Second Session, 42nd Parliament (2021)
OFFICIAL REPORT
OF DEBATES
(HANSARD)
Wednesday, May 19, 2021
Afternoon Sitting
Issue No. 75
ISSN 1499-2175
The HTML transcript is provided for informational purposes only.
The PDF transcript remains the official digital version.
CONTENTS
Routine Business | |
Office of the superintendent of professional governance, annual report, 2020-21 | |
B.C. Utilities Commission, annual report, 2019-20 | |
WorkSafeBC, annual report, 2020, and service plan, 2021–2023 | |
Orders of the Day | |
Proceedings in the Douglas Fir Room | |
Proceedings in the Birch Room | |
WEDNESDAY, MAY 19, 2021
The House met at 1:35 p.m.
[Mr. Speaker in the chair.]
Routine Business
Prayers and reflections: Hon. S. Malcolmson.
Introductions by Members
A. Singh: I rise with great pride as I introduce to this House a proud resident of Richmond and a constituent in the area that I represent, Arjan Bhullar. He’s wrestled for Canada in the Olympic, Commonwealth and Pan American Games. But Richmond’s Arjan Bhullar is celebrating his greatest win yet.
On Saturday, the B.C.-born fighter was crowned ONE Championship’s Mixed Martial Arts World Champion, after defeating reigning heavyweight king Brandon Vera at the second-round TKO. He’s made Richmond, B.C. and, indeed, Canada proud. Please join me in congratulating Arjan.
Statements
B.C. FAMILY DOCTOR DAY
S. Chandra Herbert: Well, today is B.C. Family Doctor Day. I just wanted to thank all of our family doctors across B.C. for keeping us so safe and well. Many of them are watching today, if they’re not too busy. As we know, they’re very busy these days.
Please join me in giving thanks to them for what they do for so many of us in our communities. Happy Family Doctor Day.
Statements
(Standing Order 25B)
TAMIL GENOCIDE REMEMBRANCE
M. Elmore: On May 18, Tamils around the world came together to commemorate Tamil Genocide Remembrance Day. In Canada, the National Council of Canadian Tamils, along with other organizations, will be holding events during the month of May to bring awareness to the genocide. Yesterday there was an event at the Vancouver Art Gallery. The Tamil community in Canada is one of the largest concentrations of Tamils outside of Southeast Asia.
Genocide by the Sri Lankan state was perpetrated against the Tamils during a civil war from 1983 to 2009. At least 150,000 Tamils lost their lives, and over one million Tamils left their country. This year marks 12 years since the height of the Tamil genocide that took place in Mullivaikkal, Sri Lanka. The United Nations estimates that at that location, 75,000 innocent civilians were murdered.
Genocide is the deliberate and organized killing of a group or a group of people, with the intention of destroying their identity as an ethnic, cultural or religious group. Despite the end of the conflict in 2009 in Sri Lanka, the human rights environment continues to deteriorate in a climate of impunity due to the lack of an independent judiciary and ongoing human rights abuses.
By recognizing the Tamil genocide, we affirm our collective desire to maintain awareness of this genocide and other genocides that have occurred in world history, in order to prevent such crimes against humanity from happening again. Until such time that these crimes are investigated and prosecuted and there is accountability for these wartime atrocities, there will not be justice.
I ask all members of the House to stand in solidarity with the Tamil people for long-term peace, justice, accountability and reconciliation on the island of Sri Lanka.
CARDIOVASCULAR HEALTH
AND RIDE FOR HEART
EVENT
S. Bond: Did you know that every five minutes someone in Canada dies from heart disease, stroke or vascular cognitive impairment? Here in B.C. and across the country, Heart and Stroke is leading the fight to ensure that people have the information and support they need so that fewer people lose their lives or their quality of life as a result of heart disease or stroke.
Now, I’m sure that many members in this House have actually participated in the original Big Bike Ride to raise funds for heart and stroke. But like most things in our lives, as a result of COVID-19, this year’s Manulife Heart and Stroke Ride for Heart on June 6 will be very different. Teams are being asked to ride, walk or run a heart-shaped route and to be sure to do it safely. There’s even a Ride for Heart mobile app to help enhance your virtual experience. You can earn achievement badges and rewards and even create your own virtual heart map for event day. Everyone who participates becomes a partner by raising funds to support world-class research that will save lives right across Canada.
Team Bond will be doing their part again this year. We are very grateful for team captain Shawn Rice and his wife, Lisa, who are passionate about the ride because their son has had two open-heart surgeries. Our family has received a great deal of support from Heart and Stroke, and we will be participating again this year to show our gratitude for the care we received on Bill’s journey, with both heart and stroke. I am very proud of the dedicated team members who have ridden with us for many years. They are truly difference-makers.
I want to encourage all MLAs to consider getting involved in the virtual Ride for Heart. It is a chance to share your heart with thousands of other Canadians. It’s not too late to plan your own heart-shaped route and run, walk or ride to help beat heart disease and stroke.
POLITICAL STUDIES CLASS AT
BROOKSWOOD SECONDARY
SCHOOL
A. Mercier: Recently I had the opportunity to attend Katie Glover’s political studies class at Brookswood Secondary School in my constituency of Langley and speak to grade 11 and 12 students about politics and about government.
It’s the second time I’ve been to Ms. Glover’s class. The first was during the election, when she hosted an all-candidates forum for myself and my fellow candidates for the students ahead of the students’ vote. I remember thinking at that time, during the election, that the questions that were asked at that all-candidates forum were some of the best and most insightful questions that were put to me during the campaign.
This last visit lived up to that standard. I was asked great questions by a group of incredible students — Aarne, Jessie, Logan, Kaydence, Jorri, Emma, Bob and, of course, my friend from Twitter, River.
They asked, I think, questions that are on every young person’s mind. If you think back to being a student, the main preoccupation of most students is moving out of their parents’ house. They were concerned about housing affordability, the cost of rent, making sure there’s student housing, tuition. They were concerned, as young drivers, about gas prices. We had a great conversation about all of those things. They also asked me a question I get asked everywhere I go in Langley — and no, it’s not about my hair, although one student, Bob, did have some questions — about SkyTrain and how excited they are about the SkyTrain to Langley.
They also asked a host of insightful questions about what it means to be a public representative and the machinery of government. I think that is a testament to the leadership of Katie Glover and the work she is doing at Brookswood Secondary with those students. She is an example of civic leadership and community engagement for, I think, all of us.
I’d like to thank them for the invitation. It was nice of them to extend an invitation to a proud LSS grad, and I’m hoping they’ll invite me back.
CHILD CARE PROVIDERS
K. Kirkpatrick: May is Child Care Month, and tomorrow, May 20, is Child Care Provider Appreciation Day in British Columbia. Children are an integral part of society, and those who look after them are also an integral part of society. Child care providers, daycare operators, early childhood educators and other daycare workers play a crucial role in our children’s development. They help lay the foundation for education and discovery for the rest of a child’s life.
I’m going to borrow parts of a poem I found by Stephanie Staples called “A Tribute to Early Childhood Educators.”
Dear child care worker, forgive me. I’ve been very
neglect.
You see, I’m wrapped up in my own world, and it’s a bit of
a wreck.
Forgive me for grabbing my child and not stopping to
say
how many things I should thank you for each day.
For taking
my child, leaving me guilt-free,
for instilling the values that are
important to me.
For cleaning up spills and wiping up
messes,
for cleaning the boo-boos and bearing my stresses.
For
putting up with the sneezes, the dribbles and cries,
for staying
here late when I get stuck in traffic.
I know your job is quite
undervalued,
quite underappreciated and quite undersalaried.
My
only guess is you do what you do
for the love of the kids who also
love you.
Thank you for being my daily right arm
and keeping my
children away from all harm.
For caring and loving and sharing and
more.
For all that you do, I thank you some more.
So the poem is light, but the job is not. Investing in a system that values and supports its child care providers is critical to high quality and accessible child care systems. Caring for children can be exhausting as well as rewarding. But with many caring professions, we sometimes rely too heavily on a person’s altruistic commitment to their job.
I’d like to thank all of the dedicated people of British Columbia who are committed to the care and safety of our young people.
SURREY FOOD BANK
G. Begg: “We pride ourselves in supplying nutritious food in a respectful and dignified environment. In addition, we believe it is our responsibility to connect our clients to other community services as a means of helping them become self-sufficient. We take pride that we invite, inform, involve and inspire our community.”
That’s part of the vision statement of the Surrey Food Bank, which last week held their annual Breakfast with the Bank. It was an amazing success, with over $57,000 and counting raised. I, along with other supporters, joined virtually to celebrate, donate and to support this vital community organization that has served Surrey and North Delta for 38 years.
In June 1983, the Surrey Food Bank Society was formed and opened in a dilapidated building on what was then the King George Highway. The location and the society itself were seen as temporary measures that would only be required until the economy turned around and people could get back on their feet.
That temporary solution to a temporary problem has now grown to a 23,000-square-foot facility in Newton, three community depots, a fleet of five vehicles, three lift trucks, more than 200 active volunteers and a core staff of 15. The Surrey Food Bank currently distributes food to approximately 1,200 families each week and has expanded its reach by providing food and household items to the schools, shelters, missions and transition houses that are serving the vulnerable population.
This type of growth doesn’t happen overnight and certainly doesn’t happen without the support of a community that truly cares about its residents. It is clear that there is a crucial need for the Surrey Food Bank services, especially in these uncertain times. But it’s also clear that those who drive the organization, namely donors, staff and volunteers, are all committed to meeting this need. For that, I applaud and thank them.
Pope Francis said it best: “You pray for the hungry. Then you feed them. That’s the way prayer works.”
I know that every member in this House will join with me in acknowledging and celebrating the Surrey Food Bank for providing nourishing food for thriving communities free of poverty.
ROYAL CANADIAN MARINE
SEARCH AND
RESCUE
G. Kyllo: We all hope that we’ll never need to rely on them for their services, but we are sure glad that they’re there when we head out onto the water and an emergency arises. I’m talking, of course, about the Royal Canadian Marine Search and Rescue, RCMSAR.
On Shuswap Lake, RCMSAR 106, based out of my hometown of Sicamous, has been providing around-the-clock rescue services for nearly a decade. Since 2012, they have undertaken over 300 missions totalling over 851 hours, 731 training exercises and 299 classroom training sessions. In all, nearly 1,500 activities have been undertaken by RCMSAR volunteers, representing over 4,200 hours of selfless contribution to the region.
Station 106’s commitment to the Shuswap region also includes hosting school programs, boating safety displays and inspections, stocking life ring stations and manning the Shuswap’s Kids Don’t Float kiosks, which loan personal floatation devices to tourists and residents.
Out of all of these statistics, I think that the most impressive number by far is the 26,731 person-hours that station 106 volunteers have contributed to the Shuswap, exemplifying the amazing work and protective services our marine search and rescue operations offer to our region.
For those of us who do manage to get out onto the water this summer, please don’t forget that the water can be a dangerous and unpredictable place. Take the appropriate precautions, ensure you have the appropriate PFDs and safety equipment for all occupants, and practise good, safe boating sense at all times.
While I hope that I never require the assistance of the professional team of RCMSAR volunteers, it gives me great comfort to know that station 106 is always ready to search out and provide assistance to those in need, both those who are out on the water and to those many waterfront residences and communities around Shuswap Lake.
Please join me in thanking station leader Rob Sutherland and his incredible team at RCMSAR station 106 for their incredible work that they have done and continue to do each and every day.
Oral Questions
GOVERNMENT TRANSPARENCY
AND APPLICATION OF
FREEDOM-OF-INFORMATION LEGISLATION
S. Bond: The Premier and his government have a transparency problem. There was a buried report on long-term-care failures — COVID data that was hidden until it was leaked. The Premier has refused to provide a full public accounting for the delay in declaring COVID-19 outbreaks in long-term care.
Now we learn that his government is attempting to shroud a half-billion-dollar investment fund in secrecy. Yesterday the Jobs Minister refused to commit to subjecting the InBC Crown corporation to FOI legislation, so the pattern continues.
Will the Premier fix this obvious blunder, and direct his minister to include InBC in schedule 2 of the FOIPPA act?
Hon. J. Horgan: I thank the Leader of the Opposition for her question. Just before we give the field to the minister responsible, of course, this is a bill that’s before the House, normally not the subject of question period. But that’s fine.
I want to correct a couple of the points that the hon. member made. First and foremost, she talked about hiding reports. No such thing happened. A report was commissioned by the Ministry of Health, and when it was received by the minister, it was made public.
Secondly, when it comes to the issues of outbreaks in long-term-care facilities, I think the member has to remember that at that time…. As with all times over the past 15 months, we have been working with the public, working with families, working with public health officials, working with independent officers of the Legislature, working with people like Isobel Mackenzie to try and find that balance between compassion for those in long-term care who are looking at the latter days of their life, and their families who want to spend time with them.
At the very moment we were trying to put in place restrictions to protect and keep people well in long-term care, others were saying we needed to open up the doors so that families can spend quality time together. I agree with that. Everyone in this House would agree with that. But public health has to make those tough decisions. These were not decisions made by the minister. They were not decisions made by me. They were made by public health in the best interests of protecting our seniors and making sure that we kept the transmission of COVID-19 suppressed.
Mr. Speaker: The Leader of the Official Opposition on a supplemental.
S. Bond: Thank you for the Premier for getting up. But the fact of the matter is he carefully skipped over the fact that the report on long-term-care failures was actually buried, until the media pressured the minister to release it.
When it comes to decisions, a policy decision was made, and 192 people, after that decision was made, lost their lives. This government promised a review, and it’s up to the Premier to deliver so that those families have some degree of comfort.
I’m sure that the Premier is aware that the Information and Privacy Commissioner today not just wrote a letter but, in fact, did a media release about this government’s latest lack of transparency. It’s related directly to the minister’s refusal to make InBC subject to FOI legislation. So let’s be clear.
Mr. Speaker: Member.
S. Bond: The questions today are about a news release that was actually — and an unprecedented one….
Mr. Speaker: Member, we can only ask these kinds of questions in a general way. We can canvass it, but not in detail. We can’t have debate on the issue, which is already in front of the House.
I just advise you to be careful.
S. Bond: Thank you, hon. Speaker.
Let me refer directly, then, to the media release that my question relates to. In fact, the B.C. Information and Privacy Commissioner is urging the provincial government to do something very specific. In fact, it’s so that the minister responsible could actually do it this afternoon. It’s within her regulation-making authority.
Mr. Speaker: Again, Member….
I will caution members again that we’re getting into the details of the issue, which may be in the House later on. Okay?
S. Bond: Mr. Speaker, the question relates to a news release issued today.
The question goes to the Premier. Will the Premier commit to responding to the recommendation in the news release issued today, made by the Information and Privacy Commissioner?
Hon. R. Kahlon: The member may be aware, because she was in the House when they created the B.C. Immigrant Investment Fund. In fact, when they created the Immigrant Investment Fund, they decided not to put it under FOI regime. The member will also know that fund has about $180 million. Kensington Capital, in fact, notified the government at the time that this would have a chilling effect. The possibility of sensitive information being made public could have a chilling effect.
The government at the time decided that they were not going to put it under FOI, so the legislation in front of the House is a continuation of the immigration fund, to make it into the InBC corporation. The members can explain why, at that time, they chose not to include it in FOI. What we have done is we’ve engaged with the ministry….
Mr. Speaker: Let’s not go into details of the issue, Minister.
Hon. R. Kahlon: Okay.
T. Stone: Well, the questions that we are trying to canvass here relate to a very strong statement that was put out by the freedom-of-information and protection-of-privacy commissioner earlier today. He didn’t just write and release a public letter, but he actually put out a news release on this topic.
The reality of what we’re asking for here is: will the government ensure that, in the best interest of the taxpayers of British Columbia, the minister responsible for the Freedom of Information and Protection of Privacy Act uses her regulatory powers to add InBC to schedule 2 of the act? That’s the question.
Interjections.
Mr. Speaker: Members.
T. Stone: In the commissioner’s letter, in reference to statements that have been made by the Minister of Jobs and the minister responsible for FOIPPA, the commissioner says: “It would be no answer to say that FIPPA coverage is unnecessary because InBC will be required to release annual reports and will be subject to external reviews. Its annual reports are to be in a form and manner specified by the minister, and external reviews will occur only every five years.”
This is the important part. “These accountability mechanisms fall far short of what is needed and lack the ongoing transparency afforded through the access to information regime.”
The question to the Premier is: will he direct the minister responsible for the Freedom of Information Act to include InBC in the coverage that is afforded by the important transparency measures that are afforded through the Freedom of Information and Protection of Privacy Act?
Mr. Speaker: Again, Members, the Chair would like to caution that any discussion regarding the proposed amendment — the best place is at the committee stage, not in the question period. If ministers still wish to answer, be it.
P. Milobar: Mr. Speaker, with respect, we are asking the minister responsible for freedom of information about her regulatory powers.
Hon. J. Horgan: Rare is it that I take advice from the minister responsible for the triple-delete scandal on freedom of information and privacy, but I will say this. We take this very seriously on this side of the House. I am not aware of the comments from the freedom-of-information and privacy commissioner. I will take it up after question period.
I invite the Leader of the Opposition to sit down with me. We can have a full discussion about this issue while the bill that is in question is before the House.
Mr. Speaker: The member for Kamloops–South Thompson on a supplemental.
T. Stone: The government has a plan to risk half a billion dollars of taxpayers’ money through InBC. The B.C. Investment Management Corp., which manages hundreds of billions of dollars of assets, is covered under the Freedom of Information and Protection of Privacy Act.
The commissioner actually references that in his letter and his news release that he put out only hours ago today. He says, in closing: “I therefore urge the government to support the minister responsible in adding InBC as a public body under schedule 2 of FIPPA, using her regulation-making powers.”
Again to the Premier, will he commit today to the people of British Columbia that he will ensure that the transparency that they’re entitled to — not that the government feels may or may not be necessary but that the public is entitled to…? Will he direct the minister responsible to include InBC under the coverage of the Freedom of Information and Protection of Privacy Act and do so immediately?
Hon. J. Horgan: Again, I don’t know. I’ve not seen the document that’s being referred to. If the member is reading it all, not just every third word, then maybe there’s something to be said about it.
The challenge we have here, hon, Speaker, as you know full well….
Interjections.
Mr. Speaker: Members, let’s have some order, please.
Hon. J. Horgan: The challenge we have is that there is a bill before the House. That is a fact. It’s undeniable. The debate can take place, I believe, shortly after question period is terminated. That would be an ideal opportunity for the members to raise this question.
I have committed to the Leader of the Opposition to review the material from an independent officer of the Legislature and sit down with her and have a discussion about how best to manage the issue. If that’s going to wreck the question period for the Liberals today, I apologize for that. This is an issue that’s just come up. It’s before the House. I’m happy to talk about it after question period.
INTERNATIONAL ENERGY AGENCY REPORT
AND STATUS OF LNG
INDUSTRY
S. Furstenau: Yesterday the International Energy Agency released a report laying out the world’s energy road map to achieve net zero by 2050. This landmark report shows a clear decline in the North American natural gas industry. It says that private finance will now need to recognize that these heavily subsidized megaprojects are at risk of becoming stranded assets. Energy commentators are talking about the systemic risks, including stranded asset risk, of over-investment in gas.
We already knew that this government’s plan to give billions of dollars in subsidies to the fossil fuel industry is bad for the climate. The IEA report shows that it’s bad for our economy too. It is reckless for this government to invest billions in LNG, which clearly represents a serious climate and financial risk.
My question is to the Minister of Energy, Mines and Low Carbon Innovation. How does the minister justify spending billions of taxpayer dollars on LNG, which increasingly looks like it will become a stranded asset?
Hon. B. Ralston: Thank you to the Leader of the Third Party for her question.
The study came out, the International Energy Agency report, just yesterday. We will be reviewing how its key findings apply here in British Columbia. The report is focused on the global energy market, and it will take a little while to decide and analyze it as to how it applies in British Columbia.
We are committed, as a government, to strong climate action through CleanBC, which includes actions across sectors to reduce emissions and build a clean economy for everyone. We have ambitious targets, including an interim target and sectoral targets, and leading policies to help us make progress towards our goals to cut pollution and support people.
We are currently developing a road map to meet our greenhouse gas emission targets and put us on a path to meeting net zero by 2050, which will be released later this year. Emissions from LNG Canada’s first phase in B.C.’s natural gas production forecast is already accounted for in the greenhouse gas modelling for CleanBC.
Mr. Speaker: The Leader of the Third Party on a supplemental.
S. Furstenau: I’m increasingly feeling like we’re in an Orwellian universe here, where strong climate action from this government includes the largest point source of greenhouse gas emissions and a massive uptick in methane emissions from fracking in northeast B.C. Meanwhile, the rest of the world seems to be getting on board with net zero. We are going in the opposite direction.
The International Energy Agency is the most authoritative energy body in the world. This isn’t a report from an environmental group. This is not the Green Party that is saying this. IEA scenarios drive global investment strategies and government policy. They’re warning that there will be a deep decline in global demand for oil and gas and that we do not need any new LNG projects, including those that are already in construction.
They have killed the idea of LNG as a transition fuel, saying that countries must transition directly to clean energy. Yet against this backdrop, this NDP government is doubling down on fracking and LNG and pouring billions of dollars of taxpayer money into this folly.
My question, again, is to the Minister of Energy, Mines and Low Carbon Innovation. What will it take for this government to admit that they made the wrong gamble on LNG and to walk away from this environmentally and economically disastrous project?
Hon. B. Ralston: Thank you very much for the question. The report, which is a very comprehensive one, which is being digested globally, came as a bit of a surprise, I think, to many observers. Certainly, that’s the view in many of the financial papers around the world as they analyze this report.
We have a strong climate action plan, and we are pursuing it. Any decision to make further investments in the LNG sector is largely a private sector decision. The one project that’s proceeding, the LNG Canada project, is already accounted for in the greenhouse gas modelling for CleanBC.
That’s where the situation is in British Columbia. The private sector will make its own decisions and its own evaluation of that report. But here in British Columbia, any future LNG project that’s proposed must meet our four conditions. One of those conditions is fitting within our climate commitments.
COVID-19 RESPONSE FOR TOURISM
ATTRACTIONS AND COMMUNITY
EVENTS
C. Oakes: Well, after 15 months of waiting, the Premier has bungled it again. Another flashy announcement and more confusion. After 15 months of begging for help from the sector, the Premier promised to save major attractions.
But the fact is that it’s simply not enough — not enough to save attractions like the PNE, and no support for festivals, events and locations that don’t operate year-round, like Billy Barker Days or the Quesnel Rodeo. Regional factors that didn’t matter when it came to pandemic restrictions, now do matter for pandemic supports.
Why did the Premier draw an arbitrary line that says: “You are treated differently and only eligible for half the support simply based on your geography”?
Hon. M. Mark: I appreciate the question from the member opposite. Yesterday the Premier and I did respond with a significant investment, $50 million. It’s a grant. It’s not a loan. It’s not repayable. It’s a call to action from the sector.
The sector has told us that they can’t have large groups of people, large groups of visitors, going through their turnstiles to gather. This is has been a call to action from the sector. I mentioned it in my budget debates last week, that an announcement was coming this week.
This is good news. It’s a call to action. It’s being responsive to the needs, to help. Some in urban areas receive up to $1 million, half a million dollars in rural communities and up to half a million dollars for tour operators to help visitors to get to these destinations of choice.
I believe it’s a good-news announcement. The Premier and I stand behind this announcement, because it was a call to action from the sector who has told us what they need to sustain their tourist attractions once we get out of this pandemic.
Mr. Speaker: The member for Cariboo North on a supplemental.
C. Oakes: Let’s take, for example, one of the most iconic anchor properties in British Columbia. Barkerville attracts 70,000 visitors and represents $25 million in tourism activity. They face a nearly $700,000 shortfall but can’t access the full support simply because of where they are located. If Barkerville, Fort Steele or the B.C. Northern Exhibition were located in the Premier’s riding, they would be eligible for twice the support, not deemed second-class attractions under the Premier’s two-tier system of supports.
Why isn’t the Premier providing support based on what these attractions need to survive, instead of an arbitrary criteria and lines on a map?
Hon. M. Mark: I don’t really appreciate the member opposite’s innuendo around this being partisan. We’ve worked with the tourism industry. We’ve sought counsel on how to support the sector. We work closely with the sector. I know the members opposite kind of laugh at this idea of listening to the sector, but we’re listening and responding. Yesterday was the $50 million announcement to support sectors.
Now urban communities and urban attractions are going to have a higher threshold of visitors. In rural communities, they’re going to have a lower threshold. The urban is 75,000; the rural is 15,000. There is a consideration to acknowledge that all the money can’t go to the city, because then the members opposite would be complaining that this is all about the city.
We are taking a whole-of-government approach. We are supporting the provincial tourism ecosystem. I welcome the member opposite to encourage folks to apply. This is a grant. It’s not a loan. It’s to support these really vitally important attractions so that they’re there to welcome visitors when it’s safe to do so.
M. Lee: It took 15 months for this Premier to get his act together, but it’s not enough to make ends meet. The Premier has failed to meet the call to action and has clearly bungled it again. The PNE has been closed for two years. They lost $46 million in 2020 and will lose $40 million this year. The PNE urgently needs $8 million just to survive.
We’ve been asking this government to save the PNE for more than a year. Just last week in estimates, the Tourism Minister said she knew that the PNE had been deeply hit. But yesterday the Premier claimed he needed to “have a better understanding of the challenges that they face.”
Everyone knows the challenges they face. Will the Premier step up to provide the $8 million or not?
Hon. M. Mark: I appreciate the member opposite raising the question, considering that I know that he grew up in East Vancouver. I know how important the PNE has been to me and my family. I know how important it is to British Columbians. Yesterday we made an announcement to allow people like the PNE, organizations like the PNE, to apply for a million-dollar grant. This is to help provide relief.
I want to go back to the member opposite’s statements around the city of Vancouver. It is owned by the city. We are working with the city. We are working with the federal government. I’ve raised the issue numerous times with Minister Joly. The federal government’s budget announced relief for festivals. We just announced relief yesterday about supporting organizations like the PNE.
We’ve got to work together on this. Governments must come together to support the PNE. That is how government works. I appreciate that this is an iconic institution, the first job for many young people. It’s going to be there for generations to come, as long as we continue working together. But for right now, I would encourage the PNE to apply. This is the signal to them — when I met with the PNE last Friday.
Mr. Speaker: The member for Vancouver-Langara on a supplemental.
M. Lee: This government just can’t get it right. Even the mayor of Vancouver was shocked at how the NDP has bungled relief funding. This is what the mayor said: “I’m pretty gob-smacked about getting shafted over this…. The province decided to renege on the federal agreement.”
Now the mayor is saying the Premier has left the PNE “critically short of the funding they need to continue operating as we’ve known and loved for over a century.”
Will the Premier reconsider and provide urgent aid required, or will this beloved provincial institution in East Van have to close forever?
Hon. J. Horgan: I’m glad that the member from Vancouver did figure out that the ownership of the PNE resides in the city of Vancouver. They have a responsibility to work with other orders of government, the province and the federal government, to come up with a solution for the PNE, and that is in process.
We announced yesterday that our part as a first step is $1 million in grants. I’ve worked with the Prime Minister on other tourism-related issues in British Columbia. The city of Vancouver is going to have to step up a little bit here. The three orders of government will figure it out.
I have to say we’re going to figure it out with no help from the member on the other side, because he’s too focused on running for the leadership of a moribund political party.
T. Halford: Since the Premier is quick to get on his feet, maybe he can help us with this one. The Premier and this government does not consider major festivals like the Vaisakhi to be anchor attractions. Vaisakhi has been cancelled twice now. We all agree that we need to ensure that it comes back stronger than ever after this pandemic.
We have seen enormous support for this community. They’ve raised money. They’ve driven food banks. But now they need us. This government has again, as of yesterday, come up short.
My question to the Premier: why aren’t major events like Vaisakhi considered as anchor attractions?
Hon. R. Kahlon: I appreciate that they have a line of questioning today. I’ll encourage the member to maybe visit one of the gurdwaras, and he’ll learn that the Nagar Kirtan is not an event in that forum. It’s not a business operation. It’s not trying to make money. This is a religious…. I suggest they do their homework. I appreciate now they don’t have any members from the South Asian community in their caucus any more, so perhaps they don’t have that contact in the community.
But they should take an opportunity and learn about the religious significance of this event. They’ll find that the temples do this as a service to the community, not to make money, not to run a profitable business. Those temples will continue to do that important work.
I appreciate the question, but I think he needs to do a little more homework before he asks it.
T. Wat: The NDP MLA from Richmond continues to fail to advocate for the Richmond Night Market. I have repeatedly asked the Minister of Tourism about what supports anchor attractions like the Richmond Night Market could get. They are on the hook for over $585,000 in leases since they asked for help.
The minister kept on telling me to “stay tuned for an announcement.” Due to this Premier’s incompetence, he excluded festivals and events like the Night Market from the major anchor attractions program.
I hope the Premier can get up and respond to my following question. Why is the Premier denying support to festivals and events?
Hon. M. Mark: Yesterday we made a significant announcement: $50 million in grants — not loans — targeted to anchor attractions. In urban communities, in rural communities and for tour bus operators. This is a significant investment to support our tourism ecosystem.
There is relief through the tourism grant, the small and medium business grant that is available. It was a call to action from the Tourism Task Force for organizations to apply.
I’ve suggested to the member to encourage the night market to apply for the grant. That is what it’s available for. Yesterday’s targeted funds are to support those anchor attractions that rely on large groups of people and a turnstile to gather. I encourage our organizations to apply. That is what the announcement’s about. It’s about investing in the critically important tourism ecosystem.
I want to reiterate that the federal government announced, just one day before our budget, $200 million that is going to events and festivals, $200 million to community festivals. Those are investments that we’ve advocated for, and we’re going to do our level best — relentlessly, as advocates — to make sure that that money comes to British Columbia.
L. Doerkson: The Williams Lake Stampede listened intently to that announcement yesterday and felt that they don’t qualify, or at the very least, they were very confused.
In March, the Williams Lake Stampede announced that they would be cancelling their event for the second year in a row. This year would have marked 95 years for the world-famous Williams Lake Stampede. They contribute more than $3 million to the local community and to the economy of the Cariboo-Chilcotin. But apparently, unlike the PNE, they’re not able to get a single dollar from the major attractions program because they’re an event.
To the Premier, why are events like the Williams Lake Stampede left out of these funding opportunities?
Hon. M. Mark: Yesterday’s announcement was to invest in major anchor attractions. It’s a grant. It’s not a loan. We are going to continue doing our advocacy with the federal government to ensure that B.C. gets its fair share for events.
But I would encourage the member to work with his constituents to apply for this grant. We will do our level best on our side to ensure that we support these important institutions across the province. That is what our ministry’s mandate is to do.
We’re here to help. Work with me, Member. Knock on my door, and I will do my level best to support a lot of these institutions that are important to our ecosystem.
[End of question period.]
Tabling Documents
Hon. D. Eby: I have the honour to present the annual report for the office of the superintendent of professional governance for 2020-21 and the British Columbia Utilities Commission annual report for ’19-20.
Mr. Speaker: Attorney General will continue. You have another report?
Hon. D. Eby: Thank you, Mr. Speaker. I did them both in one very compact and efficient announcement there.
Hon. M. Farnworth: I rise to table a report. I have the honour to present the 2020 annual report for WorkSafeBC.
Orders of the Day
Hon. M. Farnworth: In this chamber, I call continued committee debate on Bill 13, Employment Standards Amendment Act.
In the Douglas Fir Room, I call Ministry of Education estimates.
In the Birch Room, I call continued estimates debate for the Ministry of Energy, Mines and Low Carbon Innovation.
Committee of the Whole House
BILL 13 — EMPLOYMENT STANDARDS
AMENDMENT ACT (No. 2), 2021
(continued)
The House in Committee of the Whole (Section B) on Bill 13; S. Chandra Herbert in the chair.
The committee met at 2:25 p.m.
On clause 2 (continued).
G. Kyllo: It is good to be back and to continue committee stage debate on Bill 13.
There’s a reference in section 2 that identifies under “a prescribed circumstance.” I just wonder if the minister can provide some clarity. I looked in the definitions of the Employment Standards Act, and the term “prescribed circumstance” does not seem to appear in the definition table at the front.
I’m just wondering if the minister could share with this House what the term “prescribed circumstance” references and how anyone would be able to determine what, specifically, a prescribed circumstance would be.
Hon. H. Bains: I think the member may remember that we passed a similar bill that deals with a vaccination leave of up to three hours.
