Fourth Session, 41st Parliament (2019)

OFFICIAL REPORT
OF DEBATES

(HANSARD)

Wednesday, May 8, 2019

Afternoon Sitting

Issue No. 251

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

M. Hunt

Statements (Standing Order 25B)

J. Routledge

L. Reid

R. Glumac

G. Kyllo

M. Dean

D. Davies

Oral Questions

A. Wilkinson

Hon. J. Horgan

J. Johal

A. Olsen

Hon. D. Donaldson

S. Bond

Hon. B. Ralston

J. Thornthwaite

M. de Jong

Hon. B. Ralston

P. Milobar

Hon. B. Ralston

Point of Privilege (continued)

M. Polak

Hon. M. Farnworth

Orders of the Day

Committee of Supply

A. Weaver

Hon. C. James

A. Olsen

S. Furstenau

T. Redies

I. Paton

T. Wat

S. Bond

Report and Third Reading of Bills

Committee of Supply

Hon. C. James

T. Redies

S. Bond

Report and Third Reading of Bills

Proceedings in the Douglas Fir Room

Committee of Supply

J. Thornthwaite

Hon. R. Fleming

D. Davies

P. Milobar

Committee of the Whole House

J. Martin

Hon. H. Bains

P. Milobar

Hon. G. Heyman

M. Lee

Hon. D. Eby

Proceedings in the Birch Room

Committee of Supply

Hon. S. Robinson

T. Stone

N. Letnick

S. Thomson

J. Thornthwaite

M. Lee

S. Sullivan


WEDNESDAY, MAY 8, 2019

The House met at 1:31 p.m.

Acting Clerk of the Legislative Assembly: Good afternoon, Members. Pursuant to Standing Order 12, the House is advised of the unavoidable absence of the Speaker.

[R. Chouhan in the chair.]

Routine Business

Prayers.

[1:35 p.m.]

Introductions by Members

J. Brar: Thank you, hon. Speaker. First of all, I would like to wish you well for this good day in that chair.

I’m really pleased to welcome our hard-working and dedicated team of constituency assistants in the gallery. Our CAs are in town this week for their annual conference, and they’re here from across the province. They do a super job serving the people of British Columbia, assisting them on a range of issues. They listen to painful and emotional stories of constituents with patience and respect. They change lives by resolving complex and difficult cases for people who are going through a difficult time in their lives.

They’re here today in the gallery to watch our thoughtful and respectful debate during question period. I ask every member of the House to please make all the CAs welcome today in question period.

Hon. J. Darcy: It’s a great pleasure to welcome a guest from New Westminster who is here today. She is a school trustee for school district 40. Her name is Gurveen Dhaliwal. She ran for election to school trustee last fall and was elected by a good margin. She’s doing tremendous work there as part of the team and is one of the key leaders in ensuring that New Westminster school district 40 became the first school district in the province of British Columbia to keep the Period Promise and ensure that there were free menstrual products for girls in our schools in New Westminster.

Welcome, please, Gurveen Dhaliwal.

J. Isaacs: I’m pleased to welcome and introduce Diabetes Canada, who joined me and my colleagues John Rustad, Linda Reid and Shirley Bond for lunch today. We were so pleased to have the opportunity to meet with Russell Williams, senior vice-president of mission, and B.C. advocacy representatives Mario Miceli and Edward Sem.

We heard today that one out of three British Columbians who live with diabetes and prediabetes have an increased risk of stroke, heart attack, kidney disease, amputation and vision loss and that B.C.’s diverse population of Asian, South Asian, southeast Asian and Indigenous are at increased risk for diabetes.

Would the House please join me in welcoming these great advocates who support those living with diabetes and who work to prevent the projected increase for British Columbians.

Hon. B. Ralston: Joining us in the member’s gallery this afternoon is His Excellency Roberto Rodríguez Arnillas, ambassador of Peru to Canada. The ambassador is here in British Columbia to welcome a Peruvian navy tall ship, a training ship that arrives in Vancouver harbour tomorrow. The ambassador will meet with a number of British Columbia officials today, including myself, and I will be pleased to visit the ship with him tomorrow evening. Would this House please make the ambassador of Peru feel very welcome here.

M. Hunt: I have two introductions. First of all, throughout the afternoon we’ll see three groups of students from Surrey Christian School in my riding who will be here — part of their social studies.

[1:40 p.m.]

Also, it’s my pleasure to introduce three members of Wake Up Surrey who are in the House today: Gurpreet Singh Sahota, Sarbjit Singh Sandhu and Monte Ball. These gentlemen have been instrumental in pushing for new tools and strategies to deal with the escalating guns and gang violence in our community. I’d ask the House to make them all welcome.

Hon. D. Eby: Joining us in the House today is Fred Jay. He’s a constituent of mine from Vancouver–Point Grey, up there in the gallery. He is a director on the Kerrisdale Community Centre board. He also sits on the seniors council for the Kerrisdale Community Centre. He’s very proud of the lunch program at the centre for seniors, which he’s a part of. It runs six days a week, with $58,000 worth of annual subsidies for seniors lunches. Would the House please make Fred Jay feel very welcome.

Hon. J. Sims: There are people who work in our offices right here in Victoria who make our life a lot easier. They make sure we go to the places we’re supposed to. They take care of us. My administrative assistant Holly Hubley is with us in the House today, as well as my executive assistant, Mindy Bansal. Please make them both feel welcome.

T. Wat: It is a great pleasure to welcome my two friends from Melbourne, Australia — Zhuofan Zhen and his wife, Qing Lin — as well as two Richmond friends, Weinan Lin and Kitty Huang, to the Legislature. Zhuofan is very actively involved in the Chinese-Australian community in Melbourne. He was one of the founding members of the Lions Club of Melbourne Sino Innovation in 2015 and is the club’s current president. He has come to Vancouver to attend the Vancouver Chinatown Lions Club’s 65th anniversary.

When I visited Melbourne last summer, Zhuofan took me on a tour of the Museum of Chinese Australian History, right in the heart of Chinatown. The museum is housed in a late 19th century five-level warehouse, which showcases the heritage, history and culture of Australia’s Chinese community. I was very impressed with all of the exhibits and how the museum is managed and showcased to local Australians and tourists very effectively. Zhuofan’s Lions Club is now working with the Museum of Chinese Australian History on a world tour of the stories of Chinese-Australians.

Now that our Ministry of Tourism, Arts and Culture is planning on establishing a Chinese-Canadian museum, we should learn from the successful experience of the Melbourne museum, which was established more than 30 years ago, in 1985, and has been running very successfully.

Please join me in welcoming my friends from Melbourne and from Richmond.

N. Simons: Hon. Members, on behalf of the Speaker, I have the pleasure of welcoming 15 new staff members from the parliamentary education office today. The member for Boundary-Similkameen and the member for Saanich North and the Islands had an opportunity, with me, to meet with them.

Over the next four months, we expect over 100,000 school children to visit this place from across B.C. and around the world. It will be the responsibility of the summer tour guides and the Parliamentary Players to explain to our visitors about the role of MLAs, the architecture of these beautiful buildings and the history of our province.

You’ll certainly notice the players, as they will be in period costumes, bringing our parliamentary history to life through their portrayals of Nellie Cashman; Queen Victoria; Mary Ellen Smith; Francis Rattenbury; my favourite, Thomas Uphill; and of course, Hamish the stonemason.

Joining us in the gallery today are Isabelle Ava-Pointon, Stephen Bagan, Rachelle Bait, Hannah Christensen, Aidan Gerrero, Olive Joiner, Teeana Lackner, Ellen Law, Gabrielle Parent, Douglas Peerless, Regina Rios, Daniel Saretsky, Aaron Smail, Taryn Yoneda and Alex Zhang.

Would the House please join…. Well, let’s just all welcome them and wish them a happy summer.

Hon. C. James: We have four staff who are visiting us today from the corporate services division of the Ministry of Finance. They are Cindy McKinstry, Debra Janke, Patricia Laird and Saija Poldrugovac. Would the House please welcome them and also thank them for their commitment to public service on behalf of all British Columbians.

[1:45 p.m.]

S. Cadieux: I have two friends in the gallery this afternoon, both from the south Island, so I can’t claim credit for them as constituents — but two friends.

Charlene Froom and I go way back. I was going to say we were old friends, and then I realized that that would be insulting to both of us. We are good friends, and our work goes back many years to when I was with the Spinal Cord Injury Organization of B.C.

With her is Capt. David Willows. He is a father of a son with a disability. Both are tremendous advocates, and they’ve ramped up their advocacy since the change to the building code in the fall with the change in parking regulations.

I would like the House to make them welcome and thank them for their efforts.

R. Singh: I have two sets of introductions today. First, I would also like to welcome the members of the B.C. advocacy group for Diabetes Canada — Russell Williams, Mario Miceli and Ed Sem — who are in the gallery today. We had a very productive meeting with them earlier, and I really want to thank them for their advocacy. Would the House please make them feel very welcome.

Also in the gallery is a great friend and activist, a volunteer for not only my community office but also many Surrey offices, Margaret Barron. She’s here in the gallery. She’s a really, really strong supporter.

Margaret, I would really like to thank you for all the great work you do.

I would really like the House to welcome her.

Hon. D. Donaldson: I have the great pleasure of introducing three family members today who are attending question period. The first is Anne Donaldson, my wife, from Hazelton, who’s here helping out with taking care of grandchildren while our daughter-in-law attends a conference.

The second is our daughter-in-law — more like a daughter to us — Cyra Yunkws, who’s a municipal councillor in War­field. She was raised in Hazelton, and she’s also a constituency assistant to the member for Kootenay West.

The third, last but not least, is an extended family member, I’ll say, Renée Paquette, who’s celebrating her 12th birthday today. She’s in the gallery. She’s from Hazelton. Her mother is here as well — Julie Maitland, who is a constituency assistant in Hazelton.

Would the House please make all of them welcome.

Deputy Speaker: Members, just a reminder that at 1:55 p.m., most cell phones will receive a test alert notification. So don’t panic. It’s just a test alert notification.

Introduction and
First Reading of Bills

BILL M213 — PROHIBITING DRIVING
WITH ILLEGAL FIREARMS ACT

M. Hunt presented a bill intituled Prohibiting Driving with Illegal Firearms Act.

M. Hunt: I move that a bill intituled Prohibiting Driving with Illegal Firearms Act, of which notice has been given in my name on the order paper, be introduced and read for the first time now.

The Prohibiting Driving with Illegal Firearms Act ad­dresses the transportation of illegal firearms in British Columbia, which is often tied to organized crime. If passed, this bill would amend the Motor Vehicle Act and make it an offence to drive with an illegal firearm on a motorway, an idea that was proposed in the B.C. Task Force on Illegal Firearms report of 2017. Anyone found guilty of driving in possession of an illegal firearm would face up to six months in prison and fines up to $10,000, in addition to a one-year driver’s licence suspension.

This bill addresses concerns raised by our law enforcement officers, some of the finest women and men, who work every day to keep us and our loved ones safe.

Motion approved.

M. Hunt: 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 M213, Prohibiting Driving with Illegal Firearms Act, 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)

LAIDA FALSETTO

J. Routledge: Every year the city of Burnaby recognizes one of its citizens for outstanding service to the community. This year it was Laida Falsetto. Laida teaches at Byrne Creek secondary, where she mentors, leads and champions some of our community’s most vulnerable youth.

[1:50 p.m.]

The student population come from 80 different countries and speak 70 different languages. More than 50 percent of them do not speak English at home.

Ten years ago Byrne Creek discovered that many of their students did not have enough English to graduate, let alone find meaningful employment. So they created PAWS, Paving A Way for Success, that supports refugee students to thrive in Canadian society. Laida became part of it.

When she accepted her award, Laida told a story. She was leading a discussion in PAWS and invited her students to brainstorm the meaning of success. “Owning a car,” said one. “Owning a house,” said another, and so it went. She noticed one young man who was not participating in the discussion, so she asked him: “What’s going on?” He replied: “I don’t agree with anything they are saying, I think these definitions are selfish.”

For him, he said: “Success means going back to my home country to build a school.” That totally changed the conversation. They all started talking about the importance of helping others.

Laida could have chosen to tell so many other stories, like how she packs food hampers for families in need or how she spends countless hours mentoring the student government. Instead, she chose to tell a story about somebody else, about a student who redefined success and influenced the thinking of his peers.

I would add that that this happened only because she saw him and encouraged him to speak up. That story says a lot about who Laida Falsetto is and why she’s Burnaby’s Citizen of the Year.

SHERRY ELWOOD

L. Reid: I rise today to recognize an outstanding educator. Sherry Elwood’s career in public education spans 36 years, including teacher, school administrator, assistant superintendent and superintendent.

In each of her roles, she’s been characterized as passionate about public education and courageous and determined in all interactions. She has modelled relentless dedication and keeping what is best for students at the heart of every discussion and every decision.

Sherry Elwood has been a superintendent of schools for school district No. 38, Richmond, since 2016. She spent the previous six years in school district 71, Comox, as the superintendent of schools. She was there with former MLA Don McRae.

Sherry has over 20 years of progressive, senior administrative leadership within the school system of British Columbia. She has demonstrated an ability to work as a collaborative leader, innovator, problem solver and mentor for students, parents and staff alike. She’s a former president of the British Columbia School Superintendents Association.

Richmond is better for her leadership. I wish her many magical moments and much intellectual stimulation in all future endeavours. Sherry is an incredibly bright and talented leader who has set the bar for Richmond.

ECONOMIC DEVELOPMENT

R. Glumac: We have a vast province and a wide diversity of communities and regions. Each one has distinct economic development needs and aspirations.

It’s important to highlight and celebrate the many economic development achievements across this province. That’s why we are proud to proclaim this week, May 12 to 16, as British Columbia Economic Development Week. There will be events across the province organized by the B.C. Economic Development Association, including workshops and courses and the release of the Towntalk report, which presents issues facing B.C. communities and solutions recommended by peers.

Every day across B.C. local leaders, community organizations, local, regional and Indigenous governments work to respond with innovation and creativity to the economic development needs of the communities they serve. It’s important that we share the great prosperity of this province that comes from an economy that is strong, innovative and resilient — an economy that takes advantage of emerging opportunities to grow a vibrant tech sector, an economy that directly acknowledges and tackles challenges of climate change, an economy that recognizes and supports the strengths of all sectors.

Our government is committed to creating good jobs in every corner of this province and ensuring that people from every background can reach their full potential.

We thank all those working in the economic development field for their passion and commitment to strengthening their communities and ensuring prosperity for future generations.

[1:55 p.m.]

PEACE RIVER AREA
GRANDMOTHERS OF MLAs

G. Kyllo: A coincidence is an example of two things relating to each other or having some connection that was unexpected. Today I have a rather interesting coincidence to share with this House. It begins with my grandmother, Edith Kyllo, an amazing woman who had a significant impact on my life.

Born and raised in Vancouver, Edith became a school teacher but always had the desire to be a pioneer. She took a job teaching in Hudson’s Hope, where life was, well, just a bit more primitive. She taught in a one-room schoolhouse with a small living quarters at the back. Grandma lived without electricity, hauled her own water, cut and split her own firewood, and spent a lot of time working with her hands.

She taught grades 1 through 8, shaping young minds long before the creation of the term “class size and composition.” She also helped form the North Peace Historical Society, based in Fort. St. John, and was asked by her friend Marguerite Davies and Cora Ventress to collaborate on a book paying tribute to the pioneers of the Peace.

In 1973, Edith, Marguerite and Cora co-authored The Peacemakers of North Peace, a compilation of history and biographies of pioneers from areas north of Peace River. What Edith and Marguerite didn’t know at the time was the connection their grandsons would forge decades later, because Marguerite Davies’s grandson sits right beside me in the Legislature every day.

What are the chances that of the small percentage of people even elected to this place, their two grandsons would be among them and that they would also happen to be seated next to each other in the people’s House? It’s a strange coincidence, but we both believe our grandmothers would be very proud to see us here, just as we are so very proud of them and their many accomplishments, including co-authoring the book The Peacemakers of North Peace.

PEERS VICTORIA RESOURCES SOCIETY

M. Dean: I’m very proud to rise today to shine a light on some innovative and effective work in our region that supports some of the most vulnerable in our community. Peers, which is an innovative, multiservice grassroots agency, was established in 1995 by, with and for sex workers.

In partnerships, Peers provide an array of outreach and drop-in harm reduction and support services, alongside education and employment training for current and former sex workers. Their night outreach is a community-based service located on the Victoria stroll, and they also offer an outreach program for men and trans individuals in the sex industry. They also have a bad-date sheet and work with the Victoria police in reporting violence against persons in the sex industry.

Recently they were successful in their applications for three crime prevention and remediation grants to enhance their programs, like their Indigenous SACRED — Indigenous sex workers acknowledging, creating and redefining experiential diversity — project, which will offer monthly group meetings that focus on sharing a meal and cultural knowledge in support of a holistic healing model; and their pilot clinical counselling service for those currently or formerly involved in the sex industry who have experienced sexual and/or intimate partner violence.

They’re also going to provide a small business training program, which will provide a flexible option to enhance economic security for women transitioning from the sex industry. The program provides a comprehensive curriculum designed to enable participants to launch their own small business.

I’d like to take this opportunity to thank everyone involved with Peers in support of these critical services.

PEACE RIVER AREA
GRANDMOTHERS OF MLAs

D. Davies: I’m honoured today here to offer a bit of a follow-up, or maybe part 2, to my colleague from Shuswap.

[2:00 p.m.]

My grandmother, Marguerite Davies, was living in Comox as my grandfather was posted there in the air force during the Second World War. After the war, she and her young family headed north, in 1949, after hearing of the many opportunities in the Peace country. She arrived on the train with her family to start a new life in the mostly unheard of village of Fort St. John, population 1,400. Fort St. John was not much more than a main street. If you can believe, there was only one lawn in the whole community, and the only pavement was at the airport. After being in Comox and from Ontario originally, this was quite different than what she was used to.

My grandmother quickly got engaged in the community. She was active in the Presbyterian Church, the literacy club and the local writers guild, writing poetry and plays and winning a provincial award for best original script. Almost all of her writings were to do with the North Peace.

In September 1963, a group of residents — including Edith Kyllo, grandmother of my colleague for Shuswap — were interested in preserving the history of the north. They organized themselves as the North Peace Historical Society, and the first meeting was held at my grandparents’. Years later the group built the North Peace Museum, which is still standing today. My grandmother was also a founding member of the public library as well as an active member of the Women’s Institute. Over time, my grandmother and the member for Shuswap’s grandmother became good friends.

My grandparents were stellar people and dearly loved Fort St. John. With the love of the Peace and its rich history, my grandma wanted to preserve that history and, similarly, so did Edith. Working with some other friends from the area, including Cora Ventress, they worked together by compiling many stories and biographies of the Peace.

As mentioned, they created the book in 1973, Peacemakers of the North Peace. It captured our history forever. But more importantly, it captured the incredible stories that the Peacemakers made that make our community today.

As stated, it is quite amazing that here we are 50 years later, my colleague and I, sitting in this chamber, a set of grandchildren from a couple of amazing grandmas that many years ago created an incredible lasting legacy today.

Deputy Speaker: Members, generally speaking, props are not allowed to be used in the House. But in this case, both members had the permission of the Chair.

Oral Questions

ACTION ON GAS PRICES

A. Wilkinson: Another day, another day of record gas prices. Every time this comes up in the media, the Premier seems to go off track and come up with a new excuse for why nothing can be done. In the past 30 days, we’ve catalogued at least eight excuses, none of which have amounted to anything in terms of consumer satisfaction or getting a better deal at the pumps.

The position he took a year ago was that we’ve talked about a range of options. A very simple question. It should be a straightforward answer. It’s a matter of factual record of what happened a year ago. Premier, what were those options?

Hon. J. Horgan: The opposition didn’t take the opportunity to ask me this question yesterday. I would have, at that time, advised them that I spoke with the Prime Minister, the owner of the Trans Mountain pipeline, about getting more refined product into that pipe so that it would, through supply and demand…. Again, a principle not unknown to members on that side of the House — that an increase in supply would see a decrease in prices. I think that that’s in the interest of the people of B.C., in the interest the people of Canada, and so does the Prime Minister.

Deputy Speaker: The Leader of the Opposition, supplemental question.

A. Wilkinson: Here we go again. Apparently, the Premier didn’t bother to read the Globe and Mail over the weekend, where Justine Hunter made it very clear what the commercial terms are on pipelines. Those who own the pipes do not control what goes into them. The shippers own what’s in the pipe, and those are oil companies controlled by the government of Alberta, with which the Premier has picked a big fight. So that excuse goes out the window.

Premier, you’re continuing to make it up as you go along. You’ve claimed you have a range of options. A month ago, you said you’d have your deputy look for options. Now you say you want to get the basic facts straight from the B.C. Utilities Commission.

Why not just make a phone call to Edmonton and ask for the information?

[2:05 p.m.]

Hon. J. Horgan: It’s news to me that the government of Alberta controls the oil companies that operate there. That’s news to me. I was unaware of that.

If that is in fact true, then I’m sure the Utilities Commission, when they’re laying out a common set of facts so that we don’t have the partisan hectoring we’ve been having over the past number of weeks…. We can start with the same facts, the same concerns, and focus in a united way, as the…. I know the House Leader wants to get in on this as well, but the Leader of the Opposition…

Interjections.

Deputy Speaker: Members, one speaker at a time, please.

Hon. J. Horgan: Thank you, hon. Speaker.

…sent me a letter not a week and a half ago saying, “Let’s all work together on this,” and I agreed with him entirely. But it didn’t last. The sentiment in the letter didn’t last as long as the ink was wet before, again, the partisan hectoring started.

I would argue that getting a common set of facts from an independent regulator that will allow British Columbians to understand how we got here, how a 40-cent increase in the price of a litre of gasoline could happen over a number of months without any other intervention…. I think that’s useful information. I thought the Leader of the Opposition would like to see that.

Deputy Speaker: The Leader of the Official Opposition on a second supplemental.

A. Wilkinson: Well, let’s get a few basic facts straight. The Premier doesn’t have to hire anybody or pay the Utilities Commission to do it. Oil comes out of the ground in Alberta. It goes through a pipeline to B.C. We buy it. Fairly straightforward.

Premier, the problem is that the motorists of British Columbia….

Interjections.

Deputy Speaker: Members. Members, let’s listen to the question, please.

A. Wilkinson: The drivers, the motorists, people in British Columbia who use 80,000 barrels a day of gasoline are waiting for some answers about relief. You turn to them with eight different excuses, nothing of consequence at the pumps, and now the plan, the program, the cabinet-level decision, is: we’ll get the basic facts.

When are drivers going to get some relief from this government when you know the only answer is to make peace with Edmonton and cut taxes?

Hon. J. Horgan: The party that increased taxes by 15 cents over their time in office is now saying that taxes are the problem. Where were you in 2007? Where were you in 2010?

The part that’s absolutely scintillating in that question is the Leader of the Opposition says that it comes out of the ground, goes into a pipe and we buy it. That used to be the case when refined products were on the ascendency rather than on the decline. What’s coming through that pipeline now, what will be assured to come through the pipeline if it’s twinned, is diluted bitumen, and the last time I checked, not even a car from Quilchena could use diluted bitumen.

J. Johal: Now, it turns out that when the pain-at-the-pump Premier told British Columbians a year ago that he was considering a range of options, even a member of his own caucus fell for it. On Monday, the member for Powell River–Sunshine Coast said: “You ask: what did the government consider? I’m not in the cabinet room, but they probably considered every option…and they probably dismissed them.”

Can the Premier confirm if this is true and tell us what those options were?

Hon. J. Horgan: I take counsel and guidance from the member for Powell River–Sunshine Coast all the time. What I will not do is continue to play a partisan finger-pointing game with the official opposition.

These are people who were…. Their founding principles are free enterprise. You hear it everywhere they go, “We’re the free enterprise party,” but not when it comes to being in opposition. Now it’s: “How can we get a headline, and how can we get a billboard? We’ll use public money. We’ll put up a billboard and blame someone else for market forces.”

The Leader of the Opposition knows that. That’s why he’s tired of this line of questioning. I don’t know why the guy…

Interjections.

Deputy Speaker: Members.

Hon. J. Horgan: …from Richmond doesn’t get that as well.

Market forces, my friend. We’re working as hard as we can with the Prime Minister. This is an issue of national consequence. He understands that.

Interjections.

Deputy Speaker: Members.

Hon. J. Horgan: I understand that. Why don’t you?

Deputy Speaker: One speaker at a time. That will help.

The member for Richmond-Queensborough on a supplemental.

[2:10 p.m.]

J. Johal: The Premier has taken eight different positions on this issue, and it’s simple. Every time he gets pressured by the media, he just makes it up. It’s one conspiracy theory after another. This Premier, for the last couple of weeks, has been boxing with shadows — nothing more, nothing less.

Former Premier of Saskatchewan Brad Wall suggested today that if our B.C. Premier wants to find the reason for high gas prices in Vancouver, he should go purchase a mirror.

The whole mess is this Premier’s fault and this entire NDP government’s. It was the Premier who said a year ago that he had looked at a range of options, and he was the one who promised relief at the end of the day.

What option was the Premier referring to a year ago, and when will he give British Columbians the relief at the pumps that he has promised?

Hon. J. Horgan: As much as I’m reluctant to quote one media source, the Leader of the Opposition already talked about the very capable work done by Justine Hunter in the Globe and Mail over the weekend, where she talked about a range of factors that go into the increase in prices at the pump.

I would have thought…. Again, I can’t just shake this from my mind, but I know people on this side of the House, after a decade and a half of hearing that the only people that understood the economy were the free enterprisers over there…. Now, all of a sudden, they’re interventionists. They don’t want to have SkyTrain. They don’t want to have roads in British Columbia. They don’t want the resources that come from the pumps…

Interjections.

Deputy Speaker: Members.

Hon. J. Horgan: …that go to making life better for British Columbians. They want to just eliminate all of that. And they probably want to give…

Interjections.

Deputy Speaker: Members.

Hon. J. Horgan: …money back to the richest people in the province as well.

I think if there’s anyone that’s at sea and adrift, it’s the people on that side of the House. You have to have a philosophical foundation. That’s all you used to be, and now you don’t even have that.

Interjections.

Deputy Speaker: Members, I think it’ll work really better if we listen to each other. That would be a really novel idea.

PROTECTION OF OLD-GROWTH FORESTS

A. Olsen: I love the “you started it” response. That always is a very mature thing to say.

Port Renfrew, formerly a logging town, has rebranded itself as an ecotourism hot spot. This is driven in large part by the protection of Avatar Grove, an ancient coastal old-growth forest. The community is immensely proud of this. Their region is known internationally, and their economy is now thriving because their remaining ecosystem is intact. But this is at risk. Although Avatar Grove itself is protected, 109 hectares of ancient forest near Port Renfrew has been designated by B.C. Timber Sales for cutting. The clearcutting will occur within 40 metres of the Juan de Fuca Provincial Park boundary.

The citizens of Port Renfrew are frustrated by this government’s shortsighted approach. They’re angry that short-term corporate profits are valued more than the long-term local profits. The sound of these ancient giants falling will be heard by the same tourists that travelled from around the world to view the endangered forests. Their stories will be that of sorrow, not of wonder.

To the Minister of Forests, we hear the ministry and Timber Sales may be postponing the auction of old-growth timber in the Premier’s riding. The public wants to know: is this an outright cancellation or a postponement, and if it’s the latter, for how long?

Hon. D. Donaldson: I want to just acknowledge the member for Saanich North and the Islands’ question about a very important topic.

We’re blessed with amazing forests in this province. There are a variety of perspectives on old-growth management. Our government is committed to protecting the important biodiversity of old-growth forests. We also recognize the value of old-growth forests as they sustain wildlife, an important part of B.C.’s natural heritage. We’re also committed to ensuring the continued vibrancy and an innovative forest sector. Over 24,000 people are employed in the coastal forest sector.

When it comes to protecting old-growth forests, the Minister of Environment and myself met with environmental stakeholders earlier this year. We wanted to hear directly from them as part of our ongoing talks to inform our old-growth plan. In the very near future, we’ll be launching the public engagement for this process. As far as the Port Renfrew proposed B.C. Timber Sales cutblocks go, the member is correct. The original timber sale licence comprised seven blocks totalling 109.2 hectares.

[2:15 p.m.]

Before putting up the sale, B.C. Timber Sales referred first to the Pacheedaht First Nation and conducted field work with that First Nation to identify archaeological values. They conducted environmental assessments to ensure that stream and fish habitat, species-at-risk and bear den assessments were done. They confirmed that no red- or blue-listed plant communities were identified during the layout and that no legacy trees were identified within the BCTS blocks. Now BCTS is no longer considering advertising this sale in order to engage with the stakeholder, who was inadvertently missed during the initial referral process.

Deputy Speaker: The member for Saanich North and the Islands on a supplemental.

A. Olsen: Port Renfrew is transitioning to a different approach to harvesting their surrounding resources. Unfortunately, it’s outside the current forest policy box, because it supports local profits over the long term. They want to harvest the value of living old-growth trees as part of a responsible, transitioning economy, away from death and destruction.

As we’ve heard in the tightrope rhetoric here today and in the previous questions from this week in question period, our Forests Minister doesn’t recognize this. Instead, he cites an appalling example of extracting old growth to fund a roof, the roof of a curling rink. This appalling example he used on Monday is absurd, and it’s embarrassing. It clearly highlights that this government’s definition of managing old growth, as he responded in the first question, is to cut it down and to continue cutting it down until it’s all gone. This is not an economic vision. It’s shortsighted. It does not support a community, an ecosystem or future generations.

I love curling, Mr. Speaker, but I love air and water and living more. The minister recognizes the economic value of liquidating old growth, but when will he recognize the long-term economic value of leaving old-growth trees in the ground?

Hon. D. Donaldson: Well, old-growth forests are not being liquidated on Vancouver Island. We have over 500,000 hectares of old-growth forests on the Island, so old growth will not disappear from Vancouver Island.

We do recognize the interests of local communities and other stakeholders in old-growth forests that reside outside those protected areas. I would refer the member to the hundreds of school children from a neighbouring First Nation who actually use the curling rink facility that I visited up in Port Hardy.

We’re committed to protecting old-growth forests, as well as continuing with a vibrant forestry sector — the 24,000 jobs that rely on old-growth forests in this province. We’re undertaking an old-growth management plan, and we’ll be conducting public engagement soon on that plan.

ACTION ON GAS PRICES AND
INVESTIGATION OF PRICING PRACTICES

S. Bond: A year ago the Premier received a report on gas prices, and here is one of the key findings that he received in that report. “There is no sign of non-competitive or unfair business practices.” Simply put, the report rules out gouging, yet the Premier continues to rely on this as one of his excuses virtually every single day.

Can the Premier tell us whether he read the report and his view of the facts, about there being no gouging in British Columbia, that he was provided with?

Hon. B. Ralston: I will attempt to add to….

Interjections.

Deputy Speaker: Members, let’s listen to the response, please.

Hon. B. Ralston: I will attempt to add to what the Premier has already stated. He’s written a letter to the B.C. Utilities Commission. In fact, in that letter, he remarks that the situation from last year has changed. Ordinarily, there was a gap of the refined price, before taxes, of two to three cents between Edmonton and Alberta. That gap has now widened to 25 cents in the month of May. That’s a very different situation from the situation that was looked at a year ago.

[2:20 p.m.]

What the Premier has asked the Utilities Commission is to use their expertise — their subpoena power, if necessary — and to investigate that price gap difference. It would seem, arguably, that that’s a very, very big difference from last year, and the oil companies might have some explaining to do. So that endeavour is underway, and we will see what comes forth from that inquiry.

Deputy Speaker: The member for Prince George–​Valemount on a supplemental.

S. Bond: We should just repeat the question, in case the minister missed it. The fact of the matter is that the Premier got a report over a year ago — which, presumably, he read — that said there is no gouging. That’s certainly not a question he needs to ask again.

What’s completely apparent is that the Premier just continues to make it up day after day. We have no idea whether he read the report or not. In fact, he’s on his eighth position that he has taken in just the last month, and none of those things will do anything to provide relief at the pump. In fact, he has already told the commission not to bother looking at taxation.

Well, that’s not good enough for British Columbians. It’s time for the Premier to stop blaming everybody else, to look in the mirror and to do something about it.

Will the Premier stand up and provide the relief that he promised to British Columbians?

Hon. B. Ralston: Well, I think the more prudent course would be to wait for the Utilities Commission to investigate and come back with some answers. Frankly, I would rather take advice….

Interjections.

Deputy Speaker: Members.

The minister will continue.

Hon. B. Ralston: Thank you, Mr. Speaker.

I think I would rather take and I think the assembly would be wise to take advice from the Utilities Commission, as opposed to the member for Prince George–Valemount, who clearly has already made up her mind in the absence of any evidence whatsoever.

J. Thornthwaite: A year ago the Premier claimed to have reviewed a range of options. A week ago, he assured the public that “I’ve had some of the most capable people” in the province of British Columbia looking at gas prices. Yesterday he finally revealed his solution: ask someone else to review it.

Come on, Premier. When are we going to get relief at the pump?

Interjections.

Deputy Speaker: Members, if you want an answer, we have to be quiet.

The minister will continue.

Hon. B. Ralston: Thank you, Mr. Speaker.

It is rather regrettable, I think, that the member who has just asked the question is choosing to denigrate the B.C. Utilities Commission. I don’t really think that’s an appropriate response.

It’s an expert tribunal with subpoena power and expert advice that undoubtedly will get to the bottom of what is, really, a very thorny economic issue. People are looking for an explanation for the increase in gas prices — 40 cents in the Lower Mainland — of which only one cent was an increase in taxes. Yet we hear again this afternoon, from the Leader of the Opposition, the same proposition…

Interjections.

Deputy Speaker: Members.

Hon. B. Ralston: …the so-called plan that he put forward before.

Interjections.

Deputy Speaker: Let’s have order. The minister will continue.

Hon. B. Ralston: Well, clearly, the Leader of the Opposition just acknowledged he has no solution. Frankly, Mr. Speaker, that’s hardly surprising.

A Sauder School, University of B.C., business professor described this so-called Liberal plan as “a completely ineffective proposition. It makes no economic sense,” yet he was just repeating that a few minutes ago. That’s where they’re at.

That’s why the Premier has sent this matter to the B.C. Utilities Commission. We will wait for the answer.

Deputy Speaker: The member for North Vancouver–Seymour on a supplemental.

[2:25 p.m.]

J. Thornthwaite: The Premier, and now this minister, just seem to be making it up as they go along, and British Columbians are paying the price at the pump. The Premier has had at least eight different positions in the last month alone. The only position that my constituents care about is when he said: “If we’re in a position to provide relief, we’ll do that.”

What was the Premier talking about, and when is he going to provide relief at the pumps?

