Hansard #201

May 15, 1995

35th Parliament, 1st session

306 interventions

Quick Summary

The House debated provincial flexibility in healthcare and the privatization of Canadian National Railway (Bill C-89). Significant progress was also made on administrative reforms to veterans' pensions (Bill C-67) and the Old Age Security system (Bill C-54).

Key Points

  • The Reform Party proposed a motion to allow provinces greater flexibility in health insurance, arguing that decentralization would lead to better clinical outcomes and fiscal management.
  • The Liberal government introduced Bill C-89 to privatize Canadian National Railway, setting a 15% limit on individual share ownership to prevent a single interest from controlling the company.
  • The Bloc QuĂ©bĂ©cois and NDP expressed strong concerns about foreign ownership of CN Rail, with the NDP characterizing the privatization as a dismantling of a vital national infrastructure.
  • The Reform Party raised health concerns for veterans, specifically citing 'Gulf War Syndrome' and the side effects of the anti-malarial drug mefloquine ('Psycho Tuesday') as issues the government is slow to recognize.
  • Debate on Bill C-54 focused on whether the Minister should have the discretion to forgive Old Age Security overpayments, with the Reform Party demanding an annual report to Parliament for better fiscal accountability.

Productivity Assessment

Rating:

HIGHLY PRODUCTIVE

Reasoning: The House successfully moved Bill C-89 to committee, passed Bill C-67 at third reading, and completed the report stage for Bill C-54, representing significant legislative advancement.

Citizen Impact: Seniors will eventually see less paperwork for OAS/GIS applications; veterans may see shorter wait times for pension decisions; and the privatization of CN Rail will open the company to public investment.

In-depth Analysis

This session highlights a pivotal moment in Canadian policy history, characterized by a shift toward decentralization and privatization. The Reform Party's motion on healthcare signaled a growing provincial appetite for flexibility, challenging the federal government's rigid interpretation of the Canada Health Act. Meanwhile, the introduction of Bill C-89 (CN Commercialization Act) marked the beginning of the end for one of Canada's most iconic Crown corporations. Debate on this bill revealed a split in opposition tactics: the Bloc Québécois focused on protecting Quebec-based jobs and jurisdiction over short-line railways, while the Reform Party pushed for the liquidation of non-rail assets to pay down debt. The NDP stood alone in outright opposition to the sale, framing it as a loss of national sovereignty. In the social policy sphere, the debate on Bill C-54 (Old Age Security) showcased the tension between the Liberal government's drive for administrative efficiency and the Reform Party's demand for strict fiscal accountability regarding overpayments. The session concluded with the passage of Bill C-67, despite Reform concerns that merging veterans' appeal boards would weaken the advocacy rights of aging veterans.

Transparency and Accountability

The Reform Party repeatedly called for greater transparency in the OAS and CPP systems, specifically requesting reports on administrative errors. The government maintained that current reporting through Public Accounts is sufficient, leading to an 'accountability gap' in the eyes of the opposition.

Votes and Outcomes

Motion: Reform Motion No. 7 to Bill C-54 (OAS Overpayment Accountability).

FAILED

Significance: The government rejected the proposal to have a parliamentary committee set limits on forgiven overpayments.

Motion: That Bill C-89 (CN Commercialization) be referred to committee.

PASSED

Significance: Initiates the formal legislative process to sell the Crown-owned railway to private investors.

Motion: Third reading of Bill C-67 (Veterans Review and Appeal Board).

PASSED

Significance: Finalizes the restructuring of the veterans' pension appeal system in the House of Commons.

Citizen Relevance

Who is Affected: Veterans, seniors, and rail industry employees are most directly impacted.

Practical Implications: Veterans may experience a faster but less independent pension appeal process. Seniors will no longer have to reapply annually for the Guaranteed Income Supplement if their income is stable. The general public will soon have the opportunity to buy shares in CN Rail.

Timeline: The CN privatization and OAS administrative changes are targeted for implementation by July 1, 1995.

Next Steps

Bill C-89 (CN) proceeds to the Standing Committee on Transport for detailed review. Bill C-54 (OAS) will move toward third reading. Bill C-67 (Veterans) moves to the Senate.

Notable Moments

  • Minister Douglas Young welcomes Progressive Conservative leader Jean Charest back for his 'monthly appearance' in the House. (Impact: Highlights the diminished status of the PC party at the time, reduced to only two seats.)

Keywords

Healthcare
Privatization
CN Rail
Veterans
Old Age Security
Gun Control
Dispute Resolution
Accountability