What this means is calculating an employee’s wages. I think if you look at…. In that same section, it talks about how to calculate an employee’s wages so they reflect the money that person would lose when they take that day off.
Now, we tried to capture every possibility that is there in order to ensure that every worker will receive the wages that they are entitled to for the day that they take. But there may be circumstances….
It is in other parts of the legislation or the employment standards that I mentioned earlier. In the event that we missed out any real situation where an employee, based on the formula, may not receive the full wages and there is a dispute, then the regulations can be drafted to address that issue — for example, employees whose earnings fluctuate daily, weekly or monthly, such as a commissioned salesperson. A regulation could be considered that provides a formula that calculates an average day’s pay over a longer period of time.
It’s just to come up with a formula through regulation if the situation isn’t captured under our current situation. Then we could draw up a regulation to ensure that the worker doesn’t lose my money.
G. Kyllo: Specifically, the clause reads: “An employer must pay an employee in a prescribed circumstance who takes leave under subsection (1) (a) an amount in money equal to at least the amount calculated in accordance with the regulations.”
The term specifically, prescribed circumstance, is not included in the definitions under the current Employment Standards Act. Prescribed circumstance — I have no idea what that specifically references. The importance of a new piece of legislation, or bills before this House, is to provide certainty and specificity.
One more time to the minister: can the minister please provide some form of rationale or definition on what specifically a prescribed circumstance is or is not?
Hon. H. Bains: Let me try that one more time. I tried to make it clear.
First of all, this exact language exists elsewhere, in situations that are not contemplated at this time, in order to calculate someone’s salary to be paid in those circumstances. Now, the legal meaning behind it, I’m advised, is to be set up through regulations. So it is enabling language that in the event that specific regulations may not be contemplated at this time….
This enabling language will give the employment standards branch authority to come up with a formula to reflect the true salary or the wages of the person that we’re talking about in this bill for that particular day.
G. Kyllo: Well, that provides absolutely no clarity whatsoever. There is no clarity with respect to section 2, with respect to the number of days of sick pay that workers may be eligible for when the permanent sick pay legislation comes into place, which we have identified. The self-identified date for implementation, as imposed by this government, is January 1, 2022.
So there is no certainty around the number of days. There is no certainty — and certainly no certainty for businesses — with respect to the amount of pay that would be required to be paid. There is no indication whatsoever with respect to whether the full costs will be straight onto the backs of already struggling B.C. employers, or if government will provide any assistance with a sick-pay policy that is yet to be developed.
Now, when it comes to the terminology with respect to how government is going to determine what that pay rate is, yet again, there is no clarity with respect to this legislation.
Mr. Chair, with all due respect to the minister, I, and I think, many businesses across the province are increasingly concerned of the lack of information that is actually pertaining within section 2.
It’s certainly not lost on myself or employers around the province that even five days of paid sick leave is the equivalent of about 2 percent pay. We all, I think, recognize that holiday pay in this province at 4 percent equals two weeks — the average employee in the province works about 50 weeks. So 4 percent of 50 is 2. Two weeks — 4 percent. There is certainly the potential…. And I know that the minister has indicated: “Hey, trust us. We’re going to go out and consult with the business community and just leave it to the Premier and the cabinet to make the determination on what businesses will actually have to pay and what the cost burden that will be transferred onto employers will be down the road some time.”
Mr. Chair, businesses require certainty. Many business organizations around the province have indicated, especially in light of COVID: “Do no further harm.” Do no more harm. But nothing could be further from the truth. Even the temporary paid sick leave provisions under this legislation will put considerable cost burden on the backs of B.C. businesses.
The minister has actually agreed with that comment. Any employer that’s paying an employee over the $200 a day of the additional cost of paid sick leave will be borne by the employer. I tried two days ago to ask specific questions of this minister with respect to additional cost burden that will be transferred through this legislation onto the backs of already struggling B.C. businesses — if those costs will be reimbursed, or any portion of, for a business that already has a partial paid sick leave program? And the minister refused to answer.
The specific example I gave was a small clothing shop that has had their revenues decline by over 45 percent. They have consumed all of their life savings to try and keep the business afloat. They have a paid sick leave program available for full-time, year-round employees. They do not have a program that currently provides sick pay for their part-time employees. But this particular business that I referenced a few short days ago, where they have two permanent full-time employees and seven part-time employees, the additional cost burden by that business for those additional seven employees could equate to as many as 21 days, even under the temporary provisions of this program.
When I asked the minister if he could provide some clarity, some certainty for B.C. businesses that are already struggling — if the reimbursement program would provide extended coverage to businesses for the additional cost burden that these businesses will now incur on account of this new legislation — the minister refused to answer that.
It is absolutely paramount that in this chamber, in this House, when government has the opportunity to provide clarity and confirmation to businesses with the specificity with respect to what they’re proposing…. But clause 2 gives government free rein to do whatever they choose. Whatever they choose. That is scary.
There are specific provisions that do not allow government to set tax policy through regulation. If government chose to increase the provincial sales tax by 1 percent, they are forced and obligated to come to this chamber, which allows the scrutiny of this House, allows opposition members the opportunity, in the people’s House, to ask specific questions about the true impact — what data has been derived, what the potential costs may be.
But when it comes to the opportunity for government to put upwards of $2 billion to $4 billion of additional tax burden on the backs of B.C. employers, they choose to throw their hands up in the air and say: “Hey, it’s all good. Don’t worry. We’re going to consult the Premier and his cabinet. We’ll sit around a cabinet table and make our own determination about the success or failure of many businesses, going forward.”
It has been shared in this House that 8,000 B.C. businesses have closed and shuttered their doors on account of COVID. There are an additional 25,000 businesses, representing 300,000 workers, that are at risk of closure. In a time of a pandemic, when businesses are struggling and businesses look to their government for support, direction and clarity with respect to cost impositions that government is giving consideration to, this is the way this government responds? “Nothing to see here, folks. We’ll figure it out.”
Businesses don’t know how many days. They don’t know the percentage of costs that they will bear. There’s no certainty for those businesses. In my view, that is absolutely offensive.
This piece of legislation, the minister has indicated, has been in the works for 15 months — 15 months. As recently as last May, when WorkSafeBC came out with clear direction to businesses around a COVID safety plan, government was fully aware that there was a need to provide interim protection for workers. The minister has said repeatedly how workers should not have to choose between a paycheque or potentially going to work sick. And for 15 months, what did this government do? Zero. Nada. Nothing. Not a thing. They knew there was a problem. They had the financial ability to act, and they did nothing, absolutely nothing.
I know it’s not just businesses that are concerned. Workers across the province are concerned about the delay and the stalling of this government and moving forward with the provisions, even of the temporary provision, of this legislation, which provides partial funding for sick pay for workers for up to three days between now and the end of this year.
This legislation was so rushed out the door that there has been no real, solid consideration of the true impacts. I raised in this House, just two days ago, the inequity that exists within this legislation. The legislation that is put before this House identifies that the three days of paid sick leave is available to both part- and full-time employees.
When I asked and canvassed the question of this minister if it was the intention of the minister to create an inequity by providing the opportunity for a part-time employee that works for three different employers to be eligible for three days from each of those three employers, for a total of nine days — if it was the intention of this minister to provide nine days of paid sick leave for an employee working three jobs, yet only three days for an employee that has full-time employment with a single employer — the minister refused to answer.
When I provided the minister with the opportunity to provide further clarity to this bill, to provide an annualized cap between now and the end of the year, which would provide equity — clarify the fact that, whether you’re a part-time employee or a full-time employee, each of those employees would be only entitled to three days of paid sick leave under the provisions of this bill — the minister refused to take that initiative.
The provisions of this bill create not just inequity; it’s discriminatory. A full-time employee is only entitled to three days where a part-time employee, working for two employers, is entitled to six. A part-time employee that might provide part-time services to three businesses is entitled to nine.
I fail to understand how this government, this minister, with the support of 30,000 paid bureaucrats that I know are intelligent, that are able to provide the level of detail and information…. I can’t for the life of me believe for a second that this minister actually relied on many of the services that are available to government — Treasury Board analysts or otherwise.
This bill appears to be thrown together on the back of napkin. It creates inequity and certainly no clarity, no certainty for businesses. That causes me great concern. Under this government, we have seen the competitiveness of B.C. businesses continue to erode.
I’ve shared in this House the corporate income tax rate in B.C. is now 50 percent higher than our neighbouring jurisdiction of Alberta. In Alberta, it is 8; in B.C., it is 12. That is just the provincial portion. Now, people listening from home might think: “Ah, 4 percent is not a lot.” Most businesses operate on the anticipation of net profits between 4 and 7 percent. Yet this government chooses to have a corporate tax rate that is a full 50 percent higher than our neighbouring jurisdiction of Alberta. Since coming into power, they put an additional $1.9 billion of new taxation on the backs of B.C. businesses, through employer health tax.
I agree with and support the need to provide sick pay for workers across the province. However, the manner in which it’s being undertaken by this secretive and backroom-dealing government causes many extreme amounts of concern. I just don’t know where to start. It is extremely, extremely unfortunate that we are at this juncture at this time.
Government is currently sitting on a $3.1 billion COVID surplus. That’s $3,100 million. The minister, in his own estimation, estimates the cost of this temporary program at $320 million. That’s barely over 10 percent of their COVID recovery. Government could do more. Government can do more. They have the opportunity to do more. They certainly had the opportunity to act many months prior to now.
When posed with the opportunity to provide a temporary paid sick leave program in the summer, we didn’t see anything. When provided with the opportunity to bring something forward in the fall in the typical fall legislative session, nope. What did government do? Called a pandemic election. Put their own self-serving political interests ahead of the health and well-being of British Columbians. And when we reconvened the Legislature in December, a bill as simplistic as this — nope, we didn’t see it then.
Then when we sat for the second sitting of the 42nd parliament on March 1, where was this piece of legislation? Nowhere to be seen. And we sat, and we waited in March and in April. Not until May, two months into the sitting of this Legislature, do we finally see this ramshackle bill that creates inequities within it.
I am extremely concerned with where this government is going. The Retail Council of Canada — I’ve seen a letter that was just penned today — raised many of the same concerns that I raised with the minister in this House, seeking clarity, seeking some form of confirmation from this minister that as they look to develop the reimbursement program — to provide those additional supports for small businesses that will bear a significant cost burden in association with this legislation. But what did we hear from this minister, who had an opportunity to provide some clarity, some confirmation to businesses? Crickets. I am extremely, extremely concerned.
Back to the question that I had posed. Can the minister please provide a bit of clarity with respect to who will actually identify and determine what the definition of “prescribed circumstance” will actually entail?
Hon. H. Bains: I could answer his rant with another rant. A nonsensical speech that he made, not backed up by facts and full of errors. It’s such a level that I will not go there, in order to respond to the way he was ranting.
But I will try to do this again. Let me read it to the member once again so that he will understand. Subsection 49.1(4) allows for regulations to cover employees for whom the formula for permanent paid leave, basic leave, in subsection 49.1(3) does not fairly represent an average day’s pay. Okay?
A similar provision is included in the Employment Standards Act for paid domestic or sexual violence leave and is also set out in section 3 of this bill, regarding paid COVID-19 sick leave. For domestic and sexual violence leave, no regulations have been enacted to date.
So it is just to cover a scenario, a situation, that may have been missed — how to calculate someone’s wages so that we could, through OIC, come up with a regulation to reflect the true loss of wages or calculate the true wages for that day for that employee, to be fair to the employer and to be fair to the employee. It is in the Employment Standards Act, in other parts of it.
We had that debate before when we were debating those bills here in this House not that long ago. Obviously, the member is likely to just drag it out with the speech that he made a little earlier without any sensible questions. That’s his prerogative.
I think what is offensive…. He talked about…. The offence is to the employer who is looking at a situation where when one of their employees is sick and would be able to afford to stay home so that they don’t bring the illness to work and help transmit the virus in the workplace.
It will help to keep those operations open, and it will help to keep those workers healthy. That’s the purpose behind it. I think it’s in line with our focus all along and ever since this pandemic hit us — to make sure we keep our population healthy, to make sure we keep our workplaces healthy and safe and to make sure our workers are safe in the workplace. It’s in that spirit that this bill is here.
Workers all across Canada are asking for action. We have been working for the last 14 months. We worked with the federal government and took a number of initiatives on our own to help the workers, to fill the gaps and to help the employers at the same time.
If he’s really looking for meaning…. We’re not reinventing the wheel here today. It is already there. This language already exists in the employment standards. All this member has to do is a little bit more homework. They’ve got a research department downstairs. If he doesn’t know how to do it, he could just go there and ask them. They’ll tell him that this language exists all over in the employment standards.
I tried to do the best I can to explain to the member. I will try to continue to answer the questions that the member wishes to have, but I will not match his political rhetoric with political rhetoric.
The Chair: Shall clause 2 pass?
Division has been called on clause 2. There will be a vote on that tonight pursuant to the sessional orders. Tonight is Wednesday. So that means it’ll take place around 6:30.
Thank you, Members, on clause 2.
Shall the title pass?
Interjection.
The Chair: We will deal with the title after we deal with clause 2. Of course, that’s appropriate.
Thank you to our Clerk’s staff for that.
Hon. H. Bains: I move that the committee rise, report progress and ask leave to sit again.
Motion approved.
The committee rose at 2:58 p.m.
The House resumed; Mr. Speaker in the chair.
Committee of the Whole (Section B), having reported progress, was granted leave to sit again.
Hon. R. Kahlon: I call the committee on Bill 5.
Committee of the Whole House
BILL 5 — InBC INVESTMENT CORP. ACT
(continued)
The House in Committee of the Whole (Section B) on Bill 5; S. Chandra Herbert in the chair.
The committee met at 3 p.m.
The Chair: Thank you, Members and Ministers. I would like to call a short five-minute recess so that we can prepare for the next bill.
The committee recessed from 3:01 p.m. to 3:08 p.m.
[S. Chandra Herbert in the chair.]
On clause 7.
T. Stone: I wanted to ask one question here in this section, and then we’ll be able to move on. I’m wondering if the minister could confirm that the board of directors positions, which he has announced…. Were those positions actually posted on the board resourcing office website, which is typically standard practice?
Hon. R. Kahlon: Yeah, I think we canvassed this yesterday. The BRDO has a standard process, which is that anyone can apply, and even apply and say that they want to apply for a specific board. Anyone can apply for any position, obviously, and people can post their résumés as per the CABRO process, and that’s the process that was used here.
T. Stone: I think the question that I’m trying to get at is…. I’m well aware people can just proactively submit a résumé and reach out to the BRDO office. But the board resourcing and development office also posts…. It’s a typical practice that they actually post descriptions of vacant positions or positions that the government will be looking to fill.
So my question is: did the ministry actually have a posting, irrespective of whether people proactively applied for a director position with InBC? Did the government actually have a posting for these director positions up on the BRDO website? And related to that, was there any competitive process whatsoever insofar as going out there to try and find the best people possible for these positions?
Hon. R. Kahlon: My answer is still the same, which is: we followed the standard BRDO process, which is that people can apply. My assumption is that BRDO went out and actually found people. In fact, they must have, because many of these board members I’ve never met with and don’t know them. But their résumés are quite impressive.
As the member will know, they often do the work of searching for people with these unique skill sets to serve on the board, and that’s what’s happened here.
Clauses 7 to 10 inclusive approved.
On clause 11.
T. Stone: This is the section that deals with the duties and powers of the board, so I’m just wondering what type of influence the board will have over investment policies. I think that’s a pretty critical piece that British Columbians, I think, would like the minister to walk through. As part of that, can a board terminate the CIO’s employment?
Hon. R. Kahlon: I’ll go backwards with the questions from the hon. member. The CEO, with consultation of the board, can terminate the chief investment officer. The CEO, with consultation of the board, can hire a chief investment officer. But it’s done through the CEO so that the board doesn’t have to directly speak with the CIO.
The question the member had around the role of the board…. The board has responsibility of selecting and approving a CEO and a CIO and monitoring performance accountabilities, reviewing and approving annual corporate financial statements, having oversight of policies that relate to InBC’s mandate and holding the executive to account for their accountabilities with respect to InBC’s mandate, oversight of InBC’s operation, and selection and appointment of InBC’s auditor.
T. Stone: Well, if the board can provide advice to the CEO, who has the rights to hire and fire the chief investment officer, that means that the board actually can exert some influence. We have asked many questions and had lots of discussion around the minister’s assertion that there is true independence at play here. I would suggest this is another example of that not being the case.
The board, which we canvassed yesterday, has a majority of people on it that are aligned with this government, and they actually will have the ability to influence the selection of the chief investment officer and that person’s termination. So I would suggest that that doesn’t qualify to the standard of independence, certainly not that’s been put out there.
The minister can respond to that if he wants, but I don’t have any further questions on this section. I’m ready to move on to the next one.
Hon. R. Kahlon: I’d just say that, of course, I disagree with the assessment from the hon. member. Again, as per our conversation yesterday, all the board of directors…. Certainly, we highlighted the two deputy ministers who served the people of British Columbia for over 20 years in different governments. Some of them worked with the hon. member asking the question. We have a CEO that’s the chair of the largest credit union in North America and one of the largest credit unions in the world, who has incredible impact investment experience.
We’re proud of the board, and we do think that they will do a good job of ensuring the accountability. But again, there is independence from the board, from the chief investment officer, for making decisions.
Clause 11 approved.
On clause 12.
T. Stone: Clause 12 deals with board remuneration. I’m wondering if the minister could advise the House how much each board member will be paid on an annual basis. What would the total compensation be for the board on an annual basis? And thirdly, and importantly, with respect to one of the board members, Carole James….
Unless this is no longer the case, and the minister can indicate as such, my understanding is that she’s acting as an adviser to the Premier, the Premier’s office, at the cost of $1 per year.
I think it’s a relevant question here to ask: will Ms. James be compensated as per all other directors? What’s the total compensation for each director — total compensation for the entire board of directors together? Is Carole James still at the $1 per year that she had signed on with the Premier’s office, or is she going to be paid as all other directors are paid?
Hon. R. Kahlon: The provincial Crown corporation board remuneration levels are prescribed by Treasury Board directive. Remuneration levels for each Crown are assessed against these directives and authorized by the government’s appointee remuneration committee, which is chaired by the Minister of Finance.
The board members from outside the public service will be remunerated for their service. The board chair receives $30,000 a year, and the directors, except for the two public service employees, will receive a retainer of $15,000 a year. The board chair and directors will receive meeting fees for full-day meetings if they have full-day meetings.
The question around Carole James. I don’t see why she wouldn’t be remunerated for the work that she does for this agency. I’m not directly sure of where he’s going with that question, but she is a board member and will be receiving the fees.
Clauses 12 and 13 approved.
On clause 14.
T. Stone: The question I have on clause 14 is this. In acting in the interests of the corporation, are directors bound by government policy, as laid out in section 4? If a government-policy-related investment is not in the best interest of taxpayers or the corporation, are directors bound by a government policy that would urge them to act otherwise?
Hon. R. Kahlon: Section 4, which we canvassed yesterday, clearly sets out the purpose of the corporation. Obviously, the section that we’re on now is about the duties of the officers: “(a) act honestly and in good faith, with a view to the best interests of the corporation; (b) exercise the care, diligence and skill that a reasonably prudent individual would exercise in comparable circumstances, and (c) act in accordance with this act and the regulations.”
Clause 14 approved.
On clause 15.
T. Stone: I would like to ask a few questions about the chief executive officer that’s contemplated in this section. I would like to know first if a CEO has been chosen yet. Secondly, can the CEO and the CIO be the same person? That has been the case in other investment companies that I’m aware of. It doesn’t happen very often, but I would like to know what the government’s plans are around that — if there is a hard line that that cannot be the case.
How much will the CEO of InBC be paid? What does the minister believe the total compensation will be for the CEO of InBC?
Hon. R. Kahlon: So three questions there. I can confirm that the search for a permanent CEO has not started yet, so no CEO has been chosen. No, the CEO and the CIO can’t be the same person as the structure is laid out here. And currently, the work around compensation for a CEO and a CIO is still under development. We don’t have all those things finalized yet.
T. Stone: In response to the minister’s response, I would ask this: has the minister got any sense of a timeline as to when the CEO search would begin? Much has been made about a $500 million fund here that the government says it intends to see deployed as quickly as possible. If the CEO can’t be the same person as the CIO…. I mean, the organization can’t function without that chief executive in place, as per the minister’s previous response.
So when is that search going to begin, and what is the timeline that the minister has in mind for the actual selection and announcement of a chief executive officer?
I have one more question after that.
Hon. R. Kahlon: An RFQ process has begun. There are four executive search firms that have been sourced to help find the potential CEO.
T. Stone: In a previous response, the minister indicated that he wasn’t available at this time to provide any details on the compensation level for the chief executive officer and that that work is under development, I believe were his words.
[N. Letnick in the chair.]
I just want to know how the minister squares that with the service plan, which actually does provide for a line item called salaries and benefits for InBC. This is page 13 of the service plan. Presumably, we’re talking about a cumulative expenditure of the CEO compensation costs, the CIO and whatever team of supporting individuals there are in InBC. But we’re talking about how the service plan lays out $1.5 million for the ’21-22 fiscal year; $3.37 million for the ’22-23 fiscal year and then $3.98 million for ’23-24. So it’s actually a cumulative cost of $8.88 million over those three fiscal years.
Having been to Treasury Board many times in my career, previously, in government, and understanding how these service plans work, these numbers weren’t pulled out of thin air. They’re not rolled-up numbers that might suggest that they’re estimates. They’re very specific numbers, so that would tell me that the ministry actually has done some work to provide an allocation, a number that it believes is a reasonable cost estimate for salaries and benefits.
Again, with that context in mind, I’d ask the minister to please share with us what he contemplates the compensation to be for the chief executive officer of this corporation.
Hon. R. Kahlon: The member referenced the service plan, page 13. That reflects the staffing costs over a three-year period. It’s a broad-brush estimate of those costs. The compensation plan is still under development.
T. Stone: Broad-brush. Again, I think this is another reason that we would be concerned that the government is moving forward with this $500 million risky investment fund scheme — that they can’t even, to this point, provide a clear statement of numbers in the service plan for InBC. These are very specific numbers that are contemplated here.
Is the minister not prepared today to provide us with the component of the salaries and benefits line item for each of the three fiscal years as noted on page 13 of his service plan or the service plan he’s responsible for at InBC.? Is he not prepared to break out for us today what component portion of the salaries and benefits line item for each of those three fiscal years relates to the compensation of the chief executive officer?
Hon. R. Kahlon: In terms of pay, we’re working with an external HR consultant to develop the compensation plan that will balance, obviously, attracting a strong, qualified candidate with the principles of public sector compensation. I’ll say that it’s vital that we secure the right talent for InBC. InBC executive salaries will be publicly reported on an annual basis, consistent with Crown corporations, to disclose their salaries.
Clause 15 approved.
On clause 16.
T. Stone: Clause 16 deals with the chief investment officer, arguably the most important individual that will be associated with InBC.
Again, similar to the questions I just asked about the chief executive officer, I’m just wondering if the minister could confirm whether or not a chief investment officer has been selected or if there is a search process underway for that position.
If a search process hasn’t initiated, as per his comments on the CEO position, for the CIO, would he please advise when the search process for the CIO position is set to start. How much will the CIO be paid at InBC?
Hon. R. Kahlon: No, the chief investment officer has not been hired. The HR consultants that we will bring in will run a parallel search for talent.
Then the last question the member had was…. Again, InBC executive salaries will be publicly reported on an annual basis, consistent with how other Crown corporations disclose their salaries.
Clauses 16 and 17 approved.
On clause 18.
T. Stone: The minister has said in comments: “For example, if someone sitting on the InBC board of directors came across a good investment opportunity and they wanted the chief investment officer to consider it, that director cannot call them up and ask them to look at it.”
I’m well aware that this section provides for there being no direction provided to the chief investment officer. But I’m wondering if the minister could point to where in section 18 it actually forbids suggestions.
Before I’m accused of splitting hairs here, there is a big difference between directing someone to do something, especially if you’re on the board of directors or you’re the CEO…. I understand the minister’s comments around…. Independence is provided for here because no one can direct the chief investment officer to do one thing over the other. What’s preventing, in this section or anywhere else in this bill, anyone from making suggestions to the chief investment officer?
Hon. R. Kahlon: There will be a single stream, a single process for any business that’s looking for investment. There will be clear directions on the website of the process. So there will be no special entries. It’ll be one process set out, and everyone is required to follow that one process.
T. Stone: Well, with all due respect, I’m not referring to the formal process, which the minister has referenced a number of times now. And fair enough. There’s a process, presumably, for companies that are seeking investment through InBC to submit their requests or applications for consideration for investment. What I’m talking about is that this section specifically uses the phrase “not subject to direction.” It uses that phrase in three different places in subsection (2) and subsection (3). It does not provide for, anywhere in this section or anywhere in the bill, any protection from other types of interactions which this chief investment officer might have.
I think it’s a fair question — not the formal application process, but where influence will take place. If it takes place, its going to be around the water cooler. It’s going to be over…. When we can get back to having meals with each other, it’ll be in a restaurant during lunch. It won’t be documented in a formal application process.
Again, where in this section, and if not in this section, where in the bill, does that independence that the minister speaks about actually exist? Again, I’m talking about that…. For the minister to essentially say, “Well” — wink, wink — “there’s not going to be any influence here because it’s going to be done all through an application process,” I think is a pretty weak response here. This, to me, seems to be a significant hole, a significant flaw in this legislation that cuts right to the core of what we’ve been saying around independence — independence of investment decisions.
Again to the minister, where in this section or elsewhere in the bill is there protection against the chief investment officer being influenced through suggestions and conversation and whatnot? How is that prevented from happening?
Hon. R. Kahlon: I’ll say to the member that people will need to be extremely careful. Within the legislation, on section 18(3), it says: “For certainty, in making investment decisions on behalf of the corporation, the chief investment officer and an external fund manager are not subject to direction from any of the following: (a) the government; (b) a minister; (c) the board or a director; (d) the chief executive officer; (e) any other public officer.”
At any point, the chief investment officer can point to this specific legislation as proof of their independence. Again, the people we have on the board are of the highest integrity. We expect them to live by the rules within the legislation.
T. Stone: Well, I don’t share the minister’s enthusiasm for the independence which he is suggesting is in place here. I don’t believe the independence is there.
There are a myriad of other words that could have been chosen for this section, but they went with the word “direction.” Direction is a very deliberative act. There is no provision here for the wink, wink and nudge, nudge that takes place at water coolers or at lunches and that goes undocumented.
Furthermore — I’ll deal with it at this point instead of later on — section 29 of this act, which deals with the Offence Act, basically says: “Section 5 of the Offence Act does not apply to this Act or the regulations.” That would tell me that there are actually no penalties for any contravention of this investment independence that is addressed in section 18.
Could the minister, in light of the fact that there appear to be no penalties…? The Offence Act doesn’t apply. He’s opted to go with the word “direction,” which is very deliberative. It doesn’t capture those more casual interactions.
When there are no penalties and there’s no provision in this section for those other types of interactions from taking place, how are British Columbians supposed to believe that this corporation is truly going to operate in an independent fashion, with independent investment decisions being made, independent of influence from the board of directors and others?
Hon. R. Kahlon: Wink, wink, nudge, nudge. I think the member, maybe offline, has to explain to me what he means by wink, wink, nudge, nudge.
What I will say is that we did an extensive market sounding. In the market sounding, the CPPIB and the BCIMC both recommended this type of structure and to put it in legislation in this clear way so the chief investment officer has the certainty that they have that independence. A chief investment officer, at any point, can point to legislation — that it’s in legislation that they have that independence and clearly in writing for all the officials that cannot give any direction to a chief investment officer.
S. Furstenau: This clause talks about independence, and I think the official opposition critic has asked a number of questions on that. But what I’m wondering about is just clarifying of the reporting structure generally.
So the chief investment officer is independent from direction from the board. But who is this person accountable to? How are they held to account for investment decisions? And what is that structure of accountability in this legislation?
Hon. R. Kahlon: The chief investment officer is responsible for carrying out all the duties related to the management of the funds and overseeing the work of the investment team. Now, while the chief investment officer is independent in investment decision-making, the chief investment officer is accountable to the board for compliance with the requirements of both the mandate letter direction, provided by the government, and the investment policy statement.
The investment policy statement will be developed by the board in collaboration with the chief investment officer. It will serve as an accountability document for the board to hold the chief investment officer responsible for the chief investment officer’s execution of the investment policy.
S. Furstenau: Just some clarity on that. Is that typical that an officer and a board would work together to decide on the accountability of the officer? I’m thinking about local government — for example, a board and a chief administrative officer. That seems a bit unusual. Is that a typical approach to accountability structures?
Hon. R. Kahlon: Through the market sounding, this was suggested to us — that it’s typical for a chief investment officer to be engaged in the investment policy which, ultimately, they will be held accountable on.
Clause 18 approved.
On clause 19.
T. Stone: On section 19 here, I wanted to ask this. When the government launched InBC, it made some very strong statements — and has continued to this day — relating to InBC having “the highest standards of transparency and accountability to the public.”
With that in mind, I would like to know if the minister is going to ensure that the business plan that was developed and that led to the decision to move forward with InBC, the business plan that really speaks to the operations and the expectations of this corporation…. Will he make that business plan available to the public?
Hon. R. Kahlon: Over the last few days, we’ve been consulting with staff on the process to make the business plan available. That work is ongoing, and my hope is that sometime in the near future, we will make that plan available.
T. Stone: Can the minister be a bit more precise than that he’s hopeful that at some point in the future he can make this plan available? I think there is a public expectation that naturally flows from a government decision to invest $500 million of public funds into what, by the government’s own admission in their service plan, will be very high-risk venture capital investments. I think there’s an expectation from the public that the business plan that underpins the decision to move forward with this scheme will be made available and made available soon.
I’d ask the minister again: if he truly believes what the marketing material wrapped around the announcement on this said — that InBC will have the highest standards of transparency and accountability — when will the public of British Columbia be able to access an unredacted version of InBC’s business plan?
Hon. R. Kahlon: I think it would be important to note here that when the official opposition were in government, and they had a tech fund — $100 million — no business plan was released. In fact, we couldn’t get any answers on where the investments were going. The now Attorney General had to go through estimates several times to try to get answers on where investments were going, to whom, which companies were benefiting from that. We were not given any answers.
Multiple transparency measures are put in place with this legislation — yearly reporting, annual reporting, five-year audits — so that the public has a sense and understanding of where these investments are going. That being said, the member also knows that there is a process, when this type of disclosure happens, for reviewing documents prior to disclosure. That work of proactively releasing that is ongoing, and there’ll be more on that in the near future.
S. Furstenau: I’m listening to this exchange with some interest, but just noting that it is disappointing to hear a minister try to suggest that because a previous government behaved in a certain way…. That doesn’t preclude better transparency and accountability from his government.
I think that always striving to be more transparent and accountable, particularly when it comes to half a billion dollars, is something that we should be hoping and expecting to see from this government and indeed from any government in this place. I just find the rhetoric around using past practices of the opposition, when they were in government, as a way to deflect from a legitimate question from the critic, about transparency, doesn’t build the kind of confidence that we want to have in government, their actions and activities. I hope that this minister actually will commit to the highest level of transparency and to releasing the business plan, as has been suggested by the official opposition critic.
Hon. R. Kahlon: Maybe I didn’t articulate my answer clearly enough. I was highlighting to the hon. member from the opposition that they also had a tech fund which had no public accountability, had no transparency on where the investments were going, who the investments were going to. The Attorney General questioned them several times to try to find that answer, to no avail.
I was just highlighting to the member the different approach we’re taking here. In legislation, InBC will be required, yearly, to put out a report; will be required, every five years, to have an independent audit, which will be made public. Everything will be made public here in this Legislature, and I confirm that we’re going through the process right now on a proactive disclosure of the business plan. It’ll be coming in the coming weeks.
With all respect to the member and the Leader of the Third Party, I was just articulating that we are building in transparency, and we do aim to be much more transparent than perhaps this chamber has seen in the past.
Clauses 19 and 20 approved.
On clause 21.
T. Stone: I could have picked, I guess, any section to ask this next series of questions, so there’s no particular rhyme or reason for this one. The minister has talked at great length about the transparency and accountability of this corporation and that that will be are reinforced and underpinned with independent investment decisions. I think we’ve canvassed that in debate yesterday and today. As the official opposition, we have some very serious reservations around just how independent those investment decisions are going to be.
