​In last week’s report I provided some highlights on the recent 2019 budget and asked citizens if they liked what they saw in the budget so far. 

I also made a commitment to share my own thoughts on this budget as an opposition Member of Parliament. 

Most critics have labelled this budget as an ‘election year goodies’ budget that targets certain voting demographics that the Liberals hope will translate to votes in the October election.

While I do not disagree with that sentiment, I would submit that most every sitting government in an election year tables a budget that it believes will be politically popular. 

My concern with this budget is somewhat different.

As you may have heard, household debt levels here in Canada are at an all-time high. 

Household debt as a percentage of gross income in 2016 was 166%. 

In January of 2019 that has now increased to 176%. 

Why do I mention that in the context of this budget?

The new “Canada Training Benefit” on the surface sounds like a good program encouraging job skills retraining. 

However when you read the fine print only $250 is available per year up to a career maximum of $5,000.

The challenge that I am already hearing is the majority of training programs cost well in excess of that amount. 

Many skills training programs are literally thousands of dollars or more. 

For many workers to benefit from this $250 training credit it will mean borrowing thousands and increasing household debt.

Similarly, to access the credit of $5,000 towards the purchase of a new electric car for most would mean borrowing up to the maximum for the program amount of $45,000. 

This again results in more household debt for anyone borrowing for a new vehicle purchase.

A similar situation is created with the new home buyers program. 

Rather than eliminate the GST on affordable new housing (as has been done with the PST provincially), this budget only offers more options that encourage borrowing. 

Borrowing $10,000 more from your RRSP, up to maximum of $35,000, is  an option that few new home buyers can access.

The new first time home buyers incentive on the surface sounds helpful. 

The program can help provide between 5-10% of the down payment towards a maximum CMHC insurable mortgage up to $480,000, not counting the total down payment.

The challenge with this program is also in the fine print. 

The maximum $480,000 mortgage value is also based on the programs maximum allowable household income level of $120,000 annually. 

In a community where the average household income is $70,000, the maximum value under this program is set at 4 times the income, meaning a CMHC insurable mortgage limit of just $280,000. A significant difference.

These are just a few examples that all point towards increased household debt in order to access the benefits of these programs that ironically are themselves being offered by a $19.8 billion deficit budget.

My question this week: 

At this current rate of spending, by 2040, an additional $271 billion in new debt will have accumulated, not factoring in household debt levels. 

Are you concerned about this?

I can be reached at Dan.Albas@parl.gc.ca or call toll free 1-800-665-8711.

The Liberal 2015 campaign promise was to deliver three years of “modest” $10 billion dollar deficits with a return to a balanced budget in 2019. 

 This week the Liberals presented the 2019 budget that clearly reveals Mr.Trudeau not only broke his “very cast in stone” promise to return to a balanced budget but also that he made no effort to do so.

 The 2019/20 deficit forecast is set at close to $19.8 billion. 

 This is on top of the $60 billion in deficits added in the first three Liberal budgets. 

 The current budget indicates there is no path to balance until at least the year 2040, by that point racking up an additional $271 Billion in new debt.

 So where is all of the money going? 

  Program spending is a significant part with an increase of $22.8 billion in spending over the next five years. 

 A brief summary of some of that from the 2019 Budget:

 A new job retraining program for eligible workers aged between 25-64 that will provide up to $250 per year to a career maximum of $5000.

An increase to the maximum a first time home owner can borrow from their RRSP from 25,000 that will now be increased to a limit of $35,000.

A new shared equity home ownership plan where CHMC will provide a shared matching contribution between 5-10% towards the down payment on a new or existing home. Citizens with a household income under $120,000 may qualify. This will be limited to a purchase price that cannot exceed more than four times the annual household income

Those who can afford to purchase a new electrical vehicle may now be eligible for up to a $5,000 federal credit on the purchase.

There is also a commitment to spend $35 million over 4 years to create a new federal Canadian drug agency, assumedly in Ottawa, that can work towards bulk buying drugs on a national scale. 

Aboriginal communities will also receive $1.4 billion over 7 years to forgive outstanding legal fees resulting from treaty and land negotiations. Indigenous groups that have already paid these fees can be eligible to have them repaid under this program.

Interest rates on Canada Student Loans will be lowered to prime and will be interest-free for 6 months after graduation.

$553 million has been budgeted over the next 3 years to attempt to fix the failed Phoenix pay system.

There will also be changes to the GIS income earning threshold so that a working senior may claim more income without affecting the GIS support levels.

This is only a brief summary of some of the measures contained in the 2019 federal budget. 

Many critics have largely labelled it a “political goodies budget” specially targeting certain voting demographics that the Liberals hope will translate to votes in the October election. 