Hon. B. Ralston: Well, this quotation from a University of B.C. business professor is not made up. It’s a real quotation from a real person, a very authoritative person, saying about the so-called Liberal plan: “A completely ineffective proposition. It makes no economic sense whatsoever.”

The member has accused me of making things up. Let’s hear what the “BCBusiness report card” said. B.C. Business, an authoritative journal here in the province, published monthly, said, and let me quote from that report card: “It seems pretty clear that this is a desperate party doing desperate things…”

Interjections.

Deputy Speaker: Members.

Hon. B. Ralston: “…like putting up billboards rallying against the carbon tax that their party started.” And they gave them a grade of F-minus. No wonder.

ACTION ON GAS PRICES AND GOVERNMENT
POSITION IN ALBERTA COURT CASE

M. de Jong: This really remarkable discrepancy has arisen between what the Premier is saying to British Columbians about this very troubling issue and what he and his government say when they are in a legal setting, where they’re obliged to tell the truth. The discrepancy is really remarkable.

Interjections.

Deputy Speaker: Members, let’s hear the question, please.

M. de Jong: To British Columbians, he says: “The gas companies are gouging you, these evil energy companies.” The Premier didn’t have any problem being on the stage with one of them a few weeks ago, by the way. “These evil energy companies are gouging you.”

But when he’s in court in Alberta, swearing affidavits to explain the situation we’re in, how does he explain it? Well, fuel prices are about “availability of supply, international market pricing, exchange rates, the cost of refining crude oil, the cost of transporting gasoline to retail outlets, federal and provincial taxes, as well as political and social instability.”

You know the one word that’s not in the affidavit? Anything about price-fixing and price gouging. Nothing in the government’s own legal documentation.

When is the Premier going to stop saying one thing to the Alberta court and something completely different to British Columbians?

Hon. B. Ralston: What the Premier has said clearly in his letter to the B.C. Utilities Commission, a public document, is: “British Columbians want to know why refining margins are so much higher than in other parts of the country.” Refining margins are “more than double the Canadian average and higher than any other city in North America. This suggests that producers are realizing a significant additional profit margin for fuel sold in Metro Vancouver compared to other jurisdictions. This is not acceptable, and British Columbians want answers.”

That’s what the Premier said here in a public document.

M. de Jong: You know what British Columbians want? They want their Premier to stop saying one thing in a court in Alberta and a completely different thing to British Columbians here at home.

I always find it curious when one of the ministers from the cabinet has to stand up and begin his answer with “what the Premier really meant,” or words to that effect.

The Premier started a fight. He’s now in court trying to extricate him and, more importantly, British Columbians from the ill effects of that fight. He has got officials on behalf of British Columbia swearing affidavits about what contributes to the cost of fuel in British Columbia.

[2:30 p.m.]

They are swearing documents and filing them in court in pursuit of that application, and not once do they mention anything about price gouging. Yet the Premier insists and persists in trying to persuade British Columbians that they are the victims of price-fixing and price gouging. When is he going to come clean with British Columbians, stop saying one thing to Alberta courts and something completely different to British Columbians?

Hon. B. Ralston: Always nice to hear the come-clean metaphor trotted out once again.

Interjections.

Deputy Speaker: Members. Let’s listen to the answer, please.

Hon. B. Ralston: The people on the other side are really settled into opposition when you start using the come-clean metaphor.

This member has been around here long enough to reflect on the fact…. I think he should really reconsider his comments. I was quoting a letter written by the Premier. So to suggest that, somehow, my words are at variance with those of the Premier…. This is a letter written by the Premier.

Why are we in court in Alberta? We are not taking the advice of the Leader of the Opposition, who said: “Do nothing. Don’t stand up for British Columbians.” We’re in court in Alberta standing up for British Columbians, and we will continue to do so.

ACTION ON GAS PRICES

P. Milobar: Well, it’s unfortunate that the minister has to read from a letter of the Premier and the Premier would not answer the question, because British Columbians are paying the highest gasoline prices and the highest gas taxes in North America. That is a fact.

The minister keeps offering up all sorts of solutions. Earlier in the week, the minister suggested we should all go out and buy a Costco membership to be able to afford to buy fuel at the pump. That was a really good one too. We have the government in court, saying, “Don’t send us more oil,” and we have the government in court, saying: “You have to send us more oil.” We have a government that says that CleanBC is going to get us off of fuel, and we have a Premier saying he needs a bigger pipe to try to get more fuel here. The government needs to figure out what exactly it is that they need.

We have the Premier saying that he now needs the Utilities Commission to tell him how the market works, yet in their filings…. They didn’t seem to need the Utilities Commission for the filing in the Alberta court. Again, this Premier is promising, over and over again…. I will quote him. He says: “If we’re in a position to provide relief, we’ll do that.” Again, that was a year ago.

What exact options was the Premier looking at a year ago that he’s refused to answer with endless questions now to provide to the public an insight into what the government was actually looking at for relief for people at the pumps? Just one option — one option — that the Premier was even looking at would be so helpful.

Interjections.

Deputy Speaker: Let’s be quiet.

Hon. B. Ralston: This government has pursued an affordability agenda in our last budget. By the end of this year, British Columbians will pay no MSP premiums — a tax break of $900 per individual, $1,800 for a family, the biggest single tax break in the history of British Columbia. Eliminated tolls on bridges — the member from Abbotsford should be happy about that. Eliminated interest on student loans. Eliminated PharmaCare deductibles for up to a quarter of a million people here in British Columbia. Free bus passes. I could go on. There’s so much more. There’s so much more.

[End of question period.]

Point of Privilege

(continued)

M. Polak: I rise on behalf of the member for Prince George–​Mackenzie to provide a reply to the point of privilege raised by the Minister of Justice and Attorney General.

[2:35 p.m.]

The Minister of Justice and Attorney General, “the Attorney,” has raised a point of privilege pursuant to Standing Order 26. In his submission on May 6, 2019, he alleges that the member for Prince George–Mackenzie, “the member,” deliberately misled the House in a statement delivered Monday, April 29, 2019.

On April 29, 2019, the Attorney rose at the end of the day, just prior to adjournment, to reserve his right to raise a matter of privilege. Standing Order 26 requires that he do so at his earliest opportunity. I submit that his earliest opportunity was at the beginning of the afternoon sitting.

Interjections.

Deputy Speaker: Members, let’s listen to the reply.

Please continue.

Interjections.

Deputy Speaker: Members, let’s listen to the reply, please.

Member.

M. Polak: On April 30, 2019, the Attorney made a submission that fell far short of the requirements under Standing Order 26. Indeed, the submission failed to even mention Standing Order 26. As I understand it, the April 30, 2019, submission was not provided to the House in written form, nor did it contain the motion that the Attorney intends to move, should the Chair find a prima facie case has been established. Both of these elements are required under Standing Order 26, and I provide reference to Parliamentary Practice in B.C., fourth edition, pages 64 and 65.

On May 1, 2019, I advised the House that in the absence of a point of privilege as defined by Standing Order 26, I saw no reason for the member to submit a response. Consequently on May 2, 2019, the Attorney advised the House that he would make another submission. He provided that submission on May 6, 2019, a full week after the statement made by the member.

I draw the Speaker’s attention to the decision of Speaker Schroeder. I won’t read the entire decision here. It’s reported in the B.C. Journals, 1982, November 25, 26, pages 15 and 16. It relates to a member’s failure to raise a point of privilege at the earliest opportunity. Speaker Schroeder concludes, in part: “There is no doubt that the onus on the member raising a matter of privilege is a heavy one, but the Chair has no authority to relax these rules.” I submit that the Chair should not allow this matter to proceed, as the Attorney did not make a full submission consistent with Standing Order 26 until May 6, 2019, a full week after the statement in question.

Should the Speaker, however, be satisfied that the Attorney raised his point of privilege consistent with the requirements of Standing Order 26, I ask that he consider my submissions respecting the substance of the Attorney’s complaint. In order to succeed, the Attorney must present a prima facie case that the member not only misled the House but did so deliberately. It is not sufficient to present facts that are in dispute. Parliamentary Practice in British Columbia, fourth edition, page 351, in quoting Beauchesne’s, fourth edition, at citation 113, states: “A dispute arising between two members, as to the allegations of fact, does not fulfil the conditions of parliamentary privilege.” It goes on to say: “However aggrieved a member may feel, this does not permit the Chair to extend the law of parliamentary privilege.”

In another decision of Speaker Schroeder, in B.C. Journals, April 13, 1982, page 41, he says:

“It might be appropriate to observe that in this chamber, by its very nature, countless disputes relating to allegations of fact will arise and with great frequency. To routinely convert those disagreements into what amounts to a charge of deliberately misleading the House would be contrary to well-established traditions observed throughout all parliaments. This tradition states that all hon. members will accept the word of all other hon. members, a tradition which I commend to this House.”

Considering the matter at hand, given the member’s unique knowledge and experience, there is even more reason to accept his statements. The authorities make special note of a member’s statements respecting their own personal experience. Beauchesne’s Parliamentary Rules and Forms, fourth edition, citation 145, page 126, states: “It has been formally ruled by Speakers in the Canadian Commons that a statement by an hon. member respecting himself and peculiarly within his own knowledge, must be accepted, but it is not unparliamentary to temperately criticize statements made by a member as being contrary to the facts, but no imputation of intentional falsehood is permissible.”

[2:40 p.m.]

Finally, in the case that there remains any doubt, the member stands by his statement of April 29, 2019. I will provide the Speaker with a statutory declaration sworn by the member in support of this submission, which I will read now, on behalf of the member for Prince George–Mackenzie.

“When I served as B.C.’s Solicitor General, I was briefed with respect to numerous ongoing domestic, national and international investigations related to organized crime, homicide, drug trafficking and money laundering, including E-pirate investigations. These investigations had been ongoing since before 2014. Some of these investigations were initiated as a result of intelligence gathered at B.C. casinos, including videos later released to the media and subsequently referred to by the Minister of Justice and Attorney General, the Attorney.

“The joint illegal gaming investigations team was established by the B.C. Liberal government to address the issues we were well aware of around illegal gaming. This included money laundering. As B.C.’s Solicitor General, I was briefed on at least two occasions regarding ongoing complex international investigations by this unit.

“Based on my extensive experience as a criminal investigator and a supervisor and manager of major, complex criminal investigations, I believe the Attorney failed to respect the need for strict confidentiality pertaining to an ongoing criminal investigation. All information must be held in confidence until a prosecution and any related appeals have concluded.

“In making my statement in the Legislature on April 29, 2019, I was aware that the report released by the Attorney General in September of 2017 contained a strict confidentiality clause. It stated: ‘This report is private and confidential. It is not intended for general circulation or publication. For certainty, this report may not be disclosed, copied, quoted or referred to in whole or in part, whether for the purposes of litigation, disciplinary proceedings or otherwise, without our prior written consent in each specific instance.’

“In September 2017, the Attorney released the MNP report dated July 26, 2016, and publicly commented about an ongoing investigation. I was aware, for the reasons stated in paragraph 4, that the report was not intended for public release. Not long after that, federal prosecutors announced they would not be proceeding with the prosecution of a high-profile case. Based on my knowledge and experience, I concluded the release of the MNP report and the comments made by the Attorney contributed to the failure of this prosecution.”

Considering this submission, along with the attached statutory declaration provided by the member, I respectfully submit that the Attorney’s application must fail.

Hon. M. Farnworth: I thank the member opposite, the Opposition House Leader, for her submission. I would respectfully submit that this is more than just an everyday Standing Order 26 decision, but rather….

Interjection.

Hon. M. Farnworth: Excuse me. I have the floor. Thank you very much.

Point of Order

M. Polak: I do not recall, upon close inspection of Standing Order 26, any provision for another submission on behalf of the member, the Minister of Justice and Attorney General, whether it be from the House Leader or anyone else. I’m not aware of any provision in Standing Order 26 that would allow for this.

Deputy Speaker: The Chair will listen and hear both sides and will make a deliberation after we hear the comments. The Chair has the discretion to hear both sides, and then we’ll make the decision after that.

M. Polak: The submission of the Minister of Justice and Attorney General was made under Standing Order 26. I have made my submission and response, under Standing Order 26. The member just rose to say he had a further submission. I am not aware of anything in the standing orders that would allow the member to do so.

Deputy Speaker: As I stated earlier, the Chair has the discretion to hear from the other members, and the Chair will make the decision afterwards.

[2:45 p.m.]

Point of Privilege

(continued)

Hon. M. Farnworth: The point I was wanting to make was that the comments, the allegations, made by both the Opposition House Leader, in her remarks, and the remarks under question by the member for Prince George–Mackenzie are not just what one would traditionally characterize in this House as a disagreement between members but, rather, a direct impugning of the actions of the Attorney General, who is unique amongst members in this House, in particular being a member of the executive council, whose role has a dual function — that of a minister but that of also the chief Attorney for the province of British Columbia.

When that kind of impugning takes place, I believe that it is more than just to say: “Oh, it was too late.” I think that it deserves full and complete consideration, given the importance of the integrity of that office.

Deputy Speaker: Thank you, Members. The Chair will take this under advisement and will come back and inform the House about its decision.

Orders of the Day

Hon. M. Farnworth: In this chamber, I call continued debate on the estimates of the Ministry of Finance. In the Douglas Fir Room, Committee A, I call continued debates on the estimates of the Ministry of Education. In the Birch Room, Committee C, I call for debate of the estimates of the Ministry of Municipal Affairs and Housing.

Committee of Supply

ESTIMATES: MINISTRY OF FINANCE

(continued)

The House in Committee of Supply (Section B); S. Chandra Herbert in the chair.

The committee met at 2:50 p.m.

On Vote 25: ministry operations, $265,327,000 (continued).

A. Weaver: This is for the benefit of the children in the gallery from, I believe, Surrey Christian School. What we’re doing here in the Legislature is debating estimates for the Ministry of Finance. It’s a time for opposition MLAs, the Liberals or the Greens here, to pose questions to the minister about various budgetary issues that are related to her file. I’ll be asking about some finance questions with respect to natural gas royalties.

The reason why I’m posing these to the minister is that — I did ask last time — the deep-well royalty credit program is actually administered by the Ministry of Finance. The qualified wells receive these credits automatically, and they don’t need to apply separately.

The credit was first created in 2003, expanded in 2014, and in last year’s public accounts, the unclaimed balance of deep-well credits totalled $2.59 billion. A further $3.5 billion has already been cashed in to reduce royalties that would otherwise have been payable. This program has reduced gas producers’ existing and future royalty liability to the Crown by nearly $6 billion.

My questions in this area are this: how many deep-well credits were issued over the past year and to whom?

Hon. C. James: The member asked how many deep-well credits. We don’t have the information around the breakdown of which are new credits and which are continuing credits with us, but I’m happy to get that information for the member of which are new. We don’t have that breakdown with us, and we’ll get that information.

[2:55 p.m.]

On page 120, it identifies the number for new, and that would be $383 million. Then the identifier — the member asked how many and who got them — is personal tax information, so we can’t provide that. But we’re happy to get the information and get it back to the member around the number of new credits for this year.

A. Weaver: Further on…. I suspect I’ll get a similar answer, and I welcome the information at a later date. How many deep-well credits have been issued since 2014 and to whom?

Hon. C. James: We’ll add that to the information for the member. We don’t have that information with us.

A. Weaver: My question, then, is: why is there not a standard public disclosure of these credits and royalties that are received? There is, for example, for stumpage fees in the province, under the harvest billing system. Why are we not making public the royalty credits that are being claimed here?

Hon. C. James: This credit, the deep-well credit, fits under FOI, and under FOI, we can’t release taxpayer information. I can’t give an explanation around why it would be different, as the member talks about, in stumpage. But the requirement is under FOI to protect individual taxpayer information, which would include, of course, the names and the identifiers.

A. Weaver: The inconsistency, as was noted, is with respect to the harvest billing system, so perhaps we could explore that at some other date.

What’s the total value of deep-well credits that are still outstanding and that could be claimed against?

Hon. C. James: As the member pointed out, $2.6 billion in ’17-18. The ’18-19 numbers get reported out in Public Accounts. That tracking is just being done now, and they get reported out in Public Accounts.

A. Weaver: My final question is with respect to FOI, freedom-of-information, requests that went to the Ministry of Finance. The file number, for reference, is FIN-2019-90584. This was a freedom-of-information request put in by an independent person outside of the Legislature. What was being requested there was a list showing the total royalty credits granted to each company that applied for such credits in the most recent fiscal year.

Now, the freedom-of-information requests from the Ministry of Energy and Mines and from the Ministry of Finance provided completely different answers. The Ministry of Energy and Mines had no issue and provided, actually, the detailed credits, by whom and to whom, whereas the Ministry of Finance withheld all information.

[3:00 p.m.]

My question is: why is there a discrepancy between information we’re getting from the Ministry of Energy and Mines versus the Ministry of Finance?

Hon. C. James: The FOI request that the member is referring to was asking about the infrastructure royalty credits. The infrastructure royalty credits actually have a provision where when someone applies for the credit, they give permission for their information to be shared. That’s why Energy and Mines was able to share the information, because the infrastructure royalty credits have that application for the individuals when they apply. So that’s, obviously, a different program than the deep-well credits.

A. Olsen: I just have one question for the minister. Property-assessed clean energy, which is commonly known as PACE, is an innovative financing tool which building owners and developers can use to upgrade their buildings’ energy performance, install renewable energy systems and reduce resource consumption with the financing paid through their property tax bill.

Programs like this have been in place since 2009 in the United States and are currently under development in Alberta and elsewhere in the country. The city of Port Moody recently asked the provincial government to look into legislative changes to allow the city to implement their own similar program.

It’s clear that the climate change crisis will require us to make significant changes, not only to the way we do things. Reducing the upfront barrier of costs would not only help people who retrofit their homes on their energy costs but would also help us to reach our goal of reaching the targets on carbon emissions.

The UBCM passed a resolution asking the government to change the Community Charter to enable municipalities to do this. So I’m just asking the minister. Municipalities are asking for the tools, and we need to do things differently. Has the minister considered implementing an innovative financing tool such as PACE to empower residents and municipal governments to achieve these outcomes?

Hon. C. James: Thank you to the member for raising the question. I think, as the member will probably know, any changes to the Community Charter or the Vancouver Charter sit with the Minister of Municipal Affairs and Housing. I certainly know they review all of the motions that come forward from UBCM, and they’d be reviewing this piece.

As the member points out well, CleanBC does have, in fact, a commitment to looking at net-zero building code applications for all new buildings and to looking at retrofits. Certainly, the Ministry of Finance would be involved in any of those discussions, and all creative ideas and approaches are being looked at.

I’ll certainly have that conversation as well. I’ll pass on the conversation with the Minister of Municipal Affairs, but I’m sure there’s the opportunity to ask that question there as well. But I’m happy to engage in taking a look at the ideas and the program that came forward.

[3:05 p.m.]

S. Furstenau: I also have a question for the minister. It’s a question that I actually asked about last year, so I’m revisiting it.

In my riding, there is the Cowichan Bio-Diesel Co-op. They sell a variety of biodiesels with different levels of biodiesel generated from cooking oil. In some cases, the diesel can be mixed with 5 percent of that. There is a 100 percent biodiesel option available, which is a carbon-neutral, carbon-free biodiesel. We want to, clearly, provide incentives to people to use this kind of fuel in their vehicles, so I’m revisiting the question that I had last year, which was about the carbon tax continuing to be applied to this 100 percent biodiesel.

Interesting to note, Cowichan Bio-Diesel actually just completed an audit for the Ministry of Finance. In that audit, they were able to clearly identify exactly the percentage of biodiesel in all of their fuels, including in their 100 percent fuels, which has often been the reason stated for why the carbon tax can’t be removed from the 100 percent biodiesel. But in this case, they’ve demonstrated quite clearly that they are able to identify exactly which fuel that is.

The question is: can we hope to see the removal of the carbon tax from the 100 percent biodiesel?

Hon. C. James: Thank you for the question and the continued advocacy on behalf of what is a unique company, no question, in Cowichan. And I think that’s part of the challenge, as others catch up to the work that’s being done. The member talked about the identification that the company has done that isn’t practised across the industry and across other examples of biofuel. That then creates the challenge. That’s the challenge of putting together a program for, in fact, one company that’s done the work around the measurement and other companies haven’t. That makes it complex.

Given all of that, there’s no question that we’re continuing to look at how we can incent the use of biofuels, including 100 percent, of course, biofuel. We’ll consider that as part of budget discussions and happy to have further conversations. Happy to receive the information, as well, from the company around the work that they’ve done.

T. Redies: Good afternoon, Minister and staff. Thank you again for giving us this opportunity to ask questions of your ministry.

[3:10 p.m.]

I’m going to start with some general questions around taxation. My first question is: can the minister tell us how many people of the roughly 5½ million people in this province actually pay tax?

Hon. C. James: Perhaps the member could tell us what kind of tax. I mean, there are a variety of taxes out there. There are a variety of taxes, so I wonder if the member could be a bit more specific.

T. Redies: I’m actually referring to the people who file income taxes and pay tax.

Hon. C. James: There are a couple of different numbers. One would obviously be the number of people who file taxes and then the number of people who pay taxes. We’re just gathering that information, and we’ll be able to get that back to the member.

T. Redies: All right. There are a number of questions I have from there.

Perhaps while you’re gathering that information, I’d like to know from the minister how many people under her tax policy are actually going to be paying lower tax and how many people are going to be paying higher tax.

[3:15 p.m. - 3:20 p.m.]

Hon. C. James: Just on the first question that the member asked and quick work by staff. The number of tax filers…. Now, remember, 2016 is the most recent year that we would have information on, of course, because you’re always behind with CRA. The number of tax filers in 2016 was 3.748 million, and the number of people who paid taxes was 2.548 million.

Then the member asked about individual taxpayers and how many individual taxpayers would be paying more tax and how many would be paying less tax. Obviously, we don’t do that kind of analysis for individuals. That’s a much more in-depth process, and there are so many different rationales and reasons for people paying increases in taxes. For example, their wages have gone up, and they’re receiving more pay. All of those factors go into account.

What we do — I think the member can refer to it at page 117 of the budget — is look at the brackets of family income. As the member can see, it’s $30,000, $60,000, $80,000 and $100,000. We do take a look at the net tax that that family would have paid, as the member can see, in 2016, 2017, 2018 and 2019, and then when policies are all fully implemented.

For example, the child benefit doesn’t kick in until 2020. So when it says “fully implemented,” it would mean that for all the three years, the policies would be fully implemented. I think the member can see in each of those years the savings that are there for families when it comes to paying taxes. For example, with an $80,000 family income, they would have paid $5,637 in 2016. When the policies are fully implemented, they’ll pay $3,239.

That just gives the member an idea. I think the member can see the numbers that are there.

T. Redies: I presume that for budget purposes, you must know how many families are in those categories. If so, could you share that with us?

[3:25 p.m.]

Hon. C. James: We’ll gather that information and get it to the member. Obviously, it’s different with each family, so again, you run into the challenges of determining individual families, but there will be some general numbers. Certainly, there are numbers, obviously, that are used for programs, when you’re developing programs. So we can get some general numbers, but it may take a bit for the member.

T. Redies: Thank you, Minister. It will be interesting to get that information.

I wonder if the minister might be able to explain to us, or at least provide a dollar number, the increased taxation on businesses and families since the government took office to the end of 2022, the fiscal plan.

[3:30 p.m.]

[J. Isaacs in the chair.]

Hon. C. James: If the member looks on page 129 in the budget, it has the share of total nominal GDP. That number would include the measures, as the member was talking about, that have been implemented. But it’s also important to note that it includes growth. That would be included in those numbers as well. I think the member can see that there are adjustments that occur. If we start at 2014-2015, you’re looking at 19, 19.1, 19.5 percent; in 2017-18, 18.4; updated forecast, 19.2; then budget estimate ’19, continuing on again through the plan to 18.7.

T. Redies: We actually did the specific calculation of all the 19 new and increased taxes. We may have some rounding errors and maybe a little bit of an assumption here and there, but our total came to about $13.7 billion from the time this government took office to 2022. Does that sound about right?

Hon. C. James: Again, I can’t judge the member’s numbers. If the member wants to share them, we can take some time to go through. But again, I can’t judge the member’s estimates, what was included and what wasn’t, whether growth was included, whether MSP premiums that were previously paid were included. All of those numbers need to be calculated as well.

T. Redies: What I can tell you is that it actually includes all of the 19 new or increased taxes that the government has implemented, or will implement, from the time they took office to 2017. I’m happy to share that with you.

Could you perhaps give us a sense of how much of the new taxation is being borne by businesses and corporations in this province?

[3:35 p.m. - 3:40 p.m.]

Hon. C. James: I think the largest piece, obviously, is the employer health tax that has been introduced. I think the members know the number, $1.95 billion, coming in on the employer health tax.

I think it’s important to note, as we’ve talked about — and I know we went through this in estimates last year as well — that that does not include the savings from MSP for all the employers who already pay medical services premiums, who have that savings — the 50 percent and the 50 percent and then full savings as of January. That’s the largest piece coming in when it comes to measures in the budget.

Then, of course, there are measures on the other side of the ledger. Again, you have to take into account both of those: the small business corporate tax rate April 1 of this year; the elimination of PST on electricity. That was completed. And then remember in Budget 2019, as well, there were the corporate income tax reductions that we’re doing in partnership with the federal government, which is about $800 million, as well, in reductions.

All of those have to be taken into account when the member is taking a look at the costs coming in or revenue as a share of the economy. Those pieces all have to be added in.

T. Redies: What about the corporate income tax? Is the minister aware of how much businesses pay in terms of percentage on the carbon tax and property tax?

Hon. C. James: We don’t break down the carbon tax revenue. It’s not broken down by businesses and individuals. On the non-residential property tax piece, that would be $1.249 billion, but there’s been no change to that for businesses. There have been no changes in the property tax.

T. Redies: Can the minister tell us the exact amount of new taxation that will be borne by property owners in total since the government came to power and through to 2022?

[3:45 p.m.]

Hon. C. James: The three pieces that have changed since we became government are all targeted measures. I think that’s the important piece to mention first. These do not apply to all British Columbians. They’re very targeted measures. They include the speculation tax, the additional school tax on houses worth more than $3 million and the increase in the foreign buyer tax.

On the budget, the speculation tax, as the member knows, is expected to bring in $185 million, the additional school tax on houses worth more than $3 million is expected to bring in $200 million, and the foreign buyers increase, so the amount of increase, is expected to bring in additional $40 million in the change.

T. Redies: Minister, the reason why I’m asking these specific questions is that I think it’s really important that the government understands where its revenue is coming from and, in particular, whether or not it’s disproportionately burdening one group over another.

We remain a bit perturbed on this side of the House with respect to what we think is a disproportionate burden on the job creators of this province, who I think are carrying probably three-quarters of the additional taxation costs that this government has implemented.

I’ll look forward to getting the additional information that the minister has indicated that she will provide us. At this point in time, our colleague the member for Delta South would like to ask a few questions.

I. Paton: B.C. has been hit with an abundance of new taxes since government changed. Agriculture has been especially hit. I’m dealing all the time, in the past two years, with farmers institutes, with co-ops, Cattlemen’s Association, B.C. Agriculture Council, and they’re extremely upset about the taxes that have been implemented, especially on the agricultural industry. I would call it the triple whammy when you talk about farmers and ranchers and processors trying to deal with a carbon tax hike, employer health tax and minimum wage going up.

I would like to quickly just quote some figures from a greenhouse company in my riding of Ladner called Westcoast Vegetables. It’s a very, very large greenhouse operation owned by two brothers and locally. They live right in my town. They operate this greenhouse operation.

[3:50 p.m.]

Their summary of some expenses coming up from 2018 to 2019, the increase for one year, from one year to the next…. Carbon tax, taking into consideration the full 80 percent rebate on natural gas, will add $14,000. The employer health tax of 1.95 percent on their operation will add $96,000. And a minimum-wage increase, because they have a great number of employees, will add $455,000 to their operation. So a one-year increase to this greenhouse in Ladner will be $565,000 for this year over last year.

To quote from the two brothers: “We have seen slight decreases year after year in our prices due to increased competition from Mexico and California.” They go on to say: “We have also seen our costs of packaging, corrugate and greenhouse supplies increasing due to exchange rate, resin costs, etc. Unfortunately, we are unable to pass on these cost increases to our customers. It is no wonder the vegetable greenhouses are switching to cannabis.”

Did the Agriculture Minister consult with the Finance Minister, advising her of these major impacts that would be placed upon farmers, ranchers, greenhouse operators and processors in B.C.?

Hon. C. James: Thank you to the member for the question. Whether it’s the minimum-wage increase or whether it’s any government program that has been brought forward, those are thorough discussions around the cabinet table, and those are discussions that would include all the ministers.

It’s important to make sure that all of those issues are looked at, and we take competitiveness seriously. But we do, as a government, take a look at competitiveness when it comes to businesses. We take a look at industries. That’s why we have reduced the small business tax rate. That’s why we got rid of the PST on electricity — a piece that was raised with us by business to be able to make sure that they remain competitive.

It’s part of the reason that we’re also looking at the issues of housing and child care — again, because many employers have come to us to say that’s one of their biggest challenges when it comes to recruitment and retention, when it comes to workers: being able to provide those supports. All of those supports are put in place.

I certainly know that the member will have had the opportunity, I’m sure, to be able to ask questions in the estimates of Agriculture. But I know the Minister of Agriculture is always looking at opportunities to be able to address competitiveness and to support the industry. I think the industry knows, clearly, they have a very good advocate there.

I. Paton: I have some figures here that are quite astounding, affecting agriculture and ranching in this province, based on just three of the many taxes that have been tacked on since the change in government a couple of years ago.

Now, there’s a farming family in Delta called Felix Farms, and they go back to the 1800s, having arrived in Delta, the Guichon family. They farm roughly 800 acres of potatoes and different other crops in Delta, as well as some land that they own up in the Abbotsford area. This is quite astounding. I asked them just yesterday if they could give me a quote of the cost of fuel to run their equipment on their tractors for this upcoming year, and they have kept track of this. They quoted that in 2017, their fuel costs to run their tractors, their trucks, their forklifts, etc., on the farm, was $231,000. Quite astounding. I don’t think people would even imagine that much to fuel up all your tractors.

[3:55 p.m.]

Of course, at this time of year, the tractors are running 16 to 20 hours a day, with this good weather. In 2018, their fuel costs went up to $282,000 in one year. And the projection for 2019 for diesel, gasoline and propane on the Felix Farms farm in Delta is going to be $340,000 to run all their tractors, trucks, forklifts, etc., on their farm.

As we know, the agriculture industry makes a great deal of use, obviously, of diesel, gasoline, propane and, of course, natural gas. The greenhouse industry lives and thrives on natural gas to heat their buildings. The poultry industry thrives on natural gas to heat their buildings to keep the chicks and the birds warm in the wintertime. Including the mushroom industry….

Agriculture is being hit hard. Fuel costs — everything related to farming requires fuel, from their vehicles to running irrigation pumps. The Premier suggested a range of options to deal with rising fuel costs. What options are being considered for farmers in the 2019 growing and harvest season?

Hon. C. James: I think we could go back through question period again, as we’ve done. The very specific question has come up in question period for the last number of days, so I think the member knows the responses, clearly.

Are the Premier and his government concerned about what we’re seeing when it comes to the price of gas? Yes, we are. That’s why we’ve referred it to the Utilities Commission to be able to do an independent investigation of the issue.

I. Paton: I just have a couple more questions.

One of the most respected agriculturists in B.C. is a gentleman named Murray Driediger. We’ve all heard of Driediger Farms, of course, up in Langley. But Murray Driediger, actually, is the chief executive officer of BCfresh, a producer-owned marketing and distribution company for vegetable farmers. It’s located in Delta. It’s a huge warehouse. Just about all the vegetables grown in British Columbia — potatoes — are all boxed, washed, packaged, graded on farms and brought to BCfresh. From there, they’re shipped out to all the grocery stores and the wholesalers.

I’d like to just read out a little quote from Business in Vancouver from Mr. Driediger.

“Mr. Driediger has not yet done a full calculation of how much all the new federal and provincial tax hikes and other measures will cost his company, BCfresh. He just knows it’s going to affect the company’s competitiveness and result in having to pass on escalating costs to consumers.”

Now, to quote Murray Driediger:

“‘It’s unbelievable that both the provincial and federal government have literally been dumping costs onto business at the levels that they have and expect us to remain competitive,’ he said. ‘These are moneys that we use to modernize to ensure that we remain competitive, and they’re doing everything they can to throw sand in the gears.’

“The biggest, most immediate tax hit will come from a new payroll tax that is being foisted onto employers, from businesses to school districts, to replace the Medical Services Plan. BCfresh covers MSP premiums for its 24 employees. ‘That used to cost us about $15,000 a year,’ Driediger said. ‘Under the new payroll tax, for the exact same services supplied to our employees, that cost will now be $45,000 per year.’

“And because the new payroll tax comes into effect one year before MSP premiums are eliminated, it means…BCfresh will have to pay both MSP premiums and the new payroll tax for the first year.”

Did the Agriculture Minister advise her colleague, the Minister of Finance, of the effect that the employee health tax would have on farmers, ranchers and processors in the province?

[4:00 p.m.]

Hon. C. James: As I’ve said, whenever a new program change is occurring, we have a very good, thorough discussion around the cabinet table. That includes all ministers. As the member knows, the employers health tax is the lowest rate across the country when it comes to employers health taxes. Other provinces had moved away from medical service premiums years and years ago. British Columbia is the last province left with medical service premiums — a very regressive tax that we’re eliminating, and bringing in the employer health tax. So yes, a very thorough discussion occurred around the table with all ministers.

I. Paton: One more question. Thank you to minister. Cannabis, unfortunately, has become an allowable use in greenhouses on our prime class 1 soil in Delta and in Langley and in Abbotsford, etc. I’m not sure why this has been allowed to happen, but it is happening under this new government. So cannabis is replacing food production in many of our greenhouses.

What I would like to know…. There is an 80 percent rebate on natural gas provided to greenhouses growing food. Is the 80 percent rebate on natural gas being provided to the cannabis growers that are using all that fuel to heat their buildings?

The second question, if I could lump that in as well: are the cannabis-growing greenhouses receiving the same farm tax status that vegetable-growing greenhouses would receive?

[4:05 p.m.]

Hon. C. James: The 80 percent rebate — cannabis is not an eligible crop for that 80 percent rebate. On the B.C. Assessment site, it says classification of land as farm excludes the production of cannabis.

T. Wat: Before I ask a question, I would like to provide a copy of the Hansard of my budget estimate debate with the Minister of Tourism, Arts and Culture for the reference of the Finance Minister.