This relationship between the chief investment officer and the board of directors is not clear and, we believe, affords a tremendous amount of opportunity for undue influence and lack of independence. The minister keeps pointing back to requirements for annual reports and for a review. The first big, independent review won’t be done for five years — conveniently after the next provincial election. All of this we take great issue with and, we think, is far from the highest standards of transparency and accountability that you can get.
It’s not just our sense on this that there are glaring holes in terms of accountability and transparency. The freedom-of-information and protection-of-privacy commissioner wrote a letter that was delivered to the minister and his colleague the Minister of Citizens’ Services. The letter was written and delivered today. It was accompanied by a news release that was published by the commissioner’s office.
The letter is quite pointed, and it’s very clear as to how the commissioner feels about InBC and the lack of accountability that’s built in or lack of transparency that’s been built in, insofar as this government’s decision not to make InBC applicable to the requirements in the Freedom of Information and Protection of Privacy Act.
The minister said, in answer to several questions yesterday — I’ll just quote one of them; there were several questions on this topic: “In the legislation, there are many pieces that are important for transparency. Every year a report has to be made public, here at the Legislature, on the investments being made…. Every five years an independent audit needs to be done.”
We get that. But the commissioner, in his letter, again, dated today, says this: “It would be no answer to say that FIPPA coverage is unnecessary, because InBC will be required to release annual reports and be subject to external reviews. Its annual reports are to be in a form and manner specified by the minister, and external reviews will occur only every five years. These accountability mechanisms fall far short of what is needed and lack the ongoing transparency afforded through the access-to-information regime.”
I’d like to ask the minister why the decision has been taken, presumably by him and in conjunction with his colleagues, to not ensure that InBC falls under the purview of the Freedom of Information and Protection of Privacy Act. Why was that decision not made?
He can point back as many years as he wants about successive governments and what different governments did and didn’t do, and so forth. He’s the minister. This government has been in power for four years now. He’s the minister bringing forward this InBC legislation. He’s the minister that’s asking taxpayers to feel okay — in fact, feel good — about $500 million of their funds being invested in high-risk venture capital investments.
These are his decisions. The public deserves to have access to InBC documents. The public has the right, or should have the right, when it comes to InBC, to access this material when the public sees fit, not when the government determines that they’re going to push some information out in a glossy annual report or wait for a five-year independent review. When the public wants to see the information, the public should have a right to see this information pursuant to FIPPA.
So the question to the minister is: why is the government not ensuring that InBC falls under the purview of FIPPA? Why is the government not following the very clear statements and the urging of the commissioner to make sure that that’s the case?
Hon. R. Kahlon: We were just starting to canvass this in question period today, and I’m glad we get a chance to talk about it now. The hon. member will know…. It’s convenient for him if I don’t remind him about how this structure was set up, but I think it’s important for context.
The immigrant investment fund, which is now being shifted over to InBC, was created by his government at the time. It has $180 million in that fund. When they put the $100 million in for the B.C. tech fund, I presume they did it because of the concerns that we have as well, which is the chilling effect that could happen from the private sector to bring proposals forward.
In fact, Kensington Capital raised those concerns with them at the time and suggested that it would have a chilling effect. Especially companies that are on the cutting edge — their competitors, all in the B.C. market, may want to FOI some of their sensitive information and have it up for interpretation. I think that’s the reason why the member’s government chose to leave it out at that time. Of course, he can clarify if that’s not the case. But we are aware that Kensington Capital, at the time, said that there were concerns around sensitive information and how that can be shared.
Our office has been in touch with the independent office. They had conversations last week. We saw the letter just a couple of hours ago. We’re going to continue to engage with the investment community to ensure that we get a sense from them on what this means — the suggestions from the independent officer. We will be responding to the independent officer once we’ve done some of that engagement.
T. Stone: Well, the minister would be wise to also engage with British Columbians on this. I mean, it’s British Columbians that are on the hook for $500 million. I will say it over and over again. Pursuant to the government’s own service plan for InBC, this $500 million is going to be invested in high-risk venture capital investments. We have huge concerns about that taking place, particularly with this government.
The minister keeps talking about corporate interests and so forth. The commissioner had something to say about that in his letter today as well.
“The business interests of InBC and parties with whom it does business can be fully protected by FIPPA’s robust access exceptions. This is amply demonstrated by the almost 30 years of experience of public bodies such as BCIMC, ICBC and B.C. Hydro in protecting their own business information and that of their business partners.
“Examples of the FIPPA exceptions that can come into play are sections 13, which is advice or recommendations; section 14, solicitor-client privilege; 17, financial interests of InBC or the provincial government; 21, third-party business interests; and 22, personal privacy of InBC employees and others.”
That’s the commissioner saying to this government that it’s a false argument to be making — that because of the worry around commercial interests, this government has no obligation, therefore, to provide public access through the Freedom of Information Act to InBC information. There is a whole broad range of other types of information that wouldn’t necessarily involve sensitive corporate information at InBC. So I think that’s a bit of a huge red herring that the minister is throwing out there.
The reality is that it appears that this government is, at best, going to drag its heels on FOI applicability to InBC. They really should make InBC subject to, as virtually every other public body in this province, including BCIMC and many others…. BCIMC manages a $173 billion asset portfolio. They’re subject to FOI. They have a heck of a lot of commercial interest concerns with those investments, but somehow it works. Innovate B.C. has third-party financial relationships and whatnot. Somehow Innovate B.C. is subject to the FOI requirements.
It’s unacceptable that this government didn’t just come right out of the gates and say, “We’re going to make sure that InBC is added to table 2 or schedule 2 of the FIPPA act, where all the other public bodies are listed” — which, by the way, can happen with the stroke of a pen. That’s done through regulation.
The Minister of Citizens’ Services could do that today. She could sign a regulation today that would ensure that InBC is added to that list of public bodies in FIPPA. That would therefore assure British Columbians of access to InBC information, subject to, as I just read into the record, the series of FIPPA exemptions that are a part of the FOI process.
I say all of that….
[Interruption.]
You have to be very careful what you say — Surrey or sorry. Life’s embarrassing moments.
My question to the minister, in the context of everything that I’ve been saying is: why did this government, if they were in consultations with the Office of the Privacy Commissioner — who would have been, presumably, providing them with the same information that he wrote in a letter today…. Why did they not just trust British Columbians and say, right from the get-go: “We’re not just going to talk about the high standards of transparency and accountability. We’re actually going to ensure that that’s embodied in the actual establishment of the creation of InBC right from the get-go, by making sure that the FOI legislation that we have in this province applies to a corporation that is going to engage in investing $500 million of public funds”?
Hon. R. Kahlon: I appreciate the hon. member saying: “Do as I say, not as I did.” I appreciate the argument that he’s trying to make. But again, I remind him that there was a reason why they chose to go down this route with the Immigrant Investment Fund when it was originally created. The member can clarify why they chose to go in that direction. I can only assume it’s because partners like Kensington Capital came back to them and said: “This will have a chilling effect on investment.”
InBC will receive, on an ongoing basis, the most significant, confidential, commercially sensitive, proprietary and financial information from applicants for investment and the same category of information from co-investors, financial institutions and other partners that are in B.C. Market expectations and requirements will be that this information is shared with InBC on an entirely confidential basis. This type of information that will be shared with InBC is not otherwise subject to disclosure.
Again, similar advice that they probably got when they created the Immigrant Investment Fund, similar advice they got when the B.C. tech fund was created, similar to feedback we’re getting. We’re going to continue to engage with the independent officer. We’re going to also check with those in the investment community about the letter. We will be acting on that.
But within the legislation, because this is a continuation of the Immigrant Investment Fund, it’s not a legislation requirement.
The Chair: I’m curious to see if Hansard picked up Siri’s answer.
Member for Kamloops–South Thompson and Siri, you have the floor.
T. Stone: I wanted to ask this question. The minister referenced…. He has said it a few times today. He mentioned it a few times yesterday, where he said that his ministry was in discussions with the Office of the Information and Privacy Commissioner.
I would like to ask him: if that indeed is the case, when did the ministry actually meet with the Office of the Information and Privacy Commissioner? What advice did he provide them at that time? How is it that if they were having discussions…?
He refers to good discussions, good engagements that are happening. How could it possibly be that these discussions, if they took place, were good, when the Office of the Information and Privacy Commissioner saw fit to write a pretty scathing, pretty pointed letter, strongly urging the government to make sure that the FOI rules in this province apply to InBC? There seems to be a major disconnect there that I would appreciate the minister addressing.
Hon. R. Kahlon: I’m not here to speak on behalf of the commissioner. I’ll let the commissioner speak. But my team had been engaging with the commissioner. Again, as I’ve already highlighted a couple of times, we’ll go out and assess with the investment community on the letter, and we will continue to engage with them.
Clauses 21 to 36 inclusive approved.
Title approved.
The Chair: Minister, would you like to make a motion?
Hon. R. Kahlon: I move that the committee rise and report the bill complete without amendment.
The Chair: In my judgment, the nays have it.
Division has been called, and pursuant to standing orders adopted, I think, April 21, division will be delayed until half an hour before the end of session today.
Interjection.
The Chair: We’ll be with you in just a moment.
Thank you for your patience. This was the first time for me, and obviously, the first time for many of the members as well.
Pursuant to section 5, clause 11, divisions are not permitted on a motion that a committee rise and report and on a routine motion moved by the Government House Leader or their designate that the House adjourn so as to not prevent the House from undertaking business in a manner consistent with the intention of the arrangements of formal divisions in hybrid proceedings. Members may use practice recommendation No. 1.
I’ll note that Bill 5 was carried on division.
Motion approved on division.
The committee rose at 4:32 p.m.
The House resumed; Mr. Speaker in the chair.
Reporting of Bills
BILL 5 — InBC INVESTMENT CORP. ACT
Bill 5, InBC Investment Corp. Act, reported complete without amendment on division.
Mr. Speaker: When shall the bill be read a third time?
Hon. R. Kahlon: Now, Mr. Speaker.
Third Reading of Bills
BILL 5 — InBC INVESTMENT CORP. ACT
Mr. Speaker: Members, you’ve heard the motion.
Division has been called. Division will be conducted half an hour before the end of the day.
Hon. M. Farnworth: I call second reading, Bill 7, Electoral Boundaries Act.
[S. Chandra Herbert in the chair.]
Second Reading of Bills
BILL 7 — ELECTORAL BOUNDARIES
COMMISSION AMENDMENT ACT,
2021
Deputy Speaker: There he is, the Attorney General, ready to go.
Hon. D. Eby: I move the bill be now read a second time.
Deputy Speaker: Proceed.
Hon. D. Eby: This important bill is not lengthy, but it is very important. It makes some necessary updates to the legislative framework that will guide our next Electoral Boundaries Commission.
The Electoral Boundaries Commission Act requires an independent, non-partisan Electoral Boundaries Commission to be appointed within a year of every second general election. Our most recent general election having been held last fall, the next commission must be appointed by October 24, 2021.
Government is looking forward to appointing commissioners to recommend electoral district names and boundaries for our next two general elections. First, some amendments to the act are urgently needed to ensure the commission is equipped to draw an electoral map that upholds British Columbians’ constitutional rights and supports effective representation for all British Columbians.
The purpose of redistributing electoral district boundaries is to establish districts with relatively equal populations. Relatively equal populations is not a goal based on a mere preference for fairness. It is a constitutional imperative. Canadian courts have emphasized the connection between our Charter of Rights and Freedoms section 3 right to vote and the electoral district boundaries within which we exercise that right.
In the late 1980s, B.C. had an electoral map with districts ranging in population from as few as 5,500 people to just over 68,000 people. In its 1989 ruling on the constitutionality of that electoral map, the B.C. Supreme Court emphasized that the “relative equality of voting power is fundamental to the right to vote enshrined in section 3 of the Charter.” To quote: “The dominant consideration in drawing electoral boundaries must be population.”
The 1991 Saskatchewan reference case is the leading Supreme Court of Canada case on electoral boundaries. In drawing on the B.C. Supreme Court decision, that case further elaborated that “the purpose of the right to vote enshrined in section 3 of the Charter is not equality of voting power per se but the right to ‘effective representation.’”
The court said: “Factors like geography, community history, community interests and minority representation may need to be taken into account to ensure that our legislative assemblies effectively represent the diversity of our social mosaic.”
Further, the court said: “Parity of voting power, though of prime importance, is not the only factor to be taken into account in ensuring effective representation.”
It is a practical fact that effective representation often cannot be achieved without taking into account countervailing factors. Thus, the case law on electoral boundaries has been critically important in establishing the foundational principles for electoral boundaries commissions:
(1) The commission should be independent and non-partisan.
(2) To provide for effective representation, voter parity is the first order principle.
(3) The right to effective representation sometimes requires the creation of electoral districts with populations outside of the average range to reflect Canada’s vast geography and to be attentive to community of interest concerns.
Electoral boundaries commissions face significant, arguably unique, challenges in light of B.C.’s population dispersion and geography. At just over 922,000 square kilometres, our province is immense. Some electoral districts are larger than entire European countries. Our population is strongly concentrated in specific areas.
At the most recent census in 2016, 78 percent of British Columbians lived in the four census metropolitan areas of greater Vancouver, Abbotsford-Mission, Victoria and Kelowna. Approximately half a million more people have moved to B.C. since the last commission finished its work in 2015, with most of them moving to those areas.
As is the case in other provinces’ legislation, the average electoral district population is a critically important concept in the Electoral Boundaries Commission Act. The average district population is referred to as the electoral quotient. The commission must aim to have most districts within plus or minus 25 percent of the electoral quotient.
The 25 percent deviation principle was first applied by the 1987-88 Royal Commission on Electoral Boundaries for British Columbia. It was subsequently legislated when this act was adopted in 1989.
Population growth causes the electoral quotient to increase. In turn, slower-growing electoral districts fall further below the electoral quotient. Ultimately, a widening gulf between the least and most populated electoral districts compromises the principle of representation by population, with the votes of the residents of the least populated districts having a disproportionately high impact in determining the composition of this House.
At the time the next commission is appointed, the ten highest population districts will likely have between 70,000 to 80,000 residents each, an average of just over 73,000. The ten lowest population districts will likely range from about 22,000 to 40,000 people, an average of just over 31,000.
Urban MLAs are representing an increasingly large number of diverse constituents with increasingly complex issues to be dealt with in the constituency and in this assembly. At the same time, MLAs from our less populated northern and interior regions face unique challenges in ensuring their constituents are well represented and connected to the work the MLAs do on their behalf in the constituency and in this House. Technology has mitigated the geographic barriers to MLAs connecting with their constituents, but not all of the province enjoys high-speed Internet access yet.
Ensuring that all British Columbians have their right to effective representation respected is the primary challenge facing our Electoral Boundaries Commission. To equip the commission to meet that challenge, this bill would, first, allow the commission to recommend an increase in the number of electoral districts, up to a maximum of 93; second, eliminate the three regions in the act that are collectively guaranteed a minimum of 17 electoral districts; and third, update the guidance to commissions in recommending electoral boundaries, including evaluating when it is appropriate to recommend districts with populations outside of the plus-minus 25 percent deviation range.
I want to emphasize that the core tenets of the act would not be changed by this bill. The legislated plus-minus 25 percent deviation principle, in place since 1989, remains in place. This range is a fairly common Canadian standard used by B.C. and a number of other jurisdictions for many years.
Since 1989, the act has allowed the commission to exceed the 25 percent deviation principle if it finds a justification for doing so. This bill would change the reason for allowing deviations from “very special circumstances” to “necessary…for effective representation,” but the concept remains the same.
The commission has authority to exceed the 25 percent deviation principle. B.C. would continue to be consistent with almost every Canadian jurisdiction in providing explicit recognition within the legislation that absolute voter parity is impossible and even, in some circumstances, undesirable.
In introducing this legislation, I acknowledge that I do not believe this legislation will make the commission’s task simple or straightforward. This bill would restore the commission’s ability to exercise independent judgment in balancing voter parity with other effective representation concerns, including those that tend to arise in rural and remote regions. Achieving that balance has never been easy. The commission will need to balance competing demands from B.C.’s communities in a way that the commission believes contributes to effective representation for the entire province.
With that said, I am confident that this legislation will make the commission’s legislated guidance more consistent with the constitutional principles laid out by Canadian courts. The courts have provided guidance that exceptions to the voter parity principle should be clearly and rationally justified.
I am not confident that the act’s existing approach to guaranteeing rural representation meets that standard going forward. The most recent commission itself cast some doubt on the continued workability of the approach, inviting the Legislative Assembly to “assess the degree to which this legislative solution achieves the appropriate balance required between the principle of representation by population and the need to take into account other representational imperatives.”
To be clear, this bill does continue to provide for rural representation. The bill specifies that in considering whether the need for effective representation warrants exceeding the 25 percent deviation principle in a district, the commission may take into account special demographic and geographic considerations, including manageable geographic size of electoral districts.
The 2014 amendments to this act prohibit the commission from recommending any fewer than 17 seats in the three specified regions of the province. That is a broad and rigid approach, with no real precedent in Canada.
At the same time, if we were simply to return the act to its pre-2014 state, the result would be that the commission may recommend districts that exceed the 25 percent deviation principle in “very special circumstances.” This terminology is arguable rigid in its own way and has been criticized as tilting the balance too far in favour of strict representation by population. This bill is intended to provide reasonable latitude for the commission to provide its own best advice on balancing urban and rural interests.
With that, I am pleased to provide this bill for the Legislative Assembly’s consideration. I believe that this legislation provides the commission with the flexibility it needs to carry out its mandate and to exercise independent judgment as it develops an electoral map for this assembly’s consideration.
I look forward to explaining the specifics of the bill during committee stage debate.
C. Oakes: I want to start by recognizing, with respect, that I’m speaking to you today on the Lhtako First Nation and the South Dakelh Nation Alliance.
I rise today, virtually, on behalf of all of my constituents of Cariboo North, to address second reading of Bill 7, the Electoral Boundaries Commission Amendment Act.
There are moments that become etched in one’s mind, words that take on much more significance as time progresses, roles that become much more defined. For myself, that moment happened in 2017 when a B.C. wildfire incident commander told a group of elected officials, which I was a part of, that we all needed to prepare ourselves that we may lose it all. Everything could be destroyed by the raging wildfires.
Words and experiences that are very relevant to the bill before this House. Knowledge acquired, no different than what we have learned during this pandemic. Vulnerabilities and gaps that have a profound impact on people — not intentional but no less of an impact. And the reality of what is required to meet crises and the challenges of our time.
Crisis puts a magnifying glass to the frailties of our system, even our democratic ones. As I rise today, on behalf of my constituents of Cariboo North, to address second reading of Bill 7, it is my hope that members of this House will think about the people and the stories that I will share and consider the significant trauma that Cariboo North has and continues to suffer.
Understand that inequities exist in our communities, specifically rural populations. How much of the rural populations still do not have access to basic services such as cell service, Internet or affordable, reliable Internet, let alone high-speed Internet, which the member just mentioned before. I hope that members will consider the inequity in connectivity that truly works against people living in rural ridings and, in fact, silences their voices and creates true barriers to effective representation.
Effective representation in a democracy is not just confined to a short 28-day election cycle where what has been garnered over a snapshot in time will somehow provide a candidate or future MLA with a comprehensive list of all of the people’s concerns, both at the moment and into the future. That is to say that if people have had their ability to vote, then they’ve been represented and their voices have been heard.
What happens when catastrophic events and issues emerge between election cycles, such as a pandemic, the opioid crisis and extreme weather events? Are the people’s voices represented because efforts were made in order for them to elect a representative? Or is the contract much more comprehensive, where the expectation of representation effectively is one that should and is necessary to happen between constituents and their MLA on a continued basis? How do we ensure that all voices are heard equally in this House?
A basic foundation of this principle is that in order to be represented equally, the same access to connectivity should be available to all citizens connecting them to their MLA, or there needs to be a recognition that special circumstances exist necessary for effective representation. I’m calling on this government and this Attorney General: special circumstances do, in fact, exist in rural ridings and that this be placed in the bill before the House.
This bill, as it stands, suggests that the government does not understand the disparity that currently exists between people living in different parts of the province or that it just doesn’t care. Why has government not recognized in this bill that there are inequalities between regions? And why has it not included the needs that exist of special circumstances in rural ridings?
I just heard the Attorney General talk about high-speed Internet. Boy, in most of our rural ridings, we don’t even have Internet or cell service.
Let us hold the magnifying glass to these inequities that exist in rural British Columbia and the significant disadvantages of large areas of geography where those people live and the services that they have access to that support them with being represented — these hard-working men and women who work in and are producers for agricultural, forestry and mining sectors, to name a few.
Why is this bill focused on simply the electoral quotient? And why does government not understand the very real consequences it will have on people living in rural British Columbia, people that do not benefit from the equal access to connectivity? I would argue that is the integral part to effective representation, unless special circumstances exist and are recognized.
I am confident that over the course of second reading, my colleagues will provide this House with the technical details and impacts of this bill.
I feel that it’s important today to spend my time focused on the people of Cariboo North and sharing their voices here in this Legislature. I feel a responsibility to share my experience of representing a riding that has and continues to face catastrophic trauma and impacts, in hopes that we all can be better prepared and that our people’s voices are heard during challenging times. I pray and hope that other people never feel the impacts that Cariboo North has felt. However, weather does not discriminate against a riding, a party or a government.
When people in my riding heard about the introduction of this bill, they immediately started asking questions. Is this bill before the Legislature a bill to silence the voices of people living in rural B.C.? Are we being penalized because we have been speaking up about the significant impacts our community has faced following the wildfires? Are we being punished? Is this bill an attempt to create a disadvantage so great in rural B.C., with ridings so geographically large, inequities in connectivity so broad, that it’ll create significant barriers that alienate rural people from having their voices heard in Victoria?
Cariboo North is a very large constituency. It is precisely 38,579 square kilometres — not the largest rural riding by any means. Geographically speaking, it is larger than the entire Vancouver Island. As a matter of fact, Cariboo North is larger than many European countries. As one can well imagine, the communities are very different with very different needs. The average age is 44 and is culturally diverse.
We have six First Nations in the riding of Cariboo North. We have Lhtako Dené Nation, Lhoosk’uz Dené Nation, Nazko First Nations, ?Esdilagh, Xatśūll First Nations and the Williams Lake Indian Band. We have lots of newcomers to Canada and families like mine who have lived in the region for generations.
I’m elected to represent all of them, and not just the people that voted for me. When it comes to helping a senior get important support or helping someone with health care or the Ministry of Children and Families, there is no partisan line. That is what representative democracy is all about.
The people in Cariboo North know who represents them here in this Legislature, and they hold me to account. It doesn’t matter if they are from Quesnel or Nazko, Wells or Horsefly; the people all know that they have an MLA who is directly responsible for their region. The legislation that we have before the House today seeks to change all of that.
Rural British Columbia is a big place. This means everything is spread out over great distances between towns, communities, hospitals, schools — virtually everything. If the people find themselves impacted by a catastrophic weather event, that magnifying glass I talked about earlier, the very real connectivity inequalities become very exposed. This geographic distance becomes so much more challenging in helping and supporting the people living in these ridings.
I was watching the news just a few nights ago, and I saw the lightning storm that lit up the Vancouver sky. I want to take members back to July 7, 2017, when a lightning storm ran across the evening sky and left utter destruction in the Cariboo, starting 108 fires that saw over 7,000 hectares burn that first night alone. A firestorm never to be forgotten.
Over the course of the summer, over 65,000 people were evacuated and 1.2 million hectares burned. Different conditions than a few nights ago in Vancouver, different time of year, but I hope members will understand that weather events can happen at any time, and the impacts are very real for people.
What I didn’t fully understand on July 7…. But as the days turned to weeks then to months, every conceivable notion previously held of what it means to represent a rural population changed. What I didn’t fully appreciate in that moment was when, as an elected official, we were told that we needed to be prepared to lose it all. It would mean that as Cariboo North’s representative…. I never thought I would be standing in this Legislature — or sitting, virtually — raising the devastating consequences of not just the 2017 wildfires but the wildfires of 2018, the floods of 2019 and the spring freshets of 2021, still feeling that very real feeling that we could lose it all.
Currently with collapsing road infrastructure networks throughout Cariboo North, there’s still the need to have an MLA bringing to this Legislature the very real issues that are happening in the riding of Cariboo North. You will hear later comments from people living in my riding on how they often feel forgotten in Victoria unless there’s a representative, an MLA, that can remind government what is truly happening north of Hope.
As those early weeks evolved and the wildfires of note raged across the riding of Cariboo North, the role of representing Cariboo North evolved. While we had emergency teams set up to support the evacuees and we had numerous incident command teams and wildfire crews from across the globe set up to fight the fires, what became apparent was that more support was needed, and it was important to have somebody that knew the geography, the people and the transportation network and could ensure that people were not getting lost in the chaos and that people were not falling through the cracks.
As evacuation orders increased and more and more roads closed, I realized that we had communities and people that were trapped behind these orders and that often the roads identified on a map as an egress were, in fact, not the best option.
Those early calls from communities like Tyee Lake and McLeese Lake that were running short of water and were doing their best to fight the fires but didn’t have basic equipment like pumps and hoses…. I am and will always be grateful for the people of Alberta, the wildfire angels, that came to our aid during those difficult days. Communities like Horsefly, Likely, Big Lake and Spokin Lake were fighting the fires from the opposite side of where the wildfire crews were.
I remember a call in Big Lake where community members were literally emptying the food of their fridges and deep freezers and bringing everything down to the fire hall to feed the people working on the wildfires. They didn’t know how they would get back to town to restock their own fridges, knowing that if they left their community, they would not be able to get back, as the roads were closed.
I learned about sacrifice and the incredible importance of our volunteer fire departments throughout the region. I remember the afternoon when we learned that there would be a major evacuation of Williams Lake and that they’d be closing the highway between Kersley and McLeese Lake. I thought of several things — the horrific images just a year before, in 2016, when Fort Mac was on fire and the highways were filled with cars fleeing the inferno.
As the MLA for Cariboo North, I knew that there were people and communities living in between these closures, and I was fearful what the evacuation would mean for them. RCMP had been brought in from all over the province, and we were grateful to have their presence. What I knew, as people were fleeing, is that they needed to see a face at a checkpoint where they could place their fear, their concern, their frustration. I stood at that checkpoint until late into the night. I was there as their representative, to be their witness and their voice to the events unfolding.
I also know that other MLAs in the Cariboo-Chilcotin and the Fraser-Nicola were out helping their constituents. I honestly cannot imagine how the people would have been impacted if there were only one MLA for this vast area of geography.
Sometimes the role of MLA becomes one of a witness to terrible events in their riding, and they play a critical role in bringing what has happened to their people to this Legislature precinct so that the people’s stories and their experiences can be recorded into Hansard and make up an important part of British Columbia’s history.
As MLAs, we were there to support our people and our communities in the eye of the storm. The dad who had been in town, and his teenaged children were actually at the house beyond the checkpoint…. I worked with him to help the RCMP understand exactly where he lived so that he could go in and get his children out and into safety. I remember calling people that were not leaving, understanding their concern about leaving their animals — that we needed to work with emergency teams, the Pet Safe Coalition, the incident commanders to find a way to get both animals and people out safely.
I remember the 1 a.m. phone calls with people pleading for help, maps that were very out of date, and people and property that would have been forgotten about. I remember finding support for Jennifer and Aaron, as they could only be located by longitude and latitude, so that they too could get out safely.
I remember the night that the fire ran over the Cariboo Mountains and was getting close to Barkerville. I have spoken many times in the Legislature — in fact, I did today — as have many of my colleagues, on what an incredible asset Barkerville is, and how, on that day, as an MLA, I had to make sure that the wildfire crews knew how important of an asset Barkerville was and is to the province. I remember calling everyone I knew who had equipment.
There was no MLA handbook on how to do this. When I was on the campaign trail in 2013 or 2017, I could never have imagined that this would happen. The work certainly was not written up on the role of a representative. It was simply work that needed to be done — a role that evolved as the people needed more support.
I hope that the Attorney General will take this experience and understanding of what the role of an MLA truly is and what effective representation means in rural British Columbia, the memory of how challenging it was to get people safely out on our roads.
I remember meeting with First Nation Elders of the Lhoosk’uz Dené Nation, with severe weather and how the fires were merging into one large firestorm that made visibility of landing a helicopter impossible, getting crews to get people out impossible. Because there was no fire egress, the First Nation members were told that their best option for safety was to get into a boat and go into the lake for safety.
I want to pause and ask members of this House to think about this. I ask you to think about the street that you live on, how different it truly is for so many of us in our First Nations communities and our rural communities in this province. Imagine the street that you live on, and a fire breaks out, and the first thing that happens is that crews are sent to work on your neighbour’s house, but you are told that there are not enough resources and that they need to prioritize, and that you and your house were not deemed a priority.
Now I want you to imagine that as the fire progresses and you are in that house with your family, you learn that there’s no road out. Now, consider — to the members of this House — the ability that you have as an MLA to make sure that everyone is a priority and that you can actually do something to make a significant difference in people’s lives.
Our experiences as MLAs, the people we serve, are critical foundations of the policies, programs and accountability that our government requires. I know how important it is to have rural MLAs so that we can ensure that people are served appropriately by their government.
One of my proudest days as the MLA for Cariboo North happened this past year in the midst of the pandemic. Working in partnership with the Lhoosk’uz Dené Nation, we now have a fire egress road available. This work took years of advocacy. I am not sure that without a local representative or MLA, a fire egress road would be a reality.
As the flames were put out, destruction was left. Many people lost their homes and everything they owned. Again, the work of an MLA in a rural riding evolved. One such family I would like to introduce you to is Corrine and Frank and their children and grandchildren. When programs were being set up to support people impacted, they were set up in the cities, not the rural areas where the people were burned out. It was based on people leaving their homes, moving to the temporary shelters that were being set up. I am so incredibly grateful for all of the people that came to the aid and helped, and for the municipalities and the rural regional districts for all of their incredible work, because everyone worked so tirelessly during these difficult times.
What was often lost in these programs for people who had been burned out was that for a variety of reasons, many did not move to the city, and they remained on their property. They didn’t have Internet, no cell service, and the reality was that land lines, of course, were downed by the wildfires. For Corrine and Frank, with a child and a grandchild with autism, the move to the shelter would not have been in the best interest of their family.
An important role, as the MLA following a crisis like this, was driving around and meeting directly with people and families that were impacted. As proud as I was of the many people who stepped up during the wildfires, after the fires, there were many people that came in to prey on the vulnerable.
For the Electoral Boundaries Commission, I hope that they’ll understand the important role that an MLA plays in advocating for their constituents and helping them navigate government programs, programs that are based on this idea that everyone has access to high-speed Internet or cell service.
The role of the MLA representing Cariboo North then became about protecting people, helping them to navigate the most difficult times of their lives. It was about helping them to fight to get what was owed to them — insurance, standing up to builders who made unfulfilled promises. With no cell service, land line or Internet, we helped to be the voice for Corrine and Frank, and we supported them through our office.
Another story is with David and Raynelle. To this day, they are still in recovery mode, having lost heritage buildings that can never be replaced. Their road from the 2017 fires still has fireguards on it that have not been removed. They’re told over and over that they’ll be fixed, and still nothing. We will not forget about this, and we will continue to raise this issue.
Penelope from Nazko, a fantastic senior who I had the privilege of meeting on some of my trips out to Nazko, was a senior who lost her furnace due to flooding, and she’d been without a furnace for months when I met with her, and winter was coming on. We were able to work hard to find assistance for her to have a new furnace installed.
But I need to expand on this for a moment. We need to change policy on how emergency funds are executed. Our rural areas and people who are so critically impacted do not have access directly to funds. The B.C. government funds cities and municipalities where people are evacuated to, and there were funds for the cities to hold celebrations in our city, but we had to fight so hard for Penelope just to get the funds to repair her furnace, and that’s simply wrong. As MLAs in rural British Columbia, we will be voicing this to the Legislature.
Today in the House, the member for Langley talked about his recent visit to a school. I want to thank the member for sharing his story, and I agree that one of the most rewarding parts of this job as an MLA is going out and listening to our youth and understanding what is on their minds. I want to share with you one such experience of a visit to a school in my area.
I went to Red Bluff Elementary School one day to talk about what it was like to be an MLA. The class was so organized that many of them had emailed me questions in advance, and I did my best to answer them. Some were pretty complicated, like: “How do we save the turtles?” Very valid, as I, too, have a fondness for turtles.
