Day One | June 3rd 2024
Ottawa
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Canada Finance Minister Says Budget Created Conditions for Cut in Interest Rates
Canada's Finance Minister Chrystia Freeland?stated that the federal budget for fiscal year 2024-25, presented last month, has created conditions conducive to lowering interest rates. She emphasized the government's efforts to support the decline in inflation, which could allow the Bank of Canada (BoC) to reduce rates. However, Freeland noted that the BoC is independent and will make its own decision on interest rates, with a decision expected on June 5. Despite concerns that the budget's C$50 billion in new spending over five years could stoke inflation, analysts have mixed views on the timing of rate cuts. The BoC has maintained interest rates at 5% since July 2023, and while a rate cut in June is seen as likely, some economists suggest waiting until July for more economic data.
NDP, Unions Urge Trudeau to Introduce Program Letting Undocumented Migrants Stay
NDP Leader Jagmeet Singh, along with MPs, unions, and community groups, have urged Prime Minister Justin Trudeau to implement a program allowing undocumented migrants in Canada to gain permanent residency. Immigration Minister Marc Miller is preparing a plan for cabinet discussion, potentially granting work permits first to manage the influx. Estimates suggest there are 20,000 to 500,000 undocumented migrants in Canada. The NDP emphasized no cap on applicants, aligning with Trudeau's 2021 mandate to explore regularizing undocumented workers. Over 20 organizations support this initiative, highlighting its potential to reduce exploitation and enhance economic and social stability. Public support for immigration has waned due to housing concerns, with the federal government maintaining targets of 485,000 new permanent residents for 2024 and 500,000 for 2025 and 2026.
Conservative Leader Pierre Poilievre's Housing Plan Defeated in House of Commons
Conservative Leader Pierre Poilievre's?housing bill was defeated in the House of Commons, with the Liberals, New Democrats, and Bloc Quebecois voting against it. Introduced in September, the bill was a key part of the Conservative plan to address Canada's housing crisis. Poilievre's proposal aimed to incentivize cities to increase home building by 15% annually, with federal infrastructure funding tied to meeting these targets. Cities that met or exceeded the target would receive additional funding, while those that fell short would see a decrease. The bill was defeated by a vote of 203 to 117. Despite the defeat, Poilievre's focus on housing affordability has boosted Conservative support in public opinion polls, giving them a lead over the Liberals.
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Alberta
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Alberta NDP Hold Final Leadership Debate?
The Alberta NDP held their?third and final leadership debate?on the afternoon of June 2. Held in Edmonton, the event drew hundreds of supporters who were there to watch the four candidates’ debate. Candidates Calahoo Stonehouse, Ganley, Hoffman, and Nenshi all shared a stage for a final time to convince prospective voters to support them in leading the Alberta New Democrats. While the Alberta NDP’s leadership race has been characterized as not having much variation in stances between many of the candidates, interesting moments included conversations on whether provincial NDP membership should be linked with federal NDP membership and an analysis of the NDP’s track record in government. Eligible voters for the NDP leadership race can cast their ranked ballot as of June 3, with the new NDP leader announced in Calgary on the evening of June 22.?
Alberta Legislature Spring Session Ends, UCP Passes Multiple Bills?
The Alberta legislature?concluded its spring session, characterized by the government as productive but labeled anti-democratic by the Alberta NDP. The session saw the introduction of 13 bills, with nine receiving royal assent, including those establishing a new police agency, a recovery excellence center, and changes to Calgary’s utility fees. Controversial bills pending royal assent include those requiring provincial approval for agreements with the federal government, granting cabinet powers over municipal bylaws, changing the election date, and reorganizing healthcare. The government limited debate on these bills to one hour per stage, a move criticized by the opposition. The house will reconvene on October 28, with uncertainty about whether it will continue the current session or start anew.?
Movements in Alberta’s Healthcare Sector?
At the Inventures conference in Calgary, Premier Smith?called on?innovators and investors to focus on medical technology. Premier Smith emphasized the importance of public-private collaboration in developing and adopting new technologies to improve the healthcare system. The Premier highlighted the need for innovation in health care as the province plans to restructure Alberta Health Services into four agencies: acute care, continuing care, primary care, and mental health and addictions. Additionally, this week former Health Minister Tyler Shandro was appointed to the?Board of Directors of Covenant Health.?Covenant is a Catholic not-for-profit charity that provides accommodations, care, and support for aging individuals. It receives the majority of its funding from Alberta Health Services. Shandro joins many other high-profile Albertans on the Board, including former Premier Ed Stelmach.?