I have a tag on the Hansard there, on 91535. The Minister of Tourism, Arts and Culture, when I engaged in the budget estimate debate with her, said the SFU contract on the public consultation of the Chinese-Canadian history museum was done through the Ministry of Finance, and she told me to feel free to canvass the Finance Minister regarding this SFU contract. I would like to confirm with the Finance Minister if this is the case.

Hon. C. James: We’re just gathering information. We don’t have the information with us, so I just want to give a chance…. If there are other questions that people want to ask while we’re gathering the information, the opportunity is there. Or the member can put a series of questions, if the member wishes, and we can look at all those questions when we get the details.

T. Wat: Thank you, Minister, for the response. But I just want to know if the minister is aware of this SFU contract on the public consultation of the Chinese-Canadian history museum. To be honest, I was quite shocked when the Minister of Tourism, Arts and Culture told me that this particular contract has nothing to do with her.

[4:10 p.m.]

Through FOI, I asked for three reports that the Minister of TAC has done concerning the Chinese-Canadian history museum. One is a UBC report, also on the Chinese-Canadian history museum. The second one is this SFU report, this contract. And the third one is a contract with the Lord consulting firm.

I received two of the three reports that the Minister of Tourism has contracted to do with the public consultation of the Chinese-Canadian history museum, but I have not got the SFU report. That’s why I was wondering what’s happening. The Minister of Tourism at first told me that it was done through the Minister of Citizens’ Services several times until towards the middle of the debate. Then she said: “Oh, I have to put it on the record that I made a mistake. The contract was done through the Ministry of Finance.”

I totally cannot gather why this is the case, because the Minister of Finance is responsible for finance issues. Something to do with the Minister Responsible for Multiculturalism should be done by the minister responsible for it. Why is it being done by the Minister of Finance? I want the Minister of Finance to enlighten me on why such an arrangement.

Hon. C. James: As I mentioned, we’re making sure we have staff here, but I am presuming — and I’ll confirm this when we have staff come in — that because it’s public engagement, it may have been done through government communications, which is part of the Ministry of Finance. So I’m presuming, because it was a public engagement contract, that it may have been done through those staff. We’re just making sure we have those staff so we can answer the member’s questions.

T. Wat: Thank you, Minister, for the response.

Is the minister suggesting that I should sit down and wait until the minister gets all the information before we proceed with any question I would like to ask the minister?

Hon. C. James: Well, the member can do a couple of things. The member could list all of the questions, if the member wishes, and we can wait. When the staff are here, we can make sure we answer them. Other members may ask questions if they want to while we wait for staff, but I think it’s important to make sure that accurate information is being given to the member, so I want to make sure we’ve got the right staff here to be able to respond to the questions.

S. Bond: Can the minister tell us approximately when the staff might be available so that we can…? Obviously, the member has, also, other activities to take care of. If the minister could get that answer, I will start a new section, and we’ll have the MLA wait just for a couple of minutes while she sorts that out.

Hon. C. James: We expect about five minutes.

S. Bond: Thanks to the minister for accommodating that. I know these are important issues for my colleague.

We’re going back to the revenue division, and we’re going to ask some questions about expenses now. My colleague looked at some of the general questions we had around taxation. We know, though, that when we look at the revenue division budget, we can see that costs have almost doubled in the revenue division, whose budget increased, from our calculations, by $89 million this year. We want to walk through why exactly that is the case.

Perhaps we’ll start with: what has been the primary driver of the $89 million in cost increases to the revenue division?

[4:15 p.m.]

Hon. C. James: The two largest changes in the budget are student loan elimination, which is 76.1, and tax enforcement at 9.4.

S. Bond: Tax enforcement. We’re going to talk a little bit about auditing in a minute. Could the minister articulate for us, then, what the FTE increase has been in the revenue division?

Hon. C. James: The revenue division FTEs in ’18-19 actually dropped by seven FTEs, and then for ’19-20, the increase is anticipated to be about 40 FTEs. Those individuals are in the process of being hired, so that’s not completed yet, but it’s anticipated to be about an increase of 40 FTEs.

S. Bond: I just want to confirm that the minister said four-zero, 40. Right.

So we’re seeing a reduction, and then we’re going to see a ramp-up — a replacement of those 20 — and an additional 20. Can the minister give us, please, a breakdown of the increases both in cost and staffing for each branch level?

Hon. C. James: The member said a breakdown for each branch in the revenue division?

[4:20 p.m.]

I’ll just read the variances — I’m guessing that’s what the member is looking for — in the budget in the revenue division.

For base salary and overtime, the variance is $4.1 million; the employee benefits chargeback is $1.3 million; public servant travel, $82,000; legal services, $281,000; professional services, $2.3 million; office and business expenses, $2.3 million; advertising and publications, $500,000. Again, these are variances, the increases that have occurred.

Amortization expenses, $2.8 million; grants, $49.151 million. That’s the student loan piece that we talked about. Transfers under agreement, $47,000; other expenses, $3.3 million; recoveries external, fees and licences, $997,000; then recoveries external, fiscal agency loans — again, that’s student loans — $21.2 million. Those are the increases in the revenue division.

S. Bond: From what we can, at least, see from a fiscal perspective, there seems to be a significant increase in the funding for audits. Is that accurate?

[4:25 p.m.]

Hon. C. James: It’s a broad range of staff. This would be a range of staff needed to administer the employers health tax and the speculation tax. Yes, that would include auditors, but not the majority of numbers. In fact, it includes auditors, it includes people who work on collections, it includes people who would work on appeals, and it includes information technology — so a wide variety in those 40 FTEs that we talked about.

S. Bond: I think a fair assessment of that would be, then, as the minister points out, that because we’ve seen a significant number of new taxes or increased taxes, we’re now seeing also an increase in the public service in order to…. And we’re going to talk about those taxes and how they’re administered and, obviously, the staffing requirements. But I assume that the bulk of the staff that’s been hired in this branch, is dealing with the administration of EHT and the spec tax. Is that accurate?

Hon. C. James: Yes, that’s correct.

S. Bond: There was an amount set aside for an increase in the advertising, I believe. Can the minister describe the nature of advertising that is done and if, in particular, there was an increase in that budget line to talk to British Columbians about what they needed to do, for example, with the speculation tax? We certainly fielded many, many, many calls about the spec tax and people being unsure of what they needed to do.

Was the increase in the advertising budget related to taxation measures, or could the minister just explain the fiscal aspect of the advertising budget?

[S. Chandra Herbert in the chair.]

The Chair: Minister.

Hon. C. James: Thank you very much, Chair. Welcome to the chair. I’ll respond to this question, and then if we want to go back, we have an additional staff person in, so we can go back to the member’s questions.

[4:30 p.m.]

The member is right. This has to do with the speculation tax and making sure that information gets out. It would include everything, as we saw through this campaign — the social media. We obviously do an evaluation of the information that went out and then take a look at what needs to be done for next year.

It would include informational pamphlets. It would include the advertising, the social media work that was done to ensure that people are aware of the speculation tax. I think, certainly, the fact that it was a new tax that was coming in and that we were informing people…. Just for the member’s interest, we are up over 97 percent response now, so the well vast majority of people have filled in their declarations and have that information in.

S. Bond: Could the minister, then, just pull out for us the total amount of advertising that would have been spent related to the spec tax?

Hon. C. James: The costs for last year were $644,000.

The Chair: Member.

S. Bond: Thank you, hon. Chair, and good afternoon to you.

I’ll finish one more question on this section, which will allow us to move forward, and then I’m going to have our colleague continue with her questions.

Is it possible for the minister to give us the number that…? Let me find the best way to say this. What does it now cost to collect $1 of tax revenue? I believe that is a number the ministry is aware of. I think we’ve asked that question before. I think that there was an implication that there may be a decrease in the offing in terms of how that was done. But with new taxes now and more collection and all of that, can the ministry provide us with what it costs to collect $1 of tax revenue and whether or not the ministry is still on target for a decrease in that cost?

Hon. C. James: The member is quite right that this information, in fact, is in the service plan and continues to be in the service plan for the Ministry of Finance. The cost of collecting $1 is half a cent. The goal is to continue to look at how that amount gets reduced in collecting $1.

T. Wat: I guess the minister will confirm whether the SFU contract is done by the minister’s ministry.

[4:35 p.m.]

Hon. C. James: To the member: thank you for your patience. Yes, indeed, public consultation for ministries is actually managed centrally through GCPE. The cost is paid for by the ministries, but the contract is held by GCPE. So yes, that’s why it was referred to the Ministry of Finance, because GCPE is part of the Ministry of Finance.

T. Wat: I just want to make myself clear. The cost, the minister said, was paid by the Ministry of Tourism, but it was managed by the Ministry of Finance.

Hon. C. James: Yes, managed through GCPE. That’s where the consultation is managed, funded by the ministry.

T. Wat: Since the cost was paid by the Ministry of Tourism, I was wondering why, when I asked that question to the Minister of Tourism, she referred all the questions to the Minister of Finance.

Hon. C. James: It’s because the contracts are managed centrally, so details about the contract are held by GCPE. That would be why the minister would suggest that if the member wanted more details, she ask the question of the Finance Ministry, because GCPE is part of the Finance Ministry.

T. Wat: Can the minister tell me what the total cost is for this SFU contract?

Hon. C. James: The total cost of the contract was $126,425.

T. Wat: So the total cost is for the coordination, originally, for public consultation. Later, at my request…. It’s also for the compilation of the public consultation report.

Hon. C. James: Yes. The member is correct. That total cost covered all of those pieces.

T. Wat: Can I have a copy of the contract? Also, has the report been completed?

Hon. C. James: Yes. We’re happy to provide the contract. We’ll do the follow-up with the member to provide the contract. The report is just being finalized. That includes translation, so that’s still taking a little bit of time, so it’s not completed yet.

T. Wat: Does the minister know when the report will be completed? I was told earlier by the minister that there would be translation of the report. I assume it would be translated into Chinese language. So it will be publicly available to the general public?

[4:40 p.m.]

Hon. C. James: The timeline is the end of June. Yes, it will be publicly available, and yes, it is being translated into Chinese.

T. Wat: Minister, I just want to confirm that I will receive a copy of the contract. Since the report will be made public, I will be able to see the report.

This is just for my own clarification. The decision to hire an external organization to coordinate the public consultation was made by the Minister of Tourism, not by the Minister of Finance?

Hon. C. James: The process would be that the ministry would be interested in doing a public consultation. They would sit down with GCPE, which manages that process centrally. They would talk about the criteria, the things that they were interested in and the areas that they wanted to have covered. They would have that conversation with GCPE. GCPE would then look at the providers that are available and would make that decision.

T. Wat: So the decision was entirely between the Minister of Tourism and GCPE.

Hon. C. James: Yes, that’s correct.

T. Wat: The Finance Minister was not involved in the decision to hire an external organization for the coordination of the public consultation.

Hon. C. James: The reason it’s with the Ministry of Finance is because GCPE is part of the responsibility of the Ministry of Finance.

T. Wat: It’s very clear. Thank you, Minister.

I just want to share my own experience with the Finance Minister since the Minister of Tourism said that I should direct all the questions to the Minister of Finance, so I will have to share this with you.

When I was the Minister Responsible for Multiculturalism, I undertook seven public consultations throughout the province for the apology motion, and we did it entirely in-house. It was all civil servants, all the staff of multiculturalism. They were coordinating the public consultation, and I, as the Minister Responsible for Multiculturalism, made sure that I attended each and every one of the seven public consultations. The report was subsequently compiled by the staff of the multiculturalism branch.

I don’t understand why we have to spend taxpayers’ money to hire the external organization to do public consultation. Is the minister suggesting that our staff at multiculturalism are not qualified and professional enough to coordinate a public consultation? Why should we waste taxpayers’ money to coordinate a public consultation when we have all the qualified and professional civil servants in the ministry that can do the job?

I set an example, and to be honest, the fate of my public consultation was much better than the one undertaken by the Ministry of Tourism through SFU. When I did the public consultation, there were a total of 1,300 people turning up for the seven public consultations. And for the four later on — because I talked to the media in Richmond…. For the five public consultations that this Chinese-Canadian museum has done, there’s only a 480 audience that turned up.

So there’s one-third of the people that turned up at the public consultation they undertook. I just don’t understand why it has to be done by an external organization and not by the professional and qualified staff at Multiculturalism.

[4:45 p.m.]

Hon. C. James: Each of the ministries would take a look at the resources that are available, the expertise that’s there. Certainly, in this case, SFU does hold expertise on museums, in particular, which was a particular skill, and then those decisions are made by the individual ministries.

T. Redies: Now, Minister, I’d like to talk a bit more about the speculation tax, if you’re okay with the staff that you have. All right. Thank you.

The minister had talked about the advertising costs of $644,000. I wonder. Can the minister explain in detail and itemize all of the costs associated with the implementation of the speculation tax, with a dollar figure?

Hon. C. James: The total for salaries and benefits is $1,540,616, and the total for operating costs, which obviously would include business expenses and systems, would be $6,036,281.

T. Redies: It is our understanding that there was a contract provided to Fast Enterprises of $14.7 million to build the system. So presumably that is also part of the cost of the spec tax?

[4:50 p.m.]

Hon. C. James: The contract that the member is talking about — $10 million of that was for the speculation tax. But that’s capital, so that gets amortized over the time period, so the amortization costs were $343,000. That’s included in the total that I gave the members.

T. Redies: Can the minister tell us if any third-party contractors have been used in order to administer this tax? Are there any, for example, people who are being used or who have had to be hired to man the call centre, for example, for the spec tax? If so, what is that, and what is the cost associated with that?

Hon. C. James: Yes, we used Service B.C. Again, these are related to call centres and being able to manage those. We also had a contract with Advanced Solutions for the call centre, to ensure that we had people there to be able to take people’s calls. Again, those are included in the numbers that I provided to the member.

T. Redies: How many people in government and third-party providers are actually working on the speculation tax administration?

Hon. C. James: In the ministry, ongoing for administering the speculation tax, it’s about 30 people. They don’t spend all of their time, necessarily, full-time on the speculation tax. That’s the advantage of having people inside the ministry: they can also provide support in other areas as needed. But it’s approximately 30 people.

T. Redies: Does that also include the call centre people that have been hired?

Hon. C. James: No, that does not include the call centre. That’s ongoing people within the ministry administering the speculation tax.

T. Redies: So how many people, third-party contractors, are working on the speculation tax?

[4:55 p.m.]

Hon. C. James: I mentioned that there were two contracts that were used for the call centre. One of those was Service B.C., and one of them was Advanced Solutions. The Advanced Solutions contract is finished. That only went till March 31. We can get the hours. We’re billed by hours, so it’s not FTEs. I could get some numbers for how many people were in place for that previous contract, but that one finished up March 31.

We have an ongoing contract with Service B.C. for tax questions, so that’s approximately 50 FTEs. Again, that varies, depending on the busyness and the other issues they’re doing, so this isn’t simply for speculation tax. They’re actually doing the rural taxation calls, as well, right now. That contract goes to the end of May, and again, we expect those numbers to drop down after that as well.

T. Redies: I just wanted to go back to the software solution that the ministry contracted with Fast Enterprises to build. I think the minister said it was $10 million, and the amortization costs that are being applied here are $343,000 annually. That would imply an amortization on a software solution of 29 years. Is that actually the case?

Hon. C. James: The cost that I talked about, the $343,000, is three months’ worth of amortization, because it doesn’t start being amortized until it becomes operational. And it’s a five-year amortization.

[5:00 p.m.]

T. Redies: I’m sorry. Can somebody explain the math to me on that? For a $10 million…. You’re taking $343,000 every three months?

Hon. C. James: Yes.

T. Redies: I’m sorry. I don’t understand how you get to five years, but we’ll move it along.

Are there any ongoing support costs associated with this contract with Fast Enterprises — annual support costs?

Hon. C. James: We have an ongoing maintenance agreement already in place with the company, so it isn’t broken down. We’ll go back and take a look and see if we can get the numbers of it broken down, because we already have an existing relationship with them on maintenance. I’ll check and see if we can get the broken-down numbers for the speculation tax.

T. Redies: Could the minister just tell us what the total support contract is with Fast Enterprises on an annual basis and then get us those specifics?

Hon. C. James: We’re getting that information, so if the member wants to ask another question, we’ll get that back.

S. Bond: I’m going to ask a series of questions that are really about the numbers behind the speculation tax, so hopefully the minister has the right staff there. We’ll start with how many declaration notices have been issued.

Hon. C. James: To the member, 1.62 million notices sent out.

S. Bond: It’s 1.62 million. How many declarations have been filed?

[5:05 p.m.]

Hon. C. James: So 1.53 million notices have been returned. That’s an over 97 percent return.

S. Bond: Of the declarations that have been filed — so 1.5 million of them — how many will be required to pay tax?

Hon. C. James: As the member knows, we’ve been continuing, including reminder letters and other processes, to give public updates on the declaration rate. We’ve issued notices, as well, since the declaration opened in January, so that work is still ongoing.

I’ve asked Finance to, obviously, pull the information together as quickly as we can, but it will be after those notices go out and when the tax notices are received, because again, people still have the opportunity to be able to make their declaration if they didn’t have a chance to make that declaration. So information will be released later.

S. Bond: Is the minister saying that at this point she doesn’t know how many people are going to have to pay tax, and people have not received that taxation notice? So there are people in British Columbia who have filed a declaration, and they don’t know they’re going to have to pay tax?

[5:10 p.m.]

Hon. C. James: Maybe I’ll just walk through the process again, just so we’re clear.

I think, as the member knows, that the notices went out. People did their declarations. They claimed their exemption if they were eligible for exemption. If they had to pay the speculation tax, they would have received their number that they had to pay. That pops up as part of that process. They have until July 2 to be able to pay their tax, if they owe their tax. They still have an opportunity to claim their credits. That process, again, continues on until July 2.

For us to have an accurate picture of how many people will be paying tax and what they will be paying, it will need to occur after July 2. As I said, I’ve asked the ministry staff to pull that work together as quickly as possible after the July 2 deadline because we know it’s important. It’s certainly important for us and for the public to know what the preliminary results are.

Until we do that work, until we go through that process, until people have had the opportunity to be able to claim their credits, you don’t have an accurate picture of the information that’s needed. So as quickly as possible after the July 2 date, we’ll have a better analysis. We’ll do some preliminary results. We’ll release those as quickly as we can to the public. As we’ve done with other estimates, they’ll be posted. Then we’ll have an opportunity, as I said, to look at the final numbers as well.

S. Bond: I have one follow up. My colleague is then going to ask one.

Can the minister not tell me, then…? Notices, declaration, exemptions — and the minister references the fact that they received a form that would pop up and tell them they have to pay this amount of tax. What number of British Columbians received that form that says: “Here’s the tax you’re going to have to pay?”

[5:15 p.m.]

Hon. C. James: As I said, it’s too preliminary at this stage to have a breakdown. We need the breakdown, obviously, of British Columbians, the breakdown of other Canadians and the breakdown of foreign investors or foreign owners to be able to make that determination. Again, that determination won’t come in until we get to July 2, until people have had the opportunity to claim their credits, to be able to have accurate information to put together.

T. Redies: I believe the minister was just lauding the fact that 97 percent of the people who are affected by this registry have registered. I believe the number of people originally affected was 1.62 million and the number that had registered was 1.53 million. That would imply that there are 90,000 people still to register.

If that’s the case, there were 96,000 people as of March 31 that had not registered for the spec tax. That suggests that the ministry is dealing with this at about 6,000 people a month. To get through that amount of people would be 15 months.

The minister said last year that 32,000 households would be affected. You’ve got 90,000 outstanding, and you’ve got 1.53 million that have registered, and we don’t know how many of those are paying the tax. So just exactly how many people are going to be affected by this, Minister?

Hon. C. James: I’m not sure of the member’s numbers that she was putting together, but I just want to make sure I’m clear, because I think there was a correction on that. The 97.15 percent of people who put their notices in would be 1.58 million, so it’s about 40,000 outstanding.

Again, that’s part of the reason that it’s important to make sure that we get the information that comes in, 40,000 outstanding, whether they pay the taxes, whether they are exempt. That’s still work that obviously has to happen and has to occur. As people know, if they haven’t claimed, if there were extenuating circumstances and they still get a notice and they think they have to pay, that they still have the opportunity. If they’re exempt, they will not pay the speculation tax.

All of that data is important. That’s part of the reason that the July date is so critical for us to be able to have the accurate information to put together.

T. Redies: I think if we go back in Hansard, the original number that the minister said was 1.53 million. So I’m glad to hear that it’s actually better than that. But that’s still 40,000 people who have not registered who could be subject to this tax if they don’t register before the date. Am I not correct, Minister? If they do not register before July 2, they will be sent a property tax notice suggesting they have to pay 0.5 percent this year. Then, if they don’t register next year, it’s 2 percent.

Hon. C. James: I think the member has heard me say this both publicly as well as many times in the House. If people receive their bill because they did not register, because they didn’t….

[5:20 p.m.]

Maybe there were circumstances…. Whatever the reason they didn’t register, they still have the opportunity to phone in. They have the opportunity to be able to file their exemption. If they are exempt, they will not pay the tax.

T. Redies: Thank you for that answer, Minister. I guess that with 40,000 people who have not registered and then 1.58 million that have registered, some of who I know are already receiving their tax notices for the spec tax, it would seem that we have the potential for there to be many more numbers of people affected by this tax.

Does the minister still believe that it will only be 32,000 households that will be affected by this particular tax?

Hon. C. James: Again, we believe our estimates are good estimates. We still believe our estimates. But again, the member is asking about specifics. It will be important to wait for that July date to make sure that we have the specifics to be able to give the best information we can. That’s why we’re waiting for the July date.

S. Bond: Well, thank you very much. We’re going to continue to work through some numbers questions, because we want to at least set down a marker so that that information is provided to us.

I’m sure the minister is not going to be surprised that…. This is mind-boggling — that 1.62 million British Columbians got notices, the vast, vast majority of whom are nowhere near being speculators. I feel like we’ve almost heard from about a million of them in our time.

We have stacks of people who are concerned about this. The minister can celebrate the fact that only 40,000 people have not filed their declarations, but believe you me, of the ones that did file, there are a whole lot of people who really didn’t want to have to do that and didn’t feel they should have. However, I digress.

Can the minister tell us, please, how many rental exemptions have been claimed so far?

Hon. C. James: Again, I think the member has run through the numbers that are there. I’ll again repeat that the July date is an important date, because that’s when the gathering of the information will occur. It’ll give us a chance to do the proper analysis that needs to occur to be able to put accurate information out for people. So all of that kind of analysis will go on once the July date has passed.

I’ve asked finance to pull that together as quickly as they can. I think that’s important for the public as well as the government. That’s the work they’ll be doing.

S. Bond: Well, then, for the record I’m going to read in a series of questions, because I assume that the answer is going to be the same for every one of them. Hopefully, we will receive answers to these questions at the earliest possible moment.

How many potential rentals were strata restricted and claimed a corresponding exemption? How many primary residence exemptions have been claimed to date? How many properties under development have claimed a relevant exemption? How many properties claimed a vacant land exemption for 2018?

Perhaps this one, though, the minister can respond to directly. How many British Columbians did not receive an initial declaration and had to request one?

Hon. C. James: Yes. The member is quite correct. The questions that the member has asked around rentals and primary residences are very important questions. I would quite agree. That’s why we’ll be looking to pull the information together as quickly as we can in July, once the July date has passed. That’ll be the marker to be able to start doing the analysis based on the actual information that we have.

How many British Columbians didn’t receive or phoned in to get a declaration — again, we don’t have that breakdown because there may be people who lost their form and phoned in and asked for a form, so that’s not broken down.

[5:25 p.m.]

S. Bond: In a government news release, the ministry stated that 10 percent of British Columbians had to use the on-line phone system. Can the minister tell us specifically how many British Columbians used the phone system for their declaration?

Hon. C. James: Not quite 10 percent. Just under 10 percent used telephone, and the rest used on-line services. That was a commitment, as the members know, to make sure that there were opportunities for people to be able to fill it out, even if they didn’t have technology or didn’t have the use of technology or didn’t want to use technology. They had the opportunity to be able to phone in and have the form filled out through that route as well.

S. Bond: Many of them certainly did have an opportunity. In fact, that opportunity sometimes lasted hours. In fact, we heard a significant degree of criticism about that.

Can the minister explain why, when provided as an option for people who…? We all know — well, certainly where I live — that this continues to be an issue for some British Columbians. So can the minister explain why it took hours? Was she aware of that situation? What did the ministry or she do to try to alleviate some of the concerns that British Columbians were expressing?

Hon. C. James: Yes, there’s no question that there were peak times where the wait time became a challenge. We acted immediately when we were told about some of the wait times that were there. There were a number of measures we took.

[J. Isaacs in the chair.]

We utilized internal staff, so there were staff reallocated from the ministry to be able to provide support. We looked at the phone system itself and offered callback options, which addressed a lot of the challenges that were faced. We created a menu through the phone, as well, so that people could move to various areas, depending on what their challenges were. And we increased staff at the call centres.

[5:30 p.m.]

There is no question that we ran into some challenges around peak times. We acknowledge that, and we moved quickly to address it.

S. Bond: The minister has referenced several times the fact that we don’t have all of the details, we needed more staff, and we needed to fix the phones. I think it’s fair to say that in anything of this magnitude, there are going to be some glitches along the way, and the minister has explained what the ministry did.

The Premier also spoke up and said something to British Columbians. I would like to quote him and have the minister confirm that that statement is correct. The Premier said: “There are not going to be penalties on those who make a mistake.”

Can the minister confirm that in respect to speculation tax declarations, there will be no penalties for people who make a mistake?

Hon. C. James: That is correct. In addition to that, as I mentioned, if someone had not filled out their declaration and they receive a tax notice and are eligible for their exemption, they will also not pay the tax.

S. Bond: I appreciate hearing that. I know that we’ll certainly be monitoring that, and I can assure the minister that if that happens, we will get…. Our phones will ring off the hook. We’ve had a lot of phone calls, a lot of emails and a lot of texts about this issue.

Can the minister tell us what the cost of producing and mailing the pink and purple speculation tax brochure was?

Hon. C. James: We’ve talked already about the advertising budget. We don’t have a breakdown of how much the brochure cost, but there were no additional mailing costs, because it was mailed out with the letter that went out to individuals. So no additional mailing costs, but it was part of the budget that we talked about earlier for advertising and for the speculation tax.

T. Redies: I’d just like to turn to a quote from the member for North Vancouver–Lonsdale on Twitter. She stated that one of the goals of the speculation tax will be to trigger lifestyle audits, saying: “The new speculation tax and vacancy tax can trigger lifestyle audits as required.”

Can the minister describe what a lifestyle audit looks look?

[5:35 p.m.]

Hon. C. James: As the member knows, one of the key aspects of this tax is focused on foreign owners and satellite families, so there are a number of audit tools. We obviously, as a tax department, don’t disclose exactly what those audit tools are. That’s the point of audits — going in to do auditing.

Just to give some examples to the members, that maybe looked at things like rental agreements, separation agreements, tax residency. Those would be the kinds of examples that would be looked at through an audit.

S. Bond: Thank you to the Minister. Let’s be clear on what the member said. She said that there would be lifestyle audits. Is there something in the Ministry of Finance that is called a lifestyle audit?

Hon. C. James: The answer is no. There is nothing within the ministry called a lifestyle audit. I won’t speak for another MLA, but I’ve talked about the audits and the various tools that are utilized.

S. Bond: I don’t expect the minister to speak for another MLA, but I think the minister could understand what kind of concern that would raise for British Columbians. So 1.6 million British Columbians suddenly discovered that they may well be considered speculators. Now we have a casual comment by an MLA suggesting there will be lifestyle audits.

Can the minister, for British Columbians and for all of us, confirm that there will not be…? For example, the minister talked about separation agreements. British Columbians’ lives are private. They belong to themselves. Can the minister please make sure that we understand whether or not the minister now is contemplating an audit of the lifestyles of 1.6 million British Columbians?

Hon. C. James: Audits are something, as the member knows well, that the tax department has done and will continue to do on a whole variety of taxes. This tax is no different. There will be audits. There will be verifications done of information people have utilized to be able to put in their declarations, to be able to get exemptions. Those audits will be, just as they are with all other taxes, consistent with privacy provisions, consistent with the protection of individual information, as they are now with existing taxes and the audit process.

S. Bond: Well, thank you to the minister. I’m sure the minister — you know, we may not hear that on the record — can understand the concern that British Columbians would have with a statement that says one of the goals of the speculation tax will be to trigger a lifestyle audit.

[5:40 p.m.]

This is a new process, and 1.6 million British Columbians had no idea they would be contemplated as potential speculators, and in fact, until they proved otherwise, that’s what they are considered in our province. It’s a negative-billing option.

This bill has some rather sweeping investigatory powers. Can the minister assure the opposition and others and clarify, even in a roundabout kind of way, the comment that was made? I’m assuming that the government is not going to begin a round of exploring people’s lifestyles as part of an audit and using any of the rather sweeping powers that are included in the spec tax legislation.

Hon. C. James: I’ve answered the question. The audit will be no different. The audit process is the same process that’s in place now for existing taxes. The tax department is very experienced in this work, and they work within the privacy provisions that are in place.

S. Bond: So British Columbians will not be forced to go through an invasive lifestyle audit?

Hon. C. James: I’ve already spoken about the audit process.

S. Bond: Has the government used that language in terms of lifestyle audits? Is it connected to any other taxes? Or was this just a casual comment that somehow the speculation tax, which is invasive enough in terms of the…? And in fact, that’s what we heard: it is invasive. People have to provide personal information they didn’t want to provide. They’re being considered speculators until they prove otherwise.

Has the government used that language related to any other taxes?

Hon. C. James: Again, I’ve spoken about the audits. I’ve been very clear that the audits will be the same as they are used in other processes when it comes to taxes and audits.

S. Bond: I just want it to be clear, on the record, that this minister has unequivocally said that there is no intent on this government’s part to begin a process related to something called a lifestyle audit.

Hon. C. James: I’ve been very clear. The audit process will verify information that people provide, as we do with other taxes. It will be a similar kind of process.

T. Redies: I’d like to go back to the contract with Fast Enterprises. In April 2018, Fast Canadian Enterprises, a subsidiary of Colorado-based Fast Enterprises, received a $14 million contract, directly awarded. It was a contract extension, actually, to, I guess, an existing contract to develop the digital software required to implement the speculation tax.

Knowing that Fast has provided services to the B.C. government in the past, has Fast previously undertaken work for the government of B.C. which involved the collection of the social insurance number?

[5:45 p.m.]

Hon. C. James: Fast or private contractors build the system. They don’t manage the system. The custody and the control of the data, including SIN numbers, is controlled and held by the province, not the software vendor. The data is stored securely and managed by the province itself.

T. Redies: I understand that. But my question was: has Fast ever built a software solution for the government that involved taking the SIN number?

Hon. C. James: The answer is yes.

T. Redies: I wonder what sort of due diligence was done prior to entering into this $14 million contract with Fast.

Hon. C. James: It’s a long-term relationship. I think that’s the important piece to first note, is the relationship. The software is called GenTax. The software was first used in 1999, from this company. Again, I think part of the due diligence is the long-term relationship and the work that had been done. They were utilized by the past government in 2011 to reimplement the PST in B.C. There was a major capital investment through the company, and it’s been utilized since then. Then again in 2018, we amended the contract to include this piece with the company.

T. Redies: Could the minister please provide us with the specific systems where Fast has actually built a system where the social insurance number is being taken? Which system, which registry before this spec tax registry, was actually taking SIN numbers?

[5:50 p.m.]

Hon. C. James: There are three that we can think of, off the top of our heads. The income tax data is stored through their systems. Logging tax, as well, uses the social insurance number, and the property transfer tax.

T. Redies: Thank you for that. Would the minister have her staff provide us with a copy of the contract?

Hon. C. James: We’ll have to take a look at commercial sensitivity in the contract, but apart from that, yes, we’re happy to share it.

T. Redies: Thank you for that, Minister. Appreciate that.

Between October 10, 2016, and January 30, 2017, the names and social security numbers of nearly 1.9 million Michigan state residents were exposed to unauthorized viewers after a software update inadvertently caused a system glitch in the state’s unemployment benefits recipients registry. The system responsible for that data leak was developed by Colorado-based Fast Enterprises. Was the minister aware of that data leak prior to the procurement of Fast Enterprises for the speculation tax?

Hon. C. James: I think the important piece to note is that we hold our data, so it’s a very different situation. It’s not held by the company; it’s held by British Columbia and, as I mentioned earlier, managed by British Columbia. So the issue of the challenge that was faced in Michigan wasn’t an issue that relates, because again, we control and manage the data here in British Columbia.

T. Redies: Except I think the situation in Michigan was, again, to do with the software, not where the data was held. It was a software upgrade that actually caused the problem and the leak. So back to my first question: was the minister aware of this leak prior to entering into a subsequent contract with Fast? And can she assure us that a similar type of glitch with a software upgrade is not going to result in the exposure of very sensitive British Columbian information?

Hon. C. James: No, we weren’t aware before the contract was issued. We were made aware, but it’s very clear that the result that occurred in Michigan wasn’t an issue. The software isn’t in use in British Columbia. Therefore, again, between the fact that it’s not the same software and that we hold and manage our own data, it addresses the concerns with the breach that happened in Michigan.

Member, I think we’ve got a switchover in one of the Houses. I’ll take a moment to report out, and then we’ll come back again once the other House has switched over.

I move that the committee rise, report progress and ask leave to sit again.

Motion approved.

The committee rose at 5:55 p.m.

The House resumed; R. Chouhan in the chair.

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

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

Hon. J. Darcy: In this House, I call estimates of the Ministry of Finance, and in Douglas Fir, I call Committee of the Whole on Bill 18.

Committee of Supply

ESTIMATES: MINISTRY OF FINANCE

(continued)

The House in Committee of Supply (Section B); J. Isaacs in the chair.

The committee met at 5:59 p.m.

On Vote 25: ministry operations, $265,327,000 (continued).

[6:00 p.m.]

T. Redies: Before that interlude, the minister did confirm that the ministry was not aware of the major data leak in Michigan prior to signing this extended contract with Fast. My understanding was that a privacy impact assessment was actually conducted. So how could that assessment have missed a major data breach like that involving the U.S. company, the U.S. parent of this Canadian sub?

Hon. C. James: Yes, privacy impact assessments are done. They’re done as we develop the software as well. We do make our best efforts, based on the information we have, to be able to do that review. When the information was available, when it became available that this breach occurred, we obviously approached the company. We had conversations with the company. We did that investigation to ensure, again, that it wasn’t a result of any of the software that we’re using in British Columbia and wouldn’t have an impact on any British Columbia information.

T. Redies: I’m actually kind of surprised that it wasn’t picked up, because all I did was google Fast Enterprises, and the major breach came up. So it seems to be a bit of a weak privacy assessment process if even a basic Google search was missed.