It was coming close to a break, and I asked a question, just to engage with the young people, about how they were doing following the wildfires. I wanted to share some of the things that the government was doing to help. During the break, one very quiet, shy young man came up to me and shared the story of his grandma, Tammy, and how she had lost the bridge to her house during the wildfires and that he missed being able to visit his grandma because he just couldn’t get out there.
Well, I was able to take this young man’s bravery, and he worked with me, and we spoke to the minister. We were able to get his grandma that bridge, and now he can visit her again.
Maybe if our rural ridings had cell service, or affordable or high-speed Internet, maybe impacts would have been different on people. But the reality is that connectivity just does not exist in the vast geography of our rural ridings, and the people in rural British Columbia pay the consequences.
One of the things that helped people to be represented, and certainly helped me as the MLA, was the importance of getting out into communities and setting up mobile offices.
I certainly understood, when I was first elected in 2013 as an MLA, that it would be very difficult for people to travel long distances to meet me in the constituency office in Quesnel. For many, I knew that it would mean three hours each way, and depending on the seasons, the roads were not always reliable. I understood that constituents couldn’t email or call on a cell phone or even a land line. Often, the roads required 4-by-4s. So maybe that means that those constituents were not able to contact our office.
I knew that I needed to get out as much as possible and to listen, to connect with people in their communities. If, as an MLA, I was to be effectively representing, it was critically important for rural voices to be heard and understood. There is no transit. Most areas don’t have cell service, many no Internet — especially high-speed Internet. The reality for many is that even land lines go down often, sometimes for weeks at a time.
The transportation network is vast. In the winter, the roads often are impassable, and now, as freshets become more damaging this time of year, it has also become far more problematic.
Mobile office days are very long, often 15 hours, as the riding is so large. One must understand where the people are, living in the various areas, in order to go out and hear and listen to them.
If I’m travelling to set up a mobile office in the south part of my riding, it means leaving very early, going to Miocene and then Horsefly. When in the communities, I’ll meet with volunteer fire departments, seniors groups, cattlemen, 4-H fall fairs, women’s institutes, boards of trade, search and rescue, community clubs, parents and, of course, constituents who have concerns. Then it might be off to McLeese Lake, and then I get home around 10 p m. This day is often around 352 kilometres.
Other days, setting up in the south, we might start in Williams Lake. We might go to Wildwood and the volunteer fire department, visit Xatśūll First Nation, Tiny Lake, Big Lake and Likely and then home — about another 14-hour day. The total kilometres for this day for a mobile office is about 430 kilometres.
Deputy Speaker: Member, thank you for your comments.
C. Oakes: Mr. Speaker, I am the designated speaker. Thank you.
Deputy Speaker: Thank you, Member.
For everyone, if it’s possible to alert the Chair if you are the designated speaker at the beginning, that is the practice of this House. That would be appropriate and appreciated, certainly for all other members, as well, so that they can plan their schedules. Thank you.
Please proceed.
C. Oakes: Thank you, Mr. Speaker.
Then there are mobile office days that we set up that are a little closer to home, like Kersley and Alexandria; community meetings at Gravelle Ferry, off the Quesnel-Hydraulic Road. This is about 128 kilometres. Or Nak’azdli and ?Esdilagh First Nations, about another 120 kilometres. While the communities may be close to Quesnel, the roads are so bad that it takes hours to travel to these communities.
If I travel to the east part of my riding, I travel and visit Cottonwood House, Wells and Bowron, and of course our beloved Barkerville heritage site. These are also ten-hour days, meeting with people and connecting with community groups. Total kilometres on these days is about 210 kilometres.
If you go out west, those are our longest days. Those are 15- to 16-hour days. These are the days where we might go to Nazko, Batnuni, Titetown and Pelican Lake, which is over 365 kilometres. I very much look forward to visiting Kluskus when it’s safe to do so and to travel on that new fire egress road and bridge.
These mobile offices matter. I think to be a successful rural MLA, you need to travel into these communities. Until the government ensures that every British Columbian has cell service, Internet, reliable roads and land lines, they need to take into consideration that MLAs must travel out into their riding in order to effectively represent them. This was part of the understanding in the previous piece of legislation that has been removed and is absent in this piece of legislation before the House.
It is also critically important that the time spent doing mobile offices, of course, must be made up with extra work in the office, meeting with constituents, attending stakeholder meetings, events and such for myself in the city of Quesnel.
I remember my first mobile office in Horsefly, where I met Jack. Jack, like so many of our trail-blazing pioneers, contributed so much to the community. Like many people living in rural British Columbia, Jack was not somebody to ask for help. I think he showed up at that first mobile office just to see what this new MLA was all about.
One of the highlights of being an MLA is the time I spend travelling throughout my riding, listening to the constituents at mobile offices and connecting each year with constituents like Jack. I learn so much. The knowledge acquired from listening to people on the ground in rural British Columbia and understanding how we can improve our government, our legislation and our society from listening to these people in our communities is critical. These meetings provide us, in this Legislature, the information that is needed to advocate for programs to help people in British Columbia.
For example, after the fires, when I was out checking on Jack, I realized that with everything burned, people who very much depended on firewood for heating would be impacted. We worked with partners to create a program to help seniors impacted by the wildfires clean up their properties but also to help them in bringing in the necessary firewood for winter.
Now, I understand that this might seem like an odd thing for an MLA to be working on. For rural B.C., many people simply do not have access to turning on a switch for heat. If the mobile office hadn’t been set up, if I had not been on the ground travelling in my riding, I’m not sure seniors like Jack would have raised the issue. I’m sure they would have tried to do their best just to get by.
By having relationships with constituents and listening to them, I know that the program that was set up to help Jack, on his advice, helped so many other seniors in our riding. That is what effective representation looks like on the ground in a rural riding.
I hope the Electoral Boundaries Commission will travel to Horsefly. I hope that they’ll meet and listen to people like Jack and Frank and Corinne. I hope that they’ll understand that representation is not just for the cities and our ridings travelling on a north to south axis.
I hope the Electoral Boundaries Commission will take the time to travel into communities and meet with people in our rural areas. I hope that they’ll go to our First Nations communities and communities like Likely, Wells, Narcosli and Nazko. I hope that they’ll listen to people who’ve been sharing with me the impacts of the floods and the freshets over the last few years.
As you listen to the impacts on the people in an already stressed rural riding, which is so geographically large, consider what the impact would be if now that riding was amalgamated into a much larger riding, representing two to three times the geographic area, where their voices would be even harder to be heard. As you listen to their comments…. What if the new MLA, based on this legislation, was now in Kamloops and covered a space between Hixon and Kamloops?
I met with Dennis last week. He was evacuated in April of 2020, and he returned home in August of 2020. He spent those months in a motel room. The stress of evacuation and the damage done to his home and property were simply more than he could bear. Dennis spent a considerable amount of time in the hospital.
Today, over a year later, the water still runs down the bank behind his home. He’s worried about being evacuated again, and he has a hard time sleeping at night. Effective representation means that we don’t forget about people like Dennis, and we continue to advocate on their behalf.
I’ve consistently raised in this House the alarming deterioration of our road infrastructure network in the Cariboo. Please listen to what rural constituents are saying.
Heather, on an area called Knickerbocker on the Blackwater Road…. We’ve had so many people raise concerns about this part of our road network. Heather says: “The poplar trees past the horrible road headed out of town are leaning and are not solid. It’s still sliding, and it will keep sliding. Every time the residents out that way drive over this part of the road, they’re taking chances, not only the vehicles but the buses transporting kids to school.”
Here’s what Violet had to say: “Scares the heck out of me every day I travel over this section of road. At certain points, you are looking straight down into the river.” These voices deserve to be heard in this Legislature.
How about Diane in Soda Creek-MacAlister Road: “Thirteen months and counting. We cannot wait forever. We cannot live on false promises. We find out that the survey and its recommendations have been completed for months, and no one communicated this out to the residents.” Well, Diane, we’ll ask the government, because it’s important that they come out and communicate with residents.
How about Trampus and Jessica from Kersley-Dale Landing Road? “The road is closed and no detour. We have a working farm with cows, chickens, sheep and goats.” Regardless of whether the family moves, someone will still need to travel Kersley-Dale Landing Road to care for the animals and the property. It’s an urgent matter, with livelihoods, mortgages and livestock on the line.
Here’s Pete, from Beaver Lake and Ridge Roads. “I’m down to my axles on my truck. I can’t get farm fuel delivery, or delivery, for that matter. There has been a complete shutdown from government to maintain rural districts. Where’s our huge fuel tax going? What about the ability for first responders? Failing to respond in a timely manner…. People’s lives are at stake.” Is this piece of legislation before the House meant to silence our rural voices because they are asking government for accountability?
How about Diana, who’s a nurse? And thank goodness for all of our health care professionals. “I go to town five days a week to work as a nurse as well. Ridge Road is the worst it has ever been. I cannot go faster than ten kilometres an hour. It’s ruining our vehicles. We need decent roads.” What happens to our health care system when people decide that they can no longer travel on these roads and decide to retire or step back from their work?
How about Shari? Shari commented that Beaver Lake and Ridge Road are to the point that first responders and school buses won’t make it through.
Or Ken: “Hawks Creek Road at Pioneer Crescent may flood the Likely Road today. This morning the water was on the pavement. Nothing was done this past year after the last floods.” When these calls come into my office, we’re able to reach out and try our best to ensure that the ministry is looking after these roads.
Here’s Lisa. “French Road is back to barely passable by four-wheel drive. No ambulance for us. West Fraser Road by Ruric Spring Drive is not going to hold up much longer, no matter how many times they put a band-aid on it.”
How about John? “The Cariboo, as with other resource-based communities, contributes millions of dollars to the provincial coffers through forestry, mining and ranching. My hope is that you’ll reach out and communicate with us so that we can feel confident that your ministry is working for all British Columbians.” Their voices shouldn’t be silenced by the government.
This is from Heather: “We are all stressed to the max here in Quesnel. What is plan B when our roads are unable to be travelled?”
Or Rochelle: “Highway 97 is literally the lifeline to northern British Columbia.”
Here’s Teresa: “Is someone losing their life what it takes for the government to do something?” Are we really going to make it more difficult for rural British Columbians to have their voices heard in this Legislature?
[N. Letnick in the chair.]
Here’s a comment from TJ. “I really hope, with all of the inadequate roads, plus the Johnson Street Bridge not safe enough for trucks, that we do not have a slide by Marshall’s Vet that closes that highway too.” If we have a bad forest fire season, Quesnel and outlying areas will be in trouble.
Finally, another comment from a constituent, and I think it sums up what I’ve talked about today. This is from Judith. “It is amazing how broken we are still all from the wildfires. I think those of us from the Cariboo are Cariboo strong. We pushed past the sadness of watching our area burn to the ground. We all fake it until we can’t.”
What I’ve shared with you today are voices from people in my riding that I’ve just heard from in the last couple of weeks. I hope these voices will be taken into consideration. It’s voices like these that I hear on a regular basis and that we advocate and work and bring to this Legislature so that everyone in this House understands what is happening in our rural communities.
I hope that when the Electoral Boundaries Commission submits its report and the NDP government make their determination, they consider the inequity of connectivity, the extreme impacts that weather has had on communities and determine that special circumstances do, in fact, exist, and that the decision to maintain our rural ridings is kept in and ensures that the voices of people living in rural British Columbia are heard here in this Legislature.
I hope that factors like geography, community, history, community interests and minority representatives truly be taken into account. I hope that some of the stories I’ve shared with you today highlight what those community interests and history and geography really mean. I hope that the Electoral Boundaries Commission travels into our communities and understands what these factors really mean. I hope that as members in this House, as you vote on this piece of legislation, you consider the important impact on the people.
What happens if the rural ridings become so large that it’s realistically no longer possible for an MLA to get out and effectively listen to their constituents? What happens when these people do not have access to cell service, to Internet, to transit or even to a road network, which is often not passable? How will their voices be heard in this Legislature? How will they be advocated for? Are you willing to vote on a piece of legislation that will effectively alienate so many fellow British Columbians?
I ask each of you, when you truly talk about addressing inequalities in this province, that you will place action with your words. When reviewing the recommendations for the Electoral Boundaries Commission, I hope that you’ll remember Jack, Corrine and Frank, Judith, Diane and those students from the Red Bluff elementary school. Please remember that the hard-working men and women of Cariboo North need their voices heard. Please help us rebuild and recover. Please do not be a part of people losing their voices. They’ve already lost so much.
M. de Jong: It’s always a pleasure to participate in debates — in this case, on the bill before the House, Bill 7 — and to follow in the aftermath of our colleague from Cariboo North, who has, I think, provided a very powerful presentation on the importance that people generally, I suppose, assign to the task that befalls us, but the added importance that people in more remote parts of British Columbia assign to the issue.
She has done so, I think appropriately, in a very personal way, emphasizing some of the challenges, some of the frustrations, that people feel, and some of the disconnect that people feel in those parts of British Columbia. Maybe I’ll talk a little bit about that in a few moments.
I was thinking the other day. I believe this is the fourth boundary redistribution that I have lived through, participated in, borne witness to. There are a couple of things that maybe I’ve learned along the way.
Whenever we get to this part of the cycle where this adjustment needs to take place, of course, there are frequently discussions that revolve around partisanship and attempts that might be made to configure an electoral map in a particular way that favours one side or the other.
One of the things I’ve learned is there’s not really a lot of point in doing that, because over time — certainly over the time I’ve been here — people happily, in our democracy, tend to change the electoral maps themselves, however the lines and boundaries are drawn. When I arrived here, the party that I represented in those days was regularly accused of being the urban party and accused of predominantly being concerned with urban-related issues to the exclusion of others.
Well, my, how times have changed. I say that candidly. The perception, the criticism today, is perhaps much different. There was a time when the party I am a member of held virtually — well, not virtually — all of the seats on Vancouver Island. Here I am, standing beside the Leader of the Third Party. Today my party doesn’t hold any. So electoral fortunes change, and that is the essence of democracy.
The idea that we should be driven in our considerations of how to draw an electoral map on the basis of those generally very short-term considerations, I think, is unwise. I have to say in fairness that as a democracy, as a society, we’ve come a pretty long ways in terms of how we do this. We’ve come a long ways as a province in terms of the process we use for drawing electoral boundaries.
You know, there are some legendary stories in the past, and I have to say not just stories. I have seen, from 20, 30, 40 years ago, proposed electoral maps where you didn’t have to be much of a political scientist to see the partisan interest reflected. I’m thinking of a map I saw one time in and around what we now call Metro Vancouver, where in the map being proposed by one party — and I won’t mention the parties by name, and this was a long, long time ago — the constituencies were 40 blocks long and two blocks wide. The other party was proposing a map that was two blocks long and 40 blocks wide. You didn’t have to be, as I say, particularly astute politically to know what was being attempted there.
I was thinking about the last great electoral boundary controversy, and I thought back to the early ’80s — 1982. People who have been around the province or observed politics over the last 40 years will remember Gracie’s finger — the allegation that was made at the time of an extremely prominent member of the Legislative Assembly and a cabinet minister, a lady member of the then Social Credit Party, where a particularly favourable section of the city was preserved or added to the riding she happened to represent.
We don’t have to rehash the history. The matter was ultimately resolved. She survived that controversy. I happened to meet her on the electoral battlefield in my own first provincial election some 12 years later. She’s gone now — was a remarkable lady.
But as I say, the evolution of drawing electoral boundaries in this province, happily, has improved to where we are now able to rely upon an impartial commission to make recommendations to this assembly on a non-partisan basis. That has been, largely speaking, the process in place for the four of these that I have borne witness to.
It had some marginal impact in the part of the province I come from. When I was first elected here, it was for the riding of Matsqui, which then became Abbotsford-Mount Lehman and is now Abbotsford West. Who knows what it will be referred to as after this process? Who knows if I’ll even be here after this exercise?
Interesting. I’m told that at the federal level, MPs play a role in naming the ridings and are able to have some influence. That has never been the case here. It’s not proposed to be the case. But I know members frequently have views on that that they hope the commission will take account of. Local people have views that they hope the commission will take account of.
As I say, over the course of those changes, they were largely…. When I say inconsequential in terms of the impact where I lived, I say that — largely inconsequential — insofar as the impact on the ability people there had to access services offered by their MLA.
I suppose it’s possible that when these smaller boundary adjustments take place, there may be disappointment at the loss of the opportunity to support a particular candidate. Sometimes, maybe, there is celebration that the incumbent has been shifted or the riding has shifted in a way. I think all of those things are true. But I think that in many cases — and I would include myself, in the part of British Columbia that I call home — the results of the last three or four boundary commission ridings have not been particularly aggravating or troublesome for people.
That, of course, is not true for people who live in more remote parts of British Columbia. We’ve heard from my colleague from Cariboo North. We heard from the Attorney General, who in fairness, I think, demonstrated some appreciation for those challenges.
One of the great benefits, one of the great joys of the job all of us have in this chamber is the opportunity we have to visit various parts of British Columbia. Now, that has been more limited over the past year. But with that notable exception, we are able to get out and acquire a sense….
I see my friend the member for…. Is it Burke Mountain? One of the sad realities of the world we inhabit right now is that we don’t get a chance to meet some of our newer colleagues. But he has travelled the breadth of this nation in some very interesting ways in years past. I’m sure he would agree that you acquire a sense of the beauty of British Columbia and, obviously, the diversity of British Columbia, but also the distance. The distances are great.
I’m going to make a confession as part of this debate. I did this, this afternoon. As I say, we don’t travel as much in the past number of months, the past year. But it may not surprise people to know that years ago, when I started out on the road as an MLA, I stuck into my briefcase….
I like maps, and this is the “Super, natural British Columbia” Road Map and Parks Guide 1996. I keep it with me because I find it helpful. It conveys for me, when I am out on the road, a sense of the vast distances that separate communities in B.C., quite frankly in ways that one of these never can. We have access to all this technology now and Google Maps and all that. But when I open my 1996 “Super, natural B.C.” map….
Deputy Speaker: Member for Abbotsford West, just be careful on the props piece, please.
M. de Jong: Oh no, I’m reading it. It’s not a prop. I’m actually reading the map.
Deputy Speaker: Thank you, sir.
M. de Jong: It is a research tool, hon. Speaker.
When I pull out my map, and I think about how lucky I’ve been to travel on some of these routes, all the way from Dease Lake to Stewart and Bob Quinn Lake and Eddontenajon and Good Hope Lake…. Well, the examples abound. I was thinking the other day of a trip I took into Kwadacha from Mackenzie.
These are journeys that take hours and hours and hours and involve hundreds and hundreds and hundreds of kilometres, and they are contained within a single constituency. For me, it was novel. It was wonderful. It is novel, and it is wonderful, and I’m hoping that we get to do it again very soon, all of us.
But I don’t have to do it regularly. I don’t have to do it to access health care. I don’t have to do it to access services. I don’t have to do it as a single parent who might be involved in a custody dispute. I don’t have to do it if I’ve been injured and have to access WorkSafe services.
I did it, enjoyed it, moved on. But for the people, the hundreds of thousands of people, that live in these sparsely populated beautiful places in British Columbia, it is a reality. It is also a reality for the manner in which they can access the support, the services and the ability to attempt to influence those of us who are selected — derive the honour of being selected — to attend here. Of course, it’s far more difficult for them. It is necessarily more difficult for them.
For the legislation in front of us, I think that is the question that the House needs to consider. I will be very candid, and I hope very forthright. The existing provisions of the Electoral Boundaries Commission Act, in the existing act, section 9, are designed specifically to protect people in these remote parts of British Columbia by ensuring and directing that the constituency within which they live cannot get any bigger.
Look, I think I am obliged to be honest about that. That is the purpose. It is a directive that a boundary commission…. It is a limiting feature on a boundary commission. It says to the boundary commission that this place believes that the people residing in those areas should not have to travel 800 kilometres instead of 700 kilometres.
Removal of that protection, removal of that direction, will guarantee that at least some of those people will reside in constituencies that become even larger. That is a certainty, and I hope no one will suggest otherwise. So for people in Stikine, North Coast, Nechako Lakes, Peace River South, Cariboo North, Skeena, Cariboo-Chilcotin, Fraser-Nicola, Columbia River, Nelson-Creston, that is the likely outcome. In some cases, that is the certain outcome of eliminating that protection.
It is protection. I don’t want to pretend otherwise. It is a purposeful and deliberate protection. Is it an appropriate form of protection? I believe it is. I believe it is a constitutional form of protection. I believe it is a constitutional and legally defensible form of protection. I am not supportive of the proposal contained within Bill 7 to remove it.
I think it’s a mistake. I think it’s a mistake for people generally who reside in these remote parts of British Columbia. I think it’s a mistake for Indigenous Peoples who reside in some of the most remote parts of British Columbia.
I have been told that no consultation took place, at this point, to this point, with First Nations. That surprised me a little bit when I learned that in the briefing. In the aftermath of UNDRIP, a piece of legislation that could have and will have that fundamental impact of redrawing the boundaries through which people receive political representation, I would have thought that that was foundational.
Now, to be fair, I was also told that, well, the commission will undoubtedly engage in some consultation. I suspect they will. But it is this assembly, through this bill, that is purporting to alter the rules around which that commission operates, in a way that will most certainly impact First Nations communities, whether they’re in Hartley Bay, or Oweekeno or Kwadacha. I think about my trip into Kwadacha. It’s an eight-hour drive from Mackenzie to get into Kwadacha. The boundaries around that riding may get even larger. It’s already the size of a European country. It just may become the size of a larger European country.
At a time when…. I would say this, and I hope this is a fair statement. When so many efforts are being made to be more inclusive and sensitive to the unique challenges associated with living in a remote isolated community like the ones I’ve mentioned — Oweekeno, Hartley Bay, Kwadacha — it seems like the elimination of the protection that exists in the existing section 9 sends precisely the opposite signal.
Look, I get that this is a balancing act. Again, I don’t think any of us should be blind to the need to find that balance and to respect the juridically created notions of parity that have developed. We do have, happily, guidance from the courts in that respect.
But section 9 in its present form has existed. It has not been successfully challenged. It has provided that level of comfort and — I come back to the word — protection. For people who reside in parts of the province who necessarily feel disconnected from the more populous areas — places like this, where decisions are made — the knowledge that their constituency is going to get even larger or, possibly, disappear, I think will be very disheartening.
I think it will be very, very disheartening for people who see wealth generated, mostly through resources, and a lot of that wealth exported out of the area. To then see, in response, a boundary reconfiguration process that ignores that reality and ignores their frustrations, in its present form…. I am certain that will add to those frustrations.
I have offered some thoughts based on my experiences as one who has had the unique good fortune of travelling the province and travelling through the areas that are in jeopardy of losing the protections afforded by the existing section 9, which the government now purports to remove. But I think and I expect that we will hear from a number of members of the assembly who can offer much more than that, as my colleague from the Cariboo has done previously, and that is personal, firsthand experience associated with residing and as an elected representative working with people who are anxious to receive a comparable level of representation and service that others in more populous parts of British Columbia receive.
I am therefore not supportive of the bill, for that singular reason. I guess I should also be clear: it is for that reason…. There are other provisions of the bill, there are changes in language, but the bill fails to pass muster for me purely on the basis of the provisions that purport to eliminate the protective provisions that presently exist in section 9 of the act.
I thank you, Mr. Speaker, for the opportunity to make my case, such as it is, and for the opportunity to pull out my treasured 1996 “Super, natural British Columbia” road map, which has not failed me when…. What’s that thing? What is it called?
Interjections.
M. de Jong: GPS. Google Maps. You know, the technology — when these things have failed.
I don’t imagine you need a lot of technology floating down the river. Gravity takes care of most of it.
I thank you for that opportunity. I hope that the government and members of the assembly on all sides will reflect on what my colleague from the Cariboo and others, I expect, will say about how this is going to, if passed in its present form, translate into much anxiety and much frustration. It will not enshrine the principles of fairness that I think the assembly is seeking to achieve and direct the Boundaries Commission to achieve in its deliberations.
S. Furstenau: I don’t have a prepared speech. I’ve actually just been listening, this afternoon, to the Attorney General, to the member for Cariboo North and just now to the member for Abbotsford West and, in fact, reflecting on one of my favourite things to think about and enjoying the conversation about it, which is our democracy.
I share a lot of common interests with the member for Abbotsford West, including travelling all over B.C. with maps — we have many of those in our vehicle — and to Stewart, actually, where my grandparents taught in the 1940s. It was their first teaching job.
Interjection.
S. Furstenau: They were not Hutterites.
You know, one of the things…. As soon as I was elected in 2017, as an MLA, I felt compelled to spend as much time as I could travelling around this province and getting to as many communities all over B.C. because I think that, yes, we are absolutely elected to represent our communities and our constituents, but we also work in here, all of us, on legislation that affects this whole province.
I think that we do have a responsibility to know this province as best we can. One of the best ways to get to know a place is to actually go there and spend time there. I consider that kind of a very lovely perk, in a way, of the job. I really enjoy spending my time around this province and have really found that my understanding has been deepened with every trip that I’ve taken with our trusty maps all over.
We’re debating a bill, a very short bill, as the Attorney General mentioned — Bill 7, Electoral Boundaries Commission Amendment Act. The crux of this, as has been pointed out by the other members, is really to remove a stipulation that ensures that there is a limit on the size of particular ridings in British Columbia, rural ridings.
I think, again, it is very informative to head out into B.C. and to realize that when you’re in Prince George, for example, you’re only halfway to the top of the province. This is a large geographic province. There is a lot of land. Travelling around it is quite a challenge.
I listened with interest to the members for Cariboo North and Abbotsford West, but particularly Cariboo North, about her experiences as an MLA in one of these larger ridings. I appreciate and applaud her sense of service and duty to her constituents, and in particular, her stories around the emergencies. We all know that when there is an emergency, in our roles, we do lean into this role that we have. We do want to do everything we can, and with the particularly large ridings, of course, that is very challenging.
In fact, I think I may have been in her riding one summer on one of our trips when we were driving south out of…. Where were we? I don’t know. I wish I could remember the town right now. But we got turned around because of forest fires and had to actually turn back, head north, head east. We ended up in Valemount, when we were trying to get back to the Island, and came all the way back down through the Kootenays because the forest fires were so widespread and serious at that point.
Here’s the problem. As soon as politicians start debating anything to do with how our democracy works, there is, I think, a kind of a knee-jerk response amongst many who are paying attention. I’m sure there are thousands watching right now. There’s self-interest at play.
Even with the story of this bill, for example, it could be portrayed that the current government, the NDP, doesn’t hold a lot of rural seats. By removing this clause, there’s an element of self-interest. It diminishes the number of ridings, ridings that, perhaps, they can’t anticipate winning.
However, on the other hand, as the member for Abbotsford West pointed out — and I agree with him — ridings do not belong to parties. They belong to the citizens who live in those ridings. Fortunes change. The voters’ intentions change. Their decisions change, and you get all sorts of different outcomes in elections.
I’m sure we can go back in Hansard. When this stipulation was brought in, the government at the time would have likely been accused by the opposition…. The actions were in their self-interest. They were protecting ridings that they wanted to protect. This is a problem. This is a problem because, I think, more and more, the assumption about us, as representatives, is that we are, by nature, politically motivated.
We heard from Cariboo North about her work in service to her constituents. Everybody, I would argue, that is in this House ran for office because they wanted to serve their communities and their constituents.
Then we get in here, and unfortunately, what seems to happen, particularly, I would say, in the eyes of the public, is that we do appear to be politically motivated. We vote in blocks. Typically, not always, the governing party will all vote one way; the opposition party will all vote one way. With the Third Party, we like to keep people on their toes. Sometimes we vote one way; sometimes we vote another way.
When we have debates like this, I don’t think they typically change minds. I think how the vote is going to happen on this bill was probably determined before this debate began. I don’t know if we’re going to see any change in voter outcome as a result of this debate. It would be nice if there was.
In fact, it would be nice, I think, if it wasn’t so obvious how everybody was going to vote — according to where they’re sitting in the House or which party they belong to. I think we would be serving our democracy better if we saw people voting more along the lines of how they wanted to see things turn out, according to their own principles and, ideally, their constituents.
When we talk about anything related to how our elections work, there is that assumption of political motivation in it. That’s also reflective and reflects back another very serious problem we have, which is the loss of trust in us as representatives, the loss of trust in this institution, the loss of trust in democracy.
I was just pulling up some numbers while I was listening to the debate. In 2019, in Canada, a survey was done, and 63 percent of people surveyed said that “most politicians can’t be trusted.” In 2021, very recent, Canadians were asked who they trusted. And 81 percent of Canadians said they trust doctors; 77 percent trust scientists — go scientists; 24 percent trust business executives; and coming in last, 18 percent of people trust politicians.
Interjections.
S. Furstenau: I have just been asked whether lawyers were on that. I didn’t see lawyers. We could turn to Shakespeare for that.
Over the last year, unfortunately, trust in politicians has actually decreased. It increased a little bit last spring, and then there has been a decrease in surveys and polling that says that trust in politicians has diminished. The lowest levels of trust, I’m sorry to say, are Generation Z. Our youngest population, our newest voters, have the least amount of trust in us as politicians and in our institution.
While we talk about anything, I think, any kind of bill or policies related to our democracy, our elections, how people are elected and how we serve, I think all of us need to have in mind the fact that we have a lot of work to do collectively to rebuild that trust, because that trust is the foundation of democracy. I worry that when it gets too far gone, and when you look at it generation over generation, the Gen Z’s are at the lowest level of trust; millennials and Gen X’ers are tied — still pretty low — and it goes up with boomers. But there is a steady decline, generation over generation, in trust in politicians.
I think part of this, I hope, can help inform how we operate in here. I talk about this a lot. My hope is that the politics can be what’s informing the elections. Politics is about the different visions our political parties have for the province, how we think we could achieve those visions, the plans. Those election times should be highly political. That’s when you’re making your pitch. In between elections should be much more about governance, and we would do better at governance if we spent more time listening and more time working together and less time focused on what separates us, what divides us, what we disagree on.
I would hope that this conversation that we’re having over this bill can extend to a wider conversation that we have, generally, as elected representatives around: how are we going to rebuild trust? How are we going to ensure that this democracy in our province is strengthened during our time here, whether it’s four years or 40 years?
Interjection.
S. Furstenau: No. I’m sorry, to the member. Nowhere near 40.
While I will continue to listen to the members discussing and debating this bill, I do recognize that the geography of this province does present particular challenges for our democracy and that ridings that are so geographically vast make it very difficult for the kind of representation that we all want to provide to our constituents. I think we do have to consider the implications of that. I think that’s important.
How do we improve? How do we make sure that every constituent, every citizen in this province feels an equality of representation, feels an equality of services? I think every British Columbian should have the hope and the expectation that no matter where they live, they have an equality of access to services provided by government — education, health, social services, infrastructure, broadband, opportunities, all manner of things. We know that that’s not the case, but it’s something that we should absolutely be striving for.
The representation piece of that has been pointed out. You spend a lot of your time as an MLA advocating for improvements in services and infrastructure in your riding. That’s one of the main things you do. You want to improve things for your community and your constituents. So there is an implication to having electoral boundaries that make that increasingly difficult for the representatives.
Now, I’ve got warm friendliness here thus far. However, I think I might be about to lose it. We debated at length in 2017 another bill about electoral reform in this province. That was to look at proportional representation. We had a referendum. It was very divisive. It was a very sad outcome for some of us.
However, I think that we always should be looking at how we improve democracy. This is what this debate’s about. Interestingly, with mixed-member proportional representation, you could have more than one representative for a riding. In fact, you could have representatives from different parties for a riding or a region, which would ensure that people are working together across party lines, which I think brings out the best in us.
I do think that there was an opportunity lost in this province to improve and mature our electoral system, which I still, to this day, believe would have improved and matured our governance and would have moved us away from one of the problems that we are now seeing already in this majority government, which is the fact that governments will come in, they’ll get a majority, and they’ll make changes, either by regulation or legislation, that the other party doesn’t like. That party will come in and undo that and put in their own.
This bill almost seems exactly an example of this, so we end up with these swings in our legislation, in our policy, in our governance. Much of the time is spent on undoing what has been done by previous governments as opposed to building on what has been done collectively by the Legislature.
While I will continue to listen to the debate on this bill, I will also ask my colleagues to consider other ways that we can look at improving and maturing our electoral system and our governance in this province. For many of us, the hope for electoral reform and proportional representation — and let us look only to New Zealand to see how that’s worked out — remains a very serious and important goal for us to have as a province.
B. Bailey: Thank you also to the people who’ve spoken in the last half an hour or 45 minutes that I’ve been in here. I’ve enjoyed it and found it very interesting. It has stirred me and made me feel very proud of our province.
