its barriers to wine. Surely we can all appreciate the important contributions of B.C. wine to our economy and to the dinner tables of homes across Canada.

IBS AWARENESS

A. Kang: When was the last time you had a bowel movement? My topic today is no laughing matter. In fact, it is a very serious one. April is Inflammatory Bowel Syndrome, or IBS, Awareness Month. In kindergarten, I was taught that it is inappropriate to use washroom language in public, and it’s so unimaginable that I would be using it here today at the Legislature.

[10:20 a.m.]

Why is it that we are able to openly share our thoughts about other debilitating or life-altering syndromes, such as cancer, autism, cholesterol and even Alzheimer’s, but it is awkward for us to talk about something as important as inflammatory bowel syndrome?

The Gastrointestinal Society represents Canadians living with gastrointestinal diseases and disorders, including those with IBS. What many of us may not be familiar with is that people with IBS have significantly impaired quality of life. The symptoms of IBS can have a substantial effect on daily life due to their frequency, severity, unpredictability and persistence.

Patients often need to make lifestyle alterations in order to accommodate the symptoms. Quoting from a patient: “I cannot make plans ahead, as I never know when it will affect me. I’m not able to work, because I never know when I will have to call in sick. Isolation. Fear. Always feeling that I smell.”

Many of those with IBS believe that they are not taken seriously and that their symptoms are not real. Some individuals with IBS are discouraged from seeking medical help, because they believe that they will not be heard or understood.

With April being IBS Awareness Month, I want to encourage people with IBS to speak up early, speak up completely and speak up often. Also, friends, let’s listen, be compassionate and be understanding.

WORKPLACE STRESS IN
WOMEN’S OCCUPATIONS

A. Olsen: What do child care providers, nurses and teachers have in common? If you said they were typically occupations that employed women, you would be correct. If you said they’d been historically undervalued because of this fact, you would be correct. If you said that they are three of the jobs with the highest levels of workplace stress and levels of mental health issues, you would be correct.

In Canada, 95 percent of nurses are women. These numbers increase when you consider the particular types of nurses that deal with society’s most vulnerable population: children, the elderly and those with mental illness. Sixty-eight percent of teachers in Canada are women, while 84 percent of elementary school teachers are women and 94 percent of early childhood educators are women.

Women are trusted to take on the job of ensuring that the minds and bodies of young and vulnerable Canadians are taken care of. But who is ensuring that nurses and teachers in B.C. are sharing the same courtesy? Studies have shown that teachers and nurses are tied for first place in levels of harmful workplace stress.

In Manitoba, 52 percent of nurses report experiencing physical assault, and at least 30 percent to 40 percent exhibit signs of post-traumatic stress disorder. It’s possible this number is higher. Not only is PTSD misdiagnosed as anxiety or depression; symptoms are often based on men with PTSD, which can differ from those experienced by women.

Historically, as women enter professions, they’ve seen a reduction in both pay and prestige. This has been the case with both nurses and teachers and is repeated in the attention to how their mental health is received. While the gender pay gap is well known, the gender PTSD and workplace stress gap is less so.

Work done by women is invaluable, and we need to start acting like it.

STANLEY PARK ECOLOGY SOCIETY

S. Chandra Herbert: This Saturday, April 21, we will be celebrating Earth Day. Now, we celebrate, but we also need to, I think, reflect on the challenges we have made for our earth to thrive. For the species, for the creatures, for the planet’s great abundance to be all that it can be, we need to recognize our role, our often harmful role, in limiting its true potential.

While we remember that, we also need to, I think, reflect on the great successes that we have started to make, to recognize our role as a creature of the earth, not a creature above the earth.

I think we need to recognize that we need to connect to nature and reconnect to nature. All too often when I walk through the streets of my community or streets of many of our communities, I see myself and others staring at a small screen as we walk through the streets, very often not acknowledging those around us — or the birds or the trees, the flowers, the bees.

There’s one organization in my community that’s working hard to try and change that, to connect us back to nature. I want to acknowledge them. It’s their 30th birthday this year, and we’ll be celebrating on the 21st. It’s the Stanley Park Ecology Society.

[10:25 a.m.]

They’ve worked to, in some ways, decolonize the park. What does that mean? Well, in their sense, they’re focusing on invasive species, on things introduced from the outside that were never there before — English ivy, Siberian blackberry.

They bring the community in to do that, to get our hands dirty, because in the concrete jungle we sometimes live in, in the West End, you can lose that connection to the earth. They do very important work through their nature house, bird walks, planting of native species to bring back the birds that maybe don’t feel as connected there — bringing back otters, seals and the abundance that truly was there before the domination, the colonization.

I want to acknowledge them and wish them a very happy birthday for the very important work they do.

Oral Questions

MEDIA APPEARANCE BY
PREMIER’S CHIEF OF STAFF

J. Johal: I have here a copy of the Standards of Conduct for Public Service Employees. This is a document on the government website, last updated March 27, 2018.

Can the minister responsible for the Public Service Agency confirm that these public service rules still apply to all political staff?

Hon. C. James: I’ll take a look at the document. I’m presuming that, yes, those apply. Again, I don’t have a copy of the document, so I’ll take a look at the document that the member raises.

Mr. Speaker: Richmond-Queensborough on a supplemental.

J. Johal: Yesterday the Premier’s chief of staff taped a promotional radio appearance to sell his book. Page 8 of the Standards of Conduct for Public Service Employees has strict rules for public employees doing work outside their regular employment.

Again to the minister, can she explain how taping a radio appearance for personal gain during working hours complies with these standards of conduct?

Hon. C. James: I’ll take a look at the issue that the member raises.

Mr. Speaker: Richmond-Queensborough on a second supplemental.

J. Johal: Just to provide a bit more information. Not only was the promotional appearance done during normal working hours, but the employee was very clearly introduced by his title of chief of staff to the Premier.

This individual is already paid $195,000, by taxpayers, per year. Can the minister explain how it follows the rules for the Premier’s chief of staff to take advantage of his position to sell his book?

Hon. C. James: People certainly are aware of the responsibility and the duties of the individual that the member speaks about. I am certain that he took great care in making sure that his work wasn’t interrupted, but I will take a look at the specifics that the member raises.

AGREEMENTS WITH FIRST NATIONS ON
TRANS MOUNTAIN PIPELINE AND
COMMENTS BY ENVIRONMENT MINISTER

P. Milobar: On March 14, the Environment Minister was asked about the 33 B.C. First Nations with benefit agreements. He said: “What’s difficult to ascertain is whether support was a condition of receiving benefits.” He went on to call it “a sort of support.”

This is what Simpcw Coun. Don Matthew told me about the minister’s comments: “Our members voted to support the project knowing full well that our main objective was to be involved with the environmental aspects from start to finish. We are quite capable of knowing what we sign.”

Will the minister retract his statements that trivialize the decisions of the Simpcw?

Hon. G. Heyman: Certainly, I had no intent to trivialize the concerns of any group of Indigenous people, any nation, on either side of this question, who are taking legitimate positions. The fact remains that there are different positions, and it is not a matter of counting up how many nations support one side or how many nations support another side.

The real question is a question of rights and title and impact. For 16 years, we had a government in British Columbia that ignored British Columbia’s First Nations, that ignored rights and titles until they were forced to by the courts. They refused to implement the United Nation’s declaration on the rights of Indigenous peoples, and they refused to take seriously the importance of reconciliation.

[10:30 a.m.]