I will reserve my own thoughts in an upcoming MP report. 

My question this week: 

Do you like what you see in the 2019 Budget so far?

​I can be reached at Dan.Albas@parl.gc.ca or call toll free 1-800-665-8711. 

Although this is a constituency week with the House of Commons recessed, much attention remains on Parliament Hill for a few important reasons. 

Public safety was a primary concern, as Transport Minister Marc Garneau made the decision to ground the use of the Boeing 737 Max 8 aircraft in Canada.

This decision is following the recent tragic crash of a similar 737 Max 8 aircraft flown by Ethiopian Airlines that resulted in the devastating loss of all passengers and crew on board, including 18 Canadians, with several from B.C.

 At the present time there is no schedule on when this order will be lifted.

Air Canada, WestJet and Sun Wing Vacations are all working, in support of this decision, to resolve the many impacts on Canadian travelers who will be affected by this order.

 While on the topic of airlines, recently I met with Air Canada over the potential loss of flights at the Penticton airport.

Although Penticton is no longer in my riding, many citizens in communities that I do represent will be adversely impacted by this proposed new schedule as Penticton is their closest regional airport.

Air Canada is aware of the concerns and has made a commitment to look at how potential scheduling changes could be incorporated to help mitigate this situation.

Currently, the last flight in to Penticton results in the aircraft and crew staying in overnight before becoming the first flight out in the morning. 

Any potential solution must bear this in mind as the new schedule no longer has the aircraft and crew overnighting in Penticton, which complicates the ability to schedule the early morning flight the next day. 

We will look forward to what Air Canada comes up with in response to the concerns that were raised.

The other issue in Ottawa this week was the surprise move by the Liberals on the Justice Committee to use their majority to adjourn the meeting before any debate or discussions could occur over recalling former Justice Minister Jody Wilson-Raybould.

This discussion arises from recent statements provide to the Justice Committee by the Prime Minister's former Principal Secretary, Gerald Butts and the Clerk of the Privy Council, Michael Wernick.

These statements, that the Liberals also blocked from being given under oath, had some inconsistencies with the previous testimony from Ms. Wilson-Raybould.

Both opposition parties agree that in order to clarify these inconsistencies, Ms. Wilson-Raybould should be given the opportunity to respond.

To date, the Liberals have used their majority to block this from happening.

This action by the Liberals is leading some, including the opposition, to raise concerns over a possible cover-up. 

My question this week:

Do you believe that Ms. Wilson-Raybould should have the opportunity to appear before the Justice Committee for a second time to respond to these recent statements? 

I can be reached at Dan.Albas@parl.gc.ca or call toll free 1-800-665-8711. 

​Although the House of Commons is not sitting until Monday, March 18 much attention remains focused on Parliament Hill as the Justice Committee is meeting this week and hearing more details on the growing fallout of allegations of political interference coming from the highest levels of the Trudeau Liberal government.  
 
This ongoing situation also recently saw the former Liberal President of the Treasury Board, Jane Philpott, announcing her resignation from Mr. Trudeau’s cabinet referencing a loss of confidence in how the government has handled the situation with SNC Lavalin.
 
My intent in this week’s report is not to further discuss the ongoing SNC Lavalin details but rather another recent Government policy announcement that was announced but largely overlooked as a result of the SNC-Lavalin situation occurring in Ottawa.
 
Last week the federal government announced marijuana pardon legislation for those individuals who have a previous conviction for the simple possession of cannabis. 
 
The Liberal Government describes Bill C-93 as “An Act to provide no-cost, expedited record suspensions for simple possession of cannabis.”
 
The Liberals have stated they would like to see the law passed by the summer of 2019. 
 
The stated goal of the bill is to break down barriers for those individuals with a criminal record related to cannabis possession now that legalization has occurred.

Currently there is a $631 fee for a pardon along with a waiting period that are both proposed to be waived under this bill.  
 
Estimates from Ottawa indicate this bill could apply to as many as 400,000 Canadians although it is unknown how many will actually apply.

Total costs for this bill with the processing of pardons could be in excess of $300 million. 
 
It should also be noted that a pardon is not the same thing as an expungement that formally removes all records related to the office in question. 

This is an important distinction because there can be situations when a pardon is not recognized at the border of another country resulting in a refusal of entry.

My concern with this bill is one of cost and fairness. 
 
While I support the principal of issuing a pardon, I do not believe it is fair that Canadians without criminal records are paying for a program requires no financial contribution from those who will access this program. 

My question this week asks the same question. 
 
Do you support Bill C-93 being fully funded by taxpayers? 
 
I can be reached at Dan.Albas@parl.gc.ca or call toll free 1-800-665-8711.