Is the minister confirming that a further privacy impact assessment was done after it was discovered that this major breach had occurred in Michigan?

[6:05 p.m.]

Hon. C. James: I think, to back up again, just around the development of software…. When software is developed for us in British Columbia, for our use in British Columbia — particularly when it’s software, obviously, that has sensitive data, but for all software — we go through an assessment of that software as it’s being developed. We go through a risks and control review, which takes a look at all of the compliance that’s needed with government’s core policy, with all of our security policies, with FOI considerations.

That occurred. Our software has gone through that process, and all of it complies with the core policy. We have confidence in the software that we have. It’s gone through its own risks and control review. Add into that, as I said, that we control our own data. The data is not controlled or managed by the company. In fact, it’s controlled and managed by the staff here in British Columbia.

With all of that, as I said, we are very confident in the materials that are here. Certainly, when the breach data information came to us, we had those conversations as well. But we had already gone through our own risks and control review, our own protections with third parties to go through the software to make sure that it was compliant. It is, and it was.

S. Bond: We’re going to move to subcontracting for a moment. I’d like to ask the minister, to begin with: does the contract with Fast provide provisions in the contract for Fast to hire subcontractors?

[6:10 p.m.]

Hon. C. James: We’re just confirming. I just want to make sure that we’ve confirmed in the contract around whether subcontractors are there or not. So I’ll get that information for the member. But I think the important piece to note in the contract, as I mentioned earlier, is that it’s the B.C. government employees who have management, custody and control of the data. But we’ll confirm on the other piece once we take a look at the contract.

S. Bond: I appreciate that. Perhaps the minister could add this to the work that they’re going to do. If yes, if they have the ability to subcontract, have they? If so, who’s been subcontracted, and what functions of the contract have subcontractors been hired to do? We basically want to know: can they subcontract? Have they? And if they have, who are they?

Does the contract have any stipulation or requirement for other ministries to have access to personal data that’s being collected?

Hon. C. James: The easy answer, no.

S. Bond: Obviously, it’s a significant concern about the collection of a large collection of data related to people’s personal information, so I just want to be able to cross this off the list of concerns. Are there any other third-party providers that British Columbians should be aware of that have been contracted to deal with the speculation tax and that may have access to personal data? So we understand fast…. Are there any other third-party contractors that may have access to personal information?

[6:15 p.m.]

Hon. C. James: So we’ve talked about…. It’s government employees who have control, who have the management, who have access to the data. The data was entered, of course, by people who may have been answering phone calls and doing the forms, so they would have had an ability, obviously, to enter that data, but they don’t have access to the data. But they will have entered it. They have strict confidentiality provisions, of course, in answering questions and taking people’s data down over the phone, but they only have the ability to enter it, not access to the data.

T. Redies: Part 2, section 9 of the privacy impact assessment titled “Speculation and vacancy tax, operational phase 1” — if you want the real detail, PIA No. FIN18061 — identifies the known risk where Finance employees and agents of Finance — e.g., contractors — could access personal information and use or disclose it for personal purposes. The PIS risk mitigation strategy cites oath of employment, annual confirmation of standards of conduct by employees in training, as the minister’s means of mitigating the said risk.

Will the minister confirm if there are further protections in place other than just an oath of employment in terms of the measures that are cited in the risk mitigation strategy?

Hon. C. James: I move that the committee rise, report progress and ask leave to sit again.

Motion approved.

The committee rose at 6:17 p.m.

The House resumed; R. Chouhan in the chair.

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

Report and
Third Reading of Bills

BILL 18 — WORKERS COMPENSATION
AMENDMENT ACT, 2019

Bill 18, Workers Compensation Amendment Act, 2019, reported complete without amendment, read a third time and passed.

Hon. M. Farnworth: In the Douglas Fir Room, Committee A, I call committee stage on Bill 29, Miscellaneous Statutes Amendment Act. In this chamber, I call continued debate on the estimates of the Ministry of Finance.

Committee of Supply

ESTIMATES: MINISTRY OF FINANCE

(continued)

The House in Committee of Supply (Section B); J. Isaacs in the chair.

The committee met at 6:20 p.m.

On Vote 25: ministry operations, $265,327,000 (continued).

S. Bond: I think we were just going to, as we resume, wait for an answer to the question from my colleague.

Hon. C. James: I think there are a number of pieces, just to identify, around the protection of the use of data that I think are important. The first one, of course, is that this is not a new process for the Ministry of Finance and for the people in the department. We get tax information all the time, so this is an important piece of work in the Ministry of Finance — the protection of privacy.

Just to give a few examples to the member of the kind of work that goes on. The information is encrypted, so that provides a level of protection. There are limits on the number of users, so that’s tracked. The users that are given permission have to be authorized. They have to, as the member said, sign an oath. They also have to take privacy training. They have to go through that process. Then there are also compliance reviews on their use of their computers. Again, there is tracking that’s done through that process.

[6:25 p.m.]

Then just the added, additional piece, of course, is that there are penalty provisions in the speculation and vacancy tax legislation, including fines and jail, for people who misuse the data. So very clear protections are in place and very clear training that goes in place as well.

Just to go back to one of the member’s questions. The member was asking about Fast and the contract and whether they could subcontract. We’ve taken a look at the contract. Fast is not able to do that unless they ask for prior written approval. Written approval has to be given, and that has not occurred.

T. Redies: Why were hacking, phishing and data theft not indicated nor examined as known risks on the risk mitigation tables, part of the privacy impact assessment?

[S. Chandra Herbert in the chair.]

Hon. C. James: I think the member is looking at the operational privacy impact assessment, not the systems impact assessment. I believe the systems impact assessment has those pieces in it, but we’re just checking to make sure.

But certainly, our staff know that the tests around hacking and around phishing, in fact, were run before the system was up and running. We’ll just double-check to make sure. But I think the member is looking at the operational privacy impact, which is very different than the systems piece.

S. Bond: I want to just ask what I hope will be a relatively quick answer. Looking at part 2 of the privacy impact assessment…. I’m assuming the staff have it, the same document that was referred to by my colleague. It looks at whether or not the speculation tax initiative qualifies as a data-linking initiative under FOIPPA. As you can imagine, that’s actually a pretty important question, considering the quantum of data that’s being collected.

Question 2 on that section asks if the purpose for the linkage is different from those for which the personal information in each database was originally obtained or compiled. Interestingly enough, the response provided said the answer was no.

[6:30 p.m.]

In fact, we know that the tax links personal income tax records with personal property tax records and that the purpose of this linkage is different from the purpose for which the information was originally obtained. Can the minister explain why the question was answered no when this initiative appears, at least to us, to have all the known characteristics of a data-linking initiative? The minister has spoken about that a number of times.

Hon. C. James: “Data linking” is a very specific term defined under the FOI Act. The definition is that it takes two systems, it links them together, and it uses them for another, a third, purpose. That does not fit. It’s not at all what is being done with the speculation tax. The speculation tax is using the data that is there to verify, basically, and to audit. So it does not fit the definition through FOI of a data-linking initiative, which, as I said, takes two systems, links them together and uses them for a third purpose.

S. Bond: A final question on the privacy impact statement before my colleague moves on. There is a part of this same document that suggests the tracking of who has access to personal information being collected will be reviewed. It talks about a review. Can the minister tell us what that looks like? It says it will be reviewed on a regular basis. In fact, I think it says quarterly at minimum. Can the minister just give us a sense of what that review will look like and confirm that it will happen and how frequently it will happen?

[6:35 p.m.]

Hon. C. James: Regular review means that it’s ongoing. I think I described one of those pieces earlier, where I talked about a review that occurs with users who are authorized within the system. There are already reviews. We’ve already begun that process. We’re already reviewing peoples’ usage on the computers to make sure, again, that that access is being used in the right way — that there aren’t any breaches.

This is not something that occurs once a year. This is an ongoing process. As staff change as well — sometimes you’ll have staff who will move to another department — we would remove them from the list of users. That happens automatically to make sure that that occurs. Those reviews are just happening on an ongoing basis.

T. Redies: When Fast Enterprises was direct-awarded a contract extension to implement the speculation tax, the government’s notice of intent specified “an estimated 3½ million users would need to be registered.” Why did the contract extension specify the requirement to register an estimated 3½ million users, when it was really only supposed to cover 1.6 million registrants?

Hon. C. James: I think the key here is building a robust system. That was important, certainly, in developing this. We wanted to make sure that it could manage the data load. In order to build that system and make sure there was enough capacity, you use a larger capacity number than is required. That takes care of, then, people coming in and out, making changes to the system, like people who may move, and someone else has to do another declaration. The number is larger than the number you anticipate so you can make sure that the system is robust enough to be able to handle the data.

T. Redies: Well, that’s interesting, because obviously, with the spec tax, there are a lot of people who feel that it’s already a significant invasion of privacy. So the minister can appreciate that when the ministry says it’s going to be 1.6 million registrants, but they’re building a system for 3½ million users, that raises a whole bunch of red flags as to where the ministry is going with this system.

Does the contract stipulate any requirements to expand the registrant pool beyond the current publicly cited government figure of 1.6 million users?

Hon. C. James: No.

[6:40 p.m.]

T. Redies: It’s interesting, because earlier today we found out that there are 3½ million people who file income tax in this province. Can the minister tell us how many people own properties in this province?

Hon. C. James: It’s through land titles, but we can get that information for the member.

T. Redies: It’s just curious to me, again, that this system — which has basically been built, supposedly, to house twice the number of users that the ministry has indicated that it was going to be built for — also corresponds with the number of people who file income tax in this province.

Is the government planning to house all personal property and income information of British Columbians in this registry or database going forward, and if so, for what purpose?

Hon. C. James: I appreciate the member trying to link all these pieces of data together, but the answer is no. There is no intent, and there is no link, as the member has tried to infer.

T. Redies: If so, the minister means that…. Let me go back here. So is the minister suggesting that because they built the system for 3½ million users, at some point in time, there will be 3½ million registrants in this database?

Hon. C. James: No. I will respond again and give the same clear answer. When you build a system, you want the system to be robust. You want it to have enough of a data load. You build the system with a larger capacity than you need, to ensure that the system will be able to be robust and will be able to work, and that’s what we’ve done.

T. Redies: Thank you, Minister. I’ve built systems, and you don’t typically build them for more than twice the amount of users that you need, because that actually adds a significant amount of cost. So I guess what the minister is assuring us is that this registry will not be used to capture more property owners and their social insurance numbers going forward in the future.

Hon. C. James: I think, as I described earlier in the question, you need to make sure that you also account for people who may have made mistakes and need to go back into the system, who need to be able to correct their forms. You need to be able to build the capacity for people who have sold their house and somebody else bought the house and they’re now required to be able to fill out the speculation and vacancy tax.

[6:45 p.m.]

There will often be, with a real estate market, people who are selling and people who are filling that information out. Then you also need to take into account the issue of data retention. So just because someone has sold their house and moved on…. That information has to remain in the system, and the new person has to have the ability to base in the system. For income tax purposes and for tax purposes, usually the time that the data has to be kept is six years. You need to have a system big enough to be able to handle that capacity and be robust enough so that we’re able to make sure the system works properly.

S. Bond: We’ve been talking about the quantum of personal information that’ll be captured. We’d like to now move to what kind of assessment was done in terms of the Office of the Information and Privacy Commissioner. Did the minister or the ministry talk to the Privacy Commissioner about the collection of social insurance data and other data?

Hon. C. James: I think, as we’ve had this conversation previously, it’s critical, from our perspective, to protect people’s information. Privacy is important. Again, as I talked about, we have experience, obviously, in the Ministry of Finance with this work around protecting privacy information.

We work directly with OIPC staff. They reviewed the draft legislation. Finance staff work with their office. We continued that process through the declaration process and through the development of the legislation.

S. Bond: During that process, were there any concerns expressed by the Office of the Information and Privacy Commissioner?

Hon. C. James: As I mentioned, we worked with their staff. We worked through the questions and answers. Were questions raised? Yes, they were. That’s why we go through this process: to make sure we’re very thorough about it. Questions were asked, and they were answered.

S. Bond: Is the minister aware that currently the Office of the Privacy Commissioner is actually pursuing and reviewing complaints that have been received and looking at whether or not there is authority to collect social insurance numbers under the Freedom of Information and Protection of Privacy Act?

Hon. C. James: Yes, I am aware. The inquiry, as the member will know well, is a standard process that occurs in response to complaints brought forward.

[6:50 p.m.]

It’s the duty of the Privacy Commissioner to take a look at those complaints that have come forward. As I said, we had worked through the legislation with the Privacy Commissioner.

S. Bond: Is the minister concerned at all that the decision of the Privacy Commissioner has not yet been rendered?

I’d like to quote from a letter that was received by a constituent. It says: “We are considering matters relating to the collection, use and disclosure of personal information for the purpose of administering the speculation and vacancy tax. However, a decision in respect of these matters will not be made prior to the March 31, 2019, deadline for completing the annual declaration.”

In fact, the government has now collected…. Well, they’ve received responses from 1.5-million-plus British Columbians. All the while, we have the Privacy Commissioner still exploring whether or not it is appropriate to be collecting, in particular, the social insurance number. Is the minister at all concerned about that?

Hon. C. James: As I said earlier, we worked through the Office of the Privacy Commissioner. We worked closely with staff through the development of the bill. I certainly understand that the commissioner has a duty to review any individual concerns that come forward. We welcome their inquiry. That’s the work that the Privacy Commissioner does. That is his duty. I’m confident that our tax is compliant.

S. Bond: Thank you to the minister. Well, there are British Columbians who are concerned, because in a letter that we received, actually, from the Office of the Information and Privacy Commissioner, he points out that “we are already considering complaints.” That is with an “s” on the end of it. It is not one person.

There is significant concern that has been expressed by British Columbians — and I would again quote the letter — “relating to the collection, use and disclosure of personal information,” including name, address, social insurance number, date of birth and email addresses for the purpose of administering the speculation and vacancy tax.

I can assure the minister we will be watching and waiting for the decision of the Privacy Commissioner.

Could the Minister of Finance confirm today that the collection of email addresses…? As the minister knows, there are literally over one million of them. I’m wondering if the minister could confirm today that the email addresses of British Columbians will not be used for any purpose other than information related to the speculation tax or issues related to financial practice. There has been a lot of concern expressed by British Columbians about what on earth this government is going to do with literally thousands and thousands of email addresses.

Can she confirm today that there will be no other use, other than what was authorized through the speculation tax?

Hon. C. James: Yes. As I’ve said, we protect people’s privacy. That’s part of the work we do with the Ministry of Finance. It’s part of the seriousness we take through this bill as well.

I move that the committee rise, report progress and ask leave to sit again.

Motion approved.

The committee rose at 6:53 p.m.

The House resumed; R. Chouhan in the chair.

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

Report and
Third Reading of Bills

BILL 29 — MISCELLANEOUS STATUTES
AMENDMENT ACT, 2019

Bill 29, Miscellaneous Statutes Amendment Act, 2019, reported complete without amendment, read a third time and passed.

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

Hon. M. Farnworth moved adjournment of the House.

Motion approved.

Deputy Speaker: This House stands adjourned until 10 a.m. tomorrow morning.

The House adjourned at 6:55 p.m.


PROCEEDINGS IN THE
DOUGLAS FIR ROOM

Committee of Supply

ESTIMATES: MINISTRY OF EDUCATION

(continued)

The House in Committee of Supply (Section A); R. Leonard in the chair.

The committee met at 2:56 p.m.

On Vote 21: ministry operations, $6,529,945,000 (continued).

J. Thornthwaite: I have a few more questions for the minister today about mental health in the schools. When we were speaking yesterday, we were referring to the announcement that the government made in February about the $3 million investment, and I’d asked the minister for a breakdown of where that was going. He kindly provided that $2.2 million was going to the school districts — the 60 school districts — and that $175,000 was going to FISA, the federation of independent schools.

I also recognize he’d also answered the question on, generally, where these resources were supposed to be going to — staff training, parent information nights, development of new resource materials for educators, families and community organizations, and student workshops.

My question to the minister is: what sort of accountability will the ministry have on how each school district or school or independent school or FISA…? What kind of accountability is there to ensure that the money that they’re spending is actually going to help children in schools with their mental health?

[3:00 p.m.]

Hon. R. Fleming: Thank you to the member, whose question was really around accountability for the money related to mental health initiatives in the school districts. Districts, in order to access the grants, had to put a plan together. They had to submit that to the ministry and make the request. In exchange for that, each school district must report on how they use the early action initiative funds. They must also report the outcomes of the funding that they utilize. Those reports on outcomes will be submitted by June 30.

J. Thornthwaite: A follow-up question to that answer about outcomes — that they have to report those outcomes. What would those outcomes be? I’m trying to get to an idea of what the measure of success of the money for school districts is.

Hon. R. Fleming: The kinds of indicators or outcomes that we’re looking at in terms of, I suppose, looking at the value for the investment, can come from a variety of areas, depending on what the project focus was.

It’s interesting. Just today, we were meeting with a number of groups that are concerned about opioids and substance use. One of their initiatives was really around training doctors in the system to be able to spot addiction issues and give good addiction advice to patients.

Very similarly, I think there’s an interest in taking classroom teachers and giving them much more of a generalist background on mental health and addictions issues. So some of the districts will use this for professional development. Others will have parent info nights where there may be issues that the district is trying to lead a dialogue on mental health, so you obviously get numbers of attendance.

[3:05 p.m.]

Another outcome measurement that is reported annually, actually, is the student learning survey. I think we covered that yesterday. At grades 4, 7, 10 and 12, students do report how welcome they feel at school, how good they feel about themselves — there are some self-esteem questions — and whether they’ve learned to care for their mental health and well-being. These are new indicators that are now part of the school system, and it’s also easily accessed by the public. It’s a feature of the customized dashboard that each school district has in the ministry now.

All of the data around student well-being and whether we’re driving mental health improvements, based on what I would say is the most reliable information, an extensive survey of students themselves, are pretty good accountability measures that are new in the system.

J. Thornthwaite: Are any of the funds going to be going for increasing staff for assessments, specifically psychoeducational assessments?

Hon. R. Fleming: The instructions from the ministry were that districts, in applying for the grants, focus on three areas: social and emotional well-being, mental health literacy and capacity for that to be raised in the district, and trauma-informed practice. I’m not aware of any district — and nobody in the ministry seems to be aware of any district — that has used it for psych-ed assessments.

I am aware, though — and I think we covered this yesterday — that Minister Dix has targeted additional funds for medical diagnoses, autism, psych-ed assessments, in the health care system to reduce the wait-lists that have become quite acute. Also, the additional funding that he announced includes the recruitment and training of people who can perform those psych-ed assessments in the health care system.

J. Thornthwaite: That leads me to my third question. I thought I would premise this question on a letter that I got from a constituent of mine about her seven-year-old son, just to express the anguish that they were going through in this school year. Right now, he’s in grade 1.

It all came down to…. The child couldn’t get extra funding or an educational assistant. He didn’t have access to the psychoeducational assessment because there was such a huge waiting list. Apparently it was an 18-month waiting list for a neurodevelopment assessment and an autism assessment at Sunny Hill. Then there was a two-year waiting list to see a school psychologist.

They ended up having to spend hundreds and thousands of dollars — she’s listed it, actually — on their own private assessments. At the end of the day, they actually didn’t find out anything more. Once the school district was able to provide the psych-ed assessment, they didn’t really actually end up learning anything more than they already kind of knew.

[3:10 p.m.]

I’ll probably end up…. We’ll give the Minister of Health a heads-up that I’ll probably ask a similar question to him, because it does relate to Lions Gate Hospital as well, in my riding.

Here’s the kicker, and I would not have any problem sharing this with the minister off line. This seven-year-old boy has submitted a designation. They’re hoping, obviously, that they’ll get it. But the school has already told the mom that it doesn’t really matter if they get the money. “There is no one to hire with the qualifications they need to support our son,” or the child they took the EA away from to deal with their son.

“Maybe he will get an IEP for next year, and all the advice we’ve been giving the school this year on how to accommodate his challenges will be officially documented. Perhaps, or perhaps not. We don’t know.

“We just continue to move forward — more appointments with specialists and lots of praying every day that the school doesn’t call me away from work yet again to deal with my child who cannot cope in school. Maybe grade 2 will be different. Somehow I doubt it.”

This was the letter that I received in March from a constituent of mine. I just wanted to read it, the little bit on the record, to impress upon the minister the importance of not only getting these assessments but getting them quickly. If that does entail the Ministry of Education or the Minister of Health or whatever, I just wanted to put that on the record that we need to do a better job for these kids. Because the assessments aren’t coming in, it’s directly affecting the services that they get in the school or not.

I don’t know if the minister wanted to comment on that. I do have other questions, but I’ll let him answer if he wants.

[3:15 p.m.]

Hon. R. Fleming: Thank you to the member for raising this concern and for offering, also, to provide the information. I’ll let her consider that to the ministry, but we would certainly be willing to, on behalf of her constituent, have the learning division of the ministry reach out to the school district and maybe have a conversation.

I’m extremely sympathetic to parents that find themselves in this situation. They expect and should expect to get services that are appropriate for their kids to flourish in schools. We know that’s not always the case. Sometimes it’s part of the journey on arriving to a much better place for the student, so as we close out this school year, let’s hope that the district and the parent, perhaps with the involvement of the ministry, can arrive at a good situation for a good grade 2 year for the student.

North Vancouver, as well. I think the member knows and is rightly proud that district 44 has a good special education department that helps the families of schools do really well. They are highly supportive of inclusion and best practices for kids that do have special learning needs.

As I mentioned, we have tried to address the backlog of assessments, just to go back to that issue. It’s not easy to recruit people to do that work. A lot of them are in private practice. They don’t want to come into the public system, per se. But I think Minister Dix has done the right thing — instead of letting wait-lists get worse and worse, to try and address the backlog by making a determined effort and actually hiring some practitioners.

I can’t speak to whether Lions Gate is the beneficiary of that one or not. I’ll let the member pursue that with the Health Minister. It’s certainly helping more B.C. families who find themselves in the same situation as her constituent.

If that’s a reasonable response and a way forward to offer to the member, I’ll conclude my answer.

J. Thornthwaite: Yes, thank you. I definitely will follow up, then, with the ministry on this and also with the Health Ministry on the staffing out of Lions Gate. So thank you for that offer.

I have another question pertaining to mental health. In a radio interview, the minister was quoted back in February during the mental health conference time. I’ll just quote the minister. This is a transcript: “This is where coordination is so important. If we have one of these Foundry centres as a hub in a community, are they in the kind of contact that they should be with principals and vice principals, for example, for those kinds of referrals? We have so many new resources in the system that part of this conference will be how to maximize what we already have. How are we to get these people talking to one another?”

I thought that was a good statement, but I want to follow up with a question to the minister on that. There is a Foundry, as we know. I’m a huge supporter of the Foundry in North Vancouver. I also recognize that there were some funds put towards Mountainside Secondary to hopefully coordinate the Foundries with the school district. I’d like to know whether or not the minister had any updates for me on that.

[3:20 p.m.]

Hon. R. Fleming: A couple of things. I would recommend that the member, if she was interested, do a site visit at Mountainside — I know she’s familiar with the school and has talked about it in the House on many occasions — just to see, eight months on, what the new services that were announced look like, the ones that took effect September 2018 as part of the two-year project, which is a partnership between the Ministry of Mental Health and Addictions and North Van school district.

The two-year project at Mountainside — overall, it’s about expanding classroom-to-community mental health and addictions connections. Services provided in the school include a physician one day a week; a public health nurse 1.5 days a week; a therapeutic day program, which is one to two clinicians and a teacher; a concurrent disorders clinician one to two days a week. There’s an MCFD interpersonal therapy group. North Shore Restorative Justice is involved. There’s a music therapy program that’s also active, and I’ve met some students who participate in that.

The project, specifically at this school, is supported by $225,000 of provincial funding. It will build on the existing hub that exists in the community, but these services that are co-located in the schools will run from September 2018 to September 2020 and be evaluated thereafter to see their efficacy.

J. Thornthwaite: In that vein, I just wanted to clarify that one of the issues that has come up is the connection between, say, the Foundry centres and Mountainside. It’s certainly not just Mountainside. I mean, they’re the leaders. The minister has already recognized that North Vancouver school district is a leader in this whole mental health issue. I commend them for that, and certainly Mountainside is way over the top as far as how they are ahead. So I feel confident about that. But it is not just Mountainside. It’s the whole school district. In fact, it was supposed to be for the entire North Shore, so West Van as well.

My question, specifically, is the connection between the community and Foundry and the school district. One of the concerns has always been that if you’ve got an appointment somewhere and you’ve got to make it down somewhere off site, you’ve got less of a chance of that child showing up. If you can get those services and the Foundry — or at least not necessarily the Foundry per se but the people that work there — co-locating in the school districts and in the schools, I think that that would be good consistency for those students. That was specifically my question — and if the minister has anything to add on that. I’ve got one more question after this.

Hon. R. Fleming: Thank you to the member for the question.

The budget that’s before the House, just to remind members, provides $74 million in enhancement for mental health and addictions services for kids, for youth, for young adults. That’s the population that the Foundry centres serve. There’s an expansion of Foundry centres into different communities now in B.C., and that will continue this budget year and the next.

[3:25 p.m.]

I think when I made those comments that the member quoted, about how when a government is scaling up the resources, the mental health and addiction resources in particular, to help young people, either in school or out of school and in the community…. We want to make sure that all the service providers know one another — that the Foundry service personnel know the school district.

What I’ve heard since I made those comments at the mental health conference, which was a great beginning of some relationship-building, too, because you had 550 people in the room that are practitioners and experts from various parts of the system and a very heavy presence of the school system…. What I have heard anecdotally is that, very much, the Foundry centres are getting a high number of referrals. They are supporting teachers, so teachers are aware of them. When they have meetings with their students one-on-one, as students sometimes go to their teacher with problems they’re facing in their life, they now know how to refer kids.

That’s anecdotal information that, as the services are rolled out and become part of the community, they are being well used. I think what we want to ensure is happening is that all areas of leadership, from the classroom to the school and to the school district, are well aware and able to work closely with the new resources that the government is providing, Foundry centres included.

J. Thornthwaite: Just to reiterate, one of the things that I’ve heard in my community is that…. Obviously, it’s new. It’s a new program. Foundry’s new. Certainly, educating everybody — the parents, the staff, the students, everybody in the community — that these resources are there is part of the utilization of a new program. I get that. But to marry the two, marry the resources in Foundry to the resources in the school district, and for them to work together….

I mean, one of the things that we’ve heard a lot about is turf, turf protection. Sometimes the child or the family is not in the centre; it’s the turf. If you’ve got a child that needs help, then that child’s help needs to follow them through the system. We’ve certainly heard examples of that not occurring.

I’ll leave it at that. I just wanted to put it on the radar for the minister to keep an eye on it. With these partnerships that are going with the Foundries, or in situations where there isn’t a Foundry but there’s a social services agency or family services, etc., the real importance is to have these communications and these lines open between the school district and the services in the community.

My last question is about Take a Hike Foundation. I’m a big fan of them. They do a lot of work. They had, apparently, a great meeting with the minister and the minister’s staff, and they asked me to clarify whether or not there’s been any commitment in funding for them. I think they had asked for $6 million over several years. I’m not too sure, exactly. I just was asking on their behalf whether or not a decision has been made for some funding for their programs.

[3:30 p.m.]

Hon. R. Fleming: Thank you to the member. Just to go back to the previous question, I wanted to let the member know that ministry staff actually have a scheduled meeting very soon, forthcoming, with all the Foundry centre representatives. So, in terms of the outreach between school districts, the ministry has an ongoing coordination role.

To the Take a Hike Foundation, the Take a Hike program — award-winning, innovative alternate education program, which we’re seeing expand in a number of districts.

This coming year, September 2019, next school year, Delta school district has funded the start-up of a Take a Hike program there, which is great to see. Surrey is using some money that the ministry announced to start up a Take a Hike Foundation program in Surrey, which has not been an area that has had one before. That’s a good development. It’s taken some time, I should say, but it’s a good development.

In regards to how we’re going to support and help Take a Hike programs expand their reach to other districts, those are ongoing discussions. Any money that might be associated with that is ongoing.

I think they’re in a period right now, as an organization, where there are a lot of districts looking at Take a Hike. They’re impressed with what they’re seeing and looking at how they might be able to identify how they might start one in their own district. We’re here to help those districts do that, but districts are starting to take their own initiative, which is nice to see.

D. Davies: I appreciate the minister’s shout-out, as well, to the Take a Hike program. It is a fantastic program. Wish it was running in all the school districts, but hopefully, down the road, we’ll see that program expand.

Continuing on a number of questions here yet to go, one question is around a new graduation literacy assessment that was brought in recently for grade 12 students. The BCTF as well as some school districts around the province have been voicing concerns around this standardized test. I’m just wondering if this is something that the ministry or the minister is willing to concede during the negotiations.

[3:35 p.m.]

Hon. R. Fleming: I think maybe the best way to answer the member is just to confirm to him that this in no way forms part of the provincial collective bargaining.

D. Davies: I guess I recognize that but understand that all chips may land on the table where they may. I’m just wondering if that is the case, as a negotiated piece. Would it be something that could be looked at?

Hon. R. Fleming: Just to answer the critic, I’m going to let bargaining happen at the bargaining table. But I can tell him this. Assessments aren’t being bargained at the bargaining table.

D. Davies: Moving on, are there any plans by the ministry to make any changes to the other assessments, such as FSAs?

Hon. R. Fleming: To the member’s question about foundational skills assessment, what I think is important is to look at the purpose of the FSA in grade 4 and grade 7. One of the major concerns I have is that in some districts — and because of that, provincewide overall — participation rates have gone down. They went down quite aggressively over the last decade or 12 years.

I think that was maybe symptomatic of other dissatisfactions in the education system with the government of the day, to be sure, because participation rates went down at the urging of teachers organizing parents to opt their kids out. Having said that, there are a number of districts where participation rates remain high and strong.

I certainly think that in terms of the discussion we had yesterday about equity and ensuring that there is equity of opportunity and equity of educational quality in B.C., which has long been a core goal of public education in B.C., the FSA should be a tool to assist in that.

[3:40 p.m.]

In terms of evaluating whether the literacy and numeracy skills of kids in Prince George or Fort St. John are equivalent to Kamloops and Victoria and right around British Columbia, it’s important to measure it. I think it’s also important that parents know how well their kids are doing in school. What are their reading skills like by the time they’re in grade 4? That’s very, very important. So the reporting, I think, needs to be recentred between the school and the parents, and it is.

If you look at the format of the FSA, that has changed. There are a lot more long, written answers now. It is not a memory test, by any stretch. It is an assessment of competencies.

One of the things we’ve done to make it more useful to parents and school districts is we’ve moved the time of writing of the FSA to earlier in the year, so it’s now written in November. That’s a key change. The scored FSA is returned before Christmas, so by the end of the first half of the school year.

Why that’s important is that the old schedule was typically around April, and by the time the marked FSA was returned, there was really no follow up. It was almost the end of the school year. There was no attempt to look at students with low scores, for example, and say, “What kinds of additional supports do we need to help these kids get better?” — at some knowledge gaps they may have or some reading skills. Now we do have that, because it’s been changed in the calendar.

The other thing, I think, that’s a significant piece of work around FSA changes is that it is aligned with the new curriculum. I talked about that a bit already. In terms of what it is trying to determine, whether the competencies and the main goals and the big ideas that are introduced around grade 4 and 7 and summative to what a kid has learned to that point in time…. Those are what are being looked at in the assessments.

I think what we’re hearing from people in the field is that it’s a low-anxiety assessment, because it’s not a pass-fail. It is looking at what somebody’s foundational skills are, what their competencies are. It’s aligned with the curriculum. It’s not a multiple-choice framework. It’s a unique-answered assessment now, which the student and the parent get to see.

D. Davies: Thank you, Minister, for that. I certainly agree with lots of what you said as well. I take it that the FSAs will continue. That is a question that I’ve received from a number of people around the province.

As a former teacher myself, it is something that I think has always been in question, generally, by parents, teachers, the BCTF and everyone else. I thank you for your response.

Recently a labour law change is being proposed. The bill is before the House. I guess my first question on a two-part question…. Is the minister aware that the proposed labour law changes remove the essential services designation of teachers, and presumably so? Secondly, then, is the minister concerned that this could lead to longer and more frequent job action?

Hon. R. Fleming: Let me just add to the answer to the previous question, just to start, around the FSA, because I appreciate the member’s comment as a teacher and his experience with them.

I think the number one problem around the FSA, in terms of why it earns some scrutiny or some doubt, is really around its abuse in reporting by the Fraser Institute, quite frankly. That is the major controversy around the FSA. I wish that that think tank would not abuse it and interpret the data that comes out of the FSA as some kind of school rankings. It is not. That is not what the FSA tells the public — about one school being better than another school based on FSA results from grade 4 and grade 7 students. In fact, they completely shroud what the data actually informs the system about students and about the school system.

[3:45 p.m.]

I have met with the Information and Privacy Commissioner to see whether we can work together in respective legislation to prevent abuses of it being used egregiously as some kind of ranking system, and we’re going to continue to talk about that.

To the question about the bill before the House, I want to respect parliamentary procedure and also not steal my thunder — and also not incentivize the member to keep going in estimates. If we get out of here, we’ll be able to hear second reading on that bill. Then he will know, over a half-hour answer, my feelings on this. But he is correct. There is a section around removing essential service designation for employees in schools, so we’re not talking just about B.C. Teachers Federation.

British Columbia, should this bill pass, will become like every other province in the country. We’re an outlier right now that has this essential service designation.

My brief comment is this. There have been four major labour stoppages that shut down the school system since 2001. Essential service designation didn’t mean or do anything. I think it was an ideological fig leaf that was brought in, in 2002 or 2003. The record over the last 12 or 15 years shows that it was a disaster. We had the longest school disruption in B.C. history in 2014. For five weeks, our schools were shut down.

Trying to pretend that the essential service designation did anything, I think, is fallacious. The evidence doesn’t bear that out. Also, the Labour Relations Board, when there’s an application around essential service, will look at life safety issues. It’s really easy for them, when determining paramedics or nurses or firefighters, that there cannot be a withdrawal of services because there could be death as a result of that. I’m not aware of any LRB decision that ever actually prevented a strike by an educational group of workers because it didn’t meet that test.

I think what’s going to carry us forward in this province is not ineffective legislation that is ideologically motivated. It’s going to be, in fact, the exact opposite. It’s about building a relationship of trust and respect with teachers. I think we’ve shown that with 26,000 support staff. We have a tentative agreement with CUPE B.C., which we’re very proud of. We’re working on an agreement that we hope to renew before June 30 with the teaching profession. That’s what our government is pursuing.

