Fifth Session, 42nd Parliament (2024)
OFFICIAL REPORT
OF DEBATES
(HANSARD)
Wednesday, March 6, 2024
Afternoon Sitting
Issue No. 392
ISSN 1499-2175
The HTML transcript is provided for informational purposes only.
The PDF transcript remains the official digital version.
CONTENTS
Routine Business | |
Public Service Benefit Plan Act, annual report for year ending March 31, 2023 | |
Orders of the Day | |
Proceedings in the Douglas Fir Room | |
Proceedings in the Birch Room | |
WEDNESDAY, MARCH 6, 2024
The House met at 1:33 p.m.
[The Speaker in the chair.]
Routine Business
Prayers and reflections: K. Paddon.
Introductions by Members
Hon. A. Dix: Today in the galleries are representatives of the Council of Senior Citizens Organizations of B.C., otherwise known as the real COSCO. It’s good to have them here. They met this morning with MLAs, including the Parliamentary Secretary for Seniors. They’ll be meeting with me this afternoon and, I know, other MLAs as well.
I want to introduce Leslie Gaudette and Terri van Steinburg, the president and the second vice-president of the organization.
Please welcome them to the House today.
K. Kirkpatrick: I have two introductions to make this afternoon.
Today is World Lymphedema Day. For those who aren’t aware, lymphedema is the most underdiagnosed disease in the world and is far too common a side effect of cancer treatments.
Today bringing awareness to lymphedema are members of the B.C. Lymphedema Association. I’m pleased to introduce the president, Sandi McConnach; the past president, Christine Chandler; the vice-president and my friend and fellow breast cancer survivor, Lyn Anglin; their acting secretary, Janine Leitch; and the membership coordinator, Colleen O’Farrell.
Would the House please help make them feel welcome today.
My second introduction. I would like to…. For over half a century, families have come to visit the community of Parksville, many returning year after year. Today we have members from the Resort Drive Advocacy Group in the House from Parksville, who will be formally inviting the minister to come and tour their community.
I would like to recognize them and thank them for being here today.
Please make them feel welcome.
Hon. K. Conroy: It’s not often that I get to introduce people from Castlegar. Or should I say Robson? Today in the gallery are Martin and Taya Whitehead.
I’ve known Martin I think since he was three years old. I’ve watched him grow up and am really impressed with the person he has become. I’ve known Taya since Martin brought her home to introduce her to the family. Taya is an ECE alumna, an early childhood educator alumna, from Selkirk College, and she’s now the vice-president at Selkirk College. I think that bodes well for early childhood educators in this province.
Would you please join me in making them both very welcome.
E. Sturko: I rise today to introduce two people. One is Lehann Wallace, the regional district of Nanaimo electoral area director and a B.C. United candidate for Ladysmith-Oceanside. As well, Ed Mayne, the former mayor of the city of Parksville.
Will the House please make them feel welcome.
K. Falcon: I’m pleased today to have in the gallery several good friends from the Lower Mainland. I’d like to welcome Gina Singh, Jatinder Singh, Sunita Dhir and Sudeep Sehgall.
I’d ask the House to please make them welcome.
A. Olsen: Today I have the honour of introducing a couple of people who have been here a few times now: Helen Davis from Artemis Wildlife Consultants and Mark Worthing from the Awi’nakola Foundation.
I raise my hands to the UVic environmental law clinic, specifically a friend of many members in this place, Calvin Sandborn; from the Sierra Club, Walas Numgwis; Chief David Mungo Knox of the Kwakiutl Nation. I’m grateful for their tireless work to protect Spaet.
C. Oakes: Last week I had the opportunity to talk about the Lhtako Quesnel B.C. Winter Games, what a great job everyone did, and how Barkerville stepped up at the last minute, when we didn’t have snow, to really provide an exceptional experience.
Joining us in the gallery today is Kate Cox, the CEO of the Barkerville heritage site. I just want to say thank you to all of the folks at Barkerville that really stepped up to make sure that we had an amazing Lhtako Quesnel B.C. Games.
Make sure you book Barkerville in your summer holiday. It’s a place that you cannot miss. It’s such an extraordinary asset in British Columbia.
Would the House please make Kate welcome.
A. Walker: I’d like to join with the members for Surrey South and West Vancouver–Capilano to welcome all of the wonderful people from Parksville, especially Judy Thomas. The work of the Resort Drive advocacy committee has been incredible, and it is through the tireless efforts of Judy and the other volunteers that that happens.
I, too, would like to welcome our electoral area G director from the regional district of Nanaimo, Lehann Wallace, and the former mayor of the city of Parksville, Mr. Ed Mayne.
Would everyone please make them feel very welcome.
R. Merrifield: I would like to introduce a group today that’s in the House that represents owners and businesses across British Columbia, including my hometown of Kelowna; Victoria; Vernon; Penticton; and Parksville, a shoutout, who own and/or work with lawfully operating short-term rental properties which are built in tourism zones.
Could the House please join me in welcoming those from Property Rights B.C. to the House today.
Introduction and
First Reading of Bills
BILL M203 — SHORT-TERM RENTAL
ACCOMMODATIONS AMENDMENT
ACT, 2024
K. Kirkpatrick presented a bill intituled Short-Term Rental Accommodations Amendment Act, 2024.
K. Kirkpatrick: I move that a bill intituled the Short-Term Rental Accommodations Amendment Act, 2024, of which notice has been given in my name on the order paper, be introduced and read a first time now.
For over half a century, families have come to visit the community of Parksville where their children explored the beaches of Rathtrevor Park, roasted s’mores over beach campfires and visited the many community restaurants, shops and even mini-golf.
Kelowna, Victoria, Vernon, Penticton, Parksville, Qualicum and other communities rely on hosting tourism visitors. Purpose-built short-term accommodation owners and associated employees rely on those people and families to come and visit and contribute to the vibrancy and economy of these communities.
While there, they stay in legally operating purpose-built short-term rentals, which were never meant to be accommodation, and are mostly owned by individuals and B.C. families. Last fall B.C. United anticipated the devastating impact to owners, employees and local communities by not including an exemption for these properties in Bill 35.
That is why B.C. United introduced a commonsense amendment to Bill 35 to include this exemption. Today, in light of what we have heard from municipalities across B.C., community BIAs and all those individuals being financially and emotionally devastated, I’m introducing this private member’s bill amending Bill 35 to include an exemption for these specific properties. This amendment honours the purpose of the original intention of Bill 35, which is to return appropriate suites into B.C.’s long-term accommodation market.
B.C. United agrees that commonsense regulation is required to manage the impact of short-term rentals. However, including these lawfully operating properties, which are built in tourism zones for recreation and were absolutely never intended for long-term residential use, does far more damage than good in communities.
The Speaker: Members, the question is first reading of the bill.
Motion approved.
K. Kirkpatrick: I move that this bill be placed on the orders of the day for second reading at the next sitting of the House after today.
Bill M303, Short-Term Rental Accommodations Amendment Act, 2024, introduced, read a first time and ordered to be placed on orders of the day for second reading at the next sitting of the House after today.
BILL M204 — WILDLIFE
AMENDMENT ACT,
2024
A. Olsen presented a bill intituled Wildlife Amendment Act, 2024.
A. Olsen: I move that a bill intituled the Wildlife Amendment Act, 2024, of which notice has been given in my name on the order paper, be introduced and read a first time now.
For decades, experts have been advocating for laws to protect bear dens in British Columbia. We still lack comprehensive legal protection for bear dens.
Bear dens have been left to a patchwork of policies by logging companies which are inconsistent and unenforceable. Last month, the Union of B.C. Indian Chiefs unanimously passed a resolution calling on the province to protect bear dens by the end of this spring session. The resolution from Walas Numgwis, Chief Dave Mungo Knox, recognizes the duty we have as humans to protect our relatives and our shared homelands.
As we committed to in the Declaration Act, Indigenous people have the right to maintain and strengthen their distinctive spiritual relationships and the right to conservation and protection of the environment and the productive capacity of their lands and territories.
In 2023, it was the deadliest year to be a bear; mostly the result of the degradation of the environment and the lack of natural food sources: 603 black bears were killed by the B.C. Conservation Service last year. The primary reason, according to chief Cam Schley, is human garbage.
The pressures on bears is great, and we can offer them some relief in protecting their denning habitat. The act before us today makes essential changes to protect bear dens. It sets out that if a person disturbs, molests, damages or destroys a bear den, they have committed an offence. Further, this protection stands on both Crown land and private land, which is an essential component given the proliferation of private managed forest lands in British Columbia.
This is the third time I’ve introduced this legislation, and since then, untold numbers of bear dens have been destroyed. It’s the mandate of the Minister for Wildlife to protect the biodiversity of this province, and this includes protecting the dens where bears hibernate, birth and raise their young.
The Speaker: The question is first reading of the bill.
Motion approved.
A. Olsen: I move that the bill be placed on the orders of the day for the second reading at the next sitting of the House after today.
Bill M204, Wildlife Amendment Act, 2024, introduced, read a first time and ordered to be placed on orders of the day for second reading at the next sitting of the House after today.
Statements
(Standing Order 25B)
INTERNATIONAL WOMEN’S DAY
K. Paddon: March 8 is International Women’s Day, a time we recognize the many women, girls, two-spirit and gender-diverse people in our province who are so often the cornerstones of our families, our neighbourhoods and our communities.
B.C. has a long history of incredible people who are making change in our society. People who fight sexism, gender-based discrimination, harassment and violence every day, trailblazers who break barriers, stand up for change and fight for the rights of all people. I am grateful to be working alongside so many women and girls who make an impact every day towards making life better in our province.
Our government recognizes that gender equity and empowering women benefits everyone and is essential to the health of families, community and our economy. The theme of this year’s International Women’s Day is “Invest in women: Accelerate progress.” That is exactly what our government is doing, by empowering B.C. women, by opening doors and bringing down barriers for women in trades, tech and other non-traditional roles, by making historic investments in child care, making it easier for women in the workforce.
We’ve introduced pay transparency legislation to shine a light on pay discrimination and to support women in getting jobs and the compensation that they deserve. We’re empowering women in their reproductive health as the first province in Canada to provide universal coverage of prescription contraceptives, the first to offer an at-home self-screening program for cervical cancer, and one cycle in vitro fertilization for free starting in 2025.
We continue the work to advance safety for women, along with everyone’s right to live free from discrimination and gender-based violence. Our every step to support the women of our province is rooted in equity, where opportunities are available to all people, regardless of their gender, ethnicity or other parts of their identity.
International Women’s Day is a call to action and a reminder that gender equity is one of the most effective ways to build healthier, wealthier and more inclusive communities.
BRIAN MULRONEY
K. Falcon: Last Thursday this country lost a great Canadian. Like many, I was deeply saddened to learn of the passing of the Rt. Hon. Brian Mulroney. He was Prime Minister when I was involved with the young Tories, and I had the pleasure of meeting him on several occasions. His leadership was truly inspirational.
Prime Minister Mulroney’s time in office was marked by vision, courage, and an unwavering commitment to this country. He was a great statesman who believed in the power of partnership and the strength of alliances. His landmark achievement, the Canada-U.S. Free Trade Agreement, transformed our economy and set the stage for much of the prosperity that we enjoy today. He saw beyond borders, envisioning a North America where goods could move freely, strengthening ties and building a more prosperous future for all.
He was also champion of the environment, leading the fight against acid rain, which involved the trans-border toxic air pollutants, which were such a huge issue in the late ’70s, early ’80s. He successfully negotiated an agreement. After five years of negotiating with President Reagan, he ultimately signed an agreement with President George H.W. Bush that has also been transformative. That, along with a commitment to preserving our natural heritage, helped shape the environmental outlook for generations of Canadians.
Perhaps his most enduring legacy is his leadership in uniting world leaders to fight against the scourge of apartheid in South Africa.
He was also well known for working side-by-side with President Reagan and Prime Minister Thatcher to see and oversee the collapse of the Soviet Union and, to paraphrase President Reagan, banish communism to “the ash heap of history.”
As we remember Brian Mulroney today, let us thank him for his service, his great accomplishments and his unwavering belief that Canada can always be better.
May he rest in peace, knowing that his contributions have helped shape a stronger, more united and more compassionate country.
SENIOR IMPROV TEAM AT
R.E. MOUNTAIN SECONDARY
SCHOOL
M. Dykeman: It is a pleasure to rise in the House today to congratulate the senior improv team, at R.E. Mountain Secondary School in the township of Langley, for their win at the Canadian Improv Games Lower Mainland regional tournament.
The students at R.E. Mountain worked so hard for this win, practising during and after school and even through the weekends and holidays, to beat out schools from across the mainland of British Columbia and win a spot at the national competition in Ottawa later this month. R.E. Mountain Secondary’s improv teams have an impressive record at provincial and national competitions, and I’m proud to have so many hard-working, creative and funny students in my community.
Opportunities like this for students to build valuable skills, have fun and represent their community and their province are only possible because of teachers like their coach, Mr. Sidhu, who has taught generations of improv students in Langley how to think on their feet, succeed under pressure and work collaboratively. His commitment to the performing arts and to his students makes our province a better place.
Once again, congratulations to Jordan, Ali, Ryland, Logan, Leanna, Elizabeth and Agatha on your huge win. Thank you for being amazing representatives of Langley schools, and good luck at the nationals.
Could the House please join me in congratulating them.
WORLD LYMPHEDEMA DAY
AND PRINCE GEORGE
LYMPHEDEMA
GARMENT FUND
S. Bond: March 6 is World Lymphedema Day, and it is the perfect time to learn more about exactly what lymphedema is.
Lymphedema is the buildup of fluid in the soft tissues of the body, causing uncomfortable swelling in the arms, legs and other areas of the body. Cancer and its treatment are risk factors for developing lymphedema. It can also result from scar tissue that forms after surgery, radiation therapy or an injury.
While there is no cure for lymphedema, there are effective ways to manage it. Without it, patients are at increased risk for complications and disability. An important part of managing the disease requires daily use of specialized and often expensive medical devices, such as compression garments, pumps or custom wraps and bandages. Many people with lymphedema are unable to work to their former capacity, are on fixed incomes, or have families that face financial hardship due to lymphedema.
That is why the Prince George lymphedema garment fund is so important. The inspiration for the campaign started with Janet Horning, an OT assistant at UHNBC in Prince George, recognizing the financial challenges that so many lymphedema patients face.
I want to recognize the work done by Lila Reynolds, Paula Foley, Sandi Foucher, Nancy Marsolais, Sonja Redden and others. These incredible people have worked tirelessly to raise awareness and, importantly, funds to create the Prince George lymphedema garment fund. The fund is administered by Spirit of the North Healthcare Foundation and has already provided custom-fit compression garments to lymphedema patients in our community and beyond.
My hope is that today, on World Lymphedema Day, we will recognize the B.C. Lymphedema Association for all that they do, take the time to learn more about lymphatic diseases and, most importantly, commit to providing the support that lymphedema patients in British Columbia need and deserve.
INVASIVE PLANT REMOVAL
AND URBAN
REFORESTATION
H. Yao: Last Saturday, March 2, 2024, I had the privilege of joining over 70 volunteers at Richmond’s Garden City Park to help remove an invasive species, the Himalayan blackberry bush. This annual event, hosted by my office, was implemented in collaboration with the city of Richmond’s parks department and the Garden City Conservation Society.
Although invasive, blackberries offer certain benefits to our community and local environment. As a food source, many people enjoy an abundance of blackberries. Additionally, some ground-nesting birds and small animals benefit from a thick and thorny canopy. Unfortunately, the blackberry bush poses a major threat to local plants. Blackberries can grow their canes out to five metres and can pull down large trees. The dense canopy also blocks sunlight, which is much needed by low-growing plants. The proliferation, resilience and aggressive growth pattern allow the blackberry to out-compete local plants.
Unable to fully eradicate the blackberry bushes, the volunteers and I were able to systematically clear a large area, while keeping the spread of blackberry bush under control. On March 23, volunteers and I will return to the same site and plant 700 trees to help create a micro-urban forest, also known as a Miyawaki forest.
These minuscule forests are mighty, containing hundreds of plants, each striving to get its own share of rain and sun. Done the right way, the forests achieve mature height in about 20 years, rather than 100 or more, because they grow up rather than out. All plants are local and have evolved to live together. Plants are chosen to form four structural layers: canopy, sub-canopy, arborescent trees and shrubs.
I want to thank all the volunteers for their contribution and dedication; the Richmond parks department, for providing equipment, support and guidance; Garden City Conservation Society, for their leadership and expertise; and Linda Li, for her generous donation to help the society to purchase the plants.
By working together, we can build a better Richmond for all to enjoy.
FOREST HYDROLOGY AND CLEARCUTTING
M. Morris: For decades in British Columbia, forest hydrologists have determined that clearcutting has had little to no effect on flood frequency and magnitude. Studies have now confirmed that the removal of primary forest cover does in fact cause increases in flooding.
Civil engineer Younes Alila obtained his bachelor of science, master of science and PhD from the civil and environmental engineering department at the University of Ottawa. Prior to becoming a professor with the UBC department of forest resource management in 1996, he worked as a project engineer for the greater Vancouver regional district.
Upon taking up his duties teaching forest hydrology and watershed management at UBC, Professor Alila immediately observed that forest hydrology research was using a unique approach, one that was not used or even taught in engineering and general hydrology. This approach piqued his curiosity and led to extensive research comparing the two approaches.
For nearly two decades, Professor Alila, supported by other research scientists, conducted numerous comparative research studies. They reviewed decades of hydrological studies and found, without exception, that this unorthodox assessment design severely and consistently underestimated the impacts to flooding caused by the loss of the forest canopy. Alarmingly, these erroneous results have misguided forest policy since prior to adopting the clearcut strategy in the mid-1960s.
This research also concluded that it takes 80 years in the southern Interior for a conifer tree to grow to a sufficient height to protect the forest floor from the sun’s radiation causing a rapid snowmelt. It would take 100 years or more in the northern Interior and higher elevations. This suggests that none of the 20 million hectares of clearcuts logged over the past 60 years have recovered sufficiently to reduce the threat of flooding.
Forest hydrology must play a major role in designing the future for our forests.
Oral Questions
GOVERNMENT ACTION ON REPEAT
OFFENDERS AND CRIME IN
COMMUNITIES
K. Falcon: The details emerging on the sexual assault of an 11-year-old Kelowna girl by convicted pedophile Taylor Dueck are nothing short of horrific. This NDP government apparently not only thought that was it a good idea to give this pedophile free horseback riding lessons, but they decided to book those lessons at a riding camp that was easily identifiable as a venue for children.
A representative of Community Living B.C., a government agency, drove this monster there, dropped him off and waited, in the car in the parking lot, while he assaulted an 11-year-old child. At no point did anyone in this NDP government apparently think of disclosing that the person attending this facility was a pedophile with a history of violent sexual assaults.
The Premier needs to take accountability for this latest catastrophic failure of his government.
My question to the Premier is this. Who is going to be fired for this utterly despicable failure to keep our children safe?
Hon. D. Eby: This is completely outrageous. You’re a parent, and you drop your kid off at a place they’ve been 100 times before. It would never cross your mind in a million years that there would be such a profound lack of judgment that somebody would put a repeat sexual offender, a pedophile, into that facility and sit in a car on the phone, not do the one job that was supposed to be done here.
At every level, this was a massive failure of judgment: for CLBC to take on responsibility for someone with a criminal record like this, for them to subcontract that responsibility to an obviously negligent and incompetent subcontractor, for that person who had one job to do, of making sure that this individual was not in contact with any children, to fail at that job, to decide that a horse barn was the right place to take this person. It is outrageous.
I think about this family a lot, because it could happen to any family, that they could do this. This is why it’s so important that there be an investigation to identify the individuals who exercised this profound lack of judgment, to hold them accountable and reassure families in British Columbia that the government does not find this acceptable, that it is the absolute most unbelievable string of incompetent decision-making that one could even imagine, and that we will address it.
The Speaker: Leader of the Official Opposition, supplemental.
OVERSIGHT OF AFFORDABLE
HOUSING
PROGRAMS
K. Falcon: I’m going to move to another question, but I would just say to the Premier that every time one of these horrific events happens, whether it’s stabbings or, in this case, a sexual assault of a young child, we hear all the right words. We just don’t see the action.
Now, as I move on to housing, I want to say that as the Premier’s reckless spending fuels inflation and pushes housing costs ever higher, there has been a 62 percent surge in the number of people unable to pay their mortgages here in British Columbia. Yet far from offering relief, this Premier keeps adding to the cost of housing and funneling taxpayer dollars into yet another B.C. Housing boondoggle like the condo project he falsely promised would provide affordable homes for middle-class families.
What was the outcome? Well, an audit has now revealed that wealthy investors, some owning multiple homes worth millions of dollars, reaped the benefits. One realtor allegedly alone made $53,000 in commissions off of these so-called affordable units.
Question to the Premier. How many taxpayer dollars are going to be funneled to wealthy investors through the Premier’s government-run housing scheme while more and more families fall behind in their mortgages?
Hon. D. Eby: The member is referring to a Vivid attainable housing project. It’s odd because it was set up under the B.C. Liberal government. The terms under which these properties were held were set up under their government. When I was Housing Minister, I was advised that the terms they had set up were inadequate, that people were taking advantage of the program. I told B.C. Housing: “Go to court. Hold these people accountable for what they’re doing, and make sure that we fix the mistakes of the previous government on this.”
I find it odd that the member would stand up and talk about funneling money to investors when he and his party support removing the speculation and vacancy tax that only taxes you if you’re holding homes vacant. He and his party have stood and voted against, again and again, restrictions on Airbnb. I look forward to seeing how they’re going to vote on the flipping tax.
They stand up for investors and speculators again and again, and unsurprisingly, the program that they set up was taken advantage of by, guess who, speculators and investors.
The Speaker: Leader of the Official Opposition, second supplemental.
K. Falcon: Well, as is so often the case, it’s not an issue of who started the program; it’s the issue of who’s mismanaging the program throughout their time in government. Isn’t it ironic that it was…
Interjections.
The Speaker: Let’s hear the question, please. Members.
K. Falcon: …this minister, this Premier, who was the minister responsible for B.C. Housing. I remind the viewing audience, the minister that the audit came forward, the performance audit that came forward that talked about a lack of a paper trail for projects that were being undertaken, conflicts of interest…. He had to fire the entire NDP-appointed board, had to get rid of the president that was also mismanaging the organization, an organization riven by mismanagement and financial profligacy and, no surprise, also mismanaging this program too.
Good try, Premier, to try and suggest that someone else is responsible for your lack of oversight. The fact of the matter is he was Housing Minister responsible for that while investors were getting rich off of this taxpayer scheme.
Now, these wealthy investors, as we know, broke the rules. They were illegally renting out these taxpayer-funded units and using them as Airbnbs. Now, the Premier himself is no stranger from profiting from taxpayer-funded condos. He conveniently flipped his own condo as an Airbnb opportunity. It was marketed as an Airbnb opportunity, pocketing $150,000.
The Speaker: Question, Member.
K. Falcon: Only after personally profiting did he later turn around and financially devastate legally operating short-term rental providers like those that are here in the gallery today.
The Speaker: Question, Member.
K. Falcon: My question to the Premier is: how does the Premier justify enriching himself and other wealthy investors with taxpayer dollars at the expense of hard-working British Columbians who pay their taxes and play by the rules?
Hon. D. Eby: I know it’s embarrassing for the member to stand up and ask a question and then suddenly realize: “Oh my God, that was our program.”
Interjections.
The Speaker: Shhh, Members.
Hon. D. Eby: The member insists it’s not about who spilled the milk; it’s about who cleaned it up. I cleaned up mess after mess after mess these guys left. ICBC, B.C. Housing…. This was just one more example.
Now, British Columbians know who’s on the side of speculators and investors.
Interjections.
The Speaker: Members. Members.
Hon. D. Eby: It’s the party that is literally running ads saying: “We’re going to get rid of the speculation and vacancy tax. We’re going to get rid of the….”
Interjection.
The Speaker: Member. Leader of the Official Opposition.
Hon. D. Eby: We’ll see how they vote on the flipping tax.
Again and again and again, they stand up for people buying up strata units, instead of them being available for families, to run them as hotels. They stand up for people leaving homes vacant instead of renting them out as a place to live. They stand against people dividing their single-family home into units that are actually affordable for British Columbians. Again and again and again, they fight against British Columbians looking for housing in order to defend people like the Leader of the Opposition, their speculator-in-chief.
SHORT-TERM RENTAL PROPERTY
AND TOURISM
ACCOMMODATION
K. Kirkpatrick: Well, the Premier never lets the truth get in the way of a good story. B.C. United has said that they will actually be providing….
The Speaker: Member.
K. Kirkpatrick: They will actually be supporting legislation that will help to regulate Airbnbs. We have said that, and we supported that.
What we have said is there are people here today in the gallery who are operating short-term rentals who are being unfairly targeted by this NDP’s Bill 35. People like Suzanne, a senior from North Vancouver: “We need the income to survive. I can’t believe that after 50 years of hard work, you’re doing this to us in our retirement. You should be ashamed. I understand going after people with multiple properties, but punishing us for one extra property is unbelievable.”
B.C. United has proposed commonsense amendments to rectify the NDP’s half-baked legislation, which this NDP government has dismissed and voted against.
Will the Premier listen to common sense and protect these legally operating tourist accommodations in communities like Parksville and Vernon and right across the province?
The Speaker: Members, before I recognize the Government House Leader, I just remind people: be careful in your wording when we ask the question and answer.
Hon. R. Kahlon: Thank you, hon. Speaker. I appreciate it.
There seems to be a theme emerging. Whenever we bring an initiative forward, first, the B.C. United caucus, they support the initiative. Then the B.C. Conservatives start talking against it, the MLA from Parksville starts speaking against it, and then all of a sudden, they realize: “Oh my gosh. There’s an issue here that might be important for us. We might be able to get some votes.” Okay. This is the theme that’s been over….
The member just said: “We did support it. Oh, but until we heard from the other parties that this might not be a good idea.” There’s no consistency in any position that they take. It changes all the time. It all depends….
Interjections.
The Speaker: Members. One at a time, please.
Hon. R. Kahlon: It all depends on two things: what the B.C. Conservatives say and then whoever is in the audience today.
We have been consistent. We will continue to prioritize housing available for people in our communities. We know there are people struggling for housing. We are doing every single thing we can to ensure housing is available for people in our communities.
The Speaker: West Vancouver–Capilano, supplemental.
K. Kirkpatrick: That is gobbledygook from the Minister of Housing, and it does not satisfy these people who are being hurt by this.
After seven years of the NDP promising life would be more affordable, nothing could be further from the truth, as housing has never been less affordable. Instead of looking in the mirror, this Premier looks for scapegoats.
He has even attacked people like Melissa, a Vancouver renter who depends on income from a single short-term rental property to support her family, who says — these are her words: “I have two small children, one and four years old, and thinking about our family’s future makes me angry. You’ve completely uprooted our financial health and portrayed us as the bad guys.”
When will the Premier stop blaming middle-class families like Melissa’s and call our commonsense private members’ bill for debate?
Hon. R. Kahlon: The member said it’s gobbledygook. It’s not. They, in fact, supported….
Interjections.
The Speaker: Members.
Hon. R. Kahlon: This is a consistent theme. They supported short-term rental legislation. The B.C. Conservatives came against it. Now they’re against it. This is a theme.
Surrey police….
Interjections.
The Speaker: Members. Members.
Members, it’s okay to hear the answer. It’s okay. Be quiet, also.
Hon. R. Kahlon: Similar with Surrey police. Similar with harm reduction. This is a theme we consistently see from this side.
People are struggling for housing in our community. We have communities with vacancy rates near 1 percent. Can’t attract health care workers. Can’t attract teachers. Can’t attract the important services we need in our communities.
We need to move more housing into the long-term market. I certainly hope that people will take the opportunity to provide long-term housing opportunities for people in our communities.
GOVERNMENT ACTION ON CLIMATE
CHANGE AND LNG DEVELOPMENT
POLICIES
S. Furstenau: This week the Institute for Energy Economics and Financial Analysis warned that “Canadian LNG expansion does not make sense.”
Last month U.S. President Joe Biden paused approvals for LNG export projects, citing a flooded market and climate concerns.
Federal minister Jonathan Wilkinson recently stated that LNG projects are risky investments.
British Columbians are wary too. A new poll finds that public support for LNG is falling fast. Only 15 percent of British Columbians support this dirty fossil fuel industry.
Despite all the red flags, this government continues to champion LNG exports. And since we’re speaking of a lack of consistency today, my question is to the Premier, who two short years ago acknowledged that we can’t keep adding fossil fuel infrastructure and expect to meet our climate targets.
Will the Premier show leadership and pause any further approvals for LNG projects?
Hon. J. Osborne: Thank you to the member for the question.
We’re in a very different position than in the United States. There are more than 170 LNG facilities operating in the U.S., compared to eight projects here in Canada. In B.C., we have a new net-zero industry policy that will require LNG facilities to be net zero by 2030 and any other new facility net zero by 2050.
We also have a significant advantage in our transition to a clean energy economy, an economy we know we’re moving towards and that this government firmly supports. We’re going to be building a better future with more robust climate targets and putting that emphasis on a clean energy transition, moving away from fossil fuels.
The Speaker: Leader of the Third Party, supplemental.
S. Furstenau: I look forward to the future when historians will look back and recognize that the term “net zero” is a most extraordinary kind of greenwashing.
Doubling down on LNG means squandering B.C.’s clean electricity, sending it at discounted rates to polluting fossil fuel projects rather than to the homes and businesses of British Columbians who, as a result of this, can fully expect to see their hydro rates go up. Investing in LNG means tax cuts for dirty fossil fuel industry while more financial burden lands on British Columbians. The case in point is a $500 million tax cut for B.C.’s largest industrial polluters hidden in this year’s budget.
The impact of climate change is all around us. One hundred active fires are burning in the province right now. Snow levels are 40 percent below normal, and people are desperately concerned about the risks of wildfire and drought this summer.
My question again is to the Premier. As the impacts of climate change become increasingly clear and costly, why is this government giving yet another tax break to the fossil fuel industry?
Hon. J. Osborne: Again, I appreciate the member raising the issue of the LNG industry and the transition to the clean economy. But I am disappointed to hear misinformation in her question. I know that she understands that LNG pays or will pay the same hydro rate as other industry.
From record flooding and wildfires that we’ve seen, we know we need to take action. We know that people in communities are on the front line of climate change. We are going to continue to tackle these changes with a reaffirmation of this commitment in Budget 2024 — $318 million to continue the grants and rebates to help people make the switch to cleaner transportation, cleaner homes and healthier homes, building this transition to the lower-carbon economy.
We are going to help British Columbians do exactly what they want to do, what they are asking us all to do, and we are going to do it with them.
TIMBER SUPPLY AND
FOREST INDUSTRY
JOBS
J. Rustad: This NDP government is systematically destroying our forest sector. In my riding alone, B.C. timber sales….
It’s been almost three years, and permits have not been issued on close to two million, between 1½ and two million cubic metres of wood. This has contributed to the closure in Fraser Lake. It’s led to the curtailment in Vanderhoof. In Merritt, it’s been almost two years now, and hardly any permits have gotten out of the door. These are all permits for wood that has been damaged by wildfires, that’s dying, that needs to be cut, that needs to be reforested.
When a community loses a mill, it’s not just their workers that lose their pay and being able to support their families, but it guts the community. It leads, unfortunately, to poverty, alcoholism, crime, violence and despair. Decent, hard-working British Columbians are struggling and suffering, and they’re losing their ability to pay their families. Workers just want to get to work.
Question to the Premier: why is this government actively trying to destroy the forest sector, and why are they putting union and non-union jobs on the line?
Hon. B. Ralston: Forest curtailments are extremely difficult for workers and for communities. People in communities are facing low lumber prices and less available timber after the beetle kill and forest fires.
The member opposite will recall that he chaired a committee that investigated the coming timber supply challenges in his region in 2012. Had his government followed the recommendations in that report, we’d be in a very different position, perhaps.
Nonetheless, Fraser Lake, the closure of the mill there…. The Ministry of Jobs has sent in their crisis response team, and they are working with the community. In addition, we have also…. The Premier, in his speech at Prince George to the Natural Resources Forum, has identified fibre supply as a major challenge for the forest sector and, indeed, appointed a new minister, the minister of sustainable forest resources, to investigate, with his sole mission to increase available fibre to mills and to communities.
The Speaker: Leader of the Fourth Party, supplemental.
J. Rustad: Three years without issuing permits on almost two million cubic metres of wood from B.C. timber sales: that is strictly on this government.
Jeff Bromley from the United Steelworkers Wood Council says: “Thousands of high-paying, rural community–supporting jobs are disappearing right before our eyes. It’s time for our province to decide if it wants to have a vibrant forest sector that supports good-paying jobs, Indigenous people and local economies.”
The United Steelworkers couldn’t be more clear. B.C. workers just want jobs. They want the dignity of being able to have a decent job and being able to support their families. And quite frankly, all we’re seeing from this government is pro-drugs, pro-crime, anti-family, anti-worker. They are selling out the people of this province, quite frankly, in a vain attempt to get Green votes in the Lower Mainland.
Forestry is the backbone of British Columbia. It used to be the backbone of British Columbia. It still is the backbone in many, many communities across this province.
The question to the Premier is: why is this government so indifferent to the everyday hard-working people who just want to make a living and provide for their families?
Hon. B. Ralston: I agree with the member that the forest industry is the backbone of the economy of this province now, and it will be in the future.
We wouldn’t have the standard of living that we have in this province without the forest resources, the jobs and the prosperity that it creates. Indeed, forest products remain one of British Columbia’s largest commodity exports, generating over $15.5 billion in exports in 2022, about 25 percent of total commodity exports. It’s the only natural resource that, if managed well, can offer solutions in a climate-challenged world.
I agree with the member. I agree with Jeff Bromley that forestry is an important part of the future of the economy of British Columbia.
FREEDOM-OF-INFORMATION REQUEST FEES
S. Bond: This week the Minister of Citizens’ Services defended the NDP’s $10 FOI application fee. With a straight face, he said: “We are doing what we can, making sure the system works for people.”
Well, clearly, “people” must refer exclusively to the Premier and the NDP cabinet. The NDP have earned the title of Canada’s most secretive government, and the Premier’s office now boasts record-breaking FOI request delays, with responses taking over a year.
Maybe the minister could enlighten us on how charging a $10 fee for the privilege of waiting over a year is “doing what we can.”
Hon. D. Eby: The member raised FOI responses from the Premier’s office. I can advise the member that we have eliminated the backlog of 117 files down to one, and we’re responding to requests at 98 percent on time this year. We’ll keep working. A hundred percent is what’s expected.
I can advise the member that since they’ve not been in power, we’ve also discontinued the use of Post-it Notes.
FIFA WORLD CUP HOSTING COSTS
P. Milobar: No $10-a-day daycare, but certainly $10 FOI fees by this government that continues to justify its title of the most secretive government in Canada. Maybe they’re going to average FOI fees moving forward.
We’ve been asking repeatedly to know the true cost of FIFA, because British Columbians actually deserve to know. The Tourism Minister won’t give a number to say what the requirements are. In fact, the only thing clear is that the NDP has given FIFA a blank cheque. Seattle, in stark contrast, has actually published its FIFA contract.
A very straightforward question: what is the number, what is the dollar figure for FIFA today, as things stand?
Hon. L. Popham: Thank you to the opposition for the question. I’m really happy to stand up and talk about FIFA. It’s going to be the greatest celebration this province has ever seen.
We got some great news a couple of weeks ago. We’re moving from five games to seven matches, which is a really great piece of news for the amount of visitors we’re going to have to see our province.
Interjections.
The Speaker: Members. Members.
Hon. L. Popham: We are looking forward to releasing the numbers on FIFA. We’ve had some new information. We’re working on that. We want to release sound numbers when we do. It’s coming in the next few weeks. I know they’re going to be very excited to receive those numbers. What we know is that this brings a huge opportunity to our province, and we expect British Columbia to be in a better place after FIFA leaves.
RESTAURANT LICENCES AND
REGULATION OF
DANCING
T. Stone: Well, it seems these days that NDP stands for the No Dancing Party.
The Premier’s NDP government has penalized Loula’s Taverna on Commercial Drive with a $10,000 fine or a one-week liquor licence suspension for the crime of people dancing in a Greek restaurant. And Tocador on Main Street was shut down for the horrible crime of people dancing on New Year’s Eve.
This is under the same Premier who orchestrated a Prohibition-style raid of Fets Whisky Kitchen in his first days as Attorney General, forcing them to close.
My question to the Premier is this. Can the Premier explain how the heck it makes sense for his NDP government to allow people to smoke meth, snort cocaine, shoot up with heroin in a restaurant but, God forbid, if there is dancing in that same restaurant, the NDP is going to hit you with fines and suspensions?
Hon. M. Farnworth: I appreciate the question from the member, but I have to say he’s being a little footloose with some of the facts. Of course, that doesn’t surprise me when you have an opposition that clearly is on its last tango in this House in terms of being the opposition, because time and time again they seem to be more in tune with dancing to the two-stepping duo of the B.C. Conservative Party.
Interjections.
The Speaker: Shhh.
Hon. M. Farnworth: What I want to tell the hon. member is that I’m sure that he is aware…. He knows that there are two kinds of licences in this province. One is a liquor-primary licence. The other is a food-primary licence.
He will also know that one of the cases that he refers to…. It was not shut down because of dancing but, in fact, because it was over capacity. That is something fire officials take seriously and liquor inspectors take seriously. I mention this because these rules are the same rules that were in place when that government sat on this side of the House.
I also know that when it comes to liquor laws, there have been changes, and we have been making those changes. We have worked with the industry to put in tariffs, the TESAs which they have wanted. We’ve been assisting the industry, ensuring their licence is holding value for up to ten years.
We will continue to do more, including the issue of dancing. At the end of the day, if people want to dance, they should be able to dance.
CHILD CARE PLAN
AND ACCESS TO
SERVICES
T. Halford: Based on that answer, it shows how seriously this government actually takes the devastating consequences we are seeing to small business in B.C. today.
Let’s talk about something else. Let’s talk about $10-a-day daycare. The Premier has broken a promise time and time again, and he deflects, opting to discuss averages instead. In not one but two elections, the signature promise of this NDP government was universal $10-a-day daycare. Not average, not winners and losers. Universal $10-a-day daycare.
What have they done? Well, we see that over 10,000 fewer young children are in a child care since 2019. Parents are now facing a lottery and a nightmare trying to get a spot. Parents grappling with the cost-of-living crises deserve a straight answer.
When will this Premier actually fulfill the NDP’s promise — seven-year, two-election, broken promise — of universal $10-per-child daycare?
Hon. D. Eby: In our province, the parents of more than 13,000 children are already receiving $10-a-day spaces. There are 35,000 children and their families receiving the affordable child care benefit. They’re paying $10 a day.
Now, the thing, though, that grates me a little bit about these questions is that the members pretend they care about or actually want $10-a-day child care for British Columbians. In the 2017 campaign, they were actually asked about this. The member for Abbotsford West was asked if federal funding for child care would change his position on $10 a day, opposing it. What was his answer to that? No. Still opposed.
What happened when the leader of the BCUP was in cabinet? There was a $14-a-day child care plan. What did he do? He cancelled it. So if he ever gets on this side of the House, we know what he’s going to do. We know what he’s going to do.
Interjections.
The Speaker: Shhh, Members. Members.
Hon. D. Eby: Every single family that’s benefiting from reduced child care rates, buckle up if he ever gets on this side of the House.
Interjections.
The Speaker: Members will come to order.
Members.
Members, the Premier has the floor.
Hon. D. Eby: If they ever get on this side of the House, they’ll do the same thing they did last time. They will cancel affordability for B.C. families just like they did last time.
[End of question period.]
Petitions
K. Kirkpatrick: I would like to table a petition in the House of approximately 10,000 British Columbians, representing the Property Rights B.C. group, with a request to amend Bill 35, the Short-Term Rental Accommodations Act, to exclude legally operating short-term rental accommodations.
Tabling Documents
Hon. K. Conroy: I have the honour to present the Public Service Benefit Plan Act annual report for the fiscal year ended March 31, 2023.
Orders of the Day
Hon. R. Kahlon: In the main chamber, I call second reading on Bill 6, Supply Act.
In the Douglas Fir Committee Room, I call Committee of Supply on the Ministry of Attorney General. After that completes, I call Committee of Supply for the Ministry of Citizens’ Services.
In the Birch Committee Room, I call Committee of Supply for the Ministry of Tourism, Arts, Culture and Sport. After that completes, I call the Committee of Supply for the Ministry of Jobs, Economic Development and Innovation.
Committee of the Whole House
BILL 6 — SUPPLY ACT (No. 1), 2024
The House in Committee of the Whole (Section B) on Bill 6; S. Chandra Herbert in the chair.
The committee met at 2:35 p.m.
On clause 1.
The Chair: All right, Members, let’s draw this committee to order. We’re here looking at Committee Stage for Bill 6, Supply Act (No. 1), 2024.
Hon. K. Conroy: I’d like to just introduce the staff with me today. I have Tiffany Ma, the assistant deputy minister for Treasury Board, and Tu Tran, the director of fiscal planning for Treasury Board.
I look forward to the questions from the members opposite.
P. Milobar: I’ll only have a couple of questions. The Supply Act is fairly straightforward for its purpose of essentially keeping the doors of government operating while we keep moving through regular process. As I said in my second reading comments, as a matter of…. The opposition obviously has big issues with the overall budget, but we’re not taking big issues with the supply bill, just to try to keep the doors of government running while we express our concerns around the overall budget.
I guess the question on clause 1 for the minister is…. It’s 2/12. I seem to recall…. Maybe I’m wrong on this. I always thought it was 3/12, so three months out of the year, typically, in the supply bill. I notice it is in other clauses, but not on the first. I’m just wondering why that one was deemed to be only two of the 12 months.
