The Upcoming Budget
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Summary
The Budget is coming up next week, so we d like to keep an eye on what is going on and how the government is planning to spend our tax dollars. In this episode, we speak with Pat Kelly, the Shadow Minister for Small Business and Western Economic Diversification, about the lack of a federal budget since March 2019.
Transcript
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Hello and welcome once again to The Blueprints. This is Canada's Conservative Podcast. I'm
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your host, Jamie Schmael, Member of Parliament for Halliburton. Thank you so much once again
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for joining us. We have a lot to talk about. In fact, the budget is coming up next week,
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the first one in two years, believe it or not. So we'd like to keep an eye on what is
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going on and how the government is planning to spend those dollars. But before we get
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to our guest, we need you to like, comment, subscribe, share this program, help us push
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back against the ever-moving Liberal agenda. Maybe there is someone in your social media
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network that might be open to hearing the Conservative message but might not be getting
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that because of the mainstream media. So this is how we do it. This is how we ensure Aaron O'Toole
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is the next Prime Minister of Canada. And of course, if you can't listen to the whole thing right now,
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you can download it on platforms like CastBox, iTunes, Google Play, Spotify, you name it,
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it is out there. So without further hesitation, let's get to our guest, Pat Kelly, the Member
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of Parliament for Calgary, Rocky Ridge. He's also the Shadow Minister for Small Business
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and Western Economic Diversification. Welcome, Pat. You're a good friend of the show.
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Well, thanks. Thanks for having me again, Jamie. Always a pleasure to be on The Blueprint.
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So the first budget in two years coming up. This is quite the surprise and quite the pleasure
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for members of Parliament whose job it is to keep an eye on the government and what they're
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spending taxpayer dollars on. Yeah, it's quite remarkable that there hasn't been a budget
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since March of 2019. Think of what's happened since then. I mean, not only have we been through,
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you know, we've been in a pandemic now for 13 months. And so this last budget was way before
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even the last election and we have yet to see this government's fiscal plan through a budget. I mean,
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yeah, we have, they table the estimates, we vote on them and expenditures are authorized,
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but there's no substitute for a budget to actually signal to Canadians and to signal to markets the
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direction of the country. So yes, we're looking forward to seeing a budget. And there's just
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really no explanation for why it took so long to table one. Every other jurisdiction in both within
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Canada and around the world managed to table budgets during the pandemic.
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Even my home province of Ontario tabled two budgets during the pandemic. So the federal government,
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as we know, the We Charity scandal and a whole bunch of other things that kind of were muddled
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in with all the ongoings of the pandemic got, it really, I don't think got the spotlight it should
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have because those were dollars that were just going out at the request and recommendation of the
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executive branch and really didn't get, as far as I'm concerned, the thorough look over through the
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legislative branch. Well, that's, that's, that's just yet we, during that period, when, when the,
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the, the Canada student grant program was when, when that program was funded through a sole sourced
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contract to we that was, that was what happened at a time when parliament was very much reduced from
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its proper function. We weren't, we weren't sitting regularly, the opposition MPs and even,
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government backbench MPs didn't have the regular tools of government scrutiny at that time. So,
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so, and, and then, but when we caught on to what was really going on and committee inquiries were
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held, that's when the government actually prorogued the house and dissolved the, the committees that
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were investigating. It's, it's sort of liberal self-dealing through that, through that grant.
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Now, for, for those watching and listening that want a, a more in-depth look at what the We
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Charity scandal was about and what the opposition has been doing to try to expose that, there's some
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great previous episodes with Michael Barrett, the shadow minister for ethics. So, if you wanted to
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download that and listen to that, a great in-depth discussion on the nitty-gritty of that. But
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in terms of the budget, nobody really knows what's in the budget except for the prime minister,
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the finance minister and, and, and within people, with people within the department. Lots of
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speculation though. And if you go on speculation and, and the previous history and what this
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government is doing, a lot of their spending is just on a whole bunch of big pie in the sky
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dreams that they hope to, to achieve, but yet not actually solving problems and not actually
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looking at how to grow the economy to, to deal with getting people back to work.
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Yeah. You know, we, we need an employment-based economy. We need to get people back to work
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and you know, the, the, the health crisis and the economic crisis are completely intertwined.