We’re taking a different approach. We recognize the calls to action of the Truth and Reconciliation Commission. We recognize the United Nations declaration. We recognize the decisions of the court. We’re working carefully and with purpose throughout every ministry in government to build new relationships and ensure that we take actions that not only build respect for rights and title and engagement with Indigenous people but create economic opportunities for all.

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

P. Milobar: Well, yesterday the minister did say: “I would never, ever trivialize the concerns of voices of Indigenous people….”

Let me read more of Simpcw Coun. Don Matthew’s concerns with the minister’s remarks and how they feel the minister’s remarks impact them. “We knew what was happening, and we approved what was going to be done in our territory. We don’t need non-native politicians looking out for our best interests these days.” This is the feeling of the Simpcw.

Again to the minister, will he apologize for his offensive comments to them?

Hon. G. Heyman: The member himself read out a statement by me which said I have no intention of trivializing the concern of any nations. I’ve been clear about that.

Nations have differences of opinion. People in British Columbia have differences of opinion. The job of the government of British Columbia is to respect them all.

The fact remains that it’s not up to the government of British Columbia to speak for First Nations. They’re doing that on their own. While some nations have signed agreements and support the project, others have gone before the Federal Court of Appeal to protect their interests, as they say, seeking to overturn federal approval of the project. That includes the Tsleil-Waututh, the Coldwater and the Squamish.

We need to resolve these differences with respect for the United Nations declaration, with respect for the calls to action, with respect for previous decisions in courts and with respect for decisions yet to come. That’s our government’s commitment to British Columbians.

DISPUTE WITH ALBERTA ON
TRANS MOUNTAIN PIPELINE AND
ECONOMIC BENEFITS OF PROJECT

A. Weaver: Yesterday I asked the government whether they share the concerns being raised by many experts about the economics of the Trans Mountain pipeline. I’d like to pick up on that here.

Earlier this year and for the very first time, a new class of tanker — a very large crude carrier, or VLCC — left the newly refurbished Louisiana Offshore Oil Port destined for Asia. These tankers can load over two million barrels of oil, and the LOOP facility can fill them at a whopping rate of 100,000 barrels an hour.

The Aframax-class tankers that would leave the terminus at the end of the Trans Mountain pipeline can only take 555,000 barrels of diluted bitumen out of Burrard Inlet. This means that any Asian buyer would need to contract four Aframax tankers from the Trans Mountain terminus versus only one VLCC from the LOOP facility.

Based on this obvious economic reality that any Asian buyers would be serviced by the VLCCs out of the U.S. and not out of the terminus of Trans Mountain, my question is this. To either the Deputy Premier and Minister of Finance or the Premier, if he’s here: is her government or his government and her ministry or the Premier’s office taking a hard look at the financial case for the Kinder Morgan pipeline?

Hon. G. Heyman: Thank you to the Leader of the Third Party for the question. I and other members of the government are certainly aware of the controversy around the economics, the different studies, the changes in conditions and different alternatives. I thank the Leader of the Third Party for reading these into the record.

With respect to the Leader of the Third Party, it is the job of proponents to determine the economics. It is the job of other governments backing the project to determine the merits of the economics. I think all Canadian taxpayers would want other governments to take a long, hard look at the economics of a project in which they’re considering investing billions of dollars.

[10:35 a.m.]

Our job, as the government of British Columbia, is to look at the interests of our environment and our economy, and that’s what we’re doing. That’s why we are considering every measure, every inch of our constitutional jurisdiction, to protect against a catastrophe that’s possible and that could have significant and awful economic interests on British Columbia. Tourism alone — 19,000 tourism businesses in British Columbia, employing 133,000 people in every corner of this province, in every constituency represented by members in this chamber.

It’s our duty, it’s our responsibility, to look out for those people. It’s not our responsibility to ignore them because a large project comes along. Our job is to ensure that if there are large projects, they don’t impact and take away the livelihood of those people or the $17 billion in revenue that the tourism industry generates every year in British Columbia.

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

A. Weaver: I do thank the minister for his answer there and his commitment to protecting British Columbia, but I respectfully disagree. I believe it is the government’s responsibility to inform British Columbians about the economics of this proposal.

Why? Because the previous government claimed that the economic benefits for British Columbia were very large and, in fact, claimed that the government’s fifth condition was apparently met. Now, unfortunately, the fifth condition was based on assertions that were put towards the 2012 National Energy Board in the submission. It’s now six years old, and many of the fundamental assumptions of that submission, of that economic case, on which the government claimed its fifth condition was met, are no longer valid.

Keystone XL and line 3 have been approved. That means that we have more than a million barrels a day of export capacity, which was unaccounted for. We’ve got North America now having the ability to ship through VLCCs. That was never able. And we know that you can’t get bigger ships in Burrard Inlet. This government, I would argue, has a responsibility to review those numbers so that British Columbians are given correct, accurate and up-to-date information about the economics of this project.

My question is to the Minister of Environment and then to the Minister of Finance, who still has laryngitis. The previous provincial government made claims about the economic benefits to B.C. from this pipeline that have been cast into serious doubt. Why isn’t this government examining the economic case more closely?

Hon. G. Heyman: Again, I thank the Leader of the Third Party. As he respectfully disagrees with me about the role of our government in this regard, I respectfully assert again to him that this is not a project that this government thinks is good for British Columbia. We’ve made that clear. We think the risk is so great and far outweighs the reward.

What we are doing is ensuring that within our jurisdiction, within our ability to regulate and place conditions on a project that is federally decided upon, subject to an appeal to the federal court, we ensure that conditions and regulations are in place to protect our economy.

It’s important. It’s important up and down our coast. We have a fisheries and seafood industry that contributes more than $660 million every year to our gross domestic product, and it employs 14,000 people, paying almost $400 million in wages.

Just yesterday 450 businesses understood why we were taking this position; 450 B.C. businesses signed a joint letter calling on the government to continue to stand up for our coast and the tens of thousands of jobs that depend on protecting our coastline and our environment from a spill.

REFERENDUM ON ELECTORAL REFORM

M. Lee: On October 4, 2017, the Attorney General announced that British Columbians would be asked to vote on proportional representation before the end of November 2018. Over six months later, the ballot question of this referendum still has not yet been announced.

[10:40 a.m.]

To the Attorney General, when will he inform British Columbians of the referendum question they will be asked in just a few months’ time?

Hon. D. Eby: I thank the member for the question and for his interest in this. We had an exceptional level of participation by the public in our engagement process — 180,000-plus site visits, 88,547 questionnaires completed in multiple languages; British Columbians feeding back from 30 organizations spending an average of 14 minutes on the site, spending an average of 16 minutes completing the questionnaire.

This is a huge amount of feedback for us, and I can assure the member that we are taking that feedback very seriously. There will be a report that summarizes all that feedback — it will be available to all members — with recommendations about the question or questions, the rules, whether third parties should be funded and so on, and it will be based on the feedback of British Columbians. The ultimate question about our political system and the voting, how we send representatives to this place, will be decided by British Columbians.

Mr. Speaker: The member for Vancouver-Langara on a supplemental.

M. Lee: While the Attorney General views himself as a non-partisan, neutral arbiter, no one else does. He has yet to inform voters of the ballot question. He has yet to announce the campaign rules. He has yet to even provide the exact date of the referendum. Key information that voters need to make an informed decision is being withheld while he continues to manipulate the process.

Can the Attorney General explain why he hasn’t told voters something as basic as what the question will be, when we’re mere months away from this referendum?