Hon. K. Conroy: So 3/12 was done for the last couple of years, but 2/12 is the standard, and we are continuing on with that.
P. Milobar: Of course, given it being an election year…. Typically, we have a fixed election date, but obviously, because of the 2020 election that veered away from the fixed election and was a snap election, there’s a lot of speculation out there around potential of a spring election.
Does anything in clause 1 get compromised in terms of the operations of the government if there was a snap spring election as opposed to the scheduled election in October?
Hon. K. Conroy: I think the Premier has made it pretty clear we’re not having a snap election, so the answer would be no.
Clauses 1 to 4 inclusive approved.
Preamble approved.
Title approved.
Hon. K. Conroy: I move that the committee rise and report the bill complete without amendment.
Motion approved.
The committee rose at 2:40 p.m.
The House resumed; the Speaker in the chair.
Report and
Third Reading of Bills
BILL 6 — SUPPLY ACT (No. 1), 2024
Bill 6, Supply Act (No. 1), 2024, reported complete without amendment, read a third time and passed.
Hon. K. Conroy: I call second reading on Bill 4, Municipal Affairs Statutes Amendment Act, 2024.
[S. Chandra Herbert in the chair.]
Second Reading of Bills
BILL 4 — MUNICIPAL AFFAIRS STATUTES
AMENDMENT ACT,
2024
Hon. A. Kang: I move that the bill now be read a second time.
I am pleased to rise in the House today to speak to this important piece of legislation. I’m honoured, as the Minister of Municipal Affairs, to be tabling this bill in the House. Bill 4, the Municipal Affairs Statutes Amendment Act, has four key goals, which I will speak to in more depth. It responds to the Municipal Finance Authority’s request for additional time to prepare year-end reports and financial statements, thereby improving the quality and timeliness of reporting for the MFA.
It modernizes the Union of British Columbia Municipalities Act, the UBCM Act, and it responds to the city of Vancouver’s request for improvements to its administrative efficiencies with respect to dog licensing and its approval process for development permits.
To achieve these goals, Bill 4 proposes to amend amendments to the Municipal Finance Authority Act, the Union of British Columbia Municipalities Act and the Vancouver Charter.
The MFA is a corporation without shared capital, owned and operated by member local governments, whose purpose is to provide financing and short-term investment opportunities for regional districts, municipalities and institutions. Under the Municipal Finance Authority Act, the MFA Act, which governs the MFA, the MFA is currently required to hold its first annual meeting of its trustees on or before March 31. The amendments to the MFA Act will extend the deadline for the MFA’s first annual meeting to May 15 from the current deadline of March 31.
In recent years, the MFA’s reporting requirements have become more complex. The amendments to extend the deadline for presentation of these reports at the first annual meeting will allow staff adequate time to prepare year-end reports and financial statements required for the meeting. It will also bring the reporting deadline in line with the deadline for local governments to finalize their audited financial statements.
I am pleased to respond to the Union of British Columbia Municipalities’ request for amendments to the Union of British Columbia Municipalities Act, the UBCM Act.
The UBCM was established in 1905 to represent the common concerns of municipalities through B.C. The UBCM Act establishes the UBCM as a statutory corporation and sets out the objects of the UBCM. Since then, the UBCM and the local government system in British Columbia have changed significantly, and the current membership of UBCM now also includes regional districts, member First Nations and the Islands Trust. The amendments in this bill will promote more inclusive language that currently reflects the current membership of UBCM.
The current version of the UBCM Act also includes several outdated administrative provisions. It requires a resolution of the membership to cooperate with other organizations, when in practice, these decisions are currently made by the UBCM executives. Additionally, it states that the UBCM will certify its area associations, while in practice, the UBCM does not oversee the area associations.
The amendment in this bill will update the UBCM Act to reflect the modern and efficient operations of the UBCM. There are several legislative cross-references in the UBCM Act which provide UBCM with its administrative structures. In some instances, these cross-references are to repeal statutes, such as the Company Act, which was replaced by the Business Corporations Act.
The amendments in this bill will remove the references to repealed statutes and replace them with current legislation or new wording, while maintaining the intent of the legislation. These amendments will improve the readability of the UBCM Act and bring it in line with current legislation.
I’m pleased to present proposed amendments to the Vancouver Charter, which will enable the city of Vancouver to expedite administrative processes with respect to dog licensing and landscaping.
The proposed amendments will enable the city of Vancouver to delegate decisions about the suspension or revocation of dog licences to staff. Currently the Vancouver Charter requires that decisions to suspend or revoke dog licences be made by council. Staff are better positioned to make an informed and expeditious decision about whether to suspend or revoke a dog licence. These amendments will allow animal control officers to decide whether to suspend or revoke a dog licence, and the decision can be appealed to Vancouver’s chief licence inspector.
Additionally, the proposed amendments will expand Vancouver’s existing authority to provide council with the ability to require landscaping provisions as a condition of a development permit. They will streamline the building and development approval process while also helping Vancouver in reaching its climate change adaptation objectives. It is anticipated that these amendments will improve the efficiency of Vancouver’s approval processes for development permits and expedite its administrative process.
We have also been attentive to the requirements of the Declaration on the Rights of Indigenous Peoples Act as we develop this legislation. As a result, we have notified First Nations as follows.
The proposed amendments to the UBCM Act will also reflect that First Nations, including modern treaty nations, are eligible to be members of the UBCM. All nine member First Nations have been notified of this proposed legislation.
Our government is listening to the needs and requests of local communities and our partners by improving administrative efficiencies, clarifying their authorities, and providing them with the tools they require to respond to their communities’ needs. The proposed amendments in Bill 4 are supported by the Municipal Finance Authority, the UBCM, and the city of Vancouver, where the amendments impact them specifically.
With that, hon. Speaker, I want to thank you and all the members of this House. I look forward to hearing from my colleagues in the continued debate today on the second reading of this bill.
D. Ashton: I am pleased to rise in this House to continue the debate on Bill 4.
As mentioned by the minister, the purpose of this bill is to give the Municipal Finance Authority more time to prepare its financial reports. It updates UBCM language to reflect its membership and requires the report of the director and staff pay on the financials and also enables the city of Vancouver to require landscaping changes on development permits as well as delegate the review of dog licences and suspensions.
Our B.C. United party is in full support of modernizing the legislation. We especially support the including of First Nations and other local governments in the preamble to the UBCM Act. This reflects the crucial role these governments play, as well as for the membership of UBCM. While the bill is extensive, its changes are relatively straightforward, and we are ready to speed the process along so that it can become law.
I would like to thank you. To help on the expediation, if at all possible, the briefing notes that were presented during the discussion would be greatly appreciated. That would help us facilitate a quick response to the bill.
Deputy Speaker: Seeing no further speakers, I acknowledge the minister to move the second reading.
Hon. A. Kang: Thank you, hon. Speaker, and I thank all the members and my opposition critic for his remarks. I look forward to continued discussion and debate on Bill 4.
With that, Speaker, I move second reading.
Motion approved.
Hon. A. Kang: I move that the bill be referred to a Committee of the Whole to be considered at the next meeting of the House after today.
Bill 4, Municipal Affairs Statutes Amendment Act, 2024, read a second time and referred to a Committee of the Whole House for consideration at the next sitting of the House after today.
Hon. R. Kahlon: I call second reading of Bill 5, Child, Family and Community Service Amendment Act, to the House, the main House.
Deputy Speaker: Thank you. Bill 5 has been called for second reading. Okay.
We’ll take a short recess to get the appropriate people here, but yes, we’ve called Bill 5, Child, Family and Community Service Amendment Act, 2024.
We’ll be in recess for a short while.
The House recessed from 2:53 p.m. to 2:55 p.m.
[S. Chandra Herbert in the chair.]
Deputy Speaker: All right, Members. Let’s call this House back to order. Thank you for that short recess.
We are here with Bill 5, Child, Family and Community Service Amendment Act, 2024. I acknowledge the Minister of Children and Family Development.
BILL 5 — CHILD, FAMILY AND COMMUNITY
SERVICE AMENDMENT
ACT, 2024
Hon. G. Lore: I am pleased to be here today to speak to the amendments to the Child, Family and Community Service Act.
I think an important place to start with my remarks is with the calls to action from the Truth and Reconciliation Commission and the calls to justice from the inquiry into missing and murdered Indigenous women and girls.
I was often reminded, as Parliamentary Secretary for Gender Equity, by the minister’s advisory council for Indigenous women that these are not just reports, but that the work that went into them was sacred.
The very first of the calls to action demands change in the child welfare system to address the historic legacies and ongoing impacts of child welfare policies on Indigenous children, youth, families and communities. The calls to justice also demand a recognition of self-determination and inherent jurisdiction over child welfare. They call to transform current child welfare systems fundamentally so that Indigenous communities have control over the design and delivery of services for their families and children.
These calls and the work of the First Nations leadership and many Indigenous organizations and rights and title holders across the province have guided work across government and our ministry.
Across government, we are committed to reconciliation. Child and family services are an absolutely essential and central space for this work, because for far too long, Indigenous children and youth have been overrepresented in the child welfare system. So I’m honoured to be here, to be speaking to these bills and to these amendments as part of our work to meet Declaration Act action plan priorities.
When passed into law, this bill will strengthen opportunities for the exercise of inherent Indigenous jurisdiction. These amendments give us the legal tools that we need to get out of the way of Indigenous jurisdiction. It allows us to dispense with notice when Indigenous law applies and to withdraw from court proceedings regarding a child. This will mean we can avoid unnecessary court and administrative delays in children returning home to their communities.
These amendments also build on the landmark work of Bill 38. The other component of this package removes barriers to Indigenous jurisdiction through an amendment to broaden the definition of the term “Indigenous child.” This change enables Indigenous governing bodies not yet exercising jurisdiction to identify their children and become involved in the planning and coordination of their care.
This amendment supports nations that are still building capacity towards full jurisdiction to maintain an active role in the care of children belonging to their communities, and it makes sure that nations can identify their own children and youth so that we can work together to support children and youth to stay connected to community and culture by, for example, sharing information and working together on care plans.
These amendments are only possible because of First Nations communities and leadership that shared wisdom and advocacy and the collaboration that happened with Indigenous governing bodies, modern treaty nations and Indigenous partners, including the First Nations Leadership Council and other partners across B.C. who guided us and allowed us to continue to do this work better. I’m grateful, as the new minister, for their dedication to this work and for the opportunity to walk together in discussing these important issues.
It’s absolutely vital that every child in B.C. has the opportunity to thrive, to be safe, to belong and to be connected to their community and culture. When safety is a concern, it’s essential that we do everything to find a solution that keeps kids connected to their culture and community.
This work has gathered momentum since the province passed the Declaration on the Rights of Indigenous Peoples Act in November 2019, and these amendments help move this work forward.
The amendments in this legislation are also essential, as work to balance important privacy rights, while ensuring that the ministry’s ability to carry out children and family services can continue while respecting the privacy of individuals.
In April 2023, the Court of Appeal determined sections of the Child, Family and Community Service Act required procedural safeguards to be added to respect the privacy of individuals, again while meeting our ministry’s critical needs to be able to access important information for child protection.
Section 96 is vital to MCFD’s ability to carry out our mandate and remains vital to collecting updated information when a child protection concern has been rectified, leading to a child’s safe return.
The safeguards, which are proposed in this package, include defining personal health information; ensuring a standardized and in-writing approach through the use of a form; establishing the requirement to provide an after-the-fact notice to a person who is the subject of a request and letting them know that information has been obtained, as well as how to seek a review; and enabling an administrative review process.
While not subject to the court decision, we are making amendments to Section 79.2, as well, to introduce privacy safeguards for Indigenous families while continuing to be able to access necessary information, and respect and uphold Indigenous law.
These amendments to the Child, Family and Community Services Act are vital to the continued work to uphold Indigenous jurisdiction over child welfare and ensure that MCFD and Indigenous authorities can continue to provide service while respecting privacy.
I’d like to also thank the former minister for the work that she did in introducing important legislation and starting us on the path for these amendments.
Again, I’m grateful for the time, wisdom, knowledge and energy of everyone who contributed to these amendments and to the work that they’ll enable. I look forward to the committee process, and I ask members of this House to support this bill.
I move second reading of Bill 5.
N. Letnick: Thank you to the minister and government for introducing Bill 5. The official opposition has a few comments to make on the second reading.
We’ll make sure that we have a robust procedure done through committee stage, as we go through each clause, to make sure that it meets the needs of British Columbians, in particular those who are Indigenous and also children of British Columbia, to make sure that their information is safeguarded.
I’ve seen many bills in this Legislature over 15 years, and Bill 5 is, I must admit, one of the shortest ones, just two pages and just a few clauses. Including commencement, it’s seven clauses.
The scope…. The impact of Bill 5, if it’s not implemented properly, could have damaging effects on privacy issues for our children in the province of B.C. We have to make sure that we canvass every clause of Bill 5 very carefully, and my colleagues and I will do that when we get to the committee stage.
As a recap, what the bill does is…. The government has amended the definition of “Indigenous child” to include Indigenous governing body or Indigenous authority. They’ve added a definition of personal health information — which includes oral, physical or electronic form or any other form which needs to be examined given the broad nature of the definition form — and it also defines when and how only an Indigenous authority can access personal health information.
One thing we discovered, as we were doing research on the bill, is that the definition of personal health information is different than contained in other bills. So we’ll canvass that in the committee stage to find out why the government has proposed a definition that’s different than is already enshrined in legislation in other bills.
It would be nice to have consistency across government on definitions, but maybe they have a compelling case.
We look forward to hearing about that and also to hear the opinion of the Privacy Commissioner on whether or not the bill meets the test of ensuring that the privacy of the children that are being included in this bill is being kept.
We don’t want to have unintended, negative consequences. I look forward to hearing, at the committee stage, what the Privacy Commissioner had to say when the government referred the bill to the Privacy Commissioner. That would be a good place to start.
The bill ensures that Indigenous governing bodies who wish to exercise their rights to look after their children must first plan. That entails identifying their children currently in the child welfare system. This appears to be a positive step to further reconciliation — reconciliation, of course, that all members of this House support.
We understand that the addition of personal health information was in policy and practice, but the Court of Appeal has dedicated, by April 2024, that the government must elevate practice and policy to legislation, given the sensitive nature of the information. So it’s going to go from policy and practice into the legislation itself, again, as mandated by the court.
In question, though, is the fact that it has been mandated by the courts and not fixed sooner. Why did it take the court to mandate this, and why wasn’t it done before that? So we can canvass that in the committee stage as well.
Also to be canvassed is: do the amendments satisfy the court’s need for “adequate procedure safeguards”? Are there any unintended consequences? As I said before, what is the opinion of the Privacy Commissioner?
In the end, for second reading, that’s all I really have to say, other than to ensure that all members of the House know that we are supportive of reconciliation but also supportive of maintaining private information as private, where it needs to be, making sure only appropriate bodies have that information. We’ll canvass that quite extensively through committee stage.
A. Olsen: Thank you for the opportunity to speak to Bill 5, the Child, Family and Community Service Amendment Act, 2024.
This bill is amending changes that were made just a couple of years ago. I think it highlights the incredible power that the Ministry of Children and Family Development has when it comes to children and families in this province.
It highlights the reality that faces a parent whose ability to parent their child is in question. It often leads to full exposure of those people. I think that, as we see from the court case that resulted from the changes that were made back in 2022, the downstream impacts that that has on people…. Trust in government. Trust in the health care system.
As we learned from the In Plain Sight report, specifically when it comes to Indigenous people accessing the health care system and under the scrutiny of the child welfare system…. Unfortunately, Indigenous people are far more involved in the child welfare system than I think anybody in this province would like to see. The implications of government intruding too far have deep ramifications for whether or not a person will want to access health care.
The implication of that, for anybody who has worked in health care in First Nations communities, is the realization that, in fact, we see many people not, then, accessing health care when they need it. That has extremely detrimental impacts on their health and well-being.
Of course, that information could then be used to determine whether or not a parent is suitable to continue parenting their child. So we see the absolute vicious cycle that these laws can and may create.
We hear from the parent who was unnamed but referenced in the decision from the Court of Appeal on section 96(1) last year that, in fact, their trust in government, their trust in the health care system, their trust in the information that they gave to their health care provider being kept private — a private matter between them and their health care provider — has been shaken. And the absolute tailspin that that may and can create for people has very much a detrimental impact.
As we saw in the discussion in that decision, a change in this bill replacing the word “necessary,” when it comes to information that the ministry is able to collect on somebody, to information that’s “reasonably required.” We’re very interested, I think, about how the ministry intends on applying that.
I think it’s important to acknowledge the tremendous amount of discussion — I think several pages of discussion — about reasonableness. When the decision is being made on how to apply that, it will be interesting to hear how the ministry is going to go about applying this new wording of “reasonably required” and how reasonableness is going to be applied in this new instance, once this bill has the support of this House. We look forward to the debate on that.
I think it’s important to acknowledge that the tools that this ministry and that this act gives the people on the front lines, who are often faced with astonishingly difficult decisions that they have to make. Actions that are then resulting from the tools that we give are extremely detrimental to health and well-being of children in this province, separated from their families, put into extremely isolated situations away from their families.
I know the ministry is working towards trying to place children more and more with their own family members, but the people that are on the front line making these assessments have an incredibly challenging job.
As we debate that job in this House and as we often are faced with scrutinizing that work, it’s usually void of the reality that those front-line workers have to face in these terrifying decisions, really, I imagine, for them. I did want to just pause here for a moment and just make comment on the job that we have here to make that work as easy as possible and as clear as possible. And that the work that we do in this House is thoughtful and that we view it in an integrated and interconnected way.
The decisions, for example, as I pointed out, to access somebody’s private health matters, can have a spiraling effect on them and on their family and on the life chances of their children. Indeed, a decision that might be made on the fly, in that moment, can have life-changing consequences and intergenerational consequences. The decision to apprehend a child, the decision to access someone’s health care, can lead to a deterioration of trust in government that can then lead to intergenerational impacts. I think it’s important that we acknowledge this.
Finally, I applaud the government’s work to transition jurisdiction of Indigenous child welfare to Indigenous communities and Indigenous agencies, to delegate those and to transfer that jurisdiction. I’ll just make this comment about it. What is being transitioned is the result of decades of a deliberate attempt to undermine the Indigenous families.
As we go forward in this effort to transfer jurisdiction to Indigenous communities, we have to recognize that we’re also transferring the detrimental work of this government to separate, to undermine language, to destroy family. So we’re not handing a perfect situation…. In fact, we’re handing over a far from perfect situation.
What my hope is, is that this ministry doesn’t have it in their mind that what they’re handing over now is the responsibility without the resources. That when child welfare jurisdiction is once again the responsibility of Indigenous parents and Indigenous communities, the resources that would be there to support those families that have been impoverished because of the decisions that have been made by this ministry in the past, that intergenerational poverty that is the result of tearing the family’s fabric out from underneath them…. They can’t now be volunteers. They must have an adequate amount of resources to deal with the intergenerational inheritance.
I just want to leave it at that, but I look forward, as my colleague previously spoke to, to looking at this bill in detail as we go through each of the clauses. Indeed, a very short bill, but we’ll go through it and see if we can understand how the reasonableness test is going to be applied.
We look forward to supporting this government’s efforts and Indigenous government’s efforts in the transition of child welfare to our families and to our communities.
HÍSW̱ḴE SIÁM.
N. Simons: I appreciate this opportunity to speak in favour of this bill, obviously.
One of the reasons, one of the things that compelled me into politics 20 years ago was the state of child welfare in the province and, in particular, the state of child welfare as it was being applied in Indigenous communities.
I spent about ten years as a director of an Indigenous child welfare agency, under two different governments, and I saw what happened in 2001 when the current opposition party became the governing party. I saw the impact of that on Indigenous communities and Indigenous children, and I thought to myself that it’s important that the voice of those who aren’t represented…. I could be helpful in that regard.
I’ve seen progress over the last number of years, progress that had been truncated by the previous government, as the process for Indigenous communities to reclaim the authority that was taken over the administration of child welfare, which in a sense is how children and families are strengthened, how they are supported, and how they are ensuring safety of their children….
This has been a circular route to get here. And I think it’s a good day when we see more legislative power empowering Indigenous communities to restore their authority that they had.
The delegated system of child welfare was designed as a path towards Indigenous autonomy, the restoration of autonomy over child welfare. It consisted of Indigenous directors and directors of Indigenous organizations providing child welfare services, coming together and developing practice standards, developing operational standards and establishing, actually, training programs for social workers working in Indigenous communities.
That all came to a halt around 2002. The province engaged in these efforts to regionalize. They hired Deputy Minister Lesley du Toit, whose perspective was not one that was shared by directors of Indigenous child welfare agencies, and it created a delay. We are where we are now belatedly. Many of the advances that were happening were slowed, only resulting in worse outcomes for communities and, obviously, for children.
The restoration of autonomy is essential. The steps that we’re taking sometimes seem burdensome and bureaucratic, because governments don’t always act fast, but this is an important step. This is a step that will improve the outcomes for families. We just need to continue working on that.
We need to continue to ensure that the results of the Human Rights Tribunal in Ottawa, which said that Indigenous children were not receiving the same supports as non-Indigenous children, the corrections made and the funding provided by the federal government, in addition to legislative changes, are steering this sector back in a good direction.
I want to raise my hands to those who came before, who worked so hard. We’re talking about years and years ago, a group that was called the Indian Homemakers society, strong women from community who insisted on restoring their authority, that their communities would have the ability to say what was best for their children. Subsequently, and in the years to follow, community members from across the province came together and actually just essentially forced government to recognize that this was an essential part of autonomy.
I think of those people as former colleagues and admire their strength and their persistence in pushing governments in the right direction. I think this is pushing us further in that direction, so I’m happy to support this legislation.
With that, I thank you for this opportunity.
Deputy Speaker: Seeing no further comments, minister to close the debate.
Hon. G. Lore: Just in closing, I thank my colleagues for their initial thoughts. I look forward to having the conversations in committee stage around privacy, around the importance of definitions and around what these amendments, this work, means for children, families and communities.
With that, I move second reading.
Motion approved.
Hon. G. Lore: I move that the bill be committed to a Committee of the Whole House to be considered at the next sitting of the House after today.
Bill 5, Child, Family and Community Service Amendment Act, 2024, read a second time and referred to a Committee of the Whole House for consideration at the next sitting of the House after today.
Hon. R. Kahlon: I call second reading, Bill 7, Social Development and Poverty Reduction Statutes Amendment Act, in the main chamber.
BILL 7 — SOCIAL DEVELOPMENT AND
POVERTY REDUCTION
STATUTES
AMENDMENT ACT, 2024
Hon. S. Malcolmson: I move that Bill 7, the Social Development and Poverty Reduction Statutes Amendment Act, 2024, be read a second time.
This bill has two major components. We are making changes to the income and disability assistance legislation and setting new poverty reduction targets so that we can better help people get out of tough times.
I want to recognize my colleague the MLA from Sunshine Coast, who started this work. A year and a half later I have the great honour of bringing it into this place. I’m very grateful for the members from my minister’s office team — our Social Development and Poverty Reduction Ministry has been working very hard on this work — and particularly for the people around the province whose voices have informed this work. I will talk more about them as I describe the legislation.
In tough times and in all times, we know we are strongest when we look after one another, so we have been investing in people. Since 2017, we have helped over a quarter of a million people out of poverty through things like job training, child care, increasing income assistance rates five times, increasing minimum wage seven times. We exceeded our legislated poverty reduction targets. We’ve reduced overall poverty by 45 percent and child poverty by more than 50 percent.
We were on the right track, but global inflation and the terribly increased cost of living have been especially hard on people who were already struggling, so we are setting new and ambitious poverty reduction targets.
The proposed legislative change to the Poverty Reduction Strategy Act of 2018 moves B.C. to ten-year targets and deepens them to reduce poverty by 60 percent, child poverty by 75 percent, and seniors poverty by 50 percent.
Two things about this. One, setting a ten-year horizon for all the targets will keep government focused on systemic and generational change. Second, the seniors target is a new one. It wasn’t in our 2019 poverty reduction strategy.
We really have been hearing that even though seniors generally, as a population, haven’t had as many troubles with poverty as other targeted populations in the 2019 poverty reduction strategy, seniors who are in poverty tend to be in deep poverty, and seniors in poverty are very vulnerable. We’ve been hearing, all of us in this chamber, stories of seniors’ homelessness and increased food bank use, which have told us that we need to focus here.
I met with David Kennedy, a senior from Nanaimo. He was here in the Legislature yesterday, Tuesday. He told me that the current situation with the cost of food, housing and other basic necessities can be a real challenge for seniors and can put them at particular risk. Our commitment to focus on seniors in our next poverty reduction strategy gives him hope and reassurance of better days ahead.
Thank you, David, for sharing your very powerful story about making it through, getting connected with supports, getting connected with federal pensions, being able to find affordable housing.
Thank you to Ballenas affordable housing society in Nanaimo and the Nanaimo Family Life Association for navigating him through those supports. This is how these stories often go, with people coming together.
We know that the impacts of global inflation have hit people hard, especially those caught in intergenerational poverty, and Indigenous people and BIPOC communities. That’s why, in this amendment, we are also refining and broadening the key populations impacted by poverty. We have identified key groups such as unattached singles, who are at particular risk of poverty. These are the populations that, as minister, I must consider when writing the next poverty reduction strategy.
We’ll also continue to work with Indigenous partners to incorporate Indigenous wellness measures and actions into our work, moving forward. We heard well that the StatsCan measurement of poverty across Canada does not reflect Indigenous experiences — for example, how you value the richness of the land or the impacts when people are separated from the land. We’ve heard that, and we have a commitment to do this work together, moving forward.
Now, you’ll remember that the old government had no plan to tackle poverty. Our province was the only one in Canada without a poverty reduction strategy under what used to be the B.C. Liberals, now B.C. United and B.C. Conservatives. When our government formed government, we made a plan, and we made it into law.
We exceeded the targets that we set, but people are hurting now, so we know we have to do more. Over this past year, we’ve been working to renew that 2019 poverty reduction strategy in the face of new pressures on British Columbians.
Over this past year, we heard from over 10,000 people across British Columbia, 70 percent of whom had lived experience with poverty. Their voices informed these new targets and the new poverty reduction strategy that will come out next month.
Two things that they said really stood out for me. People told us that they feel better and they’re better off when they have a job and the community connections that a job brings. Also, the 2002 legislation that governs income assistance and disability assistance is a real barrier to both work and assistance.
[J. Tegart in the chair.]
The old government’s 2002 legislation was designed more to get people off welfare than it was to get them out of poverty. It reflected the BCUP’s belief that there was something wrong with people who needed a so-called handout. It made life harder for people who were already struggling, and it made poverty worse.
We are making a different choice. This bill updates our foundational income and disability assistance legislation. That’s the B.C. Employment and Assistance Act, BCEA, and the disability assistance. Our reforms are designed to help people improve their lives, not punish them for falling short. We’re making significant change to the employment requirements for people on income assistance to better support them in finding and keeping a job.
I met yesterday with Michael Pootlas, who was here in the gallery. I met him last year in Vancouver and was really inspired by his story. He talked very openly about how he had an acquired brain injury, how he struggled with substance use and isolation. He had real medical challenges as a little baby.
But with the right supports at the right time, which included counselling, skills training and employment, he was able to find a job as a janitor. He said employment supports helped him overcome intergenerational trauma, and the work that he does, that he’s really good at, that he’s really proud of, is creating a good life for himself. It’s creating income security.
He also really sees the contributions that he’s making to community. He’s a really proud Haíłzaqv man. His family is really proud of him, and he’s really inspiring.
It’s stories like that that we used to build this reform to our employment assistance, income assistance legislation. Like Mike, people say that they feel better and they’re better off when they have a job. So we are reducing barriers for those who can work, while continuing supports for those who cannot.
Here’s more detail on the most significant change that we propose. The 2002 rules operate on the assumption that everyone who seeks income assistance is ready and able to work if a job is available. But in reality, many people face real barriers to employability. They have complex needs and may need a lot of support before they are able to get a job and keep a job. So with today’s proposed addition of what’s called a client needs assessment and employability plan, it’s built into the legislation. That will help those who have barriers.
It’ll give them options like training, completing a financial literacy program. It might be anger management counselling so that they can keep the job that they got. For some people, it might be a start that is as small as committing to community service or volunteer work. That will be their commitment. Our expectation is, and the design is, that that then supports people on the continuum of work. We support them getting back into the workplace and move them along that continuum.
I’ve got a couple of examples with made-up names, but they are composites of people that have described their journey through income assistance. It’s stories like these that really informed the changes that we’re making today.
Here’s one example, a person that I am calling Jo. Here’s her situation. She has a learning disability, an undiagnosed mental health condition, and she applies for income assistance. She is required to sign a templated employment plan, the same one that anybody in the province on income assistance would fill out. It obligates Jo to find and accept employment. There’s no other option. If she doesn’t sign the form, she’s denied assistance.
With the change that we’re bringing today, Jo will be completing a client needs assessment with a worker who will create with her a tailored employment plan that will set Jo up with counselling and life skills training.
Here’s another example — again, someone that I’m making up. I’m going to call him Ben. He gets a job, but he’s someone that had a workplace injury. He has a history of relying on substances to deal with the pain associated with the workplace injury. He’s had an interruption. He’s in his 50s. He gets a job but then is fired for showing up intoxicated.
In our existing system — here’s the status quo — a worker and a supervisor decide that Ben was fired for just cause, quite fair. But a consequence must be applied. In this case, with our status quo, he is cut off income assistance. We can imagine, because we’ve seen this in our communities, that his now losing both his job and income assistance is going to spiral him into a desperate place. Desperate people do desperate things. Not a helpful path. Once these changes are made in legislation, then Ben’s story can change.
In this scenario, with the employability plan that we’re putting in place, a worker…. Then we go back to Ben showing up at work intoxicated. He is fired, but in this new scenario, a worker reaches out to Ben and offers to update his needs assessment. He would then be referred, for example, to a vocational rehab program. Once he received the support that he needed in this better, future universe, he would then be better able to get a new job, have that income stability, get an apartment. Two different paths for someone like Ben, and that hope and that possibility are what informs his legislative change.
People who are ready to go into the workforce — they might be on income assistance for a short time — will have a plan with employment obligations, just as they do right now. It’s very important to understand if you are employable or there are no barriers to that, then you would have a plan with employment obligations. You’d be reporting monthly on your efforts to get a job, and that would certainly be strongly encouraged.
In another area of reform, we’re proposing to get rid of the mean-spirited financial penalties that too often push people deeper into poverty. We want to move away from penalizing people for making mistakes in a system that can be very difficult to navigate. We’ll do this by eliminating fines for people who have incurred an overpayment due to misreporting their income.
Repayment will still be required, and severe consequences remain for those who commit fraud. But for those who just make a mistake on the paperwork, repaying the overpayment is enough of a penalty. We are also introducing a more graduated system of financial penalties for people who don’t follow their employment plans.
I’ve heard a concern through the media from the Leader of the Third Party that changes in this bill would confer more power to the minister and put additional burdens on income assistance recipients. I want to be really clear. We all want people to have the supports that they need. The changes in question reduce barriers for recipients of income assistance. Once implemented, people receiving assistance will have a reduced burden, not an additional one.
The minister is and always has been, in the legislation, the statutory authority under our income assistance acts. But since it’s not practical, of course, for any minister to administer assistance to over 200,000 people, the legislation in the past, and now, allows ministry staff to do that work.
The amendment in this bill removes some of the minister’s current powers. Nothing increases my powers here. Nothing in the bill would make me want to deny or give me the power to deny assistance. That’s just not something we would ever want to have happen.
Finally, another area of change, and I’m almost finished here, is that our government made a commitment when it passed the Declaration on the Rights of Indigenous Peoples Act to bring our legislation into alignment with UNDRIP. These amendments do that to all three pieces of legislation, and we look forward to working with nations, going forward, to make that real for their governments.
In conclusion, we are building a system that acknowledges barriers, that works to reduce them, a system that supports people toward employment and ensures people get the help that they need to get out of poverty.
D. Davies: I’m pleased to rise in the House today to add the official opposition’s response to Bill 7.
The bill sets a ten-year target to reduce child poverty and poverty as a whole in British Columbia, which is obviously something that we can support. I think everybody in this House does support that. By attempting to reduce barriers for people receiving income assistance or disability assistance, by setting a new target, Bill 7 also looks at reducing seniors poverty. Again, all things that we certainly, everybody, strive for in this House.
These are noble goals, and no one in British Columbia should be living in poverty, yet this bill comes in light of a disturbing report from First Call Child and Youth Advocacy Society that shows an unfortunate upward rise in the child poverty rate here in British Columbia.
One in seven children in B.C. now lives in poverty. That’s over 120,000 kids. The rate for the 67 First Nations that were in this study is a staggering 31 percent, which is double the national average. For kids who live in single-family households, the rate is, again, 40 percent. According to First Call, this government has overseen the first annual increase in child poverty since the financial crisis in 2008. Today there’s the equivalent to 10,000 additional children living in poverty than then.
This tragic explosion of poverty isn’t limited to children, though. B.C. has the second-highest poverty rate in the country and the highest seniors poverty rate in Canada. In fact, over this past number of months, I’ve had the pleasure to tour a number of food banks in different communities across British Columbia, in literally all four corners of this province. The number one growing demographic of food banks is seniors, followed by single-parent families.
Clearly, again, whatever this government has been doing for the last seven years has not been working. Seven years is a long time for the government to be making significant impacts. As with so many other pieces of legislation that we’ve seen come through this building, it’s the results that we’re not seeing. Despite this government running record-setting deficits and unbelievable debt, we are still seeing people suffering.
In fact, shortly after the budget was released, numerous poverty and social organizations across the province were quick to get onto social media and say how disappointed they were in this government, that out of an $8 billion deficit, there was no money to support them. More people are homeless. More people are struggling to put food on the table. More people are dealing with the daily reality of poverty.
We cannot turn a blind eye to the harsh reality that still persists today. More importantly, we cannot turn a blind eye to the results that the government is getting. While we can, of course, support the goal of reducing poverty, the B.C. United caucus has some significant questions about the functionality of the bill itself and how it is going to be enacted to indeed benefit British Columbians. We do look forward to moving this bill into committee stage so that we can dive into those questions.
First, this bill introduces key concepts like a client needs assessment or employability plan without clear definitions of what these terms mean, leaving substantial interpretation to the minister’s discretion. The bill concentrates decision-making authority within the minister’s office, effectively making the minister’s decisions regarding the client needs assessments and the stated employability plan, final with no opportunity to appeal or review.
In the actual bill, it says: “A decision of the minister in respect of any of the following matters is final and conclusive and not open to review by a court on any ground or to appeal….”
Secondly, the bill’s potential to increase government bureaucracy is particularly concerning for individuals with disabilities, a group that often faces significant challenges navigating our already red-tape-burdened support system. The minister, I myself and others have met with many of these different disability groups out on the front lawn. One of the biggest things that they talk about is their inability to navigate the system that is already in place right now, to get the supports that they need.
We just look at any piece of legislation that this government has brought forward in the last seven years to recognize that they love bureaucracy. They love red tape. This bill is supposed to be something that reduces barriers, but when you put a bunch of gatekeepers in the way of stuff, that does anything but reduce those barriers. At a first and second go-through of the bill, it looks like there are gatekeepers and bureaucracy to be presented — more things for people who are already struggling just to get through the day — which they’re now going to be required to navigate through.
Further, we do not know how the government plans to accomplish the targets that they have set now, the ten-year poverty reduction plan, which fits into a significant piece of this legislation, and the plan to move forward, on which we are now in second reading and wrapping up today, moving to committee stage probably early next week and finishing up — without even seeing the plan, because it’s not released for another month.
Again, we just have to look at other pieces of legislation to see that this is how this government operates: “Trust us. Just trust us. We’ll get you the information. Just trust us.” Well, not only the opposition but the people of British Columbia should be seeing the entire piece of the legislation, what it looks like moving forward, including the ten-year poverty plan, before we dive into a debate, before we’re wrapping up this bill.
We’re not seeing that. That’s unfortunate. Certainly, there will be a lot of canvassing during committee stage on that. We are committed to engaging with non-profits, charities and development centres to hear their views of this legislation. This bill was introduced in this place yesterday afternoon. Here we are the next day, already in second reading. It makes it very difficult to do proper outreach and talk to these different organizations about how a piece of legislation is 100 percent going to impact them in some way. We don’t get that opportunity.
We definitely do look forward to scrutinizing this bill in committee stage, seeing what that looks like. We certainly want to acknowledge that this acknowledges the Indigenous rights and involvement, but I go back to the goals of all of us in this House, which is to remove those barriers, to support our vulnerable population, a person-centred focus.
What we’ve seen, certainly over the last seven years, and what we are seeing now today certainly isn’t that. It’s just adding more layers of red tape and bureaucracy on top of something that is already near-impossible for many of our vulnerable population to stickhandle their way through right now. This just complicates the issue more. Again, we have heard from some people that are very concerned. I met with some folks, yesterday afternoon and today, that have real concerns with this bill.
We add on the affordability crisis that is already impacting British Columbians, with rates that have not changed — nothing in the budget. People are still upset from the $300 clawback that was done by this government a few years ago and that has not been restored. Pretty much every single advocate group, including the opposition, has been calling for that to be restored. It has not happened.
When you talk about an $8 billion deficit that this government is running, that’s a drop in the bucket. As we go through budget estimates in all the other ministries, it’ll be really interesting to see where this $8 billion really is and how much it really will help people. I’ll tell you, the people that do need help are the people in this bill, people that are facing poverty, people that are on disability.
Again, I’m not very optimistic that this bill will make a significant impact. My gut feeling, from a first read through it, tells me that folks are going to have even more challenges to receive the benefits that they so much need.
With that, I do look forward to debating this bill in committee stage, and with that, I’ll take my place.
S. Furstenau: I rise today to speak to Bill 7, the Social Development and Poverty Reduction Statutes Amendment Act.
I appreciate the comments from my colleague from the official opposition, and I share many of the concerns that he has raised. I think it’s important, for the record, to just identify some of the things that are in this act. These amendments repeal the act as it is and replace sections with new language.
To give a flavour of the language of the Social Development and Poverty Reduction Act, I’ll just read a little bit of this into the record.
“Section 9 is repealed, of the act, and the following is substituted:
“Client needs assessment and employability plan
“9 (1) Each recipient in a family unit must, when required to do so by the minister, participate, to the minister’s satisfaction, in the completion of a client needs assessment, and enter into an employability plan with the minister.
“(2) The minister may, in an employability plan, specify conditions with which a recipient must comply.
“(3) A dependent youth may request that the minister complete a client needs assessment for the youth.
“(4) If the minister completes a client needs assessment at the request of a dependent youth under subsection (3), the youth may request that the minister enter into an employability plan with the youth.
“And (5) The minister may at any time amend, suspend or cancel an employability plan.”
That’s the language of the legislation of these amendments.
I go back to the work that was done under the confidence and supply agreement, the basic income panel review and the report that they put out in 2020. I had the benefit of attending a couple of their full-day sessions where they invited experts, advocates and people with lived experience to come and inform the work that they were doing on that panel.
Over and over again, the input — the report really reflects this; I keep going back to this report — is that the system for income assistance and the system for assistance for people with disabilities are incredibly complex, incredibly difficult for people to navigate.
I’ve got a document. I won’t hold it up; I know the rule about props. I can describe what looks like a very, very complicated colour wheel that shows over 120 support programs that are available to people on income assistance and disability, and the literally dozens of agencies by which people need to navigate to access those supports, and the dozen federal and dozen provincial ministries that are the direct access points.
It’s no wonder, when I consider the system as it’s displayed in this chart — again, I recommend that people go to the basic income report from 2020 to look at this — that we find out that a huge number of people don’t even get the supports that they’re entitled to. They don’t even know that they exist. Then the onus and the burden keeps coming back to the individual: “Well, you didn’t apply for it. You didn’t fill out this form. You didn’t come back and refill out this form.”
For people with disabilities, for people who are struggling with poverty or for people who have had bad experiences with government, with institutions and with those services that are meant to help them, this is an incredible onus and burden on them. The message is really: “If you can’t navigate this, then you’re just not going to really get access to the supports that you should rightly have.” That’s one.
Two, when I look at the language again in this bill, we continue to use this language around employability plans and specific conditions that people have to comply with — compliance and meeting the requirements.
The interesting thing, when you look at the language here, is that the person that has agency is the minister. As we understand the system to be, the powers of that minister are delegated to people working in this ministry around the province. That power, it says right in the legislation, is to “at any time amend, suspend or cancel….” Now imagine that you’re in an agreement, and you’re accessing benefits, but you exist with this knowledge that at any time this could be amended, suspended or cancelled.
Interjection.
S. Furstenau: I hear the former minister saying: “No different from now.”
I ask, then, what is the purpose of a social democratic government? Where’s the 2016 NDP who would have been saying exactly what I’m saying right now, and who would have been saying it’s not good enough that people are living so far below the poverty line that there’s not a chance that they’re going to get out of that trap — not a chance. Instead, it’s like: “No, this is fine. We’ll just carry on.”
Seventy thousand children in this province living in poverty, which means the parents of those 70,000 children are also living in poverty.
People on disability are living deeply below the poverty line. This isn’t good enough. We are in a province and a country with an enormous amount of wealth. We have billionaires — seven of them, at last count. Maybe we have more now. Sent to millionaires, many of whom think that B.C.’s a great place to be.
I wonder if that’s because we have the lowest income tax rate for the highest earners in Canada. Across Canada, the highest income tax rate, $150,000 in income. In B.C., we are the champions of taxing the wealthiest the least. We’re also the champions of ensuring that disability rates are so far below the poverty line that people are absolutely having to depend on food banks and on additional supports just to survive.