D. Davies: Thank you for that. I certainly understand some of the implications and certainly get that the bill is still before the House. The history of job action, of course, goes back in both governments. The NDP government, in ’93, legislated back to work; ’94, imposed contract; ’96, freezing strike action. So the record is on both sides of the House here, just for a little bit of history.

With that being said, I guess I’m probably not going to get much more of an answer…. I was going to ask about the minister’s take on concerns around that and how it could affect the continuity of the classroom for students. We are coming out of five years right now of a contract. I’m just wondering how he might think that the change under this legislation that is before the House could impact that.

Hon. R. Fleming: There are two things I would say. I don’t expect these amendments to in any way change collective bargaining that’s underway with any of the educational unions in the province at all. I think the Supreme Court has been pretty clear on what is an essential service and what is not and has interpreted the Charter of Rights around essential service designation. There’s a lot of jurisprudence on that. It doesn’t support the continuation of the essential service designation. It was ineffective.

As I mentioned, we had four major labour disruptions since 2001. Basically, on every round of bargaining that the previous government clung to the essential service designation, it didn’t prevent there being either the withdrawal of labour or…. As he’s well aware, the government, while having essential service legislation, actually imposed lockouts and applied for lockouts of unionized educational workers.

[3:50 p.m.]

It just doesn’t apply. I think we know what essential services are. They are in occupations that deal with the life safety of Canadians and British Columbians. What I would like B.C. to be is a normal province, where we have an amicable, respectful relationship with all educational unions, where the pattern is that we settle new contracts, renew contracts, without any disruption of services. That’s typically what happens in other provinces around the country, and I think that’s exactly what the climate of respect that we’re trying to build here in B.C. is aimed at doing.

The Chair: Just to remind members that proposed legislation isn’t the subject of these estimates. We reserve that for the….

D. Davies: Sorry, Chair. I’m not too sure, then. My next question was around the employment standards proposed legislation. Can questions be asked…? The impact, of course, of the legislation can have direct impact on the budget outcomes.

The Chair: If you can pose your question relative to the estimates around the budget, as opposed to directly regarding the proposed….

D. Davies: Okay. So be fancy. Be fancy. All right.

Right now students around the province engage in co-ops, work experience. Certainly, that’s a little different between…. It might look different here in Vancouver or Victoria, versus what might be up in Terrace or Fort St. John or Fort Nelson, just in regard to the type of work. You might have a 15-year-old that takes an opportunity to look at how heavy equipment works — or out in the forest sector, you know, looking at opportunities there.

Here’s the unique part. I’m just wondering if there is any consideration of that changing in the near future. If so, are these co-ops and work experience going to be taken into consideration should the age change below 16 for light labour?

Hon. R. Fleming: To the first part of the member’s question, although the Minister of Labour, helpfully, is in the room and was giving me some excellent insights into the legislation, I think I will let debate on the legislation take its course, where the member will have all kinds of opportunity at committee stage of debate to ask some of those questions.

Suffice it to say, actually, we think the legislation is going to enhance the ability of student employment in the types of programs that the member has inquired about.

[3:55 p.m.]

What I would also say, just while we’re on this topic, is that our ministry is very interested in working with school districts to be able to increase the number and scale of programs currently, whether they’re things like dual-credit programs that involve formal apprenticeships or whether it’s university-track education. We’re hoping to be able to harness the interest that kids have in what life is like after school by bringing them into closer contact with advanced education while they’re still in high school.

To that end, we have a career summit that is happening, with representatives of some of the programs that I’ve mentioned, from every part of the province, convening at the end of this month. It’s really about generating ideas, identifying any barriers — whether they be financial, geographic or what have you — or working closer with business and industry to create programs that will lead kids to be able to take advantage of some of the high-skill, high-paying jobs that are coming available.

D. Davies: Thank you, Minister. Last year…. The minister briefly mentioned this yesterday — about his trip to Europe to recruit French teachers. Can the minister state to date how many French teachers that specific trip has retained for the B.C. education system?

Hon. R. Fleming: Thank you to the member for the question. We talked a little bit, I think, in this set of estimates about recruitment and retention of teachers. What I want to stress is that school districts do the hiring. They have hired something like 4,000 teachers since we became government — an incredible amount of recruitment and opportunities happening.

We were able to supply most of those teachers domestically. A lot of B.C. teachers had been teaching internationally; they have come home. A lot of B.C. teachers had been teaching out of province because they couldn’t find work for so many years here in B.C.; they have come home. There was a domestic, in-B.C. strategy that was around recruitment and retention.

The Ministry of Education also directly funded seats for French immersion teachers, for special education teachers, for Indigenous teachers — close to 200 so far, in addition to what the Ministry of Advanced Education annually trains, which is typically a cohort of about 1,900 British Columbians. We decided to add to the teacher education program training in B.C. universities.

Strategy No. 1 was domestic — in here; strategy No. 2 was out of province. We have hired significantly more teachers out of province who now want to come and work in British Columbia. I think it’s up about 85 percent annually, in terms of applications coming from out of province.

[4:00 p.m.]

Now I think the new normal for, say, Ontario teachers coming to B.C. is in excess of 500 per year. It could go higher, depending on the new government — the implications of their decisions.

Then finally, as a third piece, we decided to go to some French-speaking countries and see if, internationally, we could get high-quality teachers to come live and work in B.C. There had been a little…. A couple of toes in the water with scholarship programs. Simon Fraser University, for example, has a francophone…. The university has had a relationship with a number of school districts in France for a long time.

What we found was that any teachers that were coming from France were typically going to Quebec, to a lesser extent Ontario and, believe it or not, to Louisiana but never coming west into western Canada. So we had to let them know that British Columbia was indeed hiring, this was a great, dynamic part of the country and Canada is more than just Ontario and Quebec.

To the specific answer around the question, since that mission to France and Belgium, where we signed a memorandum and created a scholarship partnership with Belgium as well, we have had 15 teachers certified. We have 48 that are in process of being approved by the teacher regulation branch.

I think the TRB is getting faster at processing. They’re now more familiar, for example, with the credentials of a Belgian or French university. They have evaluated whether their education degrees are the equivalent to B.C. teaching degrees. So I think it’s been paying off quite well.

It wasn’t just the amount of French teachers that would be capable of being hired so that districts could expand their French immersion programs; it was also the quality. What I think we’re hearing from the districts that have hired teachers from France is that, obviously, their language skills are excellent and they’re learning a lot about our curriculum. All reports suggest that they’re settling into the school system really, really well. I expect, via word of mouth, we’ll see even more teacher applications from those two countries.

D. Davies: I’m sure Quebec appreciates our recruiting strategy for them if we have lost some to them.

I guess to confirm the answer to the question then, we’re looking at 15 teachers from that trip to Europe that are currently employed in British Columbia — teachers — and 45 that are in the process, going through the teacher regulation branch. Just to confirm.

Hon. R. Fleming: Fifteen have B.C. teachers licences now; 48 are applying for teachers licences in B.C.

D. Davies: Does the minister have the full cost, to the government, that this trip costs and what…?

Hon. R. Fleming: Yes, the total trip, which also included some ministry funds to include the Vancouver school board personnel, was $35,516.69. So the trip came in significantly under the original budget.

We’ve compared it to the cost of similar international trips that were conducted by the previous government, and I’m happy to report it was significantly, vastly less than some of those trips that were expensed by the previous government.

D. Davies: Just to kind of go back there. I just had a second thought. The 15 teachers and 48 in process for the TRB — does the minister have a breakdown of what coun­tries those are from? France, Belgium and the Netherlands, I believe.

Hon. R. Fleming: I don’t have the breakdown, but I’ll see if I can get something for the member after estimates concludes.

[4:05 p.m.]

D. Davies: Appreciate that. Looking at some of the costs…. I appreciate getting the total cost of the trip. There was, and I’m hoping the minister can clarify what this was, a car and driver that cost, in Canadian funds, $4,389, which seems remarkably high, that was rented in Amsterdam. It was split between the minister, the deputy minister and two staff. I’m just wondering if the minister can give remarks on what that was for and why the incredible cost of that car.

Hon. R. Fleming: I think this transportation service was for seven people, including Mr. Hansman from the B.C. Teachers Federation, who was part of the mission in the Netherlands. It served us in France, Belgium and the Netherlands. One of the reasons why the cost went up was there was a national train strike for the entire duration that we had the mission in France. So we couldn’t actually get out of the country without an executive van service to get to our business.

D. Davies: Thank you, Minister. Just that the invoice came back saying that it was utilized in the one country, in Amsterdam. So that’s for the four days, even if we relayed it for the three days, actually, the fourth to the sixth. I understand that there were six or seven people. It just seems remarkably high for $4,000. I just was curious about that, but I will take your response.

Just more on the French teachers, and we talked about the ones from Europe. How many French teachers has the school system recruited from all other sources in the past year?

[4:10 p.m.]

Hon. R. Fleming: To get back to the member to…. My assistant deputy has helpfully crunched the numbers. It was $190 per person per day on that trip for transportation. I don’t know what the comparable costs for train service, either available or unavailable due to a labour disruption, would be, but I would suggest it was in the range.

Now, to the issue around French teachers. The specific information that the member has asked for is difficult to gather in one place, because of course, the school system has 60 employers, and they do the actual hiring. What we’re trying to do as a ministry is give them many more options to hire more French teachers.

The training initiative that we announced in February 2018 and September 2018 added 107 new specialist teachers in February 2018 and an additional 72 new teacher education program seats in September 2018. The first group of students are going to be available for hire in 2019, so we’re very pleased about that. Some of them are student teachers this spring, right now, and will be offered jobs, presumably, over the summer and be working September 1. That would include additional French teachers.

In terms of adding together the French teachers we’ve trained, both in the directly sponsored seats from the Ministry of Education and the ones that are graduated in the Ministry of Advanced Education sponsored seats, and adding that to out-of-province hires of specific French teachers as well as the international, I couldn’t tell the member. But what we’re trying to do is just have a whole lot more teachers with specialist skills that are in high demand available to districts for hiring.

We’re hearing really, really good evidence and really good reports that teachers are not only finding full-time employment in the specialty for which they’re trained; they’re telling other people about it as well. The good-news story about having a government that’s investing record amounts into the public system here in B.C. is travelling well past the Rockies, and it’s drumming up all kinds of interest in our province.

D. Davies: The minister kind of alluded in his last answer, but maybe we’ll get more of a straightforward piece just on…. The CBC, in the fall, reported 150 shortages of French teachers in B.C. Obviously, that has improved a little bit, just hearing 15 new from Europe.

Does the minister have the number right now of the French teacher shortage that’s currently in the province, to date?

Hon. R. Fleming: Well, I thank the member for his question, because it is an area of interest for me. I think I’ve had five formal and many more informal meetings with organizations like the Canadian Parents for French. They appreciate that we have a government now in B.C. that actually has a French education strategy. We did not have one for a long, long time, and we have seen a real shift that I think is positive in that parents aspire for their kids to be proficient in both official languages. Districts are looking to, in some cases, expand French immersion track choice programs in their district, but we do not keep a central list of the sort that the member has inquired about.

What I would say is that from a variety of sources, both training additional French teachers domestically and hiring out of province, hiring internationally, we’ve actually allowed and enabled school districts to be able to hire teachers with those specialties.

[4:15 p.m.]

I think Glyn Lewis, the executive director of Canadian Parents for French, has expressed it directly. He said: “The booming popularity of French programs has been a wonderful development for our education system…. We applaud the B.C. Ministry of Education for rolling out concrete initiatives to…meet our short-term and long-term needs.”

D. Davies: Great. Thanks for that. Just to kind of ride on the quote there from the Canadian Parents for French, it has without a doubt become a very popular program, from the smallest communities to our larger urban centres. That said, it has created this really high demand in regards to parents trying to get their kids into French schools or French immersion schools. You hear lots of examples around the province of people camping out a couple days prior to registration to get their children registered in French school.

Is there anything within the ministry that the ministry is planning to expand these programs to encourage and support districts to expand these programs?

Hon. R. Fleming: I just described some of the key elements of our strategy of enhancing and expanding French education that’ll be available. What you need are teachers. You need teachers in the classroom who can teach that. So we have tried to increase the supply.

We are increasing the supply of French teachers from the three sources I mentioned. We are training them directly in B.C. universities. By the way, each time we offer new placements that are funded by the Ministry of Education, we get a dramatic oversubscription, so we’ll probably continue to directly fund additional specialist teacher placements, including for the French language. We’re hiring French teachers from out of the province, and we’ve seen an 85 percent uptake from five years ago in the number of out-of-province applications.

Finally, that international piece is really, really paying off. So to the extent that we’re empowering districts to have more options to hire more people who have the skills to expand French immersion programs in their districts, that’s our strategy. That’s our plan.

That’s what the Canadian Parents for French is applauding our government for doing. They’ve never seen a government, quite frankly, move so quickly on satisfying some of the pent-up demand around French immersion. We’re pleased to be able to give districts the option of building upon French immersion programs they have in their district or introducing them for the first time.

D. Davies: Recently your government announced the initial funding for free menstrual products. Does the minister expect the school districts to find funding to cover the cost within their existing budgets going forward after the initial money?

Hon. R. Fleming: We have covered the start-up costs for districts to purchase coin-free dispensers that will be available in washrooms throughout B.C. schools to give, in a stigma-free way, menstrual products to students that require them. That money is available now. Districts are applying for it and moving ahead. We did, I think, give them until the end of the year, but most of them expect to be up and running by the end of this school year or September 1.

In terms of the ongoing costs, part of the ministerial order was basically to say: “Look, this is now a basic, just like hand towels and soap are in washrooms.” What we’ve learned from a lot of districts is that they already purchased the products; they just didn’t have them available in the manner which is now prescribed.

We have told districts that the ministry will cover the ongoing costs, and what districts have told us so far is that the costs are already partially built into their operating funds. We’ll look at what they report back to us, once they get the start-up funds advanced, around what any ongoing pressure might be, and we’ll fund that.

The Chair: I’d like to call a recess of seven minutes and 21 seconds.

The committee recessed from 4:20 p.m. to 4:31 p.m.

[R. Leonard in the chair.]

D. Davies: Just kind of a general question. I got an email from a constituent regarding lockdowns. Lockdown procedures in schools and such: is that a ministry direction, or is that up to the individual school districts to implement and create and go down that avenue?

Hon. R. Fleming: There are ministry guidelines for lockdown procedures. There are police school protocols, which are nearing completion, so those are under discussion. The ministry guidelines have been around for some time. And then each district is required to have policies and procedures around lockdown.

I’m also advised that we are in the process of reviewing emergency preparedness as it relates to lockdowns. Both natural and human incident situations would be covered in that. It’s just to review where we’ve been and what it — I don’t want to say the compliance rate — looks like in the field amongst all 60 school districts.

D. Davies: Okay. Thank you to the minister.

I want to read a question from my colleague from Cariboo-Chilcotin. It’s regarding funding for special needs support staff in school district 27.

[4:35 p.m.]

How many special needs teachers and support staff are there since the government announced an increase in funding for special needs? What increase in funding has school district 27 received? There are two questions there, I think.

Hon. R. Fleming: Thank you to the member, whose question from another member he entered there.

Just to go back to some discussion we had about special education funding yesterday, since we formed government, overall, special education funding is up 23 percent. So that’s hundreds of millions of new, additional resources annually in the school system, to work with designated learners. That’s at the same time that the percentage of the student population that is in special education categories has remained constant at 11 percent. So it’s a 23 percent increase overall.

What I wish I had was the sort of history, going back to the beginning of our time as government, in district 27, to look at overall special education funding over a couple of years. Instead, what I have for the member today to take back to his colleague is the amount in school district 27 that is allocated for special education learners, ELL students and Indigenous students. For 2018-19, that amount was $6.73 million. For 2019-20, the current budget year we’re debating, it will increase to $7.25 million.

[4:40 p.m.]

So about a $550,000 increase in the budget year for the member’s district, just for that group of students. I do caution that’s an estimate. If anything, it’s likely to go even higher. But that’s the estimate that we calculated to send out into the budget letters to that school district.

D. Davies: Is there a plan for government to provincially coordinate, plan, fund, train and hire more speech pathologists, psychologists? Of course, it’s probably one of the biggest critical shortages for specialists that we have, so I’m just wondering what the long-term plan is.

Hon. R. Fleming: Just to go back. We covered this already, at least part of it. The 4,000 additional teachers that are in the school system that our government hired were the result of restored language that the previous government — illegally, as it were — took out. Amongst these 4,000 teachers that were restored and hired into the school system, 550 were special education teachers. So there are 550 more systemwide.

Another 190 teacher-psychologists were also part of that 4,000 that are now available in the school system. So a much higher number of specialist non-enrolling teachers are part of the school system today.

In terms of the member’s question around training, I mentioned some of the Ministry of Education–sponsored teacher education program seats that we’ve sponsored. Some of those were for the kinds of specialist teachers that the member cited.

[J. Rice in the chair.]

In terms of the much bigger pool of students that are pursuing education degrees and specializations, that question would be best directed at the Minister of Advanced Education, of course, because the deans of education would probably have the data the member is requesting.

[4:45 p.m.]

What I can say and what I’ve certainly heard in my discussion with deans of education at UBC, Simon Fraser, UVic and other places is that there’s now an incentive where there was an active disincentive to pursue an interest in a specialist education teaching degree. Before, there was no work, so nobody went into it. It meant vulnerable employment and not a great prospect of full-time work. Now there is a demand for those positions, and we’re starting to see undergraduate teachers choose to go down a path to have the skills to work with students that have learning disabilities, for example, and become special education teachers.

We directly sponsor them. I’m not sure about the ones that the ministry funds already. But we’re starting to see not only more people in the school system with the skills but the next generation of experts who can provide high-quality special education to our students.

D. Davies: Thank you, Minister. We talk about no work. My entire time as a teacher I was incredibly…. Our whole district was short specialists. Now, I understand that certain regions of the province are going to be different. I know right now in our school district, each school is allowed one psych-ed assessment per year on approximate average. So there’s obviously still a critical shortage.

Generally speaking, it’s great to see that 500 special ed teachers…. Out of the new hires, 190 of those are teacher-psychologists. That’s great news.

Are there any — very specific to rural B.C. — incentives that the ministry is looking at regarding getting these specialists to come into the Interior or the north and remote — getting them to move there and/or some kind of a travelling service, I guess? Is there something that the ministry is looking at for that?

[4:50 p.m.]

Hon. R. Fleming: Thank you to the member for the question.

Just a comment about the situation he relayed about his own district — that they triage, if you will, only one psych-ed assessment per student per school. Look, I know that some schools have had to consider how they can manage their resources, but that sounds extreme to me, and it also would cause me a little bit of concern, given the vast increase in supplementary funding that we’ve given districts.

If that were the case — that those are the service levels that they’re providing to parents and kids, after we’ve increased, by 23 percent, supplementary funding to districts — I would find that very, very disappointing. So I would maybe just urge the member to go back and, in fact, see if that is true.

The other area is just around, I think, rural district funding. I am pleased to say that since we’ve assumed government, it has gone up by $23 million. It has grown from $272 million annually in the rural geographic category to $295 million in the current budget. That’s a significant amount of growth in rural funding to help deal with the additional costs, whether they are perhaps local, additional recruitment and retention initiatives or the other things that go into the unique geographic factors of funding.

We saw a very significant jump this year in the budget that’s before the House. There will be an additional $15 million alone in new rural funding for B.C. districts. When you divide that up amongst the school population, that $15 million quickly becomes quite a significant amount of new investment.

D. Davies: Thank you, Minister — and a good segue again. Of course, I’ll continue with a few questions on rural education as well.

The rural education report from a couple of years ago, by the former government…. I know we canvassed this quite a bit last year during estimates. Out of the recommendations that were in that document, I’m just wondering how many the ministry has adopted.

[4:55 p.m.]

Hon. R. Fleming: The first thing I would say to the member is just that the overall thrust of the report that he refers to…. We released it in draft form because that’s how it was left to us as a government. I know the member was keen to see it, so it was publicly released.

The thrust of the report was that rural British Columbia needed to have more stable, predictable funding, which is also one of the overall themes and scopes for the current funding model review. So what we did is that once we named the independent panel of the comprehensive funding model review, we asked them to consider and utilize the rural education report that the member references, and they’ve done that.

I should say, too, that I suppose, in a way, the discussion writ large — not the report specifically that he refers to — and the findings and the fact that rural British Columbia has a different set of cost structures has landed sympathetically with our government. We have a record of increasing funding in a short period of time. I mentioned the $15 million in this budget specifically for rural geographic considerations that will flow to districts this year. Of that component, there is $6 million of additional funding for small communities.

So for rural and remote education, the funding is being improved currently. We haven’t waited for the funding model review to be completed before infusing new resources into rural and small community education supplements. That’s increasing, and that’s positive.

What I will say…. To just demonstrate, I think, maybe, how the independent panel utilized the rural education report, I draw the member’s attention to recommendation 4. Actually, firstly, recommendation 1, because one of the three most critical findings they found was that unique school district characteristics should be better recognized in the new model. They then got more specific in recommendation 4 and expounded upon the unique school district characteristics.

They said that the new model should better reflect operational challenges of school districts, compared to the provincial average norm. It should compare enrolment differently. It should cost factor distance from communities containing schools to geographic centres that contain basic services. It should account for the climate — i.e., the cold weather — better in terms of some of the costs in fuel utilized in those districts, which currently the model does not. And it should look at distribution of students around densities. You know, the more dense, the more economies of scale you can get. That’s not the reality in rural education.

Very big focus, in other words, in the funding model review, around rural education. I think the member will find that positive. Certainly, our record as government has been to not just talk about long, outstanding and known problems around cost pressures to rural B.C. but to actually give significant funding enhancements to those districts.

D. Davies: I appreciate the response as well. I certainly do hope the government moves forward with, certainly, recognizing there are differences between rural education and what happens in urban areas. Statistical achievement data confirms that there is a gap between outcomes in rural and urban students, but the gap is even larger still for our Indigenous groups.

[5:00 p.m.]

My question to the minister is: what is the specific plan to improve the numbers for our Indigenous students and to shrink that gap?

[5:05 p.m.]

Hon. R. Fleming: Thank you to the member. Big topic, obviously. I would say a couple of things off the top. I think our main strategy to improve student success for Indigenous students in particular is around the ongoing work around indigenizing the curriculum. That means that where fifteen years ago there was literally almost nothing around the First Peoples of this country and this province, today there is significant Indigenous content in every course at every grade level dealing with Indigenous perspectives, world views, history, culture, customs — those kinds of things.

I know the member gets around to schools and can probably physically see Indigenous language on the walls of classrooms and in libraries. We have, for example, 16 First Nations language curriculums that are certified, which were locally developed, and seven more that are under certification right now. We will continue to focus on indigenizing the curriculum with the grades 10 to 12 curriculum coming into the school system in September of this year.

Another part of our strategy to improve Indigenous student success is to have the front of the classroom look more like the classroom itself. For a long, long time, Indigenous people have been underrepresented in the teaching profession. So we have sought to work with First Nations leaders around B.C. to encourage them to send their best and brightest to B.C. universities and to teacher education programs.

I think I’ve already gone through it with the member. We have directly sponsored and funded teacher education program seats specifically for Indigenous teachers at B.C.’s universities. We’re seeing a terrific response in that regard. Young, new Indigenous talent coming into the school system, I think, is a key part of the strategy.

Very happy earlier this year, as well, that we successfully concluded the B.C. Tripartite Education Agreement on education. Our rights holders and government-to-government partners, the First Nations Education Steering Committee, the province of British Columbia and Ottawa found a way to conclude an agreement that will — if you want to put it into monetary terms, I’ll start there — add about $100 million over the next five years to kids learning in on-reserve schools.

We have achieved and maintained funding parity. We’re the only province in Canada that has it — where a kid learning on a reserve school has exactly the same dollars per capita as a kid in a district school. That is not the case in most districts where you see underfunded First Nations education. So that agreement was concluded.

One of the new features there is that there’s an obligation now for school districts to have local education agreements that they negotiate with First Nations communities and education providers. We have lots of LEAs in the school system around British Columbia, but now, if it is required, the province can impose a template agreement that will give a community an LEA.

Some of the money that I mentioned in the BCTEA agreement is around transportation as well. Some longstanding concerns around First Nations’ physical and geographical barriers to school access have been addressed in that agreement.

I want to say, also, that our record around providing more resources to Indigenous students started immediately as a government. It continues apace in this budget that we’re debating.

[5:10 p.m.]

Just to give the member an indication of that, there is an Indigenous student category that does have supplementary funding attached to it. For the entire previous ten years before we formed government, that rate was only adjusted by $80 in total. Just to give you a contrast, in this year, in this budget that we’re discussing right now, we will add $220 more per student in the Indigenous funding category next year. So the total amount is scheduled to rise from $75 million to $89 million. That’s a $14 million lift in one year.

I know the member is familiar that we have Indigenous student outcomes going in the right direction. And 2018 was the best single year to see an increase in the Indigenous graduation rate. That’s all very positive.

There are some superstar districts out there where there literally is no difference in outcome between non-Indigenous and Indigenous kids. Sea to Sky comes to mind. We’re seeing tremendous gains in the Coast Mountains school district. There are others. I shouldn’t start a list, because there are others that deserve recognition as well.

I think, overall, what we have had a high degree of engagement on, with superintendents all the way down to teachers and support staff, is the policy of student success that the ministry has. It’s to look at those who are not served well by the current system, by the school system historically — and that would include kids in the care of the ministry, for example — and provide additional adult supports in a school to help those kids succeed. It really is the centre of all of our discussions around education policy with our stakeholders — improving student success rates, making sure that vulnerable kids get the additional supports they need. That strategy is paying off by the numbers.

D. Davies: Of course, we know there are many innovative ways that we deliver education other than just typical bricks and mortar. There’s virtual, experiential options, especially pertaining to rural schools. I’m just wondering what the ministry is doing to enhance and increase funding for these rural schools to enhance the experience with virtual learning and such.

[5:15 p.m.]

Hon. R. Fleming: To the member, just a couple of points that I think will address the question he’s asked. The next-generation network of high-speed Internet service now serves every school community in the province. It gives high-speed broadband access to rural and urban districts alike, and it’s great to be able to say that every school is connected.

It’s also getting cheaper for districts, so we have an­nounced a $3.5 million annual reduction in costs to be part of the NGN network. Rather than withdraw that money out of the system, we’ve allowed districts to repurpose that.

Of course, the speed and capacity of the broadband also supports all VR and AR technologies that a school would need to run and has.

Right now we’re putting a new focus on distance learning in B.C., too, through the funding model review. We have an on-line working group. That’s one of the four working groups that has experts and stakeholders looking at it. I think it literally has been 20-plus years since distance learning has had a lens put on it in B.C. It may be that there are a number of ways we could improve on-line learning. We have about 66,000 students involved. I know it’s incredibly important to rural B.C. because when you have a small high school, for example, you will not have as many electives physically available in the school, and distance learning becomes important.

Recommendation 10, for the member’s reference, in the funding model review is where he’ll find some information about how the on-line learning findings are reported and recommended to government.

D. Davies: School districts 59, 60 and 81 participate in an incredible program called Northern Opportunities. I believe that certainly the minister is aware of that — very valuable work experience promoting kids getting into trades and following some critical career paths that we need here in this province. The funding comes to an end this year. Can the minister confirm that the funding will be continued for that program, Northern Opportunities?

[5:20 p.m.]

Hon. R. Fleming: There are two five-year agreements connected to the Northern Opportunities partnership and Northern Development Initiative Trust. These agreements are concerned with funding to support a district’s work experience, apprenticeship and career development programming. The skills-training support agreements run through to June 30, 2020. So one of the things that the ministry is going to be exploring over the next year is what options we have to continue supporting career exploration and skills development throughout the K-to-12 system and including these northern districts that have been operating under these agreements. We have a little time to evaluate them to see what a renewal might look like.

We’re also focusing education leaders on skills programs and post-secondary, dual-credit programs and those sorts of things at a skills summit that we’re hosting later this month, so there will be a lot of representatives from northern British Columbia there. They have some amazing apprenticeship programs. I know the member could speak to them very well. But that’s the situation on the term and length of those agreements and the status of those agreements to this point.

D. Davies: Just to confirm, there is, then, no plan at this time to extend that agreement, but there will be negotiations and work over the next year? Is that what I’m hearing the minister say?

Hon. R. Fleming: I think the point I was making to the member is that we have 15 months of discussion. The agreement runs until June 30, 2020. One of the things that we’re trying to do and be more deliberate about is: how do we expand either formalized post-secondary skills training or post-secondary dual-credit programs with school districts? We know there are a number of barriers to doing that. Sometimes they are disputes, quite frankly, between the jurisdictional overlap of instruction between a college and a high school. But we have so many examples of success in every region.

I’m familiar with the ones in district 61 and other parts of the province quite well. At the end of the day, they involve quite a small percentage of students. They could involve a much higher number of students. There are a lot of regions that, for a long period of time, have been underrepresented in post-secondary education.

[5:25 p.m.]

I know that the districts in the Fraser Valley have been working with SFU Surrey, Kwantlen and others to increase the post-secondary transition rates. They’ll be at the Skills Summit to look at what additional opportunities they might be interested in offering through the school system.

The premise is simple. A kid is more likely to go on and achieve a skill or a degree program or be involved in higher education if they can earn some of those credits while they’re still in high school. So that’s what our government is pursuing. What are the additional opportunities to have more of that? Should it be expanded outside of traditional trades and university specialty programs?

Should it include the caregiving professions? We’ve got an aging society. We’re going to need people to work in care homes. Certainly, we need early childhood educators like we’ve never needed before. Is there an opportunity for us to partner with post-secondary institutions and have kids in grade 11 and 12 already earning credits towards credentials in those kinds of lines of work?

P. Milobar: One or two questions here for the minister. I’ll preface this all by saving the minister some of his answer and acknowledge that this is a policy that was brought in by the former government, but it had much criticism by the current government when they were in opposition.

It revolves around the mandate within the climate action plan, now CleanBC, to make sure the public sector organizations are carbon-neutral. It’s based on, by law, school districts needing to pay $25 a tonne for carbon offsets back to the Ministry of Environment.

When you look at the year-over-year reductions that school districts have been able to make, I think it’s safe to say that most have done as much as they can probably reasonably do on any grand scale to get their footprint as small as they can. There’s still busing that comes into play. You can only replace so many boilers in older systems. There’s only so much energy efficiency you can have, especially with an older school stock in play. You’re seeing that the amount of credits that schools are having to pay for, that school districts are having to pay year over year, is starting to flatten out and be about the same.

When I queried the Minister of Environment about this — and he strongly wanted this removed when he was in opposition as the Environment critic — he indicated he has no intentions of changing this policy and moving forward. It stays, and it stands.

Why I ask is…. Certainly, the minister is part of the cabinet that agreed to the LNG plan. The LNG plan sets no minimum purchase price for carbon offset. The Minister of Environment again confirmed that LNG Canada could buy $3 offsets on the world market to meet their climate targets that they need to hit within their permitting. School districts would still be forced to pay $25 a tonne to the government.

Is the minister aware of this, first off? Will the minister be advocating or finding a way to get these rules changed so that schools could actually, if nothing else, compete the same way as industry will be allowed to compete with these new plans moving forward?

When industry does buy those $3 offsets, it qualifies them for a $20 carbon rebate, to go from $50 to $30 under the industry plan. It’s a pretty good rate of return for industry to pay $3 to get $20 back, where we have schools paying $25 by law.

Are there any plans by the Education Minister to relieve this burden to schools to, at least, get them still maybe having to buy carbon offsets but being able to go out on the world market and being able to source them for wherever value they can and keep those extra costs into their operational budgets?

[5:30 p.m.]

Hon. R. Fleming: Thank you to the member for the question. The carbon-neutral capital program…. The member is correct: it hasn’t changed dramatically since we came into government.

The change that happened, and that I was very aggressively in favour of, was not to take money out of the school system and put it towards, originally, an offset program that would literally have seen a carbon tax or carbon levy handed over to private corporations to become more energy-efficient. We felt it was really important that if school districts were forced to pay $25 a tonne, for example, they should, at least, be able to use that for public sector energy efficiency projects.

That’s what the program is like now. It’s not a huge program. As the member is probably aware, it’s about $5 million annually, so on a $6-billion-plus ministry, it’s a small percentage. I believe last year we allocated funding for 19 energy efficiency projects through the program. Total value was $4.994 million.

What we try and do, as well, is make each district have an equitable opportunity to access the money that they pay. We do it over a five-year period, because obviously, we can’t fund every single project application in one given year from a relatively small pot of money like $5 million. But we are finding that the program is still popular, in the sense that we get many more applications, annually, than projects that are funded. We’re also finding that there is continued demand for energy efficiency. A lot of these projects now are around LED lighting, but some of them are towards the kinds of physical plant infrastructure that are wearing out. They’re end of life, and they could combine projects with other sources of capital money to go to an even higher level of energy efficiency.

I think what I would say is that I haven’t heard this as a priority from districts since the fairness principle changed the contours of the program. In other words, this is not money leaving the public sector — at that time, a very cash-starved school sector — to go to private corporations, getting offsets for them to become more energy-efficient.

It stays in the sector. It allows schools to continue to become more energy-efficient. It is lowering the carbon footprint of the approximately 1,500 schools in British Columbia. That’s kind of the status of how it works right now. I haven’t heard, for example, the secretary-treasurers, superintendents or school trustees make any motions. They certainly haven’t raised it to me that they wish this program to cease. They want it to work efficiently. It has arrived at a much better place than where it was when it was originally created.

[5:35 p.m.]

P. Milobar: The basis of the question to the minister, though, is that for years, there were demands to change the system — and, in fact, remove the requirement of $25-a-tonne carbon — by the government of today, when they were in opposition. Now that they’re in government, one would think that the follow-through on demands that these types of policies be changed, and the dollars attached to them changed, more appropriately, be the case…. When you look at changing out lighting to LEDs, it may save you a little bit on your hydro bill. It’s not saving a massive amount with GHG emissions for schools, because we have green power and we have green energy in the province. It’s really around those bigger energy-intensive things like busing, like the transportation network, like the boiler systems and the heating and cooling systems within schools that you’ll actually see the true GHG gains.

The premise, though, is that at a time when a new government has come in…. I can appreciate that maybe it takes a year to get their feet under them in terms of some of the policies that they previously thought should be changed. We’re now into another budget, another year. This policy is not changing, and it’s not changing at the exact same time, and schools are being made to pay $25 into a fund. Those funds, when I’ve looked into the background, appear to have been getting distributed the same way over the previous years, under both governments. So the dollars are the same and the disbursement into public sector areas is the same.

The call to action by this government, when they were in opposition, was to remove that. At the same time, we have LNG projects that are now — and any industry — able to go out on a world market and pay world price. Is there not any discussion within the cabinet, then, for…? Because this impacts schools. It impacts universities, impacts hospitals. It cuts across a great many budgets.

