No Logs, Just Lies: The ArriveCan Audit
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Summary
On today's show, we are joined by Conservative MP Stephanie Cusey to talk about the Auditor General's report and the Liberals' plan to reduce the sales of fossil-fueled vehicles. We also discuss the new government's plan to ban the use of consultants.
Transcript
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Hello and welcome once again to The Blueprints. This is Canada's Conservative Podcast. Even
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throughout the summer, I'm your host, Jamie Schmael, Member of Parliament for Halliburton
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and Kawartha Lakes, with new content for you every single Tuesday, 1.30pm Eastern Time. Don't
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forget to like, comment, subscribe, and share this program. You can tell your friends to download it
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on platforms like CastBox, iTunes, Google Play, and Spotify. You name it, it is out there. On
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today's show, we are talking about GC strategies. Of course, the Auditor General's report might even
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get into the Liberals' plan to reduce the sales of fossil-fueled vehicles. Talk about this and much,
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much more. We have Stephanie Cusey, Member of Parliament for Calgary Mindepore. Thanks for
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coming on the show. Also, the Treasury Board critic. That's right. Thank you very much for having me,
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Jamie. It's always a pleasure to be here on The Blueprint with you and Conservatives across Canada.
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Yeah. Well, sadly, your file is kind of busy because, of course, we have an Auditor General's
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report. And of course, before the past election, we were digging into GC Strategies, a company owned
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by a couple of guys in their basement with a PO box that seemed to get a lot of money, a lot of
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contracts from different departments. And of course, they're infamous for the RavCan app that cost $54
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million, but could really be done for a couple hundred thousand. That's right. Yeah, this is a
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two-person company that we have determined really did no IT work. They received $64 million across 31
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different departments. And the Auditor General's report was just scathing. You saw in the clip, she said that
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she's not going to make any more recommendations, because all that the Liberals really need do are follow
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and enforce the rules. You think that would be an easy thing to do, Jamie, is follow and enforce the rules. But
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apparently, it was just too difficult for the series of ministers that we've had over the past 10 years of
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this Liberal government to follow and enforce these rules with GC Strategies. And we saw all types of
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different rules being broken. We saw that in a lot of the cases when the contracts were evaluated, those who
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were completing the work didn't have the necessary skills or qualifications to complete the work, which is
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ridiculous. If you think about applying for a job, the first thing you do is give your resume to be
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evaluated. We would never let a tradesperson in Canada do work for which they're not certified. This
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is a fundamental thing if you go and see your doctor, go and see your dentist. You want to know that they
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are able to do what you want to see them to do. Another thing we found was that timesheets were not
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documented at all or poorly documented. How can we assume anything other than these individuals were
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stealing from the Canadian people and being dishonest about the amount of work that they did
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or the rate charge, these types of things. So there were just discrepancies all across the Auditor
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General's report and what she found. And you heard her, she didn't make any recommendations
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because she has come to the same conclusions before. It's ridiculous. But the Liberals haven't
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learned. And as you know, that's why we put forward our motion the other day, which passed and we can
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get into that as well. Absolutely. So what you're trying to tell me is that Trudeau Liberals, which was
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known for breaking ethics rules and other rules set aside for ministers and parliamentarians,
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it's kind of like the carny Liberals are doing the same thing. It's like they're the same
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same group of people, isn't it? It's exactly like that. Despite being the new government. That's right.
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No, it's not new at all. And you can see that this government is really trying to differentiate
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themselves, but they are fundamentally doing the same thing. So for example, they put a seven-year ban on
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GC strategies. Why not indefinite? Why not for life? That's what our motion included,
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was a ban for life. They just said, nope, seven years, that's good enough as well.
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But it impacted the company, not necessarily the individuals or anyone connected. So a company
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could just change their business name or number and you could get right back into the game.
