Hon. Raymonde Gagné (Legislative Deputy to the Government Representative in the Senate) moved third reading of Bill C-15, An Act for granting to Her Majesty certain sums of money for the federal public administration for the fiscal year ending March 31, 2022.

She said: Honourable senators, I am pleased to rise today to introduce the appropriation bill for the 2021-22 Supplementary Estimates (C).

Through this appropriation bill, the government requests Parliament’s approval of the planned spending proposals that are detailed in the Supplementary Estimates (C).

[English]

As my esteemed colleagues well know, the appropriation bill is a vehicle through which payments from the Consolidated Revenue Fund are authorized for government programs and services.

The voted amounts in these supplementary estimates represent maximum “up to” ceilings or estimates. It is, therefore, not out of the ordinary if these amounts are not fully spent over the course of the year. The actual expenditures are listed in the Public Accounts of Canada, which are tabled after the end of the fiscal year.

The estimates family of documents, which consists of the Main Estimates, supplementary estimates, departmental plans and departmental results reports, in conjunction with the public accounts, help parliamentarians scrutinize government spending. This scrutiny is a key element of our parliamentary system. This scrutiny, we must acknowledge, is not always a straightforward matter.

A number of our colleagues on the Standing Senate Committee on National Finance did express some difficulty in ascertaining information in a timely fashion. I want to assure my colleagues that the Government Representative Office in the Senate has taken note, and continues to consistently deploy its best efforts to bring this to the attention of the government.

[Translation]

That said, I will talk about the Supplementary Estimates (C), 2021-22, which form the basis of this appropriation bill.

As my colleagues know, supplementary estimates present information on additional spending requirements that were either not sufficiently developed in time for inclusion in the Main Estimates or that were subsequently refined to account for recent developments.

The Supplementary Estimates (C), 2021-22, were tabled in the Senate on February 21, 2022. These are the third and final supplementary estimates for the current fiscal year.

In general, they provide information on $13.2 billion in new voted spending for 70 federal organizations. They also present information on an additional amount of $3.9 billion in planned statutory budgetary expenditures.

It is important to note that these statutory expenditures were authorized either under existing laws or in the proposed—

Hon. Raymonde Gagné (Legislative Deputy to the Government Representative in the Senate): The supplementary estimates provide information on $13.2 billion in new voted spending for 70 organizations. They also present information on a $3.9-billion increase in forecast statutory expenditures.

The $3.9-billion increase in statutory expenditures is due to expenditures proposed in the Main Estimates. This amount includes the following increases, and note that figures have been rounded: $2.4 billion for the Canada Worker Lockdown Benefit; a $1.6-billion increase in interest on unmatured debt; $300 million in proposed payments to provinces and territories for proof-of-vaccination initiatives; $100 million for ventilation improvement projects in schools; a $209.1-million increase to Canada Student Grants.

[English]

For context and awareness, I think it may be helpful to break down spending found in the estimates for the current fiscal year. In these Supplementary Estimates (C), the proposed budgetary authorities for 2021-22 amount to $415 billion, including $188.8 billion in planned voted expenditures and $226.2 billion in forecast statutory expenditures.

The 2021-22 Main Estimates presented $342.2 billion in planned budgetary spending for 123 organizations to deliver programs and services to Canadians. This consisted of $141.9 billion in voted expenditures and $200.3 billion in statutory spending, authorized or proposed through other legislation.

The Supplementary Estimates (A), which were tabled last spring, included an additional $24 billion in voted budgetary spending and $17.2 billion in forecast budgetary statutory expenditures across 45 federal organizations.

The Supplementary Estimates (B), tabled last November, proposed additional authorities of $13.4 billion in forecast statutory expenditures. Voted expenditures require annual approval from Parliament through appropriation bills, like the one before us today, whereas statutory spending is approved by Parliament through legislation other than an appropriation bill.

[Translation]

Honourable senators, I would also like to point out that nearly $2.2 billion of the budgetary expenditures presented in Supplementary Estimates (C) relates to announcements made in Budget 2021, including $148.4 million for the Small Craft Harbours program, $126.9 million to promote our official languages, and $91 million to advance clean fuel markets and carbon capture, utilization and storage technologies.