Hon. D. Eby: I’m not sure what the member hopes would happen here. We went to British Columbians, and we said: “What should the question be? What should the rules be?” They participated. I hesitate to say it, but this was certainly one of the largest engagements of British Columbians, in terms of the number of people participating, in the province’s history — in multiple languages.

We are compiling that information for all members to be able to review. All of the information will be available to them. What better process than this to set the question and the rules? And the member will have that information as soon as we can get it to him.

J. Martin: Last fall the government released a questionnaire that many have claimed is skewed in favour of proportional representation. I happen to have a November 15 email from a director in the Attorney General’s ministry that might explain why. In this email, the director reveals that political staff in the Attorney General’s office directly provided input to shape the questionnaire.

To the Attorney General, what input did his political staff have in the drafting of the questionnaire?

Hon. D. Eby: We had several academics that assisted us in the process of setting up this questionnaire. They were of various backgrounds, but their expertise was in consultation with the public in British Columbia. Certainly, I agree with the member that I have political accountability for the questionnaire, for the referendum process. That is the job that the Premier has given me. I accept that responsibility.

The questionnaire has been criticized by people who are pro–proportional representation, and it has been criticized by members who are anti–proportional representation. I think that’s exactly where we should be.

Mr. Speaker: The member for Chilliwack on a supplemental.

J. Martin: Well, absolutely no one views the Attorney General as non-partisan or neutral in this matter. We now know his political staff had direct input into the drafting of a questionnaire widely seen as being skewed in favour of proportional representation.

As the supposed neutral arbiter, will the Attorney General table in this House all input his political staff had into the drafting of the questionnaire?

Hon. D. Eby: There have been a number of freedom-of-information requests in relation to this. They have all been responded to, and I imagine that’s how the member got the document he’s talking about. He already has the information. I’m not sure of the basis for the question.

[10:45 a.m.]

What I can say is that I will not be lectured by members from a government who put forward a referendum called by pollster Angus Reid as “one of the most amateurish, one-sided attempts to gauge the public will that I have seen in my professional career.” That referendum about whether or not First Nations people had rights — unacceptable.

M. Stilwell: Last April the Premier promised that he would “set up an all-party committee to hear from citizens and formulate a referendum question at the conclusion of that process.” But as this hasn’t happened, it seems the government has either blundered or chosen to manipulate the process, or both.

Why is the Attorney General in charge of the process, instead of an all-party committee — breaking the Premier’s promise?

Hon. D. Eby: Members throughout the Legislature had the opportunity to stand up and provide submissions. They told me they did during the second reading debate about the referendum process. Their feelings about the values that needed to be represented…. All of that will be incorporated in the report that will be available to all members.

Every political party had the opportunity to provide submissions. We had submissions from the Conservative Party, from the Greens, from the NDP, and certainly, we had submissions from B.C. Liberals. So with respect to the member, all parties have participated. There will be a full report of how their submissions were considered and recommendations going forward. I heard from members across — concerns about rural representation, about local representation. Those concerns were heard loud and clear, and they will be incorporated in the final report.

Mr. Speaker: The member for Parksville-Qualicum on a supplemental.

M. Stilwell: Well, that’s certainly a new definition for all-party committees.

The Premier also broke his promise that the referendum ballot would be a written, simple yes-or-no question. Groups like Fair Vote are actively out there campaigning for a more confusing, two-ballot question, as they feel it will increase their chances of winning.

Will the Attorney General recommit to the Premier’s promise of a simple single-ballot question, yes or no?

Hon. D. Eby: The hypocrisy of these questions — on one hand, saying that we shouldn’t go out to British Columbians and consult with them, that there should have been a different process; on the other hand, saying that the Premier himself should have set the question. I’m not sure which the members favour here, but I can tell them the process that we are engaging in.

Every British Columbian had the opportunity to provide feedback. Mailers to every house in British Columbia. Every political party had the opportunity. Statements in Hansard from second reading speeches. Every party had the opportunity to provide written submissions as well — all compiled by public servants into a report with recommendations for all members to see before it goes to cabinet. That is the process that is being followed here, and whether or not the member, individually, agrees with that, that is what is happening.

J. Sturdy: Last April the Premier made a clear promise that he has since broken. He said that the amending formula for our constitution is similar to the kind of formula we’d need for a plebiscite on changing how we elect people in B.C.

Can the Attorney General explain what happened to the regional threshold requirements the Premier promised?

Hon. D. Eby: The legislation was in front of this minority parliament around how the referendum would be held. It passed with a majority of votes. The rules are very clear. A majority of British Columbians, one British Columbian and one vote, will decide the future of our electoral system in the province.

Mr. Speaker: The member for West Vancouver–Sea to Sky on a supplemental.

J. Sturdy: Well, let’s look at this Premier’s broken promises. He said he’d set up an all-party committee; he didn’t. He’d said the ballot would be a simple yes-or-no question, but now it looks like it won’t be. He said that there would be regional threshold requirements similar to the constitutional amending formula. So far, there are not.

Will the Attorney General recommit to the regional threshold requirements, or is this yet another broken promise?

[10:50 a.m.]

Hon. D. Eby: I’m trying to figure out why the members are so unhappy about a process where, in a minority parliament, a bill was passed that set out the rules for the referendum where every British Columbian gets a vote about the future of our electoral system in the province. Not only that, one of the largest engagements…. I’d guess the largest, but certainly one of the largest engagements in our province’s history about what the rules should be, what the question should be.

I know the member for Kamloops–North Thompson wasn’t happy with that process. When he heard that there were tens of thousands of completed questionnaires, he said, “Well, it would be interesting to know how many of those questionnaires came from outside B.C.,” suggesting, perhaps, Russian influence.

Let me tell you that the responses to the questionnaires reflected the population of British Columbia almost exactly. We had communities that were underrepresented, like greater Vancouver, Squamish-Lillooet and Similkameen. Kootenay-Boundary, Sunshine Coast, Mount Waddington and the capital region were more heavily represented. Overall, it reflects the geographic diversity of our province, as did the feedback.

C. Oakes: The Premier made a promise to British Columbians. The Premier promised a referendum would need broad regional consensus, but the NDP have lowered the bar to the weakest possible 50-percent-plus-one majority threshold. The NDP has also said voter turnout as low as 10 percent would be valid.

Can the Attorney General clarify how low voter turnout has to be for the government to reject the results?

Hon. D. Eby: First of all, these are…. The voter turnout rules are the same that elected the member, so I’m not sure why she’s so concerned about that.

Secondly, the largest engagement in B.C.’s history, tens of thousands people spending 14 minutes to fill out a questionnaire on voting systems. The engagement of British Columbians on this question is through the roof. We expect huge participation in a referendum.

I thank the member for her question very much, but I can assure her that if this questionnaire is any indication, there will be a record voter turnout for this referendum.

Mr. Speaker: The member for Cariboo North on a supplemental.

C. Oakes: Tens of thousands, largest engagement in in British Columbia. How disrespectful can this Attorney General be to those people? What is the question? When is the referendum?

Look at what happened in 2005 and the 2009 provincial referendum. It required a 60 percent threshold in favour across the province, and at least a 60 percent threshold of ridings. The member opposite said he would be happy to incorporate all of the things that he heard. So are you changing the threshold? Are you prepared to change that threshold?

The provinces of Ontario and Prince Edward Island had the same requirements. In fact, it is standard in British Columbia to require a 75 percent threshold just to change your strata council.

Why is the Attorney General afraid to seek a strong consensus for such a fundamental change in our democracy?

Hon. D. Eby: So 180,880 site visits, 88,547 questionnaires completed by British Columbians across the province — a remarkable level of participation that indicates that the member’s fears are groundless.