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You are absolutely correct about that. It does not stop them from doing that at all. And then the
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second thing that this Liberal government hasn't done into this new government is actually two
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things. One is lay off the contractors, the high price consultants, excuse me. The previous
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Treasury Board Minister, Anita Annan, said that she was going to get $7 billion in savings with
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these, with consultants. And instead we've seen consultant use go up in this government. So that
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hasn't changed. And the other thing that Anita Annan promised that she was going to do, which I hope her
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successor does, is get the money back. Because we haven't seen a single cent back, Jamie, from GC
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strategies. And as you know, that's why we presented this motion in the House of Commons last week to put a
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lifetime ban on GC strategies. And it's all of its entities, it's different
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successors that we could see there. And as well, that we asked for them to get the money back within
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a hundred days. Wouldn't that be nice? Wouldn't that be nice? Millions of dollars back. Well, let's queue up
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cut one. We have the Auditor General doing a press conference about her latest report in which, as you
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mentioned, little to no recommendations because you just have to follow the rules that were laid out
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before. Play cut one. Government contracts awarded to GC Strategies Incorporated, an Ottawa-based
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information technology staffing company. From April 2015 to March 2024, 31 federal organizations issued 106
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contracts to GC Strategies. In this audit, we found that federal organizations frequently disregarded
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government procurement rules that promote fairness, transparency, and value for Canadians. The
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findings in this audit echo those of previous audits, where we found deficiencies in how public
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servants applied federal procurement rules. There are no recommendations in this report, because I
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believe the government does not need more procurement rules. Rather, federal organizations need to make sure
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that the rules that exist are understood and followed. Only in government can you award these contracts
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with little to no recording or accountability measures in place and safety guardrails to protect
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a company's money, but only in government where you can hand out these contracts and not expect any work
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to be done. You're absolutely correct. And to add salt to the wound, Jamie, they found that in an amazing amount of the
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contracts that they did not check for market value of the work that was completed. That's another significant finding.
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You know, Canadians across the country are price comparing every time they go. They go to buy tomatoes, grapes, apples,
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anything. They are comparing prices. This government didn't do the same with millions of dollars. They just
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simply handed out the contracts, gave the contract to GC Strategies. So that was another major finding. But like you
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said, we are seeing just a continuation from the last government into this government, a disregard for
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money, a disregard for value, being untrustworthy when it comes to completing work or to documenting
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that work. This has to change. But as the Auditor General stated in that clip, these Liberals have not
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learned their lesson. So let's hope in this new government, we see an administration, because Mark Carney said that
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they would be guided by a new fiscal discipline. He said that in the speech from the throne. He said
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that in addressing his caucus. So let's hope he puts his money where his mouth is and starts to do that,
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Jamie. So we have the government continuing to spend on consultants. What, last year it was something
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like $24, $22 billion. That's right, $23 billion. In a government that is bigger and more bloated than
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ever, somehow we found a way to pay $20 billion in consultancy contracts. Unbelievable. And not only that, they
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continue to go up. There's actually more money in the budget estimated to spend on consultants. So if you're
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spending this money on consultants, a ridiculous amount, and we continue to blow by these so-called fiscal
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guardrails, why are we still having a public service bigger than ever? That's a very good question.
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And I imagine as well, it's incredibly demoralizing to these public servants who take these jobs in an
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effort to serve Canada and then are told, oh, sorry, your work isn't good enough, or we need to
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bring in someone from the outside. That must be incredibly frustrating and demoralizing
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as a public servant. But again, as I said, the prime minister said he really wants to start a new
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tone of fiscal responsibility with this government. And yet he presented main estimates of half a
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trillion dollars. That is crazy. He is continuing the Trudeau legacy of overspending. This was shortly
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followed thereafter by supplementary estimates in the billions as well. He really needs to
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turn things around from every single perspective, whether it is from expenditures, value for money,
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good utilization of money. These are all the things that were reflected in the Auditor General's
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reports. And the other insulting thing, Jamie, with all of this is that these ministers who oversaw
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these atrocities have been promoted in the Carney government. So again, if Carney was truly following
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a new fiscal discipline, a new standard with this government, then wouldn't he have ministers who
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enforce these standards that would include good expenditure of public funds? Canadians, when they
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give their money to the government, it is with the trust that the government will be good stewards of
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the money that they have worked so hard to earn. And in the main estimates, Carney is failing to do this.