Let’s have another part of this conversation. I met with Disability Without Poverty this morning, a really great advocacy group. They do really data-based knowledge gathering. They come out with reports. They advocate on behalf of people with disabilities. Some really interesting data in here: 16.5 percent of people with a disability live in poverty in this country; 27 percent of people in Canada have a disability.
You start to add these numbers up: eight million people in our country with a disability, and 16.5 percent of them live in poverty. That’s over 1.5 million people in Canada. Of those who live in poverty, 41 percent, close to half, are disabled. There is a very direct connection between disability and poverty.
Then we have fascinating things like how if you’re a disabled person and you happen to fall in love with another person and get married, you’re going to see a clawback of your supports. In 2024, in Canada, we have governments who think it’s okay to determine whether a person with disabilities should experience clawbacks if they want to enter into a relationship with somebody else.
I started a PhD a long time ago. You’ll note I said started. I have a master’s degree in medieval history, but I was very fascinated — I still am — with Tudor England, the England of Henry VII, Henry Tudor; Henry VIII, we all know about him; and Elizabeth I. There was a huge transition happening in England over this period. The early modern period, it’s called.
One of the transitions — this is what I was going to do my research on, and maybe I’ll go back to it one day — was the way in which England as a country navigated the transition from Catholicism to the Anglican church. We all know, to some degree, the story of this. Henry wanted a divorce, and then we got a new church, because the Catholic church would not grant him a divorce. But in the theological shift that happened from Catholicism to the Anglican, which was more of a Protestant sect, was this challenge around the idea of charity.
In the Middle Ages, in the Catholic church, charity was one of the most important virtues. It kind of imbued the institution. The monasteries were a very important conduit for charitable work, for ensuring that there were supports to people who were poor in any region. But also, individually, there was this whole theological idea around charity being a very important aspect for how you ensure eternal salvation.
The Anglican church rejected this notion of charity and said that charity wasn’t a form of work, of spiritual work, that would actually result in you making it into heaven or not. Because predestination, in the Anglican church, really says your soul is kind of determined when you’re born. That brought in this whole idea that your material aspect was somehow a reflection of your internal, of your soul.
This resulted in the first very significant shift into how poverty was looked at, at an institutional level, from a government perspective, whereas prior to the shift from the Catholic church to the Anglican in the U.K., poverty was seen as a way in which people did good work. They engaged in charitable work.
In the 17th century, we saw the first introduction, under Elizabeth, of the poor laws, the Elizabethan poor laws. This started to create this idea of: what do we do with poor people? It created this idea of: “Well, they should get to work, right? We should make them work. We can’t just let people be poor, not doing anything.”
Then there was a distinction made between worthy poor people, people who had disabilities, and the less worthy poor people, people who should just pull up their socks and get to work. For that, there were workhouses that were created.
The fascinating thing about these workhouses is it was determined that the people who were working in those workhouses should be paid significantly less than somebody who is working out in the wider society, so this institution of this idea that if you’re poor, one, we’ve got to make you work; two, your work is going to be valued less.
Here in B.C., single people working in this province, single people who are working — 22 percent of them live below the poverty line. We are still replicating the conditions of 17th-century England in that people are trapped in poverty.
People are expected to work for less than a living wage and, in doing so, lose the benefits that come with all of these supports that are available to people on income assistance; or, if they’re on income assistance, you’re expected to enter into an employability plan with a minister, and if you’re not meeting the conditions of that employability plan, guess what. The minister can cancel or suspend that plan at any time.
What does this do for people? Does it create agency, dignity, certainty, stability, the ability to dream, to take risks, to do things? No. It’s a trap. Instead, if we looked at how we create supports for people who are disabled or supports for people in poverty that give them dignity, agency, certainty, predictability, the ability to take risks, the ability to take chances, the ability to dream, the ability to meet their full potential….
Well, for example, and this is what we proposed in 2020, you could say: “Okay, you as an individual, you qualify for income assistance. Instead of you coming back every month and checking in and having to expose everything about everything in your life and being kind of watched over and put under this experience of like, ‘nobody trusts me,’” right? We’re not working from a place of trust in these systems. That’s for sure.
Instead, imagine if we said: “Okay. For 12 months, no questions asked, we’re going to provide you with income assistance. No questions asked. A year from now, let’s check back in. But for 12 months, we’re going to give you certainty. We’re going to give you predictability. We’re going to give you the supports that allow you to dream or take risks or consider starting a small business or consider getting some education.”
All of these things that all of us know. We’ve all had the benefit of this. But you can’t do those things unless you have that foundational piece. “I can predict what my income is going to be three, six, nine months from now.” If you don’t have that, you exist in a state of perpetual uncertainty. And what’s it like to exist in a state of perpetual uncertainty?
None of us know that, at least not for the last little while. We’ve got pretty good certainty. We know the cheques are going to be deposited in our bank account every two weeks. We know that our expenses are going to be covered. We know that we’re going to eat well. We know that we have health benefits, all sorts of benefits. And fascinatingly, our salaries are tied to cost-of-living increases, except for sometimes we decide to forgo those.
Mostly we can actually count on that predictability. But people on disability assistance, people on income assistance? Nope, not even that basic level.
We’re not going to tie these to cost-of-living increases. So as the cost of living goes up…. And we talk about that in here all the time. Boy, we’re really going in there for the “over $85,000 in income” folks. We’re really going to do some good work for them. Housing. But if you are living already below the poverty line, on income assistance or disability assistance, no cost-of-living increase for you.
Is it any wonder that we are seeing a deepening of poverty and that we are seeing people who are moving from being housed to being homeless? We have unchecked market forces, particularly when it comes to housing, yet checks on everything a person does if they’re collecting disability or income assistance. Boy, oh boy, do we keep a close eye. We monitor everything.
I think we can do better than replicating 1601 Elizabethan poor laws. I really do. I think we can take the guidance of the experts that we asked to do a job for us. They told us: “You want to alleviate some of the deepest poverty in this province? Here are three things you can do right now.”
One, a basic income for youth aging out of care. Why? They don’t have the support systems that most of us get to have. When our kids grow up, they know they’ve got a support system. They’ve got a family support system. They’ve got a social network. They’ve got a community support system. Those kids have a safety net. But kids aging out of care? No safety net. So, one, a basic income for kids aging out of care.
Two, a basic income for women fleeing domestic violence. The decision to remove yourself and your children from a situation where your life is at risk or their lives are at risk…. And we’ve seen the data. We have a femicide problem in this country. The decision to leave risky situations like that is not hindered by: “Am I going to be able to feed and clothe my children? Are we going to have a place to live?”
Right now way too many women are staying in incredibly dangerous situations because they won’t have that certainty and security of having a place to live and being able to feed and clothe their children. That’s No. 2.
The No. 3 recommendation from the basic income task force that we asked…. “Please give us a report. Give us guidance, expert guidance.” Two years of work they put into it.
Number 3 was a basic income for people with disabilities. Not taking away the other existing supports, in all of these cases, but just insisting that for youth aging out of care, women fleeing domestic violence and people with disabilities…. We just say as a society: “Guess what. We are not going to expect you to live below the poverty line.”
Then we can start counting in real numbers. How many people are we lifting out? How many people no longer live in poverty? And then: what do they get to start contributing? This is what we’re all losing, and this is really important to understand. All of us lose when people are trapped in poverty.
I did a quick search earlier today. People with disabilities who have made contributions that all of us benefit from.
Stephen Hawking. Nobody told Stephen Hawking: “Sorry. You’re going to just have to live below the poverty line while you figure out the nature of the universe.” Had Stephen Hawking been told, “Sorry, you’re going to have to just live below the poverty line,” I don’t think he would have figured out the nature of the universe if he didn’t know where his next meal was going to come from or whether he had a place to live or whether his benefits would be clawed back if he got married to the woman he loved.
Frida Kahlo. Helen Keller. Oh, Franklin Roosevelt. Stevie Wonder. Michael J. Fox. Andrea Bocelli. Marlee Matlin. Christopher Reeve. Beethoven.
When we create the conditions in which people with disabilities are trapped in poverty, we all lose, all of us. So legislation that — I don’t know — changes some language and says: “Oh, we’re going to change our targets….”
I was thinking about this, Madam Speaker. This government treats poverty reduction targets the same way it treats emissions reduction targets. Just keep throwing numbers out there. Nobody is going to notice that we’re going in the wrong direction.
Oh, but 2019. Oh yeah. Okay. But 2019. We’re in 2024. We have tens of thousands of people in this province who don’t have a place to live, who are living in tents and under tarps and being treated with contempt, I’m sorry to say, by members of this Legislative Assembly, spoken about with utter contempt.
Nobody wakes up and says: “You know what my goal is? My goal is one day to be homeless.” Nobody wakes up and decides that. It’s not a matter of pulling up your socks. If the only pair of socks you’ve ever had are this big and full of holes, good luck pulling them up.
We need to reframe how we treat poverty and disability, and we can. We always have the choice. Where we are right now is a matter of policy decisions. Policy decisions have gotten us here. Policy decisions will keep us here, or they will move us somewhere else. What I see in this legislation and what I see from this government is…. We’re pretty good with the policy decisions that got us here.
You know where I see that the most, Madam Speaker? I often say this. The government tells you what it values by how it spends its money. Let’s look at the plan this government has for social development and poverty reduction.
Temporary assistance. Updated forecasting for this year is $57.913 million; next year, $53.4 million; the year after that, $52.7 million; in ’26-27, $52.7 million. So either we’re solving poverty and people aren’t going to need temporary assistance, which I don’t think is the case, or we’re budgeting to provide less to people when they need assistance.
What about disability assistance? Right now the updated forecast for ’23-24 is $122 million; ’24-25, $125.7 million, ’25-26, $127.3 million; and ’26-27, $127.3 million. For people with disabilities out there, if you’re anticipating a significant increase in how this government plans to support you, you need to look at the budget. It’s right there; it’s not coming. If only they were a fossil fuel company — tax credits left, right and Christmas. It’s Christmas for fossil fuel companies around here in a tax credit giveaway, the marathon that we’re in. Yeah, I would say I’m pretty disappointed.
One other thing that we could do, in my last minute, is to look at countries that are starting to measure well-being — not GDP and not…. I don’t know what we measure — all these targets. We talk about targets, targets, targets. Then it’s: “Oh, don’t talk about those targets anymore.”
New Zealand, Scotland and Iceland have brought in well-being budgets, and they report out on those measures every year. That’s one way that we can hold ourselves accountable as a government and as a society. Is the money that we’re spending actually achieving better well-being for more people, for those 70,000 children living in poverty right now?
I would hope that that’s something that we’d all want to be doing. I’m waiting to see evidence of that from this government.
N. Simons: I just want to stand in support of Bill 7, making some changes to three acts, clarifying some language and setting new targets for a poverty reduction strategy. I’ve had the benefit and pleasure of being in this chamber, in this House, since 2005. I was in opposition for 12 years and, during those 12 years, I have to say, trying to get government to listen to arguments that support the need for a poverty reduction strategy. They fell on unreceptive ears.
The community, members of the Legislature from the opposition at the time, public interest groups and social support networks all said that if we are truly interested in addressing the issue of poverty in British Columbia, we need to have a strategy, a plan — not just any strategy or any plan, but a plan that has targets, that has timelines and that is ultimately measurable in order for not just policy-makers but the public to be able to ascertain whether or not the targets were being achieved.
I remember talking about it in the chamber in the early and mid-2000s, and being told in various ways — as my colleagues were, those who were there at the time — that the best poverty reduction strategy is a job. They were not considering the fact that there were so many children living in poverty, or that there were a number — obviously, thousands — of people who were unable to obtain employment. That was their simplistic response to what is obviously a complicated issue.
Those arguments that we made repeatedly from the opposition from 2005 on, in the time that I was here…. I remember it being spoken about. It was nothing — no response to the urgent need that people in our communities were feeling.
I would just point out that in 2005, that was not far removed from 2002. It’s important. We’re not going back quite to the Middle Ages here, as my colleague across the way wanted to do — just 2002. It’s about as far as back as I remember, and I would say that the actions taken by a government, some of whom are still here in opposition, of course, including the Leader of the Opposition, who was here in the 2000s….
We saw policy changes around the issue of child poverty and poverty in general that were draconian, punitive, mean-spirited, counterproductive, harsh and, ultimately, negatively impacting on British Columbians.
Let me just remind this House that in 2002, the then Liberal government, now called the United, not only cut welfare rates, social assistance rates for people, for single people, for seniors; they closed down dozens of offices that were in place in order to provide services directly to clients. They closed something like…. I have the number. I’ll say dozens, because that could be a lot, and it could be three dozen, at least three dozen offices. They cut the social assistance ministry budget by 30 percent.
Let’s not forget. When the opposition says angrily that we don’t know what they’re going to do, that we shouldn’t presume we know what they’re going to do…. They didn’t tell us in 2001 that they would cut social assistance in that huge way. They never said anything. Their platform included nothing about cutting social assistance.
They cut the ministry budget by 30 percent. They reduced the workforce of the ministry by 30 percent. They reduced rates for single parents, for seniors, for families. They reduced the rates.
I remember this. I was a financial assistance worker with the ministry, with my first job in the public sector. I was assessing, as a 20-year-old, eligibility of clients who came to the office. I’d have a form with carbon paper in it, a triplicate form. I’d fill out names and addresses. I’d ask about their assets. I’d ask about the last time they had a job. I’d ask about what their plans were.
It’s all very invasive, of course. It is. There are ways of reducing that, and I think that the ministry has become less harsh since then. It’s not the ministry of no anymore.
At the time, there were plans put in place for people who sought assistance from the province in order to get past some challenges, to assist them in their daily costs of living, to essentially try and provide the needs of these individuals who had no other source of income. It was the social safety net for people living in poverty. It was the social safety net that had evolved in British Columbia.
In 2002, the cuts that came into place sent us backwards in this province. We all know, and I think I mentioned it in 2007 or 2008, that the cost of poverty and the cost of doing nothing about poverty will come in the years to come. We will see the impacts of not addressing poverty in the years to come.
I’ll take nothing away from anyone who says we need to do more. I will absolutely agree. I will say: have a voice; make that voice heard. We all want to see poverty reduced. We all want to see ways that we can balance the various needs of the province but ensuring that those who need support from government get it.
I’m never satisfied. I don’t think anyone in this chamber should be satisfied when we say we’ve made some improvements. There are always going to be improvements. I appreciate people putting out ideas on how things can be better achieved.
One of the things that I think helps is that when people need income, we increase the income assistance rates. Let’s not just forget that the Liberals, now United, brought in cuts to social assistance rates. They cut emergency crisis grants. They cut the seniors supplement. They cut the clothing allowances. I mentioned the crisis grants. Those can’t be seen in any other way than mean-spirited.
[S. Chandra Herbert in the chair.]
So when the people on this side formed government in 2017, one of the first actions they took was to increase income assistance rates. It was something that everybody in the sector was asking for. We increased the social assistance rates after they had been frozen.
The government that cut the social assistance rates barely increased them at all and then froze them for a decade. Minimum wage didn’t go up, child care subsidies didn’t go up, food bank supports didn’t go up and they froze income assistance rates. Is that not going to have an impact on those living near the poverty line and their children and their families? Yes, it will.
We didn’t just increase the rates once. We’ve increased them numerous times. We did that because we need the rates to increase, and I think we still need to see rates increased. But we have taken major steps, and we are continuing to take major steps. We implemented a child poverty reduction strategy, and we enshrined it in legislation, the strategy with targets and timelines. That is, in my opinion, progress.
If we can say that we’re reducing the number of people living in poverty, it’s a good thing, but it’s not accomplishing the goal. The goal is to get everybody out of poverty. And we are striving towards people not living….
Interjection.
N. Simons: No, it’s not.
According to the member for Saanich North and the Islands, it’s not the goal to get everyone out of poverty. But I say it is the goal, and I think that we need to continue to work towards that goal. I’m sure that the member is going to have an opportunity to stand up and speak for himself on this subject.
It’s an important subject, and it may arise passions in people. It’s a subject close to my heart. I’ve seen the impact of poverty. I’ve seen what it does. And I know the cost of poverty on our communities, on the quality of life of everyone in our communities. I see good-hearted people making efforts in their own ways to have an impact on poverty and to reduce the impacts that poverty has on people.
I know that when children go to school hungry, their capacity for learning is impacted, but it’s also a reflection of the challenges their family may have. So to embrace the child and support the child in the school by providing food and nutrition, that’s good. But it would be better if all families in this province had everything they needed to ensure the child was fed.
We know, in fact…. The member previous to me did talk about the correlation between disability and poverty. There is, in fact, a need to ensure that our policies address the challenges that people living with disabilities face.
I would just say that there are ways…. We have improved the system. The rates have increased. The earning exemptions have increased. The crisis grants have increased. The supports for children returning to school have increased. And you know, it’s not going to be enough until we’ve eliminated poverty.
If there are other ways to do that, if in fact the study on basic income came back saying that it would be cost-effective and successful, we would have had a different approach with that. But as it turns out, the system that we have in place has many elements of the basic income guarantees.
I would say that we can’t stop working towards the goal of reducing poverty. We can’t stop, and we can’t be thwarted by this idea that it’s impossible. We’re trying, and we’re finding ways to provide the necessary supports so that people can find their strength and achieve the best of their ability.
In the case of work, in the case of helping social assistance recipients in their work, I think we had a system whereby people on social assistance, if they were considered eligible to work, they would be expected to fill out a form describing their efforts, having it signed by various prospective employers. They would show that to their financial assistance worker, now called employment assistance worker.
But it wouldn’t take into consideration the potential barriers or challenges — life circumstances, health circumstances — that that individual would have. They would be told: “You’re considered employable. You need to do a workplan.” End of story.
I’d say: “Well, there are circumstances that make that particularly difficult for some people. There may, in fact, be some people who will not be likely to enter the workforce in a full-time way. To add flexibility to the system, to allow people to work part-time when their health and sense of self is such that they feel confident to do that — that’ll be encouraged.”
It’ll be encouraged because they’re entitled to keep more money while we continue to provide, as a province, the supports at the same level that they would receive if they weren’t working. We allow them to keep that extra. It’s important.
It’s not necessarily an incentive. It’s just a recognition that it’s challenging to live in poverty. By providing what we call earning exemptions and by increasing them, we give more opportunities for people to enter the workforce. If that’s the direction they want to go, we don’t want to be an impediment to that.
I think the changes that we’re seeing reduce those impediments. Do they completely eliminate the impediments? No, they reduce the impediments.
When a client goes and visits their assigned ministry employee, that employee will be capable of ascertaining what would be in the best interest of this client, what would be in the best interest of this person, their family. They’ll be able to tailor what are the mutual expectations of that relationship.
Eligibility criteria and reporting criteria. The system has been updated in such a way that the monthly reporting is not somebody coming to your house and knocking on your door and checking your bank book. It’s a statement saying, “My circumstances haven’t changed; I continue to benefit from the assistance provided,” and that would continue.
Accessing programs that the Ministry of Social Development and Poverty Reduction provides. Accessing those programs has been characterized by some as incredibly onerous.
Interjection.
N. Simons: The member across clearly has an opinion about that, which I invite him to express when his time comes.
They say it’s incredibly onerous, and it may in fact, for some, be challenging. That’s why the minister before me and when I was the minister and now the current minister say we find that to be problematic. We accept and understand that we could be more compassionate and helpful in certain ways, and that’s why we’ve introduced the position of a community integration specialist.
These are workers who previously would be in their office, using their computers and ascertaining eligibility based on their meetings. They go into the community. They go to the parks. They go to the community centres. They go to where people are who may need access to programs.
We have numerous stories of individuals who are not in receipt of any supports being approached by community integration specialists who have particular skills. When the person receiving nothing realizes that they are, in fact, eligible and that they’ll be given assistance in acquiring those supports, it’s a good thing.
There are heartwarming stories about people thinking that they were unable to access any supports, and when they found out they were, their life improved. Their quality of life improved, and obviously, when their quality of life improves, those around them see their quality of life improve.
Now, I have friends who receive disability assistance. I have friends who receive social assistance. I know that it’s not the preferred source of income, because it is — for all the reasons. To have employment would be something that they would maybe aspire to.
We want to make it easier, and we want to provide better supports for those who want to continue on their personal journey. That may include finding employment, volunteering in the community, perhaps going out more in public and participating in various recreational community activities. We want to make sure that that’s possible.
I think the flexibility that’s been introduced in this legislation…. It may not seem like a lot to some members, but I think the flexibility and the discretion that’s being supported in this legislation will ultimately benefit those who we serve.
I would say as well that when we talk about poverty reduction, it’s not just about the Social Development and Poverty Reduction Ministry providing income supports. It’s a broader, all-of-government approach. It’s about the supports that we put into the education system to ensure children are supported there. It’s about the supports we provide for families to access child care. It’s the supports that we have for individuals to secure housing.
We know we are living in a time where we’re challenged with the circumstances we face. We’ve gone through a period of pandemic. We’ve experienced a toxic drug supply that has devastated families and communities. We’ve come together, as British Columbians, to face these challenges. We haven’t defeated them. We haven’t won. The work is not over, obviously.
I just would suggest that measures that we’re taking, even if they’re characterized as incremental, are important. They are working in the right direction. We’re not closed to other opinions about how things could be achieved. In fact, I know that the minister welcomes suggestions.
I think that what we need to do is continue to focus on finding ways to support community. And by supporting community, we support families and individuals.
I would just say, as a caution, that we’ve seen governments in the past do things that shocked us, and unexpectedly shocked us. When we talk about the need for reducing, for example, our capacity to provide services, those services will be cut. If we do things that result in governments making decisions about spending, we know that those with the least of the voice are the ones who suffer. We’ve seen it before. We’ve seen it in 2001. We’ve seen it in 2008. We saw it in 2015.
It was only in 2017 that the issue of poverty even began to be addressed. We continue to address it, and I’m glad that we do, because I continue to believe that the investments that we make now will benefit us in the future, because we’ve seen the lack of investment result in some of the situations that we see now.
With that, I’m proud to support Bill 7. Thank you for the opportunity.
A. Olsen: Thank you for the opportunity to speak to Bill 7.
I think it’s important to just acknowledge that despite what the member for Powell River–Sunshine Coast described this bill as, this government’s goal is clearly not poverty elimination. Otherwise, the name of the ministry that’s responsible for it would indicate that. It is the goal of the reduction of poverty.
So my response to a member who stands and suggests that the goal is something other than actually what is articulated by the ministry and that is actually supported by the efforts that are taken, clearly not efforts to eliminate poverty…. They are efforts to reduce, however modestly, poverty.
I in no way suggested that that should not be the goal. In fact, yesterday in the media, I said the cost of living, just the cost to be alive, is really having dramatic impacts on people, particularly on Indigenous people.
We’re not talking nearly enough about the quality of life. The provincial government is not setting targets to create a greater quality of life for people. They’re simply setting these targets to manage the truly unaffordable cost of living. This government should be setting the goal in order to create an equitable society, and that includes poverty elimination, not poverty reduction.
See, that was the promise…. My colleague previously mentioned the 2016 NDP, mentioned it a couple of times. That’s because that’s an NDP that I, and we, had some experience with, because we sat in those rooms at that time in which the people of British Columbia returned here a balanced House with three Greens sitting in between.
The promise of the B.C. NDP was not to be modestly better than the B.C. Liberals. That was not the promise. It wasn’t even close to the promise. In fact, we heard…. The people sitting at those tables negotiating with us pled with us and told us that they would do much, much better than the crew that the members on the government side of the House now, the comfort of being in those seats for seven years now, continue to compare themselves to — a government almost a generation ago.
For the first three years of this government’s time in office, we heard about making life more affordable. Everything had the tag line of making life more affordable. You go back and take a look at it. We must have heard that a million times — making life more affordable. That’s gone from the rhetoric now, post-2020. No more conversation about making life more affordable.
So it’s a little challenging, frankly, to hear a government that’s been in power now for seven years, that has had the opportunity to actually put in place policy that could move us…. If the goal was to get us to elimination, then we wouldn’t be seeing ten-year targets that get us to not eliminating poverty, partway there. That’s even the ten-year goal.
As my colleague mentioned before, the budget doesn’t indicate, over the next three years, poverty elimination. It indicates less money being invested, slight and modest increases for people with disabilities, but other than that, it shows a decrease in the amount that this ministry is going to get in order to actually deal with the reduction or, if this is the way that the government wants to paint it, the elimination of poverty.
The goal is not for this government to do that. Otherwise, we’d be happy to see the letterhead change and the mandate of this minister change. We’d love to see the ten-year targets change to indicate that that is the goal — elimination. If it’s going to take 20 years to do it, then let’s set those targets. But it’s rich for this government to come in and suggest, and to have members stand up here and suggest, that the poverty reduction plan is also a poverty elimination plan when it’s far from that.
The member also mentioned the accessibility, the member who spoke before me. I had an incredibly ill constituent — incredibly ill; doctors were working to try to find the source of the illness — locked at home, trying to navigate a health care system that was, basically, breaking apart underneath them.
Do you know what that constituent was met with? That constituent was met with the most intrusive response from government, needing access to bank accounts to monitor the amount of money that was going in and out, and supports that were far less than what it would cost them to live.
When the member stands here and pretends like somehow this government has become less intrusive, the fact of the matter is the intense pressure that was placed on that constituent added a level of stress at a time when their illness was already high.
I will not sit here and listen to this government pretend, create an illusion that somehow the accessibility is being improved. As my colleague points out, the wheel of pain, basically, for people as they’re trying to navigate programs and services and understand all of the programs and services that should be there to support them. Standing in here and creating an illusion that somehow it’s improving.
People in the depths of an illness that they have no idea what it is, already fearful for their lives, handing over their bank accounts so that somebody in a ministry, one of the people that the minister has delegated their power to, can monitor their bank accounts to ensure that they’re not cheating and deceiving the government — that’s the system that we have, desperate people having to prove themselves to a government that they really are incredibly sick.
It’s important that as we hear this government compare themselves to the clearly awful policies that came in the 2000s from the former government, this B.C. NDP government should not be judged based on how modestly better they were than those terrible decisions. They need to be judged based on their own actions and the promise of a social democratic government to actually support people — to not monitor them, watch over them, create these mazes of bureaucracy for people who are already in an incredibly challenging situation to navigate, to prove themselves, to prove their worth. That’s not the promise.
I sat and I watched and I listened to the B.C. NDP members when they were on this side of the House. That wasn’t the promise. That wasn’t the information that I used when I sat there in those negotiations that got this government to this position that they’re in now with their comfortable majority. Far cry from the questions that they were asking and the demands that they were making of the government before them.
As we see this government bring forward these modest changes and actually bring them forward as if they’re making a remarkable and substantive impact…. I grew up watching and seeing what intergenerational poverty does. I saw it firsthand. As my colleague mentioned with respect to the basic income report that came in, the basic income report didn’t say, “Make a basic income for everybody,” but it did say: “Make a basic income for three specific groups.”
This government has failed to deliver on those areas, and there are tragic consequences of those decisions — children leaving care, absolutely no resources, women fleeing abusive relationships. The reality of that is not supporting those folks. If those women have children, we know what the likely outcome for those kids is going to be — right? — a call to the Ministry of Children and Family Development. That’s what that’s going to be, because those women might not have the resources to support their kids.
What other options are left for us? We must call them. We must get them in a better position. Then they’ll become the kids that are leaving care. People with a disability. It did say create a basic income for those demographics and those groups.
A government that is truly on the path to the elimination of poverty would have done that. Not a government that’s looking at the cost-effectiveness of basic income overall, but a government that is looking at the elimination of poverty would have looked at these demographics, would have taken the recommendations and would have implemented them.
We know that this government does the reports, does the investigation and then ignores them. There’s a bunch of us in here that have made recommendations to this government only to watch them fritter time away and not listen to them.
I’ve seen the impact institutionalized poverty has. It’s devastating. I’ve seen what happens when people don’t have housing. It’s horrifying. I’ve seen what happens when we don’t look at these situations with a systems’ mindset, understanding that the lack of support in the Ministry of Social Development and Poverty Reduction usually ends up in an increased caseload for the Ministry of Children and Family Development, feeding into the next generation of the spiral downward — the trap, as my colleague talked about it.
I went to a family event…. Actually, I’m going to say this: 13 percent child poverty in British Columbia, 31 percent in First Nations. Thirteen percent child poverty in British Columbia; First Nations, 31 percent. And we wonder why those statistics are so much higher in all of the other times that those families and those children interface with this government, right?
Interfacing with the Ministry of Public Safety and Solicitor General. Interfacing with the Attorney General’s ministry. Interfacing with the Ministry of Children and Family Development. Interfacing with the Ministry of Education. Interfacing with the Ministry of Health. All of the statistics dramatically worse for Indigenous people.
If we’re not going to, as a government, do everything we can to provide First Nations the revenues that they need, the source of revenue that they need, without the government watchers holding and controlling them either, we’re not going to get that poverty rate up. We’re not going to address it. That’s the trap. We can see the trap in our own communities. It’s terrifying. It’s horrifying. It’s intergenerational. It’s incredibly sad.
We have good people in our communities that are fighting to make it better, Yet what do we have? We have a government that continues to hold on to all the revenues, not providing the opportunities that a government…. We call them Indigenous governing bodies. We don’t treat them like governing bodies, do we? We don’t give them access to the revenues that they need.
We collect a ton of revenue from their territories, put it in general revenue — property transfer taxes, natural resource taxes. We collect billions and billions of dollars from Indigenous peoples in Indigenous territories right across this province, yet 31 percent child poverty in First Nations, more than double the child poverty rate everywhere else in our province.
We can’t go back ten years and say: “Oh, that’s a result of ten years ago.” That’s not a result of just….
Yeah, okay, the former B.C. Liberals, the big bad B.C. Liberals. They probably had a lot to do with that. But what about the B.C. NDP government of the 1990s? What about them? What did they do, if we want to turn this into, “We’re just better than they are,” modestly.
It doesn’t help this conversation at all to just continue to knock the ball back and forth, especially when the same kinds of governing decisions are being produced. We’re not talking about structural change. We’re not providing the actual resources to deal with the 31 percent child poverty. We’re not actually doing that in this House. We could barely even have a conversation in here about the land question without it turning into an absolute nightmare.
The access that people have to the programs and services to help them actually out of poverty is a complex maze. When we take a look at this bill and we see the targets that are set…. Fine, we’re setting new targets. We’re not addressing the actual supports that people need in order to be in a better position tomorrow. The budget paints that picture for us clearly.
We have people with a disability in this province living $10,000 or more below the poverty line. Yet what we hear is: “Well, we increased the rates.” Sure, okay. If what you need is for me to celebrate you increasing the rates, great. Excellent. Thank you so much. Except the problem is that people are still $10,000 below the poverty line when the basic income report said that people with a disability should get a basic income, not a modest increase. And the government didn’t want to do a basic income for everybody, but it was very specific.
I actually lament the fact that the party that was sitting at the table with us, promising to make remarkable change, is now sitting alone over in government with their majority, consigning themselves to being okay to defend modest change, change far from good enough for people living $10,000 below the poverty line. Those are the supports that we’re offering.
When I was at the missing and murdered Indigenous women’s march in the Downtown Eastside a few weeks back, one thing became very clear to me. The number of our seniors that are living in the Downtown Eastside is shameful. We know the supports for seniors, the SAFER program, are far below. Seniors can’t retire because they can’t afford to retire.
Is “modest” enough from a government that frames itself as a social democratic government? No, it’s not good enough. Is it something? Yes, it’s something, but it’s far from good enough.
HÍSW̱ḴE SIÁM.
J. Sims: It is my pleasure today to rise and speak on the legislation that is before us, Social Development and Poverty Reduction Statutes Amendments Act, 2024.
Like my other colleagues in this House, that’s what I want to believe: that every one of us would want to see the elimination of poverty, including child poverty. We would want to make sure that we are lifting people up.
I’m so proud of the current minister and the previous minister for having worked on these amendments to make sure that we carry on the gargantuan work we started way back when we decided to develop a poverty reduction plan. That may not seem like a big thing, but I’m a teacher, and I know that if you are teaching students or if you’re tackling an issue, you need to have a plan, but you also need to have targets.
A government of a previous ilk, that sits in opposition now, did not have a poverty reduction plan. As a matter of fact, some of the steps they took were exactly the opposite. When the rest of the country was dealing with reducing child poverty, B.C. had the highest child poverty rate in Canada, one of the richest provinces in Canada having the highest child poverty rate.
You know, it was a different government. I’m so happy to be in government and sitting on this side of the House. It was a different government back in 2002, a government that brought in legislation to cut people off welfare. That was not going to get them out of poverty. Just because you reduced the supports, reduced what they need, does not mean that poverty disappears. Yes, you get to say fewer people are now on social assistance.
Really, it reminds me of what happened in education with the so-called red tape around special needs kids. When the designations were taken away, so many kids who needed critical supports suddenly didn’t qualify anymore. In many ways, this legislation in 2002 did exactly the same.
It reflected on the opposition, which was then in government, their belief that something was wrong with helping people up. They really wanted to push people down. I’m so proud to be part of a government…. The budget reflects that, a budget that knows that during good times and during tough times, we are better off as a society when we lift each other up, when we support each other.
There is a very old saying that you judge a society by how well it looks after its kids, its sick, its elderly and those that cannot afford to look after themselves. I can say, categorically, that a government of a different ilk, back in 2002, had a failing grade on every one of those.
I’m so proud of the work that has been done by this government since 2017, starting with a poverty reduction plan, lifting social assistance rates, which had not been lifted for a long, long time, addressing minimum wage. We went through an era where we had a training wage and a minimum wage that hardly moved. I don’t think it moved at all for a while. Really, all of those things drove more and more people below the poverty line.
I’m not going to say things are perfect. They are far from perfect. As I always say, lots done, lots more to do. We’re going to carry on doing that.
When minimum wage is raised, it makes a difference to those people who are now getting a decent wage. It’s not perfect, because cost of living has gone up after COVID. We have seen internationally — it’s not unique to Canada — the result of inflation and what it’s doing to people, not only who are below the poverty line, but working people in that middle-income range as well.
Everybody has been impacted. But you know who gets impacted the most? Those who live below the poverty line. They know what it’s like when they go grocery shopping, and they’ve got to walk past the fruit aisle and the vegetable aisle. They’re going to look for products that will be cheaper, that’ll stay within their budget.
We know that in the 2000 decade, the lineups at the food banks grew tremendously. I can tell you, today, they are not short either. But without the measures taken by this government, they would be far longer today.
When I visit food banks, I’m always heartbroken when I see families with children. I see seniors. I see people from a cross-section of different communities. I see people who are really well-dressed, and I see people who are not so well-dressed. But all of them are there because they need food.
I heard from the previous speaker a lot of concern around the child poverty rate and how different it is between the child poverty rate and the rate amongst Aboriginal children. That rate has improved. Is it good enough? Absolutely not. But I can remember when that rate was at over 50 percent. I can even remember when it was closer to 60 percent. It’s now not in an acceptable range, but we are moving in the right direction.
To me, as a teacher and as a mother, always wanting things done immediately. But we know that when we’re bringing about systemic change, it takes time. It takes time to change the systems. But we also…. It takes time for us to invest in growing the economy, which this budget does, but at the same time making sure that we are investing in people as well.
That’s why I’m so pleased to see that we’ve made some progress. More than a little progress. I think we should all really think about this positively. We didn’t just move the dial a little bit. The dial’s been moved a fair bit. It still has a long way to go, but we moved it. But for those children and those families that fall within the numbers that exist today, it’s painful for them.
Yes, I heard my colleagues say that there are some requirements that they have to meet, looking for jobs, getting some training, but all of that has been made available. I’m so glad. I’ve talked to many people in my constituency who tell me that the job training that they accessed through the various programs made a huge difference to their lives. It allowed them to be lifted up, and they rose, and they are being lifted out of poverty.
Something we always forget — child care. One of the biggest social programs brought in by this government is a move towards $10-a-day universal child care. We have made great progress in that area. Lots more to do. But I can remember when I had my children, what a struggle it was to find child care.
I’ve talked to families ever since I was elected who tell me how expensive child care is. So not only are there a great number of people with kids in the $10-a-day child care, some are paying less, based on their income. We forget that. Some are paying a lot less, and some are not paying at all, and they’re getting that coverage.
Other parents are telling me that if it was not for the child care subsidy that they receive, one of the parents would not be able to go to work, and they would actually end up living in poverty. They would not be able to do the kind of things that they want to do with their families.
You know, since 2017, over a quarter of a million people have been lifted out of poverty. That’s happened through job training, child care and increasing income assistance rates five times and the minimum wage seven times.
I don’t often throw out a lot of data, but I am going to use this number. This government exceeded the legislated poverty reduction target. We actually exceeded them. We reduced overall poverty by 45 percent and child poverty by more than 50 percent. I wish it had been 100 percent. Every one of us sitting on this side of the House wishes we had been able to do that, but we know that to bring about change, and systemic change, takes time.
Now there are new targets being set. Not only did we exceed; we are setting new targets, and they are ambitious. I salute the minister for having set such ambitious targets, because once you set a target, you not only aim for it, but you aim to exceed it.
That is what I’m counting on, based on the fact that this government has taken a cross-government approach to tackling a serious issue like poverty. We all know that if those who live in poverty are left there, the cost to the system is much, much higher — costs in education, costs in health care, costs in policing. You name it; they are there.
The new targets are to reduce poverty by a further 60 percent — remember we’ve already exceeded, and now it’s to reduce; and to reduce child poverty by another 75 percent — I’m hoping we can get to a much higher number than that, Minister; and senior poverty by 50 percent. I am so delighted that we haven’t just said we’re going to make improvements, that we have actually set targets, because when you set targets, you reach them.
To use a simple example, I used to tell myself I was going to walk every day. You know what? Sometimes I did, and sometimes I didn’t. Sometimes I walked for ten minutes, and I thought I had done more than enough. Other times I thought: “You know what? I’ve done half an hour.” And the odd day, I would do a lot more.
Then I got challenged by one of my kids to do five kilometres a day. It wasn’t easy, Mr. Speaker; let me tell you. I’m a bit competitive when it comes to that kind of thing, but I managed to live up to the challenge that my daughter had set out, and it’s because she had set out that challenge. Now if I don’t walk that distance, I think something is wrong.
In a similar way, we have concrete targets that the minister and all ministries across government are going to work on to make sure that we achieve them. I mean every ministry. The Jobs and Innovation Ministry will be working on this, because as they’re growing the economy, growing good-paying jobs, it allows us to tackle these social issues. Everything is integrated. It’s not that things are in little cubicles all by themselves.
We know, as we hear — and I’m sure my colleagues are as well — more and more from seniors, that they are really feeling the pinch with the increase in costs of groceries, of heating their homes, of the general cost-of-living inflation that has been out of control. So I was really pleased to see, in the targets set this time, that they are specific targets that we’re going to meet to address senior poverty and child poverty, absolutely yes.
Many people will say: “Why are we doing this? Why don’t these people just go out and get a job?” I hear that in my constituency from some people. I can remember talking to one gentleman who could not understand why the social assistance rates had been increased again. So I asked him: “How much are they?”
He didn’t really know; all he knew was that we had increased them. When I told him how much they were…. Then I asked him: the last time he was out with his group of friends, how much did they spend on dinner? And once he responded, I said: “You spent more money on one dinner with your friends than this individual gets for the whole month.”
It’s not that once you receive social assistance, you think you’ve hit a special vault in the Bank of Canada. When you look at the prices people have to pay for rent and the price of food, it is very hard to survive on that. That’s one of the reasons I’m glad that we do have a target.
We do have a target to get more people out of poverty. We absolutely have to. That has to be done for the sake of all of us. Society loses its stability once you have more people who cannot make ends meet. People get desperate. They get their backs to a corner. Besides all of that, that’s not who we are as British Columbians.
As we grow our economy, as we invest in projects, as we build infrastructure that grows good-paying jobs, we set targets there to make sure that those who are in the disadvantaged groups are getting a lift up there as well. As we’re doing all of that and growing the economy, we must take a percentage of that and make sure that we lift those who are living below the poverty line and that the assistance that’s available allows them to live a life of dignity.
You know that our seniors built our country, built our province. Many of them had very, very hard times after World War II and even during World War II. They really struggled, but they worked damned hard to build this province and this country.
As they go into their retirement — as some people like to say, golden years — surely, we must all realize that they need to have a life such that they can live and enjoy their retirement, a life of dignity, where they’re not looking for handouts, but where they are supported and lifted up so that they can live with the dignity that they deserve. Every person deserves that. That is why it is so important to start looking at seniors and how impacted they are by this international inflation and how much they can actually purchase.
Often when people talk about those who are on social assistance or disability assistance, people have images that these people are getting loads of money just handed to them, but we know that is not so. We know that is not so. As a society, I would say that I want to be part of a society where we are not looking at big houses and big cars but at how we look after our neighbours and support each other.
For a very selfish reason, I often say to people who still want to argue on this matter that if we don’t invest now and we don’t tackle poverty, then you will be paying a higher price, as more people become homeless because they cannot afford to pay their rent, as more people are going to the food banks because there is not enough money for their groceries.
More children. When children grow up in poverty, we know it affects the determinants of health. We know that there is generational poverty as well. We have to break that poverty cycle so that children get support early.
This is why I was so happy when our government invested in a breakfast program where children can receive a healthy breakfast in the morning. As a teacher, I know that no matter how brilliant the teacher, it’s very hard to focus on learning when you are hungry and you haven’t had a good night’s sleep because you were cold at night.
In many ways, it’s the kids who I taught who brought me into the political arena. I will always remember this young man. He used to fall asleep in class all the time. All the teachers were complaining. Met with the parents — not.