Is there not a way…? Has there not been discussion to try to reverse a policy that the current government was very clearly against — at $25 a tonne — to, at a minimum, still keep the sentiment of trying to get these public sector areas moving forward with energy efficiencies but enabling them to basically have the same opportunities that the agreement the government signed with LNG Canada is, that they can go out to a world market and be able to purchase offsets at a price that’s the most efficient for them to try to keep not only operational dollars in but also still find a way to make energy improvements within the districts that they are operating?

Hon. R. Fleming: With all due respect, I think the member is misrepresenting certainly the position I took. What I was opposed to was money going from B.C.’s public school system at a time when it was grossly underfunded, going towards private sector entities, multinational firms — literally a tax paid by schools that went and subsidized corporate private sector entities.

That is no longer the case. The money that is levied internally in the public school system now forms a routine capital program that’s geared towards carbon reduction investments. All of the money, 100 percent of the money, stays in the school system. It’s a well-subscribed program. It’s issued equitably over a five-year cycle. Districts are benefiting from it. Everybody is benefiting from it, because it does have a carbon reduction benefit.

To have that program remain is incenting districts to apply for it. They have to strive to continue to reduce carbon tonnage produced in the school system in order to get this kind of money. So that’s vastly different from the original conception of this tax under Gordon Campbell, when he imposed it on the school system with no discussions. It’s now a program that is administered and refunded, rebated to school boards.

I also would ask the member, if he continues to be interested in this…. I’ve indulged his questions on it. This program is actually administered by the Ministry of Finance, so he may want to take his further questions to another set of estimates.

D. Davies: Just a general question around independent schools. In the ministry, any planned changes in funding policies, anything like that? Or is everything status quo for independent schools, moving forward?

[5:40 p.m.]

Hon. R. Fleming: Nothing planned at this time.

D. Davies: Great. Well, that kind of concludes our…. I know you’re beat. Oh, look. Everyone’s jumping for joy on the other side.

Certainly, I want to thank the ministry’s staff. I know a lot of energy goes into preparing for these, gluing ourselves to this room for weeks on end. Well, maybe not weeks on end. I’m certainly honoured to be the Education critic, understanding the important role that the critic plays. Proud to do that on behalf of residents of British Columbia. I look forward to reaching out to school districts and talking to teachers, organizations, associations, all under the umbrella of education, over the coming months.

It’s a unique situation, of course. It’s one of the critic roles where it’s really difficult to reach out during the summer break because everybody within the education system, for the most part, is also on that same break. It creates a challenge and opportunity — I’m sure, for the minister, as well — to get out and engage with stakeholders within the education world, other than when things are in session.

I want to thank my staff, as well — I know I did do a quick call out to them — for helping me and whatnot and for the work that they do. Of course, thanking teachers again and admin and support staff — really, the ones that make our system the incredible world-class system that it is right now. It certainly wouldn’t be what it is today without the hard work of the teachers. I’m certainly proud to have worked alongside some of the best.

Congratulations to our graduating class, who are ramping up right now and moving into graduation and onto either exciting careers and jobs or moving on to post-secondary schools. I wish everyone — the students, the families — a safe summer, as well as the ministry staff. Thank you for the time for this.

The Chair: Hearing no further questions, I’ll now call Vote 21.

Hon. R. Fleming: Let me just add to the closing remarks of the critic, if I may, Chair.

The Chair: Go for it.

Hon. R. Fleming: I want to thank the critic for his participation in these estimates, for availing himself of briefings that the ministry was able to offer and for being a good opposite member to work with in an adversarial system, so to speak. I appreciate his passion and also appreciate the questions that other members had an opportunity to provide.

Somewhat backwards here. I should have done this at the very beginning of estimates. We’ve now had almost everybody in the senior team at the ministry participate directly in estimates behind me, helping me provide answers to the critic. So let me introduce Scott MacDonald, the Deputy Minister of Education; Reg Bawa, the assistant deputy minister, resource management division; Kim Horn, who is the executive director of the funding and financial accountability branch; and Joel Palmer, executive director of the capital management branch.

Sally Barton was up here a little while ago. She’s the assistant deputy minister, services and technology division. Nicola Lemmer is the assistant deputy minister, education programs division. Keith Godin, ADM for governance and analytics division; Jennifer McCrea, assistant deputy minister for the learning division; and Patricia Kovacs, the director of inclusive education, have participated in these estimates too.

Who I really want to thank, as well, is the huge number of staff in the Ministry of Education who work for the senior team and who have helped all of us prepare for estimates and get the information that the member has requested, and I thank him.

Vote 21: ministry operations, $6,529,945,000 — approved.

Hon. R. Fleming: I move that the committee now rise, report completion and resolution and ask leave to sit again.

Motion approved.

The committee rose at 5:45 p.m.

Committee of the Whole House

BILL 18 — WORKERS COMPENSATION
AMENDMENT ACT, 2019

The House in Committee of the Whole (Section A) on Bill 18; N. Simons in the chair.

The committee met at 6:01 p.m.

On section 1.

J. Martin: Just a couple of queries. These could come in at various points in the bill, but I’ll use it right off the top. Can the minister please provide a very brief overview of what the formula would be for calculating the benefits to somebody, some 35-year veteran of the fire department who does become very, very ill and is covered under this legislation. What’s the process, the formula, for calculating what this person’s benefits would be?

Hon. H. Bains: I think the overview, Member, is this. We’re trying to, with this bill…. The idea behind it is to cover the wildfire fighters, Indigenous firefighters and fire investigators, because the way the definition of “firefighter” is listed in the current act excluded them from certain protections, which the other firefighters enjoy today, such as certain cancers, certain heart diseases and mental health. By changing the definition, we are including now the wildfire fighters, Indigenous firefighters and the investigators.

That’s the whole purpose. If you see, right through the act — it’s not a big act — it’s work around the new definition of firefighters to include those three areas that I talk about. You’ll see, right through, the consequential changes as a result of that.

You ask for how the benefits will be calculated. That part, the calculation of benefits, will not change. But the qualification, eligibility, of benefits is going to change because now we’re providing them presumption. Whereas before, they had to prove that those certain cancers, heart diseases and mental health injuries were work related, now they don’t have to prove. It will be presumed to have happened at the workplace.

[6:05 p.m.]

J. Martin: Where I wanted to take this is…. I’m curious how the benefits would accrue to a volunteer firefighter that has served part-time over many years without compensation, whereas the legislation has previously covered a person for whom this is his sole source of employment. I’m assuming that there would be some formula regarding their rank, their salary, their years of service. How do we factor a volunteer into this type of presumption and possible compensation?

[J. Rice in the chair.]

Hon. H. Bains: As I said before, the calculation of benefits is not changing. Qualifying for those benefits by way of presumption is what this bill is all about.

Let’s take two scenarios. Under the previous situation, before this bill is passed, the calculation that will take place…. I will read it to you. “If an individual is injured or disabled while working as a volunteer firefighter or volunteer fire investigator, WorkSafeBC uses the individual’s average earnings from their regular employment to determine the amount of workers compensation benefit.” That will continue to apply.

The only issue is now they don’t have to…. If they are filing for mental health or certain cancers and heart diseases, now they don’t have to prove that it is work-related. That’s the only thing that will change. How their benefits are calculated before and after this bill remains the same.

J. Martin: Perhaps the minister can speak for a moment about what streams of retroactivity are in the legislation for somebody who is now just going to be included in the definition, once this receives royal assent, and who may have been partially disabled or something else several years ago.

Hon. H. Bains: This will be dealt with in sections 4 and 5, as I’m advised. We can talk about this, but I think we should wait until we get to that section.

J. Martin: Happy to do that.

Sections 1 to 4 inclusive approved.

On section 5.

J. Martin: For section 5, this is the same question, essentially, just speaking to the retroactivity of this legislation for those that are now going to be covered.

[6:10 p.m.]

Hon. H. Bains: The way it will work is that those claims that are still in the system — they are not finalized. It means that they haven’t gone through WCAT. Then if they continue on…. Once this bill is passed and royal assent is given, by that time, if the claim is still ongoing, not finalized, then the new section will apply. The new legislation will apply to those claims.

But if the claim is already finalized and it has gone through the system — which means it’s gone through WCAT, for example — then there’s no retroactivity.

J. Martin: Is there any appeal process for those people that would not be covered?

Hon. H. Bains: As the member probably knows, once you go through the system, once a decision is made at the WCAT, there’s no appeal. The only, I think, window available to them is a judicial review. But once the claim goes to the highest level of the appeal system, which is WCAT, then there’s no appeal.

J. Martin: Just one final question. I know that there are exceptional circumstances during wildfires, when a part of a community is ablaze. People are basically just conscripted. They grab a shovel or a hose. We don’t have anywhere near the actual qualified force here. Everyone jumps in.

Would there be any possibility of someone who is literally volunteering on the spot…? They’re not considered a volunteer firefighter by the definition, but they are helping in along with the rest of the community. I’m thinking about Tumbler Ridge, Fort McMurray, some places that have endured just that type of situation where everybody is there on the front lines doing it. Would they be covered?

Hon. H. Bains: I think, generally speaking, in order to qualify for WCB benefits, you must fall within the definition of a worker. For presumption, this is what we are talking about under this bill. I could just read it to you, what this means.

“‘Firefighter’ means a member of a fire brigade, working with or without remuneration, who is assigned primarily to (a) fire suppression duties, whether or not those duties include the performance of ambulance or rescue services, (b) investigation duties respecting the cause, origin or circumstances of a fire, or (c) any combination of both fire suppression duties as described in paragraph (a) and fire investigation duties as described in paragraph (b); , and (b) in the definition of ‘worker.’” So then again, they have to fit the worker as well.

Sections 5 and 6 approved.

Title approved.

Hon. H. Bains: I move that the committee rise and report the bill complete without amendment.

Motion approved.

The committee rose at 6:15 p.m.

Committee of the Whole House

BILL 29 — MISCELLANEOUS STATUTES
AMENDMENT ACT, 2019

The House in Committee of the Whole (Section A) on Bill 29; J. Rice in the chair.

The committee met at 6:21 p.m.

Sections 1 to 6 inclusive approved.

The committee recessed from 6:22 p.m. to 6:25 p.m.

[J. Rice in the chair.]

On section 7.

M. Lee: Well, I will just turn this over to my colleague here to ask questions relating to the next section of the bill, which is section 7.

P. Milobar: On section 7(3)(b), I’m just wondering if the minister can confirm that the only other information about the person’s intended use of a pesticide, parts (i), (ii) and (iii)…. So that’s it. That’s all that’s being added in, in terms of any extra information that would be required for people and applicators of this overall bill.

Hon. G. Heyman: The purpose of the information is for scheduling any auditing or inspection. So yes, that is the information that would be required under sub (3).

P. Milobar: With sub (4), just to clarify, did the ministry do any modelling around determining the frequency of changes that would be typically made within pest management plans currently, so we get an idea of how often something like this might actually come into play or not? Will there be a requirement to provide the inspector any changes to the pest management plans? Will those plans put anything of the intended pesticide use timelines on hold pending the final decision by the inspector? In other words, the plan gets resubmitted, and the changes get done. Does that put everything on hold waiting for the inspector to get back to them? Or do they still proceed with the plan?

[6:30 p.m.]

Hon. G. Heyman: When you read section 7 in its entirety, sub (3), first of all, requires that information only be provided on the request of an inspector for the purpose of auditing compliance with the act. Section (4) flows from that. If the initial request for information was made, it was provided and it then changes, the revised information must be provided.

No modelling was done, because there’s really no baseline for us to model from. There’s no intention to add a delay in the application, but if you read (5), it says the required information under both sub (3) and (4) must be provided without unreasonable delay. So if it’s provided without unreasonable delay, then any required attendance of an inspector can happen in due course without any further delay being required.

P. Milobar: Overall, with all of these changes…. And I’ll ask it during section 7, I guess. But my assumption is, reading this, and I see nothing to indicate otherwise, that there’s no change to the existing act in terms of the size of area that would trigger this in terms of reporting and plans, the current framework around application areas and all of that. So everything within the act that currently stands is still intact? It’s just these small administrative changes that have been contemplated, and there’s not been a broadening of the scope of who has to operate under this act in any way?

Hon. G. Heyman: There are no additional changes or regulatory burdens. These changes are simply around the very specific nature of auditing compliance.

Sections 7 and 8 approved.

On section 9.

P. Milobar: Just one question on this. I know you’re striking out “intentionally.” Will there be a due diligence defence available to people, with this change?

Hon. G. Heyman: The removal of the word “intentionally” aligns with other offence provision language in the act. Counsel advised that there’s a presumption that regulatory offences which involve contravention of public welfare statutes are strict liability offences which don’t need proof of intent. The Crown only needs to prove the prohibited act, and then the accused must establish a defence of due diligence to try and avoid conviction.

So to the member’s question, yes, due diligence defence applies.

Sections 9 to 17 inclusive approved.

On section 18.

[6:35 p.m.]

M. Lee: I just wanted to ask the purpose for the change in this definition to “licence.”

Hon. D. Eby: I’m joined by Cynthia Callahan-Maureen, who’s assisting me here. She’s the director of pensions and personal property security in the financial and corporate sector policy branch of the Ministry of Finance. I’m very grateful for and a little bit dependent on her assistance here. This is a highly technical area of law.

The intention behind this section was to ensure that licences that could either be transferred by the individual licence holder or a licence that the authority that issued the licence would have to be contacted to transfer it — that it would capture both of those types of licences. This language is to clarify that — that a licence that is transferred by reissuing the licence to a different licensee, no matter how, is included in the definition of “licence.”

This comes to us pursuant to a report that was adopted by British Columbia and by provinces across Canada to ensure consistency in personal security legislation. There’s hope to remove some uncertainty about which type of licences the act applies to.

Section 18 approved.

On section 19.

M. Lee: The Attorney General had just mentioned that this is a highly technical part of the bill, and I certainly agree. It takes us back to first-year law school, in many respects.

I just wanted to ask, in terms of the inclusion of the words “and the priority….” That is, arguably, implied in the language that exists currently. I understand from the briefing that this was meant to ensure some consistency across with other jurisdictions. Could I just ask the Attorney General if there are any other considerations for the inclusion of the words “and the priority” in both subsections 5(1) and 6(1) of the PPSA?

[6:40 p.m.]

Hon. D. Eby: There are three rationales for this change. The first is certainty. The amendments make the conflict-of-laws rules in B.C. — PPSA — explicitly comprehensive in order to provide certainty as to which jurisdiction’s law applies, such as where to register. The proposed wording reflects how the courts have been interpreting the rules, but this makes it explicit. It feeds into this.

The next value that is anticipated to be realized by this change is consistency. Certainty is increased for consistent wording, and the proposed wording is consistent with a parallel provision in this same act. Since the act was enacted in 1990, the conflict-of-laws rules, in sections 5 to 7, have determined which jurisdiction’s law applies to the “validity, perfection and effect of perfection or non-perfection” of a secured interest in mobile goods and intangible property.

In 2007, B.C. enacted the Securities Transfer Act, and consequential amendments have added a conflict-of-laws rule for investment property, which also refers to the “validity, the perfection, the effect of perfection or non-perfection and the priority” of a security interest.

That will ensure consistent wording within a parallel structure within this act itself. It’s also consistent with the Ontario and Saskatchewan wording, where the new location-of-debtor test is already in force. Why it’s necessary to add priority: while most priority issues depend on perfection and the effect of perfection, some do not. Priority between a perfected and unperfected security interest depends upon perfection. The perfected security interest has priority.

Priority between two perfected security interests can’t be determined based on perfection, obviously, because they’re both perfected. Priority is then given to the first to become perfected through possession of the collateral or through registration.

Sections 19 to 27 inclusive approved.

On section 28.

M. Lee: I note that in part 4 of the bill, there are some cascading amendments regarding the basic clarification under subsections 94.6(c) and (a), which specifically focus on the person operating a motor vehicle. That is, of course…. The operation of a motor vehicle is the category in which there’s a differentiation here.

If I could ask the Attorney General to just walk through the need for that clarification and what the impact has been in respect of the rest of the amendments.

[6:45 p.m.]

Hon. D. Eby: It is required, as part of the ground to justify issuing an administrative driving prohibition, that the person be operating the motor vehicle. Pulling this out into a separate ground for review provides transparency. Although it’s not explicitly set out, if someone was just reading the law, they would now know that they could potentially challenge on this area.

It’s not just for clarity; it’s also to allow…. Because there are a number of administrative driving prohibitions for drug-affected driving that are coming forward in Bill 17, the intention is to refer to the sections related to alcohol-impaired driving as well and to incorporate those. By pulling it out, it is able to be incorporated by reference.

As the member notes, there are cascading references from “a motor vehicle” to “the motor vehicle,” which is what follows on from pulling this out separately.

Sections 28 to 36 inclusive approved.

Title approved.

Hon. D. Eby: I move the committee rise and report the bill complete without amendment.

Motion approved.

The committee rose at 6:47 p.m.


PROCEEDINGS IN THE
BIRCH ROOM

Committee of Supply

ESTIMATES: MINISTRY OF
MUNICIPAL AFFAIRS AND HOUSING

The House in Committee of Supply (Section C); D. Routley in the chair.

The committee met at 3 p.m.

On Vote 37: ministry operations, $318,559,000.

The Chair: Minister, do you have an opening statement?

Hon. S. Robinson: I do, hon. Chair. Thank you for the opportunity. Before we get started, I look forward to the questions from the members opposite.

I just want to introduce and speak to the very talented group of experienced senior staff who are absolutely central to the work and accomplishments of the Ministry of Municipal Affairs and Housing. I’m pleased to be joined by our new, shiny deputy minister, Kaye Krishna, who joined us in March. She absolutely has hit the ground running, in a very busy ministry. I’m also joined by our assistant deputy ministers, Tara Faganello, with local government; Greg Steves, with housing; and David Curtis, executive financial officer and ADM of community and legislative services. It is with their support and valuable leadership that we have been able to make significant progress on the issues that matter to British Columbians.

I also want to take a moment to recognize the leadership of our Crown agencies. They provide an amazing amount of service to British Columbians. We’re going to have available to us tomorrow the B.C. Housing chief executive officer, Shayne Ramsay, whose workload never, ever seems to let up; the B.C. Assessment Authority’s president and chief executive officer, Jason Grant; and Technical Safety B.C.’s president and chief executive officer, Catherine Roome.

I’m looking forward to the questions, as it will give me the opportunity to highlight some of the incredible work that’s underway in our ministry on behalf of British Columbians. British Columbians have told us that housing affordability and housing availability are their top concerns. So since the day that we formed government, we have been making that — and it still is — our number one priority. We’ve backed that commitment with an investment of $7 billion over ten years, the largest investment in housing in the history of our province.

We’ve also made a list of actions and initiatives to fulfil our commitment through our ten-year housing plan. These include policies to curb speculation; reduce tax evasion; address tax fairness; close real estate loopholes; and, of course, increasing the right kind of housing supply. Just to get it in on the record, over the 16 years of the previous government, 27,000 new units were funded by government. By comparison, over the last 18 months under our government, there are over 20,000 homes already built or underway.

We vow to tackle homelessness in our province as well, and we’ve committed to funding 4,500 supportive homes with wraparound services for people. On top of these homes, the action plan includes a commitment to invest in an additional 200 modular supportive homes for people who need them for this fiscal year. As we build on the momentum of helping to house people experiencing homelessness, over the next year British Columbians will see a lot of movement on our efforts to increase the right kind of supply of affordable homes for middle-income British Columbians.

Through our housing hub program, we are working with non-profits, Indigenous organizations and First Nations, local governments, co-ops, landowners, investors and faith communities in innovative and forward-thinking ways to address housing affordability and housing availability. In addition, our rental zoning legislation gives local governments new authority to zone for rental housing and enact bylaws that create and preserve rental housing in their communities.

We’re also working with municipalities where transit projects are cost-shared with the province, to encourage a higher density of affordable housing in transit corridors. Speaking of transit, as the minister responsible for TransLink, we continue to support the mayors’ vision and to work with the region on long-term transit and transportation priorities that make life better for people who live, work, learn and play in Metro Vancouver as we prepare for the one million more people who are coming to the region in the decades ahead.

While housing and TransLink are two major priorities for our ministry, our ministry continues to work hard to improve many aspects of daily lives for British Columbians. We’re pleased to continue our support for about 5,000 not-for-profit organizations in every corner of British Columbia through our community gaming grant program. We’re also working with the federal government and our province’s 189 municipalities and local governments to deliver much-needed infrastructure improvements in every corner of B.C.

[3:05 p.m.]

I think I can speak to the common thread around all of these various programs. It’s our commitment to partnership, and it’s through these partnerships that our ministry is helping to make lives better for British Columbians.

Before we get into the questions, I do want to acknowledge a number of other people who help make my ministry function and provide an invaluable contribution to the lives of British Columbians: my senior ministerial assistant, Craig Ashbourne, who continues to provide advice and pay attention to things that are going on around the province; my ministerial assistant, Daniela Gardea; ministerial assistant Eveline Xia; my executive assistant, Matt Djonlic; administrator coordinator Christine White; and administrative assistant Jena Rayner.

All of these people keep the office functioning, making sure that I get to the places that I need to get to and that I have all the information that I need to have. It really is a team effort to make the lives of British Columbians better.

T. Stone: By way of opening remarks, I will say this. I certainly appreciate the exceptional professionalism of everyone in the ministry. I appreciate the minister and her office offering — every time there’s a bill that’s introduced and certainly as part of this estimates process — the official opposition opportunities for briefings. Sometimes we take them up on the offer, sometimes we don’t, but we certainly appreciate that the offers are made. We do know how hard everyone in the ministry works, and we appreciate the work that all of you do.

To give the minister and her team a sense of how today and tomorrow will likely unfold insofar as the topics that we would like to cover as an opposition, we’re going to be focused tomorrow on housing. Tomorrow will be our housing time. I’m not sure exactly how much time, but that will be the main topic — possibly the only topic tomorrow.

Today we will use the time that we have available to us to canvass questions on a range of other topics — a number of ministry operations, local government and a little bit of infrastructure, some questions on TransLink and so forth.

Last but not least we will have a number of different opposition MLAs come in and ask questions. Because we have three Houses going, everybody is coming and going. It may not appear to be as perfectly consequential in terms of the order of topics that we’re covering, so I appreciate everyone’s patience with us in that regard.

The first question I would like to ask the minister is with respect to the overall ministry budget. I find that often in these estimates, we get very bogged down on specific policies, and so forth, and policy changes. I think it’s important, as a baseline, to just set some common understanding as to the actual expenditures in the ministry.

The first question would be if the minister could walk us through…. The overall expenditures in the ministry have increased by $154 million. Could the minister please just walk us through what accounts for that $154 million increase by ministry area and responsibility?

[3:10 p.m.]

Hon. S. Robinson: I have an answer for the member about the changes in the budget. For the ministry operations vote, excluding housing, the ’18-19 estimate budget is $329.054 million, a net decrease of $13.698 million.

The $13.698 million decrease is due to the following: a $135.4 million decrease to the local government division due to the addition of supplementary estimates in fiscal 2018-19 for the northern capital and planning grant of $100 million; the clean water and wastewater fund, $17 million; Building Canada fund, $10 million; and Peace River agreement, $8.4 million; a $400,000 decrease to the local government division to reflect the second-year funding for the housing needs report program. Budget 2018 provided three-year funding for this program.

These decreases to net ministry spending are offset by a $113 million increase to the local government division for the acceleration of local government grants; an $8.4 million increase to the local government division to increase base budget funding to $50 million under the Peace River agreement; a $566,000 increase to salaries and benefits due to negotiated wage increases for BCGEU staff; an $83,000 increase to salaries and benefits due to changes in the benefit chargeback rate; a $53,000 increase to the university endowment special account for the water, sewer, storm main capital improvement project; amortized expense, $45,000; and changes in the benefit chargeback rate of $8,000.

In the Housing vote, the 2019-20 estimate budget is $499.249 million, which is a net increase of $32.377 million. It’s due to the following, a $28.167 million increase to transfers to the B.C. Housing Management Commission for the following programs: the rental assistance program, the Shelter Aid For Elderly Renters program, which is $23 million; the provincial investment in affordable housing, which is $2.5 million; investment in affordable housing, which is $1.5 million; the homelessness action plan, which is $1.129 million; and Building B.C. is $300,000.

This is offset by a decrease in the single-room-occupancy annual service payment of $262,000. We also have a $2.476 million increase to transfers to the B.C. Housing Management Commission due to the negotiated increases for staff. That’s $2.167 million and the employer health tax of $300,000.

We have a $790,000 increase to the building and safety standards branch for the clean growth strategy, a $500,000 increase to the housing policy branch to fund additional resources to support housing initiatives, a $381,000 increase to salaries and benefits due to negotiated wage increases for BCGEU staff and a $72,000 increase to salaries and benefits due to changes in the benefit chargeback rate.

Under capital funding, the 2019-20 estimate budget is $247.002 million, which is a net increase of $19.315 million. This increase is due to the following: a $53.486 million increase to fund the homelessness action plan, the encampment prevention and response strategy, and long-term permanent housing. It’s offset by a $34.171 million decrease to reflect revised estimates for the completion of ongoing projects.

T. Stone: So it sounds like we’re all done here. [Laughter.] We might have a couple more questions, but I do appreciate the minister walking us through those line items. That answered a few of my questions.

I’m just wondering if she could expand on…. In ministry operations, under local government services and transfers, again, it’s showing an increase of about $121 million, a little north of $121 million. I’m just wondering if she could provide a bit more detail as to, specifically, what that $121 million is allocated for in this fiscal year.

[3:15 p.m.]

Hon. S. Robinson: The decreases to net ministry spending are offset by a $113 million increase for the acceleration of local government grants; an $8.4 million increase to increase base budget funding to $50 million, under the Peace River agreement in prior fiscals — the $8.4 million was funded through contingency access; a $250,000 increase to the BCGEU salaries and benefits; and a $38,000 increase due to changes in the benefit chargeback rate.

T. Stone: Under community and legislative services, community gaming grants shows, basically, as flat. It’s up just modestly, year over year. The government had announced that it was going to be making gaming grants or community grants available to First Nations. I’m wondering if this is the line item in the budget where community grant dollars for eligible First Nations projects would be drawn from. If not, could the minister advise as to where those funds will come from?

Hon. S. Robinson: I appreciate the member asking the question, because this is, I think, a pretty exciting program that our government is undertaking, in terms of a new revenue-sharing agreement with First Nations.

As part of Budget 2019, First Nations in British Columbia will have a source of stable, long-term funding through a dedicated portion of provincial revenue from gaming. The Ministry of Indigenous Relations and Reconciliation is leading that process. It is a separate program that will be designed, developed and delivered by MIRR.

[3:20 p.m.]

T. Stone: Okay. Just to confirm 100 percent, this particular line item, the community gaming grants, continues to be exclusively reserved for those grant recipients that have come to depend on this revenue stream. The funds in this revenue stream will not be accessed by First Nations. Rather, First Nations will have an opportunity to access a different pot of money, which is administered through the Minister of Indigenous Relations and Reconciliation.

Hon. S. Robinson: First of all, to confirm, the revenue-sharing agreement will not impact the community gaming grant program. The budget is set at $140 million annually, supports over 5,000 not-for-profits. There is no expectation of change. MIRR is actually taking lead on this program to develop a limited partnership of B.C. First Nations. They’re creating a body that will receive, manage, distribute and report on the funds. That’s coming out of that ministry.

T. Stone: I appreciate that.

Next, the assessment policy and support. I know B.C. Assessment is not here. I think that was potential for tomorrow. But I just wanted to…. This is more of a higher-level policy question that I’m hoping that the minister can answer.

Last year we saw the government pass legislation with respect to…. It was the Assessment Amendment Act of 2018. During the debate on that…. We understood and supported the concept of amendments being proposed to allow B.C. Assessment to value major industry properties, class 4s, based on their current industrial use, rather than potential future highest and best use.

Aside from the class 4s, the main concern that we raised at the time was around class 5 and class 6. The issue that seems to be continuing to be very predominant in the Lower Mainland but also in some other urban centres of the province is the significant pressures on small businesses, in particular, due to triple-net lease obligations that are really all about costs being driven up, tax burdens being driven up because of the assessment approach for class 5 and class 6.

The reason I’m talking about that now, in the context of this line item, is I do recall, in the comments and the interaction that the minister and I had in that debate, that the minister said that the ministry would be engaging with small business and would be having a discussion and looking at really reaching out to affected organizations, small businesses in particular, to determine how to best proceed, if proceeding at all, on looking at this split assessment question in class 5 and class 6, relief for small business.

I’m just wondering. I mean, it’s $9,000. It’s basically a flat line here in terms of assessment policy and support. I’m wondering: one, is that the budget where, if you were to do a consultation of some sort with small business around assessment policy, you would tap into the funds to do that? Secondly, in relation to my previous comments, has the minister done any consultation, or has the ministry overseen any consultations, with small businesses to really address that issue that I’ve described, in terms of soaring costs relating to soaring property values and, therefore, soaring property taxes for those class 5 and class 6 organizations?

[3:25 p.m.]

Hon. S. Robinson: I want to, again, thank the member for a very good question. I know that the member started off his question by talking about Bill 42, which enabled B.C. Assessment to value eligible major class 4 properties based on current use rather than the highest and best use, where there were changes to the community plan while the plant sort of maintained its production level. We did take immediate steps, because the scope is very limited and the new legislation would help protect dozens of community-sustaining jobs that were imminently threatened. I acknowledge that the member appreciated that and valued that and saw that that was important work that we undertook.

We absolutely recognize that owners and occupiers of properties in other classes are feeling a similar sort of challenge. It is what happens when you have an out-of-control real estate market that is let to spiral and continue to go up and up and up without any acknowledgment of the problem, so we’re very proud to be part of a government that acknowledges the problem.

I know that the member appreciates that this is complex work. There are many layers. There are 189 local governments. They each have their own way of zoning and classifying. And then there’s the triple-net lease overlay that also plays out, because we recognize that while the landowners might benefit from the rising land value, the cost — the burden that comes with that on the property tax system — falls to the occupier, the lessee. So we recognize that it’s a burden for small business, and they have been asking, for a significant amount of time…. Even before we formed government, they were asking for some relief and some help.

I do want to get on the record — and I’m sure the member knows this — that local governments do have some tools to help mitigate some of the impact, whether it’s adjusting tax rates or averaging or phasing in assessment increases and revitalizing tax exemptions. Those tools are available to local governments, but I want to assure the member that we are undertaking the significant body of work that we said that we would. We’re doing it within the current budget. We are undertaking that.

We’ve had discussions with various stakeholders to look at assessment and taxation mitigation strategies that would support the economic viability of these businesses. Work to date includes participation in the Metro Vancouver property assessment and taxation working group. We’ve also met and had consultations with the business improvement associations that represent over 60,000 businesses and property owners. The BIABC, local business network society; the South Granville BIA; the Downtown Vancouver BIA; and Hastings North BIA are just some examples.

UBCM staff have also facilitated discussions for ministry staff with some communities outside the Metro Vancouver area. I know that the member appreciates that when you look at making a legislative change, it affects the entire province not just certain regions. It’s important that we take a look to see, in other communities, what’s going on and what would be helpful.

The preliminary feedback that we’ve received has been valuable, and it’s helping to design the highest and best use review. Like I said before, this is complex. It’s an important issue. It’s absolutely an important issue for our government, which is why we’ve dedicated resources out of the ministry. It’s why we’re working with the Ministry of Finance and B.C. Assessment to make sure that we are all talking about what we can do to continue to support small businesses.

[3:30 p.m.]

Our government has cut the small business tax rate from 2½ to 2 percent. I know that that’s made a difference for business, but we’ve certainly continued to hear that this continues to be a challenge for them, and it’s work that we have said we would undertake and that we would review.

T. Stone: The minister mentions that local governments do have some tools. This is true. The challenge is that we are, as she is, hearing from a lot of constituents — a lot of small business owners in particular, largely concentrated in Metro Vancouver — who are continuing to express (a) concern for their own financial viability, but (b) a higher-level concern that I think we all share, and that’s the hollowing out of our downtown cores.

This ever-rising pressure that is related to the higher tax burden because of how the assessment policy is established now for class 5 and class 6…. It continues to be cited as a major concern. I would say, certainly, a lot of the organizations I’m hearing from — if not the top concern, it’s one of the top two or three.

I’m aware that there have been some discussions with UBCM. I’m aware that the minister, I’m certain, has had some interaction with BIAs and chambers, and so forth. I think, for the record, it would be of value, at this point, to understand more fully what the minister’s plan is on a go-forward basis in terms of engagement, consideration of policy change and a potential timeline related to that change to, essentially, signal to small businesses that this government not only is hearing the concerns but has a plan, or has intentions to execute on a plan, to provide some relief, following a more formal engagement process.

Could the minister speak to that? Does she have any plans for a more formal engagement process here? The government has done lots of consultations on lots of topics, and I don’t take issue with most of those consultations. It would seem to me that a more formalized approach here, in terms of consultation, would be appropriate. Does the minister have any plans for a more formal consultation with affected stakeholders, with the intention to really hear from these stakeholders what these potential solutions could be that could then be considered by government for implementation?

[3:35 p.m.]

Hon. S. Robinson: Again, I appreciate the member’s queries. We are engaged in formal consultation. We are speaking and very carefully listening to a range of stakeholders. It is really important, I think, especially when you’re dealing with something that’s as complex as this, that you really make sure that you take the time to get it right — that you hear from all the various stakeholders.

There are 189 different local governments that would be impacted by any changes that we would make. It’s important that we hear from the variety of different kinds of businesses and the impacts that they have. We need to remember that there is a triple-net lease structure that’s in place, so we need to make sure we understand how all of that works.

I know that there’s an appreciation from the small business community that they want us to get it right. We’ve certainly heard that from them as well. So we’re continuing to engage in those consultations, make sure that we get all ideas on the table and take a look at what the opportunities are so that we can address what should have probably been addressed a number of years ago and wasn’t.

I know that there is great appreciation from small business and from communities, because municipalities have been struggling with this as well. They’re trying to mitigate these challenges. Like the member said, none of us wants to see hollowed-out downtowns. But the appreciation that there are various downtowns all throughout the province that will impact differently…. It’s really important that we understand what the full impacts are of making any sorts of changes.

We’re committed to continue to do the work to find a solution, because at the end of the day, I think that’s what small businesses want. They want a solution to the burdens that they are carrying, and we’ve certainly heard that. We’re going to continue to make sure that we do a fulsome consultation before we take the actions that are necessary to relieve the pressure that they’re under.