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Even, Jamie, we have the new president of the Treasury Board, Mr. Ali, present in the Committee of the
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Whole last week. And his knowledge base was embarrassing for him. He couldn't say the amount of the main
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estimates. He couldn't say the amount that we were voting on within the House on the main estimates. I mean,
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these are simple questions that a prime minister who wants to inspire confidence in the Canadian people,
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they would be able to have this base type of knowledge and have a base level of competence. And yet, it seemed within
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this Committee of the Whole, he was not capable of demonstrating this type of basic information that
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a president of the Treasury Board, who's been on the job now for close to a month, would have. So,
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Prime Minister Carney has a lot of work to do in showing Canadians that he is a good steward of their
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money, and as well that he has appointed ministers who are capable of managing the money of Canadians, spending
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it well, spending it prudently, staying within the rules even. He's got a long way to go with that
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and his cabinet to demonstrate that, Jamie. Well, and the Minister for Treasury Board has been elected
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since what, 2015 or something? That's right. So, it's not his first go around. And for those listening
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and watching at home, the estimate process is really the mechanism to get the money flowing.
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Exactly. The budget's more the blueprint, it's the estimates that release the funds. And that's,
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I think, key in where you see some of these numbers changing and actually increasing it.
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And I hate to say it, based on the numbers that I've seen, the way Mark Carney wants to spend,
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he almost makes Justin Trudeau look like a fiscal hawk. Like, it pains me to say that,
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because Trudeau was so awful. But Carney's plans to grow the economy aren't going to happen. He can
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say it all he wants. He's got pieces of legislation, historic pieces that the Liberals have put in over
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the last 10 years and barriers to competition and attracting capital and all that. So, he can say they
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want to attract business and grow the economy. But when you have to beg government for these
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permissions and the ability to do certain projects through their new approval process that they hope
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to bring in, you only get projects that government approve of that have a political ends to it. You
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don't actually get the best innovation possible. That's right. And I really think that's what Bill C-5 is
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going to have to overcome. It's actually getting things done, building things. I mean, we talk about,
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or I should say, the Minister of Natural Resources talks about a two-year window for approvals,
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but two years is a long time even before you get shovels in the ground compared to Pierre Polyev's
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green light policy that he put forward during the election. And we continue to put forward the four
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things that would absolutely provide for way faster productivity, almost immediately eliminating C-48,
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eliminating C-69, getting rid of the caps and eliminating the industrial carbon tax. Mark
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Carney said during the election, people don't use a lot of steel. That's absolutely ridiculous. But I
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mean, this is the type of thinking, and this is the type of, it almost feels like being stubborn to me,
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that he's not willing to just change these things out of pride because these were conservative ideas,
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although they certainly took a lot during the election. But that certainly leads also right
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into our opposition day motion that we have here at the end of the session on electric vehicles.
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Yeah. And really being realistic about their creation, their utility, especially given the
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unique climate conditions and work environments that we have here in Canada. But it is a realistic
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assessment that will be needed for productivity as well, because that's definitely the other side of
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fiscal responsibility. You can manage the money well, but then you have to ensure that the population,
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has access to good markets, good jobs to create that wealth that is required to spend.