I, too, have had the great privilege to travel this province. I want to add that I represent Vancouver–False Creek, and it’s probably one of the most densely populated areas in our province. I think there is something like 6,000 people per square kilometre.
I, like many people, really am a small-town person. I think it’s worth noting that. Sometimes in this discussion we can think about us in very divided terms, where we have people who are rural and people who are urban. But like so many British Columbians, I’m both, and I think many of us are both.
I grew up on a very small island. There were 14 families on the island I grew up on. Where I live now is so very, very different. I value both of those experiences tremendously. Also, using GPS, not the 1986 map, I’ve really enjoyed travelling the province and every summer make sure that I get to somewhere unique and different.
I do want to speak to this legislation because I think it’s very important that we really respect the guiding democratic principle behind it, which essentially is that everyone’s vote should be reasonably equal in weight in choosing elected officials — not 100 percent equal, necessarily, but reasonably equal. I think that’s a very sound guiding principle.
Under the Electoral Boundaries Commission Act, a commissioner must be appointed and in place within a year of the last general election. It essentially ensures that the upcoming commission’s mandate is clear before the commission is appointed. The government is introducing these amendments to the act now. These amendments are going to restore the independence, actually, of the Electoral Boundaries Commission and fix an imbalance in the legislative framework.
The intent of these amendments is to ensure that the location of political boundaries between seats is determined not by politicians but by an independent commission. I, for one — and I’m sure my colleagues in this chamber share this perspective — am very proud that we live in a province, in a jurisdiction, that doesn’t gerrymander, that doesn’t make political decisions about boundaries. This is, in fact, quite different than that. So I want to disabuse people of the notion of thinking of House of Cards or other similar representations of other jurisdictions. That’s not the case.
The commission will be asked to achieve, through recommendations, to the extent possible, the fundamental democratic principle that everyone’s vote should be reasonably equal in weight in choosing elected officials. The 2014 amendments, which were made to the Electoral Boundaries Commission Act, restricted the commission’s ability to independently recommend boundaries by establishing three regions that were collectively guaranteed a minimum of 17 electoral districts, regardless of their population.
Most provinces actually don’t have these kinds of regions at all. That’s why government is fixing the imbalance in the legislative framework by removing that amendment. It would give the commission more independence to adjust boundaries across the province, while balancing factors such as population and geography, to provide effective representation.
B.C.’s population is expected to have grown by over 500,000 people, half a million people, since the last electoral boundaries were set. However, under the current legislation, the maximum allowed number of electoral districts, as you know, is 87.
One of the amendments will give the independent commission the option to recommend up to six new districts to enhance their ability to respond to B.C.’s significant population growth. Currently the legislation requires that the population of electoral districts is no more than 25 percent above or below the average district population, unless there are very special circumstances.
To ensure that the act recognizes the representation concerns in less populated regions, the proposed amendment specifies that the commission may consider special circumstances respecting demographic and geographic factors, including keeping a manageable geographic size for the electoral districts. I think that’s really important, considering the very powerful words of some of the folks who have spoken today who represent areas that are pretty vast. It’s really important that that be considered, and I think that’s included here.
What do we mean when we talk about effective representation? Effective representation means that everyone’s vote should be reasonably equal in strength. Again, I come back to that founding and guiding point. It also requires the recognition of factors like geography, community history, community interests and demographic circumstances. These changes strengthen the act’s support for effective representation and better support the commission in their work to ensure it’s upheld everywhere in the province.
This is about ensuring effective representation for people and the core democratic principle. It’s ultimately up to the independent commission to make that recommendation on whether or not they think there should be more electoral districts. We’re giving them the option of recommending not necessarily six but up to six more.
B.C.’s population is estimated to have grown by, as I mentioned, half a million people. That’s over 10 percent since the last electoral boundaries were set. But under the current legislation, again, capped at 87. An increase like this is not unheard of.
The government of the day gave the 2008 commission the same option to recommend up to six seats. By giving the commission the option of adding more electoral districts, we’re giving them the ability to support population growth in urban areas while continuing to support effective representation in the north and the interior. Again, everyone’s vote should be reasonably equal in strength.
In 2014, amendments were made to the Electoral Boundaries Commission Act which restricted the commission’s ability to independently recommend boundaries by establishing three regions that were collectively guaranteed a minimum of 17 electoral districts, regardless of their population. Most provinces don’t have this kind of a region at all. That’s why this government is fixing the imbalance in the legislative framework by removing this 2014 amendment.
Again, it’ll give the commission more independence to adjust boundaries across the province, while balancing factors such as population and geography, to provide effective representation. Further, the proposed amendments recognize the representation concerns of less populated regions by making it explicit in the act that the commission may take into account special considerations respecting demographic and geographic factors, including keeping a manageable geographic size for electoral district. It’s important, and it will be considered.
Deputy Speaker: Hon. Member, noting the hour, I would ask you to reserve your place and to please move adjournment of debate.
B. Bailey: Thank you, Mr. Speaker. Noting the hour, I reserve my place to continue at the next sitting and move adjournment of the debate.
B. Bailey moved adjournment of debate.
Motion approved.
Deputy Speaker: Members, pursuant to sessional order 2, deferred divisions will take place this evening.
The first division is on clause 2 of Bill 13, Employment Standards Amendment Act (No. 2), 2021. The second division is on third reading of Bill 5, InBC Investment Corp. Act.
Hon. R. Kahlon: I call committee on Bill 13.
Committee of the Whole House
BILL 13 — EMPLOYMENT STANDARDS
AMENDMENT ACT (No. 2), 2021
(continued)
The House in Committee of the Whole (Section B) on Bill 13; N. Letnick in the chair.
The committee met at 6:28 p.m.
On clause 2 (continued).
The Chair: Pursuant to sessional order, the committee stands recessed for ten minutes.
The committee recessed from 6:29 p.m. to 6:39 p.m.
[N. Letnick in the chair.]
The Chair: The division vote will commence in five minutes.
Members, we will now proceed with the division. The question is whether clause 2 of Bill 13, Employment Standards Amendment Act (No. 2), 2021, shall pass.
Clause 2 approved on the following division:
YEAS — 58 | ||
Alexis | Anderson | Babchuk |
Bailey | Bains | Beare |
Begg | Brar | Chandra Herbert |
Chant | Chen | Chow |
Conroy | Coulter | Cullen |
Dean | D’Eith | Dix |
Donnelly | Dykeman | Eby |
Elmore | Farnworth | Fleming |
Furstenau | Glumac | Greene |
Heyman | Horgan | Kahlon |
Kang | Leonard | Lore |
Ma | Malcolmson | Mark |
Mercier | Olsen | Osborne |
Paddon | Popham | Ralston |
Rankin | Rice | Robinson |
Routledge | Routley | Russell |
Sandhu | Sharma | Simons |
Sims | A. Singh | R. Singh |
Starchuk | Walker | Whiteside |
| Yao |
|
NAYS — 27 | ||
Ashton | Banman | Bernier |
Bond | Cadieux | Clovechok |
Davies | de Jong | Doerkson |
Halford | Kirkpatrick | Kyllo |
Lee | Merrifield | Milobar |
Morris | Oakes | Paton |
Ross | Rustad | Shypitka |
Stewart | Stone | Sturdy |
Tegart | Wat | Wilkinson |
Title approved.
Hon. H. Bains: I move that the committee rise and report the bill complete without amendment.
Motion approved.
The committee rose at 6:52 p.m.
The House resumed; Mr. Speaker in the chair.
Report and
Third Reading of Bills
BILL 13 — EMPLOYMENT STANDARDS
AMENDMENT ACT
(No. 2), 2021
Bill 13, Employment Standards Amendment Act (No. 2), 2021, reported complete without amendment, read a third time and passed.
Mr. Speaker: Members, we will now proceed with the second division.
Third Reading of Bills
BILL 5 — InBC INVESTMENT CORP. ACT
(continued)
Bill 5, InBC Investment Corp. Act, read a third time and passed on the following division:
YEAS — 58 | ||
Alexis | Anderson | Babchuk |
Bailey | Bains | Beare |
Begg | Brar | Chandra Herbert |
Chant | Chen | Chow |
Conroy | Coulter | Cullen |
Dean | D’Eith | Dix |
Donnelly | Dykeman | Eby |
Elmore | Farnworth | Fleming |
Furstenau | Glumac | Greene |
Heyman | Horgan | Kahlon |
Kang | Leonard | Lore |
Ma | Malcolmson | Mark |
Mercier | Olsen | Osborne |
Paddon | Popham | Ralston |
Rankin | Rice | Robinson |
Routledge | Routley | Russell |
Sandhu | Sharma | Simons |
Sims | A. Singh | R. Singh |
Starchuk | Walker | Whiteside |
| Yao |
|
NAYS — 28 | ||
Ashton | Banman | Bernier |
Bond | Cadieux | Clovechok |
Davies | de Jong | Doerkson |
Halford | Kirkpatrick | Kyllo |
Lee | Letnick | Merrifield |
Milobar | Morris | Oakes |
Paton | Ross | Rustad |
Shypitka | Stewart | Stone |
Sturdy | Tegart | Wat |
| Wilkinson |
|
Committee of Supply (Section A), having reported progress, was granted leave to sit again.
Committee of Supply (Section C), having reported progress, was granted leave to sit again.
Hon. M. Farnworth moved adjournment of the House.
Motion approved.
Mr. Speaker: This House stands adjourned until 10 a.m. tomorrow.
The House adjourned at 7 p.m.
PROCEEDINGS IN THE
DOUGLAS FIR ROOM
Committee of Supply
ESTIMATES: MINISTRY OF EDUCATION
The House in Committee of Supply (Section A); R. Leonard in the chair.
The committee met at 2:38 p.m.
On Vote 22: ministry operations, $7,093,293,000.
The Chair: Minister, do you have any opening remarks?
Hon. J. Whiteside: I do, thank you. I would like to just take a moment, if I can, to introduce myself and make a few reflections on where we’re at in education.
Of course, my name is Jennifer Whiteside. I’m the MLA for New Westminster and the Minister of Education. I can’t tell you what a pleasure it is to be back here today in the Legislature, and I welcome those who are joining us virtually today.
I want to acknowledge that I am on the traditional territory of the Lək̓ʷəŋin̓əŋ-speaking people of the Songhees and Esquimalt First Nations.
I really can’t tell you what an honour it is to stand before you today in strong support of Budget 2021, as both the MLA for New Westminster and as B.C.’s Minister of Education. I very much welcome the opportunity to provide some opening remarks here for the Budget 2021 estimates for the Ministry of Education.
I think I have to start, really, by acknowledging that this year of the pandemic, the COVID-19 pandemic, has had a deep, profound and unique impact on our education system and the people who both learn in that system and work in that system in British Columbia. I think never before have we experienced a systemwide sort of challenge like this in B.C.
But I want to say that we have had some remarkable achievements this year. The vast majority of B.C. students returned to full-time class instruction in September, and that and the fact that we’ve been able to have students return and keep our schools open has been a testament to the incredible work from everyone across the system — the teachers, the educational assistants, the clerks and custodians, vice-principals, principals, superintendents, trustees, all of the Indigenous rights partners that we work with, all of the advocates and, of course, parents and kids.
Everyone worked across the system to ensure that classroom safety plans were implemented while providing options for some parents and families to enrol in online pandemic-related transitional programs that kept students connected to their community, school or home-schooling programs. This school year everyone had to be flexible and adapt to the changing need of students.
Throughout this unprecedented pandemic, our education partners have responded in ways that I think have made us very proud to be British Columbians. We have worked closely with the Ministry of Health and the BCCDC to use evidence and science-based approaches to creating health and safety plans. Compared to other jurisdictions, I think there is no question that B.C. has done remarkably well on the global scale, and better than most other provinces, by putting the needs of students first and keeping schools open and safe.
Really, if there’s one takeaway from school year, it’s that we have tremendous education and health professionals who care deeply about people, our communities and our children.
I know that we’ll have lots of opportunity to talk in depth about the COVID funding response, but just to say that in addition to Budget 2021’s historic high investments in school operating and capital funding, we’ve also supplied schools and districts in this past year with significant one-time funding to keep schools open and safe. Provincial and federal funding totals $288 million for the 2020-2021 school year, and I imagine we’ll be speaking about that in some more depth through the course of this process.
Just a couple of comments on the education budget itself. Budget 2021 ensures that our education system will have the highest-ever school operating and capital funding. Our Ministry of Education’s operating budget is $7.1 billion for 2021-2022. K-to-12 education is receiving record levels of funding in this budget, with a 6.6 percent increase over last year and $1.5 billion more compared to 2016-2017. Of course, we know education is all about people, and 90 percent of the costs in our K-to-12 education system are about people, funding our teachers, education assistants, our support staff and all of the other supports.
Our government’s budget in 2021 fully funds negotiated labour costs for teachers and support staff by adding $662 million, and government is also providing school districts with $424 million for more services and more students in public schools. We are continuing to make record investments in school facilities, with $3.5 billion budgeted over the next three years for new and expanded schools, seismic upgrades, maintenance, playgrounds and property purchases for future schools.
Building on investments announced in recent years, Budget 2021 includes an additional $235 million over three years for accelerating seismic upgrades, an additional $100 million for school site acquisitions in fast-growing areas, and $177 million more for expansion projects that address enrolment growth and reduced portable use. Compared to Budget 2016, Budget 2021 invests nearly $1.6 billion more over the planned period for maintaining, improving and expanding B.C.’s school facilities.
Our government’s budget also includes funding to improve access to vital mental health programs and services in schools to support our mental health in schools strategy. There’s funding, as well, to expand early learning and on-site school child care opportunities, and for us to develop a framework to address racism and reconciliation.
I think there’s no question that now, more than ever before, we need to prioritize the health and well-being of our children and youth. Overall, Budget 2021 invests $21.5 billion over three years to develop our K-to-12 education system in B.C.
As I conclude, just a note about September — which, I know, is very much on everybody’s mind, even though we have a ways, just a little bit, to go yet before we get there. As we are starting to return to a near-normal state in our K-to-12 education system by building on the successes we’ve accomplished during this past challenging year and continuing to improve outcomes and equity for all B.C. children, I just want to thank you for allowing me to share some of the important work underway at the Ministry of Education and the record level of funding that we are providing to support that work.
I very much look forward to answering your questions and going over our significant accomplishments in greater detail.
The Chair: Recognizing the member for Fraser-Nicola.
Just a reminder for everyone to address the Chair.
J. Tegart: Thank you, Madam Chair.
It’s a pleasure to be here today to talk about what I think is one of the most important ministries that we have, and also to hear the comments from the minister. I’m looking forward to working with her over the next year to make sure that our common interest of quality education of students is what guides the work that we do.
It was a pleasure to hear, from the minister, of the support given to students by the incredible staff in our schools and in our school districts and also by the co-governors of our school districts: the school boards.
Everyone has worked very, very hard to make this as successful a year as they could under COVID challenges. The minister has given an overview of what the successes were, and quite an in-depth view of the dollars that are being added to the system. But before we get into further questions, I’m wondering if the minister could give us an assessment of where the system is at, given the COVID challenges.
What I’m hearing from parents is a great deal of concern about students. What I’m hearing from parents is concern about whether students will be left behind due to some of the challenges around service delivery during COVID. I’m wondering if the minister could give some thought and perhaps share with us some of those challenges that we see, and I will follow up with some questions in regard to how we’re going to address those, based on the budget numbers.
Hon. J. Whiteside: Thank you for that question. I think it’s really important that we take an opportunity to start to reflect on how we have come through this unprecedented year.
I think I want to start by saying that one of the things I think really distinguishes how British Columbia responded to the pandemic is the degree of collaboration and coordination across stakeholder groups that really characterized our approach, I would say, in many ways, across many areas, but particularly in education.
I think we have seen that in that we immediately pulled together a provincial steering committee of all of our education partners. That group has met all year since the beginning. It shepherded through our reopening in June. That group collaborated on establishing the safety plans that were fundamental to the restarting of schools in September. They have met every week together since and currently are meeting twice a week in order to ensure that we continue the work that we are doing to ensure we conclude the school year successfully but also that we plan for September successfully as well.
I can’t say enough about how important I think that forum has been and that collaboration has been, because every single partner around that table is primarily concerned about students, primarily concerned about equity of access for students and working to make sure that in fact, we minimize, to the greatest extent that we can, the impact of the pandemic on students. I think that, really, was what underpinned the approach of the safety plans, which was to maximize in-school learning.
We learned really clearly from the work that the BCCDC did in September that the impact on students of not being in schools for that period that they were out, in the spring, at the beginning of the pandemic, was dramatic. I think that their advice really informed the sense of urgency and the shared commitment to making sure we could keep schools open.
Of course, notwithstanding that we have had kids, for the most part…. I think that we had 90 percent of students return in September to schools, and 80 percent of those students were actually in a classroom. So we’ve had the benefit of that throughout the course of the pandemic.
We’re now at a point where we are working again with our stakeholder and partner groups to understand the impact of COVID, and that will be assessed in a number of different ways. There are a number of different research projects going on. There’s project work that the ministry is doing internally, assessing the data that we have internally. There is work that we are doing with UBC HELP, the health and early learning project at UBC.
There is the work that the CDC is continuing to do. They’re doing another round, kind of a part two, of the work that they did in September regarding the impact of COVID on kids. Then, of course, we have the assessments that are conducted in the system. Those will help us assess where things are at for kids who have gone through this really unprecedented experience.
I think probably I’ll leave it there. I know that you probably have some specific questions. Importantly, I think the other point I would just want to note is that, of course, the First Nations Education Steering Committee is part of our partner group, as is the Métis Nation. So there’s been a focus on and direct work with Indigenous partners with respect to impacts of the pandemic on Indigenous students and particular investments made throughout this year to support the work that First Nations have done in that regard.
Perhaps I’ll leave it there.
J. Tegart: Thank you to the minister for that information. I think it’s really important that as we look at September and we look at this budget, we be real about where the system is at.
I’ve heard from parents, as I’m sure the minister has, in regards to the impact on their children in their homes. A particular story that comes back to me is a teacher who phoned and a young gentleman in grade 9 who just wanted to be back in school so badly. They had a multigenerational family. The decision was he could go back to school, but when he came home, he was not to come upstairs.
When we look at how long kids have been in this process, we can’t assume that because they attend school and sit in a desk, they’re okay. We’ve heard from many parents who have talked about the impact, particularly on young teenagers, who are in that developmental stage, where they often don’t even like themselves and are searching for who they are, and then to go through a pandemic where the schooling is different. The parents talk about kids in basements, kids in their rooms never coming out, kids depressed, kids who have dropped out.
As we hear about projects that are happening to assess where we’re at, I would ask…. The minister indicated that the impact was dramatic. I’m going to repeat those words probably many times over the next few hours. It is dramatic. It’s dramatic in the classroom, in the home, in that child’s life.
On the research projects that are being done, are we measuring dropout rates? Are we measuring academic impact? Are we measuring mental impacts? Are we looking at what the cost implications of the results of those are? And are they reflected in this budget?
Hon. J. Whiteside: Thank you for the question. I think it’s important to recognize that if we didn’t understand this before….
I know the member understands this well because of the member’s previous experience as an activist, as a school trustee. The incredible societal value of education, I think, was made very, very clear during our experience in the pandemic, not only because of the learning and the intellectual development that children access when they’re in schools, but also because of all of the other supports that kids receive, whether it’s mental health supports or meal supports or, importantly, the sense of belonging to a school community.
I just say I was really, really struck in the opportunities that I’ve had to speak directly with students about just how much they value, and how important it is for them to have, that social interaction. I’d say social interaction with their peers, but also the relationship from the educators in the system is really critical to kids as well.
I think that yes, there will certainly be a range of outcomes and impacts that are examined. In terms of the work being done with academic partners, those will certainly bring a very sophisticated research lens to all of the issues, all of the domains that we need to be looking at. We certainly track attendance, for example, within the ministry. Interestingly, what we found was that, really, rates of attendance for kids were very consistent with the data we have for previous years. We were paying very close attention to how that was playing out.
Of course, we have assessment data that will be looked at. We also, as many will know who have experience in the system, run a survey every year called the student learning survey. That’s conducted at grade 4, grade 7, grade 10 and grade 12. That is a really important source of information for how students are self-identifying in terms of their progress and how they feel about what they’re learning, about their school environment and how they feel in the school community. That will also be an important source.
I think in light and in line, as well, with the work that we are doing — again, the collaborative approach, which has been very unique in British Columbia, the work that we have done together with education partners — we are working with the BCTF on work that they are doing to assess impacts on adults in the system, and working with CUPE in that regard as well. I think that we’re going to have, once we are through this process, a very rich kind of understanding and picture of what has happened.
I just want to address some of the issues that impact mental health, in particular, for kids. We’ve seen a significant investment in this budget for adding more mental health resources — we have $6 million additional in the fiscal plan — in addition to the establishment of the expansion of the child and youth integrated mental health teams, which will also be very, very helpful in this regard.
J. Tegart: Thank you very much for that information. I think it’s really important that those of us who are leaders in this system recognize where we’re at, that it has not been a normal year, and that we may need to look at different ways to do things in September, based on the assessment of this last year.
The minister mentioned assessment data that is done regularly in the schools. I would ask the minister: have those tools been adjusted to reflect COVID and the reality of day-to-day schooling in COVID?
Hon. J. Whiteside: I guess, when it comes to how we deal with assessment within the K-to-12 system, one of the important points to remember is that we measure things over time. We have tools, whether it’s graduation, the secondary school assessments or the FSA’s or the student learning survey. We have baselines, and we measure against those baselines over time.
We will have a sense, as we run those assessments in the next year, based on the pre-COVID year and the COVID year, that will yield important information. Also important that we keep those measures consistent.
Of course, the work that we’re doing specifically with academics, with BCTF, is very specific to COVID. That will, again, provide information specific about the impact of the COVID experience.
We, again, track things like the attendance data. Because of the high level of engagement across the sector, we’ve had rapid response teams, which are in the field working directly with school districts and working directly with individual schools on where there have been exposures. That process, as well, is also a really helpful source of information about how things are unfolding in schools. We have a number of different ways of getting at the information I think we’ll need.
J. Tegart: Thank you to the minister for that information.
I guess what I’m trying to do is set the stage for where we’re at today and where we’ll be in the next three to five years, based on the experience of COVID, and that we budget accordingly, based on the best knowledge that we can gather as we go forward. I think it would be a grave mistake for all of us, as adults, to assume that because kids attend school, they’re feeling the same way they did when they weren’t in COVID.
I think we’ve heard from parents about challenges. I’m just wondering, as a system, whether we’re recognizing those challenges that our young people are facing. When I have a six-year-old kindergarten child talk to me about being afraid to take COVID home to their grandparents and making people in their family sick, I think that that’s something we can’t ignore.
Just before I move on to talking about staff, I wonder if we’re also measuring dropout rates — I see a nod over there — because I think that’s very indicative, also, of how kids were feeling about when education models changed, when they were at home alone, when there was a lack of motivation and it was just easier to get a job and go and make some money. I wonder what our strategy is around getting those kids back into the system and being successful and recognizing the environment in which they made that decision.
One last question, and then I’ll move on to staff.
The minister has talked about this being a process and that there will be a report-out. How long will the process take, and will it be in time for the planning for September?
Hon. J. Whiteside: Yeah. I think it’s helpful to just think back to what we learned, for example, from the work that the ministry did earlier in the pandemic to assess the impact on students who had transitioned to online as a result of the closing of schools. The assessment that we did of that really informed how we planned for the return to school in September.
It is a dynamic process of the system continually collecting the information on attendance, information out of the assessment process and the annual surveys that are done and having discussions with districts on an ongoing basis around how those outcomes should be informing how districts are planning. That kind of continuous improvement cycle is in place all the time.
Then, of course, the CDC will do their work. I’m not sure what the time frame is for their work. Again, I’d say, the work that we do with partners around this is also ongoing.
I also just want to address the anecdote that the member raised. I, too, have heard from students about their concerns.
I think that one of the things that we have all tried to really do is to mitigate the impact of COVID on the mental health and well-being of children. They’ve been in it with us. We keep saying that what happens in schools is a reflection of what happens in our communities.
I’ve heard those concerns from children. I’ve also heard from children about the incredible importance to them of being in school, of being able to be with their friends, of being able to be with their teachers. Kids have experienced the pandemic as we have and as our communities have.
I want to note, as well, that in terms of last year, our assessment about how we sort of did through the pandemic year…. One of the things that we measure, of course, is the number of students that progress from grade to grade. Last year we had the highest-ever percentage of grade 11s transitioning to grade 12 and the highest-ever percentage of graduation across the province.
Graduation, of course, is something we’ll be tracking very carefully. We’re in the zone for that, and we’ll know very soon. This is something that the ministry has really refined over the years, being able to collect data, refine it, work with districts and respond very quickly to it.
So yes, all of this does factor into what we’re thinking about for September, how we are planning for September and how we are working with districts. Of course, it’s at the district level, as well, where they have a need to monitor and evaluate how things are and report back to the ministry in terms of how things are going for them in their districts.
J. Tegart: Thank you to the minister for that information.
I think it’s really important, when we talk about schools, that the first thing we talk about is students. We are a system, and we serve our students. To me, everything that we spend and everything that we do needs to focus on students.
The next set of questions I want to ask is about staff and about the fact that we have had incredible staff in our schools over the last year, two years — for many years but particularly over the COVID years — who have stepped up and gone above and beyond.
I’m most interested in knowing how we’re assessing how they are doing. Certainly, I have heard from a great many. I want to share this one, from a teacher, who says:
“I’m tired. I’m worn out. I’m watching staff members go out on stress leave because they feel absolutely unsupported — not by the school administration, who, make no mistake, are as tired and frustrated as the rest of us, but by our government and PHO. This week, a four-day school week, we, in a small school of barely 600 students, have had an exposure notice every day.
“At what point does government stop feeding us the absolute lie that schools are not a place of transmission? At what point do they put their egos aside, admit they are wrong and start making decisions that are actually effective?”
Now, we can squabble about people’s perceptions of what’s happening, but I think we need to recognize…. Those words express how many people in the system are feeling in regards to information-sharing, data sharing, being undervalued, feeling like they’re alone, those kinds of things. We do many things in schools and in systems to try to support people, but when we’ve got people in our schools feeling this way, we can’t pretend it’s not happening.
I’m wondering, at the ministry level, how we are assessing our teachers, our support staff, our administrators or anyone who works in the system. How are we assessing how they’re doing — their stress and anxiety, how many sick days? Are we looking at a lot of early retirements?
Hon. J. Whiteside: I think that it will become increasingly evident as we make it to the end of the school year that British Columbians owe educators — all of the staff who work in our K-12 system — an incredible debt of gratitude for the remarkable work that they have done to keep our schools open, to keep them safe and to mitigate, to the greatest extent possible, the transmission of COVID in schools.
There have been — and I think we have, all of us, in our own communities and in our own sectors, seen — remarkable acts of social solidarity as our communities have worked to keep each other safe. I’ve heard stories of teachers and principals connecting with families who are in transition programs and not attending schools — delivering groceries or calling, every single day, to keep that connection going.
I think that while there’s no question that there’s been an incredible impact as a result of the stress and anxiety of living through and working through a global pandemic, the resilience, really, in our system has been remarkable. I think what we have tried to do is work to ensure that we have consistency and predictability in the system in order to mitigate that sense of instability.
We of course are very concerned about the health and well-being of the education workforce, and we are working right now with the human early learning partnership at UBC on a teacher survey, where that academic department is, in fact, surveying teachers, in particular, to assess how they did in COVID, to assess their well-being. I’m really pleased that we’re working with UBC on that project. Again, we work with BCTF. The BCTF shares with us the information that they collect, data that they collect on their own research work that they do.
One of the most tangible, I guess, factors or criteria would be how we assess attendance data. We found that attendance data has been very consistent throughout this year and very consistent with previous years. Again, I think that’s a real testament to educators and to support staff in our system, who have continued to show up for kids every single day throughout this pandemic.
Having said that, just in terms of the exposures, there’s no question that, again, what happens in schools is a reflection of what happens in our communities. There have been areas of the province, particular communities, particular times, when we have seen exposure notifications increase because there’s increased transmission in communities. That, of course, has an impact. That creates anxiety. But it’s important to note that an exposure notification is not necessarily an indication of transmission. It’s not the same as a case.
I think that we should be incredibly proud of the work that has been done, right across our education system, with the support of the medical health officers, the school health officers in the health authorities, who support our school districts, who’ve worked, day in and day out, closely and collaboratively with our school districts, to manage the situation in schools.
Of course, we will continue to work closely with our partners. I think I should also say that our provincial steering committee has a health and safety subgroup, and we’ve created a subgroup from that that is focused on mental health and wellness for everybody in the system. We’re working in that forum, very collaboratively with our partners, on those issues.
With respect to the question about retirements, we did not see an appreciable impact on retirements in the previous year, and we’re not quite through the year yet. So we don’t know, but it’s something that of course we’re going track very, very carefully, in terms of workforce planning.
J. Tegart: In the response, the minister indicated that the UBC project is ongoing and that BCTF shares data. In the name of transparency, is that data available to the public? Also on the UBC project, what are the timelines, and when will their report be released?
Hon. J. Whiteside: With respect to the UBC project, they are in the process right now, as I understand it, of refining the report. I understand it will be published. It will be publicly available. I can’t speak to the timeline for that because it’s UBC’s report. Hopefully soon, perhaps late summer.
With respect to information that’s collected by other organizations, by partner organizations from their members, they are the ones who have that data. Perhaps they can help with that and provide that information.
J. Tegart: I’d like to now move on to where school districts are. I’m hearing from a great many school districts, after this year of COVID, that they are in deficit budgets. We all know what that means, as we move into a new school year. If you don’t make up the deficit, you are cutting programs or cutting staff.
I’m wondering if the minister could share how many school districts are in surplus and how many are in deficit?
Hon. J. Whiteside: Thank you to the member for the question.
I just, by way of starting, think it is important to note that, again, our upcoming budget invests record amounts in our K-to-12 system. Districts will see $437 million additional to operate this year. We have been steadily increasing the education budget, and we’re seeing record investments, both on the operating side and the capital side, in this upcoming fiscal period.
I think, as folks know, school districts are in the process right now of setting their budgets. I can say that across the piece, all 60 districts have some amount of accumulated surplus. We’ve started to receive budgets from districts, all balanced. We have not received any requests from a district to submit a deficit budget.
The Chair: Members, we’re going to take a ten-minute recess, and we’ll convene — my timepiece says 4:03 — at 4:13.
The committee recessed from 4:03 p.m. to 4:12 p.m.
[H. Yao in the chair.]
The Chair: Continuing debate, I now recognize the member for Fraser-Nicola.
J. Tegart: Thank you very much, Mr. Chair, and welcome to the chair. We’ve got a pretty friendly group here, so I think you won’t be that challenged.
The minister indicated that we’re in the budget process for school districts. I wonder if she could give us a sense of how many school districts felt that the COVID dollars that were sent to the school district were adequate, or if they had to put some of their own operating dollars into some of the strategies that were needed to meet the safety plans.
The Chair: Minister.
Hon. J. Whiteside: Thank you, Chair, and welcome to the chair.
Again, I think one of the approaches that was really key in how we managed the pandemic across our K-12 system was working very collaboratively with all of our partner groups. Of course, the BCSTA was a key partner. We have met weekly with them as part of the steering committee.
Of course, our ministry staff work very, very closely with the BCSTA. I think that school districts were very appreciative of the $288 million that was allocated in federal and provincial money to support the safety plans. I think, by and large, it was felt that it was adequate to support the plans and to deliver education. I will note that we had some districts at some point during the year asking whether it would be possible to carry over that funding. So I think that that’s one indication that the money certainly went to good use.
J. Tegart: I’ll just read a notice that I received from one of the school boards that said that the money allocated by the federal government was not enough to cover COVID expenses. The board meeting minutes indicate that approximately $280,000 was moved from operating surplus funding to cover additional expenses. As I talked to people in the system, I understand that that’s not an outlier, that there are a number of school districts who found that the dollars did not cover what the expectations were.
The minister has mentioned $288 million. Could you indicate and share with us how many of those dollars were federal and how many were provincial?
Hon. J. Whiteside: So $242.4 million came from the federal government, and $45.6 million came from the provincial government.
J. Tegart: Could the minister please share with us what the parameters were for the federal dollars and the provincial dollars, if they were different?
Hon. J. Whiteside: The general instruction to districts was to spend the money to really support the safe restart plan. That was the overall objective. The reporting requirements were essentially: “Here’s what you can spend it on, and we need districts to report back to us on those particular categories.”