British Columbians are incredibly engaged on this question, engaged in ways that they have never been engaged before, and I am thrilled about that. I am thrilled about every British Columbian getting a vote about how we send members to this place. What better reflection of our democratic system than that?

[10:55 a.m.]

J. Isaacs: The NDP–Green Party confidence and supply agreement was signed almost 11 months ago. It reads: “The parties agree that they will work together…to determine the form of proportional representation that will be put to a referendum.”

A simple question: what exactly is that form of proportional representation?

Hon. D. Eby: That is exactly one of the questions that we asked in our engagement process. We asked people about submissions, what should the ballot question be, what system should we put to British Columbians. We are taking that feedback very seriously, and it will be contained in a report for all members to see.

Mr. Speaker: Coquitlam–Burke Mountain on a supplemental.

J. Isaacs: The confidence and supply agreement is the basis by which the government itself exists and, therefore, the basis by which the Attorney General holds his position. But after nearly 11 months of manipulating the process, the commitment to determine the form of proportional representation that will be put to referendum has not been kept.

Has there been disagreement between the NDP and the Green Party about which form of proportional representation should be presented to voters, and if so, when will it be resolved?

Hon. D. Eby: I know the member is new to this place. She may not know the history of referenda in our province here. When the members…. Many of them are still sitting opposite. When they held a referendum on whether First Nations people have rights, it was described as “stupid,” “immoral,” “amateurish” and “racist.” “By the May 15 deadline, only one-third of the mail-in ballots were returned. Many were burned. Others were turned into paper airplanes, cut into snowflakes, even toilet paper.” That is, of course, from news reports.

Now, I know the members opposite support a referendum. The member for False Creek: “I know that we’ve had referendums in 2005 and 2009, but there will be another one.”

The member for Kamloops–South Thompson: “We are committed to enabling a third referendum.”

The member for Richmond-Steveston: “The discussion around electoral reform is a key facet of our democracy, and renewing a healthy debate on our system is important.”

The member for Vancouver-Langara: “For many, it’s important that we conduct a third referendum on electoral reform to give British Columbians an opportunity to consider once again what is the best electoral system for this province and its people.”

Again, we listened, and we acted. I take his advice. We are acting. We will have the referendum.

[End of question period.]

Standing Order 35

REQUEST TO DEBATE A MATTER OF
URGENT PUBLIC IMPORTANCE —
REFERRAL OF JURISDICTIONAL
DISPUTE TO COURT

M. de Jong: I rise pursuant to Standing Order 35 to move adjournment of the House to discuss a matter of definite and urgent public importance, specifically the necessity, advisability and consequences of referring to the Court of Appeal the question of British Columbia’s ability to regulate or limit the transportation of energy products on federally approved and regulated pipelines and rails.

I’ve provided copies of my statement. One will make its way over to the Government House Leader, and the Table has one. Presumably, all members of the House will agree that the importance of this issue is beyond question. B.C. is in a full-on dispute with the governments of Canada, Alberta and others on a matter that is central to the functioning of our federation. That dispute was triggered on January 30, 2018, when the government of B.C. issued a press release threatening to limit interprovincial transportation of energy products by pipeline and rail. This has led to retaliatory measures being brought by other governments against B.C.

The government of B.C.’s approach to resolving this dispute, we are told, relies almost exclusively on a judicial reference that it has repeatedly referred to but thus far not initiated. There is, clearly, much at stake. Proponents of moving ahead with the project, which has received federal and provincial approval, deny any jurisdictional ambiguity and point to the thousands of jobs that are at stake, the importance of facilitating movement of Canadian natural resources to market, and the reputational blow that will be dealt our province and country if those seeking to invest and build infrastructure can no longer rely upon properly secured approvals.

Those advocating against the project, including the government of British Columbia, which campaigned on a pledge to “use every tool in the tool box” to stop it, insists that a reference case is essential in order to clarify the jurisdictional uncertainty that they claim exists.

[11:00 a.m.]

This application under Standing Order 35 is not about resolving that fundamental difference of opinion, nor does this application rely upon the obvious importance of the issue for the province and country.

The authorities for this House are very clear. The test upon which an application for emergency debate pursuant to Standing Order 35 must be determined is the urgency of the debate itself. That urgency was highlighted yesterday when the Attorney General advised the House that the reference to the Court of Appeal would be initiated within ten working days.

Thereafter, any opportunity for this House to offer meaningful input on the approach being advocated by the government will disappear, or it will be the government and the Attorney General himself who reject any attempt by members of this chamber to initiate a discussion or pose questions, on the basis that the matter is now before the courts.

In determining whether the matter I’ve raised qualifies under Standing Order 35, I commend to you several previous rulings of the House. The ruling of August 8, 1977, by the Speaker, approving a Standing Order 35 application with respect to issues, ironically, pertaining to the construction of the Alcan natural gas pipeline, and the ruling of April 9, 1992, by Speaker Sawicki, confirming that a private member’s statement or reference to a matter in question period does not disqualify the matter for debate under Standing Order 35, pursuant to Standing Order 35, sub(10)(d).

Finally, a reminder that Standing Order 35 contemplates a very time-limited debate of one hour. This is not a question of hijacking the House agenda for any extended period. On a matter of this magnitude, where the opportunity for debate of any sort will disappear within four sitting days, I am hopeful that the government and Third Party will agree that it is reasonable and appropriate to take 60 minutes to canvass the views of the House.

Surely the government would want the opportunity to explain the rationale for its approach and share the nature of the question it is proposing to have the court answer. Surely the government would want the benefit of the views of members of this chamber.

Mr. Speaker, if you find my application to be in order, my hope and suggestion would be that prior to seeking leave to commence the debate, the respective House Leaders meet to settle upon an agreeable time for that debate to occur.

Hon. M. Farnworth: I thank the member for his presentation. Though I do have to ask a number of questions around Standing Order 35, the fact of the matter is, it is about the urgency of debate as opposed to the urgency of the issue. But the reality is, when it comes to the urgency of debate, that we have just spent 40 hours in the Ministry of Environment dealing with the very issue that the member raises. So to suggest that there has not been opportunity to debate I think is wrong.

The other issue that the member raises. Again, I would say that question period, for the last several weeks, has been preoccupied by this very issue. So again, has there been a lack of opportunity to debate? There has not been a lack of opportunity to debate.

Finally, I would make the following point. I understand — and the member knows full well — the rules of this place. Often, when these kinds of matters are the subject of an interest by the opposition, then if the opposition is truly interested in saying, “We think this is important,” there is no reason why the opposition, as opposed to, at the end of question period in almost a gotcha moment, trying to say, “We need this….” They could have approached the government to say: “You know what? We think this is important. Would you consider having a one-hour debate on this?” That also did not happen, which is unfortunate.

At this point in time, we do not see the need for a Standing Order 35 debate on the matter, because there has been ample time both in estimates and in question period to debate the matter before us.

[11:05 a.m.]

A. Weaver: I rise to speak to the application for Standing Order 35. We were informed of this about a minute ago when this was put on our desk, so we’ve had a quick caucus meeting here.

I will suggest that I do have a lot of sympathy for the arguments brought forward by the Government House Leader. I will also remind you of precedent. In the previous government, I rose pursuant to Standing Order 35, and I pointed out that it was critical at that juncture for the House here to have a debate on the issue of climate change in the lead-up to the Paris Agreement, because government was deliberating on what it was going to do there. And both sides of the House, at that time, suggested that the urgency test had not been met.