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Absolutely. Well, that leads me into the next topic. We have a few graphics there,
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we can put them in now or later. So the Government of Canada is moving forward their idea to cap the
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number of fossil fuel powered vehicles, or gas powered vehicles, however you want to say it,
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in Canada by 2030 or 2035, something like that, which causes a problem on its own. Other than the market
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choosing what is the best option, they're pretty much taking that off the table. But they're going to
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cause a situation where you can see this coming down the road, as the deadline for this EV mandate comes,
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you will have probably a surge of sales for gas powered vehicles, and then the resale market on
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the other side causes a bit of problems. So I think, unless the market dictates terms that best product,
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price, service, etc., you're really setting this up to fail, but you're also phasing out a lot of
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people out of the marketplace that can afford a certain vehicle. You're spiking the cost of a
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traditional gas powered vehicle, and then you're spiking it on the resale or the parts end as well,
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because you'll be limiting the amount of supply. Right. I see this situation just rife with problems
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for the Liberal government. In addition to that, I worry about the markets in both the US,
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I say the production in both the US and Mexico, the type of impact that that's going to have on
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the Canadian market. I'm sure our workers are very worried about those impacts. And then the other thing
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I worry about, in addition to the consumer choice, the effectiveness of these vehicles in the Canadian
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climate is the critical minerals, like the supply chain. Again, and that ties back to the productivity
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and this two-year approval window, when once again, the Trudeau government was so opposed to any type of
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resource development for our nation. I almost see it like a chicken and egg kind of problem when you
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think of it in that way. So I really think that this government has to seriously consider productivity
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from both an ideological perspective and also a practical perspective, because Canadians elected
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them with the understanding that they were a mature professional government, comparative to what we've
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seen in the last 10 years. And so far we've seen, based upon the expenditure, based upon the same
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players, based upon the outcomes that we've seen to this point, that they are not. And so it looks like
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C5 is going to pass here in the next 48 hours as we finish up our time here on the Hill. And so the clock
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starts ticking for this Liberal government and for Mark Carney that they will deliver what they promise
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Canadians. And there is nothing worse than someone, especially a politician, especially a Prime
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Minister who can't keep their promises, who say elbows up, but then production is down, national
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revenue is down. They better deliver and this EV piece is a critical part of it. I have nothing against
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EVs. I drive a hybrid myself, but it was the free choice of the free market that made the best option for me
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possible. And I think that's, that's what we're pushing for. We're not pushing for the government to
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shove things down people's throat and said, you're going to drive this because the government can't,
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doesn't have a crystal ball. They don't know what, what the options are for people and they can't tell
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people what their best option are because everybody's situation is different. And you know what,
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I have nothing against public transit, use it from time to time myself. You're in Calgary, you have a great
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transit system, right? But at the same time, having a vehicle is, is basically ultimate freedom. You can
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go where you want, when you want, with whom you want, it doesn't matter, right? When you're, when
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you're, when you're pushed out of the vehicle market because of government mandates, pushing a certain
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narrative, forcing you, maybe you're on the lower end and that means you're, you're gas-fired vehicles
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no more, you're taking the bus now. Then you're going on the government's time and the government's
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route. You know, there, there's that other just, just ideological view of it too, right? Like,
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if public transit's good for you, take public transit. If electric vehicle is good for you,
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take electric vehicle. If fossil fuel is good for you, buy that, right? Like, you should have a range
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of options, not limited by government's view of the world. Right, and I think that goes back to Pierre
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Poliev's discussion and promise of the Canadian dream during the election. Once again, he talked
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about owning a home in a safe neighborhood, having a good job. But I think many Canadians would agree,
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historically, that also means having a motor vehicle. Many, some Canadians do not. My sister lives in
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downtown Toronto. They have a vehicle that very frequently they travel by, she loves riding her
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bike into work, she likes walking. But historically, we do tie having a vehicle into part of the Canadian
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dream. And I, I think that definitely applies to the majority of my constituents in Calgary,
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Midnipour, where we are very much a suburban community and need a vehicle to go to hockey,
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take the kids to hockey practice, need a vehicle to go to, to work downtown. So yeah, I agree with what
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you're saying. Well, I'm glad you do, because we're pretty much out of time. We have to get
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out of here, but I always appreciate you giving up your time and your views and love having this
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conversation. As you know, you're a good friend of the show, but the guests get the last word.
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The floor is yours. Well, Jamie, thank you so much for continuing to do the Blueprint. I think that it is
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just excellent content and conversations for not only Conservatives, but Canadians across the country
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that are looking to have insight as to our perspectives and our views. And I'm just grateful
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to be here with you. Thank you. Well, thank you, Stephanie. Stephanie Cusey, Member of Parliament for
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Calgary, Midnipour, also the critic for the Treasury Board. You heard her folks. Please like, comment,
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subscribe and share this program. It's a great conversation. We want to hear, we want to ensure
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more people get to hear it. So tell your friends to download it on platforms like CastBox, iTunes,
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Google Play, and Spotify. You name it, it is out there. New content for you every single Tuesday,
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even throughout the summer, 1.30 p.m. Eastern time. Until next week, remember,
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low taxes, less government, more freedom. That's the Blueprint.