T. Stone: I’m well aware that there are 189 local governments in the province. We can agree on that data point. I’m well aware that the UBCM has a convention every year and well aware that the minister meets with the UBCM on a regular basis. The president of the UBCM is Coun. Arjun Singh from Kamloops, so I have lots of opportunity to receive updates from him, including his interactions, from time to time, with the minister.

What I think organizations — small businesses, in particular — really would like to understand is whether or not the minister and this government actually have any inclination or any intentions to provide some relief through some policy changes here.

The minister mentioned, in a previous answer, the bill, Bill 42 from last year. That was a very acute situation that happened very quickly and required an immediate fix so as to protect a bunch of jobs. I think that far too often in this job, we all tend to be very reactive to emerging situations, and that’s an important part of what we do.

If you take the small businesses — even in downtown Vancouver or in Surrey or in Coquitlam — and you actually add up the number of businesses that either have closed because of the cost constraints that have been foisted on them as result of this issue or are feeling seriously squeezed and are very worried about their future, it adds up to a heck of a lot of jobs too.

I don’t want to belabour this point for too long, but I would really appreciate if the minister could advise whether or not she has any intention, if the government has any intention, this year, in fiscal ’19-2020, to actually conclude the engagement that she says is underway — I take her at her word on that — and to consider some policy changes around assessment to actually provide some relief. Is there an intention to address this issue with some relief this fiscal year?

[3:40 p.m.]

Hon. S. Robinson: I think it’s fair to say to the member and to British Columbians that if we had no intent to take action, we wouldn’t be undertaking all this work. It’s a significant amount of work, and our government is committed to working with all the stakeholders. They’re quite varied, and it’s really important that we engage all the stakeholders. There are many opinions — I’m sure the member has heard all the various opinions — on what is the best course of action to take. It’s really important that we understand all of those various options and all of those various opinions.

It is a layered, complex system, and making sure that we understand the various components of it and the interactive components of how that all plays out — everything from the assessment system to the local government zoning to the triple-net lease and how those all play out — is really important. We need to make sure that we understand and that we hear from all the interests in this issue, and we’re very committed to addressing it and finding a way to provide relief.

N. Letnick: Thank you to the minister. Every year the Kelowna MLAs get together with the local municipal council and mayor to discuss what their capital priorities are going forward. I also do that with the district of Lake Country to understand where their priorities are. So over the next few minutes I’ll discuss something to do with Kelowna and then one to do with the district of Lake Country. Then my colleague the member for Kelowna-Mission will be in later to discuss some other ones. It’s mostly a fact-finding exercise right now.

On behalf of the city of Kelowna, one particular project they asked me to bring in is the Glenmore Recreation Park. This is a park filled with fields and courts that would serve mostly the Glenmore, which is the north, northwest, north end of the city. Phase 1 is currently under construction — we’re not looking for money there if it’s under construction — but the total buildout of the park is $15 million. With $4 million funded, there’s a shortfall or $11 million. I was wondering if there’s any funding source that the city of Kelowna can apply for so that they can get that $11 million funded.

[3:45 p.m.]

Hon. S. Robinson: I want to thank the member for his question. The community, culture and rec program there is an infrastructure program, a joint federal-provincial program that had opened. We announced it at the UBCM. It closed in January. We just checked. Unfortunately, Kelowna didn’t apply for those funds, which would be the right category. If we have a second intake, from the way the member describes it, it would fit within that application. So they can certainly contact, give us a call, and our program staff will be sure to have a listen and see what it’s about. If there’s a second intake, we’ll certainly encourage the city to apply for those funds.

In the interim, the UBCM has two programs that they should look at. They’re the gas tax program and the community works fund. That might be an opportunity for them.

N. Letnick: Thank you to minister for that. I appreciate the set of directions. It is always helpful.

Moving on to district of Lake Country…. I see my colleague from Kelowna-Mission has arrived, so he’ll talk more about the Kelowna city asks in a minute. I’ll just finish on the district of Lake Country. There are two projects that the district of Lake Country has made application to already through the Canada-B.C. investing in Canada infrastructure program, through your ministry I understand.

One is the Indigenous cultural and discovery centre, $4 million. The grant application was submitted. Seventy-three percent of the funding is to come from the district of Lake Country, so I imagine 27 percent from the grant. This is to highlight the Okanagan Indian Band, their heritage and culture. The location of the building is at Woodsdale Road and Oyama Road. That’s right next to the district of Lake Country tennis courts, which we helped fund, I think, two governments ago. I was there for the opening of that. That’s one.

[3:50 p.m.]

The other one is Oyama Lake water pipe replacement and UV water treatment. This is $10 million. The grant application was submitted. This is to replace a pipe size in order to meet fire flow requirement as a high-risk area for fire and to provide for water treatment to the Okanagan Centre. If the minister would please provide us with an update as to where these grant applications sit, that would be great.

Hon. S. Robinson: The member had asked about two specific projects. One was the Indigenous cultural centre, which made an application to the community culture recreation program, which is part of the investing in Canada infrastructure program.

I want to let the member know that we had over 200 applications, eight times the amount of funds that are available. So it’s taking longer to do the review, because every single project is worthy of review. For that reason, we’re not going to have any decisions made by the public service for some time, not till towards the end of the calendar year.

I also think it’s important to recognize, given the volume, that it really speaks to the demand that has been building for some time, about the need for investment in this sort of infrastructure, which really makes our communities what they are, gives people a sense of place and space, in a way, and a place to connect and be together in the community.

The second one. I just want to confirm with the member, because we were just looking to see what applications have been received. He called it the Oyama water treatment project, dealing with fire flow.

[3:55 p.m.]

According to our records, we’ve received an application from the Okanagan Centre water source and distribution improvement project. Is that the name of the project that he is referring to? I don’t want to mislead the member in any way. I want to make sure that we’re talking about the same set of facts.

N. Letnick: Thank you to the minister. The note I got from the district of Lake Country is it’s the Okanagan Lake water pipe replacement and UV water treatment — $10 million.

If I may, this is to replace the pipe size in order to meet fire flow, a requirement in a high-risk area for fire, and to provide for a water treatment system.

Hon. S. Robinson: I appreciate the member delivering a message through others to determine where things are at. I’m not sure exactly which fund they’ve applied to. It could be the green infrastructure–environmental quality fund. We do have a project with a different name. I don’t want to mislead the member around where things are at.

What I can say is that the green infrastructure–environmental quality fund is still under review, with decisions for later this summer. But rather than try to guess, if we could have a way to follow up and just double-check. Staff would certainly be pleased to let the member know what the status is of whatever that project is. It’s just to make sure that we’re talking about the same thing. I think that would make the most sense.

N. Letnick: Yes, I will get you the exact name, if it’s any different than this. I’ll get you more information just to make sure.

The other three that have to do with the district of Lake Country are aspirational. We’re looking to see who we would apply to, what fund and, if there’s no fund, then how we can get help with these three projects.

One is a new fire hall, $6.5 million for a new fire hall. We’d like to know if there’s any money at all, any partial assistance that the province can help to fund a $6.5 million investment in the district of Lake Country — obviously a small population, growing, but it needs a new fire hall.

The second is a sewer expansion. This project is in the order of around $20 million or more. It’s not ready yet, but it would be nice to know what direction the district of Lake Country should take when it is ready to make an application.

The third one is something that I must honestly say I was not able to deliver in my ten years as an MLA. The anniversary, actually, is coming up on Sunday, of being elected. Hopefully, the minister can bail me out on this. It’s dredging of the Oyama canal. This is a canal between Kal Lake and Wood Lake. It is constantly getting more and more silt, making it difficult for recreational boats to get from one lake to the other, amongst other problems.

It’s not in the district of Lake Country’s jurisdiction, but it’s causing some issues also with flood prevention. They’re trying to see what the best solution is over the long term to dredge the canal — subject, of course, to all the environmental approvals and everything else.

[4:00 p.m.]

Hon. S. Robinson: I certainly appreciate the member’s list. He’s representing his community well by checking in to see what opportunities there are.

I’ll start with the fire hall and let the member know right off the bat that there are no granting opportunities for fire halls in particular. I want to let the member know that I’ve been hearing this from small communities since I’ve been the minister. This is an issue around how we fund fire halls, given the difficulty when you have a small tax base and you’re growing or you’re aging or both, and there’s no grant program. So we have been talking with the federal government around this particular issue.

I’ve also been encouraging local governments to bring that to the UBCM floor for resolution, and I would encourage the member to do that with his local governments. I think that there is an appetite among small communities to do that. Hearing from enough of them, I think, will push — certainly the federal government — that conversation further, around making sure that we are ready, that communities are ready. It’s a theme that I’m hearing. I want to express gratitude and appreciation that the member has brought that forward, because it’s one more that is struggling with this.

There was, however, an extra payment from the federal government for gas tax funds. So that might be a place where the community can go, with the UBCM — they’re managing those funds — and see if there’s an opportunity to apply for some of those funds to help fund a fire hall.

On the sewer expansion, at $20 million, I had mentioned earlier about the environmental quality program. If there’s a second intake, that would be the appropriate fund. So again, the local government can reach out to staff to make sure that they’re made aware when that opportunity arises — that they’re made aware and that they have a project that is ready to go and can get into the mix.

On the third one, the dredging of the Oyama canal, I want to commend member for his persistence over ten years. First of all, he mentioned that it wasn’t technically within the Lake Country boundary. So my first suggestion, certainly talking with staff, was to work collaboratively with whatever local government is responsible, if it’s shared. That they work together as a unit to come up with a plan, I think, is a good start so that they can make an application for joint funding.

[4:05 p.m.]

Where that is I’m not 100 percent sure, because he mentioned flood protection. I’m not sure if that would fall under EMBC or where that would go. Again, contact staff directly, and they would be happy to provide direction about what the options are.

The first step would be to make sure that, jurisdictionally, all those who are invested in making sure that this is addressed are all together on the same page and paddling in the same direction, if I can use a water analogy. I think that would be the first step.

S. Thomson: First of all, thank you to my colleague for giving me a quick opportunity here to ask a couple of questions as well. I think I’ll be fairly brief, because the first one is just around two specific projects that the city of Kelowna has applied for. I wanted to ask the minister if she could provide any update on the status of consideration of those projects.

One is a sanitary sewer connection program, under the water quality enhancement project under the investing in Canada infrastructure program, the green infrastructure component. The application was submitted in August, so I understand approval is pending on that project. The application has been in for quite a while.

It’s a very, very important project in our community and particularly in my riding, because this will bring a sewer to over 10,000 households that are currently on septic, particularly up in an area called Hall Road. This has been a longtime ask. The opportunity’s here now, and the application’s in, so just wondering about the status of that.

The other one is under the investing in Canada infrastructure program, as well, under the community, culture and recreation component. This is for a master plan renewal of the Kelowna City Park, a jewel in our community but needs a significant upgrade and renewal. They have submitted an application that went in on January 23. The amount requested from the federal-provincial process is $6.6 million, and there’s a $2.4 million local government contribution to that project.

I’m just wondering if I can ask the minister the status of those two applications and when there might be an expectation that decisions would be forthcoming.

Hon. S. Robinson: I want to thank the member for his questions about two very important projects in his community. I just confirmed that staff did receive those proposals. The green infrastructure and environmental quality fund is under process, under review. We are expecting, later this summer, to be able to inform successful proponents. That should be coming fairly soon.

The CCR — the community, culture and rec program. I want to let the member know that we had over 200 applications, which is certainly an indication of the significant demand for these sorts of projects. You add up all of the requests for funding. It’s eight times more than what we actually have, so we know that there are going to be some disappointed communities.

[4:10 p.m.]

The work is being undertaken. Because there are 200 of these projects and we feel that every single project is worthy of attention and an analysis, that analysis is going to take some considerable time. At this point, we’re anticipating end-of-the-calendar-year announcements with that program, because of the volume that has been received.

S. Thomson: Thank you, Minister, for the update. I guess I’ll just say that I hope, under both of those projects, that Kelowna is not a disappointed community when you’re making the decisions, because they are critical projects. The first one, in particular, with the sewer, is really one that has tremendous benefits to the community.

I’ll just ask around one more initiative that’s underway in the community. I don’t expect an answer from the minister right away. Maybe I’ll just put it on the record here, and then she could provide an answer as a follow-up, because I know it’s not a program that’s specifically within her ministry. But it’s one that we’re looking for some advice on, as to where would be the best approach to pursue on this. This is the Mill Creek flood mitigation project.

Mill Creek, which flows all the way from the outer edges of the community, by the airport, through communities, ultimately right through the middle of town — there have been significant impacts over the last two years with flood impacts. They’ve received a $22 million contribution to the mitigation requirements for that creek from the federal government. Federal funding has been announced and approved.

It is, in total, a $55 million project. The city is looking for where there are opportunities to pursue provincial funding in matching, or in some process, with the federal contribution that has been made. If I could just leave the question there and then the opportunity for any advice to be provided. I’ll certainly be following up with this, as well, with other ministries, emergency management B.C. and other areas where there might be some opportunities here. If the minister had any advice, we would appreciate it.

Thank you for the opportunity to ask a couple of short questions here.

Hon. S. Robinson: I appreciate the question. My advice was going to be to check in with other ministries as well, but staff have taken note of it and will provide direction, based on what’s available, and help the community determine how to best address these challenges.

T. Stone: I always make room for the consummate gentleman from Kelowna-Mission.

To the minister, we’re on the topic of infrastructure here, and I’m just wondering if she could provide us with just a high-level sense of each of the major capital programs that she has — the clean water and wastewater fund, the small communities fund and the gas tax fund. I appreciate that priorities are established, and the UBCM has a huge role there, but I’m just wondering if she could give us a sense of how many dollars are available in the current fiscal year in each of those programs.

This probably goes without saying, but year after year after year, these pots of money, our capital programs, are over-prescribed. Depending on which priorities are in play at any given time, different governments will assign different priorities, but there are multi-millions of dollars available. There are many multi-millions of dollars of more need.

I’m just wondering. If these programs are oversubscribed, what is the minister’s plan, on a forward-looking basis, to ensure that when it comes to clean water and waste water, when it comes to local infrastructure, the priority needs in local government are met?

[4:15 p.m.]

I would put one final lens on this. If the minister could also address…. We’re in, now, the early stages of the current freshet, with some flooding beginning to take place in different parts of the province. It pains me to say this, but we’ve had several brush fires already, in different parts of the province. We’re barely into May, and communities throughout the Interior and the north are already very concerned about impacts to infrastructure from wildfires of years past. We’re heading into another wildfire season, so there will be further pressure on infrastructure with respect to those kinds of natural disasters, which are becoming all too frequent.

Could the minister just give us an overview of each of those programs and then perhaps speak to some of the concerns that I’ve raised around meeting the most important needs of local governments from an infrastructure perspective?

Hon. S. Robinson: I appreciate the question, because I know that it can feel like there are all these different grant programs that governments have — and understanding that they’re open at different times and have different requirements. So I think it’s good to get on the record.

[4:20 p.m.]

The ministry has an infrastructure planning grant program that’s $500,000. It’s an open intake. They can apply for up to $10,000, so it’s a limited fund. It offers grants up to $10,000 to support local government projects for the development of sustainable infrastructure. It helps to create a vision for the future — one that embraces sustainability, resilience and livability. We get applications from local governments, and they can use it for activities related to assessing technical, environmental and/or economic feasibility of local government infrastructure.

It also provides a solid foundation for future capital projects to make sure that they have a successful implementation. We find that local governments often use that to apply for the larger infrastructure grants. We want to make sure, and I know that the member opposite agrees…. The more planning you can put in place, so that you understand exactly what the detailed nature is and you can put a project proposal and a funding proposal together, then you know what the actual costs are. That requires good planning. So we make sure that local governments have the resources to do some good planning.

Then we’ve been working with the federal government. I know that the member opposite appreciates that these infrastructure projects are significant. They are very costly, so it’s important that we leverage together the federal government dollars with provincial dollars. We have the Invest in Canada infrastructure program. The province signed an agreement with the federal government on March 22, 2018, securing $3.917 billion in federal funds over the next ten years. This is a ten-year program, and we’ve just done the very first intake. There’s certainly lots of time left in this program, and opportunity going forward.

There are a number of buckets from this fund. We were the first province to open program intakes. We moved very quickly. We thought it was really important to have local governments, which have been waiting for the opportunity to invest in their communities, so we opened up as quickly as we could. The initial environmental quality program intake was open from summer to fall of 2018. The decisions, like I’d mentioned earlier, we’re anticipating later this summer.

Two other buckets were the rural and northern communities program and the community, culture and recreation program. Those intakes were launched at the UBCM in 2018. They closed in January. The applications are currently under review, and on both of those funds, decisions are anticipated in late 2019. The initial CleanBC communities fund intake launched to support the CleanBC plan in late 2018. It closed at the end of March 2019, and it’s going to be some time before those successful proponents are announced.

T. Stone: I appreciate that information. For each of those capital programs that are available to local governments…. A side note. I know, again, it’s the tremendous hard work of the civil servants in the ministry, as certainly was the case when I was a member of government. British Columbia, for a long time now, and it’s continuing under this minister and this government, is known for being on the ball and being ready to apply for federal funding as soon as possible. I think that’s obviously good for all British Columbians.

I’m just wondering. Can the minister, for each of those capital project funds that she just rattled off, provide me, for the current fiscal year, with the total dollar value of the funds that are available, including the leveraged amount from the federal government? What is the total dollar value of the project applications for each of those funds?

What I’m really looking for here is the level of oversubscription, in dollar terms, for each of these different capital programs.

[4:25 p.m.]

Hon. S. Robinson: Again, I want to thank staff for their diligence. I turned around, saying, “Do you guys have these numbers,” and they said: “Yup, we do.” They’re fully prepared.

As I said earlier, there are four buckets. Again, this is a ten-year program. I think it’s really important to recognize that it is a ten-year program, so the opportunities for additional intakes are certainly available. When we do an intake, it’s for a finite portion of the ten-year plan. So when we look going forward, it means that there are opportunities for those that are not successful proponents.

In the environmental quality stream, the combined total for this program, over the ten years, is $729.12 million. The provincial amount is up to $331.4 million, and the federal amount is up to $397.72 million. The first intake is $243.04 million, and the applications were 3 to 1. So three times is the request.

For the rural northern community stream, the combined total over ten years is $284.86 million. The provincial amount is up to $120.52 million, and the federal amount is up to $164.34 million. The first intake is up to $94.95 million, and in this rural northern bucket, it’s 7 to 1.

The community, culture and recreation stream. The combined total over ten years is $269.68 million. The provincial amount is up to $114.17 million. The federal amount is up to $155.51 million. The first intake is up to $134.84 million, and that was 8 to 1.

T. Stone: Sorry, which program?

Hon. S. Robinson: This is the community, culture and rec, also known as CCR or the fund with the band name.

The final one is the CleanBC communities fund. The combined total over ten years is $188.82 million. The provincial amount is up to $85.82 million, and the federal amount is up to $103 million. The first intake amount is up to $62.94 million. It just closed at the end of March, and it looks like it’s a 2-to-1 ratio.

T. Stone: Moving on, I’m going to turn to a few questions on TransLink. I don’t know if you’ve got the right folks in the right chairs.

Interjection.

T. Stone: They’re on their way? Okay, so maybe while they’re on their way, I’ll ask a different question.

[4:30 p.m.]

Just one question about the change that was made to MRDT to allow local governments to potentially tap into MRDT funds for affordable housing projects. I’m just wondering if the minister could provide us with an update on whether or not any municipalities have actually, to her knowledge, accessed MRDT funds for affordable housing projects. If so, which communities, and is she aware of the dollar amounts and the details of the projects in question?

Hon. S. Robinson: It was as I thought. I thought I would check with staff. The MRDT is tracked through the Ministry of Finance, so I would suggest that the member…. My understanding is that the estimates are happening right now, so if there’s somebody who would like to ask that question of the Minister of Finance, that would be the appropriate ministry to ask that question.

T. Stone: Are the TransLink folks on their way still?

Interjection.

T. Stone: They’re on their way. Okay.

Another question, non-TransLink-related: are any municipalities or regional districts, to the minister’s knowledge, contemplating any boundary changes in the forthcoming fiscal year?

[4:35 p.m.]

Hon. S. Robinson: I don’t know if the member’s aware, but on a regular basis, there are often small changes, sort of taking in one property here or there around an improvement district to make sure that they can access water. That’s sort of a regular boundary change process that is relatively minor and doesn’t require a whole lot of study.

I’m sure the member appreciates that when communities talk about what it would look like, there’s a lot of conversation and a lot of discussion, and we’ve had a number of communities approach the ministry. The Columbia-Shuswap, for example, is interested in having discussions around a study around changing boundaries with Blind Bay and Sorrento and taking a look at what that would look like.

The process is a slow one. It’s a methodical one that requires study and conversation and consultation and engagement. So oftentimes there are queries from local governments about: “How would we go about it? What would it look like? What would the process look like?” That information is shared with them, and then often it involves, usually in early stages, some sort of study about what it would look like, what it could look like.

The other area that we’ve heard from is the regional district of Kootenay-Boundary. They’ve inquired about the process of a study. And again, just because a community wants to study it doesn’t mean that it happens. Oftentimes they find that…. The information that they learn is that it’s not going to work. It’s not going to solve a particular problem that they may have identified, or it’s not going to make sense, given what they now know.

There’s lots of time and energy and study that goes into making sure that everybody understands the process, everybody understands the implications. And, as a government, we take that very seriously, and also that we need to hear from the community itself, because that’s the other piece — that the community does get to have a say, and that’s really important. So it takes a significant amount of time from the first “What would it look like; what could it look like?” query to some sort of result that they were looking for.

T. Stone: I appreciate that. I’m just wondering, then. Would the minister commit to following up with me, perhaps in writing, with whatever details she is able to share on those two examples that she just cited with those two regional districts, and whether or not there are any other active considerations being undertaken within the ministry as it pertains to potential boundary changes?

Hon. S. Robinson: The member asked for staff to communicate and provide, perhaps, a list of those communities that have requested a boundary change. We can certainly share that with the member. We can certainly share with him the requests that we have received in the ministry around boundary changes.

[4:40 p.m.]

T. Stone: Okay. One more question, and then we’ll switch over to TransLink. This has nothing to do with boundary changes.

In the supplementary estimates process, we had a number of questions and a bit of discussion around the Peace agreement. The supplementary estimates included, I believe, $8.4 million of the total $135.4 million for Peace River infrastructure under the Peace River agreement. What we were trying to understand in the supplementary estimates process was what exactly that $8.4 million was for, when the Peace agreement has a very specific fixed calendar of payments and payment amounts, with interest that accrues each year. The 2020 payment, as I understand it, is $50 million, plus an inflation rider of another $1 million for a total of $51 million. That’s as per the agreement.

I’m just wondering if we could take another stab at it here to understand what, exactly, the $8.4 million was for, in relation to the Peace agreement.

[4:45 p.m.]

[R. Kahlon in the chair.]

Hon. S. Robinson: There’s been no change to the agreement or the payment. Last year $41.6 million was part of the base budget; $8.4 million was part of the contingency. That’s the same formula that the previous government had used. However, this year, that $8.4 million has been added to the base budget.

T. Stone: Just so I’m crystal-clear, on a go-forward basis, there won’t be a need to access $8.4 million from a contingency budget. If I hear the minister correctly, the full $50 million, plus whatever the inflation amount is for that year, will be provided in base budget, with respect to the Peace River agreement.

Hon. S. Robinson: This is the amount that….

Interjections.

The Chair: Members, keep it down. Thank you.

Hon. S. Robinson: Rowdy crowd over there.

This is the amount that we have in estimates for this current budget year that we’re talking about right now.

T. Stone: Okay. Just, again, to be clear. The financial obligations in the Peace River agreement, which is the $50 million per year plus an inflation rider — there’s no impact or change to those numbers. The amount that’s in the budget for this fiscal year is that $50 million plus inflation. It’s just $41.8 million of it is base and $8.4 million of it, roughly, is from contingency.

If I’m correct in that — that adds up to the total that is the obligation in the agreement — then I’m done with my line of questioning here. If I’m incorrect on anything I’ve just said, the minister could maybe indicate as such, and I will sit down and she can correct me where I’m incorrect.

Hon. S. Robinson: The member is correct. Can I ask for a bio-break? Is that possible?

The Chair: Yes, okay. Members, we’ll take a five-minute recess. Thank you.

The committee recessed from 4:49 p.m. to 4:57 p.m.

[R. Kahlon in the chair.]

T. Stone: I’m just going to put a number of questions on the record. The minister and I just had a brief conversation prior to coming back here. I’ll put these on the record, and I appreciate being provided some answers in response. There’s one, though, that I would really appreciate having a response today, if I could.

I will start. The questions relate to the building code — in particular, the initiative to move forward towards the new B.C. energy step code standards by 2032. I think everyone that’s in this room — and folks at home, I’m sure — is familiar with the commitments that have been made by previous governments and the current government, in terms of moving towards and getting close to, hopefully one day, a net zero in terms of new home construction. It’s an important part of any government’s environmental plan, climate plan or emissions reductions strategy plan.

The challenge is that, depending on where you are in the province, the requirements that comprise each of the different steps in the step code become increasingly onerous and place significant added cost onto that unit of housing that can have a very different macro impact in a community like Kamloops, where the average home price hovers around $450,000 to 500,000 per year, versus an average new unit of construction in, say, Coquitlam or Vancouver. The climate is very different, and there are a lot of differences across this big province of ours that really drive the costs related to these new standards.

The concerns that I wanted to express, on behalf of the Kamloops home builders and on behalf of new-home construction companies in Kamloops but also elsewhere in the province, really relate to three areas, in terms of the step code.

[5:00 p.m.]

The first is obviously cost. Affordability is a big concern. We’re going to canvass housing affordability and the government’s initiatives around that in great detail tomorrow. I think we can all agree that each additional step of the B.C. energy step code adds additional cost to that new unit of construction.

The second — and this is the piece that I would appreciate a response to today, if I could get one — is around the requirement for energy advisers. I think it’s safe to characterize that, at a high level, the changes represented in the B.C. energy step code are really about moving from a prescriptive model to more of a performance-based model when it comes to these requirements and new-home construction. Part of a hallmark or a feature of the performance-based framework that we’re moving towards is to have energy advisory consultants that have to weigh in and, essentially, sign off on the home contractor meeting the standards, as per the code.

The challenge that we have in a community like Kamloops is there are no energy advisers in Kamloops. There’s not a single one. We have a number of energy advisers from neighbouring communities like Kelowna. I believe there might be one in Vernon. There are a number of them in the Lower Mainland, but there are none in Kamloops.

This has raised a series of consequences that sort of flow from that. One is the timeliness of energy adviser engagements, as required. Secondly, it’s adding additional costs in having to bring these energy advisers in from outside of Kamloops.

Kamloops is a city of 110,000 people now. One would think that a city of that size would have energy advisers. I’m not aware of what the reality is in every other municipality around the province, but I’m hearing anecdotally that the challenge of accessing energy advisers in a timely and cost-effective manner, as per the new requirements of the energy step code, is problematic and is a challenge that we need to address.

Perhaps we could get an answer on that one, and then I’ll read a few other questions into the record that I’d be appreciative of receiving written responses to in the weeks ahead.

[5:05 p.m.]

Hon. S. Robinson: I appreciate the member’s questions about the step code, which was an initiative undertaken by his government. It started in 2017, and we’re pleased to continue to do that good work. I think it’s important work.

I think it’s important to remind everyone that the step code remains voluntary; it’s not a requirement. We recognize that there’s some transition that needs to happen in terms of building capacity, which I think is what the member is referring to. That very issue is being addressed by the Energy Step Code Council. They are aware of some of these challenges.

Because it’s a new program, it is about building capacity. But I’m pleased to let the member know that the CleanBC labour readiness plan is addressing this and making sure that we have people who are available to be energy advisers in communities across the province. As we see more and more of this uptake coming on line, that’s a piece that we’re going to be seeing. But it remains a voluntary program for the time being, so that we can build the capacity.

T. Stone: Thank you for that, Minister. Could the minister indicate, then, if it’s a voluntary program now and if one of the driving realities of the voluntary aspect of the system at the moment is that there is a need to build capacity, is there a point in time when the minister envisions these provisions no longer being voluntary? Have she and her government given consideration to moving from a voluntary model to a required model?

I am well aware that it’s voluntary. It’s voluntary insofar as it pertains to local governments wanting to opt in to a step in the step code. It’s not voluntary once a local government opts in to it. It’s not voluntary from the perspective of the small construction company that builds the homes and, therefore, then has to meet the requirements of whatever step in the step code that municipality requires.

Could the minister provide some comment as to what consideration government is making at the moment with respect to whether or not this program will ever become mandatory? If it is to become mandatory, does the minister have any timelines that she can speak to with respect to making that transition?

[5:10 p.m.]

Hon. S. Robinson: The step code is a gradual implementation, over a series of code cycles, through to 2032. Both the B.C. building code and the national code are going to be increasing the energy-efficiency requirements. I think we all agree how important that is, given the challenges we’ve seen with climate change and recognizing that everybody has a role to play in making sure that we are more energy-efficient. The increase to the base B.C. building code to net-zero energy-ready by 2032 will go through three code cycles: the 2022 code, the 2027 code and then, finally, the 2032 code.

I think we need to recognize that, when you’re creating this kind of change, starting off with voluntary opportunities means that you can slowly build the capacity so that you can make sure that you have the right kind of talent and tools available so that we can actually deliver on buildings that are more energy-efficient.

The other thing I want to mention…. I’d mentioned the CleanBC labour readiness plan. The Minister of Advanced Education and the entire sector know that this is coming, and they are working together to make sure that we have the right training in place so that the people that we need in order to deliver on this are at the ready and so that we can have more energy-efficient buildings.

T. Stone: I will just read into the record a series of questions related to the step code. Again, I appreciate the minister’s willingness to provide written responses to these questions in a timely fashion. I will preface this again by saying: please do what you can to help us wake up one morning in Kamloops and know that there are energy advisers that actually live in Kamloops.

Interjection.

T. Stone: Kamloops is a great place to live. It’s a retirement plan for some, not for me. Nice try.

A first question would be this: has the province given thought to the effect on smaller communities where climates are more extreme and where the incremental increase in cost has a greater impact due to less robust markets? I would note, for example, that for a single detached home — say, a 4,000-square-foot house, just as a baseline here — step 3 compliance would have an estimated additional cost, related to those requirements, of about $16,000.

A $16,000 additional cost to a $450,000 average housing unit, which this would be in Kamloops, is a very different story than a $16,000 additional cost on the exact same home in Coquitlam, Surrey or Vancouver, where it might be $1.3 million, $1.5 million or $2 million. A $16,000 increase in construction costs due to that step code would have a much more significant impact on that home in, say, Kamloops or Kelowna or even a smaller community than it would in a comparable home in the Lower Mainland.

A second question: why are existing buildings, which are responsible for the majority of the inefficiencies, not being asked to share more in this cost through retrofits? Does the government have any retrofit strategy to encourage energy-efficient retrofit upgrades to be made within existing homes and existing buildings?

[5:15 p.m.]

Three, through the mandatory use of an energy adviser — or, essentially, promoting an additional layer of bureaucracy — is the ministry open to considering simplifying this to guide the industry to adopt more efficient prescriptive measures through our building codes?

The next question. Many communities in the province — including Kamloops, as I said — don’t have enough energy advisers in place to service them. We’re hearing lots of stories of permit applications being delayed due to these shortages. These delays are only going to get worse as the step code becomes mandatory and all permit submissions require the use of energy advisers. What is the plan to ensure that there are energy advisers available in communities like Kamloops and others around the province where we have a serious shortage?

The last question would be this. What will actually happen if a builder follows a design that’s signed off on by an energy adviser and the efficiency goal that was set in that energy adviser’s approval is not met? Would municipalities be expected to hold back occupancies in that case? What would this do to the housing industry, the housing supply and the affordability of housing? I’m hearing that that’s a piece where there are some growing pains as well. I’d appreciate the minister’s thoughts on that piece.

Again, thank you for being willing to provide some written responses to those questions. We’re now going to move into a series of questions with respect to TransLink. We have the right folks in the room? Okay, good. Thank you.

First off, I’m wondering…. A year ago, when we canvassed TransLink in estimates, it was my understanding that there was an oversight committee in place, with respect to the major projects — the Vancouver project down Broadway and the rapid transit project in Surrey — to provide guidance to government and TransLink on both of these large rapid transit projects. My understanding is that this oversight committee comprised senior civil servants and that those individuals would be providing advice and guidance with respect to the business cases for both of these major rapid transit projects.

The first question would be this: with respect to the business plans, have the business plans for each of the Surrey rapid transit project and the Vancouver-Broadway rapid transit project been effectively signed off? Are they completed? A second question would be: what is the total dollar value that is provided for in those business plans? With respect to the construction and completion of these two very important rapid transit projects, which are supported by all members of the House, are the business plans signed off? What is the total project value today for each of these two projects?

[5:20 p.m.]

Hon. S. Robinson: I’ll start with the Broadway subway project, the Broadway line. The RFQ was released to the public in February 2019, including confirmation…. Sorry, the RFP is scheduled to be released at some point this summer. The total cost of the project is estimated at approximately $2.83 billion.

The Surrey-Langley SkyTrain project…. I would remind that phase 2 of the Mayors Council ten-year vision included building $1.65 billion of light rail transit in Surrey, while phase 3 included LRT along the Fraser Highway to Langley, estimated at a cost of $1.9 billion. The Mayors Council voted, in November 2018, to suspend the LRT, and in December 2018, they decided to proceed with planning and project development work for a Surrey-Langley SkyTrain project instead.

Right now the project development workplan, including a business case for senior government and updating the investment plan, is estimated to take about 15 months. So there will be more details coming.

T. Stone: Okay. Again, just to confirm, the Surrey project is, essentially, on hold, pending 15 months of additional work to take into consideration the decision that the mayors have taken with respect to, I’m assuming, the technology — Surrey’s insistence on SkyTrain being the technology of choice for the project. This has required everybody to go back to the drawing board and do that business planning work taking into account that very significant change in technology. Is that correct?

Hon. S. Robinson: Nothing’s on hold. Work continues. Making sure that we have a business plan for the new technology is critical work that’s happening. So nothing’s on hold. Things are moving forward.

T. Stone: “On hold” was perhaps a poor choice of words. What I meant by that is, essentially, that because the technology is going from light rail on 104th to SkyTrain, there’s a very significant difference in cost in terms of the technologies that are now being contemplated for the Surrey project. So the project….

It would seem to me that, when the minister says 15 months of work now needs to be done to essentially re-scope or redo the business plan taking into account the new technologies, that would essentially mean that the start of construction for the Surrey project will be different — i.e. it’ll be later — than was originally planned had the technology not changed on the part of the mayors.

[5:25 p.m.]