Then, once I got to know him, he told me how he hadn’t had dinner. Often there wasn’t much food for dinner. At nighttime, to keep the bills down, they turned down the heating. There were three blankets shared by four kids. If you’re cold and hungry, it’s very hard to sleep. So coming into a classroom…. It was a safe place. He got some food, and he got to sleep at the beginning.
Imagine the cost to us as a society if we have children who are hungry when they are at school, children who are with families who are homeless, children who we know, when they grow up in poverty, are going to be using the health care system far more than other children. They will probably develop chronic diseases far more than children raised with food and shelter and stability.
We also know that those who live in poverty are more likely to face policing issues as well. When you are desperate, you will try many different things. And when you look at the mental health issues that exist today…. How many of them are due to hunger, to being homeless and to not having the support systems you need?
Once again, I really want to thank my colleague from the Sunshine Coast and the current minister for having the passion and the commitment to build on the poverty reduction plan, even though we exceeded our targets, knowing that there is still a lot more work to do and setting good targets.
I’m hoping that every one of us in this House, whether you sit over there or over here, will support every one of these measures, as they are presented to us, so we can make sure we not only meet the targets but we exceed the targets. The next time a colleague stands up and talks about poverty rates being much higher amongst Aboriginal kids, we can see that gap closing, and we can see that the 13 percent he talked about is near the zero percent.
Mr. Speaker, thank you for giving me the honour to speak here. For me, it’s a privilege to represent Surrey-Panorama, I will say, one of the best ridings in the province.
I can tell you that the people in my community care very deeply about those who cannot look after themselves, about the young, about the elderly. They want everyone to have a life of dignity and one of respect.
Let us grow a province where we grow the economy. Also, we grow our people, and we lift them up.
D. Routley: It is indeed an honour to speak to the Social Development and Poverty Reduction Statutes Amendment Act.
Having had the honour of serving the people of Nanaimo–North Cowichan and, before that, Cowichan-Ladysmith, that region in the mid-Island, since 2005…. I’ve had many opportunities to address the issues of poverty and the issues of priority shown by governments through their budgets and through their approach to governance.
Even before I had the privilege of sitting in this House, I served as a school trustee and saw, at that time, the effects on children, on families, particularly those who are most vulnerable, of government policies that were just leaving them out and that failed to backstop those people, the people I represent.
In 2004, when I was serving as a school trustee, I spent a lot of time in meetings trying to save schools from closure. I spent a lot of time debating, in the school board office, budgets that were having to cut back on services for children because of cynical policies brought by the provincial government of the day, the B.C. Liberal government, now calling itself the B.C. United party. At that time, I saw how failing to have the backs and to backstop and to invest in the people of B.C. had devastating consequences for those people who needed that the most.
I think that British Columbians and Canadians, generally, love to root for an underdog. I really do. I really believe that we want to get behind those people who are trying, who start a little bit back from the starting line. Maybe we see ourselves in that. We see that it’s only by working together that we can, indeed, as underdogs, be successful.
I have a friend who is a CEO of forest companies and a very…. You might expect him to have a different point of view. He shared with me his view of this issue.
He said that if he were running a railway, he wouldn’t invest all of his money and all of the resources of his railway in the posh parlour car for the most elite passengers. Indeed, he would look for the car that was struggling the most, with squeaky wheels and problems that were slowing down the whole train. Only by taking care of that, in that order of priority, could he make the train run smoother, run faster. It really struck me as being a good metaphor for what we’re talking about here right now.
I’m a cyclist. I cycle a lot less than I wish I could. I think of cyclists on the highway. When you’re driving down that road, you look at cyclists going in either direction. One may have a struggling face, gritting and struggling against an unseen opponent. The other, on the other side, is smiling and seems to be riding easily. You can’t always tell just by glancing at people what challenges they face. One cyclist is facing a headwind; one cyclist is facing a tailwind.
It’s easy to look at that and assume that one is better at cycling than the other. In fact, it’s really an unseen challenge that is holding one back and propelling another.
I think that British Columbians understand that too. They understood in 2005, when the B.C. Liberal government came to power and, in its first act, offered a 25 percent income tax cut. They understood that they, as regular British Columbians, would get far less benefit than the most wealthy British Columbians from that measure.
They also saw that that 25 percent tax cut translated into at least a 25 percent cut across the ministries, some over 30 percent. That created a deficit in services and supports for the most vulnerable British Columbians that we are still, to this day, fighting to redress.
This government introduced the first poverty reduction plan in British Columbia in 2002. In so doing, it set targets to reduce poverty, set targets that weren’t simply met by increasing rates, which we did, but by coordinating the policies and actions of government across the spectrum to support people in British Columbia.
It was an investment and a notion that if we were to make this investment in the people of the province, we had the faith that they would excel and thrive, and so would the province. So would our communities. I say that we have been proven right.
The Leader of the Official Opposition, when he was in government…. They froze rates for a decade after they had reduced them. It’s hard to believe that a government would actually reduce the rates of support for the most vulnerable British Columbians, but that’s what they did. They froze the senior’s supplement. It had been introduced in 1987 and never increased. It was at $49.30.
This government doubled that, the first increase ever. In the ten, 12 years that the Leader of the Opposition was Finance Minister and in other positions, B.C. had the highest child poverty rates. While he was overseeing the budget of British Columbia, that former B.C. Liberal government, now B.C. United party, did things so heartless and so penalizing as to take bus passes away from those people who were on disability assistance.
What could possibly be the aim of such measures? Could it be that they were trying to lift people up? It seems impossible that that could ever be the conclusion when we look at what they did.
They froze the minimum wage at $8 for a decade. In fact, they introduced a training wage of $6 per hour for the first 500 hours of employment, which obviously encouraged employers to lay off people before they escaped that $6-an-hour training wage. These were heartless and difficult challenges for the people of B.C. We had to sit here in this House, for those 12 years I was in opposition, and watch measure after measure be brought forth that hurt British Columbians.
Since we formed government, we have given to the people of B.C. seven increases in the minimum wage. In fact, now it is tied to the rate of inflation. So every year, it will be going up according to the level of inflation. Those people who are working at that wage level will not see themselves slipping back from others.
Those are the kinds of things that a government does if they care about people. Those are the kinds of things that government does if they believe that investing in the people of the province will lead to a successful province.
When I was a school trustee, I watched the cynical targeting of small schools and school districts — rural in particular.
At a time when student enrolment was clearly projected to decline, as opposed to now, as student enrolment is growing, they attached funding for education to a per-student model and did away with catchment areas for schools.
That led to the communities who were hardest hit by a reducing population losing schools and cutting programs. It was a cynical move so that they could say, “Oh, well, we gave $9,000 per student in the past, and now it’s $10,000, so it’s the most ever,” even though that declining enrolment led to a declining funding of education.
In both Education and Health, they settled contracts with teachers, nurses, doctors, and then failed to fund them so that, indeed, health authorities had to cut beds. Over 2,000 acute care beds were cut in the first four years of that former government. Over a dozen long-term-care facilities for seniors were closed.
We saw them privatize the supports for seniors in care, and that led to the largest mass firing of women in Canadian history. We saw them increase medical insurance premiums, MSP premiums, by 50 percent and then by 100 percent.
We eliminated MSP premiums. At the time, we were the only province in Canada that charged individuals a premium for their health care. That was the largest middle-class tax break in generations.
We were also the only province in Canada that didn’t have an employer health tax. We have introduced an employer health tax. But at the time of the introduction of that tax, it was the lowest in Canada.
This year’s budget increases the exemptions for businesses who pay that tax from half a million dollars in payroll to $1 million, with a graduated application of the tax up to $1.5 million. That’s because we understand that small business needs the support of government, as do the people. When we introduced the minimum wage and raised it, we also gave small business a tax break to compensate for that.
It is with calculation that our government has supported the people of B.C., and it was with calculation that the former B.C. Liberal, B.C. United government undermined people. We can look far and wide through the policy decisions of that government and see examples.
In school districts, they claimed to be eliminating red tape. But what they really did was eliminate the protections for special needs children and allowed funding from districts that were already starving to flow away from those children. We saw them eliminate the designations for school librarians and other specialty teachers and saw those positions evaporate.
At the same time, we saw school class sizes increase. In fact, the previous NDP government had settled the previous contract with teachers at a reduced wage increase in order to deliver improvements in classroom conditions to those teachers. The former B.C. Liberal, B.C. United Party government came in and tore up those contracts. It took years of fighting for teachers to defend that, to turn that around, and it’s this government that is reinvesting in those services for children.
We can look at welfare benefits. The fact that they were told that 60,000 children would be affected by their cuts to income assistance…. The benefit rates for welfare recipients between 55 and 64 were dropped — were dropped. Single parents were no longer entitled to keep $100 per month of family maintenance payments. These were measures that were penalties to people who were struggling, rather than supporting people who were struggling.
This government supports those who struggle because we understand that investing in those people will make them successful, and thereby our communities and our province will thrive.
Shelter allowances for families with two or more children were reduced. It’s a sad list to read. I think one of the most telling examples were the changes that the previous B.C. Liberal, B.C. United party, government made to the Manufactured Home Park Tenancy Act. Throughout British Columbia, there were many manufactured home parks that were an affordable housing option, particularly for seniors in our province, my grandmother being one of them.
It was like a grey- or silver-haired rush hour, a little bit after the regular rush hour, as these communities that grew…. There would be one person, and that was my grandmother, who could drive and would drive others to their medical appointments or to shopping. These were simple arrangements that people came to that were undermined by that previous government when they took away the penalties for redeveloping those manufactured home parks.
I saw veterans. I saw seniors who were in their 80s and 90s.
Deputy Speaker: Could the member help connect to the legislation in front of us?
D. Routley: Absolutely.
These were all measures that increased poverty. These were all measures that were taken by the previous government that are now being undone by this government through a poverty reduction strategy that coordinates the actions of government, that coordinates the legislation of government to support people. The comparison is inescapable.
We saw the outcomes of that throughout the province as manufactured home parks were redeveloped and people were dislocated. This government, as part of our efforts to support people who struggle, reintroduced penalties for redevelopment of manufactured home parks and reintroduced larger penalties that would have those developers support the dislocation of people by helping them with the costs of moving.
One of the first things that previous government did was eliminate the child care program that was in place at the time, a $14-a-day child care program that was just being introduced. That was one of the first things they did. One of the first things this government did to support people through efforts to reduce poverty was to support child care with subsidies, new spaces and subsidized wages for employees.
In Nanaimo–North Cowichan, the constituency I represent, just in the last four years, we have seen over $79 million of investment in child care. That equates to 118 early childhood educators who have seen $755,000 of wage supplements come their way through this government. That includes $24½ million directly in subsidies to parents. These are life-changing investments for people who struggle. This is all a part of this government’s approach to reducing poverty.
One of the first things I did as a government caucus member was attend the announcement, with former Premier John Horgan at Vancouver Island University, of the measure this government took to eliminate post-secondary tuition for those people who had been in care of the province.
I have said before in this House that everyone in that room was in tears. All of the people who were there — the students who were there to talk about how it impacted their lives, the professors and instructors who were there, even the Premier’s security detail — had tears on their cheeks because it was so clear what a huge measure this meant for the people affected.
When we think about the impacts on Indigenous people in this province, well, it’s quite clear that there have been a disproportionate number of children in care who are Indigenous. Appropriately, they will receive support in a magnified way through that investment.
The measures that we’ve taken lifted a quarter of a million people in this province out of poverty. We reduced overall poverty rates by 45 percent. We reduced child poverty rates by 50 percent.
Now, there’s no doubt that inflation in the last year or so in food and housing has definitely chipped away at those gains, but that isn’t stopping our government. We have committed, through this act, to greater goals. We have committed to a goal of reducing overall poverty rates by 60 percent, reducing child poverty rates by 75 percent and reducing seniors poverty rates by 50 percent. And according to our record, those are goals that we expect to meet.
Some of the measures taken by the previous government were indeed penalizing. The two-year independence rule for young people leaving home, that they had to show they’d been two years independent before they could in any way qualify for assistance — how on earth is that empowering? How on earth, unless you blame them for their circumstances, is that in any way something that a rational person would do?
We don’t blame the people of B.C. who struggle. We understand. Like other British Columbians and Canadians, as I pointed out earlier, we fight for the underdog, and we do things that will raise people up.
The disability assistance exemptions in the province now equate to almost $1,400 a month that a person on disability assistance can earn without being clawed back. That is the highest in Canada. That will have impact not only for those people but for small businesses in this province, because it opens up more employable hours to their businesses and encourages people to be inclusive of people with disabilities.
Poverty reduction plans aren’t simply about raising people’s incomes. They’re about increasing the quality of people’s lives and their self-esteem. It’s about empowering people to be the best that they can be, and that’s, I think, the core value of our government.
That’s why I’m proud to stand here and speak about this in our budget. That’s why I’m proud to have served in this B.C. NDP caucus and why I know and have faith that these investments will continue to bear fruit, will continue to show that the results in B.C. are the best in the country, because not simply of a government but because of a partnership between government and the people of this province.
People recognize that. They recognize that this government isn’t poaching and targeting those who struggle. Instead, we are identifying problems and rolling up our sleeves and solving them for the betterment of the people of B.C.
We have done so many things that I am so proud of. The B.C. affordability credit is $164 per adult. B.C. Hydro customers throughout the province are seeing $100 credit on their bills.
These seem small. Of course, they are, in relation to the wealthy people who benefited from that 25 percent tax break that the B.C. Liberals gave on their first day in office. But they are significant to people who struggle in this province, and they are integral to a comprehensive approach to poverty reduction that is more than simply reducing poverty and increasing income. It’s about empowerment, it’s about quality of life, and it’s about people in B.C. thriving.
We more than doubled the climate action tax credit. It’s now $447 per adult. One and a half million renters in this province benefit from the fact that we have capped rents at below inflation levels.
[J. Tegart in the chair.]
The previous B.C. Liberal, B.C. United party, in opposition, opposed that. They wanted to see the rental rates increase by the rate of inflation plus 2 percent. That would have made rents increase in this province over the past year or two by 6 percent to 8 percent per year. Instead, they’re capped at 2 percent. That would have been inflation permanently embedded in our economy, and it would have been a challenge for renters, which they would have to cope with going forward.
Instead, we have protected those people. Starting this coming year, renters will see a $400 tax credit. These things add up.
We doubled the seniors supplement, as I said earlier.
We are giving people lower ICBC rates by an average of $500 per year. This is after the previous B.C. Liberal government had skyrocketing ICBC fees, not because ICBC was more expensive to operate, but because they were taking funds from ICBC in order to show a balanced budget, creating deficits in order to show a balance, creating deficits in the lives of struggling British Columbians in order to give rewards to those who are wealthy. We saw an average of $420 in rebates to ICBC customers.
The B.C. family benefit of $2,850 for a family with two kids and the $750 top-up for single parents is another measure that this government has taken in order to reduce the costs for families in British Columbia, particularly for families who struggle. We’ve reduced child care costs. I quoted numbers from the riding which I represent. That has a life-changing impact for families with children, who now can afford sports and vacations for their children, can even, perhaps, afford a down payment on a home because of what we have done.
We ended MSP premiums, as I said. That was a $900 advantage to individual adults who paid that fee on their own. Yes, we raised disability assistance payments. We raised income assistance payments. We eliminated the interest on student loans.
These are obvious advantages to people in the province who struggle to meet the costs of living. This is all part of a comprehensive approach to reducing poverty and to supporting people.
We created the B.C. access grant. The previous government eliminated student grants. First-year grants of up to $1,000 that were being provided by the B.C. NDP in the ’90s were eliminated by the B.C. Liberal government in 2002. We’ve created the B.C. access grant, and that grant is up to $4,000 per year for students in post-secondary.
We have made transit free for British Columbia’s children under 12. This is an enormous advantage to families. I remember, even in my own life, living in Victoria with my mother, after our family separated and her having to measure out how much we could do, where we could go by bus, because of the cost. That’s been a cost that has challenged vulnerable and struggling families for generations. Now they can take their kids where they need to go, where they want to go, without paying transit for those children under 12. That’s a huge, huge investment in their lives.
Eliminating post-secondary tuition for children who have been in the care of the province. I mentioned it before, and I think it deserves mention again. This is an enormous investment. The announcement was made at Vancouver Island University. Vancouver Island University had already pioneered that by doing it from their own financial planning. Now that’s a reality throughout this province, and it has a life-changing effect for so many people.
And 128,000 people are now receiving basic dental care, those people who struggle. These are things that have an enormous impact on their quality of life, on their self-esteem, on their potential. We have invested in food banks and school lunches. We’ve invested $66 million in supporting food organizations supporting food security; $16 million in community food security initiatives; $50 million to food banks, food distributors and food access programs. These are huge investments that have an even greater impact because they support people who struggle.
The difference is clear. This government is backstopping and partnering with the people of B.C. to empower them. That previous government targeted them and penalized them for their struggle.
This bill increases the targets this government has set for itself to give further and even greater support to British Columbians, and I’m proud to support it.
R. Parmar: For some reason, ever since I became elected, I always seem to follow the member for Nanaimo–North Cowichan, which is an issue because I just want to say “ditto” and end it. But boy, for almost 20 years, very, very thankful for his voice, his reason.
It’s clear from what he’s shared from his time as an MLA and certainly from his time as a school trustee and the services provided to his community that we’ve had a period of cleaning up to do. All of that certainly could be put at risk in October of 2024, but in the meantime, we’re going to continue doing our work.
I just want to begin by acknowledging how incredibly honoured I am to be standing and speaking in support of this legislation. I want to thank my colleague the Minister of Social Development and Poverty Reduction. I want to recognize the work of the previous minister, the MLA for Powell River–Sunshine Coast, in bringing this forward.
We all know here, in British Columbia — in fact, across Canada and around the world — global inflation is pushing up costs. Right now and for the last little while, and I think for the next little while as well, things are going to be really difficult for people. We know that food prices have gone up. A Bank of Canada report from a couple of weeks talked about shelter rates. Of course, a lot of different challenges, as we look at gas prices as well.
We know that this has been an extra difficult time for our most vulnerable population, for Indigenous peoples, for our BIPOC population as well. My colleagues who have stood up and spoken to this legislation have talked about the real barriers to employment, the real barriers to opportunities for people at a challenging time.
As I start my comments for the next little while on this Social Development and Poverty Reduction Statutes Amendment Act, 2024, I think of the time and period during COVID, in which things were really tough. When you look back to March and April and May, schools had shut down for a period of time. We saw women’s employment in British Columbia, and, in fact, across Canada and around the world, decline significantly, certainly because of the fact that schools had closed.
Also, we saw those working in hospitality sectors and a number of other sectors, like manufacturing and, to an extent, construction as well, decline. Those were tough times.
One of the things I remember from Dr. Henry, during her remarks on a daily basis, was how this pandemic has certainly taught us that these impacts face people in a different way. It’s so important for governments, for all parties and all organizations to acknowledge the impact of the global pandemic and all of those other challenges before us in a way that respects and acknowledges the most vulnerable people in our society.
Again, I want to thank the minister, who’s done an extensive amount of engagement with sectors.
I know that the day that she introduced the legislation, I looked up to see a number of my constituents and a number of partners here on the south Island. Julian Daly from Our Place. I had an opportunity to tour Our Place a couple of weeks ago. I know that there are those out there that have criticism towards our place, but I remember leaving that conversation and leaving that tour thinking: “What would Victoria and Vancouver Island look like if there wasn’t an Our Place and the work that they’re doing?”
In doing that engagement, the minister clearly met with a lot of people, made room, did a lot of listening and learning and brought forward a piece of legislation that, certainly, I’m going to be enthusiastically supporting. Clearly, from the people that were standing next to her and with her in support of this legislation, it’s clear that she’s been able to address a lot of concerns over a number of years.
What I admired most from getting a chance to observe the press conference was this saying: that we are strongest when we look after each other. It is so critical for governments of all political stripes to have that mindset.
Again, that has been a mindset that we’ve had since 2017, under Premier John Horgan, and now our Premier as well — that British Columbia’s most competitive advantage is not massive tax subsidies to the rich, like we’ve seen in other provinces and what we saw for a period of time, from 2001 to 2017, under the B.C. Liberal, now B.C. United, party, but lifting people out of poverty and supporting people and supporting our most vulnerable. That is our competitive advantage.
People are our competitive advantage here in British Columbia. That’s something that everyone on this side of the House has been talking about and has been delivering on since day one. It’ll continue to be our primary focus for as long as we sit on this side of the House.
There are a number of pieces that I want to mention in the time that I have. We know that in 2002, the old government’s legislation was designed to cut people off of welfare, not to get them out of poverty. It reflects the previous government’s belief that there was something wrong with people who needed a handout. In 2002, there was a period of decisions that the government, the B.C. Liberals, now BCUP, made that were shocking.
For my family, it hits home. The member before me, the member from North Cowichan, talked about the mass firing of HEU workers. Both of my parents were HEU workers. In one single day, with two pieces of legislation, my parents both lost their jobs: the sole providers of our family, for me and my sister, at the time — my little brother wasn’t born yet — and my grandmother, who lived with us. They fired both of my parents, privatized their jobs. Just like that, they lost all their income.
At a time when they were thinking about growing their family, at a time when they were thinking about moving into a bigger home…. We lived in a very small town home, three bedrooms, with five people. Things were tight. They made a drastic change that impacted my family, impacted so many women of colour, so many people of colour and new immigrants, that was absolutely devastating.
Again, by making that decision, they put people in poverty. It’s absolutely shameful. A number of people in my family…. What a shame to see the member across the way laugh at that. That’s the fact. It’s such a shame, even though she wasn’t a member at the time, that she would laugh at something like the mass firing of HEU workers.
That’s why I was so proud — I wasn’t in the House at the time — to be a part of a party in a government that supported bringing forward legislation to bring back…. We’re going to be celebrating, just in a few short weeks, one year since we brought back those workers into the HEU, one year since we celebrated bringing those workers back into the public sector after that side, the B.C. Liberals and BCUP, privatized them.
Do you know what hurts the most? When they privatized them, my dad got a call back. He got a call back to come to work, but they gutted his wages. They absolutely gutted his wages.
Shame on the member for laughing at that. Shame on the member for people in her community that she devastated and a party that she supports. Shame on her for laughing at that. Shame on her for supporting a leader, the Minister of Finance in 2012, who was the Leader the Opposition when he said this on B.C.’s income inequality rate: “I just have trouble with people saying, ‘Oh, because there’s a gap that there must be a bad thing.’ You know, remember, as I mentioned earlier, and I’m not being flippant, but in Cuba they don’t have income inequality because they’re all poor.”
That was the Leader of the Opposition when he was Finance Minister under the B.C. Liberal government. Absolutely bizarre.
That’s, again, the record of the B.C. Liberal government, and it’s not all. Let’s hear…. Back in 2013, CBC spoke to the Leader of the Opposition. For ten of the 12 years that the Leader of the Opposition was a cabinet minister, B.C. had the highest child poverty rate in the country. CBC has quoted that.
A reporter asked a question where he said: “So there’s a report saying the child poverty rate is one of the highest here.” This is the Leader of the Opposition. Folks at home, you should listen to this, because this is the guy that wants to be the Premier of British Columbia.
The Leader of the Opposition said: “Well, you have to be careful of those reports, because the report will always show B.C. having the highest child poverty rate, because we have the highest housing prices in the country. So there is a direct correlation between housing prices and how they deem child poverty.” That was the Leader of the Opposition when he was Finance Minister. Certainly, I could go on and on and on about their time in government.
What we’ve committed to in this legislation and in our work, since we formed government in 2017, was the goals we brought forward in 2019. I also want to recognize and acknowledge the current minister, the past minister, but also Shane Simpson, who was the first Minister of Social Development and Poverty Reduction, who initially had brought this forward.
Our 2019 goal, as the member before me mentioned, was to reduce poverty by 25 percent. We reduced it by 45 percent. Again, as was acknowledged by the member before me, we reduced child poverty by more than 50 percent. But that’s not good enough. People expect more. We know if the BCUP ended up back on this side, poverty rates would go up. That’s their record. That’s what British Columbians know. That’s what they’ll be voting on in October of 2024.
We know that we’re on the right track, but very quickly we could be on the wrong track. Certainly, as the minister has acknowledged, as all of the members on this side have acknowledged, we know that this October there’ll be an opportunity for British Columbians to choose their future. We’ve certainly got a lot of work ahead of us.
We’re making changes to income and disability assistance and setting new poverty reduction targets. Again, I just want to spend a little bit of time talking about the changes to social assistance and disability assistance laws. We know that people say they feel better and are better off when they have a job and a community connection. I want to acknowledge, and I know all members in this House will acknowledge, the work that employment centres in our communities do.
For me in particular, in Langford–Juan de Fuca, we have WorkBC, Peter and his team, based in the West Shore and Langford, serving the entire West Shore region, as well as Sooke. They just opened a new office not too long ago. I’m looking forward to having the minister pop by for a visit to see the incredible work that their staff do to support people free from any stigma — destigmatized — and really clearly focused on providing whatever they can to support people in their time of need.
That’s the support system we’re building. We’re reducing barriers, ensuring people get the help they need to move out of poverty, not push them aside like was the record under the previous government, but getting them the support they need to get back to work or to get to work. We’re helping people improve their lives.
I remember, when I was chatting with Peter, one of the things that he shared with me in terms of supports that he provides, based off of support that he gets from government, is the ability to be able to provide people clothes to go to interviews, to do job interviews. That’s huge. When you’re living in poverty, when you’re someone who’s unhoused, the ability to be able to go purchase a suit or to purchase clothes, to be able to go and participate in a job interview is crucial.
I remember being at a youth centre in Surrey not too long ago, and they had a barber there. To see the smiles on people’s faces when they were getting their haircuts…. These are people whose parents probably couldn’t afford to get them a haircut. And to see the business community and those getting out and supporting them was so heartful and so important to see.
As part of this legislation, the Poverty Reduction Strategy Act, we’re making changes. We’re setting new, ambitious poverty reduction targets. We’re setting new ten-year targets, and we’re increasing them.
We acknowledge that we’ve done a lot, as my colleague from Surrey-Panorama said. We’ve done a lot. We’ve got a lot more work to do, so we’ve set new targets where we’re reducing poverty rates by 60 percent. We’re reducing the child poverty rate by 75 percent. And for the first time, we’re setting a target to cut the seniors’ poverty rate by 50 percent. There is a lot more work that we can be doing, and it’s so important that we continue those efforts.
You’ll remember that the old government had no plan to tackle poverty. When they formed government in 2001, they slashed budgets. They slashed the health care budget. They slashed every budget. Gordon Campbell had this fixation on cutting the budget by 25 percent.
If those at home have no idea what I’m talking about, you can talk to George Abbott, or you can read his book. He set it out clearly. He was a minister during that time. I had a chance to read George’s book. It was very crystal-clear what Gordon Campbell and his folks were trying to do at that time. During that period, after the hard work of the previous NDP government at the time, our province was the only one in Canada, during the period of the B.C. Liberal tenure, without a poverty reduction strategy. Again, that was the record of the BCUP.
As part of this work and the pressures facing British Columbians, it’s so important that we recommit our efforts. That’s why we are increasing the minimum wage. We’re eliminating interest on student loans, as my colleague talked about. In Langford–Juan de Fuca alone, since we implemented the Childcare B.C. plan, families, parents, have saved $34 million. Thirty-four million bucks back into their pockets since we implemented the Childcare B.C. plan.
I was at Centre Mountain Lellum Middle School, where I had an opportunity to be able to engage with middle school students and join my colleague, the Minister of Education and Child Care, to announce a replenishment of $20 million towards the student and family affordability fund so students who are not in a position to can participate in school field trips, in sports academies and other things as well.
That’s on top of $214 million we’ve invested in the feeding futures program. In my community, we have a great relationship with Backpack Buddies that ensures that good, fresh food heads home with those who need it.
I can go on and on. We touched on the bus passes and how, because of the cold-hearted decisions of the UP…. The Liberals, when they were on this side of the House, tried to rip bus passes, 3,500 of them, out of the hands of those who need it. I could go on and on about the impact that this has had on students.
In my short period, the last two weeks that I’ve been the Parliamentary Secretary for International Credentials, I’ve had a chance to talk to students. They remember the record of the B.C. Liberals and the BCUP. They remember the wacky times, as Andrew Wilkinson used to say, when he compared renting as a period of wacky times.
I could go on and on, but I’m going to end there because I know my colleague from Maple Ridge wants to speak to this too. But I’m so impressed with the work that’s been done on this legislation.
I’m ashamed at the member across for laughing at the work that we are doing.
Interjection.
R. Parmar: You were laughing, Member, and you should be very mindful of that.
I am so impressed with this legislation. I hope that all members in this House will stand up and support this and recommit to our efforts to reduce poverty all across British Columbia.
B. D’Eith: I rise today in support of the Social Development and Poverty Reduction Statutes Amendment Act, 2024.
Before I start, I did want to say a few things just in regards to my own community and how important advocates have been in regards to this issue around poverty reduction. We have incredible community networks in Maple Ridge and Mission who’ve worked tirelessly on issues around poverty, on social justice. Having them constantly put our feet to the fire and always be reminding us of issues is really important, and I just wanted to reach out to them.
One in particular I just wanted to mention is Bryce Schaufelberger, who actually has a self-advocacy net. As an aside, he’s part of the Mission Blazers floor hockey team, and they were part of the Special Olympics nationals that were recently in Calgary. I just wanted to say how proud I am of them for showing so much spirit, going to Calgary and representing our community.
I know from talking to Bryce how so many of the people he works with, because he works with people with disabilities, are on or close to the poverty line and are really struggling with many issues like housing and affordability. So I wanted to recognize that.
I also want to recognize that people are facing real financial challenges with inflation. This is actually putting so much pressure on folks in terms of food and housing and so many other issues. It is particularly difficult for people who are on income assistance and disability, and I just want to recognize that.
I also want to say especially that it also hits people who are caught in intergenerational poverty and Indigenous people and the BIPOC communities, and recognize that. So many people are facing barriers to employment and employability, and they have complex needs. I think it’s really important to recognize that the needs are complex. It’s not as simple as, as the opposition would say: “Get a job.” They feel better if they have a job, but we have to empower people, and we have to reduce barriers, because different people have different needs.
The member opposite…. The member who’s opposite me — but not opposite, so to speak — mentioned, as well, about WorkBC, and it’s the same in my community. They do such incredible work — I’d like to shout out to them — in really empowering people and giving them the tools they need to get back into the workforce. But this is all about reducing barriers and trying to really work with people.
Now, this is in contrast, as many of my colleagues have said, in terms of the old B.C. Liberal government, who’s now B.C. United. Their legislation that they brought in quite early after getting into power in 2001 was to cut people off welfare. Not to get them out of poverty but to…. It’s this idea that the opposition had that this was a handout — and really, sort of, a series of mean-spirited legislation that denied people the support and actually just made life so much harder.
That government, the past government, didn’t have a plan. In fact, when I was running for the 2017 election, it was shocking to me when I was meeting with advocates who I’ve mentioned earlier who said we were the only province that didn’t have a poverty reduction plan.
In fact, that was something that was so important when we got into government in 2017. I’ve got to say that when Premier John Horgan had Shane Simpson on the case back in ’17 and delivered a very powerful and ambitious, I think, poverty reduction plan, we really had some hope for reducing poverty. That work was taken up by the member for Powell River–Sunshine Coast and now our wonderful Minister of Social Development and Poverty Reduction with this act today.
Back in 2019, the goal was to reduce poverty by 25 percent, and we reduced poverty by 45 percent, and we reduced child poverty by more than 50 percent. So we exceeded what we wanted to do. But, as members have said, that was a great goal then, but we need to do more now. We’re on the right track, and we recognize that people are still struggling. We need to keep doing that important work to move people forward.
I think it’s important to recognize, too, that when you look at what poverty reduction is, you are looking at what is core to a just society. If we look at how we are judged as a society, it’s not how the opposition would prop up the rich and powerful or people with money; it’s how we look after the poor, the people that are vulnerable.
That really is what I think judges us as a society, and that is really what is so important to look at. I truly feel, working with my colleagues in caucus, that we do that every day. We’re trying to do that. This plan is part of an ongoing plan to deal with a really, really difficult situation, where we have people who are struggling and need help, particularly in a time when we have inflationary issues.
Part of what we’re doing here is…. We have to try to have it so, again, we empower people, because having a job gives dignity, and it’s important. That’s part of what we want to do, and also, there’s a time when people need that support. They need that safety net. A plan isn’t just about a handout, as the opposition would say. It’s about a number of things.
That’s why the poverty reduction plan has always been cross-ministerial, because every ministry has a chance to contribute to this, whether it’s Housing or whether it’s Child Care or whether it’s issues around Finance, around minimum wage and all of these things. It’s a holistic look at how we can lift people up and ensure that we fight poverty in so many different ways, instead of the mean-spirited financial penalties, for example, that the opposition had when they were in government.
We’re setting some, again, very ambitious goals over the next ten years: reducing, in this act, poverty reduction rates by 60 percent from the 2016 baseline; reducing child poverty rates by 75 percent; and, for the first time, and very important with an aging population, cutting seniors’ poverty rates by 50 percent.
This is really important. I talk to so many seniors in my community, and seniors have been hit really hard because so many seniors are living on a fixed income. As prices and inflation goes up and the cost of living goes up, their income stays the same. So we have to really, really target it as well. I’m really pleased to see that we’re doing this work not just for child poverty and poverty generally but also putting some focus on seniors issues.
Across the plan, there are a number of things that have happened. We’ve helped to get over a quarter of a million people out of poverty.
Another thing. When I ran in 2017, one of the things that kept coming up from the advocates who I spoke to throughout the entire process was that the B.C. United, the then B.C. Liberals, had frozen income assistance rates for over ten years. If you look at the cost of living over that period, that means, year over year over year, people were getting less and less and less. That is so shameful.
Now, what we did, one of the first things we did when we got in, is we raised the assistance rates. In fact, since that initial raise, we’ve done it four more times — five in total. I remember I was at an event after I got elected in Mission, and one of the advocates, who is a woman who is on disability, literally tackled me, knocked me on the ground she was so happy. She was happy for…. To us, a few hundred dollars a month. But to her, it meant so much.
So when we hear about things like small little cheques from the opposition, to people who are experiencing poverty, sometimes that $100 a month, or $200 or whatever that increase, is the difference between buying food and not buying food. That is how profound — some of these changes made.
They’re not easy. Bringing even $100 to some of these rates…. The PWD rates can cost nearly $200 million. It’s not easy to keep bringing these up, but we’re doing that work, and we’re continuing to do that work.
We’re investing in food security, which is really important. We saw, during the floods and the fires, how vulnerable we are to food security. It’s really, really important that we have a supply of low-cost local food, especially given the challenges that we’ve seen with climate change.
I’m particularly happy to see our investment in school food programs. Now, this is a big part of poverty reduction, as well, because you need to give kids hope. How do you do that? You give them a good education. If you give them a good education…. How can you give them a good education if they haven’t eaten and they can’t concentrate?
There are so many parts, for example, in education that we’ve done to try to lift people out of poverty.
One of the members had mentioned the free tuition for children aging out of care, for example. There are thousands of people aging out of care who have taken advantage of that program. Imagine how life-changing that is, to be able to go to post-secondary and have a chance at a good-paying job and not be caught in a cycle of poverty that can happen. That is about opportunity, and that is the sort of thing that we are providing.
Also, I wanted to talk about this cross-ministerial issue, because poverty reduction isn’t just about income assistance. Income assistance is important, but there are so many other things. One of the key things is the minimum wage. When we got into government, we had one of the lowest minimum wages in the country. Now we have the highest, at $17.40, and it’s tied to the cost of living. That means, unlike the mean-spirited policies of the past government, we’re recognizing that that has to keep up with the cost of the consumer price index. That’s very, very important.
We’ve expanded the B.C. family benefit and added a bonus, which is really important. If you think about what sorts of programs we’re doing, instead of cutting…. That’s what happened with the previous government. They cut income tax to those at the top and corporations.
What does that mean? You cut programs. Who gets cut? Well, the people that are most vulnerable often are the ones that get hit the most, whether that’s legal aid, freezing income assistance, all of those things, privatizing health care. We heard about HEU and Bill 29 and that awful, awful situation where thousands of women, mostly of colour, lost their jobs. It was just tragic, absolutely tragic. Those are the types of mean-spirited legislation, and that’s what happens when your priority is to benefit those at the top.
We don’t do that. One of the key things we’re looking at is things like child care. Child care is a game-changer, particularly for women, because it’s a trap. Anybody who’s had kids knows that if you have to pay for child care, it’s often the same cost as the job that you’re working, and you get in that trap where one of you, your partner or you, has to stay at home. There’s no point in going to work, because all your money goes to child care. You get in that trap. Then you don’t have enough money, in an inflationary situation where we’re in right now.
Allowing your partner…. Allowing those people to work, empowering women to get into trades, empowering women to get into professions, particularly, is so important. We need one million workers over the next ten years. That means everybody’s got to work, right? How do we do that? We provide things like child care.
But we’re not talking about just a little bit of money. This is like up to $900 a month for a family. That’s game-changing. That’s like 63,000 people that are getting that help right now. If you want to talk about poverty reduction, that is critical.
I also want to talk about affordable housing. We’ve got about 78,000 units that are complete or underway. There’s a lot of low-income and seniors housing that is attached to that. We’re protecting housing that could be redeveloped for low-income housing. It’s very important. As one of the members mentioned, we have a rental tax rebate of $400. These are all things to help with affordability.
Eliminating interest on student loans. Again, this empowers. When students get out of university, if they’re saddled with massive debt, then they’re already impoverished as they start. This gives them a chance to start their lives in a good way.
Then another piece of all this that helped deal with poverty is things like ICBC, things like us getting ICBC under control, things like cutting MSP premiums, which was the biggest single tax cut in a generation. Those are all really important things.
So today is really important, this act that we’re speaking to. We’re aiming to reduce poverty rates by 60 percent, child poverty rates by 75 percent and, as I said, having a new target on seniors and reducing that by 50 percent.
We’re really refining and broadening the key populations that are under the strategy and really looking at things like singles, who are particularly at risk for poverty. That’s the amendment to the Poverty Reduction Strategy Act.
Then there are the Employment and Assistance Act and the Employment and Assistance for Persons with Disabilities Act that are also being amended. This builds a system that reduces barriers, and I talked about that earlier, ensuring people get the help they need to move out of poverty and into employment. The changes to income and disability assistance legislation here will better support people to find work, which is so important.
So much of this work has been done over the last seven years, and there’s so much more to do. I’ve got to say that I’m very proud to be part of a government caucus that really puts the needs of people first. I know that’s how we started, under Premier John Horgan, and how we continue with the Premier now. Every day we meet as caucus, and we always talk about: what are we doing for people today? What is our job to make life better for people today?
When we run again in October, that’s what we’re going to be doing. We’re going to be talking about how we can make life better, how we can lift people out of poverty, how we can help.
I mean, look at free contraception for women. That’s huge. That’s a poverty reduction measure right there. That’s another poverty reduction measure. It also fights for equality for women. So many of these things have….
It’s not just about poverty; it’s also about equality. It’s also about social justice. Even things like increasing access to legal aid…. That is a poverty reduction issue, because so many people who deal with things like family law are often women at risk. That’s poverty reduction. So taking this entire, holistic approach is the right way to go.
I just wanted to say, in closing, that we do know and recognize that things are getting more expensive now. That’s why it’s so important that we do have a plan to deal with poverty reduction and that we don’t just sit on that plan, that we actually keep pushing the envelope and keep pushing ourselves to do better. That’s what the minister is doing with this act. It’s pushing us to do better.
It’s like the climate action plan. It’s a plan to do better. And not only a plan to do better. You look at the climate action plan. It’s leading in the country, in North America. It’s the same with this poverty reduction plan. It’s leading.
I look over to the Minister of Housing. The work that’s being done on housing, for example, is leading the country. And it’s also part of poverty reduction, because we need more rental stock. We need more low-cost housing. We need seniors housing.
I think about Maple Ridge. We have supportive housing, and one of the places that is supportive housing…. Once we move that, we’re going to be building seniors housing. We have a beautiful building that’s going to be built. It’s not just seniors housing that’s expensive for seniors. It’s seniors housing that’s tied to income. It’s tied to income so that people with fixed incomes will be able to access that housing in a reasonable way, especially seniors on fixed incomes.
The last thing we want to see — and we see this; all MLAs see this — are seniors who are struggling on fixed incomes and close to being homeless. That’s what we want to avoid. We do not want to have seniors have to deal with that. So we’re working very, very hard on that. That’s why I really applaud the minister for adding the focus on seniors here. We have children and youth, children who are dealing with poverty, but we also have to be laser-focused on seniors issues as well.
With that, I will take my seat, and I will proudly support this bill.
Deputy Speaker: Seeing no further speakers, Minister of Social Development and Poverty Reduction to close debate.
Hon. S. Malcolmson: Thank you to all my colleagues from all three parties for participating in the debate. I will maybe just say a couple of things in response, in reflection, with some of the things that have been said.
I do enjoy and appreciate my critic on the Social Development and Poverty Reduction file, but I will just say his opening comments gave me pause: that our poverty statistics were bad, that we hadn’t generated results. Well, we’ve removed a quarter of a million people from poverty. These are using StatsCan numbers: a 45 percent reduction in poverty. We did what we said we would do. We set a goal; we made the investments; we made the measurement.
In contrast, the former B.C. Liberals froze income assistance rates at $610 for a decade, including when their leader was the Finance Minister. We’ve increased rates five times. They took away bus passes from people on disability. We returned the bus pass. They never touched the senior supplement. We doubled it. And on it goes. So I look forward to the conversation, at committee, with my critic and my colleague. But the facts stand, you know?
More facts, just in response to some of the pieces that were raised in the conversation. Under our government, we have the lowest income rates in Canada for people who earn under $150,000 a year. And one of the first things we did was increase taxes on the top 2 percent. That’s in contrast to what was characterized by one of my colleagues across the way.