I have been talking about the issue of Kinder Morgan for five, six years now. I would argue that the urgency test is not met either, in light of the fact that I listened to estimates, in light of the fact that I’ve been here in this chamber for the last number of weeks and there has been time after time after time where this has been debated. Some of the motions in private members’ time, some of the statements are on this topic. We’ve had ample opportunity to discuss this.

Again, I come back to the precedent. I come back to the application of Standing Order 35 in the last parliament, when I rose precisely on an issue similar to this, and the Speaker at the time ruled that it was not a matter of urgency. I would argue that the parallels are very similar. The argument at the time was that the issue of climate change had been debated in question period, it had been debated in estimates, and it had been debated in statements on Monday morning.

The analogy is direct. So our advice, hon. Speaker, as you make your decision, is that we find it difficult to see how this test of urgency is met.

Mr. Speaker: Thank you, Member.

Abbotsford West, I will take your statement under advisement and provide a statement later today.

Orders of the Day

Hon. M. Farnworth: In this chamber, I call Committee of the Whole on Bill 14. Unfortunately, I have some sad news for those members going to Committee A, the Douglas Fir Room. There will not be estimates of the Ministry of Environment today. I will be calling estimates for the Ministry of Children and Family Development, and Child Care.

[11:10 a.m.]

Committee of the Whole House

BILL 14 — TAXATION STATUTES
AMENDMENT ACT, 2018

The House in Committee of the Whole (Section B) on Bill 14; L. Reid in the chair.

The committee met at 11:11 a.m.

On section 1.

Hon. B. Ralston: Perhaps I could just say that I’m standing in for the Minister of Finance. She’s a couple of seats away, but given her laryngitis, she thought it more prudent to have me answer the questions on her behalf. I think she’s close enough that if she wants to intervene, she can prod me.

S. Bond: Good morning. We appreciate the opportunity to pursue some questions on Bill 14. We certainly are wishing the Minister of Finance well as she recovers. I know it’s been difficult for her not to be engaged. We send signals across the aisle every now and again, so we do wish her a speedy recovery with her throat.

We appreciate the opportunity to ask some questions. As was pointed out in the opening comments when we went through second reading, this is a very technical bill. It relates to a number of taxation statutes. It is not our intent to spend a lengthy period of time.

I do want to express our gratitude to the minister and the staff who did a very capable job of walking through the bill, but it is important to bring some of those changes to the record so that people understand what’s happening. In several cases, we’ll ask questions. I think it’s important if the substitute minister is prepared to just identify….

Many of these are housekeeping. I think it’s important to put it in that context. We’re not seeing significant and overwhelming changes of taxation statutes. We’ll deal with those issues in another venue.

To begin the questions, if the minister could explain for us exactly the…. We are “repealing the definition of ‘regulation’ and substituting the following,” and we substitute with “regulation”. Could the minister explain the change?

Hon. B. Ralston: The previous definition defined a regulation and gave the regulation-making power only to the Lieutenant-Governor-in-Council — that is, cabinet. The amendment, which is a housekeeping one, expands the definition of regulation to include those regulations that are made by others — in particular, the Commissioner of Income Tax — so that it expands the definition of legal regulations.

Sections 1 to 3 inclusive approved.

On section 4.

[11:15 a.m.]

T. Redies: Could you explain what the purpose of this change is?

Hon. B. Ralston: This amends the definition of “qualified relation,” as it’s described in the act, to ensure that the spouse of a taxpayer is also a resident of the province in order to qualify.

T. Redies: We understand what you’re doing. I guess what we’re trying to understand is the context and what problem you’re trying to fix.

Hon. B. Ralston: The purpose of the change is to ensure that the spouse of a qualifying taxpayer who is a non-resident of British Columbia would not qualify for the credit, and this amendment makes that clear.

T. Redies: All right. Perhaps the minister could explain what the broader implications are of this amendment, in terms of how income is taxed in the province.

Hon. B. Ralston: There are no broader implications. The Canada Revenue Agency interprets this section in the way that it is proposed to be amended already. Administratively, that’s taking place. This amendment enables the letter of the regulation to catch up with administrative practice. Therefore, it’s, I think, properly classified as a housekeeping amendment.

T. Redies: Thank you, Minister, for that explanation. I think I know the answer to this, but just again for further clarity. Will this have any impact or change on the way that people with spouses or common-law partners in British Columbia file their income taxes?

Hon. B. Ralston: No.

Section 4 approved.

On section 5.

S. Bond: This is related to sales tax credit for a taxation year. It talks about the timing of the return. Can the minister outline the changes in the timing?

Hon. B. Ralston: At present, a taxpayer who wishes to make a claim for the refundable sales tax credit must do so within three years. This amends that and brings other provisions of the federal Income Tax Act into play, which will give them ten years to make that claim.

S. Bond: I’m assuming that this could be characterized, then, as a benefit to people who previously, after three years, would not have filed their claim. Is there a sense that that was an issue? Three years, for most people, extended past the due date is fairly significant.

[11:20 a.m.]

Is it a matter of legislative consistency, was it related to a sense that there needed to be more flexibility, or is it simply lined up with other legislative expectations?

Hon. B. Ralston: I agree with the member’s sense of the three years being, probably for most people, a reasonable period of time. But in the act, generally, ten years is the ordinary time that is permitted to claim these credits. So this amendment will make this particular provision consistent with the general legislative scheme.

Section 5 approved.

On section 6.

T. Redies: It’s my understanding that the family bonus is a spent program and this section simply enshrines that in the law. Is that correct?

Hon. B. Ralston: The program has ended, and there’s no longer anyone eligible to make a claim under that previous program.

Section 6 approved.

On section 7.

S. Bond: Maybe the minister could walk through the changes in section 7 for us. As I understand it, this repeals the definition of “specified partnership income” and then makes a consequential amendment following that repeal. Could the minister explain exactly what that change is doing?

Hon. B. Ralston: There was previously a provincial definition of specified partnership income. The federal definition has changed. This amendment will make the provincial definition the same as the federal one. So it’s an effort to harmonize the two provisions.

S. Bond: Is it fair to say, then, that there is no change in practice? A number of these provisions are about aligning with federal changes or federal legislation, to be consistent. Is there any change in practice, or is this simply an alignment and consistent language across the acts?

Hon. B. Ralston: There was a change in the federal rules which was given royal assent on December 15, 2016. This change catches up with that change.

S. Bond: I want to explore the extent of these changes. As I’m sure the minister would recall — and I absolutely know the Finance Minister was aware of this issue and will continue to be — there were other significant changes, taxation changes, that relate to small businesses, which the federal government intended to consider. As the minister would be well aware, there was a significant reaction across the country from small businesses.

What my colleague and I want to have British Columbians be assured of today is that this in no way has implications to small business owners — that there is no connection to the consequential tax changes that the federal government has made that have a potential for a significant impact on small businesses.

[11:25 a.m.]

Hon. B. Ralston: These amendments are not related to the recently announced changes to the federal tax planning for private corporations regime tabled in the federal budget in 2018 which were the subject of the debate, nationally, that the member refers to. As I referenced earlier on advice from the staff, these are designed to catch up with a change that was given royal assent on December 15, 2016, so they antedate these changes in this year’s budget by a couple of years.

Section 7 approved.

On section 8.

T. Redies: Can you outline a bit about what the purpose of this section is? And what, if any, on-the-ground impacts will there be to the mining companies in this province?

Hon. B. Ralston: This amendment aligns the British Columbia definition of the mining exploration tax credit with what’s called, in the federal act, Canadian exploration expenses. It’s the same activity. It aligns the two definitions.