There were some slight differences in the federal money versus the provincial money. In terms of the federal money, the instruction to districts was that that was to be aligned with the K-to-12 restart plan in the district, that districts needed to consider the needs of Indigenous students and that they could use the funding to support learning resources and supports, as well as health and safety, transportation, and before- and after-school child care. The provincial money was targeted for cleaning, both in terms of time and supplies, for hand hygiene and personal protective equipment, and to support remote learning.
J. Tegart: To the minister: can you explain how the dollars were distributed? Just how the dollars were distributed would be a good start.
Hon. J. Whiteside: Okay. It’s slightly more complicated than I thought that it was, but I think I’ve got it straight. I’ll start with the federal money.
The federal money was distributed in two phases. We split it in half, essentially, and distributed 50 percent, less a 10 percent holdback, in September — those funds, in the first phase, were based on head count — to districts. For the second phase of the federal money — so the second 50 percent — in February, the vast majority was based on head count, but we took $8.2 million of the 50 percent and directly funded First Nations, rather than going through school districts. We took $900,000 to fund the rapid response teams, which were implemented early in the year as part of our responsive approach to how the pandemic was emerging.
Okay, that’s good? The 10 percent holdback was distributed in — I’ll double-check the timing on that — February, I think, as well. The majority of that money was, again, distributed on head count. We retained a bit of it to distribute to districts where the districts had experienced higher exposure notices.
For the provincial money, where there had been somewhat different criteria, the allocation of those funds was based on the different buckets. So for masks and PPE, that allocation went out based on head count. The funding for computer and technology resources to support remote learning — those funds were weighted, based on a district’s percentage of students with special needs.
Cleaning supplies and hand-hygiene funding was essentially based on school space, the square footage for schools. We had applied a minimum, so that no district would get below a certain amount of funding.
This was the clearest piece. Of the holdback, the 10 percent that was held back of the first 50 percent of the federal funding, 80 percent — that was the stat that I was looking for — was allocated based on enrolment. The remaining 20 percent was allocated based on exposure events reported by school districts.
J. Tegart: Could the minister explain the 50 percent for First Nations? How was that distributed, and what were the expectations from those dollars?
Hon. J. Whiteside: To clarify, it wasn’t 50 percent of the total funding. It was $8.2 million of the second phase of 50 percent. That funding was distributed through the First Nations Education Steering Committee to First Nations in order to support Indigenous students with learning loss and student health, with technology for remote learning, mental health supports, adapting spaces to create learning spaces and for enhanced cleaning.
As we all know, there were several First Nations communities where everyone was required to shelter in place. It did require quite a bit of disruption in those communities as students were required to completely shift to online learning in on-reserve space.
J. Tegart: So $288 million went into the system to address safety concerns around COVID. In this budget, is there $288 million to continue?
Hon. J. Whiteside: Again, I think it’s important to note that Budget ’21-22 makes a record investment in our education system — a 6.6 increase over spending in the previous year. Generally, there’s funding in the budget for general recovery as we come out of COVID.
I’d say that the $242 million that came from the federal government was one-time money to recognize extraordinary circumstances as a result of the global pandemic. We, right now, are in the process of planning for a regular return to September. We’re anticipating that September is going to look much more like it usually would.
Of course, we’re tracking very closely the development of the pandemic, assessing the situation, meeting with our steering committee regularly to develop these plans. Of course, we will take direction and advice from our provincial health officials with respect to what safety plans need to accompany what we are anticipating and hoping will be a return back to a much more normal situation in September.
J. Tegart: Dollars spent on ventilation to address air quality. The fact that, as COVID goes on, we learn more about how COVID is spread…. There’s a great deal of concern coming from parents in regards to airborne.
Social distancing in classrooms. Teachers and staff on the ground will tell you it’s almost impossible to accomplish social distancing. If you go into a school…. I’ve heard from a great many staff who say that it sounds good, but it’s very, very difficult to achieve.
Teachers who were hired to help with the social distancing, with the hybrid model, with the distance learning. Will they be included in this budget, without the added dollars?
The added cleaning, the cleaning staff. CUPE has done an incredible job in keeping our schools safe, but that is added hours in a week and added product, because we’re doing a different kind of cleaning.
Buses and school bus routes. In my school district, a great percentage of the children ride a bus to school. How are we doing the cleaning and the social distancing on a school bus?
Washing stations; PPE; distance learning is one of those things we learned as we tried to provide different options for parents and families; as you said, Indigenous studies; before-and-after-school care.
What I hear from school districts is that if there are not added dollars to help with those safety plans, they are going to have to find the dollars somewhere. As the minister is likely aware — as certainly I’m aware, after 17 years on a school board — a certain percentage of any increase in a budget goes to continuous costs such as staffing, such as inflation, such as capital costs. We only have to look at a price of a two-by-four to know that to do any kind of maintenance in a school is extremely expensive right now.
I’m asking the minister one more time: will there be added dollars in this budget to address the safety of our children in school due to COVID? Because I truly believe that, as much as all of us would love to know whether we’re going to still be addressing COVID in our communities, it would be naive of us to think things are back to normal.
Hon. J. Whiteside: Well, I mean, one area where I think we certainly all agree is that staff have done a remarkable job this year, and I do want to give a real shout-out to the CUPE custodians. I have to say that there was this really lovely episode at one point during the winter where, in my school district, the custodian came to work one day and all of the school had put up these sort of hearts and thank-yous for the incredible work that he was doing to keep their school clean, so I know that that work has been very, very, very appreciated.
I think it’s maybe helpful just to think about the investments, about how the one-time federal money has been used because some of that investment certainly is going to be ongoing. For example, $3.4 million was spent across the system in electrostatic sprayers and foggers. That’s an investment that will stay and will continue to be used in our schools.
Also $1.1 million on other cleaning equipment, and $10 million of the federal funding went to HVAC improvements. Those improvements, of course, will continue. As well, $9.3 million was invested in computers, laptops and iPads, and $2 million in handwashing stations. All of those are investments that are going to continue to be in place to continue to support healthy conditions in our schools.
I’d note, as well, that just in terms of our non-COVID spending, our regular capital spending, I’m very proud of the work that our government has done to make further investments in maintenance — general maintenance funding — for schools. For example, in this current school year and the next year we will, out of that regular funding for schools from the provincial government, see $77 million in HVAC projects across our system, which is a big investment.
When it comes to the approach that we looked at last year, of course, I mean, safety is always a top priority — always a top priority for both students and staff in school.
We, throughout the pandemic, of course, have worked with public health and taken advice and guidance and direction from public health about what was required. The funding that went into the safety plans was aligned with that direction.
It’s the same approach here as we prepare for this September, but recognizing that this September will look quite different. We have a situation where in Surrey, for example, we have virtually all of the education staff vaccinated. Across the province, we have most of the education staff vaccinated. The situation is different.
We’re in the process of making that assessment with respect to the question about cohorts, which was one key element of how schools were managed. We had the introduction of cohorts and learning groups. The decision about how we need to organize schools, based on advice from the PHO, is coming very soon. That will inform how we think we need to move forward in preparation for this September.
The Chair: Member for Fraser-Nicola, whom shall the Chair recognize for the next question?
J. Tegart: I would like to suggest we recognize Prince George–Valemount has a question.
S. Bond: Thank you to my colleague for the opportunity to ask a couple of questions this afternoon. I’m acutely aware of the crunch for time that we are facing, so I’m hopeful that if I articulate the questions, that they hopefully won’t require a long period of time in order for the response.
I’m going to start with the issue of…. I just want to build on the comments that the critic so ably outlined. One of the most significant concerns that we continue to hear is about daytime custodians and the funding to ensure that they remain in place. I fully understand that PHO guidelines will be outlined, but it’s important to recognize that there needs to be funding in place for, in particular, as an example, daytime custodians.
Having said that, I’m wondering if the minister could update me, please, on the status of the infrastructure priorities for school district No. 57. I understand that the top priority of the school district is D.P. Todd Secondary School. It currently has six portables. Could the minister provide me with an update on that proposed project in school district 57?
Hon. J. Whiteside: Thank you to the member for the question. I’m pleased to say that in school district 57, we have four HVAC upgrade projects on the way. We have McBride Elementary School, Valemount Elementary School, Morfee Elementary School as well as McBride Secondary. Those capital dollars will bring welcome improvements in those schools. Of course, as with every capital project — the many, many capital requests that we get across the province — those are assessed in a provincial context.
We are just undertaking the next five-year plan. So we look forward to continuing to work with the district on identifying what their needs are, as part of the next five-year plan.
S. Bond: Thank you to the minister. I appreciate that and will look forward to hearing more details. That has been the number one priority for some time now. I recognize fully that there are urban ridings that require additional space, but I’m certainly hoping that there will be a provincewide look at needs. This is also a school that currently has six portables.
I’m going to attempt to try to combine my other two questions, knowing that I have many colleagues who want to ask questions.
I have always had a deep concern about the importance of rural education. It is not a one-size-fits-all system, and I say that as a former school trustee and school board chair. I am very interested in what the minister’s approach is to rural education. I think there may well have been…. I know there was, at some point…. I have been asking this question for a number of years, whether or not there is an intention to reinstitute the rural advisory committee. Education looks very different in communities like McBride and Valemount than it does in Prince George.
I’m very interested in that. I would also be interested in knowing…. I’m truncating these questions for the sake of time. What efforts will be made to look at the issue of recruitment and retention in smaller communities, more rural communities? What initiatives is the minister considering to ensure that communities right across the province have the staff that they need? It’s not just a matter of recruitment; it’s also a matter of retention.
I will leave it there, making sure my colleagues have time for their questions.
I will thank the minister and her staff and, hopefully, await an answer.
Thank you to the critic for allowing me some time this afternoon.
Hon. J. Whiteside: Let me just say thank you to the member for the question. I do appreciate the long history of the member with the school community, her years served as a school trustee. I’m appreciative of her commitment to education.
Perhaps just let me say generally about interest around rural education. There are some really remarkable things happening, I think, in terms of teacher networks and professional networks in the sector, with respect to advocating for rural education. In fact, I met recently with the Rural Education Advisory Committee. It was a really great opportunity to learn a lot from them about the successes and challenges that rural districts experience.
I’d be interested in speaking with the member more about what her particular suggestion is around a different kind of approach to that. I certainly appreciate that we have different challenges across different compositions of school communities across the province. I think that we do certainly see that, to some degree, reflected in recruitment and retention issues, although I will say that we, I think, overall, have a number of initiatives in place to address recruitment and retention.
Of course, we work closely with BCPC, and BCPC does, in fact, work directly with districts in areas where there may be particular challenges around recruitment issues. There have been a number of initiatives around improving their recruitment portal through BCPC, working collaboratively on job fairs. And, of course, we have hired over 4,500 teachers since 2017, and that has really contributed greatly to balancing the labour market for teaching staff.
I think we are certainly nationally competitive in terms of our ability to attract teaching staff. I think some of the other initiatives, in terms of specialty teaching, that we have engaged in are reflected in an agreement with the federal government on hiring French-language teachers and specific initiatives that are being developed around recruiting Indigenous teachers and supporting those teachers so that they can teach close to home, so that they don’t have to leave their communities, either for teacher training or to teach.
So a number of initiatives in that regard that will, I think, help fill out some of those specialty areas. And just to note that, overall, we have about a 1 percent vacancy rate, which is really quite good, across the province. But very much appreciate the member’s contributions to the discussion today.
S. Cadieux: My question is going to take a slightly different angle for the minister. I will appreciate that, if she doesn’t have a great deal of an answer prepared today, to receive the answer in writing would be completely acceptable.
But my question relates to learning disabilities. Recognizing that government has introduced the Accessible British Columbia Act — and I know we’re going to have more discussion on that in the coming weeks…. But recognizing that and recognizing that there has been a long-standing issue related to support for kids with learning disabilities in the schools, specifically around diagnosis of dyslexia and services for that community, what we know — and what I believe that the ministry’s data will show — is that about 10 to 15 percent of the population have a form of learning disability.
We know that, but the numbers are very different in terms of who gets tested and supported in school. Only about 3 percent of kids are being reported as having a severe learning disability or dyslexia in the school, to my understanding.
That means that those kids aren’t getting the supports that they need. They don’t qualify for additional funding for the districts to provide those extra supports that those kids need. They aren’t being provided, for example, with specialized teaching methods, learning methods. They aren’t being provided the necessary technology that would help them to keep up with their peers, and it causes lifelong challenges.
[R. Leonard in the chair.]
I guess my question is: what plans does the ministry have to make changes to ensure that these kids are getting what they need from the school system? What plans is the ministry looking at? What introspective work has the ministry done, in anticipation of the act being passed, that will undoubtedly shine even more light on the need to do better in this area?
Hon. J. Whiteside: I do really want to thank the member for raising what I think is a very important issue. I think that it’s fair to say we all share a commitment to every child having the right to access education and to have their needs met in the system.
Now, having said that, I am aware that there are some wait-lists in the system for some diagnoses. I think that speaks to the fact that, in the system, we have sort of a medical-based model for assessing need as opposed to more of a needs-based approach which would perhaps provide more streamlined access to services.
The member may be aware, others may certainly be aware, that this issue was raised as part of the funding model review in education, which occurred two years ago now, I believe, and which was kind of dealt with in two phases, the first phase having been addressed and of course COVID having interrupted our consideration of other recommendations in that review that would speak to this very issue.
To the member’s point, it is a policy looking at our inclusive education policy and how districts work to identify students who have special needs and require special assistance. That is something that we’re looking at in the context of the funding model review. I’d be happy to have further discussion with her about her ideas and concerns in this regard.
R. Merrifield: Thank you to the minister. I have been trying to follow along, so hopefully, I won’t repeat any questions. Also, in the interest of time, I’m going to read my last question in. You can get back to me at some point, over the course of the next couple of days.
I, first off, want to thank the minister for the funding that has gone to the HVAC upgrades at KLO Middle School, Peachland Elementary and South Rutland Elementary, as well as the energy systems upgrade at Mount Boucherie Senior Secondary and the new bus that we received in the Okanagan. It’s very exciting news. We celebrate that, alongside the minister.
As the minister will know, it’s no secret that the Okanagan Valley is one of the fastest-growing areas in B.C. Since 2014, the Okanagan has grown almost two percent per year.
Additionally, Kelowna is now the fastest-growing municipality in B.C. and the fourth in Canada. Over the next 20 years, the Central Okanagan Economic Development Commission speculates that we will actually grow by 64,000 individuals. Much of that population is the 25-to-40-year-olds who are having babies, which is very exciting.
I’ve been appointed on behalf of all of the Kelowna MLAs to ask the following questions about our seven priorities for our capital requests. The first I’ll start with…. I’m going to go with the Kelowna West schools here. I’m not going to ask for an update right now. In fact, what I’ll ask is…. I will read these into, and read my last question into, Hansard and then if you wouldn’t mind getting back to me on them, just in the interest of time, noting that one question actually took quite a while there.
That is the addition to Constable Neil Bruce Middle School. Obviously, CNB has been growing and is over capacity already. We’ve got almost 130 percent over capacity, and 25 percent of the students in portables. We have five portables already, and there are more to come. We definitely need an addition on CNB.
On Westside secondary school, we are still waiting approval on that one. We need a new 1,100 student-capacity secondary school on Webber Road. The good news is: we already own the land, so that’s very positive. But I hope that we can find the budget funds for that particular one as well.
Moving to Kelowna–Lake Country, we have a new elementary school that’s required in Wilden. This is a fast-growing, massive area, and the other elementary schools are bearing the burden of this fast-growing area. We need to actually decrease where the other schools are at. They’re all sitting at about 140 percent capacity right now, so having a new school up at Wilden would definitely benefit that.
We also have the addition to Dr. Knox Middle School. Again, Dr. Knox currently has 1,000 students and was built for only 800. It uses nine portables and will need an additional eight more, over the next seven years. That actually puts us…. Even before the next eight years, 24 percent of the students are in portables right now.
The next two I’m going to put on a whole different plane in terms of priority list. Glenmore secondary school is absolutely urgently needed. We’ve got a 1,500-student school that is required. Largely, that’s because our other secondary schools in Kelowna are maxed.
Kelowna Senior Secondary could go beyond 2,400 students within the next ten years, and that school is already at full capacity right now.
Every school will be all completely filled up, including the 41 portables that are currently there, in the next two years.
Then we have two that are in a different category level, and that is the Glenmore Elementary replacement. This is a $40 million new elementary school. Right now, it uses six portables, because it has 660 students in a building that was designed for 475. Also, it’s a very old building, and we have been advocating for replacement for the last seven years. It’s definitely urgent.
The last one I’m going to put an asterisk on, and that is the Rutland Middle School replacement. This one has been on the capital plan for almost 15 years. The facility is over 70 years old. Just to put that in perspective, the Premier actually competed, when he was in middle school, at this facility. As well, my daughter has. So it tells you how long it has actually been around. We already have the land that could be used for this middle school. Right now, it’s just absolutely a highlight.
These last two I put in a special category. That’s simply because we’re not just dealing with a capacity issue with lots of portables, which they both have, but we’re also dealing with some safety issues. I’ve had two different teachers come to me with stories of teachers leaving these institutions because they are actually trying to find safety. On behalf of the teachers that work there, the students that attend there and all of the constituents in the three Kelowna ridings, I would ask for an update for all seven of these capital projects and where they fall on the list.
My last question — which again, I will read into Hansard — is that I would like to know the percentage of education capital expenditures that is allocated to seismic, to replacement schools and to new schools.
With that, I will conclude my comments, and I will await the answers to those questions at some point over the course of these estimates — hopefully, in the next couple of days.
The Chair: Minister, would you like to respond?
Hon. J. Whiteside: Well, yes, just to say thank you very much to the member for the question, and for the added bit of trivia about the Premier’s history in competing at Rutland. We will certainly take this away and get responses for you.
D. Ashton: Minister, thank you very much for the opportunity. Just quickly — not a question but maybe a heads-up for yourself — two things.
Rural schools. Small rural schools — like the one where I graduated that had four rooms and seven grades; another which was in Trout Creek; and another one in West Bench, which is just north of Penticton. They were funded — additional funds to keep them open — in the past government. I’ve heard rumours. I’m not so sure if they’re true. I know that numbers vary up and down, and I would just ask that your ministry and your government continue to support these smaller schools in the smaller areas. You know, it’s incredibly important not only to the kids and to the parents but also to the community.
Second of all, I would just like to pass along, to you and the ministry, a thank-you for the gymnasium for Summerland Secondary School. I graduated there in 1973, and it was old back then. So at least the kids have something to look forward to — the next generation that’s coming through. Again, to your ministry and to the previous minister and to the government: thank you for finally addressing Summerland Secondary School’s gym.
The third comment, Minister. You know, education isn’t just about reading, writing and arithmetic. There are a lot of kids that are challenged and don’t have the opportunity that many do, and one of the programs is music. Music fills a lot of our hearts and gives us relief, and it gives opportunity to kids that maybe don’t have everything that other kids do.
I know that there’s an issue here in Victoria with the music program in a particular school district, but also in the Okanagan, specifically in the South Okanagan. I would just draw the minister’s attention…. I know it may be a school board issue, but I would just hope that there are funds available where families can’t afford to get their own instruments for their kids. School instruments are provided, but those school instruments need to be maintained. They need to be upgraded and kept up.
I would just hope that you could find it in your heart…. When some of these kids have difficulties that they face not only at home but also at school, and the learning curves and everything else, music does open up their lives. Whether that is instrumental or the opportunity to sing out of key, like I’ve done all my life, it makes a huge difference to those kids because they’re a part of the group.
Minister, please, if you would put those down on the file, have a look at them. I would love to hear back in the future, either through yourself or through our school board, that those programs will continue.
Thank you, Minister.
Hon. J. Whiteside: Thank you very much to the member for the heartfelt comments and commitment to education. It’s evident in how his question comes across.
L. Doerkson: I just have one question with respect to distance learning.
Many people, of course, in rural British Columbia have no other real means of learning other than online. I know that the program in 2020 had, if I recollect correctly, some cuts. I know in places — as I said, in rural B.C., but certainly in the West Chilcotin and places like that in my riding — there really is no other option. I wondered if the minister could outline a plan for what the coming year looks like and what the financial commitment would be to this type of learning.
The Chair: Minister.
Hon. J. Whiteside: Thank you, Chair, and welcome back. I don’t think I said that to you earlier.
Thank you to the member for the question. I think that we’re all sort of thinking about online learning in a bit of a different way now because of our experience though COVID. Your question echoes the discussion we had earlier about access to education in rural areas. I certainly appreciate that distance learning is very important in certain areas of the province and for certain students. I’m pleased to say that, actually, our distributed learning rate or distance learning rate will actually increase this year, for the first time since 2016-2017.
I think that that’s part of a recognition that we also have some more work to do around just improving the coordination, and streamlining and standardizing of how we offer online education. That’s some policy work that’s currently being conducted by the ministry.
T. Stone: Thank you to the minister in advance. Our school district, SD 73 in Kamloops, is going through the beginning stages of a very difficult process of proposed changes to catchment boundaries across the city. It’s starting on the south shore of our city. These catchment changes are triggered by huge enrolment pressures, coupled with a lack of commitment to additional much-needed school capital for SD 73.
Now first with respect to enrolment, I want to be really clear that the numbers I’m going to cite here are SD 73’s numbers. There was a 23 percent decline in SD 73 enrolment over an 18-year period, between 1997, when there was an enrolment of 17,659 kids, and 2016, when that number sat at about 14,500. That being said, there has been an accelerating enrolment growth every year since 2016, and it has resulted in very high and unsustainable capacity utilization rates at many elementary and secondary schools across the city of Kamloops.
According to SD 73’s 2020-2021 long-range facility plan, current capacity utilization at its elementary schools…. To give you just a flavour of this, Juniper Ridge Elementary is currently at 143 percent; that will grow to 161 percent in five years. Pacific Way Elementary is at 144 percent today; that’ll grow to 171 percent. McGowan Park Elementary is at 160 percent and will grow to 182 percent. Virtually every school on the south shore of Kamloops is well above 100 percent utilization.
Likewise, our secondary schools are bursting at the seams. Sa-Hali Secondary is at 129 percent capacity; that will grow to 154 percent by 2025-2026. Valleyview Secondary is currently at 140 percent. We do appreciate the expansion of Valleyview Secondary that’s underway. That will help with that particular school.
Enrolment projections for SD 73. Moving forward, the school district is anticipating a 17 percent increase in enrolment over the next ten years. An interesting fact for the minister: SD 73 in Kamloops now has one of the highest usage of portables per capita in British Columbia. We’re not quite where Surrey is at, but we’re getting close. The plan in Kamloops is to add another 35 portables over the next five years and 50 more in the following five years. As we all know, districts are not funded for portables.
The only solution, moving forward, that will fix this problem is for the province to begin to invest in the school capital that’s needed for additional elementary schools and an additional secondary school on the south shore. Unfortunately, while parents and students wait, we find ourselves in the situation where the school district is, as I said at the outset, having to consider highly undesirable options in the short term, as band-aid solutions, to best grapple with these accelerating enrolment pressures, including these catchment boundary changes.
There is a plan, as part of this, to reopen one elementary school, the only one that could be reopened, Ralph Bell Elementary. A couple of challenges with that: it’ll be well over 100 percent capacity utilization on day one, when it opens, if it opens, in September of 2022, and this decision will dislocate several daycares that, at this point, will have nowhere else to go. That further impacts a whole bunch of families in Kamloops.
With that context, I would like to ask the minister…. We need more schools in Kamloops. I would like to ask the minister if she can provide the families of Kamloops and SD 73 with some level of comfort that it would be a reasonable expectation that there may be some additional much-needed school capital coming to the city of Kamloops in the near term, so that we aren’t faced with virtually every school in our district on the south shore — all of our urban schools — bursting at the seams, as they currently are.
Thank you, Minister.
Hon. J. Whiteside: Thank you very much to the member for the question. I can agree that certainly, enrolment is dramatically increasing in Kamloops. I would just say again, overall, we have made record investments in capital spending, $3.5 billion in this fiscal plan. That’s over $1 billion a year every year for the next three years.
There’s no question that there’s a lot to catch up with. So we’re working. We’re committed. Our government is committed to accelerating the expansion program, which has an explicit purpose: reducing portables, accelerating the expansion projects to reduce portables.
Just to review the projects that are underway in that region, we have the expansion of Valleyview Secondary School. We have a replacement school, a larger replacement school, for Parkcrest Elementary.
I’m really happy. The capital letter, I think, just went out to the school district this week. I’m happy to announce recent support in that letter to produce a business case for a new school in the Pineview Valley area of the region. That equates to an additional 525 spaces at Valleyview, an additional 120 at Parkcrest, and it’s anticipated that the new Pineview Valley school will be 485 new spaces. That will reduce portable reliance in the region by 45.
The Chair: I’m just going to call a brief recess of five minutes.
The committee recessed from 6:05 p.m. to 6:10 p.m.
[R. Leonard in the chair.]
P. Milobar: Great. Thank you to the minister for that previous answer.
I think it’s important to bring some more context to the question my colleague from Kamloops–South Thompson referenced in some of the statistics. This school district actually encompasses three different MLAs’ ridings. In fact, the Education critic has a portion of school district 73. I think she actually has four districts in her riding that she represents. The bulk of the district is in Kamloops–South Thompson and Kamloops–North Thompson. But there is a vast difference within our ridings, in terms of the urban-rural split, for how school population and enrolment growth has happened.
We are fortunate to have seen in our rural schools that the enrolment has at least stabilized and stayed relatively static from that 2016 time frame that the member mentioned onwards. But in that 2016-to-now time frame, the growth, pretty much almost to the student, that has happened has all been exclusively within the boundaries of Kamloops itself, so it puts an even greater pressure on those urbanized schools.
Back when enrolment was plunging and schools needed to be closed in the Kamloops area, the board, at the time, made the very wise decision, in my opinion, to keep rural schools open, because those are the heartbeat of those rural communities, and close extra schools in Kamloops to still be able to make the numbers work with enrolment. That has been proven to be a very wise decision, and most of those schools have now been reopened in Kamloops. Other than the one that the Kamloops–South Thompson member referenced being contemplated to be reopened now, there are no more schools to be reopened in Kamloops.
Yet we are still seeing the explosion of growth happening. So fully open schools — the only school that would be left to be possibly reopened is in my riding. It is now John Todd, which is a community Y and boys and girls club. The school district has done a very good job ensuring that these schools remain community assets, providing either daycare services, or for other youth in need, for youth within the community.
This is a roundabout way, I guess, of getting to the point. It’s great to hear that potentially, Pineview is being asked for a business case. The school district is being asked for Pineview’s business case. That’s great for the Kamloops–South Thompson side of the riding.
However, the geography of Kamloops is such that, between the terrain and the river and the distances and where people work and live, the area of growth within my riding around Parkcrest and around Oak Hills is creating a large pressure, as well. In fact, a lot of the growth in Kamloops, housing-wise, is actually happening in and around that Oak Hills school area.
Although the slightly larger school at Parkcrest, at 120 extra students, is welcome news — it was — I’m thankful for the minister to acknowledge that it’s a replacement, because it has been sometimes referred to as new capital into the district. It’s an elementary school that, unfortunately, was razed by fire to the ground shortly after a school year opened. It really is a replacement school of a nonexistent school right now, which has added pressure, as well.
I guess the question really is…. Given the capital pressures that we see in our district, given the phenomenal growth that we’re seeing on a per-capita basis — very similar to what we’re seeing in Surrey and other fast-growing districts, as well, now, in British Columbia — it’s great to hear that Pineview is being contemplated as another school. Where, within this $3½ billion, is the contemplation for other schools to be added within the school district — specifically, more in the Kamloops–North Thompson riding as well?
We are one grand community. We all like to get together and work alongside each other, but there are definitely needs on both sides of that river in terms of school expansion needed for the school district. They’ve laid that out very clearly in their capital plans.
Hon. J. Whiteside: Thank you to the member for the question. It’s just again, I guess, to say that we recognize that there is significant growth in Kamloops, and to note as well that we have supported and funded the top two priorities in the school district’s capital plan: the addition to Parkcrest and now the Pineview school. We look forward to continuing to work with the district and reviewing their number one priorities as we move, actually, very quickly towards the next round of capital funding.
K. Kirkpatrick: This is my very first estimates question ever, so I’m going to try and make it a really good one.
The minister’s mandate letter directs her to work with the Minister of MCFD and the Minister of State for Child Care to move the delivery of child care from MCFD into the Ministry of Education.
I just would like to clarify if what that means is that the Ministry of Education will have regulatory oversight for all of the private, not-for-profit and public child care providers in B.C., or if this is limited to before- and after-school child care. How will that work?
Hon. J. Whiteside: Thank you very much to the member for the question. That is indeed a very good question.
I have to say I feel quite honoured. I think we’re all quite thrilled at the prospect of building, really, the first social program in an entire generation through our Childcare B.C. plan. Significant work has already been done, through MCFD and the Minister of State for Child Care, in pulling together and starting to build the plan to expand child care spaces. I have to say…. I think we certainly saw, again, through COVID…. If we didn’t understand that child care is fundamental — a fundamental part of our economy, fundamental to supporting women in the labour force, fundamental to our restart — we certainly understand that now.
I heard much gratitude from my community, as I’m sure members did in their communities, for decisions that were made in terms of the opportunity for child care centres to stay open during the pandemic. I’d like to express and put on the record much gratitude to child care operators across the province for their work in supporting British Columbians through the pandemic.
Just to the member’s question. Yes, it is the intention that the entire program, which is currently contained within MCFD, will move to the Ministry of Education. That offers significant opportunities with respect to integrating childhood and early learning into our education system and really redefining how we think about early learning.
The three ministries are working very collaboratively on what the time frame is with respect to how that move will occur and what that integration will actually look like. At the end of the day, ultimately, the Ministry of Education will be responsible for child care. Of course, it’s a varied and complex sector, on both the child care and early learning side and on the education side. So there will be much comprehensive consultation with the sector about all of these issues coming very soon.
J. Tegart: Thank you to my colleagues for their questions. They certainly reflect the diversity of ridings that everybody represents and their interest in education.
My closing question for today was…. Before the group came on to ask questions from their ridings, I asked the minister, in regards to the $288 million, whether it would be ongoing. She indicated that approximately $24 million of the $288 million has bought fixed assets or equipment. So there is about $264 million of ongoing costs.
My question to the minister is: does the ministry have a plan to deal with the very real possibility of variants in the budget for cleaning and PPE for a September start of school?
[The bells were rung.]
The Chair: Minister, if you could move the motion. The bells are ringing.
Hon. J. Whiteside: I move that the committee rise and report progress and ask leave to sit again.
Motion approved.
The committee rose at 6:29 p.m.
PROCEEDINGS IN THE
BIRCH ROOM
Committee of Supply
ESTIMATES: MINISTRY OF ENERGY,
MINES
AND LOW CARBON INNOVATION
(continued)
The House in Committee of Supply (Section C); A. Walker in the chair.
The committee met at 2:36 p.m.
On Vote 23: ministry operations, $100,597,000 (continued).
T. Shypitka: Good afternoon. Before I begin, we promised to start with Site C today and will continue down that path. I just want to make a couple of clarifying statements that I made yesterday.
I mentioned at one point that Geoscience was applying or had applied for charitable organization status. That’s not the case yet. It’s because of the situation they’re in that I went down the path of advocacy on behalf of Geoscience B.C. As I’ve mentioned, it is in the mining jobs task report. It was recommended that a coordinated and adequately resourced geoscience strategy be continued. That includes Geoscience B.C., and that includes the B.C. geological survey.
There is also a report that was commissioned by the ministry back in 2018 that included Dr. Murray Duke and Dr. Ron Britten. In that report, there were several recommendations or highlights recognizing the unique symbiotic relationship, I guess you could call it, between Geoscience and the B.C. geological survey. There is a relationship there. The ministers recognize that. It’s a hybrid that is very unique in Canada — and throughout the world, for that matter — where these two organizations are working hand in hand to bring forward the best data, the best science, so we can explore, so we can further develop our natural resource abundance here in British Columbia.
With Canada coming home with a critical minerals strategy, now this is even more important than ever. I believe B.C. has…. Of the 31 critical minerals and metals, we have probably, I think, somewhere around 14 of them. That’s critical to national security, information and technology and other further advancements and, of course, our exports, our production. I just wanted to clear the air on that.
Also, on the $1 million that was raised, that was for the Britannia Mine Museum, which used to be the B.C. Museum of Mining. That was undertaken because those folks are in a big world of trouble. Not this minister’s responsibility right now. That Britannia mine was closed some time ago. At one time, I believe, it supplied 17 percent of the world’s copper. So just a little interesting factoid there. I just wanted to clear the air.