We’ve increased social assistance rates 50 percent. If we had only indexed rates, they only would have gone up 23 percent. Again, that’s better for people. That’s the pulling ourselves out of the hole in which we were left by the previous government. That is where we are.
Yes, I take the comment of many of the colleagues that the plan on how we are going to achieve those poverty reduction targets that we are setting now in legislation has not yet been produced. Our deadline for that report, the next poverty reduction strategy, is March 31.
Now I’ll note that B.C.’s first poverty reduction strategy, which came in 2018…. The legislation came in 2018; the poverty reduction strategy was tabled a year later. In this case, we’re going to do it four weeks later, so I think that’s actually pretty good.
Absolutely, we don’t legislate all the details of the plan. We legislate the poverty reduction targets, and we legislate the populations who are particularly susceptible to living in poverty. That’s what’s legislated, so that is what is being amended in that one section of this bill.
Again, the poverty reduction strategy is built based on the advice of over 10,000 people across the province. That is due March 31. That is the plan that will elucidate how we are going to reach those poverty reduction targets over ten years.
A reminder also to colleagues that we have a legislative requirement to table an annual report about our efforts to implement the poverty reduction strategy on an annual basis. So that is incumbent on us as something that we’re going to do.
[The Speaker in the chair.]
Yes, the system is complex to navigate. We admit that. That’s partly what we’re trying to repair with this bill. But it’s also one of the real benefits of us having returned…. When the previous government had cut social workers from income assistance, we’ve returned the community integration specialists, who do system navigation and help people in incalculable ways. We are very grateful to have their work. They are helping that system navigation, in addition to all of our not-for-profit partners, for which we are grateful.
The final thing I’ll say is…. It really kind of sums up where we were 20 years ago compared to now. This is a quote from Auditor General Wayne Strelioff in 2004: “We believe that a key assumption of the ministry in arriving at this decision,” to weaken disability assistance, “was that a large number of recipients would fail to qualify, therefore losing their disability status, and the result would be significant cost savings to government and taxpayers.”
That is the old thinking. What is represented in this bill is the new thinking.
With that, I move second reading.
Motion approved.
Hon. S. Malcolmson: I move that the bill be referred to a Committee of the Whole House to be considered at the next sitting of the House after today.
Bill 7, Social Development and Poverty Reduction Statutes Amendment Act, 2024, read a second time and referred to a Committee of the Whole House for consideration at the next sitting of the House after today.
Committee of Supply (Section A), having reported resolution and progress, was granted leave to sit again.
Committee of Supply (Section C), having reported resolutions, was granted leave to sit again.
Hon. R. Kahlon moved adjournment of the House.
Motion approved.
The Speaker: This House stands adjourned until 10 a.m. tomorrow.
The House adjourned at 6:52 p.m.
PROCEEDINGS IN THE
DOUGLAS FIR ROOM
Committee of Supply
ESTIMATES: MINISTRY OF
ATTORNEY
GENERAL
(continued)
The House in Committee of Supply (Section A); S. Chant in the chair.
The committee met at 2:43 p.m.
The Chair: I call the Committee of Supply, Section A, to order. We’re meeting today to continue the consideration of the budget estimates of the Ministry of Attorney General.
I recognize the minister to move the vote.
On Vote 14: ministry operations, $729,324,000 (continued).
M. Lee: Given the time that I have left, we’ll try and get through this swiftly. As at November 2023, the Parliamentary Secretary for Anti-Racism was no longer the point of contact for the Jewish community, and the Attorney General herself was made the point of contact.
Given the rise of antisemitism in British Columbia and the acknowledgment by the Attorney General of her concern regarding the dramatic increase in antisemitism since October 7 and the terrorist attack by Hamas, can the Attorney General tell us how often and when she has met with Jewish leaders to talk about the rise in hatred towards Jews since taking responsibility for working with the community?
Hon. N. Sharma: Through myself, my team and the Premier’s office, we are in regular contact with leaders and members of the Jewish community, specifically through the work that we’re doing. For example, one of the grants that my ministry has given is to the Richmond Jewish Day School to help with the development of the anti-racism act, specifically getting their input on the needs for us to address not only what their community is experiencing but how it can feed into the legislation.
This week, the Premier is having a round table with rabbis, and I was in communication with local rabbis to help organize that. It’s a regular thing for me and my team to meet with community members, including members of the Jewish community, especially since the work we’re doing on standing up the racist incident helpline, standing up the legislation that we’re working on and all the work that we’re doing on hate.
M. Lee: Apart from the anti-racism hotline, the anti-racism legislation and the mandatory Holocaust education at grade 10 level, in the capacity of the Attorney General’s position, can the Attorney General please tell us what specific steps she has taken since October 7, on behalf of government, to address the increase in hate towards Jews that we’ve witnessed — including the hate against Jewish-owned businesses, Jewish parents, who are afraid to send their children to public day schools and other non-Jewish day schools, Holocaust survivors and Jewish students on university and college campuses?
Hon. N. Sharma: I think we should start by saying that not only I myself but also the Premier has led with clear statements, which I think is an important part of government response when it comes to the rise of hate, particularly antisemitism — condemning it, appealing to the community and also making it clear to British Columbians that it’s not acceptable in this province.
We’ll start with that. I think we’ve had a consistent, clear message on that since October 7.
The member mentioned it, but I think it’s a very important thing that the community asked for. It was mandatory education on the Holocaust for all schools. We’ve established security grants through PSSG, up to $10,000, for all religious institutions that are in need of security upgrades. They can up their security, and members can feel safe going to their religious institutions. It’s something, also, the community has asked for.
Also, the member can ask PSSG when they’re here. I know that PSSG and the police forces upped their response to combat and be on the front line of the enforcement side of the rise of hate.
I mentioned before that we’ve met with community members consistently to hear their voices and really integrate it into the work that we’re doing to make sure that there are proper supports, like through the racist incident helpline, to support people that are going through the terrible consequences of hate.
M. Lee: The former Premier had indicated in a letter to CIJA relating to the IHRA definition of antisemitism how the government would move forward.
Can the Attorney General please identify the specific way in which the IHRA definition of antisemitism has actually been implemented in the province of B.C.?
Hon. N. Sharma: I want to thank the member for the question. I can assure not only the members of the public listening but also the member that we take combatting antisemitism very seriously. That includes the series of initiatives that I just mentioned and the constant communication with the Jewish community with respect to what’s needed and how we can continue with our messaging and our work to combat antisemitism every day.
M. Lee: Regrettably, I don’t have more time to pursue that response. I will say that I understand the Attorney General’s response, but I didn’t hear any specific step. I know that what will be a continued focus for myself in this role will be to understand what concrete steps have been taken to actually implement the IHRA definition of antisemitism in this province.
Yesterday we had a discussion in terms of my letters, in exchange, to the Attorney General encouraging her to utilize the IHRA definition of antisemitism when it comes to Crown counsel policy on HAT 1 hate crimes. That hasn’t happened for the reasons the Attorney General has explained, both in her letter of response back to me in February and in estimates yesterday. But I still do not see any specific step that has been taken by this provincial government to actually implement the IHRA definition of antisemitism.
I need to move on just to cover one last piece relating to this.
Yesterday we had a discussion relating to Imam Kathrada here in Victoria. Just so I understand, in terms of my further follow-on, which I may have the opportunity to do with the Minister of Public Safety and Solicitor General…. Have there been any reports to Crown counsel received by the Attorney General and her ministry, Crown counsel, relating to any of the Criminal Code offences that HAT 1 applies to?
Hon. N. Sharma: Just before we answer, if the member could provide some clarity, please, about if he’s talking specifically about under the policy. He mentioned the Kathrada matter initially. So just some clarity if it’s specific to this person or general.
M. Lee: Yesterday we did have the discussion relating to the extremist views that had been occurring here in Victoria by that individual over many years. My understanding…. The response was….
Perhaps I’ll just ask the Attorney General to confirm again. There has not been an RCC received by Crown counsel relating to that individual, Imam Kathrada, here in Victoria.
Then my second part of the question is: have there been any other RCCs received by Crown counsel relating to any other individual in the province of British Columbia and relating to any other violations of the Criminal Code provisions that are the hate crime violations under HAT 1 policy?
Hon. N. Sharma: I just want to start by saying that it’s very important that we all stand together and make it clear that espousing or promoting antisemitism in this province is wrong and is unacceptable in all its forms.
I cannot comment specifically — I’m sure the member will appreciate it — on particular prosecutions against particular individuals in this context.
With respect to the second question about general ones, we canvassed that quite a bit yesterday. Yes, there have been reports to Crown counsel related to the HAT 1 policy.
M. Lee: So the status of the other reports to Crown counsel….
Yesterday we heard there is one charge that has been approved. In relation to the other RCCs…. Can the Attorney General share with us how many other RCCs have been received, and what is the timing of that charge assessment approval process in relation to those other RCCs?
Hon. N. Sharma: As I think we canvassed yesterday, about the collection of data that started on their HAT policy starting February 16, and because of that inclusion of better data collecting, we will probably have more information in the future. The B.C. Prosecution Service will have that information.
I don’t have a specific number now, but I can also say that, generally speaking, when a report to Crown counsel comes to Crown counsel, the charge assessment and the timeline would vary widely, depending on the complexity and the details of that case, because Crown counsel really need to make sure. and they do. that they’re doing their job properly.
M. Lee: I just need to move on, given the time that I have left at this point.
In terms of coming back to the discussion we were having yesterday about the bail policy and the discussion around acceptable levels — that is, “the risk to public safety posed by the accused’s release can be reduced to an acceptable level by bail conditions” — the Attorney General made reference to the factors, the things, including the Criminal Code and the case law of Canada.
Can I ask the Attorney General if she identifies the specific legal tests and additional factors that go into determining what is an acceptable level of risk to the public?
Hon. N. Sharma: There is a pretty, I guess, considered level of case law related to what acceptable risk is.
I have a case here that quotes a Supreme Court of Canada decision in R. v. Morales that says that the detention of an accused is necessary because identified danger to public safety cannot be prevented or reduced to an acceptable level of bail conditions, such as reporting to authorities, curfew, no-contact, mobility restrictions, sureties and cash or cash bail. So there are factors that the court gives guidance to Crown counsel on when making that determination.
M. Lee: It’s a case I remember well from my criminal law courses back at UVic law.
Let me just come back to…. Thank you for the response to that. The contrast, when we look at the policy relating to BAI 1…. We talked yesterday about the specific definition of “repeat offender,” for the purposes of the policy at least. That is relating to a person who is a repeat violent offender charged with an offence against a person or an offence involving a weapon. So that was the test we just went through.
When I look at the other bail policies that are related, that are referred to, of course, in this bail policy I mentioned yesterday relating to child victims and witnesses, for example…. That has similar language, I believe, to the other three policies that can be named here. But the lead-in language that Crown counsel should request a warrant whenever it is necessary to seek a detention order or conditions of release to protect a child victim or witness or other potential victims….
Could I ask what the difference is in the test in terms of the Crown counsel requirements here to seek a warrant for detention or a detention order versus for a repeat violent offender, which also relates to weapons? What is the difference in terms of the actual test that’s being applied by Crown counsel?
Hon. N. Sharma: Happy to provide clarity for this. The member, I think, is talking about two different parts in the process when he pulls out parts of the child victim policy and the bail 1 policy.
In the part of the child victim policy that we believe he’s referring to, it’s when to seek approval to seek a warrant. So that’s a very different time. Then once a person is in custody, bail 1 policy would apply, and that would be a decision whether to seek detention or not.
To put that in context of the bail policy in general, on page 3, it’s pretty clear the way the charge assessment policy is given to Crown counsel that in some circumstances it’s not only appropriate but necessary for Crown counsel to take a more stringent approach to bail — for example, the policies listed below.
It’s already in there that with respect to child victims, Crown counsel should take a very stringent approach to bail. So that shows how exceptional that’s viewed in terms of what decisions to make regarding bail and whether to seek detention or not. Then what’s added afterwards is that the protection of safety to the public is also a matter of concern, including repeat violent offenders in that category.
M. Lee: Just looking at the way the policies are written, then, with the emphasis on it being necessary for Crown counsel to take a more stringent approach to bail, and I’ll just continue to focus on child victims and witnesses, then listing that policy and then having a further section that deals with repeat violent offenders as where Crown counsel must seek detention, unless they’re satisfied that there’s some way to address the risk to public safety to an acceptable level by bail conditions.
Where is the equivalent provision, then, between what applies for repeat violent offenders and offenders who we’re concerned about in respect of child victims and potential victims?
Hon. N. Sharma: I’ll start by saying that I think it’s not equivalent, and I’ll explain that, because the child policy is about a child, so where there’s a child victim. Because of that, that policy is thoughtful in the sense of all the various steps you take that are very different not only in the nature of that being a very serious thing but also in the steps that Crown counsel should take in making sure they’re considering the fact that it’s a child victim.
Just in that sense, it’s very important that it’s focused and very differently focused. But they’re both…. They’re taken seriously, and you can see that in the context of that policy — all the rigour that goes into when there’s a child victim.
It was from a directive of the Attorney General. My predecessor of the time issued a directive to Crown counsel to add a section of repeat violent offenders in there so that bail was sought, unless there was…. With the language that the member was talking about before.
M. Lee: I’m rapidly running out of time here, regrettably, so I’m going to pursue this further as we can. I appreciate what the Attorney General has provided some clarification on.
When I look at the bail policy section “Child Victims and Witnesses,” of course, we’re talking about not only the child victim but also other potential victims of the perpetrator. I’m still not seeing where…. I see a lot of “shoulds” in that section. There is no “must” requirement, unlike repeat violent offenders. So I will continue to take that up with the Attorney General and perhaps make a submission on that basis.
As we talked about yesterday, Taylor Albert Dueck in Kelowna, as raised in question period by my colleague the member for Kelowna-Mission and by the Leader of the Official Opposition today….
When I look back at the record of this individual, of course, there was a public notice issued in a different community. It was in Abbotsford. That public issuance of a notice said that Mr. Dueck resided in the Abbotsford area and had a criminal record history, including sexual assault times two, a sexual assault of a person under 16 years, sexual assault with a weapon, and that that individual is subject to a court order, including not to possess controlled substances, abide by curfew of 9 to 6 a.m., not to possess any weapons. And if you see Mr. Dueck in violation of any of the conditions listed above, you’re supposed to contact your local police agency.
This is just an example, of course, of a type of public notice. I also would note that in 2018, the Parole Board of Canada denied Mr. Dueck’s application for parole, saying there are reasonable grounds to believe that he was likely to commit an event causing death or serious harm to another person. So we’re talking 2018, then 2020 and now in 2024. I’m sure there are many other instances where this individual came into contact with our criminal justice system.
In this instance…. I know yesterday we talked about the need for an investigation. The Premier today, in response to the Leader of the Official Opposition, talked about that again and expressed his displeasure about the situation. But as I look at the gaps, potentially, in our policies, the differences of how this could be strengthened, I see a lot of “shoulds” and not a lot of “musts.”
I wonder. To the Attorney General, does she see the need to strengthen our bail policies in respect of children, victims and potential children victims?
Hon. N. Sharma: I think the Premier said it pretty clearly today in question period. I think all of us feel outraged by the case that the member brings up. That investigation needs to show all of the failures that led to that really tragic event. I think we’re all angry about that. The matter did not involve bail.
The member asked me very specifically whether I think that bail policy should be strengthened. I am always looking at our bail. I think that the record has showed that as we lead the way to strengthen our bail policies for repeat violent offenders, to add parts of it — intimate partner violence. We’re always looking to see which improvements need to be made, whether it’s to the Criminal Code of Canada or the programs and service that we’re investing in. I also take the advice of the B.C. Prosecution Service on that.
M. Lee: In the few minutes that I have left at this point, I just want to turn, come back to an area that we did canvass somewhat in terms of some data indicators.
Just coming back to the Prosecution Service’s annual report. There are the usual tables there, year over year, that have been provided in the past and previous years. And there are helpful tables that set out…. For example, table 2, charge assessment decisions. Table 3, well, another figure, charge assessment durations. And then another table showing concluded prosecutions.
Because I have to compress my questions…. If we look at the trend from the years 2018-19 to 2022-23, we see a downward trend. For example, 72,000 or so charge assessment decisions in 2018-19 to 56,000 or so charge assessment decisions in 2022-23. It’s similar in terms of concluded prosecutions, for example, a decrease, a declining trend, as well, of 60,253 in 2018-2019 to 42,531 in 2022-2023.
That’s the first part of the question. Can she make a comment as to why there has been a decrease in both charge assessment decisions and concluded prosecutions in the midst of the need to continually focus on what is happening regarding public safety for British Columbians?
Then secondly, in terms of charge assessment durations, there has been an increasing trend in the number of days to complete types of charge assessments. So the length of time is increasing. We talked earlier to try and get at some of that, and I did ask questions about time and timeliness yesterday as well. But if I could ask the Attorney General also to comment on why the charge assessment duration has increased if you look at the general trend over the years 2018 to 2023.
Hon. N. Sharma: The member asked a few questions, so I’m going to try to take him through the data that he was referring to and the reasons behind it.
The first one was for charge assessments and the reduction in charge assessments in 2019 to 2022-23. For that, I would refer him to figure 1, which is on page 9 of the annual report that he was talking about. The reason for that is just an overall decrease in volume with respect to the reports to Crown counsel. And you can see in that chart the declining trend related to that. That would feed into the upstream side of that, which was the charge assessment.
Then the second part of that question that I think he asked was related to concluded prosecutions. The reason related to that would be the similar reason as to figure 1 that I pointed to related to the drop in the reports to Crown counsel that would lead into the upstream decline in both the charge assessments and the concluded prosecutions. So those are the reasons for that question.
He asked a second question related to the increasing trend in the days to complete the type of charge assessment. The question was in the context of our timeliness of overall court processes and proceedings. I’ll just say there are a few reasons for that.
One of them is, as I mentioned, that there’s a reduction in less serious offences. But the complexity of the cases overall that have come to Crown counsel has increased, so that has left a longer time for Crown counsel, related to the proper job they need to do to make their charge assessment, related to the complexity of the types of crimes that are coming forward.
There’s also another reason to that. We talked at length last time about Jordan stays and the lots of work. I think I listed in detail all of the work that we’re doing with respect to making sure that trials are done in a timely manner but also that they are done in accordance with the law.
The Crown counsel — part of their changes is to make sure that they do not approve charges unless they’re sure that it’s ready to prosecute. So in that manner, they’re able to abide by the timelines that are set out and make sure that there is a reduction in Jordan stays in the overall process.
It’s part of the continual work that Crown counsel and all of our team in the justice system does to make sure that trials are done in a timely way and that we’re abiding by the timelines, whether it’s Provincial Court or the superior court, of 18 months or 30 months depending on the matter.
M. Lee: The trend lines, to the extent that RCCs in table 1 are decreasing for the similar period and to the impact that the Attorney General is suggesting on charge assessment decisions and concluded prosecutions…. Does the Attorney General evaluate, as well, in terms of the linkage between all of these things, in terms of the ability to actually go through with the charge assessments, in terms of the percentage that where there has been no charge, or the impact that has, where charge assessment and concluded prosecutions — how they’re dealt with — versus the impact that they have on RCCs?
Is there a linkage there that the Attorney General sees that actually has led to a decrease in RCCs themselves?
Hon. N. Sharma: I’m afraid I’m going to have to ask the member to maybe rephrase the question or give us more information about what specific information he’s asking, or linkages. I think we need some more.
M. Lee: It’s a larger question, I do appreciate. I’m just trying to identify whether there’s been any analysis by the Ministry of Attorney General in looking at any potential linkage to why there has been a decrease in RCCs, from an Attorney General point of view. Is it in any way linked to the fact that there have been fewer charge assessments and concluded prosecutions? That is, there are fewer RCCs coming forward because there haven’t been as many charge assessments themselves, meaning there’s a correlation there.
The question is what causes what here. If the Attorney General has looked at that possibility, that it’s actually the other way around…. The fact that charge assessments are declining year over year and prosecutions concluded are declining year over year — is that causing the number of RCCs to actually decline as well?
Hon. N. Sharma: To the member’s questions, no, we have not done any analysis at the AG’s office with respect to the member’s question.
M. Lee: I understand that I have been provided with additional time in the estimates process. That is something that I’ve just been informed. I will continue on.
The House Leaders can…. I presume the official opposition House Leader has discussed this with the Government House Leader and the House Leaders for the Third Party and Fourth Party and the independent who’s sitting here patiently waiting. I understand that I have up to an hour now at this juncture. Keeping that in mind, I’d like to continue on with my questioning here.
It was recently announced, just a few minutes ago, that the former Minister of Post-Secondary and Future Skills, the member for Coquitlam-Maillardville, has announced that she will now sit as an independent and depart the government caucus.
She has raised, in her comments just now, comments relating to her concerns about how the government has failed in addressing her concerns, as expressed by myself and others, relating to the significant and concerning rise of antisemitism in our province.
First of all, I’d like to….
This does go, Madam Chair, to the very heart of my discussions with the Attorney General in the past two days — yesterday, at length, in terms of the government’s response, and today as I ask questions relating to even the IHRA definition of antisemitism. The Attorney General could not name any specific measure or step that was taken in order to adopt and implement the IHRA definition of antisemitism in this province since the former Premier communicated that.
Can I ask…? I understand, based on the public comment now of the member for Coquitlam-Maillardville, that she had expressed concerns to the Attorney General directly relating how to address antisemitism in our province. What were the concerns that were expressed, and why weren’t they met?
The Chair: At this time, I will call a five-minute recess. We will reconvene at 3:50, please. Thank you.
The committee recessed from 3:45 p.m. to 3:50 p.m.
[S. Chant in the chair.]
The Chair: Thank you very much to everybody for being prompt and getting back. I call Committee of Supply, Section A, back to order. We are currently considering the budget estimates of the Ministry of Attorney General.
Hon. N. Sharma: It’s a sad day and a sad time. I just want to say that I have a lot of respect for the MLA for Coquitlam-Maillardville. I know that she’s hurting right now.
I want to say pretty clearly that antisemitism in this province is wrong, and that this government needs to do everything we can, and will continue to do everything we can, to combat that in this province.
Selina’s been a strong advocate for the Jewish community. Every time she spoke to me about what the community was feeling or what was happening, I took it very seriously, along with my team and I know everybody in this government. We’ll continue to focus on taking action against antisemitism in this province.
M. Lee: I know the MLA for Coquitlam-Maillardville, when I see her statements made just in the last hour, that she does refer to the concerns that she’s continued to have. Some of these concerns we’ve spoken to in the House, in various statements, at various gatherings.
I would say that I share the regret that the Attorney General has that it has come to this for the member for Coquitlam-Maillardville. She has sacrificed a lot in public service and played a very important role in this current government, both as a Minister of Finance and a Minister of Post-Secondary and Future Skills.
She obviously attempted, in many ways, to address the current concerns affecting Jewish peoples in our province, and the fact that many British Columbians see how the Jewish community has been left to fend for themselves, despite the good statements, despite the statements of action and some of the measures that we’ve talked about here in estimates in the last day or two.
The reason why this is so important is because…. Of the five hours or so that I was provided to address the Attorney General in this budget estimate, I’ve probably spent about 90 to 105 minutes addressing this. As we are in this process, we’ve now had this very significant step that has been taken by the MLA for Coquitlam-Maillardville. It raises a lot of concerns. I think it’s important that we provide the opportunity to the Attorney General, as this now is breaking across many channels and out into the community.
I had myself a meeting that had been set up for 3:30 that I’ve had to reschedule with women in the Jewish community. One of these women wanted guidance and input as to how to continue to address their concerns about antisemitism in our province.
When I attended the rally on Sunday at Jack Poole Plaza in Vancouver, this particular leader, on International Women’s Day, talked about the member for Coquitlam-Maillardville and talked about how she was treated by the Premier and this government. This was in front of hundreds of people in Vancouver. This is a continued question that needs to be addressed.
I know that the Attorney General and the role that she plays needs to make the most of this opportunity to address so that the public can understand and the members of the Jewish community as well as to the concerns that the member for Coquitlam-Maillardville, now having departed the government caucus to sit as an independent in this Legislative Assembly, which is a very serious step…. She has now come and said to the public through the media all of her concerns.
I do think it’s very important, given the way this has been handled, the way this has unfolded over the last number of weeks. I know that the opportunity for this government to start to repair and explain what happened here…. This is, in real time, as they say, an opportunity to do that. I hope and I would encourage the Attorney General to take my questions in that vein.
Also recognize, as I said earlier, this does go to the very heart of how this government and the Premier and the Attorney General is addressing the significant concerns about antisemitism in our province. The member for Coquitlam-Maillardville, as an independent, has now shared with the public her concerns, which relate to this government as to how it’s been handling and addressing antisemitism in our province.
With that in mind, I understand that the Attorney General’s former colleague, the MLA for Coquitlam-Maillardville, says that there are “antisemitic voices in the NDP caucus.” What is the Attorney General doing to address this issue?
Hon. N. Sharma: I want to take this opportunity to say to the Jewish community of this province, on my behalf and the work that we do in this Office of Attorney General, that antisemitism is wrong, and we will do everything we can to listen to the community and combat it in every form that it shows up in this province.
I find myself being very sad at the news that happened this estimate. I have a lot of respect for the MLA for Coquitlam-Maillardville and her ability to advocate for change for people of this province and to represent the voices of the Jewish community and the things that are important to her. I’ll continue to have respect for her.
I have regret, also, that we’ve come to this state. I want to assure people of the Jewish community that, as a government, we are committed to the work that we’re doing, and we will work in partnership with them to ensure that we can get rid of antisemitism in this province.
M. Lee: Thank you to the Attorney General for that response.
In terms of the work, which again we have been discussing, but in light of the MLA for Coquitlam-Maillardville’s public statements…. The MLA for Coquitlam-Maillardville, her former colleague, said that the Premier did not support mandatory anti-Islamophobia and antisemitic training for caucus. Will the Attorney General advocate for this type of training?
Hon. N. Sharma: Although I have not been privy to the conversations between the Premier and the MLA for Coquitlam-Maillardville, it is very important, I think everybody can agree, for elected officials to understand and to have the level of appreciation of how things like Islamophobia and antisemitism show up for people.
We’re continuing as a government to do the work, to understand, not only personally, but also to take the commitments that we have to getting rid of these, not only in our systems, through the data act and the work that we’ve done, but also in our communities.
[M. Dykeman in the chair.]
M. Lee: Is there money in the budget for this type of mandatory training?
Hon. N. Sharma: There is money in the budget of the AG to continue our anti-racism work. I am not privy to the budget of caucus, and I don’t think that’s a subject of these estimates.
M. Lee: Speaking about the anti-racism work of the Ministry of Attorney General…. Certainly again, we’ve talked about some of the initiatives, and I do understand them. But I must say that I want to give the Attorney General an opportunity to respond to her former colleague, the MLA for Coquitlam-Maillardville, who also made this statement: “I asked the Attorney General, who is responsible for the anti-racism plan, what work she’s doing in terms of an overall plan, and she really didn’t have one.”
Again I’m providing an opportunity for the Attorney General to address these very concerning comments by the member for Coquitlam-Maillardville. How does the Attorney General respond to the claim that there isn’t a comprehensive plan to combat racism and antisemitism?
Hon. N. Sharma: I have to very respectfully disagree categorically with those comments. Not only does the government have a plan when it comes to anti-racism; we are North American–leading in the work that we’re doing to combat racism in this province. The Anti-Racism Data Act is the first of its kind in North America that’s collecting race-based data, including things like Jewish identity that will come through that data, which will help us understand the differences in our services.
Following up on that, I’m introducing, in the spring, leading legislation when it comes to removing systemic racism in all of our services. We’re funding a Resilience B.C. network. That’s organizations across this province that are combatting hate and racism in their areas, and that includes Jewish organizations.
We are standing up a racist incident help line that’s a first of its kind. It’s a resource for people to report incidents of hate and racism of their experiences. For the first ever, we’ll be able to track that and understand how we respond. We have dedicated resources, and I know PSSG would be happy to talk about it. This budget puts in $3.226 million for that work and $1.2 million for the implementation of the anti-racism act that’s coming up this spring.
M. Lee: The member for Coquitlam-Maillardville clearly, in her comments, expressed that she has felt let down by the lack of support from the government and the party leadership in addressing antisemitism. I heard the Attorney General’s response.
For example, in terms of the kind of culture that has been relayed by the member for Coquitlam-Maillardville, I’d ask the Attorney General…. There is an example, of course, for the local riding association for Surrey–White Rock, for the NDP party, that…. In November, there was a post that was on the website of this riding association for Surrey–White Rock relating to the reinstatement of the Ontario NDP MPP member Sarah Jama, who had been expelled from that NDP caucus in Ontario based on her inflammatory and offensive statements relating to the Hamas terrorist attack.
I ask the Attorney General: why was it the case that that posting was up and allowed to stay up within this NDP party for months, despite the concerns around antisemitism that the Premier and the Attorney General have expressed?
Hon. N. Sharma: I have no knowledge of this posting, nor do I have a comment related to that posting.
M. Lee: I’m surprised at that response. This is a posting that was within the NDP riding association website for Surrey–White Rock for months, from November until this year. It crossed all these months, and nobody within the NDP party seemed to ask or request that that post be struck down or taken down.
This is another indication of what the member for Coquitlam-Maillardville is talking about when she talks about the fact that there is a significant lack of support within the NDP government and the party leadership when it comes to dealing with antisemitism. The member for Coquitlam-Maillardville has said that she has felt that she is the only voice speaking against antisemitism and hatred, and that there have been significant challenges, with a double standard in how antisemitic comments and actions are being handled within the party.
In view of the member’s concern, can the Attorney General address what ways, what concrete actions, the Attorney General will be taking to address these issues?
Hon. N. Sharma: I think I’ve mentioned already that I take the comments from the MLA for Coquitlam-Maillardville very seriously. I have not read the letter, as I’ve been in estimates, but I want to assure the people of this province that not only I, but every member of our caucus, take speaking out against antisemitism very seriously.
I’ve had a chance, through the course of estimates, to list the concrete actions that we have taken as a government. Whether it’s mandatory Holocaust programming in all our schools in this province, whether it’s a security grant that will go to help religious institutions like synagogues get the support they need to protect themselves or whether it’s standing up resources on the enforcement side, we have been there to step up to help the community and many communities face the hate that they’re experiencing.
M. Lee: The feelings that the member for Coquitlam-Maillardville has expressed relating to a double standard, feeling let down or being the only voice speaking out against antisemitism and hatred within the NDP caucus, are quite revealing of a challenge as to how we continue to build the kind of efforts to ensure that members of British Columbia communities, including the Jewish community, don’t feel marginalized by what has happened here.
Again to the Attorney General, what are her thoughts on how to address and rebuild the level of trust with members, like the member for Coquitlam-Maillardville, in other communities who are feeling quite marginalized and ignored by this government?
Hon. N. Sharma: Again, I want to say clearly today that antisemitism in this province is wrong, and we all need to do what we can to combat it.
I do deeply regret the MLA for Coquitlam-Maillardville’s…. I know it’s a sad day, what’s been happening with the announcement. I haven’t read the contents of the letter, but I will assure people that I take her words very seriously and will do that.
I know the Premier is meeting with members of the Jewish community shortly. We’ll continue to keep the dialogue open. I know there are a lot of people out there that are hurting from the rise of hate and antisemitism. And it’s something that we as a government need to constantly listen and hear and figure out what we need to do to combat.
M. Lee: I want to just say this to further underline the point. When I talked earlier about the posting relating to the Ontario NDP MPP Sarah Jama, that was not only just on the riding association website for the Surrey–White Rock NDP Riding Association but also the provincial party website for the NDP. So it is very surprising that, given the focus that the government says it has on antisemitism, its own party website would allow that post to be up from November for months.
But having said all that, I just want to conclude by saying that this is a very disappointing day in the Legislative Assembly. I know that the member for Coquitlam-Maillardville, in taking this very tough decision…. She’s been through hell, and we know that that has continued.
I had the opportunity to recognize her efforts, within a few weeks of the Hamas terrorist attack, in the chamber. But we know the amount of social media attack that has been directed to her — that it’s taken its toll, obviously. I hope that she will get the time she needs as she continues in the work to represent her riding of Coquitlam-Maillardville.
I also recognize that this government has a significant challenge in front of it. In the way that it handled…. The way the Premier dismissed the member for Coquitlam-Maillardville from her ministerial role was unacceptable, to treat a person who apologized without reservation, and that it did it again at length over the weekend and into a Monday.
The double standard that the member for Coquitlam-Maillardville speaks to is very clear within this leadership of this Premier. This demonstrates the kind of individual and leadership style of a person who, quite frankly, can’t be trusted. And this demonstration of this member’s withdrawal from the NDP caucus is only a demonstration of that, regrettably.
I hope the efforts that the Attorney General speaks to — that they stay true. The pattern of leadership, the pattern of the way that this caucus has been dealing with each other, is very clear.
The Chair: Member, just a reminder that this is Vote….
M. Lee: I will just say that I will conclude my comments, and I’ll turn my remaining time over to my colleague from Kamloops–North Thompson.
P. Milobar: I just have one or two very quick questions for the Attorney General.
The Attorney General had indicated — the question was asked earlier — the budget around antisemitism training. The response from the minister was that there are programs out there, but she wasn’t aware of specifics.
The concerns raised today by the member for Coquitlam-Maillardville…. Keeping in mind that this is a member who’s a former Housing Minister, a former Finance Minister, a former Minister of Advanced Education — very weighty portfolios, representing the Crown within this NDP government — the concerns she raised were very specific.
The answer from the Attorney General was around the population at large and training at large around anti-racism and antisemitic training, but the concerns raised were specific to the NDP, to the NDP staff and to the NDP caucus. By extension, part of that caucus is actually the executive council. The very straightforward question to the minister…. The member from Coquitlam indicated that she had discussed this with the Attorney General and that it fell on deaf ears. There was no action taken.
Based on those conversations, on a new budget being presented and on what has been heard today, what money has been set aside by the Attorney General within her budget to provide that training for her own party, her own staff, NDP staffing, her own caucus and the executive council, as indicated by the member who has just quit the NDP over these same issues?
Hon. N. Sharma: I am a bit confused by the question, because I think the member is asking us to use ministry budget for caucus work.
I’m assuming you would know that would be an improper use.
In our budget is $1.2 million and $3.226 million related to combating hate and putting our anti-racism legislation in place for the people of this province. That’s work that we will continue to do, because we know that it’s a very important issue.
The Chair: Just a reminder to all members to please direct questions to items in the budget.
P. Milobar: I recognize that from the minister’s answer, but again, NDP staff are members of the public at large and, as well, members of the NDP cabinet and the NDP caucus. You have an identified group that a former minister of this Crown, a part of this government up until a few hours ago, indicated as needing directed training, as a group of people that are also decision-makers in our province.
For the minister to say that it would be inappropriate to use funds that are designated and apportioned out to actually provide that type of training for larger groups of people within our communities seems quite remarkable to me, given the allegations that have been levelled today. This government is essentially saying that they have no intention of making sure that there’s any training whatsoever within their own organization, at any level, to ensure that the concerns that have been raised previous to today, and then raised again today, would actually be addressed.
It sounds like, unfortunately, the minister in charge of anti-racism in our province is not going to take any action within her own political party, her own caucus and her own cabinet to address very specific concerns that have been raised by one of her own former colleagues that was a minister of this Crown.
The Chair: Before proceeding, I would just like to remind all members that this committee has been tasked with the consideration of Vote 14, and debate should relate as closely as possible to the specific vote under consideration.
Interjections.
The Chair: Members, we are on Vote 14.
Hon. N. Sharma: I just want to clarify the two different things. We are talking about the Attorney General’s budget. I am not responsible, under the Attorney General’s budget, for training. I am responsible for the anti-racism and anti-hate initiatives for the province of British Columbia.
Members of the province of British Columbia can experience…. The programs that we’re talking about today, that we’re investing in, are about combatting hate and combatting racism for every member of the province of British Columbia.
As the member knows, if he has questions specifically about caucus training or caucus budget related to that, then there’s a separate place for that, but it’s not within this budget.
J. Rustad: I have a number of questions that I need to follow up on with you. I’ve been listening to much of the debate, so I’m going to try not to repeat where some of these issues have gone.
I want to start, first of all, just asking a question about Crown prosecution. In particular…. I think this was asked earlier, but I just need some clarity. Is British Columbia the only province in the country that has the model that we currently have, with Crown prosecution being the review of what cases should go forward and what cases shouldn’t?
Hon. N. Sharma: The answer is no. Quebec, New Brunswick and the federal government have the same system as us with respect to that. Ontario is strongly considering it. For Alberta and Manitoba, for some types of offences, they have a similar system as ours.
I’ll just note that on November 28, 2023, the Steering Committee on Justice Efficiencies and Access to the Justice System recommended a process similar to ours for all jurisdictions.
J. Rustad: It’s interesting when you look at the different models. I was speaking with a number of police officers that talked about other jurisdictions, where they make the decision of bringing forward cases, and then prosecution’s job is to prosecute. That’s why I was asking the question around this. It’s because there is some frustration, I think, that has been expressed, particularly through law enforcement, with regard to the process going through.
Crown prosecution does make decisions — I recognize that it’s independent from the AG’s office — on whether to proceed or not with any particular case coming forward. Could you please explain what the decision process is that they go through in deciding whether a case should go forward or not?
Hon. N. Sharma: This is dealt with in great detail, and I’m told by the head of the B.C. Prosecution Service that it would take a long time to go through everything. But the basic policy that sets out what a Crown counsel will do when making this decision is under the charge assessment standards policy, and that charge assessment standard policy is very detailed and will go through the steps that Crown counsel take when making their assessment.
J. Rustad: Perhaps, along with that…. And I’ll have to go and take a look at that document. Thank you for that. I’m just curious how many cases are brought forward from the police to Crown prosecution, versus how many actually get recommended by Crown prosecution to actually go forward through the system.
Hon. N. Sharma: The B.C. Prosecution Service issues an annual report every year that lays out the statistics. If the member doesn’t have a copy, it’s online, so you can find it there. It goes through statistics.
On page 9, there’s a figure 1 that says the number of reports to Crown counsel received and the accused. Then on page 11, it lays it out. In 2022-23, 76 percent were approved from reports to counsel, approved for charges.
J. Rustad: I’m curious as to how that has changed over time and maybe over the last decade. I don’t know if you’d have that information available or where that information is available online. I’m just wondering, in terms of the percentage of cases going forward, whether or not that has changed dramatically or whether that’s stayed relatively static over time.
Hon. N. Sharma: For the benefit of the member, I’ll read the data that I do have in front of me. I think probably the annual reports before would have older data. In 2018-2019, it was 82 percent; in 2019-2020, it was 80 percent; in 2020-21, it was 74 percent; in 2021-22, 76 percent; and 2022-23, 76 percent. It stayed pretty stable.
J. Rustad: I’m just also curious. Like I say, I’ll have to go and look at the charge assessment process in terms of all those requirements deciding on it. In terms of making a decision about a case going forward, my understanding is it’s obviously around the likelihood of conviction as well as the timeliness in terms of being able to move through the courts. I’m wondering if the minister could confirm that the amount of time available within the courts is one of the factors as to Crown prosecution as to whether they proceed with the case or not.
Hon. N. Sharma: I think the question was the amount of court capacity, whether that was a consideration in the charge assessment, and the answer to that is no.
J. Rustad: The reason I’m asking is I’ve heard of a number of cases, of course, that cannot get through the system in a timely way and get dismissed. I know that there’s different severity of cases and some obviously taking lots of time, some taking less time in terms of going through in the courts.
The reason for asking the question is the concern that you may end up with cases that are prominent of course getting priority for obvious reasons, but other cases being dropped because there isn’t time within the court case. So that’s why I was asking about whether or not that is a factor associated with Crown prosecution going ahead.
To that extent, perhaps the minister could let us know here: do we have a full complement of judges, or are we short judges? What’s the issue or what are the decisions around filling empty judge positions in B.C.?
Hon. N. Sharma: The province has jurisdiction over the appointment — of course, working with the chief judge — of the provincial court level. But the Supreme Court and the Court of Appeal is a federal appointment.
With respect to the provincial court, we’ve been stable for the last few years. I’m in constant communication with the chief judge about the needs of the court and the levels of appointment.
In the Supreme Court, we have seven vacancies right now. I’ve been advocating pretty strongly with the Minister of Justice, federally, for more appointments. I’m pleased that recently there are five new appointments. So we used to have more vacancies at the Supreme Court level. Now we’re down to seven, but we still need to fill those seven. It’s an important thing for access to justice. And at the Court of Appeal, we have three vacancies.
J. Rustad: I’d heard a number that we were short 16 judges. That’s why I was just wondering whether or not there is…. Particularly at the provincial level, obviously, there’s nothing we can do, and I appreciate your advocacy at the federal level for what’s needed.
I’m just curious, in terms of that complement that we have…. The concern, of course, is that the timeliness and the ability to be able to move through cases is obviously critical.
Can you confirm that? Do we have shortages in terms of the capacity that we need within British Columbia for our provincial jurisdiction cases?
Hon. N. Sharma: Just to the member’s question, I think it’s an important thing about our obligation to make sure that trials are happening in a timely way. I believe the vacancies he was mentioning were on the Supreme Court level, with the 16. I think we’re at seven right now, I mentioned.
With respect to the provincial court judges, we have 139 provincial court judges. In my view, that’s stable, but I’m always in communication with the chief judge of the provincial court to make sure so that she can raise concerns with me if we need more. And appointments go through pretty regularly with respect to that.