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We see other jurisdictions, other parts of the world that are reopening their economies because
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they are, uh, uh, uh, making significant progress toward immunized populations. Whereas we are not
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in Canada, uh, so that the lack of, um, of a, uh, uh, of an adequate response to the health crisis is
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prolonging the economic crisis. And, uh, we we've got to get a path to a safe and permanent, uh, reopening
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of the economy so that we can get people back to work. It's not, this is not the time for, uh, utopian,
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uh, experiments. Um, I don't really see among Canadians an appetite for, um, you know, grand
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new reinventions of the economy. People just want to get back to normal. They want to get their jobs
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back and, um, and we need to get the, our public finances under control. So, so what I would, what
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I am looking for in this budget, what I hope to see is a plan for a safe, permanently reopened economy.
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And, uh, uh, a medium to long-term plan, at least to, uh, to, to get our public finances under
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control. Now, just, just on some of these big, huge, massive spending projects that the government
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may or may not unveil, how the heck are we paying for this? Given the fact that we've already doubled
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federal government spending in a fiscal year, given the fact that our debt is well over a trillion
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dollars, how is this, how is any new program going to be spent? And what, if they do go forward with
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that, how do you justify that to future generations who will have to pay this down either in increased
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taxes or reduce services? Well, this, this is just yet right. Right now we, the, as a, as a country,
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we are, uh, uh, borrowing, uh, staggering sums of money to pay for the, the programs that are
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necessary to, to sustain, uh, people's livelihoods while they're being ordered to not, not to work.
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Um, but, uh, you know, this level of borrowing is not sustainable, even in much more of the short
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term. I mean, we have got to get back to, uh, uh, a proper full employment economy with, uh, uh, an
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existing, you know, where at, at reasonable levels, the, the tax base can support our debt. We are, um,
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right now the, uh, the, the, in addition, what's, what's happening is they're, they're really printing.
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It's a combination of borrowing and printing money. Um, much of the, of the money that the government
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of Canada is borrowing, it is, uh, it is borrowing from the bank of Canada. In other words, it's, it's
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borrowing from itself really. And, um, so this just cannot go on for very much longer. And we, we really
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are looking for, um, uh, a path forward in this budget. And, um, uh, and yet, um, the signals that
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are, that are being given, including from, from the, uh, the, uh, the liberal party's recent
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convention are just more and more and more spending. And, um, we just can't keep doing
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that. Um, we, not without a plan to, uh, to, to really face, uh, financial reality.
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And many of these, probably these programs, these government policies have hampered a lot
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of the economic anchors of our society, whether it be oil and gas, mining, manufacturing, especially
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in Ontario, where we are still dealing with some of the highest electricity to rights and
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rates anywhere in North America, thanks to the Ontario liberal party, many of which have
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left Queens park since the defeat of Kathleen Wynne as premier and moved up here to Ottawa.
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In some cases, you, as the sucker taxpayer have paid for those moving expenses.
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That's a topic for another show, but yet it's the same playbook, massive government spending,
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massive government overreach into areas of jurisdiction that they never should be in,
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in the first place, all with this big dream of solving problems, but that yet they never
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seem to, to solve the problems. I guess it's like Reagan said more with central planning,
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the more of the plans fail, the more of the planners plan.
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Well, yeah, indeed, that's, that, that's, that's quite right. And, you know, we, we, we really
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need to get back people, you know, people get people back working, producing goods and services
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that other people want, not trying to re, you know, re-engineer the, the, the economy from,
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from a bureaucrat's desk. I mean, the, the, the, the market works, the market is where everybody
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wins, you know, the, the, you know, willing participants who, who participate, who produce
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services or goods that other people want and agree to buy. And, you know, that this means
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manufacturing, this means primary industries like oil and gas, logging, mining, and, and,
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and yes, indeed, you know, the new emerging industries, high-tech innovations, these kinds
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of things. But, you know, it's got to be rooted in, in real demand for real things in the real
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world, not, not just the, the dreams of, of liberal imagination.
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Now, it, when, I think you, you touched it really well there in terms of when we're looking
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at innovation, when we're looking at luring people to, to Canada, to, to set up shops,
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to imagine the next great thing, to manufacture it here at home. You're right. If the market
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drives that innovation, you have rapid innovation, you have rapid development to solve these problems.