We’ll go into Site C right now. As the minister knows, Site C represents a big opportunity moving forward to a green economy. It’s going to provide about 1,100 megawatts of capacity and 5,100 gigawatt hours of electricity that will power about 450,000 homes and businesses throughout the province. This is green electricity. Hydro electricity is green, after all.
The efficiency of the dam is quite astounding. Thirty-five percent of the power generated of the Williston dam, the Site B dam or the Bill Bennett dam…. The storing capacity of the Site C dam is about 5 percent of that, of the Williston dam, but it’ll generate about 35 percent of the power — very efficient.
As the minister knows, they had a decision at one time, in 2017, when the B.C. Liberals, I guess, essentially handed the keys over to the NDP on the project. The NDP government made a decision at that point whether to go ahead with the project or not. At that point, they said the project was…. Well, the project was on time and on budget, according to their own minister Michelle Mungall who mentioned that. The BCUC also confirmed that. B.C. Hydro confirmed that as well. Even the public civil works partner verified that on the scheduling, as far as it being on time. So there were a lot of people that supported that being on time and on budget.
At that point, government decided that this project was past the point of no return, that it needed to go ahead with the project even though there was opposition to the Premier himself in the preceding years.
I guess the first question to the minister is: how was it determined that this was past the point of no return? At that point, capital infrastructure and buildout was about $2.5 billion, I believe, somewhere in there, and reclamation to set it back was probably around $1.5 billion. So all in, we’re probably looking at a $4 billion situation there, if they wanted to cancel the project.
I guess my first question to the minister is: how was that “past a point of no return” determined by the NDP government?
Hon. B. Ralston: I just wanted to…. A few housekeeping matters from yesterday. I did say that we would get the breakdown of the new persons hired in the ministry dealing with permitting and audit and compliance. Thirty-one were hired in Victoria, but I hasten to add that that includes provincial specialists with responsibilities across the province. Kamloops was six; Smithers, eight; Cranbrook, nine; Prince George, four; and Vancouver, two — for a total of 60.
Then if I could turn to the member’s question. He called the dam the Bill Bennett dam. That may be more a reference to his predecessor in Kootenay East. I think it’s actually called the W.A.C. Bennett dam, and I understand there’s no family relationship. I appreciate that Bill Bennett looms large in many people’s minds, even in the ministry, because he was the Minister of Mines at one point. I just thought I’d call that to the member’s attention.
The member wants to go back to 2017. I don’t think that strictly falls within the bounds of the estimates of this year, but I will endeavour to answer the question.
Dealing with a number of the member’s assumptions, they basically aren’t true. The previous government started the project without proper oversight and without a credible budget. They exempted B.C. Hydro from the BCUC oversight on that issue. They rushed the approval of design, which included geological risks. I’m sure they will remember that there are two tension cracks that took place under their government and led B.C. Hydro to announce an increase in cost in construction in November of 2017.
Our government asked the Utilities Commission of B.C. to review the project, and they, the Utilities Commission, found that it was already over budget and behind schedule. Here’s what they said in November 2017. “The BCUC is not persuaded that the Site C project will remain on schedule for a November 2024 in-service date. The panel also finds that the project is not within the proposed budget.” That’s the BCUC. That’s a neutral public agency reviewing the project. Of course, no one could have predicted the global pandemic in 2017 and the challenges that it caused for major construction projects like Site C.
T. Shypitka: The faux pas on Bill Bennett may not be so much related to my predecessor, but my uncle’s name is William. We call him Bill. Maybe that’s where it came from.
Interjection.
T. Shypitka: The minister is making jokes. That’s good.
We’ll talk about oversight in a second here, but let’s be clear on “on time and on budget,” what that means. In estimates, I believe it was in early November — when the NDP certainly was in government, before that, back in July — it was on time and on budget, by the minister’s own admission. That’s not up for decision. The Deloitte report also had this as on time and on budget back then. I forgot to mention that part.
However was the case, there was a decision to be made. The NDP government said it was past the point of no return. I asked how that decision was made. If my facts were correct, it was about $4 billion, all in, to eliminate the project. I’m assuming those are the right numbers. I didn’t hear the minister refute those. Based on those numbers, what would that have meant to the taxpayer on an annualized basis, maybe over ten years or 20 years or 30 years, however they want to do it?
I know the latest numbers on the other over-budget, which I will get to later, is based on a ten-year annualization. Maybe the minister can tell me what that would have meant to the taxpayer at that time, if the project was scrapped.
Hon. B. Ralston: Going back, once again, to 2017 — not strictly the ambit of the estimates of 2021-22. But nonetheless, the member has asked the question, and I will endeavour to respond.
At that point in 2017 and in the review that took place, approximately $2.1 billion had been spent, and there was calculated to be a $1.8 billion termination cost, for a total of approximately $4 billion.
That conclusion was analyzed by the department of finance and by my ministry, and also by external experts. The decision was reached that, given that cost of termination, it was better to complete the project — better for the position of the ratepayers — than to terminate. That was the basis on which the decision was made and, I think, announcements made publicly.
T. Shypitka: I asked for the cost to the ratepayer — what that would represent. Maybe we don’t need it right now, but maybe we can find out a little bit later. There are probably some complicated calculations that go into that. I think…. Well, we’ll get into that a little bit later.
Sticking with Site C then, can the minister confirm from the recent announcement…? I think it was February 26. The announcement on the Site C project pushed the completion date to 2025. Can the minister confirm that this is indeed the case, and can he guarantee that the 2025 deadline will be accomplished?
Hon. B. Ralston: The member has asked the impact on the ratepayers of the termination option which was considered in 2017. Generally speaking, the regulator, if it’s a termination, would like and usually dictates that that be amortized over as short a period as possible, because there is no direct benefit to the ratepayers of termination.
If you build an asset and it produces revenue, then it’s more legitimate and accepted by regulators to amortize the cost of the project over a much longer period of time — typically, the substantial life of the project.
In this case, the scenario that was the most likely one was that if there was termination, it would lead to an immediate rate increase of 12 percent, persisting over a decade, so ten years. Now, if you did it over five years, obviously, that would be higher. That’s the way in which that would be conceived of. The member has made reference to February of this year, where some of the same considerations, in a general sense, were applied to a termination option and the cost.
The member has asked whether I am prepared to guarantee the in-service date in 2025. So let me answer that this way. Hydro, obviously, remains committed to completing the project in the most prudent and efficient way possible. There’s considerable work going into some changes that may help bring that about. The estimated cost, at this point, to complete is $16 billion.
B.C. Hydro has taken a very comprehensive and detailed approach to develop this cost estimate. Delays and impacts relating to COVID are the single largest contributor to the cost increase but, by far, not the only contribution to the cost increase. Hydro would acknowledge, and does acknowledge, there are still significant risks in the project that require ongoing management — ongoing COVID impacts, potential geotechnical issues, commercial risks and many other factors.
Hydro will continue to manage these risks with ongoing input from Mr. Milburn, Peter Milburn, a former Deputy Minister of Finance and chair of the pension board here in British Columbia; EY Canada; the technical advisory board; the two international dam safety experts that were retained; and the Site C project assurance board. There is considerable effort into managing the project, which is, really, at this point about half complete.
T. Shypitka: First, on the rate from BCUC, a 12 percent increase spread over ten years. The minister alluded to that it’s usually a shorter amount of time, but I believe the BCUC in determining passing changes to the ratepayer examines two things.
The first thing is to mitigate any rate shock. Ten years, 20 years, 30 years is still in the equation. It depends. BCUC takes that into consideration. Is it too high of a rate shock? If it is, they will look at amortizing that over a longer amount of time.
The second determination they make is intergenerational equity, meaning it’s not desirable to pass rates on to your future generations and would like to take care of it more immediately than later. But the first thing they look at is at the rate shocks. So I don’t agree entirely with the minister’s statement saying that it could have been five years. Those things are always considered by the BCUC.
I believe right now, the ten-year amortization to the ratepayer, on average, is about $18 a month. For, I believe, the sunk cost right now for Site C and remediation is probably close to the $10 billion mark. I could be wrong on that, but that’s what the estimates right now are, about $18 a month for the average ratepayer over ten years. That could be stretched over 20 or 30.
Other than that…. I’m trying to think what else, what the other part of the question was there.
I’ll ask this question on the scheduling. Nothing there from the minister that solidifies the completion date of 2025. There’s no guarantee from what the minister is saying. I guess the question would be: why would they pick that date then, if there are so many complexities? And there are. There are many. There are many geotechnical issues, safety issues.
But they did say that it would still be completed within the one-year float that they were given. The original completion date was 2024. They used up the one-year float to 2025. So with all the complexities and geotechnical issues that they are now discovering…. If they are not certain, why would they make that hard date of 2025?
Hon. B. Ralston: The member is correct when he sets out the two major considerations of the regulator in mitigating rate shock and intergenerational equity. Those are our considerations.
Typically, where there is a termination, the intergenerational equity value becomes very important because no future generation is going to get any benefit from paying off the bill and without any revenue source or any source of power from the project. That’s an important consideration, particularly when there is a termination option being considered.
If the project — and I’m talking about the 2021 scenario now — was terminated starting April 2021, B.C. Hydro would be required to immediately recover $10.2 billion. That would result, the calculation was, in a one-time estimated rate increase of 26 percent for all customers starting April 1, 2021, and lasting for ten years.
I know the member has said that, well, the end of the amortization period could be stretched out. What I understand and I’ve been told is that there’s a very strong resistance from the regulator to doing that where there is no benefit. If you complete, then you have revenue that stretches out over the life of the asset — in the case of the Site C clean energy project, 100 years. So you can do very different financial calculations with that revenue source, but a termination involves an immediate hit to the bottom line of $10.2 billion.
Completing the Site C was still the best option, because it would enable and help B.C. Hydro customers continue to pay some of the lowest rates in North America. And, as I’ve said, the costs would be recovered over the life of the asset. Typically, they say 70 years, but the estimated life of the project is 100 years. But who knows? I don’t think any of us will be here then.
The estimated $10.2 billion does not factor in the costs of new energy and capacity resources that would need to be built over time to meet the province’s future electricity needs. So it’s an underestimate, if anything.
In terms of the member’s request to guarantee a completion, I think what we have is an examination by a very skilled range of experts, and their best guess, their estimate, is that it will be completed in 2025. There’s a reason for that, because it’s based on their examination of all the available evidence and a calculation of all the risks that are involved. No one can guarantee absolutely a completion date, but I think the probability of completing within that time frame is high.
T. Shypitka: Thanks to the minister for the clarification. I guess we’ll never know, but it’s good to know that we are going ahead with it. I firmly believe that.
Now, in regards to the budget, I guess the minister will probably give me the same answer on the $16 billion — whether or not we can take stock in that. Is that being a guarantee or not? I’m sure he’ll respond that it isn’t, but I’ll ask the question anyways — if the $16 billion is the ceiling from the experts that have determined that number.
More importantly, of the $5.3 billion cost overrun, the ministry stated that 50 percent of that was related to COVID-19 pandemic and geotechnical issues. However, the other 50 percent is unknown. I would like to know if the minister could provide me with the details and the breakdown on what that $5.3 billion overrun consisted of.
Hon. B. Ralston: The member has asked a question about the composition of the elements that go into the $5.3 billion cost increase. There are a number of elements that play into that. Scaling down the work force to comply with public health orders resulted in a large part of the summer construction season being lost. Then, as a result of a one-year delay to the project, the foundation enhancements are also a significant cost increase. That is in the works as well.
I would note the contract signed by the B.C. Liberals when they were pushing the project forward transferred almost all of the risk for geotechnical issues to B.C. Hydro, so that’s why the cost escalation is being borne by Hydro.
In previous progress reports to the BCUC — and these are public — the project was managing financial risks even before COVID-19. There were amendments to the main civil works contract, additional labour resource requirements, First Nations treaty infringement claims and an injunction application, increased costs associated with the reservoir clearing, transmission line construction and highway realignment work. So there are a range of cost pressures that contribute to that increase in the cost.
T. Shypitka: Thank you to the minister. Obviously, a lot of things going on right now at Site C. I’m not sure if the minister can put a dollar figure on those breakdowns. Don’t need it right now, but it would be helpful to understand exactly where the greatest impact was, I guess, on those overruns.
If the minister would be able to provide me with that sometime later, that would be great. Probably can’t do that right now.
We’ll move forward here a bit more. Does part of that $5.3 billion include the BCUC review? I believe it was in 2018, and it delayed the project significantly. Because of that review…. I believe it delayed the river diversion for the dam itself for a year. Is that part of the $5.3 billion, or is that part of the original $2 billion that was brought in, in 2018?
Hon. B. Ralston: The delay in 2018 was due to the tension cracks which emerged. It had nothing to do with the BCUC review. Insofar as it was possible, the work on the project continued while the review by BCUC took place. In no way did the BCUC review delay the project.
T. Shypitka: All the same, then…. Was that delay part of the $5.3 billion, or was that part of the original $2 billion?
Hon. B. Ralston: The cost that we’re discussing is the cost of the tension cracks. They were not part of the $5.3 million cost escalation. It was in the 2017 $10.7 million budget. So it was accounted for earlier rather than later.
T. Shypitka: Thank you, Minister.
The minister said back in March that he advised B.C. Hydro to supply or provide the BCUC with the quarterly B.C. Hydro reports. I just wanted to confirm with the minister those reports have been issued to BCUC and have been made public.
Hon. B. Ralston: The quarterly reports were brought up to date by a release on March 18, 2021. The next report, for the quarter January to March of this year, will be released before the end of June 2021.
T. Shypitka: Getting into a little bit of the Peter Milburn report right now. We’ll talk about the transparency with some of the oversight. The minister alluded to oversight earlier. The selection of the project assurance board was one of two pieces of oversight. The other one was the Ernst and Young team, to provide oversight as well.
The question to the minister is: in selecting the project assurance board, does the minister believe that there’s a clear, transparent process that provided independent oversight to the project assurance board?
Hon. B. Ralston: The member wasn’t specific in his reference to what point in time was he talking about the oversight. But let me talk a little bit about the project assurance board. It was created and began its work in January 2018. Mr. Milburn, in his review, talked about and made some suggestions to improve its efficacy and its independence, and those are chronicled in his public report. I’m sure the member has access to that or has read those.
The board. In pursuit of the recommendations made by Mr. Milburn, the membership of the board has been added to. There’s an independent chair. There are new members with substantial major construction experience. The terms of reference, as he recommended for that project assurance board, have been revised.
All of this is going to be announced publicly fairly shortly, I think. Previously the members of the project assurance board…. Membership was not public. Their names will now become public. Those changes have been made, and I’m confident that that will improve project oversight and lead to a better project.
The other area of oversight was EY. Again, Mr. Milburn makes some comments on that in his report. Those have been examined and taken to heart. There is a renewed role for EY, and its independent oversight role and its participation as a non-member but observer of the project assurance board have been established as well.
I’m confident that these changes will lead to better independent oversight of the project and make important contributions to the project, going forward. I think those are all to the good.
T. Shypitka: I see my colleague is in the gallery — virtually, albeit. The member for Prince George–Valemount and Leader of the Official Opposition would like to ask some questions now.
S. Bond: I appreciate the time. Thank you very much to my colleague for the opportunity to spend a few minutes asking some questions.
Good afternoon to the minister and his staff. This is a topic that the ministry will be familiar with when it comes to issues that I have regularly raised in the Legislature. That is the issue of geothermal.
Perhaps I’ll begin by thanking the minister for the work that’s been done to actually move forward with a geothermal electricity project in northeast B.C. I think that’s an important step forward. That has funding that’s been provided by the province and the federal government. Obviously, that project has not yet been connected to the grid, so there’s still more work to be done, but it is an important step related to the future of geothermal in B.C.
I’m wondering if the minister could perhaps just give me some response to a couple of issues related to geothermal projects. I know the minister would be familiar with the fact that geothermal is very commonly associated with heat projects. I’m wondering if the ministry and the minister would consider including geothermal heat projects as part of and eligible for the wood stove exchange program and also perhaps see them represented in the ability to qualify in CleanBC-funded programs.
Just a reaction from the minister about the importance of considering the inclusion of geothermal as a heat project in those two program areas.
Hon. B. Ralston: I thank the member for her question. I recall her advocacy for geothermal in general last year, in last year’s estimates.
There are a few heat projects being developed, but there is nothing operating as of yet. We will take the member’s advice and speak to our colleagues at Environment and Climate Change. I would note that ground-source heat pumps are already eligible under the better homes and better buildings program, which is operated by this ministry. Thank you for that question.
S. Bond: Thank you very much to the minister. I appreciate that. That’s actually quite encouraging. I would appreciate that, if you have that conversation.
I wanted to pursue that just a bit further in terms of…. I know the minister would be aware of the fact that in more than 80 countries, geothermal resources, when they are below 80 degrees Celsius, are used around the world. They are typically governed as water well projects. So that would actually fall under FLNRO or MOE, and we know that some of the challenges have been in the way that geothermal is captured in British Columbia related to the BCUC and a variety of other regulatory situations.
I wanted to just remind the minister of that and hope that, as this industry emerges in British Columbia, we take a different look at how this is done in other parts of the world. It would be very beneficial here in British Columbia as well.
My last, and perhaps most important, question is…. I know the minister, and certainly his staff, would be aware of the fact that my interest lies in the fact that there is significant geothermal potential in Valemount, British Columbia, which I am very proud to represent. I work very closely with Mayor Torgerson and his council. This type of development would be incredibly well supported by people in Valemount.
One of the things that we have come to discover is that it is unlikely that the Valemount heat project, which the Valemount project is, will get a municipal exemption from the BCUC. What that is going to mean is that Valemount will need to seek a competition exemption or, in fact, a full-blown certificate of public necessity. The competition exemption will actually need the minister’s approval.
I wanted to raise it because I would hope that this issue would be on the minister’s radar screen. I think he would recognize that this will help displace fossil fuel heating, fossil fuels that are shipped to the community from Edmonton.
When we think about trying to reduce carbon footprint and needing heating for public buildings as well as homes, this is an incredibly important opportunity for us to capitalize that on this place that, I must admit, I’m pretty biased about when it comes to how beautiful and incredible it is Valemount and the Robson Valley.
Specifically, then, I wanted to raise that issue and let the minister know that our project is unlikely to get a municipal exemption. I would just appreciate…. I understand that the minister can’t likely say yes today, although I would love him to. I’d like to get his reaction to the fact that moving forward, we’ll need, obviously, his approval.
I’ll wait to hear the minister’s response. I simply want to, once again, point out the importance of this kind of project to British Columbia. Very pleased to see we’ve made some progress in the northeast. Now I’d like to see similar progress being made in Valemount as well.
Thank you to my colleague for the time. I’ll wait for the minister’s answer, and I appreciate his time as well.
Hon. B. Ralston: I thank the member for her continued advocacy for this project in Valemount. I well understand her passion for it.
Let me first comment that in the current regulations, anything below 80 degrees centigrade is not considered a geothermal resource. That’s apparently the cut-off line. But so far, there hasn’t been a municipal request for an exemption, which, when it’s received, we will examine — and consider it. Perhaps what we could suggest is that the proponent could contact EMLI, the ministry offices, either in Victoria or in Prince George, and then we’ll take it from there.
T. Shypitka: Thank you to the member for Prince George–Valemount for great questions.
We were on the project assurance board last time we finished off. I’d asked the minister if he believed that the makeup of the project assurance board was independent and transparent. He answered back, stating what the Peter Milburn report said: that there were recommendations to do better. But I think it was a little bit more than that. Peter Milburn made a few comments on the lack of transparency, the lack of independence and certain conflicts with the project assurance board. I guess, to the minister again, if he agrees with those sentiments that Peter Milburn made….
Going back here. The makeup of the project assurance board, as the minister said earlier, was to provide oversight and due diligence for the Site C project. There was a two-pronged approach. They brought in the project assurance board, which was supposed to be independent, had the expertise, relied on information, to then report back to the minister on and provide oversight. The other piece was the bringing in of Ernst and Young to do the financial piece on that and provide some extra, additional support for oversight.
Peter Milburn made some comments, basically on the makeup of the assurance board. Half the assurance board was B.C. Hydro board members. As a matter of fact, the chair of the project assurance board at that time was an executive director of B.C. Hydro itself. The Milburn report stated that this really defies what the intention was in the first place. That was to provide independent oversight. It was later found out through court documents that there were only going to be up to two independent personnel on the board.
The minister also alluded to some expertise on it, although throughout the report, it suggests that the expertise wasn’t at the level it should’ve been to completely understand the complexities of the project.
Once again, to the minister, does he support the findings that there was a lack of independence and transparency from this board initially when it was brought in, in 2018?
Hon. B. Ralston: Mr. Milburn’s report was commissioned by the government and has reported now publicly. I have reviewed and accepted all of the recommendations of his report and am undertaking the actions recommended.
With regard to the project assurance board, the mandate and structure are being revised to ensure increased oversight and due diligence through making it more independent, with increased resources and additional external members to increase its expertise in major construction projects, commercial negotiations and claims management. These are areas that Mr. Milburn identified as areas that needed improvement.
He has recommended expanding the B.C. Hydro risk management team to include additional dedicated resources for identifying, analyzing, monitoring and mitigating risks; working with the independent oversight adviser to implement increased, enhanced risk management and reporting to make risk management more effective and frequent; creating a dedicated commercial management team for claims administration; improving and expanding the earthfill dam construction management team, including the addition of experienced construction management specialists to supervise, train and lead field personnel and a robust team of construction managers, resident engineers, field engineers, construction officers and quality assurances resources; and utilizing value engineering to refine the design for the right bank foundation enhancements prior to procurement.
Mr. Milburn did a very thorough review, engaged a team of his own, conducted extensive interviews of examination with personnel — people involved in the project — and also examined a wide number of documents. The recommendations have been made public. They were accepted by the government, and they are being implemented. I am confident that the implementation of those recommendations will lead to a better-managed project, going forward. That was something that was our goal in engaging him, and he has certainly fulfilled that mandate.
The Chair: We will now take a five minute recess while we undertake cleaning and safety protocols in preparation for a new committee Chair.
The committee recessed from 4:06 p.m. to 4:13 p.m.
[M. Dykeman in the chair.]
The Chair: I call the Committee of Supply, Section C, back to order. We’re currently considering the budget estimates of the Ministry of Energy, Mines and Low Carbon Innovation.
I now recognize the member for Kootenay East.
T. Shypitka: Thank you, Chair. Welcome to the chair.
The minister’s answer was a good one. He has accepted all 17 recommendations from the Peter Milburn report, essentially admitting that there was a lack of oversight. There was a lack of independence. That’s what the Milburn report suggests.
We can look at all the recommendations, especially concerning the project assurance board. “More external, independent and skill-specific membership.” Or: “The current process appears to truncate the opportunity to properly explore problems and potential….”
Specifically focus on individuals with experience delivering major civil projects. “B.C. Hydro should consider providing the project assurance board with more autonomy and opportunity for independent due diligence and deliberations.” Independent oversight and project assurance board functions should be re-evaluated.
There are a whole bunch more here that suggest and state that this was flawed. The setup of the oversight committee was a flawed process and most likely contributed to some further delays to the project and ramping up some costs.
As the minister had said in his previous answer, there’s a whole litany of descriptions and skill sets that an oversight committee needs to possess. Experience. He mentioned a whole bunch of stuff that I won’t even repeat. It’s very complicated work, these big public projects.
I guess a question would be: when re-evaluating the Site C dam when the NDP were first evaluating the project, why was the ability of BCUC never used to oversee the project and determine whether it was in the public’s interest or not?
Hon. B. Ralston: I suppose it’s somewhat ironic that the member raises the issue of BCUC oversight. In 2010, the B.C. Liberals passed the Clean Energy Act. It specifically exempted Site C from BCUC scrutiny.
Clearly, the member is a later convert to the importance of BCUC oversight of the Site C project, but that was not the case. In fact, that was not the policy of the party who formed the government at the time, of which he is a member.
The BCUC did review the project in 2017 because our government referred it to the BCUC. That was the review that was conducted in 2017.
T. Shypitka: The minister is absolutely correct. The Clean Energy Act of 2010 allowed government to make decisions on project Site C without BCUC approval.
However, the Premier, then an MLA and in opposition, is on the record as saying that they would send Site C to a review with the BCUC. He’s clearly on the record for that.
They were in a coalition government with…. I see my colleague here from the Green Party. They were in a coalition government which was clearly on the record. Their leader at the time, Andrew Weaver, was clearly against the project. So it would have been very simple to just re-establish and get the BCUC to do the oversight or to do the initial review to see where it’s at, in the public’s interest.
I understand the minister trying to say, “Well, you guys did it,” but this government was clearly on the record. Not only the government but several MLAs were opposed to this project.
So once again, to the minister: why did they just not simply reinstate the BCUC instead of going through this other complex oversight?
Hon. B. Ralston: Well, the answer is pretty simple. The government sent it to the BCUC in 2017 for a review of the entire project. I’m not clear what the member is suggesting here. His government specifically, in legislation, had exempted the entire project from its genesis forward.
A. Olsen: Just following up on my colleague from Kootenay East, how would the minister characterize the government’s response to the BCUC report that came out in 2017?
It was clear that the government of the day, his government, referred this to the BCUC. I’m coming in here a little bit late in the debate, but the minister did state that this government did send it to the BCUC. How would he characterize how his government took the advice of the BCUC and applied it to this project?
Hon. B. Ralston: The government made a request of BCUC to review the project. That was done. A report was prepared and reported back to the Premier and the cabinet. After consideration, a decision was made to proceed with the project.
A. Olsen: The point, of course, is that the argument or the discussion about who referred it and who didn’t refer it, and it wasn’t referred and now it’s referred, and “We referred it, but they didn’t do it….” I think it becomes moot, really. Doesn’t it? If you don’t actually take what the BCUC has to say and apply it to the decision that’s being made.
If I remember back to 2017, I think there was a political decision, and the minister is correct that there was a decision to proceed. But I walked in on a discussion here, frankly, which was: who did what and when did they do it, and why didn’t they do it? I think, really, it doesn’t matter.
What does matter, actually, is that this project, at the beginning, was $5 billion. Then it was $6.6 billion. Then the government approved $7.96 billion, and then in 2016, it was $8.3 billion, then $8.7 billion. In 2018, it was $10.7 billion. These numbers are continually increasing, and this year it’s $16 billion.
Whatever the case, the government of British Columbia, represented by two political parties — one that got it started and one that inherited the project, clearly — has seen this project be one of, if not the most expensive projects in the history of this country. Yet we continue to stick our heads down and just drive forward based on the sunk cost fallacy that has largely been raised by a number of people.
The question to the minister: how certain is the minister that $16 billion is the final price tag?
Hon. B. Ralston: That’s an important question. It’s one that I’ve asked myself. B.C. Hydro is engaging in what’s called a re-baselining. In other words, a re-examination from the bottom up of all of the components of the budget. That’s a lengthy process. They’ve almost completed that. In addition, we’ve had Mr. Milburn have a look at many aspects of the project with a view to improving management of some areas which have seen cost increases, particularly commercial claims and risk management.
The choice of language of the $16 billion cost estimate is deliberate, but we’re expecting that there will be a budget that will be coming forward which will endeavour to be as precise as it can be in the circumstances. I’m not in a position — I think I answered my other colleague, and I think my present colleague had yet to join the debate — where it would be prudent for me to guarantee a budget number.
I’m convinced that the senior management and the team that’s been hired and the outside consultants that have been engaged have increased the probability of that budget number being accurate. But there are unforeseen circumstances. No one could have predicted COVID, for example. I’m convinced that we’re as close to a fairly solid number as we can be.
A. Olsen: There have been lots of solid numbers offered British Columbians, and those numbers have been increasing one over another. Is there a ceiling? Is there a number that we won’t surpass in this project? We’ve got some certainly that this number, $16 billion, is a good estimate, and I respect the fact that there are unforeseen circumstances. But is there any number that this government won’t accept?
Hon. B. Ralston: Thank you for the question. The process now is the re-baselining of the budget and an examination of all the components of the budget in an effort to be as certain as possible about those elements.
As I’ve said, I’m confident that due diligence has been exercised and that we are close to a number that’s accurate. Whether that is the final number, I’m not able to say. I have confidence in the process that’s being undertaken, the additional scrutiny and the additional response to the recommendations of Mr. Milburn in a number of areas of the project.
The additional diligence of an independent project assurance board that’s being implemented and the results of all of that, I think, give us some reasonable assurance that we are certainly close to an accurate number. But I’m not in a position to guarantee that absolutely. I think that would be imprudent on my part, so I’m not going to do that.
A. Olsen: That’s not the question that I asked. The question that I asked was whether or not there is a ceiling, that there is a limit. Or if we, as a province, need to be prepared — as citizens of a province, as ratepayers of a utility, a Crown corporation, as taxpayers in a province — and if we need to brace ourselves for any number. We’ve seen this project double, more than double, in the life of it so far. We’re well away from being done. That project is not completed yet, but we continue to go through these processes.
My question to the minister was: at what point do we say that this project costs too much?
Hon. B. Ralston: I appreciate the place that the member’s question comes from. I too am apprehensive about the budget. I think the member and I share that point of view. It’s a legitimate point of view. The public is, to the degree that they focus on this, likely concerned. But what I can say is, as the minister, I’ve been advised and I am convinced that Hydro is committed to completing the Site C project in the most prudent and efficient way possible.
The steps that have been undertaken since I became minister, in terms of the Milburn report and the implementation of that, are the re-engaging of EY in a more comprehensive way, the strengthening of the project assurance independent oversight and the addition of a number of teams in the commercial claims and risk management. All of these changes, I think, bring increased likelihood that the project will be delivered on budget.
I’ve mentioned, and I’ll mention again, the re-baselining. It’s a little bit of an awkward term, but it is a comprehensive look and examination and recalculation of a budget, element by element, from the bottom up. That is being done. It’s underway.
There are a number of cost pressures, which I’ve identified in some of my earlier answers. COVID, unmistakably, geotechnical issues. There are a number of other issues, as well, that have come forward. Civil works and cost increases over the time — these cost pressure have been real. That is hindsight, obviously, but I think the best thing that we can do — and that’s why these measures have been implemented — is to manage the project, going forward, in a better way. Those measures that have been implemented, I’m convinced, will help do that.
That’s, I think, the best I can provide to the member to deal with his concern about cost escalation.
A. Olsen: I’m going to take it that there is not a number then. I recognize that the question that I’m asking the minister is challenging, but it’s one that comes from, I think, experience as a member of this House and previously, before, watching this project’s cost increase. As the minister has pointed out, his government has put in place a number of measures throughout the time.
It’s almost like the way that the answer came was that, in response to this budget now being this astronomical number of $16 billion, the government is just putting in place things like the project assurance board. But that, in my understanding, was put in place. Yet the numbers still continued to go up, even with that oversight in place.
What we have, actually, in British Columbia, is a lot of project assurance. This government seems, with the answer to the question, very much assured that they’re going to continue to support this no matter what the number is. I think what we’re getting to, in the point here that I’m trying to make, is that we don’t have a lot of public assurance. We haven’t had a lot of information. There have been a lot of questions asked over the past couple of years about what government knew and when government knew it and when they shared it with the public.
This isn’t the minister and his cabinet colleagues that are paying for this. This is the people of British Columbia, the ratepayers of B.C. Hydro, the taxpayers of this province, that are going to be on the hook for this. What’s missing is the public assurance in this project.
There are so many unanswered questions about what government knew and when they knew it. Yet we get another report that comes out and says: “Nah, we don’t quite have the expertise to be able to do it.” Then you get a couple of other experts that are hired to come in and fill in the gaps that were there. All of this. Still the public are wondering where this project is at. It’s continued to be built during COVID.
So my question is to the minister: how much of the contingency fund for Site C has already been expended?
Hon. B. Ralston: Thanks very much to the member for his question. Clearly, there’s a difference in opinion about the public policy considerations here. From what the member has said — and I think it’s his public position — he was in favour of terminating this project, and the government made the decision to continue with the project.
Termination had certain financial consequences in terms of rate increases, an immediate bill for about $10 billion, and ratepayers would be asked to pay that $10 billion if the project were to be terminated. The decision made was to continue. I’m speaking of the 2021 decision. It was made to continue the project and build an asset that will provide clean electricity for British Columbia for an estimated 70 to 100 years. In an economy where we’re attempting to achieve a low-carbon future, clean electricity is an important component of our economic future.