There are important questions about timeliness and access to justice, and we’re making a lot of investments with respect to that. You’ll see in the budget a whole bunch of initiatives that are about court modernization and taking out matters, hopefully helping them get to resolution before they need court time and investing in technology to make sure things are streamlined. We’ve done a lot of that work, because I think it’s part of the work that we need to do to keep trials going on time.
J. Rustad: That’s good to hear, in terms of the investment process that needs to go….
I know that it was an interesting trial when we were going through COVID. Trial may not be the right word, but interesting process as we were going through COVID. In terms of the efficiencies that happened in the system, that seems to have bogged down again since that period of time. So it’s interesting that….
Just maybe one or two more questions, and just back to the Crown prosecution a little bit, in terms of the complement of people within Crown prosecution that’s obviously proceeding and pushing things forward. How many people are currently in the system, whether or not there are vacancies there? And how that compares to what it was perhaps a decade ago.
Hon. N. Sharma: We have 534 Crown counsel, and that’s gone up significantly in the last…. I think the member asked for over a decade, in terms of just numbers and positions.
We also last year had one of the largest drives of hiring. The B.C. Crown Prosecution Service set out a call for 40 new personnel, and I think that was one of the largest drives.
J. Rustad: Perhaps just one related question to that. That is…. We got to the percentage of cases that go forward. I’d be interested to know that.
You may have answered. This may have been asked before, and I’m sorry if I missed it. I’m just wondering about the number of cases that are going forward now versus, perhaps, a decade ago.
Hon. N. Sharma: It’s also in the annual report that I was referring to earlier that the member can find online, but I’m happy to give him the data here.
I’m going to take it as when charge assessment decisions have been made, because that means it’s going forward to court. In 2018-2019: 72,620. Then the latest data, 2022-2023, it was 56,583. I have the years in between if the member wants me to read them as well.
J. Rustad: I appreciate that. Thank you to the minister. I will have a look at that. I’m sure that’s online. I’ll be able to get a chance to look at it.
I guess the last question. Obviously, there’s a drop, in terms of the number of cases over time, that has happened. I’m just curious. Obviously, there are differences in complexity in the issues that come forward and that take up more time, but perhaps the minister could provide an explanation as to why there was such a significant drop in the number of cases being processed with an increase in staff.
Hon. N. Sharma: As the member noted correctly, the complexity of the cases has gone up over time with respect to that. But the reason for the change in numbers is related to the decrease in the reports to Crown counsel. That’s the document the police hand over to the Crown counsel once they’ve done their investigation and made their determination. That has gone down over time. That’s on figure 1 on page 9 of the annual report. It shows that trend.
J. Rustad: There are many other questions to ask, but I know you’ve gone a long time in this, so I just want to appreciate and say thank you for the time to be able to ask a few questions.
With that, I’ll conclude.
A. Walker: Most of my questions have been addressed with the responses for the member for Vancouver-Langara and the Leader of the Third Party.
Speaking to an initiative in the city of Nanaimo which has had positive impacts so far, I understand, the repeat violent offending intervention initiative, I’m wondering, for the city of Nanaimo, what the progress has been since that initiative was launched and what impact there has been. I know the minister provided a couple of examples from other communities. I’m not sure if there’s one for the city of Nanaimo as well, but I’m looking forward to the minister’s response.
Hon. N. Sharma: I want to thank the member for the question.
I think the ReVOII program…. The capacity for the Nanaimo team is 45, and they are at 41 right now in terms of referrals of repeat violent offenders into that program. That means that those 41 people have that dedicated team of probation, police officer and Crown counsel to deal with them through the system.
It’s something that we’re tracking. We’re still early days in terms of overall data, but the member can expect at some point for there to be a release of the data in progress. Most of that is held by the Minister of Public Safety. If the member wants to ask the minister their questions, I’m sure he can get an answer.
A. Walker: Of course, a lot of these initiatives will overlap with other ministries, so I appreciate the response.
In the service plan, in the financial summary, it provided some breakdown of various different initiatives. I noticed the Indigenous justice secretariat did not get a budget lift, whereas many of the other aspects in the financial summary did. I’m just wondering what progress has been made to date through that secretariat.
We obviously know there’s an overrepresentation of Indigenous people in our justice system, and there’s some good work underway. I’m just looking for an update on that secretariat’s work and then why they did not see a lift.
Hon. N. Sharma: I want to thank the member for the question. It gives me an opportunity to explain just kind of how the budget works with the programming.
We felt like it was important when we did the Indigenous justice strategy to have an Indigenous-led program. Not only do we have a great team, with the Indigenous justice secretariat within the ministry — and I have Colleen here, who leads it and is fabulous — but we have given $19 million to the First Nations Justice Council to oversee the implementation of the strategy.
As the member pointed out, in terms of the secretariat, which supports them within the ministry, one needs to look at the investment that goes to the justice council.
Through that, they are working on a whole bunch of initiatives. One will be the nine Indigenous justice centres that are operating across the province, including one in Nanaimo. Those have been stood up and led by the justice council. So the money has flowed through to them. Then it was…. We provided $10 million the year before for them to do more community, I guess, capacity related to implementation.
With respect to the strategies, there are 25 strategies in our plan. We’re actively working on four, five, six — I’m just naming the strategies — 15, 16, 17, 22 and ten, 11 and 20. They’re at different stages of development.
It’s very complicated in terms of what needs to happen, but there are two tracks. One is to lessen the impact of the current justice system on Indigenous people, and the second is to uplift Indigenous legal orders, which is the long-term goal.
The justice centres are really going to be the hub for providing real-time supports for Indigenous people that are encountering the justice system, with trained lawyers and legal support services to get them the supports they need, including Gladue report writing. So that’s kind of the front line of the investments.
A. Walker: I know it’s important work, and I’m happy to see that that work is continuing.
We heard earlier, yesterday, about the importance of modernizing the justice system, streamlining processes and bringing some of the wait times down. I didn’t…. I may have missed it, some of the discussion around the family law modernization process. I have heard from a number of activists…. Advocates, not activists.
Interjections.
A. Walker: Yeah, I mean, it overlaps. There’s a Venn diagram for sure.
It’s about some significant challenges, and some of them have spoken with the minister on this. Looking through some of the previous engagement, it’s noted, at least for me, that it appears to have a fairly low participation rate. I’m just wondering what work is underway to ensure that, as this modernization continues, there is a sort of fulsome process where as many of those who have been impacted by the family law system are included in that process.
I guess, what work is underway and what is being done to try to include more of those voices that need to be represented?
Hon. N. Sharma: I think this is a very important question.
We’re doing a lot of investments in the family law process. If you think about what happens when somebody’s encountering a family law dispute, it’s usually a highly traumatizing, very complicated and high-emotion process. I think the member did raise a good point about making sure people know about the resources that are out there. What we’re doing with respect to investing in the process is adding early resolution process, and you can see that in the budget.
So just to explain it a little bit, there were two pilots that were set up, in Victoria and Surrey, for an early resolution process. They worked with the chief judge. What it was…. It was a free resource for families to get legal information to drive resolution of disputes, so they didn’t have to go to the court system. The goal is to lessen the trauma associated with that process.
The pilot that happened in Victoria and Surrey really was focused on getting people in to use those resources. And what we found was a very, very high resolution rate. I think it was in the 80s in Surrey, or something, and it was very high in Victoria. So we just know that that intervention is helping people resolve family law disputes.
We’re expanding that, through this budget, across the province, and I think that will drive people towards accessing the resources.
Plus, we’ve put an infusion of money into the family law legal aid system. With that money, up to 4,500 more people will be able to access family law legal aid for their disputes. The inequities that can sometimes happen, where one side is represented and the other side isn’t, will be lessened, especially for the most vulnerable people.
A. Walker: We hear through our MLA offices, often, about people who have been revictimized through the process, and then again those inequities. So that’s very good to hear.
Going through the service plan, I noticed that there was a mention of a response to call to action 57 from the Truth and Reconciliation Commission actions. Many of the calls to action were pointed to the province but also pointed to our justice system. I don’t expect a full list right now, but perhaps the minister could provide a letter with this.
I’m intrigued to know how many of the calls to action have been identified by the ministry as falling within their bailiwick and how many are currently being actioned, how many have been actioned, as we can see progress, moving forward, to answer these calls to action.
Hon. N. Sharma: I just want to thank the member for the good question.
The way we’ve taken the calls to action from the TRC into account for justice, the AG’s ministry, is really through a real focus on how we’re aligning our justice strategy with those calls to action.
I’ll just give an example. One of the calls to action is No. 30, which calls for immediately reducing the overrepresentation of Indigenous people in custody. That is a large part of the 25 recommendations under our justice strategy, the targeted ways that we do that.
There are other ones, like reducing the number of Aboriginal children in care. We’re doing a youth justice strategy specifically for that.
Alternatives to prison. One of the things we’re working on with the justice council is finding those culturally appropriate alternatives to imprisonment. I talked about Indigenous youth in custody.
Implementing Indigenous justice systems. That’s another call to action. That is something that is our second tier of our justice strategy. We’re working on it with nations, and it’s showing up in different ways about how they want to pursue that. It’s actively being worked on.
Provide education to public servants about the history of Aboriginal people, the cultural training. I know with my ministry, all of our lawyers have done very deep cultural training when it comes to the history of Indigenous people in the province.
A. Walker: It’s important work. I would encourage the minister to put a list out there, because as you go through online and look these things up, there’s not a lot of credit given to the provincial government for the work that is being done right now, which will have tremendous positive impact on not just Indigenous people but all people of this province.
It’s always a trick when you have an estimates process and 15 minutes to ask a minister questions, especially one with so many different agencies and underlings.
I want to end on the Human Rights Tribunal, just looking for…. It’s such an important agency that does incredible work. I’m just wondering, as far as the timelines of cases being heard and the backlog, if the minister can provide a bit of an update of where we’re at today and where we’re going.
Hon. N. Sharma: Yeah, that’s very important. The Human Rights Tribunal has been tasked with such an important role in our province. And like a lot of tribunals like that in other jurisdictions, COVID hit with a whole slew of cases.
I meet regularly with the chair of that tribunal, and we’ve given an infusion of resources to them to help to deal with the backlog, to help to get to the point of what is now their new normal, which is interesting. I think one of the reasons that the chair says to me that they think there’s a new normal of higher cases is because we’re a government that focuses on human rights. So that necessarily raises the profile of human rights issues in the province.
They are probably going to settle at a higher normal number of caseloads per year, so I’m actively kind of monitoring that. But the chair has a really good plan with the resources we’ve given her to try to deal with super users, which are the people that do multiple complaints at a time; to triage the COVID ones, the COVID backlog, to get through them, and she’s making progress on that; and to streamline their processes so they can get back to faster resolutions.
One of them that she’s seeing really a lot of success in is mediation — I guess, when the effort towards mediation helps to resolve a lot of the cases. So it’s a work in progress when it comes to that, but we’re committed to giving her the resources to do the work and the tribunal to have the timely decisions. But certainly, COVID presented a big challenge in terms of number of cases.
A. Walker: It’s probably a testament to the fact that people feel safe to bring complaints forward, which is I think something that the minister could be proud of. The fact that people feel safe to do that is important, and I think that goes a long way. The challenge will be if there are delays, and that obviously works the opposite way.
I just want to take my last moment to thank the minister and her staff for the incredible work they’re doing and the open and candid conversation we had here today.
The Chair: Seeing no further questions, I ask the minister if they would like to make any closing remarks.
Hon. N. Sharma: Just in closing, I want to thank the great team I have at AG for helping me today and yesterday and all the work that they do day in and day out for the justice system in the province.
I just want to say a special shout-out to the head of our B.C. Prosecution Service, who I think is very thankful this is his last estimates. He’s served in his position very well, and I’ve really respected our relationship and enjoyed working with him.
The Chair: Seeing no further questions, I will now call the vote.
Vote 14: ministry operations, $729,324,000 — approved.
Vote 15: judiciary, $110,671,000 — approved.
Vote 16: Crown Proceeding Act, $24,500,000 — approved.
Vote 17: independent investigations office, $12,428,000 — approved.
The Chair: The committee now will take a 15-minute recess while we prepare for the next ministry.
The committee recessed from 5:09 p.m. to 5:21 p.m.
[M. Dykeman in the chair.]
ESTIMATES: MINISTRY OF
CITIZENS’
SERVICES
The Chair: Thank you, everybody. I call Committee of Supply, Section A, back to order. We’re meeting today to consider the budget estimates for the Ministry of Citizens’ Services.
I now recognize the minister to move the vote.
On Vote 19: ministry operations, $705,277,000.
The Chair: Minister, do you have any opening remarks?
Hon. G. Chow: Yes, I do.
I’m honoured to be here on the territory of the lək̓ʷəŋən-speaking peoples, known today as the Songhees and Esquimalt Nations.
I would like to introduce the Citizens’ Services team here with me today. I appreciate my leadership team and all that they do to help our ministry deliver the services that people in British Columbia count on.
With me here today are Shauna Brouwer, deputy minister; CJ Ritchie, associate deputy minister of the office of the chief information officer; Holly Cairns, assistant deputy minister of the corporate services division; Hayden Lansdell, assistant deputy minister of the B.C. data service; and Charmaine Lowe, assistant deputy minister of the corporate information and records management office.
I’m honoured to have been named by the Premier as the Minister of Citizens’ Services. The work being done at Citizens’ Services touches the life of every person in British Columbia when they access government services online. Through Service B.C., people can access over 300 government services, in 65 offices around the province, online, over the phone and now through a new mobile service centre.
My ministry’s connectivity division is working with the government of Canada and Internet service providers to build critical infrastructure for high-speed Internet and cellular connectivity so that people can thrive.
On Monday, I participated in an announcement with the federal government about connecting homes in over 7,500 households throughout B.C. Our investment will ensure that people and communities have the connectivity they need to access all the personal and economic opportunities that come with reliable high-speed Internet service. It is our goal to connect all communities in B.C. to high-speed Internet services by 2027.
At Citizens’ Services, we are also committed to building stronger government programs and services so that we can serve British Columbia’s growing population today and for generations to come. Everyone deserves equal access to strong public services.
Long-standing systemic racism and discrimination have shaped the delivery of government programs and services for generations. Our government believes that we must be a leader of change. To be that leader, we need more information about where things are not working.
Last year we launched the B.C. demographic survey, which over 200,000 people filled out. We are using the results to advance research in three priority areas identified by the anti-racism data committee and Indigenous peoples. I’m so pleased, as Minister of Citizens’ Services, to help lead this important work.
The ministry is also responsible for helping government run smoothly, looking after everything from government workstations and office space to procuring government services and overseeing information management. I want to thank everyone working in our ministry for all that they do for the people of B.C.
I look forward to our conversation today with the opposition members.
The Chair: I’m now recognizing the member for Kelowna-Mission.
Would you like to make any opening remarks?
R. Merrifield: Yes. Thank you so much, Madam Chair.
I would just echo the minister’s welcome to all of the staff and also echo the importance of Citizens’ Services. Truly, it is one of the few ministries that touches each and every single person — on a daily basis, in some cases — in British Columbia, whether it’s B.C. Bid, which exercises and ensures fairness and rigour, with responsibility for extending taxpayers’ dollars to different construction projects, or whether it’s the B.C. Services Card.
This last summer I had a lot of experience with trying to get people their B.C. Services Card and B.C. services online access as they were fleeing their homes in the middle of evacuations and fires. So I definitely understand firsthand just how real that service is and how it is required.
Then there’s the FOI aspect, which ensures transparency and accountability. That principle of transparency is just fundamental to the functioning of any democratic government. It ensures that the actions and decisions of those in power are made visible and understandable to the public. It fosters an environment of trust and accountability.
As we see ourselves in a season where that trust and accountability have so drastically been eroded when it comes to governments, it’s needed now more than ever. It acts as a safeguard against corruption and inefficiency, enabling citizens to hold their leaders accountable for their actions and policies.
This estimates debate really plays a pivotal role in reinforcing that government transparency. It offers a unique opportunity for a detailed scrutiny of the government’s budget and spending plans and allows both the public and opposition parties to question, understand and assess how public funds are being allocated and used. With Citizens’ Services overseeing FOI as well as being involved and engaged in the process, it’s a dual opportunity for us to see transparency at work within the government.
In engaging in this estimates debate, the government is going to demonstrate its commitment to openness and accountability by providing a transparent account of its fiscal policies and decisions. Hopefully, the ultimate goal of these estimates will be to enhance that public trust.
With that, I’ll conclude my comments and go to my first question. If we could just start with the application fee that the government has imposed. How many staff are there currently resourced to administering this fee, and what are the annual costs associated with that administration of the fee?
Hon. G. Chow: The people who pay the fees usually do it online. There are a few people who pay in cash. Basically, that’s what we have. It’s that staff member who collects the cash fees, but that person also has other duties.
The money we have collected, that $10 fee, is $26,900.
R. Merrifield: The staff member that the minister has mentioned, who is doing other work as well, could the minister give a range? Obviously I don’t want to disclose any private information. Could the minister give a range of what that salary scale would look like and the proportion at which that person would be working on FOI?
Hon. G. Chow: The staff member’s salary is about $54,000 a year, and that staff member would have devoted about 5 to 10 percent of his or her time on this task of collecting the fee. This would be the cash fee, because the others are all done online.
R. Merrifield: Could the minister also elucidate on just what the accounting costs are? Obviously, that’s the person that is receiving the dollars, but they’re not doing the physical accounting, reporting back to the Finance office, etc. Could the minister just give an idea of what the trickle-down effect of the $10 fee is in a dollar figure?
Hon. G. Chow: The payment system is largely automated, and there’s not an accounting reconciliation that’s required. It’s processed under PayBC.
R. Merrifield: Well, surely the minister can’t expect me to believe that out of 2,600 FOI requests, resulting in a $26,009…. I believe it’s what he said. I’m not sure where the $9 comes from on a $10 fee, but that’s regardless. I’m not going to get messed up in math.
But 2,600 different processes, not knowing exactly…. Five to 10 percent of this person’s job is associated with this. They’re taking cash payments. That amount has to be reconciled and has to have checks and balances in place, with further accounting staff.
Is the minister indicating that there is no oversight over this person taking cash into the ministry?
Hon. G. Chow: The reconciliation work is minimal because the cash payment is a very small component. The rest is all done automatically through the software system of PayBC, so there’s minimal work in terms of accounting reconciliation.
Like I said, cash payment is a very, very small amount of this person’s work. I think the figure that I said is that we have collected $26,900.
R. Merrifield: Forgive me. That makes way more sense. I appreciate the minister’s correction on that. So 2,690 would be the total amount of FOI requests.
My question is…. Understood, in terms of the aspect of the minimal amount that is being done in cash. Having said that, there is some amount being done in cash, which means the system has to be in place to allow all of those to be done in cash, if so required. The ministry that is supposed to be overseeing transparency and accountability would surely have a system in place for all of those cash payments to come in and be overseen. Is that not the case?
Hon. G. Chow: The cash payment is very low, with the one or two payments. The rest is, as I said, using the pay system, PayBC. It’s automated, and it’s done by the computer software. So there’s really minimal work.
We estimated that person’s devotion to this task is about 5 to 10 percent of her salary. The rest of the time, she’ll be doing something else.
R. Merrifield: All right. I’m going to assume that there is absolutely zero oversight over this person, that they could just accept the cash contributions as contributions to themselves, if they so chose, which strikes me as incredibly odd. I would say it probably is not the case.
Even in that situation…. I’m going to give the benefit of the doubt and ask the minister if he feels that adding $5,400 of cost, which is what the minister’s number was — $54,000 a year and 5 to 10 percent — to then collect, as the minister just indicated, one or two fees, which would be $20…. Is that justified, to spend taxpayer dollars of $5,400 on a $20 collection?
Hon. G. Chow: I just want to clarify that that’s one to two payments per year. But the purpose of the fee is really to reduce the multiministry requests from a handful of high-volume requesters.
This request has reduced the number from 2,223 in fiscal year 2020-21 to 1,371 in ’21 to ’22, when the application fee was introduced, to 470 now, in ’22-23 fiscal year. So the trend suggests the applicants are making more targeted requests to specific ministries for the information they want rather than submitting broad requests for the same information to many ministries.
We have seen a huge reduction from one or two people who request large information from multiple ministries because of the implementation of the $10 fee. As you know, people who seek personal information do not need to pay a fee.
R. Merrifield: I would disagree with the minister’s assessment that the reasoning behind why they are not applying for more…. Perhaps they just can’t afford to apply for more.
As we know, one of the ones that requests quite a bit is the media. The minister may be new to this position, but surely he’s aware of the government’s reputation. I mean, they were granted the Canadian Association of Journalists Code of Silence Award for Outstanding Achievement in Government Secrecy, making them the least transparent government in Canada.
In light of this new beginning, though, I’d like to ask the minister: how can the government still reconcile the imposition of the $10 FOI application fee when it has not only led to a decrease in FOI requests but also an increase in the average number of days it takes government to respond to those fewer requests?
Hon. G. Chow: Our government is committed to providing timely and helpful FOI services to the people of British Columbia. As I said before, people who are requesting their own personal information pay no fee. Also, Indigenous-governing entities are not required to pay an application fee. The $10 fee for non-personal FOI requests is in line with fees charged in other jurisdictions in Canada.
It is true that we have seen a reduction in the volume of requests from a small number of high-volume requesters, who, prior to the introduction of the application fee, were making a significant number of requests. However, we do not see a meaningful decline in application by members of the general public. The numbers are constant after the introduction of the application fee.
The other thing we did also is that we have now proactively disclosed 15 items to the public, to the journalists. That includes the ministers’ calendars, summary of contracts that we have awarded, notes to ministers of state, notes to deputy ministers, as well as other categories. So we are doing what we need to do in order to make the process open, transparent and equitable.
R. Merrifield: My question was specifically on the increase in average days that it takes the government to respond. The minister has chosen to answer and tell me that they’re releasing all this information. In the same answer, he also indicated that while releasing all this information, the requests from certain entities have gone down while others have stayed steady.
My argument would be that, clearly, the information that’s being released is not necessarily the information that people are wanting or that other entities are wanting.
I would echo the positive note that people are still accessing their own information, but that’s not necessarily what holds a government to account. What holds government to account and how we are positioned within the whole Legislative Assembly is access for all, not just access for persons to have their own information released to them.
I’m going to ask the minister again: how can the government still reconcile the imposition of a $10 FOI application fee, when it has led not only to a decrease in FOI requests but to an increase in the average number of days it takes government to respond to requests at all?
Hon. G. Chow: It appears that the member opposite is referring to the timeliness report published by the OIPC. Now, the report gives only a partial picture of government’s FOI progress. Ministries have made considerable progress on the backlog accumulated during the COVID-19 pandemic and other states of emergency.
Now, the processing time for responding to a FOI request in the ’22-23 fiscal year was significantly impacted by the government’s ongoing commitment to respond to a backlog of overdue requests. This backlog accumulated over a time frame when government was focused on the COVID-19 pandemic and on the state of emergency. The backlog of requests includes a number of large, complex and extremely sensitive personal files from the Ministry of Children and Family Development that span several decades. This focus on closing the most overdue requests resulted in a lower overall timeliness rate of 78 percent for fiscal ’22-23.
Let me explain why that’s the case and how focusing on reducing the backlog — which is the right thing to do: to reduce the backlog — can result in statistics that misrepresent the considerable FOI progress that the government has made. The processing time for responding to a request is not calculated until a request is closed. This means that a focus on closing overdue requests, some of which are overdue by a year or more, will negatively affect the online rate and average processing days for that fiscal year.
Complex requests overdue by more than a year accounted for only 8 percent of FOI responses in fiscal year ’22-23. However, because of the outsized impact that closing these files has on the statistics, it looks as if the average file took 85 days to close. This is not the case — not 85 days. Most files, more than 90 percent, were closed with an average processing time of 38 days. I’m pleased to say that our focus on closing the most overdue files in the year ’22-23 was successful. We reduced the backlog by 38 percent.
I’m also happy to say that in addition to significantly reducing the backlog of requests, we have also improved our overall on-time response rate for this fiscal year. We are currently tracking an on-time response rate of 84 percent for fiscal ’23-24.
R. Merrifield: The report done by the Privacy Commissioner actually acknowledges each one of those. The report is done inside the context of the excuses that were given to the office in each of those scenarios that the minister has just described.
On the impact of COVID-19, I’m quoting from page 15: “Unquestionably, the COVID-19 pandemic impacted government’s response time, at least for a short while. In a small number of cases, ministry resources were literally moved from responding to access requests to working the front lines of the crisis.”
Fully acknowledged.
“In several cases, staff needed time to adjust to remote work.”
Again, acknowledged.
“It was for that reason the commissioner allowed for greater processing time of requests at the outset of the pandemic. However, citizens expect that government will, by now, have made the necessary adjustments to ensure the efficient operation of services, including access to information.”
British Columbians weren’t allowed to stop filing their taxes, even though they went through COVID. No, there was some grace given the very first year, in 2020, and that was it. In 2021, we carried on. The same expectation would be true of government. So with all due respect to the minister, citing COVID-19 and the complexity of requests simply doesn’t hold water, and it didn’t for the Privacy Commissioner.
The minister surely can’t ignore that the most significant achievement of his predecessor on FOI, under her watch, was that the average number of days taken by government to respond to access requests reached its highest point in 13 years.
Will the minister admit that the imposition of the application fee did not have the desired effect and in fact did not lower response times whatsoever?
Hon. G. Chow: As I said to the member, this government is committed to transparency and openness and to providing people with the information they need, in a timely manner. That’s why we have dedicated time and resources to improving the freedom-of-information requests.
When I became minister, I actually increased the number of proactive disclosures by two categories. So now there are more than just 15.
We have increased the number of proactive disclosures by 88 percent, reduced the backlog by closing 38 percent of overdue files and increased the timeliness of responses, including an 84 percent on-time completion rate this fiscal year.
We have made progress. We have also added, in our budget, $7.7 million in improving our FOI process and system. We have added 20 staff to the Ministry of Children and Family Development to help them to answer all the requests from the public.
R. Merrifield: I’m really glad that the minister mentioned the Ministry of Children and Family Development, because that’s one of the ones that does get some very complex requests. As noted by the information in the report, the statistics bear out the challenges that the government described in processing requests at MCFD.
But on page 16: “However, we are long past the point of being surprised by these issues. People seeking information from the ministry are often going through some of the most difficult and traumatic experiences of their lives. Where operational demands have increased, and that increase is clearly sustained, it is incumbent upon government to address the challenge.”
I’m hearing right now from the minister that this challenge has been suddenly addressed. So even if I assume, by the minister’s answer, that this is true, why did it take seven years for the ministry to actually respond to this level of requests?
Hon. G. Chow: We as government have made a conscious decision to process a backlog of personal requests, knowing it would impact timeliness.
This reduction in the government requests has freed up resources to focus on processing requests from individuals — members of the public, many of whom are waiting to receive their own personal information, such as requests to the Ministry of Children and Family Development — rather than disproportionately serving one or two high-volume applicants.
Also, the number of FOI requests has decreased in recent years, but the total number of pages that we have to deal with has increased. The complexity and the volume of material has increased. For example, in ’22-23, over 2½ million pages were processed under FOI. That’s an increase of 28 percent in terms of pages over ’21-22 and an increase of 58 percent from the 2019 to 2020 baseline.
I think we’re processing more pages, more complex, and that has led to our decision to reduce the backlog so that more of the personal requests can be answered by us, by the government.
R. Merrifield: All right. I did not understand what the minister just said. I’ll repeat what I heard, in the interest of trying to really drill down.
What I heard the minister say was that a specific and very intentional shift occurred from those that were requesting outside of, I think it’s called, the general received category. A specific shift away from the general received towards the personal received was made so that the personal received could actually be answered. In doing so, there was a backlog that was created. That backlog was there because the personal requests were deemed as a priority.
Did I understand that correctly?
Hon. G. Chow: To clarify it for the members, we have made a conscious decision to clear the MCFD individual requests because there is such a huge backlog. We have partnered with MCFD, for the last three years, to clear the backlog of personal requests. MCFD provided an additional $1.5 million per year for a three-year agreement. Now at this point, we have reduced the backlog of the MCFD by 38 percent, and the processing times for this fiscal are 84 percent on time, in terms of timeliness. We have made progress.
R. Merrifield: The ministry imposes a fee of $10 to all of the non-personal entities that are in place and that have been literally created, in a legislative process or otherwise, to hold government to account. So they get charged that fee, but then the ministry actually deprioritizes their requests and prioritizes personal requests. Furthermore, the minister — at no point, previous to the one in front of me, obviously — did not say that the fee was so that the personals could be prioritized. The fee was imposed to lower the time that it took them to answer.
Perhaps the minister is not aware, but in the ministry’s backgrounder on the application fee, it directly connects the imposition of the $10 application fee with timeliness, stating: “B.C. receives among the highest volumes of FOI requests in Canada, with over 10,000 requests annually. This volume increased by more than 40 percent between 2018 and 2020. And while work is being done to modernize and streamline the FOI system, stakeholders told government that they are not getting information fast enough. This is mostly because of overly broad requests that are slowing down the system.”
Here we are now, just over two years after the fee was imposed under the justification that it’s going to actually improve the government’s response times. But it hasn’t. Is this just another failed experiment by this government that also conveniently chips away at democracy? Given the report’s findings that the imposition of a $10 application fee has not improved response times, is the minister going to now reconsider this fee to ensure it does not hinder public access to information?
Hon. G. Chow: I’d just like to correct the member opposite. Her accusation is incorrect. We have not reprioritized individual requests over general requests. In fact, we added resources to MCFD in order to deal with the backlog.
This way, we would reach a point where everyone would benefit from a timely response, because we reduced the backlog.
The original intent behind the fee was to get applicants to be more targeted when they make the request. We have seen an increase in applicants requesting records from the ministry most likely to have those records, rather than sending out multiministry requests.
I think we are improving the timeliness. We are also answering people’s requests for information, particularly personal requests, because the personal requests do not require the fee.
R. Merrifield: Thank you to the minister for the correction.
What I understand from the minister is that he’s asking to look at a reduction of this 38…. Sorry, the average processing time dropping to 38 business days by looking at the backlog. If we just remove the backlog, then we’ll actually see that the average time is less than.
But I’m going to go back to the report, because this was actually given to the freedom-of-information and privacy commissioner as well. His response was this, on page 17: “There’s an obvious difficulty with this argument because it’s best illustrated by the baseball player who argues that if you just ignored his strikeouts, their batting average would look so much better. The issue is not that government is finally getting to these long-standing files, but rather it is that government has allowed these delayed matters to significantly accumulate in the first place.”
Looking at the time that it is taken…. It would seem by the numbers over the course of the six years that are represented in the report that there’s definitely some picking of winners and losers. There are definitely those that can just wait and those that are maybe prioritized somewhat. But we can get into that next.
What I’d like to see is what the minister actually defines as the culture that exists right now in this department that is going to allow timeliness to finally occur, because clearly it wasn’t what the minister previous had indicated a $10 fee would do.
Hon. G. Chow: I would like to ask the member to clarify her reference to the report — exactly what you want to ask us on that. Seems to me the report was produced, and you mentioned what’s in the report, but would you clarify what question you would like to ask?
R. Merrifield: My question is this. The minister has a culture issue. Inside of the FOI department, inside of all of the ministries across the government, there is a culture of discounting democracy.
My question to the minister is this. How is the minister going to ensure timeliness on FOI applications in response to FOI applications and change the actual culture of timeliness?
Hon. G. Chow: I just want to reiterate the fact that we’re committed to transparency, openness and timeliness. So our resource devotion to MCFD was actually to increase the overall response of the FOI requests.
We have dedicated time and resources to improving freedom-of-information requests by these actions. We increased the number of proactive disclosure by 88 percent, and we reduced the backlog and closed 38 percent of the overdue files. That has the effect of making everything more timely for everyone. We have increased the timeliness figure from 78 percent to 84 percent.
We have invested $7.7 million in improving our FOI process and system. With that, we have added 20 additional persons in MCFD in order to make progress on the backlog that would serve better the overall requests. I think we are not prioritizing certain requests over the others. We just want to improve the system overall in terms of our response time.
R. Merrifield: The numbers that are in the report do not corroborate the minister’s commitment to transparency. The fee that was imposed has not increased timeliness.
In the OIPC’s September 2020 timeliness report, MCFD had the highest average processing time. At that time, it was 57 days. By 2022-23, that number had now grown to 143 days. This happened under this government’s watch.
Instead of correcting this from within and dedicating more resources to ensure that the principles of freedom of information were respected, the government brought forward a punitive fee to charge to people and to entities that were outside and that would limit access to information.
If the minister is going to continue to claim that a course correction has been achieved, which we cannot verify from anything other than what’s being stated today, will he now remove the punitive fee and address the systemic issue, which is a lack of respect for the law and a lack of resources to ensure adherence to the government’s legal obligations?
Hon. G. Chow: As I said, we continue to commit to timeliness and transparency in the FOI process. And we have increased the timeliness response from 78 percent to 84 percent in this fiscal year. We invested $7.7 million in the FOI process, and we have added an additional 20 persons working with the MCFD in order to clear the backlog.
We are doing what we can in order to achieve the timeliness and the openness. And we will continue to monitor the effect of this fee. But we are also improving in the fact that these high-volume requests have reduced dramatically and now people are more targeted. When they want to get information, they don’t just send out blanket requests for all of the ministries; they will target the information for certain ministries.
As I said, we’ll continue to improve the timeliness, and we’ll also monitor the fee. And the requests have not decreased because of the fee. I think the complexity and the volume of pages that we have to review has increased.
R. Merrifield: Well, the minister keeps…. That’s the second time he’s mentioned the number of pages, but I would argue that the number of pages or percentage has increased by almost the number of bureaucrats that we’ve hired over the course of those same years. So maybe it’s just a matter of more people, more pages. I’m not totally sure about that one.
But I’ve heard the minister now reference the fact that there are additional people to handle the MCFD backlog. What about the Health backlog? Are there the same number of people in Health to handle the backlog?
Hon. G. Chow: I think the easiest thing for us to do to improve the figure of timeliness would be to ignore the backlog, but that’s really what we don’t want to do, because we really want to serve the people. For the people who seek the information, we do not charge a fee to people who seek personal information.
As far as the Ministry of Health is concerned, the Ministry of Health has made a great effort to reduce their overdue backlog and response time. This work is still in progress, and the backlog has already decreased by 84 percent. Now, in 2023, the average of 180 days of response…. After we deal with the backlog, we’re now down to 31 days. So we have made progress in terms of the Ministry of Health, from an average of 180 days to 31 days.
R. Merrifield: Forgive me if I don’t believe the minister’s numbers, not because they’re not being given to him but because I don’t believe them. When I see that we’ve got, over the course of six years…. Six years of data, and suddenly and miraculously we’re going from 180 days to 31 days. That’s pretty shocking, especially considering that 5,100 instances of exceeding legal response times without authority were noted, which literally shows a flagrant disregard for timelines.
The backlog directly contravenes the principles of transparency and accountability in public service. The 5,100 instances of exceeding legal response times without authority shows the flagrant disregard for timeliness.
What accountability measures are being implemented to ensure compliance with FIPPA’s stated deadlines?
Hon. G. Chow: While the member opposite may not believe it, I just want to repeat that we are committed to transparency and timeliness, and we have made a great effort to deal with the backlog issues. We have regular reporting to deputies across government on their timeliness. We have added resources to deal with backlog issues. We are also modernizing the FOI process by investing $7.7 million that will improve the efficiency and the timeliness. The effect of the $10 fee is actually to reduce the cross-ministry requests. In that, we have made improvement, so our timeliness has gone from 78 percent to 84 percent.
Hon. Chair, noting the hour, I move that the committee rise, report resolution and completion of the estimates of the Ministry of Attorney General and report progress on the Ministry of Citizens’ Services and ask leave to sit again.
Motion approved.
The committee rose at 6:45 p.m.
PROCEEDINGS IN THE
BIRCH ROOM
Committee of Supply
ESTIMATES: MINISTRY OF TOURISM,
ARTS,
CULTURE, AND SPORT
(continued)
The House in Committee of Supply (Section C); H. Yao in the chair.
The committee met at 2:40 p.m.
The Chair: Good afternoon, Members. I call Committee of Supply, Section C, to order. We’re meeting today to continue the consideration of the budget estimates of the Ministry of Tourism, Arts, Culture and Sport.
I now recognize the minister to move her vote.
On Vote 44: ministry operations, $180,989,000 (continued).
A. Walker: I want to begin by thanking staff for coming out for this brief moment this afternoon.
I wanted to begin with some of the impacts in the community of Parksville-Qualicum related to tourism from some of the housing bills.
Of course, these are in the Ministry of Housing, and I just want to speak to, specifically, the tourism impact.
We have 289 short-term rentals on Resort Drive out of 946 hotel rooms total in our community.
First question: what work is underway over the next fiscal year to monitor hotel capacity in communities like mine, as far as the impact of these new short-term rental regulations?
Hon. L. Popham: There is monthly monitoring of hotel capacity, so that will continue on.
As far as the changes and how they’re affecting capacity, etc., we have really tight relationships with our tourism partners, so we’ll be making sure that we continue to have conversations as we see things play out.
I’m also travelling up-Island in the next couple weeks, and we’ll be stopping to chat with people.
A. Walker: That’s very much appreciated. I know Blain Sepos from Parksville Qualicum Tourism has raised this concern with me again and again, so hopefully the minister will have an opportunity to say hi to Blain and hear those concerns firsthand.
Second question: reviewing the service plan. With some of the results from the B.C. Arts Council…. I know, having spent time on the Finance and Government Services Committee last summer, hearing how important it was that the B.C. Arts Council funding was increasing with inflation.
Looking at the service plan, it’s clear that the number of grants and the number of individuals being served by the Arts Council is going down.
I’m just looking for some clarity and if that funding for the Arts Council is going to be increasing with inflation, and if we can see, moving forward, more people getting service from those grants.
Hon. L. Popham: Thank you for bringing up arts and culture. I appreciate it. We haven’t talked a lot about that over the last little while in estimates.
I think what the member has picked up on is that the performance measurements have changed — not numbers anymore but percentages. The average has remained around 1,700 folks that have been able to get access to that funding. So I think that has stayed the same.
But what I can also tell the member is that the B.C. Arts Council budget has increased from $24 million since we became government to $40 million, which is a 66 percent increase.
Over COVID, we also did a lot of one-time funding to try to relieve some of the pressure which, I think, was really appreciated by the community.
A. Walker: Just for clarity: moving forward, can the Arts Council expect, through this fiscal year, to see that budget increase with inflation?
Hon. L. Popham: There is no inflationary lift.
A. Walker: I appreciate the excitement about arts and culture. It really is the lifeblood of our communities. I know we say that about small business and all these other groups, but really, it does make a difference.
One of the exciting things that I’ve seen in my community related to FIFA 2026 is excitement from local sports teams. We saw with the Commonwealth Games, with the Olympics, investments in our community. I’ve been asked by many parents, soccer moms and soccer dads, if, through FIFA 2026, communities could expect to see any sort of grant funding, both for fields but also for some capacity-building through this year’s budget or moving forward as we get excited about FIFA.
Is that something communities can expect?
Hon. L. Popham: I’m really happy to hear that the member’s starting to notice excitement. I am also starting to hear those stories. I was in Vancouver doing a radio interview, and the host happened to mention that he was excited about the upcoming event. He plays soccer with his grandkids, and it’s just giving them something to talk about and to build to.
So yes, I think communities are starting to understand the opportunities. We’ve always said we’re going to maximize benefits from this event throughout the entire province, and what the member is referring to when he talks about maybe some investments in sporting fields, etc., is legacy.
Legacy is really, really important to the government. We do need to make sure that communities outside of Vancouver are seeing the benefits from the World Cup 2026.
I’ll just give an example of a conversation that I’ve had recently that I’m really excited about. I know the member is familiar with a place called Alert Bay up at the north end of the Island. There’s a gentleman there by the name of K’odi, and K’odi was a resident, grew up in Alert Bay. It’s his nation. He ended up being a national soccer star. He ended up playing for Winnipeg.
They have the most incredible soccer tournament at Alert Bay every year. Their soccer field is in need of some upgrades, and this opportunity around legacy and World Cup 2026 is one way that I think we can deliver those upgrades to that community. So yeah, I think the member is thinking along the same paths as we are.
A. Walker: That’s exciting. Of course, as these events take place in the Lower Mainland, it’s nice to see that benefit across the province. Soccer is a wonderful sport because it’s very limited costs, and kids can get going year-round. I’ve learned they can’t play very well with baseball in the same fields too, which is another reason why we need more fields.
Page 7 of the service plan mentioned some of the challenges that sports groups are facing, challenges and financial limitations. It comes from the lack of volunteers, increased costs of real estate, legal costs, staff costs, insurance, etc., being passed on to families.
I’m wondering if, in this budget, whether through this ministry or others, there are supports for parents with children in sports that they can expect to help defray some of these increased costs.
Hon. L. Popham: Thanks for the question. Amateur sport is really, really important to our province. I think over the last little while, as we’ve seen struggles with isolation and COVID, getting out and being active is really good for mental health. So yes, it’s very important.
We don’t have anything as a lift in the budget for this year, but we were just able to let organizations know that we’ve found $10 million in one-time funding for three different streams: $2 million for the B.C. Games Society, which will be Winter Games and Summer Games; $300,000 for 55+. Our seniors are super competitive, and they really look forward to this tournament, this competition that happens once a year. We were able to get $300,000 for them.
Finally, we were able to find $7.7 million going to viaSport, which will be dispersed throughout our adventure sport associations.
Affordability in sport is a concern. Although this is one-time funding, we’ll still be advocating to get a lift in the budget.
A. Walker: I appreciate that, and it makes a big difference, especially viaSport. I’m seeing that in our communities. I won’t get on with seniors in sport but not going to mention pickleball.