Allow me to present a breakdown of the proposed spending in these supplementary estimates. The government is focusing its efforts on important priorities for Canadians, including climate change, housing, education, water treatment, health services and emergency response activities for Indigenous Canadians and their communities, as well as housing and infrastructure projects.

Approximately 81% of the voted spending sought through these supplementary estimates is being requested by 10 organizations. Of those 10 organizations, 6 are each seeking more than $500 million to support their priorities.

Today, I will be providing a breakdown of the major expenditures. The largest expenditures are attributable to the Department of Health, which is seeking $3.7 billion, and to the Public Health Agency of Canada, which is seeking $3 billion. Next, the Department of Foreign Affairs, Trade and Development is seeking $828.2 million. A sum of $766.4 million is set aside for the Department of Indigenous Services. A sum of $638.3 million is earmarked for the Department of National Defence, and $521.8 million is proposed for the Office of Infrastructure of Canada.

[English]

As with recent supplementary estimates, the top priority remains the health and safety of Canadians. Honourable senators, I’m pleased to say that we have come a long way in our battle with COVID-19. Hospitalizations are decreasing, the rate of infection is decreasing and many provinces have either removed or have begun to remove various public health restrictions.

But let us be clear: The reason we can begin to ease certain restrictions with confidence is because of vaccines. COVID-19 vaccines save lives and greatly reduce the risk of severe illness and hospitalization. When paired with other public health measures and tools at our disposal, we are better able to manage the virus and mitigate its impact.

These supplementary estimates propose $6.9 billion for the government’s ongoing response to the COVID-19 pandemic. The government has committed to support provinces and territories through the pandemic, with procurement and distribution of COVID-19 rapid tests being an important tool.

With the spread of the Omicron variant, demand for rapid tests has grown, causing existing inventories to deplete at a faster rate than predicted. Funding was requested in Bills C-8, C-10 and Supplementary Estimates (C) to support the procurement of rapid tests.

Requesting both statutory and voted spending authorities means that Health Canada and the Public Health Agency of Canada have maximum flexibility to address this urgent need.

The tabling of Supplementary Estimates (C) in Parliament allowed the immediate signing of new or increased contracts for test kits with payment upon Royal Assent. The estimates also allow for repayment of funds that were temporarily reallocated to make some purchases earlier.

Bills C-8 and C-10 are complimentary, funding purchases during the current or subsequent fiscal year. The expense for each shipment will ultimately be charged to either the stand‑alone statutory authority of Bills C-8 and C-10 or their voted appropriations.

The reality is that several potential treatments for COVID-19, including oral antivirals, are in various stages of development and study, and global demand is competitive. Supplementary Estimates (C) include new funding of $1 billion, specifically for therapeutics, treatments for infected individuals that can reduce the severity of COVID-19 for individuals and reducing the strain on the health care system. Another $1 billion has been earmarked for a wide range of possible needs, including contracting, staffing or acquisition of assets needed to respond to the pandemic. This funding may also be used to exercise options under advanced purchase agreements, as well as funding for secondary costs associated with storage distribution and deployment logistics.

[Translation]

Honourable senators, we all know how important COVID-19 vaccines are for saving lives. That is why the government is requesting $687 million to procure additional COVID-19 vaccines for future variants of concern. To ensure COVID-19 vaccines continue to be available, the Government of Canada has signed an advance purchase agreement with Pfizer Canada.

I will now talk about the proposed spending for combatting climate change. Honourable senators, it is no exaggeration to say that climate change is one of the greatest threats that we face, and it is up to the international community to find solutions to this global challenge. Canada recognizes this, which is why the government allocated $2.65 billion from 2016 to 2021 to combat climate change in developing countries, as part of the commitment we made under the 2015 Paris Agreement.

In June 2021, the Prime Minister announced that Canada would allocate an additional $5.3 billion over the next five years to continue supporting initiatives to fight climate change and biodiversity loss in developing countries.

In November, the government announced it will provide up to $1 billion to the Climate Investment Funds Accelerated Coal Transition initiative. This program is an initiative led by multiple donors that will provide funding for public sector investments to help developing countries transition from coal-fired electricity to clean power as quickly as possible. The Philippines, Indonesia, South Africa and India have already been selected for the first phase of the program.