With respect to the Surrey project, could the minister confirm or indicate again, for the record, prior to the technology change being confirmed by the mayors, the start date of construction and the completion date for the first phase of rapid transit in Surrey? And what is now the most likely or anticipated revised start date and completion date for that first phase of the Surrey rapid transit project?

Hon. S. Robinson: The original vision that was part of the mayors’ ten-year vision for light rail was to have it operational in 2024. That was the original vision. Our government, of course, is partnering with TransLink and with the Mayors Council to make sure that we’re delivering the right kind of transit infrastructure that meets the needs of the communities as the communities determine what those needs are and how to move forward.

We’ve heard members coming through earlier today talking about their local governments and identifying whether they needed to invest in pipes in the ground or in rec centres. I think there’s respect around this table for the work that mayors and councils have to do in terms of determining what the priorities are for their communities and how to make sure that their communities are delivering the kinds of services and have the livability that people are wanting.

In this case, there was a change, a change that happened in Surrey that requires a fresh look at a new technology. So we’re going to continue to work with the region and the federal government to help the Mayors Council deliver on the projects that best meet the transit and transportation needs of Surrey and the region.

[5:30 p.m.]

Like I said before, because of the change, it means that there is a piece of work that needs to happen in terms of developing a workplan, including the business case, so that we can update the investment plan, determine exactly what the scope of the project is going to look like. It takes time to do that, so that work is continuing.

The other thing is that TransLink is also refreshing the South Fraser transportation strategy concurrently with planning for the Surrey-Langley SkyTrain project to ensure that the area’s transit needs are met. They are taking a wholesome look to make sure that the investments will deliver for the people of Surrey, because they have waited a long time. I know that they’re all looking forward to having the kind of investment that works for them as they move around the region.

J. Thornthwaite: Carrying on, on a SkyTrain theme, I have with me, Minister, the integrated North Shore transportation planning project, INSTPP, which was released last August 2018. On page vii, the first introduction part — these actually are an executive summary — No. 3 says: “Evaluate the conditions for rapid transit between the North Shore and Burrard peninsula, connecting Lonsdale city centre with Vancouver’s metropolitan core and the regional rapid transit network.”

I’m wondering why, in this report, there was no mention of the Second Narrows.

Hon. S. Robinson: I thank the member for her question. I am aware of the INSTPP report. However, this report was undertaken by MOTI, and they would be the best folks to be able to answer the member’s question.

J. Thornthwaite: As the minister knows, the MOTI estimates are over, and all the SkyTrain questions, I understood, were supposed to be related to this ministry, because it’s TransLink. So I’m going to ask another question with regard to the report.

On page 9 or 10, there is a map of mobility — of people that are moving back and forth from the North Shore to Surrey, to Tri-Cities, to Burnaby, to New West, to Vancouver. It’s all an indication of the commuter flow of where North Shore residents are either getting to their jobs or back to their jobs. In other words, people are either travelling, say, from Langley to work in North Van or going the opposite direction. But in either case, this map on page 10 indicates the strong commuter traffic that’s occurring either way.

Obviously, a lot of that is on the roads. My question is, with regard to the need for a SkyTrain, which, as I said, is under TransLink: has the minister considered SkyTrain to the North Shore?

[5:35 p.m.]

Hon. S. Robinson: Our government is keenly aware that congestion on the North Shore continues to build. It’s significant. It’s creating challenge for people to find others to work, to find employees, because they can’t get to the North Shore. We’ve certainly heard those stories, and we are looking for ways to ease congestion, to get traffic moving more freely.

The integrated North Shore transportation planning project, or INSTPP, was led by the Parliamentary Secretary for TransLink. However, it was done in partnership with the Ministry of Transportation and Infrastructure, and it was actually the Ministry of Transportation and Infrastructure that led it. It’s their report. It was led by the MLA; it wasn’t led by the parliamentary secretary. I think that might be where the member is getting a little bit confused. The report actually belongs to that ministry.

The member might also be aware that our government is committed to 40 percent of the capital costs to building transit and growing the transit capacity of the region. However, we work collaboratively with the Mayors Council. They’re the ones that determine priorities, and they’re the ones that determine where the next investments need to go.

Right now we’re working on the extension of Broadway and working out in Surrey. Phase 3 is still to come, and I would certainly urge the member to work together with the mayors of the region in the North Shore, making sure that the voice of those mayors is recognized around the Mayors Council. Given that their work to create the vision is the lead on how to best proceed, given that there has been not a steady rate of investing in transit, which we’ve needed for a long time, we continue to be committed to make sure that we can relieve congestion.

I think everyone agrees that with a million more people coming to the region over the next number of decades, we need to continue the investment. Our government is committed to doing that, and I would urge the member to make sure that the mayors are working collaboratively to make sure that the North Shore is well represented around the decision-making table for what the next vision is for that part of the region.

J. Thornthwaite: Yes, I totally agree with the minister on that one. Just going back to the report. You’re right. The chair was the member for North Vancouver–Lonsdale, but she is also the Parliamentary Secretary for TransLink, so it makes sense that this would be a question I would be asking under TransLink estimates. In addition, the INSTPP steering committee…. The only so-called non-politician on the steering committee is actually, in fact, Kevin Desmond, who’s the CEO of TransLink, which this ministry is responsible for. So I think I’m pretty legitimately okay in asking TransLink questions pertaining to this report to this minister.

I have another question pertaining to TransLink and, actually, transit. Is the minister familiar with Dr. Stephan Nieweler’s research on Population and Employment Catchment of Proposed Rapid Transit: Comparison of North Shore–Burnaby and Broadway (Arbutus-UBC) Corridors?

Hon. S. Robinson: The member is actually a little incorrect in terms of the role that the MLA for North Vancouver–Lonsdale played. She was there in her capacity as the MLA, and she was working together with the Ministry of Transpor­tation and Infrastructure. That report didn’t come out of my office; it came out of that office. That was the work that happened.

These questions do belong with the Ministry of Transportation. They are the ones best poised to answer those questions.

[5:40 p.m.]

J. Thornthwaite: My question still remains unanswered. I asked a question to the minister, if she was familiar with Population and Employment Catchment of Proposed Rapid Transit: Comparison of North Shore–Burnaby and Broadway (Arbutus-UBC) Corridors. We were just talking with my colleague from Kamloops about the Broadway-Arbutus and Surrey-Langley SkyTrain proposals.

My question to the minister remains. Is she familiar with Dr. Stephan Nieweler’s work with regards to the comparison of those TransLink SkyTrain proposals to the one that he has suggested in the North Shore?

Hon. S. Robinson: I have not read that particular report.

J. Thornthwaite: All right. Well, then I’m not going to go through it, but I am going suggest to the minister that she take a look at it, because I do know that Dr. Nieweler did present to the INSTPP committee. Again, the committee included several North Shore politicians in addition to the CEO of TransLink, so they are quite familiar with his research. He also has presented to the district of North Vancouver council, as well as the mayors of West Vancouver city and the city of North Van. This research is quite well known on the North Shore and, in fact, quite prominently researched.

My point is that I wanted to let the minister know, if she has not been familiar with it, perhaps to check it out or get her counterparts in the TransLink department to take a look at it, because there are some stunning numbers there. According to a meeting that I attended last month at the district of North Vancouver, the new INSTPP chair, who happens to be the mayor of West Vancouver, has now taken it on herself to do a feasibility study on, in fact, this study. It is stunning, with regards to the numbers.

This professor has done an entire comparison of the costs of SkyTrain, both to the extension from the Arbutus line to UBC and also the Surrey and Langley line. He’s done a comparison to what we could get for bang for our buck, so to speak — getting also a line to the North Shore, an extension to the Millennium Line, and also maybe even light rail across the corridor in the North Shore.

Anyways, there’s a lot of material here that I think…. Before any decisions are being made from this government, maybe at least make them aware of the research that Dr. Nieweler has presented to all councils and mayors on the North Shore. We certainly will be imploring the new chair of INSTPP during the feasibility study — if there was another version or an updated version of the INSTPP report — to actually include at least a look at Dr. Nieweler’s research.

I know that wasn’t exactly a question, but it was a comment and perhaps a plea to get the staff in this ministry to take a look at this research. If the minister wanted to comment on that, that’s good. I have more questions on another topic.

Hon. S. Robinson: I would like to comment. I’m pleased to hear that the mayors are well aware of this research, because it really is their role to determine where the investments go. We work together with the mayors. If the Mayors Council determines that this needs to be the next investment, then we’ll be responsive to make sure that that’s where we go. This is what it means to work in partnership with them.

They’re on the ground, and I’m pleased to hear that the three mayors that represent the North Shore…. It sounds like they’re heavily involved. The job, I think, will be to engage with the other mayors around the region, recognizing how the region will benefit by freeing up the congestion that the three members of the North Shore have certainly talked about. All three of the members of this House who represent the North Shore have certainly talked about it.

Again, it really belongs with the mayors to make that determination that, given the numbers, this is where we need to be doing that investment. I would urge the member to do what she can to talk with the other mayors around the region and make sure that they can come up with a plan that works for the entire region and puts the investments where they next need to go.

[5:45 p.m.]

J. Thornthwaite: Thank you to the minister for that. Then I do have a question related to the Mayors Council. Of course, the mayors that I was talking about were the mayors on the North Shore. Is the minister aware of the — and these are my words, not theirs — top-heavy representation in weighted voting on the Mayors Council to Vancouver and Surrey because of population?

Hon. S. Robinson: We are well aware of how the Mayors Council is governed and what the structure is. I think we need to recognize that they have done, I think, an outstanding job for the ten-year plan, in making those determinations, in making those difficult decisions. I think they have done the analysis and looked at the data, in terms of making determinations about how to best make investments over a period of time, over a period of years. That’s how the ten-year plan came to be.

There is an opportunity now, with the regional transportation strategy, to look further out, so there’s another opportunity to work together with the mayors, with the province as well, and the region — so Metro Vancouver, the Mayors Council as well as the province — to sit down and take a look out beyond this ten-year plan. That work is going to continue.

Again, I think it’s important to acknowledge that while we get all excited about investments in SkyTrain, in terms of what that looks like and what the possibilities are, we’re also talking about investments in over 900,000 additional hours of buses, B-lines and all that comes with that, as well as making sure that we have the kinds of densities that support these transit infrastructures.

There’s a lot that goes into making these decisions, and it means, really, the mayors having fulsome discussion about how to best move forward on a regional plan. People live regionally. We might go to school over here and work over there but live over here, and we need to be able to move around the system. Making sure that we’re continuing to do that is really critical.

I have faith in the Mayors Council, as a body, to continue to take a look, with good data, like the data that the member shared with us. I imagine that the mayors on the North Shore, if the other mayors haven’t heard it, will share that with them to make sure that everyone understands what the implications are and how we all suffer. It’s not just the people on the North Shore. We all suffer when the North Shore is challenged with traffic and congestion.

This has been the frame that they have taken. I think they’ve done an amazing job with the ten-year plan. There’s more work to do — absolutely. No one is saying that we’re sitting back on our laurels. We’re moving forward with the regional transportation strategy and making sure that we can continue to make the investments that people need right across the region.

J. Thornthwaite: My point that I was trying to make on the weighted vote is that some of the smaller mayors, smaller city mayors…. I wasn’t trying to make a comment on the mayors’ size.

Interjections.

The Chair: Go on, Member.

J. Thornthwaite: The smaller cities — i.e., the cities that are smaller than Vancouver and Surrey…. Of course that would encompass North Van, West Van and many other ones. I know that they sometimes feel that infrastructure is getting preferential treatment in the larger centres, even though congestion and, in the case of SkyTrain…. There’s a need on the North Shore for at least getting to the North Shore, let alone when you’re already there.

[5:50 p.m.]

My point on the weighted vote was to just express frustration that a lot of the smaller city mayors have that when they are at the Mayors Council table, they perhaps are not getting as much representation as they deserve, being part of the region, because they are from smaller cities. That was what I was trying to get at.

I don’t know if the minister wants to comment on that. I can move on to another question? Okay.

I did appreciate the minister’s interest in Dr. Stephan Nieweler’s research, and I’d be happy to share that with her. Of course, everybody on the North Shore has seen it. I’m also giving a plea to the ministries to put it on their radar. If we know that the train has left the station for the extension to UBC, or the train has left the station for the Surrey extension, then perhaps the North Shore could be next. That’s basically what my message is.

The other question I have is actually on mobility pricing. We keep hearing mobility pricing popping up everywhere. There was a special report that was published. The people that were responsible went around and talked to all the MLAs and the caucuses, etc. Everybody knows all about mobility pricing, and they know that it’s potentially in the works. I refer back to the INSTPP report. There’s actually quite a bit of mention of mobility pricing or demand management or whatever they all call it. The point being is….

My question to this minister is: where are we at with mobility pricing in the province of British Columbia?

Hon. S. Robinson: The member is correct in speaking to the Mayors Council and their work. They spent a considerable amount of time examining mobility pricing as a possible approach to manage congestion and support continued investment in transit and transportation infrastructure upgrades, sort of as the member described. We need to be doing more. We need to also reduce congestion at the same time. So the Mayors Council made the decision to explore what mobility pricing could look like.

The Mobility Pricing Independent Commission’s 2018 report was a…. They introduced the region to this idea, and issues raised were around fairness and affordability. Those were the two key elements.

Our government, of course, is committed to making life more affordable and getting people moving around the region. Those are two key elements, certainly, for our government. When it comes to transit investment, we’re going to continue working with the mayors’ vision, which is about reducing congestion. People want to get home faster. They want to get to their families faster. But any congestion solution in Metro Vancouver needs to be fair and affordable for everybody. That’s certainly our government’s perspective, and I know that that’s the mayors’ perspective as well. They, too, agree with that.

This work that they’re undertaking, I assume, is going to continue, but this was sort of their first go at taking a look at mobility pricing and what it could be as far as understanding how it works and introducing all of us to that concept.

J. Thornthwaite: I just want to clarify that I got this straight. The instigation of mobility pricing, then, will come from the Mayors Council.

[5:55 p.m.]

Hon. S. Robinson: Like I said, we will work with the region to advance their vision to get people out of traffic and home to their families. Any congestion solution in Metro Vancouver needs to be fair and affordable for everyone. I know that the mayors absolutely agree with us on that perspective.

J. Thornthwaite: Okay. I didn’t really get an answer to that question. I’m just trying to get where mobility pricing is coming from. It sounds like a great idea, until somebody makes a decision to do it. I’m basically asking whether or not it’s going to be the province of British Columbia that’s going to be making the decision. Or is it going to be the Mayors Council?

Hon. S. Robinson: TransLink is undertaking the work to explore mobility pricing. They’ve established a new mobility committee to continue studying the Mobility Pricing Independent Commission report, which is the report I alluded to in my earlier answer. Their goal is to bring that back at some point this summer. They’re exploring it. At this point, that’s all I know. They’re just exploring what that might look like.

J. Thornthwaite: My understanding from TransLink is that…. In order to pay for this phase 3, they’ve given a whole bunch of options: vehicle registration; a regional carbon tax, which will be very popular; mobility pricing; a goods movement fee; a hospitality tax; an on-line retail tax; land value capture; a regional sales tax; and a ride-hailing fee, even.

The chair of the Mayors Council, Jonathan Coté, has said that mobility pricing and land value captures have the potential to generate the most revenue. I’m wondering if the minister has a position on either of those.

Hon. S. Robinson: I appreciate the member continuing to look at investment in public transportation for Metro Vancouver. It is a top priority for our government. That’s why we’ve committed funding for 40 percent. It’s never been done before. Forty percent of the capital for every phase of the mayors’ vision, over the 10-Year Vision, is our government’s commitment.

Our focus right now is on working with TransLink to deliver phase 2. There’s a significant amount of work that needs to happen for phase 2. I look forward to hearing from TransLink and the Mayors Council on the work that they’re going to be doing to develop the phase 3 investment plan. They’re undertaking that work, and I look forward to hearing what they come up with.

J. Thornthwaite: This will be my final question. With regards to the mobility pricing question, am I to assume, then, that it’s on hold? This government is not going to be making a decision on it any time soon, or they’re putting it on to the Mayors Council. I’m just trying to get an answer as to where mobility pricing is in the province of British Columbia right now.

[6:00 p.m.]

Hon. S. Robinson: Again, I want to reiterate that right now, we’re working on delivering phase 2 of the vision. The mayors are doing their work around phase 3 and what that looks like. They’re exploring a whole range of things, and that’s their work to do. I look forward to seeing where they land as they develop their phase 3 investment plan. The work that the member described is the work that they are undertaking right now.

M. Lee: I’d just like to ask some questions relating to community infrastructure projects in my riding of Vancouver-Langara.

Hon. S. Robinson: I just have to trade staff.

M. Lee: Sure. That would be great.

The first project is a project that our colleague the member for Vancouver-Fraserview knows well and is very supportive of and that and he and I have been having a good conversation with the community on. That’s the project at Sunset Community Centre.

As the minister well knows, in terms of the general community in the area of Vancouver South, there is quite a large seniors population there, as there is in other parts of the city of Vancouver. Of course, we are looking to continue to ensure that there are good facilities for seniors to get out of their homes, to stay in the communities that they live in, with good home care support, of course.

Also, in terms of social activity, there is a very vibrant Indo-Canadian seniors group for men and for women. I’ve met with them on several occasions, and they’re very enthusiastic and very current in all their current affairs and activities.

There has been, of course, under the leadership of others in the community — like Minister Harjit Sajjan, the minister and Member of Parliament for Vancouver South…. There have been past park board commissioners who have been very supportive of this project.

I understand there has been some sorting out, which the new mayor of Vancouver has been very helpful with in respect of the operating agreements between the city of Vancouver and the Sunset Community Association. I think that’s getting to a good place.

Assuming that that is there, I understand there will be a submission, then, for provincial funding to take advantage of what, hopefully, is still a federal opportunity with federal funding on the table, as Minister Sajjan has indicated, before what happens in October, of course.

I’m hopeful that in this tight time period, there still may be an opportunity to find the funding for this particular project. I would just invite the minister to make a comment on the status of that potential submission application and funding.

Hon. S. Robinson: I think the member is referring to an opportunity to apply for the investing in Canada infrastructure program and the CCR, the community, culture and recreation funding program. We signed an agreement with Canada on March 22 to secure a $3.9 billion investment in federal funds to B.C. over the next ten years.

[6:05 p.m.]

We opened up the community, culture and recreation intake back in September 2018. That was at the UBCM. That was an announcement there. It closed in January. We’re reviewing all of those applications as we speak, and we won’t be making any determinations. Staff are taking their time to read all 200 of the applications, which I think is really important.

I just checked with staff, and unfortunately, they didn’t do a submission to this infrastructure program, which is really unfortunate. However, there will likely be another intake at some point. We don’t have that just yet. We’re just working on this first intake. I’m not quite sure what the member is talking about, aside from…. This is the grant opportunity that had been available.

M. Lee: I appreciate the response. That is the program I’m speaking about, and I appreciate that clarity, because there have been various players involved, so it’s helpful to know that.

If I hear you correctly, though, because it’s a ten-year funding program, the funds will be available for future applications — well, other than a change in government, when they withdraw and change the program. But assuming there is no withdrawal of the program, at least from this province’s point of view, the funding will be available for a future intake year. Will that be…? What is the timing of that future intake process? Is that September for January?

Hon. S. Robinson: The member is correct in that it’s a ten-year program. If everything remains status quo, there will be another intake. I don’t have a timeline yet on that.

What I would encourage the member to do is to speak with the leadership. Make sure that they have sort of all their ducks in a row — that they put together a strong plan. They can certainly reach out and talk with staff to make sure that the plan is well put together so that when the call comes, they’re ready to go, and they can submit their application.

M. Lee: I appreciate that. I think it is a situation where a lot of pieces need to fall into place.

Let me switch to another project, which I know the minister has good familiarity with. This is going in increasing level of familiarity. This is, of course, the YMCA — the Langara Y at 49th and Cambie. As the minister knows, we have a very strong friend who used to be the board chair of the YMCA foundation. Jeff Devins saw the prospects of building good community infrastructure for child care, seniors programming and for the general community.

We have a great existing Langara Y now. My mother-in-law and my wife’s family have always been good members of that Y. It serves a great populace in the community. It’s part of that density that’s being created on the Cambie corridor and right next to Langara College as well. I know there are some partnership discussions, recognizing that students also need a place to go to.

I understand that this particular application has been submitted, and presumably — I just want to confirm — that is the case. I understand from the organization that they may well be part of that 200-group submission. They have an application that I think is in the magnitude of $10 million. I will say that the Y is a very strong organization, as the minister knows, so the level of government funding, whether it’s federal or provincial, is a small percentage as compared with the level of community giving that they’re having this project on and other opportunities.

Can I ask the minister just to confirm that this is part of the current intake and that, presumably, this project is being considered as part of this current round?

Hon. S. Robinson: I want to express gratitude to the member for mentioning our mutual friend Jeff, who introduced me to the Y and encouraged me, when I was on city council, to bring it to Coquitlam.

[6:10 p.m.]

Actually, one of the first meetings I took as a brand-new councillor was with the late Jeff Devins. He was a great advocate, and he’s sorely missed by many who knew him and saw his commitment to the Y and to community recreation facilities that delivered great opportunities for communities.

I did check with staff. We have received that application. I can let the member know that everything is under consideration, all of the applications, and that later this calendar year we’ll have some decisions made by the public service that will be making the recommendations.

M. Lee: Thank you for that confirmation.

Can I ask just a general question in respect of the rollout of this infrastructure funding? With the global amount in mind, what’s the percentage or the amount that will be available under this first round, globally?

Hon. S. Robinson: First of all, I want to thank staff for being so well prepared. They anticipated this question.

The program allocation for this funding stream, the community, culture and recreation stream — combined total over ten years is $269.68 million. The first intake was up to $134.84 million.

M. Lee: That’s a significant amount for this year, on the first year, based on the overall. That’s good in one sense, for the ones that are being considered in the first 200.

I’m just going to save my general comment about the area of my riding and the importance of these projects. I’ll just ask about the third and last project. That, of course, is something I know the minister is very aware of. It’s the Jewish Community Centre, of course, which is at 41st and Oak.

That is a project that’s been worked on for some time. I think that’s another good example of an organization that has its ducks in a row in the sense of looking at a multigenerational facility for children and seniors and families. Of course, the Jewish Community Centre serves the full community, not just one part of the community, and it’s a very open centre that my children and myself, actually, have grown up in.

But I would ask the minister to confirm again that the JCC material and their application is part of the 200 and they’d be considered alongside of the other projects here.

Hon. S. Robinson: It’s interesting. The member talked about less familiar to more familiar. It was very accurate. I, too, spent many, many, many hours in the Jewish Community Centre, and I actually sat on the board. It feels like a million years ago. I think I was maybe 21 years old when I sat on the board. Anyway, that’s another story for another time.

He’s right. It’s a fabulous organization that serves from infants, in their child care, to seniors, in their L’Chaim day program and everything in-between — recreation services and cultural programming. For me, it was a hangout where I would just go and hang out and meet with friends. It looked very different then. It has had many iterations over the years.

It’s open to the entire community, which is one of the things I do love about it. In fact, the bus drivers used to spend a lot of time in there when the depot was across the street. It was all filled with bus drivers who were working out in the weight room. That’s who I would actually spend some time with, hanging out with the bus drivers who came across the street.

[6:15 p.m.]

Having said that, I’m familiar with the plans and the vision, which I have to say is absolutely spectacular. It involves a significant amount of housing and redoing of their recreation centre, better land utilization as well, which I think we recognize is really important given the cost of land and given the cost of housing in that area. They have a tremendous opportunity there that they’re taking full advantage of.

Unfortunately, they didn’t apply for the CCR, so they’re not in that list. I know that I’ve certainly made them aware of that opportunity, and I would hope that we would see something in the next intake.

M. Lee: I need to depart shortly for another House, but let me just…. I appreciate that. I think just the general comment I would make, for future reference…. Of the three projects we’ve spoken to, we have the Y. But for future consideration on future rounds, I certainly would like to welcome the opportunity to work with your ministry and your staff just to ensure that these organizations have their ducks in a row so that we get into the next round of review.

As I was talking to the Minister of Education two days ago…. I know the member for Vancouver-Fairview also agrees with me. The community infrastructure of the density that’s happening in Fairview, Langara and parts of Fraserview, for example, is tremendous in this part of the city. We need this kind of infrastructure.

It’s great that we have the kind of level of partnership and leadership at the community level by these kinds of organizations. I certainly would very much want to support each of these three projects — the Y in the case of this intake, the Sunset Senior Centre in the future, as well as JCC.

Thank you for the time, and I appreciate the opportunity. Hopefully, we’ll keep this dialogue going for the next round.

S. Sullivan: Thank you, Madam Minister. I wanted to follow up on some of the comments you made earlier about the Broadway line. I think you mentioned $2.83 billion, I believe. This would be to Arbutus. I always like to call it the Millennium Line completion, not the extension. It’s always been called extension, and I always remind people that it was originally meant to be that. So we’re actually completing it after these many years.

My question, though, is on a general policy about lots of money going to municipalities. Immense amounts of money to go into transit, but generally, over the years, no real commitment required from the municipalities for density, for recognizing this incredible investment by the province — by taxpayers from all over the province and the country, in fact — and not requiring municipalities to have at least a certain minimum of densification. Can you tell me about your thoughts on that and your policies now?

Hon. S. Robinson: The member raises, I think, a good question. I mean, we know that transportation costs can take up a significant portion of a household’s income and that living near transit reduces — that’s the other part of what the member has said — a household’s expenditures. It reduces their costs. It actually will make life more affordable if there’s density right by transit so people don’t need a vehicle. As well, it would reduce congestion, and it’s better for the environment — a whole number of reasons.

[6:20 p.m.]

We’re committed to working with local governments to support the construction of housing near transit corridors. We think that that’s really important. The Broadway project, the Millennium completion — I think is what he called it; I appreciate that — and the Surrey-Langley SkyTrain will provide opportunities for new transit-oriented development and affordable housing in Vancouver and Surrey.

Certainly, coming from Coquitlam and having been a city councillor when we were anticipating the Evergreen Line, we undertook that work and have created significant density — certainly, in my community.

We are working very closely to implement agreements between TransLink and the cities to facilitate transit-oriented development, density and affordable housing along those corridors and avoid displacement of existing residents as well. That work is being undertaken.

S. Sullivan: While I’m influencing your terminology, I would maybe put in a plug for one other terminology change.

I’ve always thought that getting the completion to the Broadway corridor was always difficult because where are you going again — to a corridor? A corridor’s not a place. A corridor is something that kind of goes through something. It goes to a place. I’ve started to refer to it as BroCo, à la New York’s style of shortening these things — your second downtown of British Columbia. You can call it BroCo. Maybe you can start having that….

Hon. S. Robinson: I’ll work on it.

S. Sullivan: Okay.

Now, in Vancouver, I notice that the council has actually put a moratorium on rezonings for three years anywhere between Clark and Arbutus. I believe they’ve also extended that so it will go far beyond three years — possibly up to seven years — beyond Arbutus. I’m wondering if the minister’s aware of that. Does she believe that that will, in this time of housing crisis, affordability and supply…? By putting a moratorium on this most productive area, where we know we’re going to need a lot of density — is that a concern?

[6:25 p.m.]

Hon. S. Robinson: I am aware of the council decisions. I follow many councils fairly closely, in terms of what they’re doing. I want to assure the member that we are working very closely with the city, and with Surrey as well, to make sure that we are working together around these transit investments to facilitate transit-oriented development — the right kind of development — making sure that it’s happening with the right amount of density and affordable housing that come along with these investments. That work is ongoing with both communities.

S. Sullivan: There’s actually no requirement for a certain commitment to densification, but the ministry will be working with the cities. Is that…? So there is actually no policy on requiring the densification?

Hon. S. Robinson: I know that the member is well aware that land use policies are in the purview of local government, given his previous role when we would call him His Worship. He’s very familiar with that.

I want to assure the member that TransLink developed project agreements and supportive policy agreements in a negotiated way with Vancouver and Surrey for phase 2 rapid transit projects. These supportive policy agreements provide density, housing policy and other objectives for new transit lines. So there are agreements in place that will deliver the right kind of development along those investment corridors — what you called BroCo. Sorry, it’s not resonating just yet. And ministry staff participate in the monitoring committees to ensure progress and accountability on key performance measure indicators. So we’re well aware of the direction that the cities are moving in.

S. Sullivan: Okay. Well, as a mayor, we realize that the only time you really have leverage is when they need money or they need something from you. I guess, given that the provincial government holds a lot of leverage with providing the funding, the only time you can get their commitment — as you say, negotiate or come to a voluntary commitment — is when you have leverage.

A little bit of a sidebar in that I know that one of the discussions that I’ve heard at city council is that it would be a rental-only zone. There’s talk about that.

Now, we know that government has, whether intentionally or not, signalled to young people that the way you save is through owning property. There is only one investment vehicle that gives you tax-free capital gains, and that’s your primary home. That’s a powerful message by government that that is how we expect young families to look after their future.

I guess I’m thinking about the provincial role — leverage — of ensuring that young families have a chance to also purchase. There should be diversity of tenures in these new areas. Young families will not be able to afford a single, detached home in Vancouver, but they might be able to afford a condo.

I’m wondering if the minister has any thoughts about ensuring that there’s a diversity of opportunities for both rental and purchase.

[6:30 p.m.]

Hon. S. Robinson: I appreciate the member’s question, because I do know that he has a very keen interest in housing. I want to remind the member that one of the things that we did last year was we brought in a housing needs assessment requirement, legislation that requires all local governments — save a few, the very small ones — within their next five years, to put together the data that informs them better.

I don’t know what the member’s experience was like when he was on council, but I certainly remember asking questions, as projects would come forward, and saying: “So who is this for?” All I kept seeing, when I was on council, were 500-square-foot condos. That was it. That was all I saw, pretty much, for my five years on council. I was asking questions about diversity and variability. I kept being told: “That’s the market. It’s the market. It’s the market.” But it was a certain segment of the market.

It was the investor market and maybe some first-time homeowners, but it wasn’t meeting families’ needs. It wasn’t meeting students’ needs. It wasn’t meeting downsizers’ needs. And it wasn’t meeting the needs, I would argue, certainly, of seniors that I have met and that I have come across who said: “I no longer want to be a homeowner, because I don’t want to have to deal with the things that come with being a homeowner. I want to be a renter.” They’re divesting of their investment, and that product is not in my community at all. I appreciate, and I know that the member appreciates, the importance of having a diversity of housing to meet the needs of various stages of life.

The housing needs assessment is a tool that is going to be useful to all local governments in making the right kinds of decisions for their communities, based on who’s there — and anticipated needs as well. I know the member well knows that just because you need something now, it doesn’t mean you’re going to be able to deliver it now, particularly on the housing front. It takes years. Being able to anticipate what the needs are so that you can coordinate efforts is really critical. That’s why the housing needs assessment, I think, is going to make a significant difference for local governments.

The land use plans that local governments do ought to reflect and should reflect the housing needs assessment. I mean, that’s the tool that will inform the kinds of decisions that local governments ought to be making for the future.

[6:35 p.m.]

I think a land use planning exercise is really about what we are going to need going forward, not what we need right now in this moment. Five, ten years from now, what are the housing needs going to be as we grow and as we change as a community? All communities change. You cannot not change. So we need to anticipate that and be prepared for that.

The other thing I wanted to note — and I know that he knows this — is that Vancouver has a housing strategy. That looks across the spectrum, takes a look at homes for purchase, homes of different size for purchase and homes to rent — depending on what stage of life you’re in and whether or not you ever want to be a homeowner. I’ve come across people who never, ever, ever want to own a home. Their preference is to live life in a different way than a homeowner.

Making sure that there are those opportunities right across the spectrum is really critical. Part of the way we’re working with local governments around this and around the housing needs assessment is to make sure that our programs and our investments are working in tandem and can dovetail with the local government land use plans so that we’re all recognizing where we need to invest — in what kind of housing, in which tenure, in which form — so that we are all sort of on the same page, not working at cross purposes. We all have the same information and are operating from that.

The member, I know, likes data. The housing needs assessments need to be made public, so that we’ll be able to look. I know that the research community is very excited about this. I’ve met with a number of researchers, as well, who are very excited about having this. Data will really help them in their research and help, of course, inform the decision-makers and the policy-makers for years to come. This is a piece that, I think, will really make a difference in the city of Vancouver and right around the province.

S. Sullivan: Is it appropriate to ask about this effort right now? Do you have housing people here tomorrow, or…?

Interjection.

S. Sullivan: Maybe I’ll just ask, then. Are you finding much of a pickup? Are cities going to be coming in at the fifth year? I think they have five years to make this. Are we going to learn this information in five years from now, or in three or four years from now? Or are they starting to come forward voluntarily and being proactive?

[6:40 p.m.]

Hon. S. Robinson: It sounds like the member was really curious about local governments and the relationship with the housing needs assessment and what the sense was in terms of uptake. I just want to remind the member that we brought in the legislation last year. The regulations were established last month. There are at least 50 data points to be collected. So that there’s consistency, every local government will collect the same data.

Part of what we’ve done as government is that we’re going to be able to provide much of that at no cost to the local governments. It’s just about pulling the information together. We’re consolidating and getting the data from B.C. Stats, CMHC, StatsCan and other places so that they can just go in and pull the data and put it into a form that speaks for their community. Then they can add specific things that they might be looking for, and then they have to put it on their website so that we all have the same information and are operating from that.

We’ve also brought forward a $5 million grant program that is being administered by the UBCM to help, particularly, those smaller communities. I’m sure the member is well aware that many communities are already doing that because they see the value. The member may not be aware — well, he might — but the most interesting housing needs assessment that I’ve seen was from the village of Queen Charlotte. If you think of the village of Queen Charlotte, it’s a tiny, tiny place with, I think, five roads. They put their housing needs assessment on one piece of paper, but it was very instructive in terms of where their challenges were. It was very, very helpful.

So they’re already doing this, and I think there’s a lot of excitement about the opportunity to do a good job. Mayors and councils want to do the right thing for their communities. They want to make sure that they have the kind of housing that they need. No one wants to see anyone homeless in their communities, ever. For them to be proactive and for them to have the data, I think, is very exciting.

As I meet with local governments, we talk about the opportunity and how that’s going to help them. But it’s also going to help us in terms of our social housing programs. In terms of understanding what the needs are across the province, it will help us tailor it as well. They’re seeing the value, and I think we’re going to see some significant work. A lot of them, like I said, are already undertaking that work. For some, it might be new. We’re trying to provide as much support as we can so that we don’t get a rush of housing needs assessments. We’re doing our best to remind them that they need to do this and encouraging them to get on it.

Noting the hour, hon. Chair, I move that the committee rise, report progress and ask leave to sit again.

Motion approved.

The committee rose at 6:44 p.m.