The Select Standing Committee on Finance and Government Services, which I was fortunate to be a member of last summer, had a list of a series of recommendations, many of which landed to the tourism, arts, culture and sports sectors.
I’m wondering if the minister can either present here or potentially a letter later and identify those items which, through this fiscal year, are to be addressed and those that that will not.
Hon. L. Popham: I appreciate the question and the offer to respond by letter. There are about 14 recommendations that are associated with our ministry, so I would really appreciate the time to be able to send your office a letter.
A. Walker: I’ve got four more questions here, but I’ll just focus on one. As a child growing up, I was able to enjoy watching the Knowledge Network. It wasn’t until I was an MLA that I realized the governance structure that existed for the Knowledge Network. It was interesting going through the service plan and then contrasting it with service plans going back to 2019 and seeing that the provincial funding for this organization has basically not gone up, but viewership has actually gone down.
I know there’s a tremendous amount of quality programming that the Knowledge Network is able to produce, and I’m wondering. What is the vision, for both this fiscal year and long term, for this Crown asset that we have called the Knowledge Network, from the ministry?
Hon. L. Popham: Thanks for the question. Love the Knowledge Network. The Knowledge Network is a real gem, and just as a fun fact, the Knowledge Network remains within the top five most-watched broadcasters among competitors in the market. So a lot of people love the Knowledge Network.
The member was mentioning looking at the budget over the last few years. There was a little bit of up and down. The up pertains to a fund called the Canada 150 fund, and that was a one-time funding opportunity. Besides that, we believe that the funding has remained stable.
Speaking to the vision of the Knowledge Network, things are changing out there in TV land, and the 2024-25 rebuild of Knowledge Network streaming platforms will help improve the user experience and possibly increase that online presence of viewers. They’re working hard on that. Some of that includes marketing and outreach efforts to reach new parents that are looking for quality programming and an ad-free environment. I think that’s a really worthy project to be working on.
Then, of course, the Knowledge Network is participating in regulatory consultations for the Online Streaming Act, which will affect them. Yeah, they’re very busy. I met with their board not too long ago. I’m really proud of the work that they’re doing, and they’re very passionate about what they do.
The Chair: Seeing no further questions, I ask the minister if she would like to make any closing remarks.
Hon. L. Popham: Sure. Thank you, Chair.
Maybe I will just say that I’ve been in this role for over a year. It was two Decembers ago that I moved in. I have had just the best time meeting people involved. It’s like having four ministries in one. I have an incredible ministry filled with public servants who are dedicated to tourism, arts, culture and sport. A lot of them overlap, so we’re a really tight team.
We’re small but mighty, and I think we’re all fuelled by meeting the stakeholders in each part of this ministry. Right now in Victoria, there’s a tourism conference going on, and just being in that room, you can feel the buzz, as the recovery for tourism is quite obvious.
It has just been such a pleasure to be the minister of this ministry. I feel very honoured and grateful.
Vote 44: ministry operations, $180,989,000 — approved.
The Chair: Thank you, Members. The committee will now take a five-to-ten-minute recess while we prepare for the next ministry.
The committee recessed from 3:01 p.m. to 3:12 p.m.
[H. Yao in the chair.]
ESTIMATES: MINISTRY OF
JOBS, ECONOMIC DEVELOPMENT
AND INNOVATION
The Chair: Good afternoon, Members. I call Committee of Supply, Section C, to order. We are meeting today to consider the budget estimates of the Ministry of Jobs, Economic Development and Innovation.
I now recognize the minister to move her vote.
On Vote 37: ministry operations, $115,278,000.
The Chair: Minister, do you have any opening remarks?
Hon. B. Bailey: I’d like to start today by introducing the people that are here with me today, with my team: my deputy, Fazil Mihlar; Kerry Pridmore, who is the assistant deputy minister for trade and industry development division; Tim Lesiuk, who is the assistant deputy minister, sustainable economy division; Debbie Smollett, who is the acting assistant deputy minister, small business and economic development division; and Brian Urquhart, who is the executive financial officer and assistant deputy minister of the management services division.
I’d like to thank my incredible team and the amazing work they do to support the people and the businesses of British Columbia.
We launched our ambitious StrongerBC economic plan in 2022 to transform our economy, our economic landscape and to ensure that our economy works for people. The plan is helping us meet two broad challenges, inequality and climate change, by focusing on clean and inclusive growth. We’re taking action, and we’re delivering results for people. In the face of a slower global economy and high interest rates, B.C. has held steady and gained close to, in fact, more than 70,000 jobs since January 2023, including some of the strongest private sector growth in the country.
We came through the pandemic with the strongest economy in Canada, and we’ve continued to hold steady by helping families with rising costs and by putting more money back into people’s pockets through new and expanded programs. We’re supporting innovative ideas that are crucial to growing our economy and creating thousands more sustainable, well-paying jobs and opportunities.
I’d like to tell you about some of the incredible work we’ve been doing in the ministry. I’m proud to say that B.C. continues to be home to the fastest-growing life sciences sector in Canada, with around 2,000 companies and over 20,000 workers. To build on this momentum, we launched B.C.’s first life sciences and biomanufacturing strategy last year and haven’t looked back since. There is extraordinary potential in our life sciences sector. With our record growth, we have made also record investments to accelerate that growth and secure B.C.’s position as a global hub.
The list is long so I’ll mention just a few highlights.
We’ve created B.C.’s first phase 1 clinical trials unit in Vancouver that will better position us to commercialize new life-changing drugs and treatments for people in B.C. and around the world and will help our companies and our IPs stay in British Columbia.
We’ve invested $330 million for the clinical support and research centre on the campus of the new St. Paul’s Hospital. We are committed to ensuring this sector continues to grow and thrive in British Columbia.
Last fall we announced a $1.05 billion partnership between E-One Moli, the government of B.C. and the government of Canada that will bring lithium-ion battery cell production to Maple Ridge and create 450 high-quality permanent jobs that are key to growing the province’s clean economy. This is yet another example of how, as our province builds a stronger, clean economy, we are continuing to open doors to immense opportunities in the private sector and those that value B.C. as a centre for innovation, investment and cutting-edge technology.
We also know that our rural and remote communities face unique challenges, and that’s why we’ve been supporting them through the rural economic diversification and infrastructure program. To date, $66 million has gone out to more than 200 projects across the province, and we’re looking forward to more projects to come.
We are continuing to create and protect thousands of well-paying jobs throughout the province through the B.C. manufacturing jobs fund. Since the first project was announced last June, the fund has announced as much as $44 million for 46 projects for B.C. manufacturers to expand and fortify their operations. There are many more projects on the horizon, with up to $180 million being invested in these businesses that are ready to modernize manufacturing sectors to create and protect hundreds of jobs while ensuring innovation and clean growth.
I spend a lot of time hearing from businesses, and they tell me that they need more skilled workers to help them expand and grow. We know that over the next decade, B.C. will need to fill about one million job openings. For more than 75 percent of those jobs, people will need to have some kind of post-secondary education or training or new skills to help keep up with evolving requirements. We are helping thousands of people get the skills, training and education they need through our $480 million StrongerBC future-ready action plan.
We’ve heard the calls from the business community to allow small and medium businesses to hire more before they have to pay the employer health tax. We’ve taken action and are doubling the exemption threshold so businesses with payrolls between $1 million and $1.5 million will continue to be partly exempt and will pay less. Ninety percent of businesses are now exempt from the EHT.
In addition, 9,000 B.C. businesses will be fully exempt from payroll taxation, and over 4,000 will see reduced payroll taxes. B.C.’s 1.95 percent EHT rate is tied for the lowest and is now meeting the same exemption threshold as in Ontario.
We have also implemented the small business venture capital tax credit that will provide tax credits for B.C. investors who make equity capital investments in B.C. start-ups. This will help businesses gain access to early-stage venture capital and will provide a 30 percent tax credit to B.C. resident investors to help offset some of the risk of investing in these early-stage companies. In 2023, the small business venture capital tax credit helped raise over $97 million in early-stage funding for more than 185 small businesses.
We launched our maritime industry strategy this past year, and that’s helping set the course for a more competitive, modernized marine sector, with reduced carbon emissions and creating more highly-skilled jobs to meet growing demands. In January, as part of the first grant intake, $14.75 million was announced for 17 companies throughout the province. They will be able to expand and upgrade their maritime infrastructure to help them meet the growing demand for their services.
Last month we launched the environmental social and governance, or ESG, centre of excellence. The new virtual centre will support local businesses by providing concierge-type services at no cost to the business and a suite of tools and resources to help them understand the fundamentals of ESG reporting and why it can be important to help their growth.
We’ve already achieved so much through the StrongerBC economic plan, and we will continue to advance on our goals of clean and inclusive growth together for a stronger economy. We will continue to protect our natural assets, grow clean industries and create sustainable, well-paying jobs so that we can build resilient communities and a robust economy for British Columbians.
The Chair: Official opposition House Leader, do you have any opening remarks?
T. Stone: No, I would be happy to just get right into….
The Chair: Please go ahead.
T. Stone: Thank you very much, Chair.
I would also like to join the minister in saying thank you to all of the staff in the ministry — those that are here today, and the thousands that are working really, really hard within the ministry to do everything they can to support all of those programs and, in particular, at the end of the day, small businesses and economic development and innovation in our province. Very much appreciate your service.
I wanted to start off today with a line of questioning in relation to the small business rebate program. I’m sure there was no coincidence whatsoever that an announcement was made yesterday about some adjustments to the program after a growing chorus of criticism from small businesses and business associations, the opposition, about just what appeared to be one humdinger of a failure in pushing money out of the door.
Just as a primer for those watching, as everyone knows, every community in the province is suffering from a tremendous amount of social disorder and chaos in their commercial sectors, in their downtowns.
Small businesses have been on the receiving end of that social disorder and chaos, more so than I think a lot of people realize. They have faced rampant vandalism, theft, broken glass, all kinds of added costs related to break-ins and fires being set. It’s just a tremendous challenge for small businesses, many of whom were, and continue to be, hanging by a thread, having survived but come out of the pandemic.
This government, this minister announced a program to support those small businesses. The announcement was last summer, in June or July. The applications for the program were opened in November of last year. In that time period since those two announcements, of the $10.5 million total value of the grants that are to be made available for small businesses, the latest number, certainly the latest public number in terms of what’s been pushed out the door to support small businesses is only about $71,000. I think the exact number that we’ve been provided is $71,308 — again, on a program that has $10.5 million in it.
The obvious…. Well, there are a few questions I wanted to ask about this, just to seek clarification. The first question I’ll start with is: can the minister tell us today what the current dollar value is that has been pushed out the door? Is it that $71,308, or is it a different number, and if it is a different number, could the minister please advise us what that actual number is?
Hon. B. Bailey: Thank you to the member for their question. This program is stood up at $10.5 million. The reason that we stood the program up is that we understand that small businesses are being impacted by vandalism, to no fault of their own. This is hard on small business, and we want government to stand shoulder-to-shoulder to small businesses to support them through that experience.
We stood the program up in November, and I started to hear from small businesses later, in January, that there were particular rubs on some areas in the program.
What has been beneficial is that in addition to hearing from the businesses about what their experiences were, we also are delivering this program digitally, so we’re able to do an analysis of where, when people are applying, they’re dropping off.
We did that analysis, and we met with a number of small businesses. Some had spoken out in media. I contacted them and met with them and some who had applied to the program and hadn’t completed, as well as doing the analysis on the data.
What we learned were a few different things. We learned that throughout British Columbia, there are different experiences that people are having with the requirement to file a police report and to upload that police report. We realized that it would be much easier for small businesses just to give us the police number rather than having to go and get the report and upload it. So we have now made that change.
We also heard that there was a challenge in regard to our requirement that they show us that they have filed with their insurance provider. Now, some of the challenge that businesses explained to us was a math problem. The amount that we are providing as a rebate was lower than some of the deductibles for their insurance.
Small businesses often won’t buy the most expensive insurance product because, of course, times are tight. To do a $5,000 claim to get $2,000 — obviously, that math doesn’t work. In hearing this feedback, we have gotten rid of the requirement that they file an insurance claim. Rather, they just need to show us that they have insurance, give us the insurance number, the name of the provider.
When we first stood up the program, we wanted to ensure that people that were impacted by vandalism in 2023 were also eligible for the program, so we made it retroactive. Our intention was to end that application process for the 2023 applicants on February 29. Obviously, with making changes to the program, we want to ensure that folks from 2023 can apply for those changes. We’ve gotten rid of the requirement of a February 29 deadline for those applicants. They’re now part of the whole program, which will conclude in January 2025.
We made a number of other small changes to the program. But the point really is that small businesses told us what wasn’t working. We listened to those businesses. We analyzed the data that we had, and we’ve made the changes that are required. It really is our objective to get this $10.5 million out the door to support small businesses that are experiencing vandalism.
T. Stone: My question was actually: what is the total dollar value of grants that have been pushed out the door that have actually been received by small businesses? I had put a number out there that we have been advised, $71,308.
Again, a simple follow-up question. What is the exact dollar number that has been pushed out the door, as of this moment, to support small businesses through this small business rebate program?
Hon. B. Bailey: Apologies to the member opposite. I meant to include that answer. As of a couple of days ago, it was $100,000.
T. Stone: So $100,000. Again, the announcement was made last summer. The program was stood up, as the minister mentioned, in November. And what I heard in her previous response was that over this time, the minister has conducted meetings and reviews and analysis, and so forth.
What hasn’t happened is, obviously…. The supports that small businesses need haven’t flowed to small businesses. It really would suggest that this program has been a failure to this point.
I’d like to ask the minister this question: recognizing that it was stood up in November and it was almost immediate that the media stories started to happen, that small businesses started going public and that others, including the opposition, started raising the alarm bells on this, why the heck has it taken so long? We are in March now, and these issues would have been well known to the minister through all of that public outcry many, many months ago.
Why would it take months to make adjustments to the program to actually push these dollars out the door to help these struggling small businesses? Why has it taken so long?
Hon. B. Bailey: In respect of time, my team is doing a quick search on the exact date of when we first heard about the issues. I can share with the member that my memory is that it was near the end of January when I first heard from businesses that this program had some rubs.
I can tell the member that within days, I was taking phone calls with folks who had had experience with the program that hadn’t been positive. We called the round table together — that happened within, I think, a ten-day time frame — and immediately took action. So, contrary to the framing that the member has provided, this was a very immediate response, as soon as we became aware of the issues.
T. Stone: Well, again, let’s just be clear here. The program was announced last summer. Then it was announced again as an official standing up, meaning applications would be received many months later, in November of last year. We are now almost midway through the month of March, and the minister has confirmed a 0.95 percent success rate on pushing the $10.5 million out the door, roughly $100,000. At this rate, you’re talking about $11,000 per month. It’s going to take 75 years to actually make sure this money gets out the doors to help small businesses.
With that in mind and recognizing that the minister has indicated as of yesterday some changes that are being made to the program to hopefully expedite pushing more money out faster, can the minister give us any benchmarks for the balance of the forthcoming year?
Meaning, how much does she anticipate will be pushed out the door by the end of the current fiscal year, which is a couple weeks from now? How much will be pushed out the door? What’s the target to have the money out the door by the end of the first quarter of the next fiscal, and the second quarter? What’s the amount that will be out the door by the end of 2024?
Small businesses want to have some assurance that there’s going to be an acceleration of these funds and that the changes that the minister has talked about to the program…. I would assume that the minister and the ministry have done some analysis here to actually project that, based on these changes the minister announced yesterday, the money will go out faster. If that is the case, she would have some numbers, in terms of what those targets look like to actually get this money out the door.
What are those numbers that she expects, the dollar figures? What are those dollar figures she expects will actually be pushed out the door to the small businesses who desperately need this support?
Hon. B. Bailey: I think what’s important to note is that the suggestion that this is going to take some tremendous amount of time, many years, is not realistic. We have responded to the needs of small business, and the changes that they’ve suggested are implemented. We’re implementing them right now. It’s my expectation that this $10.5 million will flow out.
We have until 2025 to ensure that this money gets out the door to small businesses. It’s my expectation that this will be fully prescribed.
We don’t have arbitrary timelines. This is based on the experience of small businesses and their applications. I can share the timeline that once we receive a completed application, the turnaround time is 34 days.
T. Stone: Well, with all due respect, the great progress that the minister seems to want to wrap as the narrative around this program is ridiculous. It’s been eight months since the program was first announced — eight months. Over that eight-month period, with a $10.5 million fund, she and her ministry have only managed to push $100,000 out the door.
I would suggest that she perhaps talk to her colleague, the now Government House Leader, who was responsible for a whole range of these types of programs to support small businesses during the pandemic. We had this discussion back and forth for several years about just how long it was taking to push money out the door for small businesses. The track record is actually an abysmal one for the lack of speed at actually getting money out the door.
Frankly, the minister is hearing from the same types of small businesses that we’re hearing from. They have said that this program has taken way too long to deploy and to get money out the door.
I will give the minister another chance to respond to the question around whatever analysis has been done in the ministry, based on the changes that were announced yesterday, as to what the expectation is of how much of this $10.5 million….
If the minister is suggesting for a second that there isn’t $10.5 million of need among small businesses in British Columbia, at $1,000 to $2,000 a pop in terms of the grants, I would find that an even more ridiculous assertion. She knows as well as anyone that the need is massive. If anything, the $10.5 million is not enough in a program. This government just can’t seem to figure out how to get the money out the door in a timely fashion to support the businesses that are most in need.
Again, I’d like to ask the minister: what analysis has the ministry done that has been focused like a laser beam on how much of the $10.5 million, how much of the remaining funds in that — which, by the way, is $10.4 million — is going to be pushed out the door, on a quarterly basis, for the balance of this current calendar year?
That’s a reasonable question. That’s a reasonable expectation that small businesses have that this government is going to do better to accelerate pushing this money out the door. Was there analysis done? What does that analysis indicate? How much of this money can small businesses expect to be pushed out the door to help them with the challenges that they’re facing from all the social disorder and chaos that’s wreaking havoc in our communities?
Hon. B. Bailey: The reality is that this program was stood up in November. We received feedback of challenges in January, and we did the analysis. We met with companies, with the Small Business Roundtable and with our partner providers. We listened very carefully to what small businesses need to make this program work, and we’re bringing in those changes right now.
The reality is that the only way that a program like this can course-correct is when you listen carefully to the users. That’s what we’ve done. We’ve listened very carefully to the users, and they’ve given us very strong feedback. I can tell you that I’m hearing really positive things….
The Chair: Minister, through the Chair, please.
Hon. B. Bailey: Mr. Chair, I’m hearing very positive things from our small business community. They appreciate the changes that we’ve brought in. They’re exactly what they asked for. So in fact I do expect that this $10.5 million will flow out the door. Unfortunately, the need is significant for these small businesses, which is why we stood up $10.5 million to support those businesses that are affected.
We’ve made a couple of other small changes to the program that businesses asked for. We had asked them to show that there was crime happening in their neighbourhood. We’ve gotten rid of that requirement. It has become a program that’s very focused on the needs of small businesses and that’s accessible to them. The timeline, which we’re very devoted to, is getting the money out the door, from the time their finished application is complete to when they receive the money, in 34 days.
T. Stone: Well, the minister says she’s trying to respond to exactly what small businesses have asked for. Those were her exact words, moments ago. This issue of vandalism and theft, social disorder and chaos, fires…. The financial impact of these challenges on small business has actually been around for several years. It amplified, big-time, during and then coming out of the pandemic.
We were urging the government to move on some form of a grant program to support small businesses impacted by this vandalism as early as in 2022. I tabled a private member’s bill last spring to urge the government to action this. Why? It’s because small businesses were saying — to anyone that would listen, from all political parties: “We need help.” That was in 2022 and throughout 2023, and it continues to this day.
The government, then, through this minister, announced a program in the summer. It didn’t stand it up until many months later, in November. Here we are, cumulatively, eight months from when the first announcement was made, but it’s also important to recognize that the need has been there for probably a year and a half before that.
Is it exactly what small businesses asked for? I would say it’s an inaccurate reflection of where small businesses’ heads have been at on this. They have needed help and have been asking for help for years, and this government, this minister, has delivered a failed program that has pushed out $100,000 from a $10.5 million funding envelope.
The minister has been given a couple of opportunities now to put on the record what analysis has been done in the ministry, with respect to how long it’s going to take to push the remaining $10.4 million of the fund out the door. I will leave that part there, but I’ll move to this question.
Is it the minister’s intention to have ministry staff circle back with applicants that were denied through their application process because of the onerous red-tape restrictions that were in place and that the minister tried to address through the changes she announced yesterday? I would assume that the ministry has kept track of all the rejections, the many small businesses that contacted the ministry and us and others; has contacted these small businesses; and has made it clear that there will be an avenue for them to reapply or to be reassessed or reconsidered. Is that the case?
Can the minister tell us if the rejected small businesses will have an opportunity to have their claims considered for this rebate program, and if so, how long is it going to take? Do they get to go to the top of the list? Will they be expedited, accelerated? They’ve already submitted information that didn’t meet the test the day before yesterday but that apparently, with these changes from yesterday, should now have a higher likelihood of being successful in this program.
Hon. B. Bailey: A few different things to that question.
First, yes, all applicants who were denied under the old criteria will have the opportunity to be reassessed. The applicants who dropped off because the criteria were a rub for them will be invited to apply.
The 1,156 applications in process were paused while we analyzed this and are now running through under the new criteria.
T. Stone: Well, I appreciate the minister’s response to that, and I would encourage the ministry to do everything possible to expedite the reconsideration of those applications that had been denied. We will circle back on this at a later time.
I’m wondering if there has been any consideration of this program’s criteria. I know that the decision was made and announced yesterday to no longer require the entire police file but just a police file number.
Is it still possible, for the many businesses out there that have been subjected to vandalism and theft and to the financial costs that flow…? Has there been any consideration to there being an opportunity for businesses that don’t have even a police file number? They didn’t call the police, or there wasn’t an active file opened. Is there is there any opportunity for those businesses to apply for and access any of these funds?
Hon. B. Bailey: It’s my understanding that a business that experienced vandalism in the past but that fits within the timelines of this program can still go back and file a police report.
There are many different ways to file a police report in the province of British Columbia. Sometimes you can file online; sometimes it’s just a phone call. They’re generally quite low-barrier experiences for a business. We do expect that businesses that hadn’t previously filed can quite easily file in order to meet that requirement.
T. Stone: I appreciate the clarification from the minister there.
I just make that point because one of the most common refrains — and I’m sure the minister is hearing it, as well, from a lot of small businesses — is the vandalism and the theft is happening so often, and nothing really happens as a result, from a consequences perspective, for perpetrators. A lot of this vandalism and theft and social disorder and chaos is being perpetrated by a small number of prolific offenders. Nothing really happens. The small-business owner doesn’t necessarily call the police or attempt to open up a police file on the issue, because nothing happens with it. It doesn’t go anywhere, and the vandalism continues.
Knowing they can still go, these small businesses, and can still access a path to potentially benefiting from the grants in this program would be a positive thing if indeed that’s actually what ends up happening.
With that, I’m going to move to a different topic. I want to talk about chicken for a little while.
The context for this is that British Columbians generally…. Restaurants in particular, but all British Columbians that eat chicken to feed their families are facing a huge year-over-year increase in the price of chicken, a 10 percent increase this year. Where this is relevant to this minister’s portfolio is Restaurants Canada, along with other supporting organizations. They’ve launched a campaign called “Chickan’t afford me anymore.” It’s a campaign intended to raise awareness on the cost of chicken.
StatsCan CPI data shows that the price of chicken has actually increased 51 percent over the last seven years. Currently 62 percent of restaurants indicate that they’re unprofitable today and that further price increases of this magnitude for a whole range of inputs, food inputs and other inputs, is going to continue to make it very, very difficult to keep their doors open. The price increase of chicken, one of the most common staples in a huge number of restaurants, is causing a tremendous amount of heartburn.
Restaurants Canada is actively opposing the proposed continued increases in the price of chicken, seeking to support the chicken tax through public advocacy and social media campaigns.
My question to the minister would be: has she met or engaged with the restaurant sector around the impact that these huge inflationary pressures on the price of food, particularly chicken in this instance, to discuss and understand these challenges, and if so, what solutions has she discussed with the sector and what solutions is government considering to, hopefully, prevent these continued massive escalations in grocery costs generally but chicken in particular as it relates to a pretty loud and crystal-clear call of the restaurant sector in British Columbia saying they need some action from this government to help them with this huge and growing challenge?
Hon. B. Bailey: I do meet with the restaurant sector with some regularity. There have been a number of supports that we’ve put in place for this sector over time. In particular, I recently had my team take a look at the impact of the alcohol pricing that we made available to the restaurant sector, providing a $244 million benefit to restaurant owners. We know that restaurant owners use that money to hire employees and to keep their restaurants going.
We also have heard from the restaurant sector how important increasing the threshold on EHT is to them. It was their number one ask to our government, and we delivered it in the 2024 budget.
Specifically to the question the member brought forward, we know that chicken farmers are requesting the B.C. chicken marketing board increase chicken pricing. The marketing board’s proposal is being reviewed by the B.C. Farm Industry Review Board. The tribunal, which operates independent of government, is reviewing the proposal with an eye for supporting a sustainable poultry sector, our local food supply and affordability.
The B.C. government remains committed to protecting our province’s food security, including committing $200 million to develop new programs to support a stable food supply throughout the province.
T. Stone: I’m just wondering if the minister or the ministry has done any analysis around the economic impact and the jobs impact, particularly that’s tied to this massive inflationary pressure on the price of food and the flow-through cost pressure that results in for restaurants and communities all over the province.
Aside from meeting and having conversations…. And I have no doubt that the minister is alive to the challenge, but what is the solution here? What is the government actually working on or considering with the restaurant sector to address these significant cost pressures that they’re facing with respect to the price of food?
To have to potentially withstand, in the case of chicken, another 10 percent increase in the price of chicken after it’s already increased by nearly 60 percent in the last seven years is going to be too much for a heck of a lot of small businesses.
In summary, what analysis has been done on the jobs impact and the economic impact on the restaurant sector related to these inflationary pressures on food costs, chicken in particular? What solutions and specific measures is the government working on or the ministry working on to address concerns being raised by the restaurant sector in this regard?
[R. Leonard in the chair.]
The Chair: I’ll call a two-minute recess.
The committee recessed from 3:59 p.m. to 4:06 p.m.
[R. Leonard in the chair.]
The Chair: We’ll call committee back to order.
Hon. B. Bailey: We were discussing restaurants, and I want to spell out the supports that we have provided to this incredibly important sector in our economy.
During the pandemic, we stood up more than $500 million to support small businesses, and we worked to keep restaurants open. We also put delivery fee caps. This is a big deal for restaurants because they were really experiencing having to pay very, very high rates on food delivery. One of the things that happened during the pandemic was a business model shift. That business model shift has continued. The percentage of a restaurant’s business that is related to takeout is significant now, and delivery. So this particular cap continues to be very relevant after the pandemic.
We also, as I mentioned, put in wholesale pricing available to restaurants. Let me explain why this is important. I used to be married to a restaurateur. We had many employees. I know the books of restaurants very well. One of the areas where restaurants make strong margins is in regards to alcohol sales.
In addition to the challenge of a percentage of their revenue changing to the delivery market, what happens is they also lose the revenue that happens from alcohol. We made it possible for alcohol to be available for delivery, but it hasn’t been the same uptake I’m hearing from the restaurant association as when people dine inside restaurants.
One of the ways we’ve been able to help with that challenge is that we’ve made wholesale pricing available to restaurants. This is a 20 percent discount on every bit of alcohol that restaurants buy. It’s a huge difference for restaurants, and that money, $245 million, has gone back to restaurants’ bottom line. This is a major piece for restaurants to help them be successful. We’ve also expanded the use of patios, and we’ve made it permanent going forward that that expanded use is available.
I do also want to mention that something I hear about from the restaurant sector is the challenge of finding workers. There are a number of different things we’ve put in place to support finding workers. Our $480 million future skills funding — some of that is devoted towards the restaurant sector. I’ve heard from restaurants how much they appreciate the additional chef training that’s been part of that funding.
Perhaps most importantly is the increase that we have made to the EHT threshold. Previously to Budget 2024, small businesses that had a payroll of over $500,000 would have to pay the EHT.
We’ve increased it so that restaurants who have a payroll under $1 million do not have to pay EHT — any small business whose payroll is under $1 million. The rate between $1 million and $1.5 million is graduated.
There are a number of different things we’ve done to support restaurants, many different ways that we’re ensuring the continued success for this very important part of not only our economy, but, frankly, of communities. Restaurants contribute in so many different ways. They’re often the folks who support Little League teams. They’re places where people come together and meet, and they’re really an important part of our communities.
The last thing I’ll mention in regards to supports for restaurants is that my colleague the Minister of Tourism, Arts and Culture has also been very active on this file. It’s a file that we collaborate on, and there have been a number of marketing programs put in place through Destination B.C. and other things to help people remember to go out to restaurants and to imbibe on the incredible offerings that are available here in our province.
The Chair: Member.
T. Stone: Thank you, Chair. Welcome to our back and forth here.
This is a good segue, actually, into a move away from chicken and into the restaurants more generally. I want to talk briefly about the “Save B.C. Restaurants” report that the restaurant sector in British Columbia put out recently.
The overarching theme of this “Save B.C. Restaurants” report is that, obviously, restaurants are struggling. It’s becoming harder and harder for these restaurants to actually make ends meet and keep their lights on. They’re getting squeezed on all fronts.
We talked earlier about all the vandalism and the theft and all that social disorder and chaos, which has come about over the last seven years as a direct result of policy choices of this government. That has flowed through costs to small business. The grants are taking forever to get out the door to support them.
The food cost inflation is driving up their input costs. That’s flowing through to higher prices on menus, which is driving down the number of customers who can actually afford to eat out these days. It’s pretty much well-established now that you’re going to pay 20 bucks for a burger in most restaurants, and many are heading towards a $30 burger.
The most concerning aspects of this report, though, are actually spelled out in the following statistics. Over 50 percent of food service and hospitality businesses say that they’re unprofitable today. That’s a fivefold increase in just the last six years. Restaurants have experienced a 13 percent decline in on-premise sales compared to pre-pandemic levels. So while some restaurants have sort of or mostly bounced back, many haven’t bounced back fully. And 17 percent of restaurants say that they could close within the next 18 months due to the levels of debt that they’re carrying.
So the picture that’s painted by the “Save B.C. Restaurants” report is a pretty dire picture of a sector that employs thousands and thousands of British Columbians in communities across the province.
The good news is that the “Save B.C. Restaurants” report…. The coalition that is behind this report in the sector have mapped out a series of initiatives that they are urging the provincial government to act upon. They are asking for clearly defined approval times, so that relates to ensuring that businesses can plan expansions and openings with clarity on approval times.
They’re asking to hire experts and appoint a specific responsibility within government, a minister of hospitality, for example, as a more direct line of sight into these restaurants and their challenges. Provincially led assistance with debt relief, as I mentioned — the massive amount of debt that small businesses are carrying — and a number of other programs….
I’m wondering. With that as a backdrop, my first question would be this: what are specific steps going forward? The minister mentioned things that happened during the pandemic — the patio expansion program, for example.
Thankfully, there was a heck of a lot of prodding on that from the official opposition. I’m not sure if it would have happened otherwise, but the government did act on that as one measure during the pandemic.
But we’re several years post-pandemic now, and the landscape is what it is today. The challenges are significant moving forward. What are the steps that government and this ministry are taking to address the very specific challenges that have been identified by restaurants and this “Save B.C. Restaurants” report, first, with respect to the massive inflationary pressures, the increased operational expenses that restaurants are having to deal with?
Hon. B. Bailey: Thank you to the member for the question.
The first thing I want to say about the restaurant sector and their “Save B.C. Restaurants” campaign is well done. I think it was one of the most inventive campaigns I’ve seen. The communications were very strong. I congratulate the restaurant sector for really quite a well-designed and engaging campaign.
I will share that right after the campaign was launched, I had the opportunity to meet with the restaurant sectors, with the Premier and with Minister Popham. A couple of things were really clear.
First of all, the number one ask was the change to EHT, and we have delivered on that. In the 2023 budget, our EHT threshold changes from $500,000 to $1 million and a graduated rate between $1 million and $1.5 million. What that means for small businesses is that 90 percent of small businesses — many, many restaurants throughout our province — are no longer required to pay this payroll tax. That was the number one request.
Another request the restaurant sector put in front of us was…. They had the experience that they had to go to a number of different ministers and lobby each individually on particular challenges that they were experiencing. They identified that it would be much better for them should they just have one contact. So that’s something that we have put in place. That contact is Minister Popham. She and I and Minister Farnworth and other people who are folks who have….
The Chair: Member, just a reminder to not use names.
Hon. B. Bailey: Oh, thank you very much, hon. Chair. My error. I should say the Solicitor General. Thank you for the correction.
The Solicitor General, the Minister of Tourism, Arts and Culture and myself will be working together on challenges that the restaurants faced, but it is the Minister of Tourism, Arts and Culture who is the number one contact. Then the information will share out that way.
I do just want to really highlight that in addition to the many supports we put in place throughout the pandemic and since, the number one request, the most important thing, and the restaurant sector really drove this home, was to change the EHT. I’m so grateful that we were able to do that for them.
T. Stone: With respect to the EHT, the minister is quite correct. Very clearly, the request to change the EHT thresholds has been a long-standing ask of small business, medium-sized business. Going right back to the introduction of the EHT, small businesses have consistently said their number one preference would be for there not to be any EHT on their backs.
But if there had to be one, the ask of the small business community more broadly had been to increase that threshold from the previous $500,000 to $1.5 million, not to just $1 million.
What the minister doesn’t mention in her response about the EHT there is that the employer health tax, the EHT…. The total revenues will actually increase by $265 million over the fiscal plan. That’s $265 million more that this government is collecting from small business.
A point that’s not one that we hear government members talking a great deal about is that between that $1 million and $1.5 million payroll, the EHT rate has been doubled from 2.925 percent to a higher rate. The reality here is that there’s been a bit of a shift. If you have a payroll under the $1 million, your EHT cost is going down, and that’s good. But the burden has been shifted in a degree, and the government is collecting more EHT overall off of the backs of business. Some progress in this. Some backwards steps as well.
I want to ask…. I guess the one question I would ask about the EHT is why…. The minister is a small business person herself. She’s had businesses. I have had a number of businesses. You do not have to have very many employees to have a payroll of $1 million. You don’t have to have that many more to be at $1.5 million in payroll these days. So why did the government not accede to the request of the business community to actually increase that threshold to $1.5 million, not just from $500,000 to $1 million?
Can the minister give us some insights into why the $1 million was the determined new threshold at which point the EHT kicks in?
Hon. B. Bailey: I first want to correct the member. He is not correct that there has been a doubling of the interest rate between $1 million and $1.5 million. That is a misunderstanding of what’s actually happening.
The way that it works is this. Any business that has a payroll under $1 million does not pay EHT. Then the rate gradually increases, and at no time does any business pay more percentage than they did before these changes. That is just factually incorrect, so let me walk the member through.
If a business has a payroll of $1 million, the old EHT bill would be $14,625. That rate is 1.46 percent. The new EHT bill is zero. At $1.1 million, the old EHT bill would be $17,550. That percentage is 1.6 percent. The new amount is $5,850, and that new effective rate is 0.53 percent. The savings are $11,700. At $1.2 million, the old EHT bill would be $20,475. That percentage is 1.71 percent. The new EHT bill for $1.2 million is $11,700, or 0.98 percent, a savings of $8,775.
I’m happy to go through each of these if you like or can just essentially give you the summary, which is a graduated stepping up between zero and 1.95; 1.95 is the old rate. It’s the same rate today, and you gradually notch up to it, hitting that rate at $1.5 million.
T. Stone: I appreciate the minister’s response there. What I didn’t hear was an answer to my question, which is: why was the threshold not increased to $1.5 million, so that there’s no EHT up to $1.5 million? That was the request of the small business sector.
You don’t need to have a very big, very significant payroll to be at $1.5 million, let alone $1 million. I didn’t hear an answer to that.
We’re roaring along here in time, not a lot of time left, so I’m going to go to my next question. So 17 percent of restaurants say they’re at risk of closing in the next 18 months. What specific measures is the minister working on or going to put forward to help those small businesses, restaurants, that are the most struggling? Again, 17 percent are not sure that they’re confident that they can make it for the next 18 months.
Hon. B. Bailey: As I’ve described, there are a number of supports that we’ve put in for small businesses. And I do want to point to the over $500 million that we put in for supports. Sometimes, I’ve noticed, the opposition gets annoyed when we bring up these pandemic supports. But the reason it’s relevant is that we did these supports as grants, not as loans.
We’ve seen the impact of the CEBA loans on small businesses. We made a very different choice than that, and we put in grants, which have supported small businesses — in particular, the restaurant sector.
Our delivery cap remains in place, and the wholesale pricing that we’ve made available to restaurants is in place. That’s a 20 percent discount for any alcohol purchases for restaurants. And currently to date, the amount that has gone back into the pockets of restaurateurs — we know that they spend this money on their businesses, on hiring people — is now $245 million. That remains in place, and we will continue to make that available, as well as the expanded use that’s in place.
But I will come back to this very important point. “Save B.C. Restaurants” began before the announcement of our budget, and the number one thing that they put in front of us was a change to the EHT, and we have done that.
I made a phone call to Ian Tostenson after we had made that announcement, and absolutely, he was delighted and shared that that’s going to make a very big difference to restaurants, going forward.
T. Stone: One of the most significant challenges that restaurants face — we all hear it over and over — is the critical labour supply, labour challenges, that the sector faces. There are a whole bunch of reasons why that is. I would appreciate if the minister could enlighten us on what the ministry’s strategy is to work with the restaurant sector to support them in addressing this huge and growing challenge of attracting and retaining the labour force that’s needed, without which the restaurants will have to shut their doors and not be in business anymore.
Hon. B. Bailey: A couple of points I would like to make in regards to the labour challenges that restaurants have been facing.
The first one is our $480 million future skills program. It includes some opportunities that benefit the restaurant sector. There’s increased chef’s training, for example.
There are also more than 400 micro-credentials. Many of these have been designed…. In fact, I understand that most of these have been designed in consultation with the industry about what their particular needs are. These short-term training programs can allow for people to upscale quite rapidly to meet particular openings that are existing in our workforce.
I want to highlight the B.C. employer training grant, which provides funding to businesses to support skills training for their workforces, including prospective new hires. Up to $10,000 per participant and a maximum of $300,000 per employer. This program is funded through the B.C.-Canada labour market transfer agreement.
A number of different things put in place to support the restaurant sector.
T. Stone: I mentioned in a previous question another statistic, from the restaurants, from the “Save B.C. Restaurants” report. That is that there has been a 13 percent decline in on-premises sales post-pandemic. There has been a significant drop in patrons to all kinds of different restaurants around the province.
I’m wondering if the minister could provide some details for us on what measures the government is looking to implement to revitalize or to help restaurants revitalize their customer traffic and to, hopefully, help restaurants get back to those pre-pandemic levels, with respect to the volumes of patrons that they were used to pre-pandemic, which has fallen off by 13 percent since the pandemic.
Hon. B. Bailey: At the risk of wandering over a little bit into my colleague the Minister of Tourism, Arts and Culture’s file, I will highlight a couple of things.
First, the efforts of my colleague’s ministry, with Destination B.C. and a number of different marketing campaigns, to encourage people to come back to restaurants and also to enjoy travelling in our province and the opportunities that exist through the hospitality here.
I think it’s also really important, given this…. We acknowledge that there has been a shift in consumer behaviour. Many restaurants are adapting to that shift, and we see some very inventive new models coming up like collective kitchens, and so on. But of course, nothing really beats having people fill your restaurant. We understand that that’s an important goal.
One of the great things that’s coming up and that restaurants are very, very excited about is the many, many large celebrations coming into British Columbia. To name a few, the Junos, the Grey Cup, the Invictus Games and, of course, FIFA. We know that these are going to be very, very good for our economy generally and for restaurants specifically.
T. Stone: I’m tempted to ask the minister if she knows what the total cost to taxpayers is going to be for FIFA, but I suspect that may be outside of her ministerial responsibilities. We’re trying to figure that number out. It has been difficult.
I want to talk about supply chain disruptions that impact the restaurant sector. I hear about it all the time, the issues with respect to maintaining the inventory that they need to provide consistency in their menu offerings, and so forth. In some cases, it’s often the difference between being able to provide a wide range of meal offerings in a particular time frame.
Again, these are all detailed in the “Save B.C. Restaurants” report and have been detailed in lots of emails and correspondence that I’ve certainly received as the shadow minister. I would assume the minister has been hearing the same thing.
I’m just wondering what the government is looking at or what the government is working on with respect to mitigating the impact of supply chain disruptions that complicate inventory management for restaurants. Particularly, it’s an even more pronounced challenge in the Interior and the North. We saw that all the highways were shut down.
There are some situations which are just really, really difficult. You have no highway access. You can’t get any trucks through. Obviously, you work on the infrastructure to get that open as fast as possible. But there are so many other delays that restaurants and businesses generally are experiencing, still to this day, through the supply chain.
I’m wondering what the minister’s views are and anything that her ministry may be working on to support restaurants with that and if she could share some of those details with us today.
Hon. B. Bailey: What I would say in regards to this supply chain question is…. Largely, that falls outside of my ministry. This is primarily work that’s being led by the Minister of Transportation and Infrastructure. Supply chain resiliency, of course, is a huge focus for that ministry.
What I would say in regards to a secure supply chain for the restaurant sector that does fit within the work of our ministry is really, perhaps, related to our agritech work. We’re investing in technologies that support a secure food chain and food security for British Columbia through our agritech sector, and there’s some really exciting work going on there.
T. Stone: One of the most common concerns we all hear from small businesses is often just how challenging it is to have some certainty around the costs relating to licensing and permitting for various things that happen and that need to be in place for a restaurant to operate.