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Atlantic Canada
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Newfoundland and Labrador Launching Constitutional Challenge Against Federal Equalization Program
N.L. has?announced plans?to file a constitutional challenge against the federal equalization program, claiming it is flawed and fails to take into account the costs of delivering services to N.L.’s highly dispersed population and the price of investing in natural resource development. The federal equalization program is the mechanism through which the federal government ensures that provincial governments have sufficient revenue to provide?comparable levels of public service. Payments are distributed based on their “fiscal capacity,” as determined based on the total amount of revenue a province could bring in if its taxes were at the national average rate. Only provinces with a lower-than-average fiscal capacity receive a payment. N.L., having just qualified for equalization for the first time since 2008, argues it should have received between $450 million and $1.2 billion in each of the last five years. N.S. and?Saskatchewan?have both pledged to join N.L. as intervenors.
P.E.I. Foreign Workers Stage Hunger Strike Outside Provincial Legislature
Foreign workers protesting the P.E.I. government’s recent immigration policy changes outside the legislature have?agreed to pause their hunger strike?after meeting with provincial officials.? The protest began on May 9, but escalated in the past week, in response to changes which dramatically reduced the number of permanent residency nominations in sales and service on the Island in response to growing demand for housing and health care.? According to P.E.I Workforce Minister Jenn Redmond, more than 12,000 applications were submitted to the province’s expression of interest draw, for 1,590 permanent residency spaces.? Liberal MP Sean Casey has urged the province to discuss extending work permits for those affected, an ask championed by those still protesting.
Significant Senior Public Service Appointments in N.S.
N.S. Premier Tim Houston?announced changes?to the senior public service, filling the vacancy left Laura Lee Langley who is becoming the?President?of the Atlantic Canada Opportunities Agency (ACOA). Houston has appointed Tracey Taweel as Deputy Minister to Premier and Head of the Public Service. Taweel will maintain her current responsibilities as an Executive Deputy Minister. Jeannine Lagassé will become the Clerk of the Executive Council and Deputy Minister of Treasury and Policy Board. The appointments are effective July 1. Additionally, the provincial and federal governments have?appointed Myra Freeman as chair of the Progress Monitoring Committee, established to monitor the implementation of the recommendations from the final report of the Mass Casualty Commission. Freeman is a former lieutenant-governor of Nova Scotia.
N.B.’s Carbon Emitters Exceeded Greenhouse Gas Caps in 2021-22
N.B.’s new carbon-price credit market has?demonstrated that there are more large polluters exceeding their emission caps than there are staying beneath them. The Department of Environment and Climate Change found that the province's 15 largest greenhouse gas emitters bought almost 10 times as many emissions credits as they earned in 2022 under the industrial carbon pricing program, raising concerns about N.B.’s system, which was designed to comply with the federal government’s climate plan. Large emitters are required to reduce their carbon outputs by 2% per year until 2030 and purchase a credit for every tonne of GHGs they emit above their yearly target.
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British Columbia
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MLA Lorne Doerksen Crosses the Floor?
Lorne Doerkson, caucus chair for the B.C. United party and representative for Cariboo-Chilcotin, is defecting to the B.C. Conservatives, increasing their numbers in the legislature to three.?This move follows unsuccessful negotiations between the two right-of-centre parties to avoid vote splitting in the upcoming fall provincial election. Doerkson cites the importance of the election and his constituents' desire for a Conservative government as reasons for his switch. Previously elected in 2020, Doerkson served as United’s shadow minister for various portfolios. Both Conservative Leader John Rustad and fellow Conservative Bruce Banman were formerly members of B.C. United.?
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Prince Rupert Port to Increase Export Capacity?
Calgary-based AltaGas Ltd. and Netherlands-based Royal Vopak have approved the final investment decision for the Ridley Island Energy Export Facility (REEF) near Prince Rupert, B.C., after a five-year environmental review.?Expected to be operational by late 2026, the $1.35 billion project includes a large-scale liquefied petroleum gas and bulk liquids terminal with an initial export capacity of 55,000 barrels per day and 600,000 barrels of LPG storage. The facility will feature a new jetty and extensive rail and logistics infrastructure and will be built adjacent to AltaGas and Vopak's existing Ridley Island propane export terminal. The Prince Rupert Port Authority hailed this as the largest investment in the port's history, which is the third busiest in Canada.?
Many of BC’s Workers Still Not Making Living Wage?
British Columbia's minimum wage is set to rise by 65 cents per hour on June 1, but despite this increase, two organizations argue that more substantial changes are necessary to support workers facing financial hardships.?A joint analysis by the Canadian Centre for Policy Alternatives and Living Wage for Families B.C. reveals that one-third of the province's workers do not earn a living wage, which covers basic needs for a family of four. This discrepancy persists despite the new minimum wage of $17.40. Advocates call for a minimum wage of at least $20 an hour to bridge the gap between minimum and living wages, citing the challenges workers face in meeting essential expenses. The analysis highlights disparities among workers, particularly for women, racialized individuals, and older workers, emphasizing the need for both increased wages and reduced living costs. However, the Canadian Federation of Independent Business expresses concerns that mandating a $20-an-hour living wage could adversely affect small businesses, suggesting alternative approaches such as tax changes and targeted support for low-income earners to address affordability issues.?