T. Redies: Will there be any mines that will pay more tax as a result of this alignment?

Hon. B. Ralston: It’s a little bit of a complicated explanation, but I think I have it.

Under the previous scheme, the intention of the credit is to enable the company to claim for expenses. Under the way in which the scheme was operated before, the company received revenue — and this was not the intention of the scheme — but they would still be able to receive a full credit.

[11:30 a.m.]

The way in which these definitions are now aligned will change that and prohibit that kind of a claim. It was not the purpose of the statute and not the purpose of the credit.

The member asked if companies will receive less revenue. Conceivably, if they’re in that position, they will, but the intention of the statute was never that they received a credit in those circumstances.

T. Redies: I guess the answer is yes. Some companies will be paying more tax. Does the province have any understanding of how many companies will be affected by this and to what extent?

Hon. B. Ralston: The view seems to be, based on officials’ discussion with the CRA, that there would be very few companies that would be in this position. In fact, most companies have relied on the federal definition, so this would not be unexpected.

Sections 8 to 14 inclusive approved.

On section 15.

S. Bond: I’m wondering if we could start with the minister just providing an explanation of this section. The minister can imagine that any time we see (a) the words “regulation-making power” and (b) the word “retroactive,” there are concerns about that. This is a section that talks about looking at retroactivity to January 2008 or a later date. Could the minister just walk through what exactly this provision is meant to accomplish?

Hon. B. Ralston: I appreciate that the member is concerned about retroactive regulation. What this legislative amendment does is it gives the provincial authority the power to make retroactive regulations that conform with federal retroactive regulations. In other words, the initiative would have to come from the federal government making retroactive regulations, and then this amendment would give the very high degree of specificity necessary to empower retroactive change.

It must be explicitly stated in the Income Tax Act. There are powers in a number of statutes, but this is a general power, in circumstances where the federal government makes those changes, for the provincial government to follow.

S. Bond: This does not give, then, unique retroactive reg-making authority to the provincial government. The trigger, the catalyst for the use of this clause, would be that if the federal government changes legislation related to taxation and it is deemed to be retroactive, the province would follow suit. It would align.

Would the minister please clarify: does this specifically align with the federal government saying their legislation is changing and it will be retroactive, or can the province somehow apply this to some unique situation that is distinct to British Columbia?

Hon. B. Ralston: Just so that it’s clear, it would not be in every case that it would require a federal action. Let me give an example. There are a number of statutes or credits where there are existing retroactive regulation-making powers — for example, the B.C. education coaching tax credit, the film and television tax credit, scientific research and experimental development credit, training tax credits, interactive digital media tax credits.

[11:35 a.m.]

There are specific powers, in the case of those individual statutes, to grant retroactive regulation power. There’s no additional regulation-making authority that’s granted by this. So it would be in the case where the specific statute did not have an existing power to make a retroactive regulation that this amendment would authorize that.

S. Bond: I think just more an observation than a question. I mean, obviously, the ability to create regulation has been a discussion in this House for as long as I’ve been here, which is a fairly lengthy period of time. What it does is it takes the details of initiatives, of changes, of suggestions outside of the public domain. It gives ministries, government, the authority to add regulations.

Once again we see — and we’ve seen this in virtually every piece of legislation that we have spoken to as co-critics — that the government is adding regulation-making power all over the place. I’m wondering what compelled this addition. If we’ve managed it this long, what specifically is driving the requirement to add retroactive regulation-making power?

Hon. B. Ralston: I appreciate the member’s concerns. I recall asking similar questions and making similar statements myself at a certain point. But I would disagree that regulations are outside the public domain, in the sense that they’re not open to public scrutiny. They are published on B.C. Laws. They are a part of the public record for those who are able to…. Usually, the interest is a very specific one in a very specific statute. They are not outside of the public domain in that sense.

S. Bond: Well, we’re not going to verge off. We’re not going to diverge and have a conversation about reg-making and where it happens. The difference is when we’re discussing legislation, we’re actually standing here in the Legislature today. A lot of that work, and having been a minister for many years…. Regulation-making is a different process, and there’s always some skepticism about the degree of public attention that it gets. In essence, is this a correction?

Hon. B. Ralston: The way in which I’m advised is it’s better to describe it as filling in a gap.

Sections 15 to 17 inclusive approved.

On section 18.

T. Redies: To the minister, could the minister explain what the purpose of this section is?

Hon. B. Ralston: The explanation for this change is very similar to the one given in section 5 in that it extends the time to claim the credit for apprentices from three years to ten years.

Sections 18 and 19 approved.

On section 20.

S. Bond: This is a transition amendment related to small business rates. What are the implications of the transitional measure on how small businesses will file their income tax in the province?

[11:40 a.m.]

R. Chouhan: Madame Chair, may I have leave to make an introduction, please?

Leave granted.

Introductions by Members

R. Chouhan: Today we are joined by Mr. Bachan Bedil, a poet, musician and novelist. More than 700 songs written by Mr. Bedil are sung by famous singers in India. He’s now in Canada to release his next novel, called Sandli Kheda. He is joined by my friend and a well-known veterinary surgeon, Dr. Hakam Bhullar, Baghail Bullar and Tajinder Sharma. Please join me in giving them a very warm welcome.

Debate Continued

Hon. B. Ralston: I want to extend my welcome to Dr. Bhullar as well. He’s someone that I know quite well.

If I could answer the question here, what I am advised is this will harmonize the rules between the small business tax rules in the B.C. act and the federal act. Again, I’m advised that there will not or should not be any change in the way in which small business taxpayers file.

S. Bond: In other words, is this section aligning the practice of small businesses today, and they will not be surprised or find…? They’re having enough changes to deal with, as we speak. So I’m assuming this does not have significant implications and would be operating under the expectations that this amendment is bringing to our Legislature.

Hon. B. Ralston: I think that I can provide the assurance that these are the rules that have been in place federally since 2016 and that small business filers have been following. So there should be no surprise to any filer.

Section 20 approved.

On section 21.

T. Redies: On section 21, could you explain the purpose of this section? What is the specific issue about it being after 2014, and what particular problem is this correcting?

Hon. B. Ralston: This is consequential to the changes we have spoken of in section 11, earlier in the bill. I’m advised that the amendment is beneficial to taxpayers. The amendments are required to adopt the amendments to the federal act which reduce the taxpayer’s penalties when the taxpayer’s income was subject to withholding by the payer of the income. So it applies to the 2014 taxation year and beyond on the same basis as the federal enactment.

Section 21 approved.

On section 22.

S. Bond: Again, we have a retroactive regulation. We understand, obviously, that it’s dealing with the Insurance Premium Tax Act. It is a retroactive regulation. Could the minister tell us exactly what this is expected to do?

[11:45 a.m.]

Hon. B. Ralston: There was an amendment to the Insurance Premium Tax Act — and this was passed under the previous government — which calculated the way in which the refund was calculated. What this amendment does is align the calculation of the rate of interest with the previous legislation and the way in which the obligation to pay the excess was calculated, if I have it correctly. I think I see a nod here, so thank you.

S. Bond: What I’m hearing is that it’s a consolidation of regulations. That’s what it looks to be.

We want to be assured that…. When the minister references tax rates and interest rates, for example, are there any changes that will monetarily impact people on the ground?

Hon. B. Ralston: I’m told that it won’t make any change. It simply ensures that the rate of interest, the table that’s used, will be the one that was intended when the original legislation was passed and it was not included.