That’s clearly the policy difference. This member would stop the project. Certainly, that’s his choice, and he can advocate for that. I know there are those who do that. But that’s not the decision of the government, and that’s why the project is going forward.
In terms of a contingency, there is a contingency within the budget. It hasn’t been called upon yet. I would also say, to foreclose the member’s next question, “How much is it?” for reasons of commercial confidentiality, the amount of that contingency cannot be revealed, given the ongoing negotiations with the main civil works contractor.
A. Olsen: My next question was actually to backtrack a little bit, Minister. It wasn’t actually going to be that question.
The minister mentioned B.C. Hydro is going through a re-baselining process right now. In other words, looking at the project from top to bottom to see how much it’s going to be. Is this the only time that Hydro has re-baselined the costs of this project? Or has that process happened previously?
Hon. B. Ralston: It’s not unusual in a major construction project, certainly one of this scale, that there are revisions to the budget, given the lifetime over which the project exists. In this case, there have been, obviously, unforeseen events, whether it’s the COVID interruption of the construction schedule or some of the geotechnical discoveries that were made. In order to make the project absolutely as safe as possible, Hydro fashioned a response and is in the process of executing that response.
As much as one would like the predictability and certainty of an absolute flat line in a budget…. I know that that’s what project managers and accountants devoutly wish for, but it has not been possible in this project. There are unforeseen circumstances that have to be dealt with — and raise costs and extend schedules. That’s been the case here.
B.C. Hydro has endeavoured to respond, and we continue forward with the project.
A. Olsen: The minister raises the issues around the geotechnical and COVID-19 as being a couple of reasons why the costs have escalated. I think it’s also fair to suggest that the costs were escalating prior to COVID. Certainly, there’s probably some aspect of COVID that has an impact on the cost of this project. We’ve also heard that the government has known about geotechnical issues at this site for a lot longer than perhaps they let it be known for the public.
Can the minister provide a breakdown as to the geotechnical and COVID costs? What does that look like? They’ve been very, very murky — the breakdown between the costs that are related to COVID-19 and the costs that are related to the geotechnical issues that the minister has highlighted in his previous response.
Hon. B. Ralston: There are a number of elements that go into the composition of the overrun, and I’ve listed some of them in response to questions by our colleague the member for Kootenay East. But let me go back to some of those again.
Obviously, COVID-19 and the impact of COVID-19…. The member seems to want to know how that impacted the cost. A substantial amount of the summer construction season was lost in 2020 and resulted in a one-year delay to the project, which adds costs.
The enhancements to the foundations, the geotechnical issue, are a significant cost issue, and those have been dealt with. I think I noted that the contract signed by the B.C. Liberals transferred all the geotechnical risk to B.C. Hydro. That’s why B.C. Hydro has to pay for it, and not anyone else.
There are other cost pressures that B.C. Hydro has acknowledged in previous progress reports to the BCUC that were being managed, as the member says, even before the outbreak of COVID-19: amendments to the main civil works contract, additional labour resource requirements, First Nations treaty infringement claims and an injunction application, increased costs associated with reservoir clearing, transmission line construction and highway alignment work.
There are a number of cost pressures, all of which have contributed to an escalation in the overall cost of the project.
A. Olsen: Again, we’ve got this situation where the finger is pointed at the B.C. Liberals for signing a contract that any geotechnical is going to be on B.C. Hydro. That goes back to 2017, and the conditions at which this government made the decision to proceed with the project. That should have been seen as one of the potential weaknesses of proceeding with a project that was already basically being built on sand.
To hear about that today, it’s a bit…. I can understand why we want to do it in this place. That’s politics. Let’s put as much of the blame somewhere as possible. But there has been a series of decisions that have been made by this cabinet and the previous cabinet. As the minister took quite a bit of time to highlight the difference in policy perspectives, there were a lot of similarities in the policy perspectives back in 2017. The main difference was one party wanted to send it to the BCUC, and one party was very clear over the last number of years that the project would have been cancelled. But there was a decision to proceed.
There still is the murkiness that exists when it comes to what is the weight of the cost overruns. We’ve heard that there’s a series of cost overruns. But what I was asking was for more information to be provided of the money that this project is costing us over and above the original budget. How much of that number is COVID, and how much of that number is geotechnical?
Hon. B. Ralston: It’s difficult to give a definitive answer to the member’s questions. The impact of COVID upon the project is immense, but it is difficult to calculate finely. It has an impact on schedule, therefore resulting in delay. It has an impact upon labour costs as well.
The foundation enhancement is, I would say, the second-biggest cost in terms of an overrun and not anticipated. I know the member said, somewhat disparagingly, that the dam is built upon sand. It’s not actually built upon sand, but there were geotechnical issues that were discovered through a system of sensors, about 500 or 600. There was a very small movement, many — 30 or 40 — meters below the surface, of less than 5 centimeters, detected by a sensor.
The engineering team felt that that represented a potential risk to the project. Many projects would not have even detected that, because they wouldn’t have the monitoring system in place to detect it. But in order to be as safe as possible, an engineering solution was considered and designed. That costs money. The estimates of that process have fluctuated, but they’re settling in on a final figure.
Then there are other costs. I know the member has expressed concern about the cost to the public. One of the reasons why it’s probably not prudent to reveal too much — I spoke of the contingency reserve and some of the other costs — is because there is ongoing negotiation with the main civil works contractor. To reveal some of those numbers might present a disadvantage to B.C. Hydro and ultimately to the taxpayers or the ratepayers that the member is concerned about.
For those reasons, some of these answers are not as precise as the member would wish and I would wish, myself, but that’s the situation that we’re in. I will say and reiterate that Hydro is doing everything to control those costs. There are a number of measures that have been taken, following upon the Milburn report, and enhanced independent scrutiny that I’m convinced will result in a better project and more of a control of escalating costs and delays to the schedule. That’s the nature of a big project like this. Some of it is not ideal, but we are managing it as we go forward.
A. Olsen: I think it’s important to acknowledge at this point that this project was, back in 2017, roughly $8 billion. Over the last handful of years, four years, it’s now $16 billion. What’s been demonstrated here is that there isn’t a ceiling. So yes, there’s re-baselining. The government is prepared to spend what it will take to finish this project. But in the last four years, there has been a doubling in cost of this.
It’s the same organization that’s overseen the doubling in the cost of this program that is now still in charge. So the reassurances that the minister gives that B.C. Hydro is being prudent and is looking to keep the costs down…. I think the people of British Columbia have every right to be skeptical about this.
With the level of secrecy that’s been around this project, just asking questions and getting very, very vague responses, whether it be here in budget estimates this year, budget estimates last year, whether it be the media looking for information, whether it be Indigenous nations looking for information…. This is a public project. The public is paying for this. The public has a right to know.
Does the minister agree that the public deserves accountability on this project and deserves to understand what it is that they’re going to be paying for in the end?
Hon. B. Ralston: The member raises the issue of transparency. The government is committed to managing the Site C project in the best interests of British Columbians.
That’s why we engaged Peter Milburn to provide independent advice. He was given full access to B.C. Hydro staff, cabinet documents, commercially sensitive information. It was a completely unfettered review. He interviewed key personnel in B.C. Hydro, many, and had full access to the range of documents I just mentioned. We wanted to make sure that British Columbians were fully informed about Mr. Milburn’s findings and recommendations but without compromising B.C. Hydro’s legal and commercial position with contractors.
Mr. Milburn produced the edited report of some 40 pages based on his experience as a former deputy minister in the government and the chair of the BCIMC, the independent management commission, which manages the pension fund of a number of British Columbians. He edited it. He was not directed by anyone as to how to edit it. That document was released.
We’ve also released multiple reports from independent geotechnical experts. The member for Kootenay East asked me about the quarterly reports. Those had fallen behind and weren’t being produced. I directed that they be produced. They’re up-to-date, and the next one will be coming at the end of June for the quarter January to March of 2021.
We also brought in new leadership, a new chair of the board at B.C. Hydro, in order to set off on a new path. We have taken strides to make this project, and B.C. Hydro generally, responsive to the public interest and open and transparent.
A. Olsen: Shifting gears here away from Site C to LNG. Thank you to the minister for his responses on Site C.
Today the minister made the statement in question period that the LNG Canada project has been factored into the CleanBC targets and into our emissions. Is the minister aware that the Minister of Environment is still looking to find emissions within British Columbia so that then we are actually in alignment with the commitments, the targets, that we’ve made? We’re still looking for 25 percent of those emissions. Those were to be identified by December.
Is it not a challenging thing to say in question period that we have accounted for LNG yet British Columbia is going to blow past its targets by at least 25 percent? The implication in question period today was that LNG can fit within our budget. But in fact, it’s part of a carbon budget that is way over what we need it to be.
Hon. B. Ralston: The member is right to mention the 25 percent, although I think it’s a bit jumbled in with the LNG there. The Minister of Environment and Climate Change Strategy has publicly made that very clear — that the CleanBC program takes us towards 75 percent of our emission reduction targets. There’s an additional 25 percent that’s being worked on. There is consideration of other pathways that would lead to a reduction and ability to reduce that final 25 percent.
That’s a public discussion that the minister has engaged in. It’s not a secret. He recognizes it as a challenge, and I’m confident that he is working very hard on that. I know he’s very thoughtful and devoted to working on that plan and justifiably proud of the work he’s done so far, but he recognizes that there’s more to do. That is the work that is being done.
In terms of the comment about LNG…. It wasn’t LNG. It’s one specific project. The LNG Canada project is accounted for in the emissions that are counted across the economy. So it’s not a question of LNG, per se, the category, being accounted for. It’s that one specific project that is accounted for.
A. Olsen: I completely accept the distinction that…. In fact, I wouldn’t even say that the minister made a distinction from what I was saying. That’s exactly what my point is.
Today in question period, when we asked about…. When my colleague from Cowichan Valley asked about LNG and the minister said that LNG Canada is factored into our CleanBC goals and factored into our emissions, he left it hanging. The minister made it sound like we had accomplished something, yet we still are 25 percent of the way from achieving our own targets.
The minister actually today in question period left us hanging, believing that we can have LNG and we can also achieve our CleanBC targets. Can we have LNG Canada, currently, and meet our CleanBC targets?
Hon. B. Ralston: I am going to quote from the Minister of the Environment’s response in estimates. I believe it’s yesterday. There was a question asked by the member for Skeena. Let me give you the minister’s response:
“What is modelled in our 2030 plan are the emissions associated with LNG Canada phase 1, trains 1 and 2, 3.45 megatonnes when complete. That’s upstream and downstream. There is a small amount of potential additional emissions from oil and gas that were done in the original modelling.
“The OPP or memorandum of understanding with LNG Canada was very clearly and specifically limited to phase 1, which is the only final investment decision made to date. Our government has been clear. If proponents wish to develop LNG further, they should show us and the people of B.C. how their plan can reduce or eliminate emissions or how the sector overall can reduce and eliminate emissions, therefore creating some room so that they fit within the plan so that we can meet our legislated climate targets.”
That’s the minister’s response. That’s what, in my perhaps imperfect choice of words earlier today, I was referring to.
A. Olsen: Currently, this project is built into a program that still has 25 percent of the way to go. One of the arguments that the B.C. Green caucus has been making all along was that the investment that the people of British Columbia made in the Bill 10 amendment a few years back…. This, actually, would have been an unnecessary conversation. But we enticed LNG Canada to build this infrastructure. Now, as a result, we are falling way short of our own targets.
We’ve got the Ministry of Environment looking to make up ground when it’s clearly right in front of our eyes. The IEA report that my colleague was referring to today has now even changed the language from 2019, where LNG was a transition, to just moving right past LNG.
Here we are in British Columbia, partnering with companies to build infrastructure that is going to actually impede our ability to lead on climate, and the people of B.C. are investing in that. That’s been a long-standing issue that we’ve had.
So will the minister, here, commit to not increasing the LNG industry any further than what LNG Canada is already building to come online in 2025?
Hon. B. Ralston: Let me quote again. I’ll read the same quotation from the Minister of Environment. If people want “to develop LNG further, they should show us and the people of B.C. how their plan can reduce or eliminate emissions or how the sector overall can reduce and eliminate emissions, therefore creating some room so that they fit within the plan so that we can meet our legislated climate targets.”
The market forces that drive the LNG industry are changing very rapidly, as the member likely heard. A partner of Chevron Canada, Woodside, was going to develop a project called Kitimat LNG at Bish Cove, on land owned by the Haisla people. In December 2019, Chevron Canada said that they were putting their interest, a 50 percent interest in that project, up for sale. It has not sold yet. They have said that they no longer wish to support the project.
Woodside made the announcement yesterday that they too are putting their 50 percent interest up for sale, although they do retain substantial rights to natural gas drilling rights in the Liard part of northeast British Columbia. That company…. Woodside is an Australian company, but they have interest in Western Australia and in Senegal, which they are choosing to be a higher priority. That project looks as though it will not proceed.
I think the other comment that I would make, as you’ve referred to the report and Fatih Birol, the director of the International Energy Agency…. It’s early days in terms of examining its impact on B.C., but one of the comments is that the future of LNG will be determined, to some extent, by the banks and commercial lenders. They will evaluate some of the advice that’s been given by Fatih Birol, and they may decide that they choose not to finance projects in the future.
It’s a very dynamic market and there’s a lot of technological change occurring out there and many shifts in energy generation priorities. I would not want to predict, in the way that the member seems to be convinced, that certain things are going to happen, when they may not.
The Chair: We will now take a five-minute recess, just to prepare for a new Chair who’s starting. We will return at 5:28 p.m., after we undertake cleaning and safety protocols in preparation for the new committee Chair.
The committee recessed from 5:23 p.m. to 5:28 p.m.
[D. Coulter in the chair.]
The Chair: Continuing debate, I recognize the member for Saanich North and the Islands.
A. Olsen: Thank you, Mr. Chair. Welcome to the chair.
Before the break, the minister stated that the market forces are changing. In that context, I’d ask the question: was there a final investment decision on LNG Canada to be made before the provincial government moved that Income Tax Amendment Act and the assurances and the benefits that were provided on behalf of British Columbians through that bill?
Hon. B. Ralston: I wonder if the member might just clarify that question. I wasn’t clear what was being asked there.
A. Olsen: Before the break, the minister acknowledged that there are a number of factors, in terms of financing these projects and, as well, the global marketplace and suggested that currently we’re seeing change in the LNG and natural gas global marketplace.
The question that I was asking was: prior to the final investment decision that was made by LNG Canada…. That final investment decision wasn’t made, in my understanding, unless there was that Income Tax Amendment Act that basically provided a market for that project to be approved and for the final investment decision. Would that project have been approved without the income tax amendments that were made by this Legislature?
Hon. B. Ralston: The member’s question is a hypothetical question, obviously, reaching back and asking what would have happened had something else happened.
I will say this about the decision. Government had a clear policy that LNG, if projects were to be approved, must contain express guarantees of jobs and training opportunities for British Columbians and a fair return on our resource, must respect and make partners of First Nations and must protect our air, land and water, including living up to our climate commitments.
The member asked a question previously about where this LNG Canada project figures in the climate plan. I’ve provided to him the response that the Minister of Environment made yesterday in estimates.
There are benefits to the project in terms of employment. The project continues. Over 3,000 workers are employed at the project site in Kitimat, with over 1,500 people from that total being British Columbians. They’ve awarded more than $3 billion of project-related contracts with Indigenous companies, local companies and companies in B.C. and across Canada. The project is estimated to generate $23 billion in public revenue over 40 years. That does not include the multiplier effects of the taxes on economic activity.
LNG Canada has entered into agreements with the following impacted First Nations: Haisla, Kitselas, Gitga’at, Gitxaala and Kitsumkalum. Coastal GasLink has agreements with all 20 elected First Nations along the pipeline route.
LNG Canada’s facility is expected to have the lowest greenhouse gas emissions intensity of any major LNG facility in the world.
We can’t revisit the decision, in the sense that it’s already been made and that project is being built, but those are some of the benefits, as we see them, of the project.
A. Olsen: I’ll just, I think, leave it at this. The point that I think needs to be made here, and needs to be made at every opportunity, frankly, is that there is a rapid change across the globe when it comes to the combustion of fossil fuels. This most recent International Energy Agency report that my colleague referenced in question period today is the latest indication that British Columbia is on the wrong track.
The reason why I’m revisiting…. I don’t have any interest in revisiting this, other than that the minister has used language in here, in this debate and then, as well, in the Legislature, that would lead people to believe that LNG Canada fits within the commitments that we made with CleanBC. It doesn’t. We have yet to achieve the targeted amounts in greenhouse gas reductions that we’ve committed to.
Yes, we can add LNG Canada to the total emissions of this province, but we are still falling short by 25 percent. The Minister of Environment had 18 to 24 months to identify those. Still yet to be done. In all of the conversations that we’ve had with the Minister of Environment, the 25 percent that we’re looking for is the most difficult. When we spoke with the government about the approval of LNG Canada, we said: “Look, one of the ways for us to be able to achieve our targets is to not approve this.”
The other aspect of it is…. In the questions that were responded to here, there was a suggestion that the market is changing. The reason why I went back and revisited the commitment that the people of British Columbia made to the consortium of companies at LNG Canada through that Income Tax Amendment Act is because…. The argument and the point need to be made that the market wasn’t there to begin with if the people of British Columbia didn’t step up and give a golden handshake to that consortium of companies. That final investment decision wasn’t going to be made unless we stood up and gave them that Income Tax Amendment Act.
LNG Canada, the project that we have right now being built…. Yes. Also, I’ll point out…. LNG Canada is also the source of one of the most contentious breakdowns in Indigenous-Crown relations that this country has seen in decades. As the minister is highlighting all of the benefits of this project for British Columbians, let’s not forget the tension and frustration that that project caused for Indigenous People in this province and the confusion that it caused across the public.
This project and LNG…. I asked the question: will this minister state clearly that we’re not going to be investing in further expansion? The response is: “Well, you know, if they can demonstrate that there’s….” The unwillingness of this government to say: “No. We’ve got a different direction for energy.”
The member for Kootenay East and I sat and talked about a variety of different ways that we could capture, store and transmit energy and electricity across the province. There’s a bunch of different ways that we could do it. There’s a whole pile of numbers that we could run out in here.
I’m looking from this minister…. He’s committed to looking at the IEA report. It’s a big report. It’s going to take a while to pore through it.
What commitment do we have, on behalf of the people of British Columbia, that the minister is going to use that report to inform the future decisions of the ministry and the future decisions of this province so that we are not continuing to pour public money into a project that’s going to increase our greenhouse gas emissions, making everybody else in the province pay more?
That’s what happened. Every other industry in this province now has to peel it back because we made the agreement with LNG Canada. Everybody else has to pay the price for the decision that was made by this government. What commitment do we have that this minister is going to use the reports of the International Energy Agency and the global marketplace to inform the decisions about the future of energy in this province so that it doesn’t look like the past?
Hon. B. Ralston: I thank the member for the question. Two responses. One would be just…. The member has mentioned the Income Tax Amendment Act and, I take it, the arrangements that flowed from that. That’s really a question more properly addressed to the Minister of Finance. I don’t think her estimates have taken place yet. So that’s probably something that the member could pursue there.
In terms of the report that’s been mentioned, it’s very new. It’s one among many, many reports, but I certainly will have a look at it. The staff will analyze it, and what the implications might be for British Columbia and its energy policy, going forward, will be considered.
The Chair: I recognize the member for Kootenay East.
T. Shypitka: Thank you, Chair. Welcome to the Chair.
Thank you to the member for Saanich North and the Islands.
We were at the Peter Milburn report last time I dropped off. Something that the minister said in response to the member for Saanich North and the Islands was just on the Peter Milburn report itself and the certainty and the confidence that the minister had in the report. He’s already said that he supports all 17 recommendations of the report. He’s admitted there were flaws in oversight and independence with the project assurance board. I think that’s fairly clear in the report. So I’m glad there was a buy-in there.
The question to the minister is: how confident was the minister in the Milburn report in identifying safety and geotechnical issues, engineering?
Hon. B. Ralston: Mr. Milburn addressed geotechnical issues in pages 14 to 19 of his report. I’m not quite sure what the question might be. Like all of his work, he made a recommendation at the end of that. That recommendation has been accepted.
But in addition to his review, two independent experts, John France and Dr. Kaare Hoeg, conducted a thorough review of the project. They were specifically chosen because they have global recognition for their expertise in hydroelectric dams and they had not been previously involved in Site C.
They concluded in their report — and this was made public — that “B.C. Hydro’s proposed approach is sound and capable of making the right bank structures safe and serviceable.” They also said they were “not aware of any appropriate structural foundation enhancement alternatives that were not considered in B.C. Hydro’s evaluation.” They also did a separate review of the earthfill dam. That’s the main dam, not the two cofferdams. They are confident that a “safe earthfill dam structure can be built at Site C that meets the Canadian Dam Association guidelines.” Again, that report has been made public.
T. Shypitka: Thank you, Minister. Basically a segue to my next question, for sure.
The minister had stated, not too long ago, just maybe 20 minutes ago, that the Milburn team — there were eight people, I believe, on the team — had access to B.C. Hydro. It had access to a range of documents, I think was how it was phrased, many resources. Was the Milburn team…? Did they not have the capacity to do it? Or why are we, essentially, bringing in another team of experts to do something that may have, should have, been done with the Milburn report?
Hon. B. Ralston: The terms of reference for Mr. Milburn did not include engineering review, although what he does do in pages 9 to 14 of the report is trace the examination of the emergence of the problem with the right bank foundation and assesses the steps taken. Mr. Milburn is a professional engineer as well. The member may know that. It’s not a question of…. And there are other engineers on his team. The technical advisory board, which is a group within B.C. Hydro, also advised on this.
The reason for engaging these two outside experts was that this area of the engineering of major hydro dams is a highly specialized discipline. The two people who were engaged are recognized as global experts and have examined — I read through their curriculum vitae — between them, hundreds, literally hundreds, of dams over the course of their professional lifetimes. They had not had any previous dealings with Site C, so they were therefore completely independent when they came to that. They’ve completed the two reports, which have been made public.
So it’s really out of an abundance of caution and the wish to make sure that the project is absolutely safe that these two experts were engaged, and their opinion was sought and published and given to the public.
T. Shypitka: Well, it just seems to be a continuing pattern with this project right from the start, with the project assurance board being reviewed, saying there wasn’t enough expert advice and independence on the board. Then the Peter Milburn report comes in, and the Premier is saying himself that Milburn didn’t have the capacity to do it, so we’ll give it to somebody else who has the independence. So it just seems like it’s a continuous train of lack of independence and clarity and transparency on this whole project, right from the start.
It continues today, and that’s creating cost. It’s creating uncertainty. As the member for Saanich North and the Islands said, where is the end date to this? Where is the final cost of it all? The minister’s stated the $16 billion. Under the best knowledge they have right now, that should be it. But maybe next month might be a different story. I think people are just getting frustrated with that.
I guess the question, Minister, now is: when the Milburn report was first commissioned, when was that, and was there a 30-day interim report that was supposed to be released?
Hon. B. Ralston: Just a couple of comments before I get to a response.
The member has said, somewhat loosely, complaining about a lack of independence. I don’t believe — I hope he’s not suggesting — that Mr. Milburn wasn’t independent. I hope he’s not suggesting that France and Hoeg, the two independent experts who were engaged to do the studies of the right bank foundation enhancements and the earthfill dam, weren’t independent. As far as I’m concerned, they are independent. If the member has any evidence to suggest that they weren’t independent, I’d invite him to state it on the record. Maybe he’d also like to state it outside, where he’s not covered by legislative immunity.
Secondly, the issue of transparency. These reports were commissioned and made public. The detailed Milburn report was released publicly. The two reports of the experts were made publicly. What is lacking in transparency in that? I appreciate the member has the right to grumble, but he also has the obligation, I think, as a member of the Legislature, to be factual. Neither of those comments are factual.
The terms of reference were drawn up in Mr. Milburn’s report on July 31. The first interim report came after it was fact-checked. It was released during the interregnum. I was not the minister at that point, obviously. It never came to me. I only saw the final report.
T. Shypitka: Just in response to the minister, I wasn’t insinuating that the Peter Milburn team lacked independence. I was saying that the Peter Milburn report identified lack of independence with the public assurance board. Two totally different things. If I did say it that way, I would retract that, because I do believe the Peter Milburn report was independent.
The question was: when was the Peter Milburn report commissioned? I’m not sure if I heard the answer there. I believe it was in July. I’m seeing a nod there, so July.
The second question, a follow-up: was there an interim report that was requested after 30 days of the commissioning of the report?
Hon. B. Ralston: The terms of reference were drafted and agreed to July 31, 2020. That’s when the process initiated. There was an interim report, which was delivered to officials, I think in the department of Finance, for fact-checking, for checking with the project assurance board and just to make sure that in a report of this complexity and importance that it was accurate. I did not receive that report. The interregnum began, and I was no longer minister.
T. Shypitka: The Milburn team was commissioned in July — July 31, I heard, of 2020. There was a request…. I suggested 30 days. I never heard a definitive answer on how long that was requested. I believe it was 30 days. That report was then submitted to the project assurance board. No? Maybe the minister can clarify that again. The interim report was completed, is what I’m understanding.
I guess the question to the minister is: how long after it was commissioned? Was it 30 days? What was the date that that interim report was produced? Who saw it? Was it made public?
Hon. B. Ralston: The report was not made public — that interim report. I will commit to getting back to the member as to who received the report in the ministry and the timeline.
T. Shypitka: I believe the interim report was requested from the ministry, or from the minister, more specifically, when the Milburn team was set up. I’m concerned on why the minister wouldn’t have seen that report immediately when it came out. Can the minister then tell me when he first saw it, or the first time anyone saw that report, what the date was? Need to know the date.
Hon. B. Ralston: That answer is not available at the moment. We’ll follow up and advise the member who received the report and when.
T. Shypitka: Well, I don’t need an exact date. The minister and the ministry requested the Milburn team to commission an interim report. They were concerned about the safety and geological issues, and they took the time to get an expert — an independent expert, I’ll add — to do this report. It seems strange to me that the minister wouldn’t know when the report was received, who saw it and what time approximately.
Give me a ballpark. It could be the end of August. If it was 30 days, it could be September. The minister doesn’t even want to say when he saw the report for the first time. I’ll give the minister another chance. Is there any ballpark figure that you could give me when you first saw that report?
Hon. B. Ralston: I think in matters like this, it’s important to be precise. I don’t have the information here at the moment, and I’ve committed to providing it later. That’s where it sits.
T. Shypitka: Well, it’s an important document, so maybe I could narrow it down. Was it before November?
Hon. B. Ralston: I appreciate it’s a new question, but the response is the same.
T. Shypitka: Well, it’s interesting. I’ll look forward to finding that out.
There were a lot of things that were happening right around that time. This is a very important report. There were a lot of things that were happening with the future of Site C — cost overruns, geotechnical issues, safety issues, a lot of things.
Another thing that was happening right around that time was an election. What I’m trying to find out from the minister is if he knew about this report before the unnecessary snap election happened in October. It would seem likely that it would have happened. If it was commissioned in July and there was an interim report that was requested for 30 days, that would take it to the end of August. September. I can’t remember the actual date when the election was called.
I’m sure the minister remembers the election. That would be a good milestone to trigger if he’d seen that report or not. As I said, it was probably a very…. He wanted to see that report. I mean, who wouldn’t? When you’re commissioning a team of people, experts, as a matter of fact, on a very large project — the largest, as a matter of fact, in B.C. history for public infrastructure — why would that not trigger the minister, to see something that important?
I guess for just the last time. I mean, was it before the election or after the election when he saw that report?
Hon. B. Ralston: My answer is unchanged. I appreciate the member’s question, but I think it’s important to be accurate, and I don’t have the accurate information available to me right here. I’ll endeavour to provide it.
T. Shypitka: I’ll take that on notice, and if the minister could find it, we’ve still got another day of this, so I’m sure he’ll be able to dig out that information in the next half a day or so. It shouldn’t be that hard to track down. Perhaps the minister can provide that information tomorrow.
I just wanted to go into a couple of B.C. Hydro’s heritage assets right now, Burrard thermal being one of them. Can the minister tell me what purpose the Burrard generating station serves British Columbia right now? It was decommissioned as far as energy-producing for residents, but does Burrard thermal provide any service other than emergency backup right now on the electrical grid?
Hon. B. Ralston: The Burrard thermal generating station is located on 199 acres of land in Port Moody.
In November 2013, the previous government announced that B.C. Hydro would no longer generate electricity at the Burrard generating station after 2016. There is no emergency backup at this site. The Burrard generating station switchback and what they call high-voltage transmission lines still play an important part of B.C. Hydro’s system and are expected to remain in service for the long term.
Hydro has been looking at potential uses for the site since 2016 but does not have a definitive long-term plan for it. Because it’s considered a heritage asset, an amendment to the Clean Energy Act would be required to allow for the lease or sale of the site. That’s why there is, in fact, in the Attorney General’s Miscellaneous Statutes Amendment Act, a provision to delete this heritage asset from the list of heritage assets under the Clean Energy Act.
So there is consideration. There’s no definitive plan, as I said, but alternate uses could support the province’s electrification targets, foster clean and innovative technologies and advance Indigenous reconciliation.
I know that the MLA for Port Moody, in whose riding it is, has taken a particular interest in this project, and people have approached him directly. There’s a lot of interest, particularly from clean energy companies, given its proximity to the centre of the Lower Mainland, to give them the number of acres there as well, but there’s no definitive plan as to how it would be used. It will be developed through a marketing and consultation process.
T. Shypitka: Thanks for the information, to the minister. I have to admit, I’m not totally, fully up to date on what Burrard thermal represents. I think I heard the minister say it does provide voltage support to the grid, currently. But I was under the assumption that it also had a dual role in providing backup power, emergency power. I’m seeing heads shaking, so I was under the wrong information there.
The cost to replace that voltage support. Does the minister or his staff know what that would cost, the capital cost would be to replace that type of voltage support?
Hon. B. Ralston: As I was advised earlier and as I stated, parts of the facility are used to provide the voltage support services. Current plans for this continue until at least 2025.
Then there is a project to provide voltage control stability to the Lower Mainland volt transmission system. That’s in the planning process. That would involve installation of capacitor banks and shunt reactors at substations located in the Lower Mainland and the Fraser Valley. That is contemplated to be in service by ’24-25. I do not have a cost for that upgrade at all.
T. Shypitka: I wanted to just touch slightly now on the customer crisis fund. It was a two-year pilot project initiated through B.C. Hydro. It was advocated, I think, by a seniors advocate group to bring some kind of relief to those that find themselves in trouble every once in awhile. Sometimes, you know, when they cut the service and they turn it back on, it comes at a heavy cost.
The pilot project wanted to examine the feasibility of having such a fund. In the two-year program, it appears that it’s not a sustainable fund. Can the minister just give me a status on where we are with the CCF right now?
Hon. B. Ralston: This an interesting question that the member has posed. Under the existing regulatory structure, B.C. Hydro is limited in its ability to offer specific low-income rates, as rates must be justifiable on an economic basis and cannot create undue discrimination or preference.
B.C. Hydro’s low-income conservation programs have delivered about $6 million in annual electricity cost savings to customers as at the end of fiscal 2021. But given the ruling by BCUC that the program could not be justified on an economic or cost-of-service basis, B.C. Hydro will stop taking new applications for the fund, CCF, after May 31, 2021. In order for the program to continue, government support would be required, either through direction or change in legislation of government funding.
I also should note that B.C. Hydro offers payment plans for customers that need extra time to pay their bills. For example, customers may be given six to nine months to pay for their higher winter bills. It’s also noteworthy, I think, in response to the COVID-19 pandemic, that Hydro had stopped disconnections for residential customers for non-payment and also stopped applying the late payment charges.
The Chair: Okay, Member, one last question on the record. Then we’ll ask the minister to answer it tomorrow.
T. Shypitka: All right. Thank you, Chair.
The CCF, the rate rider — when it first came out, I believe it was 25 cents. Then it was reduced, a year later, to 13 cents. Now they say the fund is not sustainable. I’ve read the reports on that, and I would tend to agree with it. However, will the rate rider, or anything else related to the CCF, linger on after May 31; i.e., is there consideration…? I’ve heard chat that it will now turn into a COVID crisis fund. Is there any truth to that?
The Chair: Yes, you can answer that question tomorrow, Minister. Get that last question on the record. I’ll ask you to make a motion now.
Hon. B. Ralston: Hon. Chair, I move the committee rise, report progress and ask leave to sit again.
Motion approved.
The committee rose at 6:28 p.m.