In these supplementary estimates, the government is seeking $653.7 million for Global Affairs Canada and Environment and Climate Change Canada to help developing countries address the impact of climate change. This funding will help developing countries transition towards low-carbon, climate-resilient, nature‑positive economies, in support of the goals of the 2015 Paris Agreement.

Those departments will also receive operating funds to build their capacity to implement Canada’s new commitment to funding the fight against climate change.

[English]

Honourable senators, the government is committed to tackling this unprecedented global challenge.

Another major area of proposed funding is targeted at infrastructure needs. Honourable senators, the government is committed to developing infrastructure while ensuring sound stewardship of taxpayer dollars. Infrastructure Canada is requesting $349.3 million for the P3 Canada Fund in these supplementary estimates. This funding will support the delivery of the remaining, approved and ongoing projects that Canada has legally committed to under the P3 Canada Fund. The projects include the Agence métropolitaine de transport Pointe-Sainte-Charles Maintenance Project in Montreal; the Edmonton Light Rail Transit System; and the Tlicho All-Season Road Project in the Northwest Territories. These are important investments that will help us to make our way out of the pandemic.

The government remains committed to transparency. It continues to prioritize the way these estimates are presented with extensive explanatory documentation readily accessible online to parliamentarians and Canadians alike. I would encourage my colleagues who have not already done so to consult the GC InfoBase, an interactive online tool that presents a wealth of federal data in a visual way.

[Translation]

Honourable senators, the bill I have the honour of introducing today is important for implementing the government’s commitment to the health and well-being of Canadians, as well as other key priorities.

If there’s one thing we have learned from current world events, it’s that we are all in this together. Quality of life improvements and an effective response to the COVID-19 pandemic are equally important. The estimates show that the government continues to address immediate needs while also making long-term investments that will benefit all Canadians.

As a final point, I would like to thank all the members of the Standing Senate Committee on National Finance, especially its chair, Senator Mockler, and its vice-chair, Senator Forest, for their comprehensive study of the supplementary estimates. I really appreciate the work you do. Your thoughtful questions allow us to explore topics in greater depth than our speeches here allow us to do.

I now invite you, colleagues, to vote in favour of this bill without delay. Thank you for your attention.

(On motion of Senator Wells, debate adjourned.)

Hon. Raymonde Gagné (Legislative Deputy to the Government Representative in the Senate) moved third reading of Bill C-16, An Act for granting to Her Majesty certain sums of money for the federal public administration for the fiscal year ending March 31, 2023.

She said: Honourable senators, thank you for giving me the opportunity to speak today to Appropriation Bill No. 1, 2022-23, the government’s interim supply bill.

As you know, interim supply bills are an integral part of the normal supply cycle. In order for federal government agencies to operate, they must obtain parliamentary authority to spend public funds.

[English]

This authority is provided in two ways: through annual appropriation acts that specify the amounts and broad purposes for which funds can be spent, and through other specific statutes that authorize payments and set out the amounts and time periods for those payments.

The amounts approved through appropriation acts are referred to as voted amounts, and the expenditure authorities provided through other statutes are called statutory authorities.

[Translation]

Estimates documents are prepared to support supply bills and provide additional information on voted amounts included in those bills.

Estimates documents also include, for information only, the expenditure authorities provided to Parliament through other statutes, in other words, statutory authorities. While the Main Estimates provide an overview of spending needs for the upcoming fiscal year, the supplementary estimates present information on additional spending requirements.

These are requirements that were either not sufficiently developed in time for inclusion in the Main Estimates or that were subsequently refined to account for developments in particular programs and services.

[English]

Through the Main Estimates, the government sets out the amounts it needs to fund its operations for the fiscal year ahead, which begins on April 1. The government then tables an interim supply bill to authorize funding for the first three months of the fiscal year until parliamentarians can adequately study and give final approval to the Main Estimates in June.

The spending requested through this interim supply bill is, therefore, already included in the Main Estimates. It does not represent new spending.

Another detail about interim supply is that the amounts requested are typically based on twelfths of the amounts in the Main Estimates, notionally corresponding to monthly cash requirements. For most departmental votes, the requested interim supply represents three twelfths of the total voted authorities in the Main Estimates for the fiscal year.

In addition, for business reasons, departments may ask for more interim supply than the standard three twelfths.