Section 22 approved.

On section 23.

T. Redies: What is the purpose of this particular section? Why is it retroactive, and will there be any monetary impact on entities involved in the logging industry?

Hon. B. Ralston: This change is similar, or identical, to the provisions that we just debated in the section on the Insurance Premium Tax Act. The amendment is required to have the regulations for calculating interest apply to calculating interest in respect of an excess refund.

T. Redies: Again, a clarification. Will this mean that entities will pay more tax or less tax — or less interest, rather?

Hon. B. Ralston: What this does is simply confirm, in legislation, the rates that they were paying administratively and makes sure that the authority for doing that is clear.

Sections 23 and 24 approved.

Title approved.

Hon. B. Ralston: I move the committee rise and report the bill complete without amendment.

Motion approved.

The committee rose at 11:49 a.m.

The House resumed; Mr. Speaker in the chair.

[11:50 a.m.]

Report and
Third Reading of Bills

BILL 14 — TAXATION STATUTES
AMENDMENT ACT, 2018

Bill 14, Taxation Statutes Amendment Act, 2018, reported complete without amendment, read a third time and passed.

Committee of Supply (Section A), having reported progress, was granted leave to sit again.

Hon. M. Farnworth: As the Minister of Health says, we must be fed.

Hon. M. Farnworth moved adjournment of the House

Motion approved.

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

The House adjourned at 11:52 a.m.


PROCEEDINGS IN THE
DOUGLAS FIR ROOM

Committee of Supply

ESTIMATES: MINISTRY OF
CHILDREN AND FAMILY DEVELOPMENT

The House in Committee of Supply (Section A); N. Simons in the chair.

The committee met at 11:15 a.m.

On Vote 18: ministry operations, $1,792,612,000.

Hon. K. Conroy: I’d like to start by introducing the staff that we have with us today — Allison Bond, our deputy minister; Christine Massey, the assistant deputy minister, early years and inclusion; Philip Twyford, our assistant deputy minister and executive financial officer; and Teresa Butler, executive director for child care policy.

I understand that we’re going to start the estimates today on child care. I’ll hand it over.

L. Throness: First, I want to thank both ministers for coming today. I understand that the minister of state has not been delegated the responsibilities for child care, but the Minister of Children and Family Development has those responsibilities. So as the accountable minister and the Minister of State for Child Care, I’m really pleased that you’re both here today. As a matter of convention, I will simply direct my questions to the minister and then whichever minister wants to can respond to them.

Just to let the ministers know, people are watching today on line. Providers are concerned right across B.C. The things that I have to say are echoing many of the concerns I’ve heard over the past little while. I’m sure they’ve heard them directly as well. So I want to just set the context for my first question today by giving a few remarks to put things on the record.

First of all, I think it’s good that the government is intent on supplying more child care. It’s something that the B.C. Liberals promised in their platform as well. So I think that’s good. I want to affirm that there are many legitimate ways of raising children. To give a few examples, there are kibbutzes in Israel. There is a tradition of nannies in North America and a tradition of governesses in England. There are boarding schools around the world from time immemorial. Of course, there’s raising kids at home with parents, in the way many of us grew up.

There are many ways to raise children. All of these modes of care were undertaken within great nations, and none of them seems to have damaged the national character. So I want to be — and I sincerely am — flexible with regard to child care. I say this to counter those who might want to stereotype or distort my own views, or B.C. Liberal views, on child care.

Second, when we look at the mode of child care that the government chooses and makes policy for, we need to keep some priorities uppermost in our minds, and I’ll be looking to the ministers for these on an ongoing basis.

The first priority, of course, is the best interest of children. The second is parental choice. Here I don’t mean choice as a euphemism for pushing everyone into public daycare but true, free, equal and neutral choice across the panoply of choices that are out there — choice that empowers parents to do, in their judgment, what is best for their unique family situation, choice that liberates rather than constrains the parent. Third, I think we need to be driven by data, by evidence, and I’m going to be asking questions about that.

I want to go on for a moment to wax philosophical and say that over my 60 years, or nearly so, things have changed a lot in our country with respect to child care. When I was a kid in Fort St. John, every child in my neighbourhood that I can think of was raised in the family home. I never went to kindergarten. I played until I was six years old, and then I went directly into grade 1. Probably the minister did, too. It was completely normal and standard in my day. Only a few kids went to this new thing called kindergarten.

I had a wonderful childhood. It didn’t affect my intellect — although some may differ on that point. I went on to get a PhD and so on. But over my lifetime, the raising of children has changed and may have suffered something of a reduction in status in our culture. People are having children later. When they do have children, their families are smaller.

[11:20 a.m.]

Increasingly, as I see it, having a family is not the default activity that everyone used to do — where everyone did it. Families are increasingly turning to others to assist them in raising their children. This is partly for economic reasons but also partly for cultural or social reasons, as parents aspire to have a career and raise children as well.

I don’t think there’s anything wrong with that. It’s just different. But it raises a whole new set of opportunities, as well as challenges, which the government needs to recognize and respond to.

I say this because I think the change in status of child-rearing has affected the family, but it will also affect the supply of early childhood educators as well, because people don’t usually choose a career merely to make money. They go into it for fulfilment and other more philosophical reasons. If potential caregivers don’t think that taking care of children has a high value, a high status in society, they may not enter that field.

We are looking, in the future, at a severe labour shortage on the horizon getting ever closer in which 700,000 British Columbians will retire in the next five years or so. Given that competition in the labour market is already fierce and intensifying, as I hear constantly from employers, it could be that we’ll have growing problems recruiting early childhood educators unless the role of caregivers, caregiving, is very highly valued in our culture today.

My first question is to the Minister of State for Child Care. She’s not the minister for daycare. She is the minister for all child care, not just licensed child care. Her job is to encourage and lift up all children in B.C. and all those who raise children.

My question is this. What has the minister done to enhance the status, recognition, value and esteem attached to the raising of children in the province?

[11:25 a.m.]

Hon. K. Chen: I would like to thank the opposition member for this very important question about child care services in B.C.

In my mandate letter, it has clearly stated that we want to provide the options available for families who want it or need it — the child care services and the early learning services that they need — to make sure that they have more options. So I’m really, really proud that our government has put together a very comprehensive plan to address the child care crisis that has been going on for many, many years.

Ever since we became government, we have been hearing from parents, providers and professionals in the sector about the current struggles that they have when it comes to…. For example, the cost of child care has been increased so significantly during the past years. It can be as expensive as someone’s rent payment, mortgage payment or even as high as one parent’s paycheque.

The cost of child care has become a huge burden on the family’s expenses. Many families are unable to return to work because they simply cannot afford child care, and they have to live paycheque to paycheque. There are many sad stories that I’ve heard ever since we became government about how families are struggling with affordability, with life getting so unaffordable, and child care costs have gone up so high.

At the same time, some parents have shared with us that even if they can afford child care services, they simply just cannot find the services that they need. There’s very little space available in B.C. communities, especially when it comes to infant-toddler care. The wait-lists are very long. Even when parents have a good career or educational opportunities waiting for them, they simply just don’t have that option available. They’re struggling to find spaces. They’re struggling between their child care needs and their career or educational needs.

Many families have also shared with us how they’re struggling to find inclusive, quality child care spaces. There is very little option available in the community where they live, or again, they’re facing long wait-lists or the high cost of child care pressures.

We’ve been hearing those stories from families and also from providers, who have shared with us that they work hard. I know providers throughout B.C. communities are passionate about the work they do. They want to serve the families. They’re caring for their children, and they want to provide the best services possible.