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When the government gets involved, you actually slow down that innovation because it becomes
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managed innovation because innovation is what the government says innovation is. So those projects
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get the funding where everyone else has to work around that to still develop their project.
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even though the government is, is subsidizing and picking winners and losers in the marketplace,
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their competition. Yeah. Our, our, our, our innovators do best when they are solving problems
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that, that exist in the world, uh, that, that, that consumers are crying out for, that industry
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is crying out for, um, not actually chasing the, the right criteria or knowing the right insider
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to, uh, to get a government, uh, to get a government grant. So in a, you know, in a market economy,
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the, the people that, uh, that produce things and, and ideas come up with ideas that solve real
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problems, uh, succeed. But, uh, when, when, when you have, uh, government driving, uh, driving it,
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it's, it's the, the well-connected and the, the people with the best lobbyists and the best
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government relations people, um, that, that end up getting, um, getting funded. So, you, you know,
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you really, uh, we need to root our, um, uh, our approach on, on, well, on the, on the broad
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economy, on, on really just filling the, the needs that real people have.
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In your portfolio with small business, obviously those have been probably the most hit during this
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pandemic and the most hurt during this. And, and a lot of it has to do with government lockdowns
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and shutdowns. Now I'm sure everyone has mixed views on that, but at the heart of this, the reason
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why we've had to go into a, in many parts of the country into a second or third lockdown is the
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failure on the part of the federal government to secure vaccines. If you look at other jurisdictions,
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they're starting to open up in with great success because they're able to get the vaccine
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into the arms of their constituents. But yet here at, in Canada, we are dealing with a massive
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failure by the federal government. Yeah, it, it, it really is. It's, it's a national embarrassment
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that, that, that Canada is so far behind peer countries in, uh, in vaccine procurement. And it's
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not like this just suddenly happened. Uh, Jamie, you know, we, we were talking about this back in
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October. It was clear, uh, with the, the, the projections and the, the announcements that the
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government had, had made even back in October, that we were going to be months behind, uh, you know,
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probably our, our most comparable and, and, and natural peer countries, the United States and the
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United Kingdom. We're, we're miles behind these, uh, these countries who are, are, are not facing a third
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wave. Uh, the, the, the infection rate in the United Kingdom has, has just completely collapsed as,
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as they, uh, achieve significant, um, you know, immunization across their population. Uh, the United
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States is getting there. They're, they are not, uh, seeing the, the, the same, the same effect of a,
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of a third wave that we are seeing, uh, because their, their population is becoming increasingly,
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uh, immunized, uh, with the, it's, it's, uh, deployment of vaccine. And, um, it's a real shame
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and it, it, you know, the, the provinces and municipalities, um, are being put in this untenable
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position because they can't get their hands on the, on the vaccines because of the failures of this,
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of this government to procure them. I think you hit it right there too. I don't think any provincial
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premier, any health minister, any mayor wants to be, or health official wants to be put in this
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position, but you're right. If they had the vaccine, you would be seeing situations here in Canada. I'm
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sure like you're seeing in, in some States, maybe Florida, maybe Texas, maybe others that are starting
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to reopen because they are able to get vaccines out and, and their population with that protection
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they need against this virus, which as we see across the world, and even in Canada, the various variants
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that are having different effects on different age groups and the severity of that illness. But at the
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heart of it, it's the vaccine that we need in order to get back to normal. Yeah, uh, that's absolutely
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it. And, and, you know, as, as you and I know, we've, we've been, uh, we've been talking about this
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for a very long time now. And, um, and I, I, um, you know, this, this government really needs to be
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held accountable for its failure on, in this area. I mean, it goes right back to, you know, a reckless
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and terrible decision to, uh, put Canada's vaccine eggs in, in the, uh, the CanSino, uh, basket. And,
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uh, uh, I mean, what, what, um, uh, you know, why, why on earth, uh, Canada would, uh, would,
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would decide to go that route, uh, instead of get on early with, um, with, uh, with the other
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manufacturers that, uh, that were available and working on, uh, on, on vaccines at that time.