This requires providing a justification to Treasury Board Secretariat, which identifies the programs, projects or payments that require additional appropriation in the first three months of the fiscal year.

Once the justification is reviewed and accepted, additional twelfths are included in the interim supply bill for parliamentary approval.

[Translation]

Colleagues, this year, the normal supply cycle is being followed. The President of the Treasury Board tabled the Main Estimates in the House of Commons on March 1, and the interim supply bill was tabled in the House of Commons on March 24. In the coming months, parliamentarians will have the opportunity to carefully examine all of the government’s spending plans before being invited to approve the remaining voted items presented in the Main Estimates through Appropriation Act No. 1, 2022-23, which is expected in June.

[English]

Through this interim supply bill, which is Appropriation Act No. 1, the government is seeking Parliament’s approval of $75.5 billion in budgetary expenditures.

Honourable senators, the Main Estimates for the fiscal year 2022-23, of which this interim supply is a portion, present the government’s ongoing commitment to meeting Canadians’ priorities. They continue to provide economic support to individuals and businesses for a post-pandemic recovery.

As you will recall, the Main Estimates provided information on $397.6 billion in proposed spending for 126 organizations, including $190.3 billion in voted expenditures and $207.3 billion in statutory expenditures.

[Translation]

As a reminder, statutory expenditures are presented in the Main Estimates for information purposes only, as they are authorized through other legislation and are not voted.

Thanks to the interim supply bill, the government will be able to do the following: implement projects started in the spring, such as Canada Summer Jobs, through Employment and Social Development Canada; make payments to the provinces and territories for home and community care, mental health and addiction services, and virtual and long-term care through Health Canada; purchase supplies of COVID-19 therapeutics, protective equipment or medical supplies through Health Canada and the Public Health Agency of Canada; and fulfill its legal obligations towards Indigenous communities, such as the McLean agreement-in-principle on Indian day schools or self-government agreements, through Crown-Indigenous Relations and Northern Affairs Canada.

[English]

Honourable senators, it’s also worth noting that COVID-19 measures represent roughly $9.2 billion, or 4.8%, of total voted budgetary expenditures in the Main Estimates. In addition, for the 2022-23 fiscal year, major economic response programs are enacted or amended by an act to provide further support in response to COVID-19 — Bill C-2.

The act extended wage and rent subsidies, increased the maximum number of weeks and extended the Canada Recovery Sickness Benefit and the Canada Recovery Caregiving Benefit, and enacted the Canada Worker Lockdown Benefit Act to authorize the payment of the Canada Worker Lockdown Benefit in regions where a lockdown is imposed for reasons related to COVID-19. This reflects the government’s continuing commitment to invest in Canada’s response to the COVID-19 pandemic from economic support for citizens and businesses to health care.

[Translation]

Honourable senators, the government has acted quickly over the past two years to provide financial support to individuals, businesses and the health care system.

The government created programs, such as the Canada Emergency Response Benefit, the Canada Emergency Student Benefit and the Canada Wage Subsidy, and it also provided targeted support to the regions, the economic sector, and the non‑profits that help Canadians.

We must ensure that all federal organizations can continue to operate this spring and summer and deliver the programs and services that Canadians rely on every day and that address any needs related to COVID-19.

These organizations need the financial capacity to do so. The interim funding set out in this bill will give them the financial capacity they need until the Main Estimates are studied, debated and passed later this spring.

Allow me to digress before I speak about transparency. The federal government moved swiftly to implement new programs to support and serve the public. These programs made a difference for millions of people in Canada, on top of the existing programs and services. To do that, the government relied on an engaged public service that demonstrated bold, unprecedented leadership during this crisis. I want to take this opportunity to salute their dedication and thank them publicly.

[English]

Honourable senators, I would also like to emphasize the continuing importance the government puts on providing clear and easy-to-access information. The government recognizes that Canadians and parliamentarians have the right to know, scrutinize and question how all public funds are spent.

Therefore, I invite my honourable colleagues to refer to all the additional information about the government’s spending plans in recent estimates. For each of these estimates, the government has published a detailed listing of the expenditure authorities approved by Parliament through other legislation.

(At 4 p.m., pursuant to the order adopted by the Senate on November 25, 2021, the Senate adjourned until 2 p.m., tomorrow.)