Many providers have shared with us that they also want to continue to maintain affordable child care services, but they’re facing cost pressures — rent increase, cost increase — for their operations, so they have no other way to address that pressure other than putting it on parent fees. We’re working together, and we’re excited to work together with providers, professionals, parents and community members to see how we can work together for that solution.

That is why, for the first time ever…. Unfortunately, the previous government looked at the child care crisis, which has been happening for so many years, and did some work around it but not really a comprehensive strategy. So for the first time ever, a B.C. government is putting together a comprehensive strategy with a $1 billion investment for three years to start this work, to put together a comprehensive plan to address the child care crisis so families can have more options when it comes to addressing their child care needs.

We know that investing in child care is good for our children, for their very important early learning years. Especially as a mom — I have a four-year-old — I see how the first few years are so important for our young children; also for parents, when it comes to affordability, when it comes to choices; and also for our community, for our economy and for our business community, who have been having a hard time recruiting and retaining workers because families are struggling with the costs of child care and their child care needs.

We are also working with many partners. Our plan is very comprehensive. We’re working with, for example, the Ministry of Education on early learning and quality early learning services to young families. I want to emphasize, again, that the goal — the goal of this government putting together such a huge investment — is to create a comprehensive plan to address child care affordability, accessibility and high quality. We need to continue to work with everybody — providers, professionals, parents, community members, business communities — to work together to make this work for families.

[11:30 a.m.]

Our goal at the end of the day is to make sure families have options — that families who want or need child care and early learning services have those options available.

L. Throness: A year ago we were in the middle of an election campaign, if we all remember that. One of the main planks of the government’s platform was $10-a-day daycare. We don’t have it yet. The Premier later said in the media that the phrase $10 a day was more of a brand than a literal promise.

Is the government ever going to introduce $10-a-day daycare, or is that officially off the table?

[11:35 a.m.]

Hon. K. Chen: Thank you so much to the opposition member for asking this very important question and allowing me the opportunity to talk about our plan and the $10-a-day plan. For the first time ever, government is making significant investment in the child care system and also making child care more affordable.

If you look at the $10-a-day plan, it is a long-term plan. It’s a plan that has a lot of details, and it focuses on three pieces — exactly the three pieces that I just mentioned about our government’s plan, which are making child care more accessible, more affordable and high quality. Those are the three pieces that our government’s plan is focusing on as well.

If you want to look at the affordability measure when you’re focusing on the $10-a-day amount, for example, our government’s three-year plan has introduced two measures. One is an across-the-board fee reduction, working with providers to make child care more affordable, and the other one is going to come up later this year, which is the new child care benefit. That’s an income-tested benefit that’s going to be benefiting families up to the income of $111,000.

With those two measures combined, in the coming months and years, actually, we’ll be seeing a lot of families…. For example, families under the income of $80,000 will be getting, approximately, the $10 a day child care service. Families who are making an income of less than $45,000 will be getting very little cost for their child care services or even free child care services.

Our government is spending $630 million in the coming three years on the affordability measure to make sure that when it comes to affordable child care, families will be seeing that impact in the coming months and years. For now, we are already hearing from many families who are really happy with our first fee reduction initiative. Some families have been sharing with us that finally they don’t have to live paycheque to paycheque. They have a little bit of room to buy more groceries, to buy more food for their family and for their children.

We do understand that affordability is very important, and we’ll continue to work on that and to make sure that, as we continue with our plan, we continue to make child care more affordable.

In general, we have adopted the $10-a-day principles, but at the same time, we’re also working with B.C. communities. We’re working with professionals, providers, Indigenous community — working with families to continue to make our plan work for B.C. communities. B.C. is a very diverse province. We have a lot of different needs and, again, we talked about how families want to have different options. We want to put together a plan, working with everybody to make sure that our plan, in the coming months and years, will work for B.C. families.

L. Throness: In its platform, the government, a year ago, explicitly endorsed the plan of the Coalition of Child Care Advocates of B.C. They, in turn, had copied it entirely from the Canadian Centre for Policy Alternatives. The government adopted some of its tax measures in the last two budgets, so my question is: does the government endorse the CCPA plan in its entirety, including plans for future personal income tax increases to pay for more child care?

[11:40 a.m.]

Hon. K. Chen: As I have mentioned, we have adopted the principles of the $10-a-day plan, but at the same time, we know B.C. is a very diverse community, and B.C. families want to have different choices when it comes to their child care and early learning needs. What we are doing is to engage with providers, professionals, educators and also Indigenous communities and community members on how we can put together a plan and how our plan will work for all B.C. families.

In the coming years, our government’s plan has a lot of different measures. I probably would need to spend at least two or three days in order to go through all of the measures that we have. Some of the key focuses…. For example, I talked a little bit about affordability measures with the two initiatives that we’re rolling out — the fee reduction initiative and also the new child care benefit. That’s going to help a lot of families. For the first time ever in B.C. history, child care is getting more affordable for many B.C. families.

At the same time, for so many families who are under the income of $80,000 a year, they will get approximately $10-a-day child care services, and for families under the income of $45,000, their child care can be very little cost or even free child care services.

[11:45 a.m.]

We know that we also need to accelerate the creation of child care spaces, because so many families simply, even if the parents can afford it, cannot find the service they need at all. In the coming three years, we are committed to creating up to 22,000 child care spaces throughout B.C. communities.

We also want to make sure we’re investing in areas where the needs are the highest — for example, infant-toddler care. That has the highest pressures throughout B.C. communities. There are very little opportunities available. So we want to make sure our initial investment is focusing on infant-toddler care and any other type of child care services that a B.C. community needs.

We’re going to be rolling out, for example, the major capital in the coming months and weeks, and there will be more details to come. We are also looking at our minor capital grant. For the first time ever, we want to support more providers with their operation and with their ongoing needs for their operation. So for the first time, we are expanding the minor capital to family providers to help them to maintain their services and keep up with their operations.

There are other things we are doing. For example, we are looking at ways we can provide more child care and early learning services for parents who are working shift work — more flexible hours, evenings and weekends to serve different parent needs.

We are also providing start-up funding for licence-not-required providers who have been sharing with us that some of them really want to expand their services to create more spaces. We’re also looking at how we can give them support so they can become licensed child care so they can look after more children.

We’re also working with local child care resource and referral centres to see how we can continue to support all types of different providers in B.C. communities with their needs.

Last but definitely not the least, there’s a very important part of our plan that we are working hard on every single day, which is our top priority in the coming weeks and months. It is to make sure that we support the sector. We support early childhood educators with their training, education and also fair compensation.

Our staff and many professionals in the sector are working hard every day to put together the strategy to make sure that we can look at what the sector needs and how we can continue to recognize educators who are working hard every single day to serve our young children, to provide that important service to our families. So we’re working on that, and we already have the funding of $136 million to invest in that area, on which we are hoping to release more information in the coming months.

We also need to make sure there are more opportunities to train early childhood educators. So we’re working with the Ministry of Advanced Education and public post-secondary education institutions to look at expanding the opportunities.

There are many, many details of our plan. This is just a quick overview, but there are so many other things we have to do. And again, we need to continue to engage with providers, professionals, Indigenous communities and many, many partners as we continue to build a better system that can work for B.C. families so we can address their child care needs. A need has been there for many, many years, and finally, our government, as soon as we became government, is working on it right away.

Hon. K. Conroy: Noting the hour, I move that the committee rise and report progress and ask leave to sit again.

Motion approved.

The committee rose at 11:48 a.m.