I’m wondering if the ministry, in light of the concerns that are being expressed by small businesses about how long it can take for various permits to be obtained, the increasing cost of these permits…. Is there any work underway to consider putting some solutions on the table that would ensure sustainable licensing and permitting costs for restaurants, albeit trying to strike a balance between costs and faster approval times, which often don’t necessarily perfectly align?
Is there any thought or any work underway to look at that challenge that small businesses are facing and offer any solutions to help small businesses with that challenge?
Hon. B. Bailey: A couple of things I would say about licensing.
First is that file really sits with my colleague the Solicitor General.
The way that advocacy on that particular file would work is that…. The agreement we’ve made with the restaurant association is that a request for advocacy work would come in through the identified minister, which is the Minister of Tourism, Arts and Culture, and the challenges would be shared with the folks who hold responsibility in those particular ministries. So that’s how that would move forward.
What’s interesting to note, though, is that we did, in our ministry, stand up a resource to support prospective restaurateurs on kind of how to navigate through starting a restaurant. That’s funding that we made available to the restaurant association. They were able to create a resource, and that’s been available online for a couple of years now.
T. Stone: I just wanted to ask one more question, just going back to the levels of debt that small businesses are carrying. The numbers are staggering. There are so many small businesses, as I said, that are not sure that they’re going to actually make it even 18 months from now. They’re carrying a massive amount of debt that they accumulated through the pandemic.
These are generally very reputable individuals that are committed to paying back their debts and doing good by those that have stepped up to support them. There was a wide range of support, some of which involved grants during the pandemic, some of which involved loans that are repayable. The problem is that a lot of these restaurants are really struggling with all of the inflationary pressures that we’ve talked about today and the costs of food, supply chain challenges, labour costs going up. They’re getting constrained in so many respects, and the debt is still there.
I’m wondering. Can the minister advise us if the government is considering any form of relief for small businesses, or the restaurant sector in particular, to offset some of the debt burden or to engage with small businesses in this sector on renegotiating payment terms to maybe push the debt obligations out a little bit further, anything that would represent relief for that typical mom-and-pop restaurant that really wants to continue making the best donairs in town but is struggling because, in large part, against the backdrop of all the other challenges they’re facing, they have this crushing debt load which was accumulated or was assumed, through no fault of their own, but kept them alive through the pandemic?
Is government working on any form of debt relief for the restaurant sector?
Hon. B. Bailey: We’ve been talking for a little bit about restaurants, and I want to just take a moment to again talk about the many supports that we have put in place for the restaurant sector.
It’s a sector that I have worked in on many occasions. I’ve been a partner in restaurants, and I know the incredible contribution they make to our communities. It’s not just a place where people can go and enjoy a meal, where folks often will have their first job or build their career. It’s also, very often, a community hub, and small businesses that support the local teams are just such an integral part of the communities that we love throughout our province.
We’ve done a number of things to support the restaurant sector. It’s really important to note that during the pandemic, when we stepped in to support small businesses and to support restaurants, we did not provide loans; we provided grants. It’s a very important distinction. The federal government made a different choice. They provided loans.
One of the aspects that we are continuing to support restaurants in is having a delivery cap. With the change in business model to more of the restaurant sector experiencing a requirement for delivery through food apps, delivery apps, they were going through the roof, and that was directly coming out of the bottom line for businesses. So we put a delivery cap on, and they were very grateful for that cap.
An additional piece that we’ve put in place that now has put $245 million back into the pockets of restaurateurs — and we know they spend it on supporting their business, on hiring people — is through the wholesale pricing of liquor, and that continues.
This is where the number is as of a month ago, but that is a continual support that goes forward into the future, as is true with the expanded use in patios.
We’ve also put in supports in regard to education and training programs and more chef programs, assisting on the labour side. And, of course, the number one request that we heard from Save B.C. Restaurants was to increase the threshold for EHT, and we have done that in Budget 2024.
I do just want to come back to the member’s question. I heard the question that restaurants are carrying debt from the pandemic…. I think that the member is referring to the CEBA loans, which were provided by the federal government.
For my own clarity, is the member asking if the province will cover the debt that these restaurants have to the federal government? I’m trying to understand what the question is because, of course, that doesn’t make sense.
T. Stone: Well, think of it this way. Amongst a whole wide range of challenges — inflationary pressures, supply chain challenges, rents going up — there are all kinds of cost pressures that small businesses are facing. The minister mentioned a handful of things that were done during the pandemic which were intended to support small businesses through the pandemic. Yes, she is correct. The CEBA loan and the federal…. Generally, the federal approach has been to provide loans.
All I’m asking on behalf of small businesses is: when you look at the context of this massive debt that restaurants are carrying, coupled with huge increases in their operating costs, has the province considered supporting small businesses in managing not just some of the added costs but in helping them with their debt pressures?
If the province has no appetite for doing that, has the minister had conversations with their federal counterpart in Ottawa and made it very, very clear that it would be highly advisable for the long-term viability and health of a lot of restaurants in British Columbia — small businesses generally, frankly — to have the federal government look at perhaps changing the terms of those loans in some way to provide some immediate relief? That could be the difference between a small business surviving or not surviving.
Debt is debt, whether it was as a result of a loan from the federal government or not. Operating costs are operating costs. Restaurants are carrying, small businesses are carrying a heck of a lot of all of the above.
Again, just wanting to know if the provincial government has given any consideration to helping small businesses with this debt burden that they have. Or have you had some conversations with your federal counterpart on that front to encourage the federal government to do that, so that some kind of solution is in place that’s in complement with, perhaps, other measures that the ministry may be considering looking forward?
I’m not talking about patio expansions or the caps on delivery fees and things that have been done in the past. But going forward, more needs to be done to support small businesses. That’s the picture that I’m trying to understand, if the minister could please respond.
Hon. B. Bailey: I think what the member seems to be missing is that these are not past tense. These are programs that have implications for restaurants’ bottom lines every single day. The delivery cap is in place today. The cost that they’re paying is lower today, tomorrow, the next day. This is not past tense.
So true with wholesale pricing of liquor. If a restaurant goes tomorrow to buy $100,000 worth of liquor, they’re not paying $100,000. They’re paying $80,000 tomorrow, next week, next month. This is not past tense. True also of the patio expansions.
But what I’ll say to the member’s question in regard to whether we have advocated to the federal counterparts, the answer is absolutely, yes, and on a number of occasions. I myself met with Minister Ng by phone and in person. When the feds announced the new Minister of Small Business, Minister Valdez, I met Minister Valdez in my office in Vancouver and had a very lengthy conversation, and quite a harsh conversation, on this topic.
I know also the Premier advocated with the federal government in regard to relief for these CEBA loans.
The reality is the federal government has made a decision on this. It is all the more reason why it’s so important that these supports I’ve described continue and so important that these small businesses are able to take advantage of the reduction in taxes.
This EHT change is so key. The reality is that businesses that are paying payrolls less than $1.5 million will have benefit from the changes in the 2024 budget, and those that have a payroll of under $1 million will be paying no EHT. This is one of the most pressing concerns that restaurants brought to us. We listened, and we included it in Budget 2024.
T. Stone: With the greatest respect to the minister, I’m fully aware of the changes in liquor wholesale pricing. I’m fully aware of the caps on food delivery. I’m fully aware of the other few pieces that she mentioned.
I think the piece that the minister is missing is that she and the ministry have to do a heck of a lot more. I will remind the ministry that, under this government’s watch, over 50 percent of food service and hospitality businesses are unprofitable. That’s a fivefold increase since 2019. That’s under this government’s watch.
Restaurants have experienced a 13 percent decline in on-premise sales compared to pre-pandemic levels. That’s happening under this government. There’s been a 48 percent increase in restaurant bankruptcies just in the last ten months. That’s under this government, and 17 percent of restaurants say that they could close within the next 18 months due to pandemic-related debt. This is happening under this government.
So all of the range of questions that we’ve been canvassing here today have been trying to understand what that scope and scale of support looks like, programmatic support to alleviate the cost pressures, alleviate some of these challenges that small businesses in the restaurant sector and elsewhere are experiencing.
We started off this estimates process by talking about the small business rebate program, which has been an abysmal failure. So with all due respect, as I said, it’s incumbent upon this minister and this government to do more faster to support small businesses, because these numbers are just staggeringly bad. They really are. And these are real people with real businesses that are losing their hopes and their dreams because they just can’t make a go of it anymore. The government has got to do better. I’ll leave that piece there.
I want to go up a few levels here in terms of looking at the employment picture in British Columbia. The sad reality is that this government is really falling short on growing the private sector economy. This government is growing the public sector at about four times the rate of the private sector, when we look at the total number of jobs being created in each of the two sectors.
I would make the point that it’s actually a thriving, robust, diverse, growing private sector that pays all of the bills. It pays the provincial credit card. The provincial credit card is getting maxed out, as we saw in this recent budget. I will say all this just as a backdrop to the line of questioning that I intend on canvassing with respect to the jobs picture in this province.
This budget, of which these estimates are a part of, provides for the largest deficit in the province’s history of $8 billion this fiscal, $28 billion over the course of the three-year fiscal plan. The level of debt that is being accumulated in the province, at the moment, is at unprecedented levels.
It took 150 years for successive provincial governments to actually accumulate a debt of just north of $50 billion, and in less than seven years the NDP have doubled that debt. And there are plans to add another $62 billion of debt in the forthcoming years. Spending is up 75 percent, and a big part of that spending increase is this massive increase in the size of government.
Now, the numbers I will put out there to sharpen the focus here is that when you look at — these are all based on StatsCan numbers — the previous five years of this government being in power, the size of government has increased by about 133,700 positions. I’ll say that again: 133,700 government positions. At the same time, so over this five-year time frame, the private sector has experienced a much smaller growth rate of about 34,900 positions. Again, previous five years, 133,700 public sector, or government jobs, growth in the size of government, and only 34,900 private sector jobs.
The January 2024 labour force survey for British Columbia reveals that B.C. experienced a net loss of 2,600 jobs. Again, that disparity between public and private sector continues to grow dramatically.
I would say the contrast to that was the final five years of the former government, which I was part of. In those last five years of our government, the public sector was grown by 26,300 positions, and the private sector grew by just under 260,000 positions. So a very, very significant contrast between the track record of this government and its emphasis on massively increasing the size of government, which in and of itself would not be a problem if we were seeing a requisite growth of the private sector in British Columbia…. But that’s the problem. We’re not. We’re not seeing that.
Given this disproportionate growth in public sector versus private sector employment under this government, and I appreciate the minister’s comments on this, how does the government address the concerns that such a massive imbalance and a weighting of growth in the public sector, without necessarily having the private sector growing at the same rate to actually pay those bills…? How does that not drive significant inflationary pressure in this province?
Racking up the credit card. It’s increasing our interest payments and our debt payments. Ultimately, there’s only one way that this ends, and that’s through more higher taxes and probably even worse results when it comes to service delivery.
Can the minister please speak to why the government that she’s part of, and as the Jobs Minister, the emphasis has been to grow the public sector at four times the rate of the private sector over the last five years?
Hon. B. Bailey: Let’s talk about B.C.’s economy under this government. Between 2017 and 2022, B.C.’s economy expanded by 14.4 percent, the strongest GDP growth among all large provinces — ahead of Ontario at 10.2, ahead of Quebec, ahead of Alberta.
Since July 2017, B.C. has added over 261,000 jobs, of which 88 percent were full-time. Since July 2017, B.C. has added 119,500 private sector jobs. Since July 2017, B.C.’s average wage has increased by $9.80, or 37.1 percent. There has been $84 billion of private sector investment in B.C. since 2017, and our GDP growth since 2017 is the fastest in Canada among large provinces.
Speaking of exports, in 2022, B.C.’s goods exports to other countries and other provinces totalled $64.2 billion, up 3.1 percent from 2021 and 2.4 percent from 2017. In 2022, B.C. services exports to other countries and other provinces totalled $57.6 billion, up 11.2 percent from 2021 and 14.9 percent since 2017.
I’m sure the member has other questions, so I’ll hold back some answers. But our economy, which is diverse, continues to perform well.
T. Stone: Well, it’s staggering to hear the minister’s assessment of this NDP economic miracle that has taken hold in British Columbia, where we’ve seen the government is collecting $22 billion more in taxes every single year than was the case in 2017. We’ve seen, as some have referred to it, this atmospheric river of red ink with $28 billion accumulated deficits projected for the next three years, the debt doubling in seven years. On and on it goes.
The employment picture…. What matters is: what is the trend line that the province is on now? When I reference the previous five years — these are StatsCan numbers — I would suggest that the numbers that the minister has referenced back to 2017 have baked into them the continued draft of the exceptional fiscal management of the previous government, a huge surplus that was left, massive fiscal capacity that was left, and this government is blowing it. They’re blowing it.
When you look at the previous five years of employment growth in this province, it is 133,700 public sector jobs and it is 33,000 private sector jobs. Again, that’s a fourfold difference between the growth in the public sector versus the growth in the private sector.
I would suggest that we focus on: what does that trend look like for the past five years, and what does the trend look like in the three-year fiscal plan moving forward? Because it’s not a pretty picture.
I want to ask the minister this question: what is the minister doing, what is the ministry doing, what is the government doing to spur on private sector jobs growth in this province?
Why is there no private sector jobs plan with a sector-by-sector focus that has targets, that is measured, that is adjusted as you move forward through it, that is aligned with labour force needs and aligned with training and aligned with all of those different pieces that must come together for success to be achieved in our sectors? Where is that private sector jobs plan, and what is the plan to actually focus maybe a little less on continuing to grow the size of government and a heck of a lot more on growing the private sector?
Hon. B. Bailey: There are so many different ways I could answer this question. We’re making such significant investments in private sector jobs and growing the economy. I think the way that I’ll frame my answer is that under the StrongerBC economic plan, we have particular strategies by sector that help us grow the economy. These are specifically areas of the economy that can truly be major drivers, going forward, that provide high-paying jobs in sectors that we want to see expand.
For example, our B.C. life sciences and biomanufacturing strategy, our intellectual property strategy, our B.C. maritime industries strategy, our B.C.’s trade diversification strategy, our mass timber action plan and, of course, our B.C. maritime strategy.
I think it’s also important to point out that we’ve got tools that are helping us grow the economy not just in the Lower Mainland. This is really important. We know that if small-town British Columbia is not working, the province is not working, and that’s very important to us.
We’ve got a number of different tools that help us with economic development in the regions. Two that I’ll highlight are our manufacturing jobs plan, which is a $180 million plan, and our REDIP program, which has provided funding for more than 200 different projects for regional economic development.
We also have our Quantum Algorithms Institute and our agritech institute as well.
To share a couple of examples of investments that we’ve made of late that will really highlight the growth that we’re seeing in the private sector, certainly the member opposite is aware of the investment in E-One Moli.
This is over $1 billion that’s being invested by a private company in conjunction with an investment from this ministry, from the federal government and then money from the private company, to build out a lithium-ion battery facility in Maple Ridge. It’ll be 450 jobs. It’s contributing to our goals in the low-carbon economy, and it’s building really high-quality jobs that we want to attract to the province.
So too we’ve seen investments in Cariboo mine.
I’ll highlight the investment that we’ve made in AbCellera, which is part of our life sciences strategy. I think I’ll probably have an opportunity to speak more about that, but just to highlight this particular investment: $75 million from the province, $225 million from the federal government and $401 million from the private sector investor AbCellera themselves.
This is for a $701 million facility that’s growing out in Mount Pleasant. And these are very high-quality jobs. These are scientists and lab techs that are not only creating opportunities for scientists in British Columbia but are actually attracting scientists who were impacted by the brain drain that has often happened to Canadian scientists and are coming back home to work in our province.
I met a gentleman who was a graduate from UBC. He’d been gone for decades, working in Europe, and is so excited about our life sciences strategy because he has an opportunity to work right in British Columbia, where he wants to be, and is now working at AbCellera.
We’ve also seen major investments in DP World and in Blackwater mines. I have a long list of private sector investments. Our private sector….
What we see is that people are investing in British Columbia because they understand that our economy remains strong. There are incredible opportunities in British Columbia. We have a very, very talented workforce, some of the best universities in the world, and we’re taking advantage of all of those things to attract the type of investment that we want here in British Columbia.
T. Stone: Well, again, I want to come back to and try and focus the discussion on results, actual outcomes. As I said, over the last five years, there have been 133,700 more jobs in government, in public sector. There have been 34,900 net new jobs in the private sector. That’s the five-year picture.
Let’s talk about January of this year. The January Stats Canada numbers confirmed, and they were released on February 9, a loss of 7,600 private sector jobs in January, a gain of 5,000 public sector jobs and, overall, a loss of 20,000 full-time jobs.
That was the picture of our labour market results in January of this year. I would suggest that those are not positive results, but they build upon a trend that we have seen for the past five years of, again, very anemic jobs, private sector jobs growth, and four times larger public sector jobs growth.
Again, if what matters most are the actual results here, is the minister satisfied that the public sector is growing four times faster than the private sector and that private sector results, jobs growth results, are really stalling out?
We lost private sector jobs again in January, and we lost a heck of a lot of full-time jobs.
Is the minister concerned about this trend at all? Because it can’t continue for much longer, especially when the government has a massive spending problem and is racking up so much deficit and so much debt, largely through such a massive expansion in the size of government.
[S. Chant in the chair.]
The Chair: Minister.
Hon. B. Bailey: Thank you, hon. Chair, and welcome to the seat.
I’m going to respond to the member’s question in two ways.
First, I want to ask the member: do you not think we should be investing in teachers, in nurses, in doctors, in firefighters? These are public sector roles. And I absolutely support us hiring for those positions.
If you look at the challenges that we’re faced with, these are jobs that we need, and we’re so grateful for people who have stepped into those roles.
I want to also talk a little bit about the major investment table. The member suggests we need results. What we’re seeing in results is the investments that we are attracting into British Columbia all the time. Canfor in Houston, a $200 million commitment; Cariboo Gold in Wells, $137 million; E-One Moli, a $1 billion investment; AbCellera, a $700 million investment; Blackwater mine, a $730 million investment; Alkemy X, a $200 million investment; Astera Labs, a $98 million investment; Hexagon Purus in Kelowna, a $230 million investment; Wētā FX, a $200 million investment.
We’re making investments through our manufacturing jobs plan, as well, to grow out what the opportunities are in manufacturing.
Now, this is an important sector of the economy. We see a lot of upside in supporting manufacturing growth, particularly at a time when the forest sector is experiencing low lumber costs and lots of headwinds internationally. We want to make sure that there are well-paying jobs for people all throughout British Columbia. So our manufacturing jobs fund is one way that we can do that.
It’s attracting and unlocking private sector investment. That’s how this fund works. It’s not a fund that’s available to municipalities or non-profits. This is a fund that’s specifically designed to unlock private sector investment.
Let me share some of the investments. Massive Canada in Williams Lake, $10 million; Woodtone Specialties in Armstrong, $1.35 million; Punjab Milk in Surrey, $7.5 million; S&R Sawmills in Langley, $4 million; Canoe Forest Products in Salmon Arm, $2.4 million; Dr. Ma’s Laboratories in Surrey, $1.25 million; VMAC Global Technology in Nanaimo, my hometown, $2.5 million; Franklin Forest Products, Port Alberni, $2.3 million; BioFlame Briquettes, Chemainus, $1 million; Richmond Plywood, $2.3 million; Coast Tsimshian Resources in Terrace, $1 million.
There are other private investments I could mention as well, but the point is the private sector sees opportunity in our province, and they’re investing right now.
T. Stone: Well, you know, the way this works is I get to ask the questions, but I will say this, in reference to part of the minister’s previous comments. I can certainly give you a little bit of a flavour of how things would be different if we were in government.
We would eliminate the NDP’s Infrastructure Benefits Crown Corporation, this corporation that was set up to administer these community rip-off agreements, or as the government calls them, community benefit agreements. We would end that community benefits policy and the billions and billions of cost overruns that it has driven.
We would roll back the number of vice presidents in the health authorities. We don’t think we need 70 vice-presidents of health authorities in this province, when Alberta, with a similar population, manages a health care system comparable in size with seven or eight vice-presidents.
We’d roll back the massive bloat that we’ve seen in the Premier’s office, unprecedented levels of hiring in the Premier’s office. I could go on and on and on.
This is all contributing to this massive, massive increase in spending under this government, a huge increase in the size of government. What takes it to the next level of unacceptability and, frankly, disaster, fiscal disaster, is the anemic private sector record under this government.
And the minister hasn’t corrected the last five-year numbers, public versus private. She hasn’t corrected the January labour force numbers. As I said earlier, it reflected another 7,600 lost private sector jobs and 5,000 more public sector jobs, 20,000 fewer full-time jobs. The track record is terrible.
The B.C. Business Council, with respect to the anemic private sector growth in this province, said very recently: “In fact, B.C. stands apart from all other provinces in this regard, a situation that doesn’t bode well for household income growth and per-capita prosperity in the coming months.”
It seems that there are all kinds of observers who can see that the results, when it comes to employment growth in this province, public versus private, is a really, really troubling trend. And the minister, you know…. The best that the minister can say is that there’s a project over here and a project over there and whatnot. The reality is there are more jobs leaving the private sector than are coming into the private sector, more months than not. And the government’s not growing the private sector anywhere close to the rate — four times greater growth in the public sector.
Again, I want to ask the minister…. I’ll phrase it this way: when is the minister and this government’s focus going to shift away from only emphasizing massive employment growth in the public sector and focus on driving a thriving, vibrant, growing private sector, where the private sector is growing far faster than the public sector?
When is that shift, if it ever takes place…? When is it going to take place under this government?
Hon. B. Bailey: I will take the opportunity to correct the record and read some accurate numbers in from Stats Canada. Private sector employment totalled 1,815,500, which is 64 percent of total employment. Self-employment totalled 435,600, and public sector employment totalled 584,200, 20.6 percent of total employment, as of January 24, and that’s the latest available.
In January 2024, B.C. added 3,300 private sector jobs, third amongst provinces. It’s worth noting that the total employment in British Columbia increased last year by over 70,000 jobs. I’ve heard the member make reference to “four times the amount.” I’ll share our four times the amount. That’s four times the amount of job growth than when the leader of your party was the Finance Minister.
T. Stone: Still no acknowledgment or response from this minister on this government’s terrible private sector jobs record in this province. When you’re growing the public sector four times faster than the private sector — those are all the StatsCan numbers — it is astounding that the minister can’t speak to what the plan is to actually reverse this disparity.
We need to be growing. We need to see private sector jobs growth far outpace the public sector jobs growth. It is not sustainable to have the debt levels, the deficit levels, the tax levels and this massive disparity between the growth of the size of government and the growth of the private sector.
The minister has made several references to major projects. Herein is one of the canaries in the coal mine about where things are actually going, what the trajectory looks like in this province from an employment picture.
When you take the four most significant megaprojects, if I can call them that, all of which were substantially guided through the regulatory process by the former government that I was part of….
When you look at those projects — Site C, a $16 billion investment, peak employment of about 3,500 jobs in British Columbia; LNG Canada, the largest private sector investment in the history of our country, $48.3 billion, with peak employment of 7,500; TMX, a $30.9 billion private sector investment, with peak employment of 15,100 jobs in British Columbia; and the CGL pipeline, a private sector investment of $14.5 billion, and about 6,000 jobs, at peak, in British Columbia — you have a total private sector megaproject investment, between those four projects, of $109.7 billion, and a massive employment picture.
The problem is that all the projects that the minister read into the record moments ago are not projects in the billions; they’re projects in the millions. These are small potatoes, for the most part. There’s no CGL-sized project coming into the pipeline that I’m aware of. There’s no Site C–sized project, no LNG Canada–sized project, no TMX-sized project.
Why? It’s because the private sector increasingly is looking at what is becoming one of the highest-cost jurisdictions in North America, particularly in the energy sector. It’s a jurisdiction that is increasingly hostile when it comes to the regulatory environment that exists here, the red tape that has been imposed by this government, and just how long it takes to get decisions made, which has exponentially increased under this government.
When you have private sector companies that are in this level of investment, they can choose to go anywhere in the world — anywhere — to invest their capital. They used to come here. They’re not coming here at anywhere to the same extent as they used to. In fact, under this government, major project investments have been, basically, cut in half.
When we were in the government, there were 19 proposed LNG export facilities. Today, you’re lucky if there are four. and they’re way out. Again, there’s no Site C project, there are no other pipelines, and there are no major projects.
The point I’m trying to make here is: what is the minister’s plan? What is the government’s plan to account for the fact that there is a massive outflow of skilled labour and employment that’s leaving the province because those major projects that I just cited — those four massive projects — are all winding down and are very close to being done. There is nothing of equivalent size coming into this province. What is the government doing about that challenge?
Hon. B. Bailey: Madam Chair, may I request a bio break of five minutes?
The Chair: You may, indeed. We will have a five-minute recess. If everybody could be back at 5:55, please.
The committee recessed from 5:49 p.m. to 5:58 p.m.
[S. Chant in the chair.]
The Chair: I call Committee of Supply, Section C, back to order. We are currently considering the budget estimates of the Ministry of Jobs, Economic Development and Innovation.
Hon. B. Bailey: Before we broke, the member had made a comment in regard to the list of very significant private sector investments coming into the province, and I just want to counter the member’s statement.
These are not small investments; these are significant investments. What’s important to note is that they add up. These are real jobs all over the province that are family-supporting jobs. It makes a significant difference. These are not small jobs.
The member has asked me about growing private sector jobs. I’m going to talk a little bit about how we’re doing that. I’ll give the example of the life sciences sector. It’s a really important example of how this government is collaborating with industry to grow a very promising sector that has nothing but upside for our economy.
What’s really important about this particular sector, and some of the work we’re doing with our very focused strategies, is that it diversifies our economy. That’s so important. It’s one of the reasons that our economy continues to function well, despite all the economic headwinds we’re experiencing. It is because it is a diversified economy, and we’re going to continue to do that work.
Let me talk about the life sciences sector as an example of how to do that work. You see a cluster of excellence. There’s extraordinary science happening, with small businesses rolling out of those scientific discoveries, and growing.
How do you help that sector grow? You talk to the players in the sector. What would it take to make this a very significant sector?
The answers that we got were specific. Things like: “We need more wet lab space.” Things like: “We need more specific training. We need investments in anchor companies. We need to attract anchor companies that have specific experience in areas that we don’t yet have experience. We need to have stage 1 clinical trials.”
Those recommendations were exactly what we did with our life sciences strategy. And the reason it’s working is because we collaborated and listened to industry to really hear and know how to grow the sector. We’ve invested over $10 million into wet lab space. This matters, because when small start-ups roll out of the university context, they no longer have access to the very expensive equipment that it takes to do the type of research they’re doing.
When we create a wet lab, it’s like an incubator, but it has all of this expensive equipment that these smaller companies can use until they’re big enough to buy their own equipment. They told us they need it. We created that. We’re doing it in Vancouver, and we’re also doing it on Vancouver Island.
We also know that investing in anchor companies to keep them in British Columbia…. AbCellera is the example I’ll share. They have been asked to move into many other markets, but they’re staying in B.C. Their jobs are staying in B.C. Their intellectual property is staying in B.C.
This is a company that, 15 years ago, was ten people and was valuated three years ago at $7.6 billion. This is a company that has nothing but upside for our economy. We invested $75 million to keep them anchored in British Columbia. That unlocked $225 million from the federal government, 400 from the private sector company, and they will continue to be an anchor company in British Columbia with their intellectual property here, not only solving problems for British Columbians, in terms of health challenges, but for the world.
We also know that we need to attract anchor companies to continue to grow out the sector. We’re doing that. We have work ongoing. Also important that they identified that we need to have stage 1 clinical trials for them to be able to do the research here. We’re building that out as well. We’ve put in a chair at UBC. We’re building out clinical trial space at Mount Saint Joseph Hospital.
The question was: how do we build out private sector jobs? The answer is this example. We know, through the research from life sciences that, over five years, they expect 20,000 jobs in this sector because of the work that we’re doing together. Having a diversified economy is what makes us strong. And the investments that we’re making will pay dividends for British Columbians.
T. Stone: Well, I certainly am well aware of the sector that the minister just cited and have met with representatives from numerous companies in that sector. I understand that there is some progress being made in this particular sector. But I think the point of this discussion over the last hour or so is this. There is simply nothing happening, from a significant major project perspective.
The minister rattles off all these projects. In and of themselves, I’m sure there are many worthy projects. But they’re in the millions. I’m talking about major projects that are in the billions. I’m talking about projects like the four that I mentioned in my last question.
The reality is that the value of major natural resource projects in B.C. has fallen by half. It’s down from $185 billion to $92 billion. The major projects overall are tailing off. Maybe the volume of very small projects is there, in the minister’s mind. But it doesn’t add up to the overall investment levels that we had gotten used to, frankly, in this province for quite some time that was driving multi-billion-dollar private sector investment in this province and tens of thousands of private sector jobs growth.
Again, that anemic private sector jobs track record under this NDP government is further complicated by the fact that the NDP have a spending problem and have an obsession with the ever-increasing size of government. So 133,700 additional public sector or government jobs in five years, only 34,900 private sector jobs — that’s the five-year trend. The numbers for the most recent month that numbers are available showed, again, 7,600 lost private sector jobs and 20,000 less full-time jobs, but not to worry, 5,000 more jobs to further grow the size of government.
I’m going to finish on this note, with two questions or sort of a two-part question.
One is: with respect to the investments that the minister says are happening and the investments that the province is actually making in different private sector opportunities that are coming to British Columbia, can the minister provide us with any return-on-investment work that’s been done that, at minimum, would demonstrate what the dollar cost per private sector job is related to the millions of dollars that the government of British Columbia is spending in the private sector? What’s the ROI on that?
I think British Columbians have a right to know what they’re getting — the bang for their buck here. That’s the first part of my question.
The second part of my question would be: given the stark decline in the value of major projects under the current NDP government, can the minister explain what specific measures this government is going to implement to reverse this trend and ensure that the future economic stability of British Columbia will continue, in some regard, to be underpinned by international investor confidence, by multi-billion-dollar investments in this province? What is the government actually doing to drive those multi-billion-dollar projects back here to British Columbia and get some more into the pipeline, in complement to anything else that might be happening?
Any comment or commitment around providing us with an ROI on the millions of dollars of taxpayers’ money that this government is spending…. What’s the ROI per private sector job represented through those taxpayer-subsidized investments that the province of British Columbia is engaged in?
Hon. B. Bailey: To the last member’s question, two things I want to say.
First, it’s just not true that there aren’t major investments happening in our province right now — inaccurate. For example, $5 billion in capital to be spent in the northeast in our gas fields; Woodfibre LNG, $4.5 billion; $36 billion B.C. Hydro have committed. They’ll be building out, across our province, so many jobs. And right now in the pipe, there are 12 mines, $36 billion cap ex working its way through the system.
Before we move off this topic and move to questions from the next member, I really want to just take a moment to speak about the tone and insinuation that public sector jobs are bad and private sector jobs are good. I agree, private sector jobs are good. Public sector jobs are good. They’re so important. We’re talking about teachers and firefighters and nurses.
I will remind the member from the other side that when their government had the opportunity, they cut the public sector. I’ll tell you that my grandmother worked as a cleaner in the hospital in Nanaimo. She had a hunch on her back from scrubbing floors in emergency. This woman worked her buns off, and she got a union wage, and she bought her grandkids nice presents at Christmas. She had a little Honda Civic. She lived a reasonable life as a single mom.
The changes that the other side brought in to people in that category were awful. They were absolutely awful. They decimated that sector. They pushed those jobs out to become private sector jobs that leached money out of the system, that paid people poverty wages, that had a negative impact on our hospitals.
Yes, we’re hiring those people back in, and I’m very proud to be doing that work. So I do not accept the criticism that public sector jobs are a problem. What’s a problem is when you leach money out of the system and put people into poverty wages.
B. Stewart: I’m pleased to be here on the estimates of the ministry that includes trade. I wanted to speak about trade estimates. I know this is something that the minister and I have talked about in the past.
Minister, thank you for your last response and your passion about the issues that we’re asking questions about.
I want to talk, obviously, about trade. In 2023, B.C.’s overall exports declined by $8.49 billion. Could the minister explain what caused this staggering decline, please?
Hon. B. Bailey: Thank you to the member for the question, and welcome to the seat.
I want to speak a little bit about our overall trade exposure. For the two years prior to the year the member mentioned, our trade exports were up. However, last year we saw trade exports come down. And as the member will certainly know, we really saw changes happening in the Chinese market. Our two largest trading partners are, of course, the U.S. and China, followed by Japan and Korea. And I think the exposure that we have to the Chinese market…. For British Columbia, it’s even larger than in other provinces.
What’s really important to note is that we have rolled out last year a trade diversification strategy. And this strategy really focuses on shoring things up with our existing trade partners, in particular, our No. 3 and No. 4 trade partners, Japan and Korea. We went on a trade mission to meet with people within that economy and ensure that we’re enhancing every way we can our trade relationships in those economies.
But we’re also building out some new trade relationships. We’ve opened trade and investment offices in Vietnam, in Taiwan and we’re opening one in Mexico.
Of course, the TIR representatives in those markets will be helping ensure that the opportunity for British Columbia companies to really expand their sales into those markets go forward.
B. Stewart: We’ve seen this decline of over 13 percent. Now this is coming just seven and a half months after this trade diversification strategy the minister just spoke of. And I’m just wondering how that plan…. I realize that China has dropped, and there are reasons for that. But other markets are showing signs of increases. Japan is a good example, and it’s in metallurgical products and things like that.
I guess the question really is: what really is the diversity, the strategy that you refer to…. Is it not working, or is it a case that this change in focus has taken the TIRs and those markets that you spoke of, including the three new ones…? Has it taken them off where they were focused previously?
Hon. B. Bailey: In response to the member’s question, it’s very important to distinguish the value coming down but not the quantity of exports. Of course, we’ve seen commodity prices coming down. We’ve seen wood prices coming down. So this is why we’re seeing the numbers come down in terms of export numbers. These numbers are chained.
I do also want to mention that the new trade offices are net new. This is not pulling people off of something else. We continue to really enjoy the excellent work that our TIRs do. They’ve been embedded in the government of Canada work that’s happening, their trade offices, and we’re seeing that really pay dividends to us. I think E-One Moli is a great example of what’s happening there.
In regards to whether our trade diversification strategy is working, the strategy was rolled out last year. It’s far too early to make assumptions about whether it is or is not working, but certainly, the relationships are being formed.
I know the member opposite has spent time in Asia and understands that breaking bread together and building relationships is so key to ensuring that we’re growing out the opportunities in different markets. So we do expect our trade diversification strategy to bring in tremendous opportunities to our B.C. companies.
I’ll share one excellent story that I’m aware of in the trade diversification strategy of a seafood company on Vancouver Island that’s exporting into the Korean market and was exporting a product that was quite breakable and very challenging and had quite a lot of loss in its transportation. Our TIR in that market identified that were they able to create a paste with that seafood product, it would be quite successful in Korea, which, in fact, was the case.
Our TIRs are doing amazing work for us, and it really is a wonderful opportunity for our companies to find new markets and new ways to sell their products abroad.
B. Stewart: I mean, you’re putting the decline as a percentage based on commodity prices. That’s what I just think I heard the minister say — nothing to do with the new strategy.
I know we don’t have much time here, but I do want to talk a little bit about…. There’s a B.C. Business Council report that’s out that suggests that LNG is going to add $4.4 billion to $6 billion in energy exports.
My question really is around…. With LNG Canada, with the two trains that it has, and with Woodfibre, which you just cited as an investment that’s coming up…. Are we going to be able to hit those targets with only four LNG projects that are left on the list that we had that was around 20 when the government started and worked on this?
I guess the question really is: how are we going to hit those target numbers with only four projects, one of which is nearing completion and the other three that have…? I don’t know if they’ve reached FID yet, but I guess the question is: are we going to be able to hit those target numbers of LNG exports?
Hon. B. Bailey: I would suggest that the member ask questions specific to LNG to the Minister of Energy. I think those questions will evoke a very thorough answer with strong projections.
The area that we’re responsible for is the trade diversification strategy. Our work really focuses on a couple of different things. One is to ensure that we’re not reliant only on one or two or three markets and that we have a broad range of markets that our companies are selling into and also that we’re attracting investment from. That’s really the focus of our trade diversification strategy.
B. Stewart: I guess the question I’d have is…. We’re spending, on average, over $27 million on the trade offices. I’d want to know, if I was going to be counting on a product….
I guess, in terms of that answer, meaning that I can ask the minister…. Has the minister responsible for trade been given an assurance that they’re going to hit these targets, in terms of volumes?
Hon. B. Bailey: I am going to ask the member to raise these questions with the Minister of Energy, Mines and Low Carbon economy. I know that she will have access to very robust information. I don’t want to misstep and would prefer that the minister who has that mandate respond to that question.
B. Stewart: Okay. I will do that, based on the minister’s direction. Thank you.
There was an FOI request that came in from Coastal Front news on the financial statements of B.C. trade, hence the number of $27 million per year, on average, between the last four fiscal years, with each office costing roughly around $5 million.
I’ve got two parts to this question.
These numbers don’t include the two-week government trade mission that the Premier and three other ministers undertook in May. Despite the claims of facilitating export deals through overseas trade offices, the results show this $8.49 billion decline in B.C.’s overall exports.
Can the minister outline what was achieved by the opening of the three new international trade offices? Secondly, you mentioned they were co-located. I just want to confirm that Taiwan is co-located. If you could confirm Vietnam and Mexico as well.
Hon. B. Bailey: I want to, first, begin by just really highlighting the incredible quality of work that our TIRs do. I had the opportunity to meet them when I travelled to Asia on the tour that the member mentioned. I’ve hosted them a number of times here in British Columbia.
I want to share from the experience of being an entrepreneur. When I was an entrepreneur in the tech sector, I wanted to work with a particular company in Japan. There was a great opportunity for us to rebrand technology that we had made for that market. Try as I may, I was not able to get the meetings that I wanted to get. A small studio in Yaletown with 36 employees just didn’t register.
When I worked with the trade office that British Columbia had in Tokyo, the opportunities changed dramatically. It was incredible: the quality of meetings that they were able to get for me, the relationships we were able to build, the social environments that they set up with me that I was unable to do on my own and, in fact, led to the success in that market.
I know as an entrepreneur what that was like, in interfacing with trade representatives who not only have all of those relationships but have the language skills and, so importantly, have the cultural skills and can help an entrepreneur, who doesn’t know that culture, translate how they do their work, how they communicate, what they wear, how they hold their business cards, so many things that you need to know when you’re going into a new market.
I did just want to share that I know firsthand the value that our trade and investment representatives bring.
The member asked in regards to the costs of the offices. I’m going to talk about the TIR costs. These are the specific offices. In 2019, the total for our offices was just over $11 million. In 2020, just over $10 million. In 2021, of course, that dropped — we all know that we were in a pandemic, and there were unusual times — to just over $5 million. In 2022, just over $7 million. In 2023, $9,205,946.17.
I will share with the member that, yes, all three of our new offices — the one in Taiwan, the one in Vietnam and the one in Mexico — are co-located.
B. Stewart: I might have to change my mind. I’ll tell you what. My reason for the cost, really, was how you’re addressing that decline of 13.1 percent, which you gave an answer for earlier.
I do want to find out…. I know that B.C. Wood, which was funded mostly by the federal government, has, I think, closed. Well, their website is down today, so maybe that’s not accurate.
My main concern about it is that B.C. Wood was the value-add expertise, not co-located but worked on trade missions. I guess one of the concerns about it is that it’s…. I believe one of the government’s priorities is value-added wood products. Now, we’ve seen a fairly significant decline in lumber sales. Softwood is off significantly, last year recording 7.9 percent of the commodity value. I’m concerned about that because, of course, of the communities that are dependent on forest products.
I’m not asking about that. I am concerned, though, that B.C. Wood has expressed a concern about federal government funding and whether the province has been able to find a way to keep them afloat.
I guess, in terms of my previous question, I’d be interested in knowing how we’re going to have that number get back to where it was. I realize we don’t control commodity prices. However, some of the success that you’re having in Japan, for instance, would indicate that there is a global demand for some of the products that British Columbia has.
I am a bit distressed by how wood products would be in decline in Japan, knowing how the Japanese value wood products. Well, it says here that you were in Japan, and I think that you would appreciate the high value that they have. I know that they have shyu go, which is another competing wood product, domestically produced. However, it’s not nearly the same product.
I guess my concern is: are there going to be further investments into these trade offices to bring those numbers back up and keep the economy growing?
Hon. B. Bailey: In regards to B.C. Wood, it’s still very active, in fact. I’ll share with the member that the overall market in Japan has somewhat flattened for wood, and we attribute that to an aging population and less residential starts. But the opportunity there is in terms of things like seniors’ care and non-residential buildings and hospitality and tourism.
I’ll share also with the member that the Minister of Forestry was, in fact, quite recently in Japan and took a forestry delegation there in December to explore these opportunities for British Columbia.
The Chair: Seeing no further questions, I ask the minister if they would like to make any brief closing remarks.
Hon. B. Bailey: I’d just like to thank the member opposite and the member prior for their questions and the opportunity to talk about British Columbia’s economy. We’re so proud of the diversity that we have in our economy and the opportunities that stand in front of us, and we’re devoted to continue to do the work to take advantage of those opportunities for British Columbia.
The Chair: Thank you so much, Minister, and thank you to the members.
Vote 37: ministry operations, $115,278,000 — approved.
Hon. B. Bailey: I move that the committee rise, report resolution and completion of the estimates of the Ministry of Tourism, Arts, Culture and Sport and the Ministry of Jobs, Economic Development and Innovation and ask leave to sit again.
Motion approved.
The committee rose at 6:49 p.m.