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Now, just a few weeks ago, we, as the opposition used one of our opposition days to ask the government
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to produce a report on reopening within 20 days. Now they've had well over a year, probably more
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to figure this out. The fact that they hesitated on that. And this was areas of federal jurisdiction.
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So people coming across the border for a simple question, you've been fully vaccinated. Do you
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still have to quarantine for 14 days at this point? The answer is still yes, but why is that? There,
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there are so many questions that have been unanswered because this government just doesn't
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seem to be able to walk and chew bubblegum at the same time. Yeah. I mean, our, our motion was
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very reasonable. I mean, you know, it, there, there's nobody in Canada that likes the lockdowns.
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I mean, people broadly accept that, that restrictions are necessary in the name of public health.
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And, uh, but that doesn't, that doesn't mean anybody, uh, is, is cheering for more lockdowns. Uh,
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uh, people want a safe, uh, a safe open economy where they can return to their, their,
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their normal routine. And, and so the, uh, our, our motion was extremely reasonable. We, we, we,
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we weren't demanding, um, we, we weren't demanding that we reopen the economy regardless of health
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consequences. No, we were demanding a plan for a safe and permanent reopening using the, that's driven
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by data and using the tools that are available to us or should be available to us, which include,
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uh, of course, vaccines, but, uh, the, the proper deployment of mass rapid test and rapid screening,
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uh, capacity, which we have never developed in Canada. Um, you know, we're only now just in,
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um, um, in a few circumstances, uh, seeing, um, actual, you know, rapid test, um, technology being
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used, uh, to, to screen people. I mean, these are things that, that other countries that had the
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most success with, uh, with fighting the pandemic right from the start were, uh, were, were heavily,
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uh, uh, invested in. So, um, it's just been a, a, a failure on, um, on these basic tools, uh,
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vaccines, rapid results, tests, uh, therapeutics. And, um, we want to, we just want to plan. We
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want, we want them to, to, to use the data available to them, develop a plan that will
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give Canada, give small businesses. Um, and I, I'm the shadow minister for small business
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and small business. They, they're desperate to know when they're going to get their customers
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back. Um, more loans are not going to be the answer for very many small businesses. There are
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small businesses on the brink right now for whom maybe another, uh, uh, uh, tranche of
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government lending will keep them alive for, uh, for a few more months, but that's not a
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solution. And, uh, and we face a debt crisis within the small business community, um, who
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have all had to, to, uh, uh, blow through their, their own, um, uh, savings and, uh, and
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credit and take on debt through the government aid measures. They want to know when they're
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going to have their customers back. We need a plan, but we went a bit long, but I always
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give the, the guests, the final remarks. Maybe we can use the final remark period to talk about
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the certainty that the small business community needs right now. You, you mentioned the debt
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that many of them are taking on. And I, I don't think there's too many small businesses
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across Canada that have not incurred some debt through this, this pandemic due to, to, to
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the, to the lockdowns. And, and I think you're right. They, they want certainty. They, they
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need to know that there is light at the end of the tunnel. They need to know that, that
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they're going to be able to survive this. And I think you're right. Piling on more debt
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when they need to, to, you know, once they're finally told to reopen, they need to be able
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to do that. And that, that means more debt too, because they need to get products and
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their staff up and running. Um, so maybe you can highlight that in your, in your closing
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Well, you know, that, that, that's just yet. I mean, the small businesses need to, to, they
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want to see that, that, that the latest lockdown is, is the last one that, that the next time
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that they reopen, that it's a permanent reopen. So, uh, the understanding the data driving these
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decisions, uh, on the part of the federal government around, uh, around federal, uh, uh, recommendations
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that, that, that, uh, health Canada would have, uh, is important. And, uh, you know, knowing
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that, you know, sort of what metrics are going to be used to, to, to make different decisions.
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I mean, this is important planning for, uh, for, for businesses that, that need to
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know, um, you know, when they can expect to get their customers back.
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Pat Kelly, we always enjoy having you on the show. Thank you once again for, for doing
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this, the member of parliament for Calgary, Rocky Ridge, also the shadow minister for small
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business and Western economic development. We do appreciate your time. We do appreciate
00:21:07.940
your input and we appreciate you for watching or listening to this program because we need your
00:21:13.240
help to push back against the ever moving liberal agenda, like comment, share, subscribe to this
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