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Ontario
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Ontario Strengthening Protections for Homeowners and Homebuyers
The Ontario government has introduced the?Homeowner Protection Act, 2024, which bans the registration of Notices of Security Interest (NOSIs) for consumer goods on the Land Registry.?The legislation would also establish a 10-day cooling-off period for new freehold home buyers and deem currently registered NOSIs expired. The government expects that this legislation will give Ontario homeowners and buyers information and time to make these major financial decisions. The bill also proposes amendments to the?Ontario Heritage Act?to ease administrative pressures associated with conserving legacy-listed heritage properties.
Ontario Increasing Court Capacity
Ontario is allocating more than $29 million to appoint 25 judges to the Ontario Court of Justice and hire 190 additional Crown prosecutors, victim support and court staff. The investment aims to assist with the backlog of criminal cases and improve access to justice. This investment will supplement the $72 million already provided through the province’s criminal case backlog reduction strategy.
Ontario Advancing Homegrown Research and Innovation
The provincial government is providing almost $200 million to help support six leading research institutes in their research and innovation initiatives. The investment includes $144 million for the Ontario Institute for Cancer Research, $36 million for the theoretical physics-focused Perimeter Institute, $5 million for Ontario Genomics, $4 million for Clinical Trials Ontario, $4 million for the mathematics-focused Fields Institute, and $3 million for Compute Ontario. The Ontario government aims for this funding to help Ontario attract more people to STEM fields and advance cross-disciplinary research.
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Toronto
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Potential TTC Strike Next Week
Nearly?12,000 of Toronto's 16,000 TTC workers, represented by Amalgamated Transit Union (ATU) Local 113, may strike on June 7 if no deal is reached. The key issues in the negotiations include wages, job security, benefits, and workplace safety, with increased violence against workers being a significant concern. While TTC management remains hopeful for a resolution, the potential strike could result in?a complete shutdown?of transit services in Toronto. Advocacy group TTC Riders supports the union's demands, calling for a fair deal for the workers.
Toronto Explores New Technology to Improve Traffic Congestion
As part of the?City’s congestion management plan,?and in partnership with the Ontario Vehicle Innovation Network and major telecom companies including Rogers, Toronto is piloting an advanced technology to?alleviate traffic congestion. This initiative aims to reduce travel times and enhance road safety without incurring costs for the City. The technologies will provide comprehensive traffic data to the City’s control center, and will be evaluated for effectiveness by the end of 2025, prior to permanent adoption.
Advance Voting Has Expanded in Mississauga?
Advance voting in Mississauga’s mayoral election has expanded to?22 locations this weekend, following a limited round at the Mississauga Civic Centre on May 25 and 26, which saw a?40% increase in turnout compared to 2022. Mississauga aims to improve overall voter turnout from the previous election, where only about 20% of eligible voters participated. Voters can cast their ballots at any of the 22 locations from 10 a.m. to 6 p.m. on June 1 and 2. This election also includes a vote for a new city councillor in Ward 5.
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Quebec
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Air Pollution: Montreal Regulations Once Again Challenged
American Iron & Metal?(AIM) is challenging a new regulation by the Montreal Metropolitan Community (CMM) regarding atmospheric pollutant emissions. AIM argues the regulation is discriminatory, unreasonable, and impractical, particularly the requirement for recycling companies to capture and scrub pollutants, which would impose significant financial and operational burdens. AIM claims the costs for compliance range between $11 million and $23 million and could lead to partial shutdowns of their facilities. The company also states that its current emissions are already below the regulatory limits and that the regulation unfairly targets their Montreal-Est location, disadvantaging them against competitors outside Montreal. The Quebec Superior Court is set to hear AIM's request to annul the contested regulation.
Adapting to Climate Change: The Challenge of Coherence for Quebec City?
A group of climate adaptation experts in Quebec, led by Alain Webster and Alain Bourque, has?urged the Quebec government to enhance its climate action efforts, emphasizing the need for greater coherence and urgency. In a 74-page report, the group made 20 recommendations focusing on ecosystem protection, health and safety, infrastructure adaptation, economic resilience, and capacity building. They stress that climate adaptation must be integrated into all government operations, treating it as a national priority. Key recommendations include accelerating the protection of natural ecosystems, revising government procurement processes to include climate considerations, and planning for various climate scenarios. The experts highlight the importance of proactive measures to avoid severe economic consequences and underscore that Quebec is expected to experience significant warming by the end of the century.
Francisation Québec: Phenomenal Increase in Applications, but Little Impact on French
Despite a significant increase in demand for French language courses,?Francisation Québec struggles to meet its targets,?with only 67.7% of new students starting courses within 50 days, down from 85.5% the previous year. The rise in demand is largely due to increased temporary immigration. The current course offerings are insufficient, meeting only about 2% of the need for beginner and intermediate French education. Temporary workers, asylum seekers, and international students comprise a significant portion of participants, yet the number of non-French speakers in Quebec is growing faster than the number of people learning French. The government is urged to improve French proficiency requirements for immigrants and enhance pre-arrival language training.
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